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By Armine F. Banfield

The Purpose of the Paper It is fitting that the first paper of a session on the Financial Aspects of Mining should be on the basic data upon which any financial discussion of a mining project must be based. The history of a mining project starts with exploration in an area considered geologically favorable for mineralization and culminates in the discovery of a body of valuable mineral material commonly known as a mineral deposit. Subsequently more detailed exploration establishes the approximate size, shape, tonnage and average grade of the deposit by surface and/or underground drilling, -surface trenching and/or underground workings. Some preliminary metallurgical testing and other studies, as required, are made at this time. Development work is then carried out to provide representative samples for determining flowsheet and metallurgical balances, preparing the deposit for production and establishing more firmly the grade and mining characteristics of the deposit. A feasibility study is then made of the engineering aspects of the project including the estimation of operating coats, the capital required to place the deposit into production, profit and return on investment. A valuation of the deposit

Jan 1, 1972

By George J. Saulnier

The U.S. Geological Survey has developed mathematical-modeling techniques to assess potential impacts on the hydrologic system resulting from mining of coal and oil shale in northwestern Colorado. Potential impacts of oil-shale mining on ground-water hydrology have been simulated using a quasi-three- dimensional finite-difference model. The model has been used to simulate hypothetical mine-dewatering operations at two proposed oil-shale mines. Dissolved-solids distribution and solute transport were simulated with a three- dimensional finite-difference model that was used to evaluate the effects of flooding in hypothetical abandoned mines. The potential impacts of coal and oil-shale mining on watersheds were investigated using a digital watershed model. This deterministic physical- process model predicts responses of the hydrologic system to modifications resulting from mining in basins having snow as the major source of runoff and recharge. Potential impacts of coal development on surface-water quality were investigated using a river-quality assessment model.

Jan 1, 1979

By John C. Brower

The purpose of this paper is to examine the Gays in which- the policies of the U.S. government, mining companies and third world countries affect each other with regard to the availability of minerals. The interaction involves U.S. policy towards the mining industry, the policies of the companies themselves, and the policies of third world countries towards the U.S. and multinational companies. It is assumed in this discussion that U.S. policy will continue to be to seek certain minerals from abroad rather than attempt to develop domestic sources for all its requirements. This would seem to make sense both from the standpoint of cost, and for preserving what domestic resources there are so as to maintain some degree of market leverage. In today's jargon, this means greater dependency on the "third world", which, for this discussion, includes virtually all the nations in Africa, South America and Asia. Concern for availability raises the important distinction between dependency and vulnerability, and as the Director of the Bureau of Mines has pointed out, the two are not the same. Dependency is not neccessarily a bad thing; it is vulnerability that counts (Norman, 1980)

Jan 1, 1982

By James R. Dunn

The mineral industry" has made and will continue to make important contributions to the growth of our economy. However, the industry is presently under continuous and increasingly severe attacks by organizations and individuals interested in the preservation of our environment. Yet neither the public interest value of preservation nor the public interest value of our mineral industry is known. In the absence of such values, judgments about best land use where minerals are involved are nearly always made on emotional grounds. An example of the sort of problem that has been created is in the New York Metropolitan Area. Because of institutionally-created shortages stemming largely from zoning decisions and building over deposits, the effective cost of fine aggregate delivered at dockside at Manhattan rose from $2. 65/cubic yard in July, 1969, to $4.10/cubic yard in May, 1970, this in spite of approximately ;l0,000 years of reserves on Long Island. The cost of fine aggregate for New York City alone has "Increased over $S million annually within one year, with the cost increase for the Tri-State Metropolitan Area (coastal Connecticut, New Jersey, and New York)" exceeding $10 million annually. The ab0ve situation has created a cost increase which is clearly the result of non-conservation of a mineral resource. That is, in readily measurable values, it Is costing the public about $10 million per year because good conservation practices were ignored-a public-interest loss. Admittedly, this is not the whole story because the public is simultaneously obtaining other values from the land surface that would otherwise have had to be dedicated, temporarily to be sure, to mineral recovery-a public-interest gain. However, the point is that we do not know where the balance lies-the net public interest value; it may lie one way for deposits zoned out of existence by a growing suburb, another for areas designed as permanent greenbelts, and still another for areas under new highways

