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By G. W. Toop

"The Cominco smeller in Trail, British Columbia, is a large integrated lead-zinc production facility. In the plant description, emphasis is given to the pyrometallurgical operations including zinc concentrate roasting, lead singer-blast furnace processing and silver refining. Production figures for the main metal products - zinc, lead, silver and gold - are provided.IntroductionIncorporated in 1906, Cominco Ltd. is an integrated natural resource company with principal activities in mining, smelting and refining, mineral exploration, fertilizer production and electrical power generation.Cominco is one of the world's largest producers of zinc and lead, accoW1ting for about 10070 of mine production in the western world. The company also produces and sells copper concentrate, copper sulphate, copper arsenate, sodium antirnonate, silver, gold, cadmium, bismuth, indium, and germanium dioxide and a range of fertilizers and sulphur products.Zinc OperationsRoastingThe roasters currently treat about 1400 t/d of zinc concentrates. Over half of the total concentrate treated originates from the Red Dog Mine in Alaska. During the summer, concentrate is shipped from Alaska to Vancouver where it is loaded into rail cars and hauled inland, transferred to trucks and delivered to Trail. The remainder of the roaster feed is made up of Sullivan concentrate and various custom concentrates. These arrive either by train or by truck.There are three roasters available for roasting the concentrate. The two major roasters are Lurgi fluid bed units. Each Lurgi roaster can process concentrate at about 1:7 tonnes per hour (tlb). A smaller Cominco suspension roaster with a capacity of 10 tlb is also used. The flowsheet for the high temperature section of the fluid bed circuit is shown in Figure 1.Concentrates fed to fluid bed roasting are conditioned with 7 1/min water to give 8% moisture in feed. Two slinger belts throw the mixture into the fluidized bed. The fluid bed roasters are 10.4 m in diameter with a bed depth of 1 m. Grate area is 84 m2• Normal operating conditions include bed temperatures of 930°C to 950°C, fluidizing air at 750 Nm3/min and a wind box pressure of 2000 mm H2O."

Jan 1, 1994

By B. D. H. Knights, M. A. W. Bryson

Flotation of PGM ores, specifically UG-2, presents a number of technical challenges. These centre on the prevalence of chromite. Subject to over-grinding, chromite is primarily recovered to the flotation product through entrainment. This is of unique concern as it must be kept below a threshold for downstream smelting, with significant operational and monetary penalties being imposed should it exceed this concentration. A number of strategies have been developed to maximise PGM recovery in the presence of this unwanted contaminant. Specialised flowsheets form a vital basis and advanced control algorithms further enhance PGM recovery while minimising the recovery of chromite. Advances in Mineral Processing Science and Technology Proceedings of the 48th Annual Conference of Metallurgists of CIM Sudbury, Ontario, Canada Edited by

Jan 1, 2009

By R. Saulters, M. Garshasb

The Transportable Moisture Limit (TML) is the copper concentrate moisture content beyond which liquefaction may occur during shipping. This study indicates that TML is a function of mineralogical characteristics of concentrate, which in turn may directly affect moisture retention properties. A comprehensive mineralogical and chemical analysis was conducted to determine the impact of composition and mineral content on concentrate’s TML. The analysis indicates that the high TML value is associated with particular minerals such as gypsum, swelling clay, muscovite and pyrite. Since higher TML values allow higher moisture contents for shipping, this property is desirable for concentrate inventory management and shipping flexibility. Scarcity of minerals that may increase TML contributes to limitations of shippable inventory. INTRODUCTION TML is the maximum moisture content of copper concentrate beyond which liquefaction may occur. Moisture content above the TML is considered a shipping hazard as it may result in loss of lives and cargo. The details of TML testing are given in ISO 12742:2007 (ISO 12742). In principle, TML is 90% of the Flow Moisture Point. The method of testing for Flow Moisture Point and TML is based on procedures that provide pulsations that simulate the cyclic force of ocean waves to determine moisture levels at which the onset of concentrate flow may occur. International Maritime Organization (IMO) provides guidelines for developing and approving TML testing and moisture determination in the context of its Moisture Management Plan (MMP) for shipment of copper concentrate cargoes (IMO 2013). The IMO regulations are specifically provided in MSC.1/Circ. 1454 “Guidelines for developing and approving procedures for sampling, testing and controlling the moisture content for solid bulk cargoes which may liquefy”. Since each port has its own operational characteristics, resource availability, peculiarities of governmental structure, and desired methods of interaction with the authorities, it is necessary to adopt the IMO guidelines to the local requirements. In order to establish a TML and MMP measurement system, it is required to implement and follow proper guidelines for the relevant procedures. For example, sampling procedures are developed in accordance of ISO 12743, “Copper, lead, zinc, and nickel concentrates – Sampling procedures for determination of metal and moisture content”. Moisture content of copper concentrate samples are determined in accordance with ISO 10251, “Copper, lead, zinc, and nickel concentrates – Determination of mass loss of bulk material on drying”. To assure strict adherence to the MMP procedures, the overall system needs to be integrated into the site QA/QC system, which would make them auditable and certified in accordance with standards such as ISO 9001, ISO 17025, and ISO 17020.

