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By C. M. Campbell

In his report on the Coal Resources of Southern Vancouver Island, Mr. J. D. MacKenzie stated that: "For various reasons it has been imagined that the coal deposits of Vancouver Island are extremely large and readily available." "Unfortunately," he added, "neither of these assumptions is correct." The chief disability under which the Island mines now labor does not concern the extent of the deposits. There is ample coal for the present demand. It does, however, concern the availability of the coal. If it were readily available the fuel-oil competition would not be serious and there would be no competition with Alberta, American, Welsh, or Australian coal along the Pacific Coast, for Vancouver Island coal could be produced at a price that would cut out all competition. The outstanding operating difficulty common to all Island mines is the extreme irregularity of the coal seams. To most people a coal seam is synonymous with uniformity, and in most coal seams a condition found at one point will be repeated at other points in the same seam throughout the basin. The accompanying drawings show how very far this is from being true in the Cassidy mine, which, in many respects, is typical of Vancouver Island mines. Figure I is a plan covering about 160 acres of the Douglas seam, the only workable seam in this part of the district. The area shown represents what has been the best producing part of the mine and indicates the very large percentage of the seam where the coal is either entirely lacking or so small in amount that it cannot be profitably recovered.

Jan 1, 1924

By John Porritt, Alain Dorval

"TioMin Resources Inc. is evaluating the feasibility of exploiting the heavy mineral sands deposit at Natashquan on the north shore of the Gulf of St-Lawrence, Quebec. TioMin holds the exploration rights to 180 square kilometres, on which 1.6 billion tonnes of sands grading approximately 6% heavy minerals were outlined. The heavy minerals of value include magnetite, ilmenite/hematite, garnet, and zircon. An important part of this evaluation is the development and testing of a mineral separation flowsheet. Under a comprehensive mandate from TioMin, the Centre de recherches minerales (CRM) provided technical assistance to build and operate an on site primary concentrator pilot plant. This plant produced a 93 tonne concentrate, providing over 60 % heavy minerals. This concentrate was shipped to the CRM pilot plant in Quebec City. It was used for further flowsheet testing and for preparation of products and concentrates of heavy minerals with regard to marketing possibilities. This paper presents the flowsheet developed to produce these concentrates.IntroductionIn late 1992, an 11 tonne bulk sample of sand was collected from within the mineralized zone of the Natashquan deposit. This sample was processed over conventional spirals and wet tables at the pilot plant facilities of the Centre de recherches minerales (CRM) in Quebec City. A primary concentrate was produced, from which several 20 kg samples were forwarded to five research laboratories in North America and in Australia. Their tasks were to determine the mineralogical composition of this concentrate and the potential for recovery of marketable minerals from the heavy mineral sands. Satisfactory results obtained from this approach encouraged TioMin to proceed with a more detailed pilot plant program."

Jan 1, 1995

By T. Holmes

Investigations reveal that the throughput difference between a perfect production day and the average is often on the order of 40%, and that bulk solids handling system deficiencies are the largest (>50%) class of lost opportunities. Root causes for underperformance of elements in material handling systems can often be traced back to the detailed design and even study-stage oversights. To reduce or eliminate bulk solids handling problems in an existing system requires an analysis of troublesome handling equipment – for example, a concentrate transfer chute that experiences plugging, poor flow to the furnace, unacceptable dust generation, and spillage. These problems often lead to significant maintenance costs related to downtime and personnel time. Understanding the cause and cost of flow issues is the first step in troubleshooting the problem. Next, measuring the material’s flow properties is critical to providing design data required to develop a comprehensive scientific solution. In the case of a new installation, the design data is required to properly design the system right first time and prevent flow problems from occurring so that the new equipment works correctly from start-up. This paper highlights the cost of material handling problems and discusses the best approach to evaluate material handling system deficiencies. A case study is given of how Anglo American's operation in Barro Alto Brazil enjoyed a 5-month payback from a bulk solid transfer chute debottleneck project. INTRODUCTION When operating a plant or designing a greenfield or brownfield operation, the intent is to have perfect production days (PPD) each and every day. Money is made by moving material through the plant in a controlled manner to produce the desired product. Mining operations and copper concentration processes are at the most basic level a practice in bulk solids handling (BSH). Unfortunately, many of the project planning steps are overlooked, particularly related to BSH. Investigations reveal that the throughput difference between a PPD and the actual average is often on the order of 40%, and that BSH system deficiencies are the largest (>50%) class of lost opportunities (Wellwood, 2017). Root causes for underperformance of elements in material handling systems can often be traced back to the detailed design and even study-stage oversights. BSH issues are essentially baked into the fabricated plant and left to operations to accept the deficiencies and deal with them for the life of the mine. These deficiencies then become part of the normal operation of the mine and plant.

