Search Documents

By K. S. Benson

DEPLETION is a subject of vital importance to the mining industry. Yet, in spite of its importance, its significance is not generally understood. The purpose of this discussion is to clarify the main aspects of the subject from the viewpoint of a metal mine taxpayer. To define the term depletion, it is necessary to distinguish among its various uses. In the economic or geological sense, depletion means the exhaustion of a natural resource. A mineral deposit is a wasting asset and once exhausted is nonrenewable. Millions of years were needed to produce an ore deposit, which may be consumed in a few years and which cannot be replaced except by the discovery of new sources of supply. The wasting asset feature of the mining industry has a vital bearing on the impact of the Federal Income Tax Law on this industry. This is recognized in the law by the various provisions dealing with the depletion allowance, and in this sense the term depletion has an income tax meaning. Depletion from the tax viewpoint means the statutory deduction from gross income designed to permit the return to the taxpayer of the capital consumed in the production and sale of a natural resource. The mining enterprise realizes income on the extraction and sale of minerals and a portion of the income realized represents capital consumed. As the resource is exhausted, the mining enterprise approaches the end of its existence unless new sources of supply can be acquired. Depletion from the tax viewpoint is a creature of statute with limited meaning and application and, in essence, is a method for amortizing the value of the primary asset of a mining enterprise. An example can best illustrate the significance of depletion from the tax viewpoint. Compare a manufacturing concern with a mining company. In computing taxable income of a manufacturing concern, consideraion is given to the cost of producing such income, the principal costs being capital investment for plant and equipment, labor, and raw materials going into the products produced. A mining enterprise, on the other hand, is faced with a different problem because its principal asset is the natural resource which it is producing. In computing its taxable income, consideration is given also to its capital investment for plant and equipment and the cost of labor; but in addition, recognition must be given to the fact that a portion of the proceeds realized on the sale of mineral represents capital. Without such recognition, the mining company would be taxed not on income but on capital and income, and Congress has never intended that capital be taxed as income. Thus, when depletion allowable is referred to in the mining industry, it means the statutory deduction allowable in computing taxable income of a mining enterprise. For guidance the appropriate provisions of the Internal Revenue Code, Income Tax Regulations, and the judicial decisions interpreting and construing them must be examined. It is important to identify and distinguish three methods of determining the allowance for depletion: 1—Cost depletion, 2—Discovery depletion, and 3—Percentage depletion. The basic method is cost depletion and in addition some taxpayers may be entitled to use discovery depletion and other taxpayers may be entitled to use percentage depletion. Discovery depletion and percentage depletion, however, are mutually exclusive and if a taxpayer is entitled to percentage depletion, he is not entitled to discovery depletion. By statute, a metal mine taxpayer is entitled to use cost depletion or percentage depletion, whichever produces the highest deduction. Thus, discovery depletion is merely of academic interest to such taxpayers and to most others. Briefly and broadly speaking, these methods of determining depletion may be described as follows: 1—Cost Depletion: Under this method, the allowable deduction for depletion is based upon the cost of the particular deposit to the taxpayer, unless the deposit was owned prior to Mar. 1, 1913, in which case the taxpayer may use the fair market value of the deposit on that date or actual cost, whichever is higher. This method is sometimes described as basis depletion or adjusted basis depletion, but in this discussion it will be referred to as cost depletion. 2—Discovery Depletion: Under this method, the allowable deduction for depletion is based on the fair market value of the deposit at the date of discovery or within 30 days thereafter and was originally designed to take into account deposits discovered subsequent to Feb. 28, 1913. 3—Percentage Depletion: Under this method, the allowable deduction for depletion is based on a specified percentage of the income realized during the taxable year from a particular property. As stated, the concept of depletion is based upon the exhaustion of a natural resource as distinguished, for example, from the concept of depreciation based on the exhaustion of property used in trade or business. From the tax viewpoint, depletion first became important in the administration of the Corporation Tax Act of 1909, which provided for an excise tax on net income. As soon as this act went into effect, mining taxpayers attempted to claim a deduction for depletion in computing net income although there was no specific mention of a deduction for depletion in the statute. The courts in these cases uniformly held that the statute did not permit an allowance for depletion in computing net income and also held that the provision permitting a reasonable allowance for depreciation did not include depletion. These early cases are quite significant because they establish the principle that the