Jan 1, 2019

By Kéiko H. Hattori, Neil T. Pettigrew

"Abstract- The Legris Lake Complex is a northeast-trending, 7.3 km long by 3.5 km wide, maficultramafic intrusive complex located in the western Wabigoon Subprovince of the Archean Superior Province. It is one of a series of mafic-ultramafic igneous complexes, the most notable of which is the Lac des Iles Complex, host to Canada’s only producing Pd mine with reserves of 93.5 Mt grading 1.53 g/t Pd as of December 2001 (North American Palladium Ltd., Annual Report 2001). Cu-Ni- PGE mineralization was first discovered in the Legris Lake Complex by a local prospector late in 1999. Shortly thereafter, the property was jointly optioned by Avalon Ventures Ltd. and Starcore Resources Ltd., who continue to discover significant Cu-Ni-PGE mineralization.One of the most notable features of the Legris Lake Complex is the occurrence of extensive brecciation caused by multiple injections of volatile-rich magma. The Cu-Ni-PGE mineralization is hosted by leucogabbro within a 2 km long by 600 m wide, highly brecciated area in the northwestern area of the Complex. The mineralized rocks contain disseminated to blebby sulfides (1 to 5 vol.%), comprising chalcopyrite + pyrite ± pyrrhotite + millerite ± pentlandite, typically surrounded by epidote. The majority of the Cu-Ni-PGE mineralization displays low ratios of Pt/Pd (~0.20) and high ratios of Cu/Ni (~2.9), which are similar to those of the Lac des Iles and the River Valley mafic-ultramafic complexes. The lithologies in Legris Lake Complex bear similarities to the heterolithic gabbro of the Twilight and Roby Zone deposits at the nearby Lac des Iles mine. However, the mineralization at Legris Lake, which is restricted to leucogabbro overlying unmineralized clinopyroxenite, is similar to that of stratiform deposits such as the Stillwater and Munni Munni complexes. The mineralization at Legris Lake is best explained by the late-stage, immiscible separation of a sulfide melt from volatile-rich parental magmas and the subsequent minor redistribution of metals by deuteric fluids."

Jan 1, 2001

By J. R. del Castillo, J. Ruiz, N. Kuyucak, J. Chavez

Environmental Impact Assessment (EIA) and Feasibility Studies (FS) were carried out to evaluate the potential use of treated acid mine drainage (AMD) occurring at the Kingsmill Tunnel in the Central Andes of Peru. The 11-km long tunnel drains the underground works of the Morococha Mining District and discharges about 1.25 m3/sec of AMD directly into the Yauli River, which is located within the Amazon Basin. The communities living downstream cannot use the Yauli River water due to its low pH and elevated concentrations of metals (e.g., Cu, Zn, Fe, Mn, As, Cd) and sulfate. Studies carried out for this project included technical feasibility, EIA, economic viability and social impact assessment phases. During the "Technical Feasibility" phase, the treated AMD was produced by simulating a high density sludge (HDS) lime neutralization/precipitation process and was evaluated for various potential uses. Mining companies located in Morococha, in particular Centromin Peru S.A., and the Water Works Company of the City of Lima (Sedapal) collaborated with Golder Associates during the studies. The Canadian International Development Agency (CIDA) provided the financial assistance. The results of the physical, chemical, biological and toxicological analyses demonstrated that the treated AMD could be used for supplementing the drinking water supply of Lima and for agricultural (e.g., irrigation and livestock) and recreational purposes. Process design and scale-up parameters were also determined for the implementation of the full-scale treatment facility to the site. The use of the treated AMD as a drinking water supplement would be economically feasible.

