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"How Wall Street Darling Molycorp Undermined the U.S. Economy, Degraded our National Security and Distorted the Global Economic Balance and How These Falsehoods Continue to be Promoted Even Today INTRODUCTION & SUMMARY In 2007 the Molycorp Mountain Pass rare earth mine was resurrected from its desert-grave in California by its then-owner Chevron Mining. Responding to elevated rare earth prices Chevron began processing on-site rare earth concentrates left over from past mining operations that were terminated in 1998i. Chinese demand had sparked what was being described as a commodities super-cycleii. Commodity prices were on the move. Wall Street smelled opportunity. In 2008 Goldman Sachs, Pegasus Partners, Resource Capital Funds, Traxys North America LLC and Carint Group LLC acquired the mining assets from Chevron. In an environment of ever-declining ethical standards and regulatory consequences the private capital group and their investment bankers would bring Molycorp to market. Molycorp, with its high powered investment banking team of Morgan Stanley and J.P. Morganiii, easily dominated the contest. Molycorp promoted itself, largely based on its past operating history and proven reserves, as the best company to challenge China’s monopoly control over the production of rare earths: a group of elements critical to most advanced technologies and U.S. defense systemsiv. Most of Wall Street’s hottest investment sectors were dependent on these materials: alternative energy, green technologies, computing, personal communications, advanced electronics and defense systems. By late 2010 there were dozens of prospective rare earth start-up ‘mining companies’ seeking capital. Eventually the number of prospective rare earth mining companies seeking capital exceeded 400, despite the reality that supply requirements of this market were disproportionally small when compared to other natural resource sectorsv. In the world of finance ‘smart money’ picks the winners. Consequently just twovi projects attracted nearly all of the capital (Molycorp and Lynas). Wall street picked Molycorpvii. This paper will primarily focus on Molycorp. By early 2010 the words “Molycorp” and “Rare Earths” electrified many people in the mining industry, most non-Chinese manufacturing technology companies, U.S. & allied defense contractors, technocrats in the U.S. national security community and eager investors across most of the world’s stock markets. It was the hottest story of the yearviii. The financial, technology and defense press coverage verged on euphoric: heaping fuel on fuel until the highly combustible Molycorp-pyre cast a long shadow over all of its rivalsix. When the IPO match was lit the spectacular flaming pyre sucked all of the oxygen out of the rare earth spacex. Molycorp was ranked the most lucrative IPO of 2010, resulting in record breaking profits to its private investors and massive returns for its early stock holding investors."

Jan 1, 2017

By Jack S. Greber

The mining industry generates an estimated 2.3 billion tons of solid waste each year and the total accumulated mineral resource solid waste at both active and inactive mine sites, approaches 30 billion tons. Five industries generate 85 percent of mine solid waste: copper, phosphate, iron, uranium, and coal. Over the past several years, the Federal government has shown increasing interest in the proper disposal of solid wastes generated by the mining industry. Three new pieces of federal legislation have been passed recently beginning with the most comprehensive regulatory authorization passed in 1976, the Resource Conservation and Recovery Act (RCRA) which has been amended to the Solid Waste Disposal Act Amendments of 1980. RCRA is implemented and enforced by the Environmental Protection Agency (EPA) and intended to control municipal and industrial solid wastes. Next came the passage of the Surface Mining Control and Reclamation Act (SMCRA) of 1977 which is implemented and enforced by the Department of Interior to control coal surface mining and the surface effects of underground coal mining, and finally, the recent Uranium Mill Tailings Radiation Control Act (UMTRCA) of 1978 implemented by EPA and enforced by the Nuclear Regulatory Commission (NRC) to control uranium mill tailings disposal.