Jan 1, 1952

No records have been found of coal in the old Spanish documents, although some mention of it probably exists in manuscripts. Coal was found in Mt. Diablo, in Contra Costa County, about five miles south of the San Joaquin River in 1852, but the first mine, the Teutonia, was located in 1858. The deposits are located on both sides of a high ridge, and vessels of 1,000 tons burden could ascend the river to the nearest point to the mines.1 In 1854, coal was found about four miles from Oroville, on the Feather River, in Butte County. Development work was started and in 1856 a mine was opened. From the description the coal was likely a variety of lignite and probably never amounted to anything commercially, as it does not appear again in the records 2 The more valuable mines at Mt. Diablo were opened in 1859 and 1860. By 1867 there had been 11 mines started and at that time five were in operation. The seam conditions were much disturbed and lack of knowledge of them caused much waste of effort and money. All of the coal excepting that used locally and in nearby towns, was shipped to San Francisco, and largely used for steam purposes. The first receipts were in 1861-6,620 tons. A railroad to the river had been constructed and opened in February 1866. The Corral Hollow field in Alameda County was found and prospected to a small extent in 1862. Two mines were opened but little work was done and the field was then abandoned. Good exposures were rare and the cost of underground exploration was then prohibitive. The Commercial mine produced coal in 1869 and 1870, but a fire in the latter year destroyed the tipple and communications to the mine. The Livermore mine was abandoned after 18 months operation in 1875 and 1876 and no other work was done here until the nineties. In 1867 Hyne reported the presence of coal in workable thickness, and of good quality, on the property of the Pacific Coast Petroleum Company,

Jan 1, 1942

By P. C. Kelly

The processes involved in turning a set of seismograph records into a geological structure map may be divided into three classes; (1) picking reflections on the records, to be used for the computations; (2) determining the basis on which the computations should be made in order to arrive at correct results; (3) making the necessary computations and plotting sections and maps. The first is usually done by the crew chief, or at least checked by him. The computing system usually originates in the head office, occasional consultations with the party chief providing modifications as necessary to meet special conditions. The computations and plotting are done by the party computer, with possibly one or two assistants if the calculations require much time. Picking the Rejleclions Marking of the reflections on the records is perhaps the most important step and the one most likely to determine the reliability of the final results. Making the "picks" is important because most of the problems that come up in practical work are connected with the problem of what can be done with poor records. The lack of any definite criteria by which to judge what are good and usable reflections is at the bottom of the difficulty. Give the same set of records to several people to mark and they will probably come out with a variation in the number of reflections per record that are deemed usable. With good records the correct picks are obvious to all, but with poor records experience seems to be the only reliable guide as to what picks are reliable and what are merely born of imagination and desperation. Experience in marking records and seeing how the structures eventually check out is more important than training in physics or geology. Different types of equipment and shooting methods may produce records quite different in appearance, from the same territory, and the computer can do his best work with records of a type on which he has had considerable experience, and has learned the limitations and shortcomings as well as the virtues of the data with which he is working. Reflections may be picked for dips only, in which case the particular reflection picked is not recognizable with certainty on records from any other spread. For the purpose of computing dips it is necessary that the reflection be marked on a11 or nearly all of the strings of the records, as