Jan 1, 2004

By R. B. Sudderth, A. Quiroz G., M. Torres M., C. Salgado Q., J. Fernández O., H. Bravo P., M. Torres B.

SNF FloMin, Inc. has introduced a complete line of extractants for recovery of various metals. Among them are the CuPRO MEX™ Brand of copper extractants that are based on the well- known 2- hydroxy 5-nonylsalicylaldoxime and 2-hydroxy acetophenoneoxime. This paper presents the laboratory and pilot plant trial results for SNF FloMin’s CuPRO MEX™ 3302 reagent, the equivalent to the wellknown ACORGA® M5640 extractant, and the composition of these reagents are described. Some examples of SNF FloMin’s CuPRO-Sim™ Advanced solvent extraction simulator are presented.

Jan 1, 2014

By Andrew J. Troop

"VAUGHAN THOMPSON designed the Thompson retrievable diamond drill wedge and reaming assembly in 1948. Since 1950, the Hudson Bay Exploration and Development Company, Limited has used the method extensively. The wedge, setting tool, and reamer have been modified slightly since they were first introduced. In 1951, Mr. Thompson designed the Thompson arc cutter. The purpose of this tool is to decrease effectively the diameter of the arc cut, using standard drilling tools. This directional drilling device is usually employed when a branch hole is desired. The Thompson arc cutter has been used with success at Birch Lake, Saskatchewan, at the property of Cuprus Mines, Limited, Manitoba, and at Thompson Lake, Manitoba.UsesThe Thompson retrievable wedge provides a simple method for:(1) Re-drilling lost core sections(2) Re-sampling sections of old holes(3) By-passing lost tools Correcting the direction of a hole(4) Drilling a branch hole to obtain intersections at a higher elevation than the original holePrevious to the spring of 1951, the wedge was used only for the first four of these purposes. Recently it has been employed extensively for drilling branch holes."

Jan 1, 1953

By J. C. Rudolph

"THE TOPIC on which I am speaking this afternoon is ""The Future of the Canadian Oil Industry.'' At the time of C + 100, we should take a searching look at ourselves, an honest appraisal of our achievements and a forthright accounting of our shortcomings as well as the uniquely Canadian aspects of this industry. I would like to put before you some of my views on the direction we are taking in the exploration field and in the production field. I would also like to speak briefly on some of our problems and the role of the various segments of our industry in solving these problems.First of all, let us look at the exploration picture. We are in the midst of an exploration boom. There were 133 seismic crews active in Western Canada this winter, the highest since 1957, land prices are appreciating rapidly, Canadian oil reserves increased + 16 per cent during 1966, there is a great demand for technical personnel of every kind and the whole industry, except the drilling segment, seems to be prospering. This surge of activity has its roots in two major occurrences. The first of these was the change in the pro-ration system in Alberta, the major producing province, accompanied by the change in spacing pat-terns. The proration change was designed primarily to encourage in-creased exploration and it has certainly had this effect. It has also had the unforeseen effect of put-ting everyone into what we, in the oil business, call ""elephant hunting."" In other words, the days of the development of barely economic, marginal fields are over. Oil companies today are only interested in high-reserve, high-productivity, high-quality reservoirs."