Jan 1, 1981

By A. Moergeli, Philip Sander, John Reilly

"SUMMARY While the basic elements of risk management, including probability, consequences, risk registers, mitigation measures, etc., are now well understood, the process to include correlation, dependencies and linkage of risks and risk scenarios is less well defined and not well understood. To perform accurate and complete risk analysis and risk management, it is necessary to include correlation, dependencies and linkage between risk events, as well as risks that may occur multiple times. In this way, owners and contractors can more accurately determine risk-based costs, risk impacts and risk mitigation strategies. This paper will outline methods to deal with correlation, dependencies and linkage and will consider risks that may occur multiple times. Practical result comparisons – with or without these elements – will be presented. INTRODUCTION We believe the reader is familiar with basic concepts of risk, risk management and mitigation and the use of probabilistic cost-risk processes versus deterministic ones (Reilly et al. 2015; Sander et al. 2015). The probabilistic approach, compared to the simpler and more common deterministic approach (unit prices times unit costs plus a contingency), offers more useful information with respect to the range of probable cost as well as cost “drivers” and better quantifies the effects of risks, opportunities and variability – which improves understanding, leading to a better potential for profit (or loss) for contractors and added value for owners. In this context, a valid and sufficient quantification of correlation, dependencies and linkage of risk events, plus the impact of risks that may occur multiple times, is essential. Components of Cost Estimates – Base Cost, Risks and Other Uncertainties The components of cost that need to be correctly addressed in an estimate include (Moergeli et al. 2015): •,Base costs – the costs that will result if “all goes according to plan” (Reilly 2004) •,Risk costs – the resulting costs of threat and opportunity events, if they should occur •,Escalation costs – costs resulting from normally expected inflation with variability •,Other uncertain costs – costs that result from other events, normally external to the project team’s control, which may include unanticipated events, politically related changes and “black swan” events (Talib 2007)"

Jan 1, 2016

By Evan Just

?We are certain there is need for research in every phase of mining." This statement by R. M. Crump of the Jones and Laughlin Steel Company (047) paraphrases opinion widespread among mining people. It is undoubtedly true. In preparation for this presentation, 193 organizations were asked to describe their mining research efforts. 60% responded, The meaning of "research" was taken in several different ways. The continual efforts of progressive companies to improve themselves were reported as research. We will call this and any effort to solve specific and immediate problems "practical research". The continuing investigation of subjects of long range interest will be called "basic research".

Jan 1, 1961

By Steve Kral

The concept of sustainable development is not new to the mining industry. Many people involved with mining have argued that the industry throughout the world has always supported the communities where they operated. They say that the mining industry was employing sustainable development practices before the phrase became fashionable. The mines employed residents and supported the local economy through tax payments and the purchase of goods and services from local businesses. In many cases, mining companies have built medical facilities and contributed money, equipment and services to local schools. In modern times, mining companies have donated reclaimed land to the local communities for use as parks and recreational facilities.

Jan 1, 2004

By Jim Buckley, Ryan Sibley, Scott G. Giltner, Thomas Pallua, Joe Schrank, Robert Cidlik

Because of variation in rock type and site conditions, it is important to create site-specific prediction models for peak particle velocity (PPV) and understand instrumentation mounting locations to better interpret the readings provided following blasting operations. The Atlanta Airport is expanding the section of underground tunnels for its Plane Train people mover, and drill and blast operations were determined to be the suitable method of excavation for the project. Extensive work was done to begin creating prediction models and determining levels of concern based on readings from various types of instrumentation. This paper analyzes the effect of close quarters construction blast vibrations and observed frequency spectrum on existing structures with data from 22 different seismographs mounted in various locations and ground conditions.

Dec 1, 2022

By R. C. Burtan

Long before the dawn of recorded history, man began to dig into the earth's crust in a never ending search for useful materials. It has been well established that prehistoric man discovered flint. "The Flintstones" were aptly named. The flintknappers of southern England and Wales still exist today in ever dwindling numbers as they seek out chunks of flint. It is a well known fact that more than half of the earth's crust is composed of silicon dioxide (SiO2), also known as silica. Silica and silica containing materials have a great many uses in modern society. However, this material is potentially extremely hazardous to our health. Centuries before the Christian Era, Hippocrates wrote of a lung disease common to those who mined in hard rock. It is obvious to us that he was describing silicosis. It is also apparent from ancient writings, that the Egyptians were aware of this malady. Dioscorides also wrote on this subject in the fifth century, B.C. It is undoubtedly the oldest and best studied of the occupational lung diseases. It was certainly described by Agricola in his "De Re Metallica" published in 1556, in which he described lung disease among hard rock miners. This publication, I'm sure, is of special interest and perhaps known to many of you in the mining community. The original document was written in Latin and was translated in 1912 by two gentlemen, Hoover and Hoover. One of these translators was Herbert L. Hoover, a former president of the United States, who made his living before his presidency as a mining engineer.