Jan 1, 1940

By P. C. Kelly

The processes involved in turning a set of seismograph records into a geological structure map may be divided into three classes; (1) picking reflections on the records, to be used for the computations; (2) determining the basis on which the computations should be made in order to arrive at correct results; (3) making the necessary computations and plotting sections and maps. The first is usually done by the crew chief, or at least checked by him. The computing system usually originates in the head office, occasional consultations with the party chief providing modifications as necessary to meet special conditions. The computations and plotting are done by the party computer, with possibly one or two assistants if the calculations require much time. Picking the Rejleclions Marking of the reflections on the records is perhaps the most important step and the one most likely to determine the reliability of the final results. Making the "picks" is important because most of the problems that come up in practical work are connected with the problem of what can be done with poor records. The lack of any definite criteria by which to judge what are good and usable reflections is at the bottom of the difficulty. Give the same set of records to several people to mark and they will probably come out with a variation in the number of reflections per record that are deemed usable. With good records the correct picks are obvious to all, but with poor records experience seems to be the only reliable guide as to what picks are reliable and what are merely born of imagination and desperation. Experience in marking records and seeing how the structures eventually check out is more important than training in physics or geology. Different types of equipment and shooting methods may produce records quite different in appearance, from the same territory, and the computer can do his best work with records of a type on which he has had considerable experience, and has learned the limitations and shortcomings as well as the virtues of the data with which he is working. Reflections may be picked for dips only, in which case the particular reflection picked is not recognizable with certainty on records from any other spread. For the purpose of computing dips it is necessary that the reflection be marked on a11 or nearly all of the strings of the records, as

Jan 1, 1940

By J. J. Rutledge

I. DESCRIPTION OF THE CLINTON ORES AND ASSOCIATED POCKS. THE Clinton rocks in Stone Valley comprise (1) thick layers of deep-red shale, (2) layers of reddish-gray shale interspersed with beds of sandstone and thin beds of extremely fossiliferous limestone, and (3) yellowish-gray shales alternating with thin layers of olive-colored shales. These layers of shale are all very thin and are at no point massive.1 A bed of gray-white sandstone varying in thickness from 12 to 30 ft. occurs in the tipper portions of the Clinton shales. This is called the ore sandstone, a name given to it by Rogers and adopted also by the Second Pennsylvania Geological Survey. It is the surest guide to the presence of the iron-ore bed, which lies below its lower edges at distances varying from 10 to 20 ft. This ore sandstone, in the valley, lies generally at very low inclinations, but often is locally subjected to considerable changes in dip. At its outcrop this ore sandstone weathers very easily and yields a rather sparse crop of stone, Composed of dirty, iron-stained boulders. Upon the roads these boulders are quite well rounded, and bear fragments of crinoid stems and other fossil forms. The ore sandstone exhibits at many points evidences of former movements in this very great thickness of the shales, and as it is the only stratum in this series competent to transmit and record stresses due to structural movements, its evidence is of considerable importance in determining the occurrence of movements in times past.

Nov 1, 1908

By Harold Cook

THE purpose of this paper is to state briefly the inspection requirements of the Bureau of Ordnance, the specifications governing the inspection, and the physical and chemical properties of the steel used in the construction of ordnance for our Navy. It would be of interest to evoke discussion on points in these specifications which do not tend to insure the production of the very best material for the purpose intended. In other words, what requirements of our specifications are useless and also in what manner are our specifications deficient? It might be well at the, start to answer the first criticism of this paper which will probably be made, and that is that the title does not agree with the subject matter. Considering metallographic work as covering only the macroscopic and microscopic examination of metals, this paper will have gone beyond the subject; but it is believed that a broader definition of metallography is that it is the study of the relation of the internal structure of metals and alloys to their composition and to their physical and- other properties. The internal structure of steel is dependent on its physical and its chemical properties. These physical properties are dependent on the chemical composition and the mechanical and thermal treatment of the steel. So it seems that this subtitle would not be entirely necessary and that the title "Metallography of Steel for Ordnance Purposes" would cover a study, not only of what we can learn of macroscopic and microscopic examination, but broadly of the whole subject of the specifications, the fulfillment of the requirements of which produce the structural conditions revealed by macroscopic and microscopic examination. .

