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By Michael Robert Hodson

I. Introduction The free market cash price of aluminium in the third quarter of 1985 is approximately $1000/tonne, well below the short as well as the long run marginal costs of production. The current disparity between marginal costs and price, as well as the pattern of prices since their high level in 1980, has led many economists to question whether prices are governed by the 'fundamentals'. Prices, some would argue, are the result of speculation; and speculation is irrational, little influenced by the fundamentals of the industry. The object of this paper is first to examine the relation between the fundamentals and price. A number of simple models are formulated and some empirical evidence is given to show that prices are not very different from costs. There are good reasons why costs and prices have fallen since 1980. Second, the connection is drawn between the fundamentals and speculation. To do this the concept of 'rational expectations' is defined and applied to a model of the aluminium industry. Then speculation is introduced into the model and the characteristics of the solution are examined. The object is to discover the new factors that determine prices and the basic change in the nature of the solution that is caused by speculation. 2. Prices and the Simple Supply-Demand Model Consider a simple model of the aluminium industry. Demand, D, is determined by economic activity, A, given exogenously, and inversely by the price, P. Supply, Q, is determined by the inverse of the rnarginal cost curve, and so varies inversely with exogenous factor costs, C, and directly with price. Price is determined by the equality of supply and demand. Given the equilibrium level of demand, price in this model is equal to the rnarginal cost of producing the required level of demand, P = MC (Dl. Algebraically, [ ] How well does this simple model explain the change in prices during the last five years? Table I shows the LME cash price and the estimated marginal cost of producing consumption during the second quarters of 1980 through 1985. The figures in the table show that price and the marginal cost of supplying demand both fell between 1980 and 1982, rose in 1983 and by 1985 had fallen again. Only in 1984 is the direction of change different. And during the 1980 to 1985 period, marginal costs fell by approximately $560/tonne while the LME cash price fell by $678/tonne. There is a correspondence between the fundamentals of cost and price over most of the individual years and the period as a whole.

Jan 1, 1986

By John Keay, Douglas R. Shaw, Gregory J. Olso

Rhodes Mining NL, Perth, Australia, is developing the Lahoca Gold Project which is located in Hungary, about 30 km from the town of Eger. The preliminary resource is estimated to contain approximately 1.5 million ounces of gold. The project is being evaluated for an annual process capacity of 2 million tonnes. The test samples contain just over 2 g Ault and 6% sulfur as sulfide. Copper and arsenic levels are approximately 0.2 and 0.1 %, respectively. The ore is refractory due to submicroscopic gold occurrences and structural associations with pyrite. A small amount of the gold is finely encapsulated in quartz. Approximately 30% of the gold in the crushed ore is soluble in cyanide and up to about 55% is cyanide-recoverable with ultra­fine grinding. The ore has little preg-robbing ability. Metallurgical test work done by Colorado Minerals Research Institute (CMRI) and other investigators has shown that as much as 85 to over 90% of the gold was recovered by the relatively severe conditions of pressure oxidation or roasting of the whole ore or a flotation concentrate. The Lahoca ore responds to flotation with gold recoveries of 87% into a low grade concentrate. Subsequently, with a view toward defining a process route with potentially more attractive economics, Rhodes Mining and CMRI conducted an extensive review of biooxidation technologies and concluded that, in particular, heap biooxidation methods promised lower process costs which normally are associated with heap leaching. Based on the study, which included the analysis of the closely related practices of copper dump/heap bioleaching now well established in that industry, CMRI conducted simulated heap biooxidation experiments which evaluated factors such as ultra fine ore crushing, agglomeration techniques, heap design, forced aeration oxygen supply, and whether or not the heap is irrigated. Separate flask biooxidation tests at Little Bear Laboratories showed that the finely crushed ore is biooxidized readily, with a near linear relationship between sulfide oxidation and gold cyanide solubility. Gold recoveries of as high as 66% have resulted after biooxidation of crushed ore. This paper highlights the metallurgical developments of the Lahoca project, and focuses on recent biooxidation laboratory test work aimed at enhancing the treatment of crushed ore.