Jan 1, 1984

By John W. Tieman

The increasing magnitude of our nation's pollution problems seems to stem from two main factors: urbanization and technical advance. In 1920, less than half the country's 106 million people lived in cities. Forty years later, the urban population accounted for 70 percent of the nation's 179 million. It is predicted that by the end of the century, 95 percent of the U. S. population, estimated at 280 million, will live in urban areas. As these people live increasingly in city concentrations, their residues also concentrate. With technological advances to support the increasing population, the variety and quantity of goods that we use also increases. New materials and processes result in increases in pollutants, some of them new. The harmfulness of these pollutants is sometimes known, but sometimes only suspected. One pollutant of concern at the present time is sulfur dioxide, the product of combustion of sulfur-containing fuels. Research on processes to remove sulfur oxides from flue gas has been in progress for many years. Pioneers in this field were the British who, in the early 1930's, installed a full-scale flue gas scrubbing unit on a 120 MW boiler using alkaline water from a Thames estuary plus chalk. Since that time, various methods have been studied by many investigators. Federal laws covering air pollution started with the 1955 Air Pollution Control Act. With the advent of the Air Quality Act of 1967, and subsequent publishing of criteria and available technology for control of sulfur oxides in January 1969, the clamor for information on commercially available control techniques to remove sulfur from fossil fuels has rapidly increased. Although many state-of-the-art papers have deluged the literature during the past several years, the research going on in the area of sulfur oxides control is of such importance that periodic reviews are justified. It is the purpose of this paper, therefore, to again review the state-of-the-art, but this time from the stand-point of what is immediately commercially available

Jan 1, 1972

By Eduardo Velasco, Paz Navarro, Alfonso Navarro, Claudio Cimiotti, Alejandro Sanz, Nick Karlin

The LA Effluent Outfall tunnel is a 7-mile long, 18' internal diameter, secondary treated effluent discharge tunnel currently under construction by Dragados USA for the Los Angeles County Sanitation District No. 2 (LACSD). The purpose of this tunnel is to add redundancy and increased capacity for discharge of secondary treated effluent from the LACSD’s Joint Water Pollution Control Plant, located in Wilmington, California within Southern Los Angeles County. Current discharge from this facility flows through two existing tunnels of 8' and 12' horseshoe profile, constructed in 1937 and 1958, respectively. When the new tunnel is complete, it will add an additional capacity of 670MGD in peak wet weather flow conditions. Geology of the roughly 7 mile long tunnel was divided into six reaches by the contract documents. Tunnel Reaches (TR) 1 to 3, comprising 19,550' will be excavated in alluvial sands of the San Pedro and Lakewood formations, with cover ranging from 45 to 90 feet. In this reach the tunnel intersects the seismically active Palos Verdes fault Zone. TR 4 is a 1,600' transitional zone between alluvium and the rock formations of the Palos Verdes (PV) Hills, comprised mostly of Malaga Mudstone. TR’s 5 and 6 total 15,591', and are within the rock formations of the PV Hills with overburden ranging from 315' to 475'. The primary constituent of the PV Hills is Altamira

Jun 13, 2021

By Thomas V. Falkie

In bygone days, the mineral engineer spent most of his/her time on the technical aspects of designing, building, and managing mineral operations. In the last few decades, mostly since the 1960s, increasing amounts of engineering man power and time are spent dealing with federal, state, and local government agencies, laws, and regulations. It is not possible to plan, design, build, or operate mines, mills, smelters, or even office buildings without detailed consideration of government regulations and permitting requirements dealing with environment, worker health and safety, etc. The four chapters of this section provide an overview of the social, legal, political, environmental, and health and safety aspects of mineral enterprise. The section sets the stage for the working engineer/geologist in industry, government, consulting, or academe and points the direction for more detailed study in each of these areas.

Jan 1, 2008

By Scott Rosenthal, David Gilkey, Michael McGivern, Lorri Birkenbuel, Daniel Autenrieth, Ty Murphy, Hadi Aldossari

A safety climate case study was carried out at a surface metal mine where investigators administered the Liberty Mutual Short Scale Safety Climate Survey to 365–368 miners to measure safety climate in consecutive years. Following the baseline safety climate survey in 2019, Foundations for Safety Leadership (FSL) training was conducted with 81 middle to upper management employees at the mine site. Investigators found statistically significant differences in the pre vs. posttraining FSL assessment scores of the middle to upper management employees who attended the training. The follow-up safety climate evaluation was compared to baseline scores and revealed no significant improvement. The overall baseline company safety climate score of 76.38 increased minimally to 76.50 (p-value = 0.616). Investigators also evaluated differences in safety climate between the company’s three major divisions (operations, maintenance, and administration). Both years administration had the highest mean score and operations had the lowest mean score. The authors attributed the statistically significant differences found among the three major divisions to various dissimilarities in their work environments.