Jan 2, 1916

By Arthur Notman

THE mineral industries in this country have now had about a year of national planning. Al. though the period is short, the volume of activity and legislation designed to make that planning effective has been nothing short of enormous. Those who have been privileged to see and study a few of the codes to regulate our mineral industry, such as those for oil, coal, steel, and copper, are driven to the conclusion that nothing was really known about the proper way to conduct those industries in this country prior to June, 1933; or if anything was known, nobody in actual practice made use of that knowledge. And yet those industries, in days gone by, helped to make this country the most prosperous in the world, and to maintain a standard of living even today higher than that of any other country. Without wishing to assume any first-hand knowledge of the Russian standard of living, I must confess that the evidence seems to indicate that even with dictatorial authority, national planning encounters unexpected difficulties. Perhaps what really wants

Jan 1, 1935

By M. M., Fine

In a laboratory study of grinding and classification' of silica sand, a satisfactory means of producing the medium-fine specification sand desired by producers of flint-glass containers was developed. The best procedure consisted of ball-mill grinding and double classification, which gave a properly sized sand containing less iron than the feed.

Jan 1, 1950

By F. E. Gregory

MINING methods and customs in many districts of England are to this day strangely bound about by the records and traditions of the past. In some mining fields this is more apparent than in others, yet it is everywhere in evidence, for Cornwall with her mines under the sea, Wales with her famous quartzites, and Derbyshire with her remarkable cavern deposits, are all tinctured with quaint customs that have come out of the almost forgotten past. Here, modernism has never replaced tradition, and many of the laws are woven of the woof and warp of ancient custom. Indeed, these things exist because they have come to be part and parcel of the civil laws. And these laws are observed with meticulous care and accorded all the reverence due their venerable age. All activities pertaining to the mining of metals are hedged around by curious and ofttimes clumsy laws, each minute and trivial detail being covered by the civil code, and each petty law enforced by an ofttimes pompous official.

Jan 1, 1933

Discussion of the paper of J. V. EMMONS, presented at the Pittsburgh meeting, October, 1914. and printed in Bulletin No. 93, September, 1914, pp. 2233 to 2248. ALBERT SAUVEUR, Cambridge, Mass.-Mr. Emmons is to be congratulated for having placed before us in so forcible and satisfactory a manner a question of much importance-that of the surface decarbonization of steel. Of course, both manufacturers and consumers have known for many years that during the heat treatment of high-carbon steel, surface deca.rbonization is always likely to occur to a greater or less degree, but the subject does not seem to have been investigated with the method and thoroughness it deserves. I am in substantial agreement with Mr. Emmons's conclusions, and I have but little to add to what he has so well said. His statement that carbon dioxide is just as effective an oxidizing agent as pure oxygen is likely to cause surprise and some will wonder whether his investigation has been carried far enough to warrant so unexpected a conclusion. The reaction C + 0 = CO, expressing the oxidation of carbon by pure oxygen, is decidedly exothermic, whereas the reaction C + C02 = 2C0, expressing the oxidation of carbon by carbon dioxide, is endothermic. Decarburization by pure oxygen, therefore, should take place much more readily than by carbon dioxide. One cannot help regretting that the author does not mention' the best way of preventing in a practical manner surface decarbonization while treating tool steel and other high-carbon steels.