Jan 1, 1968

By Zia Pirzada

"Time is of the essence" and "Time is money" These are powerful and true statements during a project life cycle and have far-reaching implications on the success and failure of the project Time and progress management is crucial to the project success. Project delays may increase the cost to an unacceptable level and may render the project as economically unfeasible. On the other hand, if the project is completed on time or earlier than as planned, it may generate economic benefits greater than what had been envisioned To take advantage of the financial opportunities and to improve the cash flow as well as Return On Investment (POI), project schedule can be accelerated to complete the project earlier than planned Project schedule acceleration can be achieved by using analytical tools, such as "Schedule Optimization", "Schedule Reduction", "Schedule Compression" or a combination of any of these concepts along with the "Planning for start up". Schedule optimization does not entail any extra cost, however, other acceleration methods, such as Schedule Reduction and Schedule Compression, may require extra expenditures from the owner. Based on the forecasted early start of the revenue stream, the extra expenditure could become a worthwhile venture with a very high rate of return To accelerate the schedule, all aspects of the project should be reviewed with acceleration costs calculated. All risks and opportunities should be evaluated and taken into consideration to determine if the acceleration is feasible and advisable and will provide definite financial advantages Sometimes schedule acceleration may be desired to prevent the company from paying liquidated damages. This is especially true when the project is not expected to complete on the contractual completion date and when the cost of acceleration is less than the liquidated damages that may accrue against the company.

Oct 1, 2010

By Ken Musgrave

"What Most Effective Management Does?It must satisfy the demands, of three groups of people: owners, employees and the public.OwnersOwners want profitable operations that will pay them a return on their investment, plus operations managed for long life. Many owners are also concerned with employee's well being and their company's public image.EmployeesJob security and a good income are probably still the most important demands, however, as time goes by, employees are also demanding more involvement in safety issues, working conditions, and even how work is done.The PublicThe public requires acceptable environmental standards, as well as enjoying the prosperity supplied by a successful operation.How are Mines Managed?Most mines are managed very traditionally. The basic credo is that the managers make the decisions, and the hourly, and junior salaried employees do what they are told. Clearly this is the extreme case, epitomized by the long service shift boss who might say ""It took twenty-years to become a shift boss, and no miner is going to tell me what to do"" .There are some exceptions, two notable ones being Campbell-Chibougamau, and T.G.S. (now Kidd Creek Mines) which, in very different circumstances, decided on a more participative style.Campbell-Chibougamau, having closed down due to unprofitable operations, reopened, using a team structure with working leaders, and a system for sharing gains against cost targets with employees. Although the system has some problems, and development miners are bonused conventionally, this has been a basically successful program.Texasgulf Sulphur, a company with a history of non-union operations, and a participative management style, made a corporate decision to operate their Kidd Creek Mine in the same way. The orebody was rich enough to allow them the luxury to do this, but they have never had a strike, so perhaps they have more than saved the cost of the benefits and salaries they needed to pay. They also reward employees with a stock distribution scheme based on service and earnings."

Jan 1, 1985

By Bruce W. Downing, Philip G. Claridge

"The availability of environmental data is a major concern in the development of an exploration project through the permitting and feasibility stages. The collection of these data should ideally start very early in a major exploration program. Although a large proportion of the environmental data can also be used for exploration purposes, (e.g. stream-sediment, soil, and rock analyses), environmental sampling will rarely have been initiated at an early date. For the Windy Craggy project, a major environmental concern is the potential for generation of acid rock drainage from waste-rock piles. The project is reviewed with respect to the environment of the deposit, deposit geology, mineralization and reserves, the sequence of exploration activities to the present, the potential for the development of acid rock drainage, the geochemistry and water quality, and the integration of exploration and environmental databases and their application to environmental planning. IntroductionIn the classical sense of exploration of a mineral deposit, the efforts throughout exploration are routinely directed at confirming the existence of the deposit and defining its extent, grade and continuity. Environmental issues are usually tackled separately, possibly by different personnel at a later date. When that is the case, an opportunity is lost to build, from an early date , a comprehensive database that (I) will satisfy the needs of conventional exploration and environmental monitoring, and (2) is usable as a predictive tool for environmental impact assessment.The concept of environmental geochemistry is not complex. The availability of environmental data is a major concern in the development of an exploration project to the feasibility and permitting stages. The collection of data should ideally start very early in any major exploration program. In many cases a significant proportion of the geochemical exploration data gathered early in the life of a project will also be used later for environmental purposes (e.g. stream-sediment, water, soil, and rock analyses). Rarely, however, will the data gathered in a geochemical exploration program provide information as complete as that attainable if environmental objectives had been considered in scoping the work.A knowledge both of local and regional geochemical processes can lead to a better understanding of environmental impacts. This understanding is the basis upon which good environmental management practices may be built. Geddes Resources Limited has undertaken a major study of the natural environment in the Windy Craggy area which includes geology, surface and underground waters, soils, stream sediments, glaciers and geomorphology (Geddes Resources Limited, 1990). This paper deals with the building and integration of the exploration and environmental databases."