Jan 1, 2019

By R. Bruce Graham

"For the purpose of this paper, the Chibougamau area is taken as lying between lats. 49°20’ and 50°10’ N;-longs. 73°45’ and 75°30’ W. It comprises an area of some 4,000 square miles and is centred 300 miles north of Montreal.The first recorded report of metal deposits in Chibougamau was that of James Richardson in 1870-71 (I). In 1903 discoveries of asbestos, copper, iron, and gold made by Peter McKenzie stimulated considerable activity in the district. By 1909 interest had become so marked that considerable pressure was brought to bear on the Quebec Government to build a rail-way into the region. It was finally decided to have an authoritative opinion on its economic possibilities, and the Chibougamau Commission was appointed for this purpose (2). They examined the district in 1910 and concluded that at that time a railway was not warranted. Nevertheless, the district continued to be prospected and from time to· time gold and copper discoveries were made. Thus the Merrill Island deposit was discovered in 1920, the Campbell Chibougamau Cedar Bay deposit in 1922, Obalski in 1928, Opemiska Copper in 1929, and Norbeau in 1930.Difficulty of transportation was a severe detriment to the development of the region. Consequently the Quebec Department of Mines completed a road into Chibougamau in 1949. Further activity was encouraged. The Chibougamau Explorers, Quebec Chibougamau Goldfields, and Kayrand deposits were found in 1950. ** The copper-siderite zones on Copper Cliff ground were found in 1952 and 1953. Opemiska Copper, Campbell Chibougamau Mines, and Chibougamau Explorers were encouraged to prepare for production following favourable exploration results."

Jan 1, 1949

By Gordon MacVean

The object of this paper is to present for your consideration some of the present-day trends of safety practice in the coal mines in the United States and Canada. Coal mining at its best is a hazardous occupation. Men must be experienced miners in order to appreciate the existing hazards and must remain ever conscious of them if they are to work safely. The question is often asked whether our efforts for increased safety are showing results. So often it appears that strides are made for a period of a few years in the reduction of fatalities and lost-time accidents only to have all ground lost by an unfortunate year, after which progress is commenced again only to have a repetition of the same thing. Table No. 1 is an answer to this question. It shows the fatality rates over the last two decades in the coal mines of the United States and Canada. These are given in divisions of five years. The general trend is noticeably downward, exceptions being due to explosions or disasters which claimed an unusually heavy toll of life. These last are certainly not as common today as they have been in the past. It is only reasonable to suppose that this trend towards a lower fatality rate is the result of well directed safety effort. Reliable statistical organizations have offered figures to the effect that only 15 per cent of all accidents can be eliminated by the use of mechanical safeguards. The state of mind of the man involved, or his attitude towards safety, commonly called 'safety-consciousness,' is the controlling factor in the prevention of 85 per cent of our accidents.