Jan 1, 1971

By John V. Beall

A completed feasibility study executed by an independent agency can benefit a company in two ways. Inside the organization, it verifies the project staffs ideas and their concept of the facility. Outside the company, it can be utilized to obtain equity partners, debt financing, and other forms of credit. It is advisable to bring in a project execution contractor for the feasibility study. A project execution contractor is able to work with engineers to develop the project concept, process flowsheet, and best utilization of the site. By getting an early start on understanding a company's policies and working methods, a project execution contractor saves the company money since it does not have to go through the educational buildup twice. The contractor is a specialist in putting together a bankable document that can be taken to a financing source. It answers all the agency requirements on the first pass. In addition, the contractor can advise an owner on likely financing sources since he works on the worldwide market every day. A less obvious advantage of including the contractor in the study and predevelopment buildup stages is the importance of coordinating finance and technical input. The financing source influences equipment specifications, procurement, logistics, project schedule, cash flow, and liquidity. There are many surprises in store for any manager of a large international project involving worldwide financing and purchasing. The job does not have to be made more difficult by bringing in a contractor after all predevelopment steps are taken. The contractor can still work if the predevelopment steps have been done, even if he does not agree with them. But early contractor involvement is the preferable solution.

Jan 10, 1980

By Stephen M. Smading

Unique onsite assembly of a 12.43 m Main Beam TBM and back-up system was completed on September 18, 2008 in the remote mountains of the Sichuan province of China. The equipment was assembled onsite, without previously having been assembled and tested in a factory, utilizing a method called Onsite First Time Assembly (OFTA). The Jinping-II hydroelectric project features four parallel headrace tunnels approximately 18 km long, two of which will be excavated by TBMs and two by drill and blast. A nearby fifth tunnel is being excavated by a 7.2 m TBM to draw down ground water in advance of excavating the headrace tunnels. This paper addresses the following topics: ¦Project description including geology and terrain; ¦The decision process leading to onsite first time assembly, the assembly process and logistics, and lessons learned; ¦Design features of the TBM and back-up system; and ¦Operational history from startup to the writing of the paper.

By George F. McIntyre

The subject of this paper is mineral processing chemicals - how they work and where they end up environmentally. First of all, it is necessary to recognize that water is the most universally and widely used chemical used by the mining industry to separate desirable minerals from unwanted wastes, sands, and slimes. Of the total world's water supply, over 97 percent is found in the oceans. Another two percent is tied up in the ice caps, leaving roughly only one percent for us to work with. This one percent is distributed either as ground or surface water and makes up the bulk of all water used industrially. Even with such a small proportion available for immediate use, there appears to be enough fresh water to meet our needs for at least another hundred years. This availability, however, depends heavily on how we handle our waste waters, how we process them, and how we plan for their reuse. Certain governmental agencies have been charged with the task of setting up standards of water quality which must be met prior to environmental discharge. There is even discussion of zero discharge from industrial operations. Due to limited supply and availability, the mining industry has always been forced to reuse its process water or to treat it prior to discharge. Consequently, we are in an enviable position and are presently able to live with the environmentalists demands. To stay on top of the situation, it is necessary to continually concern ourselves with the .effects of changing orebodies and reagents on the final mill effluent. From a process standpoint, it is also important to recognize the impurities of plant recycle water and how they might tend to influence overall operations

Jan 1, 1974

By N. T. Rempe

Proper use of natural resources is multiple use. Underground space resulting from mineral extraction offers opportunities for deep geologic waste disposal (DGWD) which can solve many environmental problems. U.S. government projects plan to use specially mined excavations to dispose of radiotoxic and mixed waste. DGWD takes careful planning, technology transfer, and true partnership between waste generators and mine/repository operators. Using the experience, accumulated by domestic projects in preparation, and by foreign repositories in operation, U.S. mines can claim their rightful share of the growing market for DGWD.