Jan 1, 1993

By T. H. Adair

"IntroductionCONTINUOUS casting of ferrous and non-ferrous metals is not a new innovation. Patents describing machines for continuous casting are on file as far back as the year 1842. In the middle of the last century, Sir Henry Bessemer conceived and built a continuous casting• machine for the production of mild steel sheet.The production of billets and slabs of both non-ferrous and ferrous metals is being carried out by the continuous method on a fairly large scale on this continent and abroad. At present, the volume of production of •copper and aluminum and their alloys in billet and slab form is much greater than the continuous casting of steel products. The new installation of a continuous casting unit at Atlas Steels, Limited, is designed primarily for the casting of alloy steel billets and slabs.As an introduction to the art of continuous .casting of metals, it is interesting to examine a few of the many devices which have been developed. As previously mentioned, Sir Henry Bessemer constructed a machine for the direct casting of mild steel sheet. His discoveries and ideas of continuously casting steel formed the foundation for the work of other pioneers in this field, all of whom have contributed to the improvement of this art through the ensuing years. The machines which will be selected for examination are those of Bessemer, Poland-Lindner, Williams, Ennor, and Junghans. The last unit to be discussed will be a modification of the Junghans machine recently installed at Atlas Steels."

Jan 1, 1954

By C. J. Brown

Since its commercialization thirty years ago, the Recoflo® short bed ion exchange process has been extensively utilized for the recovery of a wide variety of acids and metal salts. In addition to a reduction in resin bed height from 200 cm to 300 cm to 15 cm to 60 cm, the process has a number of features such as utilization of fine mesh resins in a compressed bed which together make it ideal for a number of applications. The process has been extensively exploited, for example, in the metal finishing industry for recovery of valuable chemicals from electroplating, anodizing, etching and pickling wastes. More recently, it has also been applied in the primary metals industry for purification of copper electrolytes and metals recovery from leachates. The paper discusses several of these applications and some of the issues that were found to be key to their success.

Jan 1, 2004

By John Mair

The Ilimaussaq Intrusive Complex in south Greenland is a layered alkaline igneous body that is predominantly comprised of agpaitic nepheline syenites. The Complex is now recognized as containing vast resources of uranium in polymetallic ores that are also strongly enriched in rare earth elements (REEs) and zinc. Uranium and REEs are dominantly hosted in phosphate minerals with a minor proportion hosted in zirconium silicate minerals. Equivalent ores are yet to be mined for uranium anywhere in the world; however, studies are well advanced in confirming a process route to economically extract uranium. The Ilimaussaq Complex is considered the world?s type-locality for agpaitic rocks. Formation of the complex is attributed to four successive pulses of magma. The first produced an augite syenite, which now forms a marginal shell. This was followed by intrusion of a sheet of peralkaline granite. The third and fourth stages make up the bulk of the intrusion and are peralkaline to hyper-agpaitic in composition. The third batch of magma differentiated to produce pulaskite, foyaite and naujaite. Stage four produced the kakortokites and lujavrites, which are the units of particular economic significance. Kakortokites are strongly enriched in zirconium, niobium and tantalum, whereas the lujavrites are strongly enriched in uranium, rare earth elements, fluorine and zinc. Lujavrites are vertically zoned with arfvedonsite (black) lujavrites grading downward into aegerine (green) lujavrites. The upper most portions of the black lujavrites contain uranium concentrations of greater than 450 ppm, which decreases toward green lujavrites where uranium concentrations rarely exceeds 200 ppm. Resources defined to date in accordance with the Australian JORC code include 282 M lbs of uranium oxide at a grade of 280 ppm. With scope for several other similar sized resources within complex, the overall potential resource is of immense global significance. Metallurgical studies to date indicate that uranium can be successfully extracted from black lujavrites via an alkaline pressure leach method. This involves selectively leaching uranium with solutions containing carbonate and bicarbonate at elevated temperature and pressure. Uranium can then be recovered by hydrogen reduction to create a uranium oxide product. There is also scope to beneficiate ores as uranium and REE?s are hosted in specific mineral groups. Phosphate minerals can be effectively concentrated by froth floatation and uranium-bearing silicate minerals can be concentrated by gravitational methods. Studies indicate that REEs can be extracted from the residue following the alkaline leach process by a dilute hydrochloric acid wash, with REEs then precipitated in the form of a REE concentrate.