Jan 1, 1931

By T. B. Williams

A SEARCH of the records indicates that evidences of accumulations of petroleum and natural gas within the boundaries of British Columbia were discovered at approximately the same time as were those of Alberta. They probably would have been developed as soon bad it not been for the fact that they are in such uninhabited parts of the Province. Even today, the seeps of the Flathead area, and the later discovered extensive seeps of the Peace River area, have been seen by very few people. From the geological evidence, there is reason for believing that British Columbia soon will be a petroleum producing Province. Fifty-eight operators, both companies and individuals, are now backing the money and the effort which they have invested with us, for the most part within the last three years, in a belief that this is so. The promulgation of the Petroleum and Natural Gas Act in 1947 marked the beginning of a new phase with regard to the exploration and the development of our petroleum and natural gas resources. Since August 15th, 1947, the date on which the Act came into force, the area under exploration bas increased from a few thousand acres, held by lease under the Goal and Petroleum Act, 1986, to 10,460,115 acres, including all active permits, licences, and leases. In addition there are 192,720 acres under application, bringing the total under issue and application to 10,652,835 acres. The total area is comprised of 105 permits, 20 licences, and 26 leases under the 1986 Act. The permits and licences, which ?represent active exploration and development, are held by a total of 82 companies and 26 individuals.

Jan 1, 1951

By Jean Vavrek, Rob Barber

"What is CIM’s role on a planet-wide scale?That question has been coming back to the forefront of many discussions regularly in the months since we came on board as Executive Director and Vice- President International. CIM, by its name and by the nature of its history and make up, has mainly been a Canadian entity. It has been created by an act of Canadian Parliament and it is set up to work within the Canadian federal and provincial framework.Yet the name CIM is one well known and recognized for quality and professionalism worldwide. One could say that CIM has established a level of brand recognition that transcends it name and its origin. CIM has also evolved with the times, as the world has evolved and more so as the world of mining has evolved. So we stand today with a fairly large portion of our membership residing outside Canada and outside the United States. We also stand today looking back at the role CIM has played in events that we have been partners in organizing outside Canada; and for a long time CIM has provided insights into what is going on in the rest of the mining world by inviting authors and by featuring topics from around the globe.Today, Canada is still a leader in the mining industry. Canadian mining companies are involved in exploration and operations around the world. Canadian operations serve a good portion of the global demand of many metals and minerals, recently adding diamonds to the slate. Canadian expertise in various areas also makes Canada a good base for exporting a wide range of products and services around the world."

Jan 1, 2004

By Liguang Wang

The froth phase in flotation has received much less attention than the pulp phase despite the fact that froth stability plays an important role in determining flotation performance. Froth stability is largely determined by the stability of thin foam films, which in turn has a strong correlation with the critical rupture thickness (Hcr) of the films. In the present work, a new approach to predicting the Hcr values of thin foam films in flotation froth phase was proposed and examined. The Hcr values were calculated using an advanced capillary wave model with input parameters being surface tension, film radius, capillary suction pressure, and intersurface force. The intersurface force was estimated by using the Stefan-Reynolds lubrication approximation to fit the measured thinning rates of single foam films formed in a Scheludko ring cell, where the film radii were less than 50 microns and were kept constant during the film-thinning process. A comparison between the predicted and experimental Hcr values was made for the films with the use of sodium chloride as background electrolyte and in the presence of various frothing reagents such as methyl isobutyl carbinol (MIBC), polypropylene glycol with an average molecular weight of 400 (PPG400), and sodium dodecyl sulphate (SDS), at different concentrations and film radii. It was found that the model correctly predicted the trends of Hcr-versus-concentration and Hcr-versus-film radius curves. Moreover, the predicted Hcr values matched well with the experimental ones of the foam films containing either SDS or PPG400. For the foam films containing MIBC, however, the model overpredicted the Hcr values. The reason for this discrepancy was discussed.

Jan 1, 2016

By Anthony McDonald, Dominic Verhelst

"Hudson Bay Mining and Smelting Co. Ltd. (HBM&S) started up a zinc plant and smelter in late 1930, employing technology of that period. The zinc plant has since converted from a roast/leach operation to a two stage pressure leach operation to eliminate sulphur dioxide emissioms. The smelter, however, is still continuing with much of the original roaster/reverberatory furnace technology. This paper reviews the process flow of the copper smelter, with some comments on past and recent changes.Smelter FlowsheetPrior to July 1993, the HBM&S smelter operation consisted of seven areas, namely feed preparation, roasters, reverberatory furnace, converters, anode casting, fuming plant, and dust collection. A simplified smelter flowsheet is shown in Figure 1. The data for tonnage of materials moving through the circuit are presented in Tables I to 4, and are representative of the time period from July 1992 to June 1993. A change in the zinc plant technology in 1993 resulted in the elimination of a zinc-bearing sulphide leach residue from the smelter feed blend, thereby greatly reducing the zinc content of slag produced in the smelter. Consequently the fuming plant and ancillary equipment, such as the drying plant, were shut down. These areas will, however, be described. With the closure of the zinc fuming furnaces all the slag from the reverberatory furnace is now discarded to stockpile.The over-all smelter metal recoveries are 96% for Cu and rn.5010 for Au and Ag. Figures 2 and 4 indicate historical production numbers of copper, silver and gold, respectively. A review of the minor element distribution in the smelter can be found elsewhere."