Jan 1, 1996

By Ihor Kunasz

The high lithium demand forecasted for some high tech applications and batteries for electric and hybrid-electric vehicles, in particular, has sparked increased exploration for lithium, particularly for lithium- and potassium-bearing brine deposits. The latter have generally followed the Canadian Institute of Mining, Metallurgy and Petroleum (CIM) NI 43-101 guidelines on resource reporting, formulated for hard rock deposits (metals and industrial minerals). While a number of the requirements can be appropriately applied to brines, brines are fluids and require a specific analysis leading to a distinct set of reporting requirements. Brines cannot be considered industrial minerals because the various elements occur as ions in a dynamic fluid, rather than being chemically bonded in a solid. Although chemicals are produced from brines, brines have no relation to industrial mineral deposits. This article analyzes the recently released (Nov. 1, 2012) document CIM Best Practice Guidelines for Resource and Reserve Estimation for Lithium Brines, in light of the practical knowledge available from existing brine operations. It recommends modifications to the guidelines, which, if applied in their present format, will result in overstating resources and reserves and mislead potential investors. The CIM Best Practice Guidelines for Resource and Reserve Estimation for Lithium Brines document is generally descriptive and does not fully address the methodology for brine resource or reserve definition. Lithium and other elements (potassium, magnesium) are contained in a fluid, the hydrologic characterization of which should be the principal focus of a brine exploration program. The fundamental requirement in defining lithium brine resources and reserves in a salar is the identification and definition of those formations ? the aquifers ? that will yield brine in a usable quantity to a well, because brines can only be extracted by pumping wells. Fine-grained sediments will never, as required in the summary Table 1, have ?reasonable prospects of economic extraction,? cannot be considered and, therefore, need not be tested. However, the guidelines recommend the collection of solid samples and a high-core recovery for laboratory testing of various sediments instead of focusing on the brine.

Oct 1, 2013

By Chee Theng

"Mineral processors know you can put in the best technology in the world but it won’t work optimally without the support of the operators. Conversely, you may have complete operator support but won’t get top results without the right technology. When the two come together, the returns can be phenomenal.The first day of talks at the 68th Annual Colorado MPD Conference, held April 26-28 at The Broadmoor in Colorado Springs, covered the ground on these industry wisdoms.Coming together as a team“Think of the people, not just the lab and the numbers. That makes all the difference,” said Dee Kippers, of FMI Henderson Mine, in her talk on “Process optimization during a market downturn (A Moly MacGyver story).” Kippers told an entertaining story of the journey she and her team took in tackling the issue of an annual spike in iron content in the product at Freeport- McMoRan’s Henderson primary molybdenum mine near Empire, CO.As the metallurgists tried one thing after another — cranking up the iron depressant, adjusting pH with sodium hydroxide and hydrated lime, modifying reagent levels — Kippers found that when she shared her results with the operators, communicated with them on what she was doing and got their input, they were more willing to work with her, and more understanding and supportive of her efforts.The results make the case for getting people on board and coming together as a team. The cost savings from their optimization efforts, with little capital investment, have been “enough to cover the annual salaries of our metallurgy department and then some,” Kippers said.Considering the environmentDavid Lemieux, of Dundee Sustainable Technologies (DST), talked next on “Cyanidefree process for gold extraction,” presenting the results obtained from a demonstration campaign of the company’s novel chlorination process for gold extraction and associated arsenic stabilization process. Developed at an investment cost of C$35 million, they are ready for commercialization, having been demonstrated on the laboratory, pilot and demonstration scales.The DST process is differentiated from the Plattner chlorination process, which was in use from 1851 to 1916, by moderate process conditions of atmospheric pressure and ambient temperature — the result of using sodium hypochlorite solution, or bleach, instead of direct injection of chlorine gas — and new, cheaper materials of construction, such as polymers, plastics, fiberreinforced plastics and Teflon, resulting in lower capital and operating expenditures."

Jan 7, 2018

By Theodore H. Eyde

The porphyry copper province of the southwestern United States and northern Mexico, is the largest copper producing region in the world. Most of the deposits occur in Arizona which now produces over 54% of the newly mined copper in the United" States. As the many recent discoveries are brought into production, Arizona's share of the nation's copper production will increase. The term "porphyry copper" as used in this paper includes all deposits of generally low grade disseminated copper mineralization amenable to bulk mining techniques. Therefore, copper deposits such as Pima-Mission, Twin Buttes, and Vekol where the copper mineralization occurs principally in the intruded rocks will be considered as "porphyry copper" deposits. Most of the deposits have been discovered since World War II, consequently, the southwest, and particularly southern Arizona is perhaps the most intensively explored area for copper deposits on earth. Most of the major natural resource companies in the United States and Canada maintain exploration offices in southern Arizona. To illustrate the success of exploration efforts, the location of porphyry copper deposits either known or producing prior to World War II are shown on figure 1 and the deposits discovered since World War II which are either in production or in the exploration and development stage are shown on figure 2.