Jan 1, 1997

By Barry N. Doyle, Tarcisio M. Carvalho, Alan K. Haines, Marcos P. de Melo, Edward J. da Silva

A metallurgical complex to recover gold from highly refractory arsenical ore was recently commissioned by Sao Bento Mineraco. The plant, with a nominal capacity of 20 000 tonnes per month, is situated in the Minas Gerais province of Brazil. The process consists of run-of-mine milling, flotation, pressure oxidation of the concentrate, carbon-in-leach, elution and electrowinning, and effluent disposal. The paper provides an account of the investigations that resulted in the decision to install the pressure oxidation circuit, process and engineering design and plant start up. A comparison is made between the results achieved during the first two years of production and the design parameters.

Jan 1, 1989

By Sukumar Bandopadhyay

In recent years planning of surface mines in general and reclamation and post-mining land uses in particular have become very complex. Due to the lack of suitable techniques, land use plans are rarely based upon structured decisions. Data collection may be conducted in a rigorous manner and certain analyses may be performed on the data; the decision to put the land to a specific use, however, is finally based upon the intuitive judgment of one or several individuals. This paper demonstrates how techniques from fuzzy set theory can be used in order to select an optimum post-mining land use plan. The various land use planning alternatives have been characterized according to both qualitative information and quantitative factors and the "fuzzy" aspects of the collected information are incorporated into the analyses. In a practical application, the methodology is used to obtain the most reasonable solution to a post-mining land use planning problem in Interior Alaska.

Jan 1, 1986

By w. Chruscielewski, T. Domanski

INTRODUCTION Concentration of radon 222Rn and its decay products occuring in the Polish mines of metal-ores call for the necessity of systematic radiation control /Do8la/ both of the working environment and of the miners' personal exposure. The attempts at introducing a system of radiological protection in mines, similar to the ones existing in X-ray or isotope laboratories, took several years and consisted of development of the methods for control of concentration of radon and its progeny in the air, as well as the methods for measuring individual exposure. It was accepted that the assessment of both transient concentration in the air and of personal exposure are basic elements of the control system, which should be implemented independently of each other. Concentration measurement serves to detect and to determine those areas in mines where there is intensive radon emanation, and where current control of the effectiveness of technology introduced to deacrease the concentrations is necessary; personal dosimetry results in the assessment of the actual exposure of miners to radiation. PRINCIPLES OF THE SYSTEM The assessment of working environment is based on concentration measurements of the potential radiation energy of radon alpha decay products. Decentralized assessment is carried out by the special dosimetric service operating in each mine. Dosimetrists are equipped with portable radiometers, type RGR-11, made by the institute of Nuclear Research, Warsaw. The radiometer is presented in Fig. 1. Measurement of filter activity is performed automatically according to Markov's method /Ma62/ or any other method. Simultaneously to potential energy measurement the dosimetrists are measuring the dust concentration in the air and ventilation rate. Ventilation service looks for correlation between those indices and the concentration of radon daughters in the air. Derived Air Concentration /DAC/ for concentration assessment was accepted to be 6.25 10-6 Jm-3 /0.3 WL/ according to ICRP recommendation /Publication No. 24/ /ICRP77/. If environmental measurements reveal potential energy concentration exceeding the value of 0.3 DAC at working places, the miners employed there are subject to individual control of personal exposure. Individual exposure measurement is carried out centrally by the Institute of Occupational Medicine in [Lodz] for all metal-ore mines. Miners who are to be included in the control scheme are referred by a mine management to the Institute where they are registered and assigned a dosimeter. A passive dosimeter with