Jan 4, 1915

By Edward Steidle

Those who have followed the rapid progress in rock-dusting bituminous-coal mines must admit that opinion crystallized during the year just closed in support of this preventive of coal-dust explosions. Up to 1924 only one mining company in America practiced rock-dusting on a large scale, but during 1924 forty-two companies had adopted this safety measure, and the "boom" is expected to extend over the next two or three years. Alabama is represented by 1 company, Colorado by 3, Illinois by 4, Kentucky by 1, New Mexico by 4, Pennsylvania by 20, Utah by 8, and Wyoming by 1. A total of about 500 miles of entry has been dusted. Illinois leads with 275 miles of dusted entries and Pennsylvania holds second place with about 175 miles. In each case there is a sense of great security, not only on the part of the operator but by the miner as well. It is also interesting to note that during 1924 the compensation rating or inspection bureaus in twelve of our coal-producing states revised their rating schedules so that a credit would be given for rock-dusting. This credit ranges from 10 to 20 cents per $100 payroll. Recent drastic federal and state regulations approved by mine operators made rock-dusting compulsory in bituminous coal mines in Utah, beginning July 1, 1924. Legislative action favorable to rock-dusting may be expected in other states. Colorado has already proposed a change in its laws, and Pennsylvania, Maryland, Washington, and West Virginia are giving the matter consideration. If the rock-dusting problem is handled properly and proves to be entirely successful, no mining man of any standing will delay applying it in his mine. State legislation regarding this matter may or may not solve the problem. At present, the mining companies that are rock-dusting of their own choice are doing it carefully and thoroughly. In Utah, some are doing it conscientiously, trying to get what benefits can be obtained while others are reported to be doing it only to keep within state regulations. In any event, if we are to have new legislation, it is essential that the various states know what they are about and then, if possible, work for uniform regulations.

Jan 1, 1925

By R. H. Migliaccio, M. B. Kahle

The railroad haulage system was started at Kennecott's Bingham Mine in 1906 and has remained a prime mover of ore and waste for the succeeding sixty years. As the stripping ratios increased contract stripping on the upper levels of the mine was introduced employing truck and shovel methods. The ore production then was 90,000 tpd. Analysis of expanding the ore production to 108,000 tpd revealed that the increased ore production and continually rising stripping ratio would result in waste production requirements that exceeded the capacity of the rail haulage system above 6290 level. The advent of larger haulage trucks (65-100 tons) in the early 1960's made available to the Bing- ham Mine economic and operating factors which showed truck haul- age to be the best replacement for rail haulage on the upper levels of the mine. As part of that analysis it was concluded that company stripping would replace the contractor stripping in the top area of the mine.

Jan 7, 1973

By George S. Rice

A problem of possible subsidence of the surface from mining operations, which might have had disastrous results, arose in 1913 at the Brier Hill mine, of the Penn Iron Mining Co., near Norway, Mich., now managed by Pickands, Mather & Co. for the Bethlehem Steel Co. A double track and sidings of the Chicago & North Western Railroad passed over part of the mine, and if subsidence had reached the surface it might have affected the stability of the tracks. The chief purpose of this paper is to record the facts disclosed by investigations of underground movement from 1913 to 1919, when the tracks were moved, and subsequently at intervals, as engineering data of value from mining carried on below the tracks in the steeply pitching lenses. A secondary purpose of this paper is to describe a novel method for determining the rate of speed of upward breaking above the mine excavations. This method was found effective and might be used elsewhere under similar conditions. The mine workings under consideration were developed from the Brier Hill shaft, which was circular, concrete-lined, 14 ft. in diameter and about 900 ft. deep. They extended about 800 ft. westward from the shaft, and nearly parallel to a corresponding length of the railroad tracks. The highest part of these workings was at a depth of 400 ft. below the tracks (Figs. 1 to 12). The mining company had the right to remove the ore, the railroad assuming that the surface would be supported. Finally, without legal controversy, an amicable adjustment was reached as to what should be done to lessen or obviate the hazard of subsidence. Method oF Mining Before the problem became acute, the mining company, to decrease the possibility of subsidence, had been mining the part of the orebody that lay under the tracks by a room-and-pillar system, back-filling with