Jan 1, 1994

By M. Phylli Bray

"Mining has the reputation of being a very ""macho"" industry. Recently, wider educational opportunities for women in nontraditional occupations and changes in mine technology have combined to make mining a viable career choice for women also. To benefit from this new resource, the mining industry faces the challenge of developing a different work environment from the one now burdened with sexism. Management supported initiatives are needed to facilitate such a transformation. The same rethinking of gender attitudes might also be extended to mining women in their traditional role as ""wife of"". The assumption that the male worker's wife is an unpaid adjunct is being questioned. It is suggested that women's separate concerns both as helpmate and as part of the mining workforce should be considered when planning for mining into the 21st century.IntroductionI must confess that, during the preparation of this paper, there have been many moments when I questioned my temerity. After all, I am not male, I am not an engineer, and I have never had a position in mine management. But as the wife of a mining engineer and a long-time resident of Northern Ontario mining towns, I do have an interest in the mining industry. This interest has had little to do with the technical and management aspects of the industry. Instead my research has been concerned with the impact the mining industry has on the people involved, particularly women, whether directly as employees or indirectly as wives. As I look toward the 21st century, I believe that the whole question of gender relations in the mining industry is one of the critical management issues smouldering below the surface."

Jan 1, 1995

By J. H. Archibald

"This paper describes the use of vector analysis for determining the intersection of mineral deposit veins. The mathematical evolution of the analysis is outlined.IntroductionMany mineral deposits can be characterized by sets of intersecting veins. Often a vein will have a steep dip and may intersect with another similar vein. Finding the intersections of these veins is usually done by graphical means. Structural geologists, by the methods of descriptive geometry, can usual ly predict where intersections of veins will occur. This method normally requires accurate drafting and layout of the problem and does not always lend itself to solution in the field.Another method for solving this problem involves the use of vector analysis, which is easily adapted to hand-held programmable calculators. It is assumed at the outset that the reader is familiar with the dot and cross products used in vector analysis. Two excellent references are cited at the end of this note for convenience.A plane, in general, is defined by three points. The points of interest here are the points where three vertical drillholes penetrate the vein, or plane, in question. The elevations of these three points are best referred to sea level. This requires knowing the elevation of the collar of the drillhole above sea level and the drillhole depth from the collar to the vein. The elevation of the intersection point is then found by subtracting the hole depth from the collar elevation. These three points now define the plane of the vein. A similar set of three points will define a second vein, and it is our object to show analytically their intersection if it exists."

Jan 1, 1983

By M. S. Moats, F. Elnathan

"The effect of current reversal on two commercially manufactured electrodes (RuO2-TiO2 and IrO2-Ta2O5 coated Ti) in a chloride bearing electrolyte was evaluated. Accelerated lifetimes were found to decrease with increasing current density and increasing reversal frequency. Ru: Ti coated electrodes exhibited longer lifetimes than Ir: Ta coated electrodes even though they had one-third as much precious metal content. Chloride concentration did not affect lifetime in the range examined. Using energy dispersive X-ray spectroscopy (EDS), scanning electron microscopy (SEM) and electrochemical impedance spectroscopy (EIS), the failure mode of the electrodes was determined to be coating dissolution leading ultimately to passivation by the presumed growth of a highly resistive oxide at the coating/substrate interface.INTRODUCTIONCatalytic titanium anodes (CTAs) were developed in the 1960’s to replace graphite anodes in chlor-alkali cells. CTAs exhibited much better dimensional stability than graphite leading to lower operating potentials by promoting smaller electrode gaps and better operational efficiencies as they had to be replaced less often. CTAs are simply Ti substrates coated with precious metal oxides (such as IrO2 and RuO2) mixed with other components (such as TiO2 and TasO5) (Trasatti, 2000).CTAs are used in many other electrochemical industries, including water disinfection, wastewater treatment, cathodic protection and metal plating. RuO2 based coatings are typically used for chlorine evolution. IrO2 based coatings are for the most part utilized for oxygen evolution (Comninellis & Nerini, 1991; Forti, Olive, & De Andrade, 2001; Kotz, Stucki & Carcer, 1991; Trasatti & Lodi, 1981)"