Aug 1, 2010

By Michael L. Free, Zongliang Zhang, Joshua M. Werner

In the copper electrowinning process, short-circuiting between the anodes and the cathodes is a critical problem that changes the current allocation among local electrodes and reduces the current efficiency significantly. Possible reasons for the short-circuiting include the improper alignment of the electrode, bent electrode, and nodules on the cathode surface. In typical tankhouses, there is often a time between shorting and harvesting as well as between shorting and clearing. Therefore, it is inevitable to have short-circuiting affect the operation performance in practical electrowinning operations. However, one key piece of missing data is the actual measurements of the current efficiency as short-circuiting is approached and allowed to continue. Consequently, short-circuiting tests that allow tracking of electrowinning parameters before and after short-circuiting were performed in a laboratory scale Cu electrowinning cell. In the tests, the electrode spacing change, the mass of electrodeposited Cu, the deposition morphology, and the current allocation as well as the current efficiency before and after short-circuiting were studied. Results show that the short- circuiting affects the current allocation and the current efficiency significantly. Moreover, it changes the Cu deposition on the short-circuited cathode and therefore causes problems for Cu electrowinning. INTRODUCTION Electrowinning (EW) is commonly used for copper production around the world, with a rated production from 120,000 to 200,000 tons per year per operation (Wiechmann, Aqueveque, Henríquez, Muñoz, & Morales, 2014). In Cu electrowinning, Cu ions in the electrolyte are reduced on the cathode surface as metallic copper with a DC current, while on the anode, a counter anodic reaction occurs with oxygen gas generation (Werner, Zeng, Free, Zhang, & Cho, 2018; Zhang, Werner, & Free, 2018; Zhang, Werner, & Free, 2018). In copper electrowinning, an average current density of 200 to 400 A/m2 is applied to the electrowinning cell (Wiechmann et al., 2014). As the Cu deposits on the cathode, the distance between anode and cathode reduces and most of the time, short-circuiting forms between some anodes and cathodes in a large tankhouse containing thousands of electrodes, reducing the current efficiency and increasing the energy consumption significantly. The current efficiency in well-run copper EW operations is typically above 90 %. Most of the unused current is wasted through short circuits, stray currents, and by-byproduct formation (Davenport, King, Schlesinger, & Biswas, 2002; Wiechmann, Vidal, Pagliero, & Gonzalez, 2002; Wiechmann, Morales, & Aqueveque, 2010). Usually, in the tankhouse, the short-circuiting increases the current in the involved cathode by up to 1500 A (Wiechmann et al., 2010). Multiple reasons can cause the short-circuiting in the cell, and the most common reasons include the uneven current distribution among cathodes, tilted electrodes, bent electrodes, and nodules formed due to the large deposition roughness. Recognition of this challenge in the Cu electrowinning process has led researchers to perform many investigations on approaches to avoid and reduce the short-circuiting in the cell. A series of research investigations have been conducted to develop and improve a new type of intercell bar for Cu electrowinning (Wiechmann et al., 2002; Wiechmann, Morales, Aqueveque, & Burgos, 2007; Wiechmann, Morales, & Aqueveque, 2009; Wiechmann et al., 2010; Wiechmann et al., 2014). The associated test results show that this new design limits the occurrence and magnitude of short circuits and allows operation at higher current densities. Sandoval, Clayton, Dominguez, Unger, and Robinson (2010) stated several keys to control short circuits, such as maintaining the straightness of the cathode, removing “edge hair” from the cathode starter, and maintaining electrode alignment in the cell. Prengaman and Siegmund (1999) from RSR technologies developed a new Pb-Ca-Sn anode to prevent the anode deformation, thereby reducing the short-circuiting in the Cu electrowinning cell. Although the negative effects of short-circuiting on the Cu electrowinning have been recognized, and various investigations have been conducted to address this issue, the actual measurements of the electrowinning behavior and performance as short-circuiting is approached and allowed to continue are seldom reported. However, in typical tankhouses, there is a time between when shorting occurs and harvesting/clearing are performed. One key factor in determining the harvest time is the frequency of shorting. Consequently, we have performed short-circuiting tests that allow us to track electrowinning parameters before and after short-circuiting.