Jan 1, 1973

By H. P. Cole

A team of researchers at the University of Kentucky, working under a USBM contract, developed over 65 simulation exercises for teaching and testing problem-solving and decision-making skills to miners and mining engineers. These skills involve both improving judgment and decision making in mine emergencies and enhancing the learning of real-world engineering design principles. The exercises are ideally suited for either latent image format or for computer-aided instruction. Exercise features are summarized, the structure and field testing of typical exercises described, and sample frames of individual exercises presented. Empirical data are summarized that describe the effectiveness of using these short, time-efficient performance tasks that simulate real problems and that provide immediate corrective feedback for teaching and testing critical skills. I

Jan 1, 1991

By J. P. Kennedy

Process data managers or historians are recognized as essential for reengineering projects in industrial plants. With increasing automatic data collection, the knowledge of how to use these data profitably grows as well. This paper is a summary of the data historian and its components plus examples of benefits including environmental reporting, performance monitoring, and exception reporting to management.

Jan 1, 1994

By J. Philip Bromberg

The 1977 Clean Air Act Amendments will have a large effect on the coal-fired segment of the electric utility industry. Since electric power generation constitutes by far the largest single use for coal, this legislation has the potential to greatly affect future patterns of coal utilization in the U.S.A. The inability to depend exclusively upon low sulfur coal as an exclusive mode of compliance with New Source Performance Standards may greatly lessen projected demands for low sulfur coal by eastern utility boilers. The requirements of the legislation is discussed with particular reference to the needs of the electric generating industry, along with the technologies available for complying with the Act.

Jan 1, 1978

By Kenneth P. Neumann

The development of the Cyprus Thompson Creek Molybdenum Deposit near Challis, Idaho, began in 1967 when the first mining claims were staked on the intrusive rock outcrop. Exploration drilling continued for the next 14 years. During 1978, a decision was made to develop the deposit. In December, 1980, approval of the Environmental Impact Statement was received and construction of facilities and waste rock removal began. By the middle of 1983, 126 M metric tons of rock had been removed and all facilities were completed. The high work ethic of Cyprus Thompson Creek employees combined with innovation has made the mine one of the most efficient in the United States today.

Jan 1, 1983

By A. Kalmes, B. Dehler, D. Kopp

Nutrien has six potash mines in Saskatchewan and has been proactive in maintaining the integrity of their tailings facilities through ongoing assessment, design, operation, inspection, and monitoring. Nutrien commissioned a system inventory and semi-quantitative risk analysis (SQRA) of all dikes to further environmental stewardship at their potash facilities. The inventory assessed nearly 100 dikes; each dike was rated according to a probability and consequence factor and assigned a risk score. The risk scores were used to develop a risk matrix for each of the six sites and risk-response actions for each dike and segment. The inventories and SQRAs will help each site assess priorities for investigation and risk mitigation, if necessary. The study results will also help Nutrien refine corporate wide tailings governance standards and demonstrate compliance with various governance regulatory obligations.

Mar 2, 2022

By Robert M. Lewis

Chemically, mica is a complex silicate of sodium, potassium and aluminum. There are no important uses of mica where the chemical analysis is important, except that in some uses of ground mica, the content of iron oxide present as an impurity must be kept to a very low limit. Muscovite mica is frequently found containing black and red "stain" as a homogeneous part of the books or sheets. In most cases this stain or impurity is magnetite or hematite. Some mica contains impurities deposited by infiltration. This is commonly a red stain, less often brown or white. The best mica is free from all such impurities, and the greater their content, the less value does the mica have.(1) It is because of these undesirable impurities that a large segment of the fine ground mica industry relies on weathered pegmatites and alaskite ores as a source of raw material. The mica concentrates obtained from these ores are relatively clean and require moderate beneficiation to meet color and density specifications. One need only to observe the stained and decrepitated condition of the mica recovered from mica schist to appreciate the challenge that processing this material presents. Despite these adversities there are several advantages to be gained by mining and processing mica schist ores. The mica content of these ores are considerably higher than the pegmatites and alaskite ores now being mined, often containing in excess of forty percent mica. This-higher grade mica feed should promote a lower mining and milling cost with its resulting competative advantage. With more rigid government