Jan 1, 2016

By Ros Taplin

Realizing the potential of cutting greenhouse gases (GHGs) associated with mining, a variety of approaches has been proposed for their mitigation. The Clean Development Mechanism (CDM) under the Kyoto Protocol to the UN Framework Convention on Climate Change (UNFCCC) has been a key mechanism to assist in implementation of mitigation measures. The objectives of CDM are not only to assist Annex I countries in meeting their GHG emissions reduction targets with cost-effective reduction but also to achieve sustainable development in non-Annex I countries. However, apart from China, India, Brazil and Mexico, many developing countries are still in the stages of formulation or realizing CDM strategies. Projects associated with methane capture and flaring are the fourth most prevalent type of CDM project internationally. This research primarily has addressed emissions abatement and sustainable development aims and effectiveness of registered CDM projects associated with coal mining in China. The paper reviews 30 currently registered CDM projects in China on the UNFCCC database and six other non- Chinese projects. Systematic evaluation involving content analysis of documentary evidence regarding coal mining CDM projects is presented in relation to firstly, quantitative reduction of GHG emissions and secondly, sustainable development outcomes. The projects have been assessed via a set sustainability criteria. Overall it was found that sustainable development goals are only briefly referred to in Project Design Documents, Letter of Approvals and validation documents. Varying types of sustainability initiatives have been implemented with weak to strong indications of effectiveness. This has implications for the future effectiveness of CDM projects in the mining sector, the proposed new market mechanism under UNFCCC, and for assessment of projects under mechanisms established outside the UNFCCC.

Aug 1, 2013

By Robert B. Parsons

"Several recent cases indicate that the Courts may be leaning toward a more favourable treatment of mine closing and related costs. In this article, we look at two recent cases, Burnco Industries Ltd. and Nomad Sand & Gravel Ltd. The former was heard before the Federal Court - Trial Division and the latter before the Tax Review Board.It appears that in certain situations mining companies may now be able to sustain current deductibility of estimated mine closing costs during the productive years of the mine, rather than waiting until either the date on which mining ceases or the reclamation and similar activities commence. This would be of great benefit to the mining industry, as waiting until the bitter end often means that there are no revenues available against which the expenses may be offset and, hence, no tax relief.IntroductionUnder the Income Tax Act in Canada, taxpayers are not permitted any deductions in respect of an outlay or expense in determining income from a business or property, except to the extent that such expenditures are made or incurred by the taxpayer for the purpose of gaining or producing income. In addition, no deductions are permitted for amounts transferred or credited to a reserve, contingent account or sinking fund except as expressly permitted by the Act.In large measure, these provisions are relevant to the mining industry to the extent that they determine the periods during which expenses may be charged against revenues for income tax purposes. Several recent cases have indicated that the Courts are leaning toward a more favourable treatment of accrued costs in the mining industry than was previously considered to be the case."