Jan 1, 1934

By WILKES BARRE

AS PREVIOUSLY announced, the semi-centennial meeting of the Institute is to be held at Wilkes-Barre, Pa., on Sept. 12, 13, 14, and 15. An interesting program of technical sessions and excursions is now being prepared by the Local Committee. At the time of going to press the program had not been completed in sufficient detail to permit its being pub¬lished in this number. The detailed program will be published in the September MINING AND METALLURGY, which will be printed in time to be distributed before the Wilkes-Barre Meeting. It may be said in advance, however, that the Com¬mittee has progressed so far in its work that we are assured of one of the -most notable meetings the Insti¬tute has held and that members will miss a rare .treat if they do not attend. The many trips and excursions, as well as the banquet, will be -given to the members as a compliment from the members of the Local Com¬mittee. . . The paper by Howard Eavenson on the Lynch Plant of -the United States Coal and Coke Co. will be illustrated by lantern slides and moving pictures. One of the most appropriate discussions will be that opened by Prof. J. F. Kemp on the Stratigraphy of the Anthracite Region; this also will be amply illustrated.

Jan 1, 1921

By David A. Keys

Applied geophysics is the youngest child of that old branch of learning that has been known from Aristotle's time as physics—the constitution and laws of nature. The mother science, with the help of mathematics, has given birth to many children, who, on becoming of age in the scientific sense, wedded more practical applications which later became known as electrical engineering, physical chemistry and acoustical engineering. Some vigorous sons still retain the family name, among which the most recent to take its place as a division of science is geophysics, which deals with the physics of the earth. Geophysics in its broad sense has many departments—meteorology, oceanography and seismology, to mention only three. Within the past 20 years, however, a special interest has arisen in the application of physical principles to problems in geology, mining and civil engineering, with the consequent rapid growth of what has now been called "applied geophysics." Applied geophysics in this narrower sense is the application of experimental and theoretical physics to determine variations and discontinuities in underground structures that cannot be ascertained from surface inspection. It seems evident, then, that the physics department is the natural place in a university where the principles and methods involved should be taught and developed, for the physicist will also have had the requisite training in mathematics that the proper understanding of many methods now used will require. A knowledge of the procedure and principles, however, is not sufficient for the successful application of geophysical methods. One may know the dynamics of flight of golf balls and of impact and yet not play a par game of golf! The proper selection and use of the right club to suit the circumstances of the lay of the ball and an acquaintance with the possibilities and limitations of the strokes as well as the practical execution of the play is essential to a successful game. So, also, in the application of geophysical methods, it is important for the geophysicist to use the best device under the conditions presented, to know the limitations of the conclusions deduced from his physical measurements and to make the proper interpretation of the results. A knowledge of geology will be of great aid in coming to the correct con-

Jan 1, 1940

By David A. Keys

Applied geophysics is the youngest child of that old branch of learning that has been known from Aristotle's time as physics—the constitution and laws of nature. The mother science, with the help of mathematics, has given birth to many children, who, on becoming of age in the scientific sense, wedded more practical applications which later became known as electrical engineering, physical chemistry and acoustical engineering. Some vigorous sons still retain the family name, among which the most recent to take its place as a division of science is geophysics, which deals with the physics of the earth. Geophysics in its broad sense has many departments—meteorology, oceanography and seismology, to mention only three. Within the past 20 years, however, a special interest has arisen in the application of physical principles to problems in geology, mining and civil engineering, with the consequent rapid growth of what has now been called "applied geophysics." Applied geophysics in this narrower sense is the application of experimental and theoretical physics to determine variations and discontinuities in underground structures that cannot be ascertained from surface inspection. It seems evident, then, that the physics department is the natural place in a university where the principles and methods involved should be taught and developed, for the physicist will also have had the requisite training in mathematics that the proper understanding of many methods now used will require. A knowledge of the procedure and principles, however, is not sufficient for the successful application of geophysical methods. One may know the dynamics of flight of golf balls and of impact and yet not play a par game of golf! The proper selection and use of the right club to suit the circumstances of the lay of the ball and an acquaintance with the possibilities and limitations of the strokes as well as the practical execution of the play is essential to a successful game. So, also, in the application of geophysical methods, it is important for the geophysicist to use the best device under the conditions presented, to know the limitations of the conclusions deduced from his physical measurements and to make the proper interpretation of the results. A knowledge of geology will be of great aid in coming to the correct con-