Jan 1, 1981

By D. E. Ranta, G. H. Giroux, A. W. Randall, D. A. Barr

Zinc-lead ores of the Pine Point District, Northwest Territories, Canada, are hosted in paleokarst cavities within a Middle Devonian carbonate barrier complex. Of the nearly 100 deposits found, most are irregularly distributed along two main regional stratigraphically controlled trends. The ores, which occur predominantly as open space filling, form deposits most of which average one million tonnes in size with an average grade of 10% combined zinc plus lead. Geological features related to karsting control not only distribution of deposits but also their shape, size and grade. The higher grade ore in these deposits generally occurs in a relatively small core area. Consequently, accuracy of reserve estimation is dependent on drill-hole density and understanding of karst geometry. Several case examples will be reviewed to demonstrate the relationship between shape, size and grade of deposit, geological reserves and drill-hole density, along with a discussion of geological ore reserve estimation methods.

Jan 1, 1992

By D. W. Fuerstenau, S. Raghavan

This paper presents a brief summary of some of the thermodynamic aspects of flotation processes. Thermodynamic considerations that control interfacial and wetting behavior in mineral/water/air systems are discussed. Particular attention is given to the thermodynamics of collector adsorption.

Jan 1, 1976

By Harry M. Castrantas

Caro's acid (peroxymonosulfuric acid-H2SO5) is used to destroy cyanides in tailings slurries due to its rapid reaction and low capital and operating costs. Due to its instability, Caro's acid is generated at the mine site using a hot or cold process. The majority of gold mines that use Caro's acid use the FMC hot process. In the FMC hot process, it is not necessary to cool the Caro's acid to minimize decomposition since it is used immediately upon generation. In contrast, the cold process uses a chiller to cool the raw materials and product. This paper will show, using laboratory and field data, that there is virtually no difference in Caro's acid yield between the cold and the FMC hot processes. Caro's acid yield depends on the mole ratio and concentration of sulfuric acid and hydrogen peroxide and is independent of operating temperature.

Jan 1, 1997

By E. A. Brecke

The Cave-In-Rock Flourspar District is located in the northeast part of Hardin County, Illinois and is the most northeasterly occurrence of flour spar of the Illinois-Kentucky Flour spar Area. The occurrence of these deposits is confined to an area about one and one-half miles wide and five miles long parallel to the Peters Creek Fault (Fig. 1) The delineation of several features that may be described as breccia pipes has permitted the definition of the point of ascent of solutions to the host horizon and the lateral spread from these points.

Jan 1, 1962

By Steve Kral

The Prospectors and Developers Association of Canada (PDAC) was established in 1932 in response to proposed regulations that would have threatened prospectors in Ontario. From there, the association grew to represent the interests of Canada?s mineral exploration and development industry. The PDAC?s mission statement reads: ?The PDAC exists to protect and promote the interests of the Canadian mineral exploration sector and to ensure a robust mining industry in Canada. The PDAC will encourage the highest standards of technical, environment, safety and social practices in Canada and internationally. ?Today, the PDAC?s 6,000 individual members include prospectors, developers, geoscientists, consultants, mining executives and students. In addition, the association?s membership includes 950 corporate members, representing senior, mid-sized and junior mining companies in addition to organizations that provide services and equipment to the mining industry. In 2010, the PDAC adopted its e3 Plus principles, a framework to guide its membership in responsible exploration.

Jan 1, 2011

By James L. Withiam, P. C. Kelsall

The manuscript of this paper was not available for publication when the Proceedings went to press. Should the authors elect, they may distribute copies at the time of the Symposium.