Jan 1, 1982

"Batch flotation testwork demonstrated that a low-grade chromite ore from Bird River, Manitoba, was best floated at pH 2 using Armac C (coco amine acetate) collector and sulphuric acid as pH modifier. A grind of 100% minus 150 um was necessary for liberation, and flotation selectivity was greatly enhanced by prior desliming. A concentrate analyzing 24.2% Cr203 with a recovery of 90.2% was obtained, after three cleaning stages, from ore grading 6.05% Cr203. Total rougher collector concentration was 500 g/t and cleaner collector concentration 380 g/t. Similar grade and recovery were obtained during the pitot-plant evalualion, when a concentrate analy zing 22.3% Cr203 with a recovery of 93% (based on deslimed feed) was obtained for a total collector addition of 630 g/t.Selective flotation in a region of positive surf ace charge implies anionic activation, and a possible flotation mechanism is suggested.IntroductionIn an earlier study(1) of the beneficiation of chromite ore from Bird River, Manitoba, several methods of beneficiation were explored. These included ore sorting, heavy-media separation, and gravity concentration with flotation using Armac C (coco amine acetate) collector at pH 2, and sulphuric acid as pH modifier. Because flotation was not fully evaluated, a laboratory study was undertaken to determine the optimum parameters of chromite flotation. Optimization of parameters was established first on a laboratory scale followed by confirmation a t the pilot -plant level. Flotation of chromite using Armac C and sulphuric acid as a pH modifier has been reported as being selective for low-grade chromite ores(2)."

Jan 1, 1990

By Esteban M. Domic

"T.L. Leaching ProcessCommercial PerformanceSociedad Minera Pudahuel Ltda. (SMP) has been innovating in the copper producing field with the commercial application of the Thin Layer (T .L.) leaching process in its two operating division s: Lo Aguirre and La Cascada. Since November 1980, SMP' s Lo Aguirre Division has been producing high-purity copper cathodes at a nominal rate of about 16,500 metric tonnes / year, by mean s of the new route of T.L. leaching, followed by solvent extraction and electrowinning (TLlSX/EW). This has been the first commercial application on T .L. technology in the world, and the only commercial application in Chile for solvent extraction and electrowinning.By mid -1980, SMP acquired Sagasca Mining Co., renaming it as La Cascad a Division. The existing vat leaching facilities were modified to apply T.L. in the same old vats. The existing scrap iron cementation recovery circuit was kept running for the continuing production of copper precipitates. The modifications in the leaching circuit allowed shorter treatment cycles with a lower acid consumption and consequently, copper product ion increased from a previous historical high of 12,000-13,000 metric tonnes /year to a new level of about 22,000 metric tonnes/ year . These changes have been in operation since March 1981.T.L. Leaching commercial performance, both at Lo Aguirre (TL / SX /EW) and at La Cascada (TL/cementation), has been presented in several recent publications. Real operating parameters and process requirement s were reviewed in detail. A breakdown for TL / SX/ EW economics was also published based on Lo Aguirre' s performance during 1982(41."

Jan 1, 1986

By Robert B. Parsons

"It is generally felt that flow-through shares face a bleak future under the set of tax rules proposed in the federal government's tax reform white paper. Industry and government circles are beginning to give thought to alternatives to flow through as a mechanism for facilitating equity financing in the exploration industry. Despite suggestions that grants and tax credits may someday be on the table, industry is sticking to its position that there is no substitute for flow-through. Alternatives toFlow-throughProposals in the federal government's tax reform white paper have cast significant doubt on the ability of the mining industry to raise risk capital after 1989by way of flow-through shares. There is serious concern that introduction of the ""cumulative net investment loss"" (CNIL) rules, the phase-out of the mining explorati0! 1 depletion allowance (MEDA), and the Increased capital gains inclusion (750/0 versus 50%, at present) will make the economics of flow-through so unattractive after 1989 that these shares will hold little appeal to most investors. The question might be raised, then, as to what alternatives exist by way of tax or other government assistance that could help the exploration sector.The purpose of this paper is to survey the types of government incentives that could be of some value to explorationists and to the mining industry in general. For the past several years, flow-through has been in the spotlight insofar as incentives to the exploration industry are concerned. Other potentially useful and attractive incentives have been partially hidden in the shadow of flow-through. These incentives, in certain circumstances, can be of considerable benefit, and should not be ignored."