Aug 13, 2021

By M. S. Enders

The McDonald deposit is a volcanic-hosted epithermal gold resource that is estimated to contain 251,000 kg of gold in 375 Mt of ore at an average grade of 0.7 g/t gold. Phelps Dodge exploration geologists, working for the Seven-Up Pete Joint Venture, discovered the deposit in 1989. By the end of 1992, 494 drill holes for over 113,000 m of drilling, bulk sampling, soil geochemistry, geophysics, metallurgical testing, engineering, and environmental studies had been completed to support feasibility studies. The discovery of McDonald required vision, persistence, and commitment of everyone from the geologist on the drill rig to the senior management of the company.

Jan 1, 1995

By J. Davies

This paper describes the successful management and construction of the 5.18 m (17 ft) diameter, segmentally lined, North Dorchester Bay CSO storage tunnel in Boston, MA. This 3,300 m (10,830 ft) long tunnel was mined through variable soft ground with only 6 m (20 ft) of cover, using an earth pressure balance tunnel boring machine. These extensive data collected from the projects unique automated and internet accessible geotechnical and TBM monitoring system, will be examined and used to explore the relationships between geological conditions, TBM operating parameters and measured settlements. The paper will also discuss the use of screw revolutions as an indicator of muck volume.

By David S. Smith

Almost nine years after the assertion of enormous and pervasive federal control over coal mines by means of the Federal Coal Mine Safety and Health Act of 1969, 30 USC Section 801 et seq, as amended by the Federal Mine Safety and Health Act of 1977 (which basically increases the punitive powers of government) a brief assessment of some of the underlying causes, present status, and possible alternatives to governmental control is appropriate. In a governmental system based upon the principles of democracy and the protection of individual freedoms and constitutional rights the ultimate mechanism for abrogation of these rights is the creation and exploitation of fear. Machiavelli in rendering advice concerning the power over men provided by fear stated, "... it is much safer to be feared than loved .. fear preserves (the government) by a dread of punishment which never fails." The Prince. Within the context of the assumption of control by the government over industries or segments of our population - popular fear provides a convenient and almost necessary mechanism for the avoidance by law or regulation of democratic principles. The popular fear of coal mines has been successfully exploited by various goal oriented groups in the past and most recently by a Congressional constituency with a vested interest in controlling the mines through regulation.

Jan 1, 1979

By G. M. Wali Ullah, MEHMET KIZIL, ` Micah Nehring, PETER KNIGHTS

In operations that use the sublevel stoping mining method, production scheduling takes into account factors, including ore reserve envelopes, ore grade averages, equipment capacity, feed controls to the mill, and geotechnical restrictions, across the scheduling horizon. Mathematical programming is one of the most effective methods for enhancing the decision-making process in regard to the most viable production schedule in light of a given set of limitations. The majority of research on sublevel stope mining focuses primarily on a single objective of optimisation, which is to maximise the net present value (NPV). Environmental, social, and governance (ESG) considerations are becoming more prevalent in the mining industry. This includes aspects relating to deforestation, land disturbances, gas emissions, community relations, and water usage, among many others. Institutional and other kinds of investors are becoming more interested in the work that resource companies do regarding their ESG obligations. This review article identifies the gap in the existing literature and proposes to simultaneously optimise the production schedule around three objectives. Two of these relate directly to ESG aspects.