Jan 1, 1940

By Rossiter W. Raymond

THE lead-mining industry of Missouri, as of other parts of the Mississippi basin, appears to have been paralyzed by the shock of competition with the mines of the States and Territories further west. It is difficult for establishments working galena ores, too poor in silver to pay for extracting it, to compete with the producers of the argentiferous carbonates of Utah and Colorado, who look upon their lead as a byproduct of little value, and are satisfied if it pays the charges of transportation, or the loss in smelting for silver. But simultaneously with this depression in the lead-mining of the Mississippi States, the development of new zinc deposits has caused a notable revival in the mining of zinc ores. There has recently been a sudden and strong rise in the price of spelter, which, though probably to a large extent temporary in character, has given important encouragement to prospectors and miners. Apart from the general recovery of business in the United States from the prostration of the past six years, the cause of the advance in spelter has been the falling off in production, resulting from the shutting down of several leading Western works,-the Martindale and Carondelet works, at St. Louis, and the Consolidated Company in Kansas. At the same time, the principal works at La Salle, Ill., were undergoing repairs, and produced less than usual, while the sheet-mill of Matthieson & Hegeler, at that place, was running as usual; so that this concern, ordinarily a large producer, entered the already depleted market as a buyer. These causes are in their nature transitory, and it is quite likely that spelter will be superabundant in a few months. Having lately received from a well-informed Missouri corres¬pondent some samples of the zinc ores and a general account of the ore deposits of Southwest Missouri, I have thought that it might interest the Institute to examine these specimens, and to hear such brief statements concerning the region as I am able, upon good authority, though without the aid of any personal investigation on the spot, to give. The zinc-bearing territory in Southwest Missouri appears to be very extensive; that is to say, zinc ores have been mined during the last year at various points throughout a district extending from the eastern edge of Kansas, west of Joplin, to a line some 50 miles east

Jan 1, 1880

By L. R. Mabson, F. M. Russell

INRODUCTION Roan Consolidated Mines Limited (RCM) operates five underground mines - Mufulira, Luanshya, Baluba, Chambeshi and Chibuluma (figure 1) . Associated metallurgical plants provide for the operations of milling, smelting two refineries for copper and a cobalt plant. Primarily a producer of high quality copper (242,000 tonnes during 1980) the Company is also the world's second largest producer of cobalt metal. RCM's remaining ore reserves at 31st March 1980 were 275 million tonnes at 2.84% copper. Monthly ore production is in excess of 1.2 million tonnes. Sublevel open stoping was the choice of mining method for the first underground operations on the Copperbelt for ore with dips steeper than 30 degrees. This was for use at the Roan Antelope mine, subsequently to be called Luanshya mine. The sublevel open stoping system was planned based on the methods used in many of the iron mines of Michigan and New York and in the copper mines of Tennessee. Peterson (Ref. 1) gave the following reasons for employing sublevel stoping, reasons which are still valid today: (1) the working place could always be barred and made safe, and the sublevel exit was always at hand; (2) the working conditions were similar day by day and drilling operations were repetitive; (3) pillar spacing can be varied as conditions demand; and (4) stoping operations could be shut down completely or opened up to full capacity at short notice, without affecting grade or causing wastage of reserves. Such was the success of the method that it was adopted as the basic mining method at all the RCM mines in their initial stages. Although cut and fill, block caving, and sub- level caving methods have been used, sublevel open stoping in its many variants still accounts for nearly 90% of total ore production in the Company. The following descriptions outline some of the applications of sublevel open stoping within RCM. LUANSHYA Geology There are two main ore deposits at Luanshya: the Roan (Luanshya Mining Area), in which mining began in 1930, and Baluba, in which mining production started in 1973 (figure 2). Both orebodies occur in synclinal and variably folded basins. These basins are underlain and completely surrounded by much older schists and granites. The ore formation, an argillite, lies near the base of the sediments and is underlain by conglomerates, quartzites and arkoses. Copper mineralisation is mainly found in two well defined zones, separated by a varying thickness of pyrite mineralisation. In the eastern part of the Roan deposit only the upper orebody is present, but west of 18 shaft and at Baluba the lower orebody predominates. Locally the subjacent quartzites of the footwall formation are also mineralised with copper. The copper mineralisation is found princi- pally as disseminated sulphides, mainly chalcocite, bornite and chalcopyrite. Near the surface the sulphides have been changed to oxides. At Baluba the cobalt mineral carrollite is found with the sulphides. Mining methods Sublevel open stoping is the basic mining method. In its standard form this method is best suited to steeply inclined orebodies, with simple structures and with a strong foot- wall and hangingwall. In recent years, as more complex folding and flatter dipping orebodies have been encountered, considerable variations have been introduced. Stope drilling is effected with drifters and extension steel.