Jan 1, 2019

By Robert T. McKnight

"Traditional techniques for valuing resource projects companies have been primarily based on discounted cashflow methods (DCF) or by comparison to similar projects with an apparent market capitalization. Many resource projects are really forms of options to invest rather than a future cashflow stream. Employing the DCF method to value a resource project which is really an option to invest, can dramatically underestimate the real value of the project. The analytical tools required to evaluate options, while more complicated than the usual spreadsheets used for DCF, are becoming more easily available and usable by managers. This paper will discuss the background of options valuation and some of the tools which will make it easier for managers to estimate the value of projects and companies which have significant real option values.ResumeBob McKnight is a graduate of the University of British Columbia in Geological Engineering, supplemented by an MBA from Simon Fraser University. Following several years in the oil patch with Cities Service and Brascan, Bob returned to Vancouver in 1979 to work for Wright Engineers. He subsequently went on to work for Cassiar Mining, Getty Resources and Endeavour Financial before joining Pincock Allen & Holt Ltd. in 1998. His experience ranges from exploration to feasibility studies, financial evaluations of mining and oil & gas projects, due diligence, project finance, valuations and mergers and acquisitions. He has extensive international mining experience pertaining to such countries as Chile, Mexico, Uruguay, Thailand, Indonesia, Angola, Papua New Guinea, Kazakhstan.What are Options?Options have been around for centuries. They were familiar to Roman and Phoenician traders who were shipping cargoes from Mediterranean seaports. In the financial world, options are types of contracts that generally include the right, but not the obligation, to buy or sell a share, currency or commodity. The underlying commodity price or share price changes are assumed to be lognormally distributed. In this context, options are of two general types, ""call"" options and ""put"" options. Call options have the characteristic of having the right to buy a tradable commodity or currency at a predetermined price for a specified period of time. For the owner of call options, they become more valuable as the price of the underlying commodity increases. For the seller of call options, these options become an increasing liability as commodity prices rise, since there is the obligation to sell the commodity at a predetermined (perhaps lower-than-market) price. This characteristic of call options recently became high profile with the sharp rise in gold prices last year. The value of gold call options sold by certain producers increased their associated liabilities to the point where margin calls were made."

Jan 1, 2003

By John B. Phillips

The mine is entered by a central vertical shaft, strongly timbered, and containing two compartments-one for the passenger cage, the other for the large skips bringing the ore to the surface. A man-way, for emergencies, is also provided, parallel to the shaft. The cage is a single-deck steel box, carrying about thirty persons; by means of arrangements above and below, it can also hoist and lower materials needed in the workings. Levels are run at intervals of 100 feet. In special cases, where the ore conditions warrant, sub-levels are operated, such as those at 1,113 feet and 1,123 feet (Fig. 7), which are connected by winzes with the 11 th level. One of these was pushed for 40 feet, and then abandoned because it was unprofitable to take up ore of the grade encountered. The ore between levels is removed by stoping. The drifts follow the course of the veins as much as possible, with numerous cross-cuts. Winzes, raises, connections, etc., are blasted out where needed. The main drifts are at least 8 ft. high by about 9 ft. wide. All former narrow drifts had to be widened some time ago, by ruling of the Ontario Department of Mines, to lessen the danger of accidents with cars in the small passages. Accurate plans of the under-ground workings are kept in the office, and extensive surveying is always being done underground to keep the maps up to date, measure the cubical contents of stopes, and so forth. Timber is extensively used in the construction of supports and chutes, and in the sinking of the shaft. Steel and concrete are too ex pensive to compete with timber, which 1s abundant in such sections as have escaped forest tires.