Jan 1, 1988

By Gordon Sparks, Lyle Kajner

"An often over-looked component in the assessed value of a mining property is the value derived from the ability of the operator to limit financial losses during adverse economic times (i.e. low market price, high energy prices, etc.) by suspending operations. Overlooking the value of this type of operating flexibility when conducting mine investment analysis may negatively bias the risk profile for the investment by over estimating the investment's downside potential, thereby effectively undervaluing the investment. This paper illustrates the nature of the value of operating flexibility and discusses how it may be explicitly quantified within the context of conducting stochastic mine investment analysis. IntroductionMining properties are evaluated using an array of techniques ranging from simplistic non-discounted payback calculation s to sophisticated, discounted-stochastic simulation. Stochastic simulation analysis is perhaps the most robust mine investment analysis technique as it not only provides an estimate of the expected value of the property, but also quantifies the associated risks (for examples of stochastic mine investment analysis, see: Billingsley and Yaychuk, 1986; Gentry and O'Neil, 1984; Munro, 1977; or Harris, 1970).The quantification of risk is important as it provides the necessary yardstick required to allocate the corporation's resources efficiently. Resources are said to be allocated efficiently when the corporation's expected long-term financial reward is maximized while at the same time minimizing its risk (see Hertz, 1968; or Markowitz, 1952 for in depth discussions on efficiency as it relates to investment policy). The efficient allocation of resources should be the objective of any rational corporation. Therefore, rational corporations should employ stochastic evaluation techniques when screening their investments."

Jan 1, 1992

By D. A. Riva

"The Line Creek Project is located in southeastern British Columbia, approximately 25 kilometres north of Sparwood. The design is to produce a total of2.7 million tonnes of coal annually. This is made up of1.4million tonnes of thermal coal and 1.3 million tonnes of metallurgical coal.Construction commenced in the spring of 1980 and mining operations began in July 1981. The thermal processing plant, maintenance and dry facilities, as well as extensive road and bridge construction, were completed in early 1982. A collective agreement was signed with the International Union of Operating Engineers, Local 115, in June 1981.The first unit train left Line Creek on February 18, 1982 with a load of thermal coal bound for the Ssangyong Corporation in Southern Korea. It was the start of a ten-year contract to supply 350,000 tonnes annually to fire their cement kilns. Additional contracts for 750,000 tonnes will fuel the boilers of Korea Electric Company's San Chon Po and Go-Jeong power stations. Metallurgical coal shipments are scheduled to leave the Roberts Bank port in Vancouver in April 1983.Tracking an introductory presentation given at the 1981 CIM Annual General Meeting in Calgary, this paper highlights the salient developments by which ""The Line Creek Project"" has progressed during the past year to the"" Line Creek Operation"". Line Creek has com e on stream as scheduled and will meet all contractual commitments pertaining to timing, volumes and quality for thermal coal. The first train load left the plant in mid-February, and the first boat load to Korea departed Roberts Bank in mid-April. Metallurgical coal deliveries will commence in April 1983."

Jan 1, 1982

By L. D. Smith

"Those who submit competing proposals for projects seek to present senior management with complete and fully supported material that will not fail under questioning. Hopefully, misleading notions and omissions will have been minimized and there will have been testing of the assumptions regarding the economic, social and political environments.A capital project evaluation team can do management and itself a service by including a sound approach to the impact of inflation (and its twin problem, interest) on a project and a great disservice with an inappropriate approach to inflation.InflationHandled deftly, inflation can alter a project evaluation to show almost any result the handler desires. It must be a constant source of frustration for design people and cost estimators to spend weeks perfecting the technical aspects of a project in order to minimize costs, only to have all of their efforts set awash in a sea of financial and economic assumptions that submerge all of the detail. In all of this, inflation is perhaps the largest offender, with inflation criteria often being brought to bear at the last minute, almost as an afterthought. Perhaps this tardiness reflects the difficulty of the subject and the belief that senior management will take its own approach to the problems of inflation. Such a belief is unfair to senior management, for it is entitled to not being misled by omission. It is entitled to the full use of the skills of the evaluating team, including reasonable assumptions of the impact of inflation.Working in a consulting context, one has the opportunity to participate in the evaluation of a large number of projects."

Jan 1, 1990