Nov 6, 2023

By Jürgen Kretschmann, Christina Suarez, Jürgen Brune, Stefan Möllerherm

"The Ruhr region in Germany’s North-Rhine Westphalia is going through significant change. By the end of 2018, the last two underground hard coal mines in the Ruhr, Ibbenbüren and Prosper-Haniel collieries, will close their portals and bring an end to more than 200 years of coal mining and an industry that was once the economic and cultural backbone of the area. Ruhr is undergoing an impressive economic and cultural transformation, as it gradually shifts from being a region once dependent on coal and steelmaking to a post-mining region focused on redesigning itself as a cultural center. This article focuses on the socioeconomic impacts of the transformation into post-mining and the roles of the government, labor unions and local community to aid the transformation from the perspective of an American student. It will look into the cultural values that are helping to drive the transformation and compare them to American standards and values in order to determine if a similar approach can be used in the United States and its coal industry. History and backgroundUnderground hard coal mining has had a long history and a significant impact on the culture and economy in Ruhr since the early 19th 20century. The Ruhr region is located in the heart of the German state of North- Rhine Westphalia. Ruhr is bounded by the Rhine River in the west, the Ruhr River in the south and the Lippe River in the north, with the Emscher River running through its center.The Ruhr is home to around 5.1 million people and spans an area of approximately 4,500 km2 (1,730 sq miles). Before the era of industrialization, the Ruhr was a rural, agricultural region. Small-scale coal mining began in the 13th century, with coal being used for heating, cooking and metallurgical processes, including steelmaking. With 19th-century industrialization, coal mining became a significant driver of the region’s economic structure. Steam engines, and soon, electric motors, allowed for the pumping of mine water and for powerful hoists hauling from deep shafts, enabling miners to reach deeper coal seams that were once thought impossible to mine. The Ruhr mining boom began in the 1850s, supported by Prussian economic policies that attracted many workers and their families to the region. The population grew from 400,000 in 1850 to 5.7 million in 1957. The coal and steel industries were key contributors to Germany’s “Wirtschaftswunder” — or “miraculous economic recovery”— in the 1950s. In 1956, the coal industry reached its peak production of around 112 Mt/a (124 million stpy) of coal and employed almost 600,000 miners."

Mar 1, 2019

By J. A. Porter

This paper uses project examples, primarily associated with large iron ore mines in Brazil, to demonstrate opportunities for the mining industry to go beyond traditional compliance and impact mitigation to proactively operate within the ethics of environmental and economic sustainability.

Jan 1, 1994

By Hooman Askari-Nasab, AHLAM MAREMI, EUGENE BEN-AWUAH

In oil sands mining, tailings are voluminous unwanted by-products generated from extracting the desired mineral from the mined ore. Dyke construction and backfilling activities require well-managed techniques to facilitate progressive reclamation at the earliest opportunity. This directly affects the sustainability and profitability of the mining operation. This research introduces a goal programming framework that simultaneously optimizes the (1) production schedule with limited duration stockpiling and directional mining; (2) dyke construction schedule; (3) size, shape, and location of tailings-cells; and (4) mining and processing production targets. The results show that in creating in-pit tailings-cells designs, decreasing the mining-cells volume and increasing the number of mining-cells improve the net present value of the operation due to increased operational flexibility. The model generated a uniform schedule for ore and practical tailings-cells designs for backfilling activities. Integrating tailingscells optimization into oil sands mine planning and waste management ensures the efficient use of in-pit mined-out areas required for sustainable operations.

Apr 14, 2021

By JUAN DIAZ, Kray Luxbacher, Steven Schafrik, Dionissios T. Hristopulos, Zach Agioutantis

Methane gas is emitted during both underground and surface coal mining. Underground coal mines need to monitor methane gas emissions to ensure adequate ventilation is provided to guarantee that methane concentrations remain low under different production and environmental conditions. Prediction of methane concentrations in underground mines can also contribute towards the successful management of methane gas emissions. The main objective of this research is to develop a forecasting methodology for methane gas emissions based on time series analysis. Methane time series data were retrieved from atmospheric monitoring systems (AMS) of three underground coal mines in the USA. The AMS data were stored and pre-processed using an Atmospheric Monitoring Analysis and Database Management system. Furthermore, different statistical dependence measures such as cross-correlation, autocorrelation, cross-covariance, and variograms were implemented to investigate the potential autocorrelations of methane gas as well as its association with auxiliary variables (barometric pressure and coal production). The autoregressive integrated moving average (ARIMA) time series model which is based on auto-correlations of the methane gas is investigated. It is established that ARIMA used in the one-step-ahead forecasting mode provides accurate estimates that match the direction (increase/decrease) of the methane gas emission data.

Aug 2, 2022

By A. Lashgari

Surface coal mining in the Appalachian region consumes a significant amount of energy in the form of diesel fuel and blasting agents. emission of oxides of nitrogen (Nox) from these sources represents an environmental challenge to the mining industry. this paper presents the results of research work related to determination of Nox emission of mining equipment and blasting agents, which is part of a broader industrial project conducted by the Appalachian research Initiative for environmental research (ArIeS). Data for this project are collected from an operating surface coal mine in West Virginia. the research work presented here may be used by mining professionals to aid in quantifying Nox emission and determine strategies for reducing its overall environmental impact.

Oct 1, 2013