Jan 1, 1926

By David Runnels

The Mount Wright iron are mine and upgrading plant were brought on line in the fall of 1975. The mine is located near the Quebec - Labrador border some six hundred miles northeast of Montreal. This paper describes the crushing, grinding and concentrating facilities at Mount Wright, and some design: criteria used in equipment selection and flow sheet design. Also mentioned are some "asbuilt" modifications. A brief description of the over-all flowsheet is also included. Introduction IN SEPTEMBER 1970, the Quebec Cartier Mining Company started development of the Mount Wright iron ore mine. The estimated are reserve is in excess of 1,000,000 ,000 long tons of concentrates, with an average crude are grade of 31.5% Fe. The run-of-mine ore is crushed, ground and concentrated to a product having 66% Fe and 5% silica at an annual concentrate production r ate of 18.4 million long tons. The daily production rate of over 50,000 long tons of concentrate necessitates a daily mine output of approximately 250,000 long tons of material, of which 50% is waste.

Jan 1, 1977

Barrick Gold Corporation is the gold industry leader, with 25 operating mines and a pipeline of large, long-life projects located across five continents, in addition to large land positions on some of the most prolific mineral districts. Barrick's high level of commitment to sustainable economic development and environmental stewardship was recognized by Dow Jones Sustainability Index (DJSI) - World, for the third consecutive year in 2010. The potential for adverse environmental effects from acid rock drainage (ARD) and metals leaching (ML) and their financial implications for Barrick are key considerations in our environmental assessment and business development processes. Barrick's membership in the International Network for Acid Prevention (INAP) reflects the importance of these issues to our business. INAP's development of the Global Acid Rock Drainage (GARD) Guide (a best practices guide for acid rock drainage prevention) provides Barrick with an important tool to assist in the assessment of environmental and financial risks from ARD and ML associated with our planned and ongoing mining operations (INAP, 2009). In this paper we will discuss how Barrick incorporates the GARDGuide and its principles for ARD and ML prediction and prevention in our business development processes and the management of our operations. The GARDGuide serves as a key reference for our project environmental assessments and as a common link between our projects and operations management, consulting specialists, permitting and regulatory authorities and the public. We will discuss how the GARDGuide is being "syndicated" throughout Barrick as a standard of practice and present a case study of how it was used in a recent Barrick Business Development Project.

Jan 1, 2011

By Yve Fourmanoit

"This paper discusses the exploitation of shallow underground deposits in a very altered geological environment. The methods, their adaptation to local conditions, their evolution, dilution control and recovery of mineral reserves will all be dealt with.The recovery of the B zone crown pillar under 40 m of till that was originally saturated with water, is of particular interest.Future underground development and production start-up of the A-2 zone, organization of mining operations, mechanical services, group incentives and safety practices will also be given.IntroductionThe underground deposit of B zone is not very deep. A 300 m shaft provides access to the mine. In addition , exploitation sublevels are developed every 20 m and are linked by a service ramp. The overburden located on top of the deposit is 40 m thick and is composed of a very dense till.A detailed work plan was initiated to permit mining under the overburden. To do so, it was imperative that efficient methods be developed. At a time when an accident at the Belmoral Mine shook the mining world , it was a task to convince provincial authorities that it was safe.While B zone was being mined , development began in the A-2 zone deposit which has recently been put into production (Figs. 1 and 2).The intention of this paper is to provide an outline of the mining method s and their particular aspects. To do so, some of the mine services are described and a brief outline of the under ground department is provided."

Jan 1, 1990