Jan 1, 1981

By A. D. David

The object of this paper is to reduce to the simplest possiblc discussion the recent developments in refinery technology without resorting to detailed technical descriptions of the various items. During the year 1929, the most noteworthy tendencies have been towards the installation of more flexible plants, more unified operations, more balanced performance and greater fuel economy. In no other year in the history of petroleum refining has the industry witnessed to as great a degree the crystallization of so rnany developments in almost every phase of the art. Economic pressure has been the controlling factor, supplemented however by a market demand for more volatile anti-knock gasoline and higher quality of lubricating oils, resulting from the extended use of high-compression motors. Catalytic Hydrogenation Possibly the outstanding achievement during the year has been the beginning of construction of plants by the Standard Oil Co. of New Jersey for the catalytic hydrogenation of the so-called heavier and inferior petroleum oils to produce therefrom not only high yields of anti-knock gasoline, but also lubricating oils equal in quality to the best grades obtainable. It is reported that the plants will operate at a pressure of 4000 lb. or higher and temperatures in excess of 900" F. will be used. The hydrogen required for the conversion will be produced from refinery gases. This type of processing will doubtless be an important factor in balancing future operations; in other words, it can be used to eliminate present waste products and permit production of high-grade products from low-grade crude. Improvements in Lubricating Oils Another important development during the past year has been the extended use of vacuum stills, making possible the production of lubricating oils from what was formerly classed as "fuel-oil crude," or crude from

Jan 1, 1930

By J. E. Elliott

ALTHOUGH the firm in which the writer is a partner is not exactly the pioneer in the coring of rotary-drilled wells in Southern California, it has taken the lead in bringing coring to its present status. To the Shell Company of California belongs the, honor of having first used the core drill in its endeavors to locate subsurface structures west of Santa Fe Springs. Following those operations, similar work was done near Wasco in the San, Joaquin Valley. Results of the latter core drilling were successful, in that they made it possible to determine the under-ground structure. At, about the same time that the Shell Company was doing the work at Wasco, it was experimenting in the use of the core drill in connection with rotary-drilled holes. The oil sands in its dis¬covery well at Signal Hill were located by means of the rotary core drill. In 1921, in view of the trouble that the operators were having in the fields of Southern California, and particularly at Huntington Beach, R. E. Collom, of the State Mining Bureau, called their attention to the possibilities of the core drill for eliminating many of the serious problems that were facing them. It was this same difficulty encountered by the operator in locating the oil sands that caused the writer to enter into con-tract core drilling; late in 1921 the California operators became converted to the advantages of that method, and in the short space of one year core drilling in rotary-drilled holes has risen from a theory to an established practice.

Jan 10, 1923