Jan 1, 1969

By Merih Celasun

The literature in operations research centered on mineral exploration has been comparatively limited in view of the significant implications of mineral discoveries upon the national economies in general and mineral industries in particular. Much of what has been published is of somewhat unsure academic nature, indicating to a certain extent the scarcity of industrial applications. Mineral exploration activities present quite difficult operational and conceptual problems. The purpose of this paper is to discuss the principal characteristics of decision problems encountered in planning an exploration program, to indicate an optimization approach to a certain class of allocation problems, and to suggest directions for future research effort.

Jan 1, 1962

By R. L. Miller

"Why should we care about diesel quality amidst the complexity of mining for minerals? Mining companies use a large amount of diesel fuel in their worldwide operations, both for moving ore from the mine to the processing mills or transportation hubs, and to generate power for onsite processing. This creates a large carbon footprint and poses both environmental risk with the production of emissions, and public perception of how those companies do their business as stewards of the environment while incurring a huge fuel expenditure. To improve diesel quality and create incremental value and greater environmental stewardship, the opportunity is broken down into several segments: 1. Mining industry diesel consumption 2. Fuel quality issues 3. Impacts on operations, economics, and emissions 4. Potential solutions 5. How improved fuel quality saves fuel expenditures 6. Economics of improved fuel quality 7. Recommended testing process 8. Fuel quality analysis checklist MINING INDUSTRY DIESEL CONSUMPTION The average grade of mined Australian ore bodies has halved, while the waste removed to access the minerals has more than doubled over the last 30 years, thus increasing energy consumption by 70%, (http://eex.gov.au/industry-sectors/mining/). Energy consumption and intensity in mining and mineral processing is rising at around 6% per annum. The mining industry is a huge consumer of diesel fuel worldwide, and the SRS Rocco Report of 4 August 2014 gives a better picture of recent trends. To better understand the reasons to reduce both fuel costs and consumption, we need to compare metrics on the amount of diesel consumed per each ounce of gold produced over the last decade. The rate of diesel consumption in gallons per each ounce of gold produced for the top five worldwide gold producers has doubled in the last 8 years from 12.7 gallons per ounce in 2005 to 25.8 in 2013 as shown in Figure 1 below.This is caused by 1) lower ore grades requiring more hauls to get same amount of finished gold product, and 2) haul trucks moving ore from deeper sources in open pit and underground mines. For one large multi-national gold mining company, the 2005 waste rock / production ratio was 52 metric tons/gold ounce; by 2013 that ratio had grown to 113 metric tons/gold ounce per the same SRSrocco 4 August 2014 report. Using the metrics above, the top 5 gold miners used over 591 million gallons of diesel fuel in 2013. The cost of diesel in dollars per ounce of gold has increased from $30.48 in 2005 to $101.14 in 2013, an annual appreciation of 16.2% as shown in Figure 2 below."

Jan 1, 2017

By H. Kinilakodi

The authors previously developed a methodology that combines injury and citation measures into an overall mine safety performance evaluation tool, called the safe performance index (SPI). It can be easily adopted by mine operators to monitor trends in their injury and citation experiences as a risk assessment method. In this paper, six normalized safety measures and the SPI are used to evaluate the health and safety risk that existed at mines in the two years preceding the occurrence of a fatality. The percentage of mines is given for which the risk was high or where trends of some of the safety measures indicated moderate risk. In 50% of the mines, this mine safety performance tracking method could have been helpful to the companies, state agency or the U.S. Mine Safety and Health Administration (MSHA) in recognizing and addressing emerging problems with actions that may have been able to predict high-risk conditions, the fatality and/or other serious injuries. The approach would have given extra scrutiny to the risk for mines that encompassed 74% of the fatalities during 2007-2010.

Jan 1, 2012