Jan 1, 1986

By Charles E. Melbye

INTRODUCTION In a discussion of South American exploration, it is difficult to know how much area to cover, as there has been such intense exploration for many years in all of the South American countries. Therefore, I have decided to discuss only Argentina, Bolivia and Peru in this paper, since I am most familiar with these three countries. This familiarity has been gained during my last 12 years of nearly continual exploration and mine development. Furthermore, these three countries form a contiguous block straddling the Andes Mountain chain for 2,200 miles in length N-S. Although Chile is part of this block, I excluded that country because it has had the longest recent history in South American exploration, and it is now in a mature stage where new important mines are being placed in production every year. Exploration must progress a lot for the other three countries to attain the stature of Chile. However, major exploration successes such as Yavacocha and Pieriva in Peru, Kori Khollu in Bolivia and Bajo Alumbrera, Agua Rica and Cerro Vanguardia in Argentina certainly indicates that these countries are rapidly accelerating in exploration successes and the resulting new mine developments. Also, by concentrating on three countries, I have avoided making this paper too lengthy. This paper will cover activities of both junior and senior mining companies, both of whom are making significant contributions to exploration. The junior companies often make the initial discovery, develop it further and then bring in a major company when large capital is required. Since most exploration is for gold and copper or combinations of these, most descriptions will cover these types. However, there are significant new exploration successes for zinc and for silver-lead-zinc, and they will be covered, as well. After descriptions of the various properties, there is included a discussion of the governmental policies of Argentina, Bolivia and Peru, as to how they are affecting exploration activities and budgets. Some of these problems could have a major negative affect on the future exploration plans of many companies. I have intended to cover what I think are significant exploration developments in each country, and if a company project is omitted, there was no intention to slight anyone. Since exploration results change monthly, there could be

Jan 1, 1998

By B. E. Dindsale, P. B. Altringer, R. H. Lien

The Bureau cf Mines, U.S. Department of the Intericr, is investigating biolcgical and chemical deccntaminaticn of cyanide- containing leachates and residues. Biolcgical cyanide cxidaticn, using bacteria isolated from a precious metals tailings pond, destroyed >85 pct of the cyanide in several prccessing solutions containing up tc 280 ppm CN. Reaction time varied from about 4.5 hr in a trickling reactor using quartz as a bacterial substrate to 2 mo in unagitated, covered flasks. Chemical techniques were used to destroy the remaining complexed cyanide down to 1 ppm. Exploratory tests were also conducted using spent ore from heap leach operations as the bacterial substrate to determine if biological cyanide oxidation could be used to destroy the residual cyanide in spent heaps.

Jan 1, 1991

By J. J. Crowhurst

The modem open pit-heap leach operation by Pegasus Gold Ltd. at Zortman and Landusky in Phillips County, Montana, is a new chapter in the mining of gold in these districts. The discovery of bulk tonnage ore bodies and their development and ultimate production was based on a long history of mining and exploration in that part of Montana. Gold was originally discovered in the Little Rocky Mountains as placer deposits by Pike Landusky and Lou Myers. This discovery in the 1880s was not significant, but Pike Landusky continued prospecting for lode deposits, and he eventually located the Gold Bug and Little Ben, two of the larger Au-Ag producers in the district. Eventually two camps, Landusky and Zortman, grew in the LittleRocky Mountains. By the time Landusky was killed in 1894 by Kid Curry, the district was still a discontinuous small producer. Steady production commenced in 1907 with the organization of the August Gold Mining Co. Eventually high grade ores on specific veins were exhausted by selective underground mining and the district was idle by May 1942. After World War II in the early 1950s. E.A. Scholz tried to continue selective underground mining, but he realized the stockworks surrounding the larger veins constituted bulk tonnage targets. Ultimately in the 1976- 1979 period he organized two exploration efforts, one each for the Landusky and Zortman areas, and brought these into production as the Argo and Pegasus gold mines. By the time of his death, Apr. 8, 1980, both operations were producing gold. Later the two companies were merged as Pegasus Gold Ltd. Upon the death of Scholz, V.F. Hollister continued as the geological consultant, Ed Roper was engaged as general manager, and J. J. Crowhurst was given the responsibility of executive vice president. The discovery of open pittable ores and the application of heap leach technology was important in the development of mining. Both contributed to the low cost operation that continues to this day. The attached article by L.M. Rogers, then chief geologist, and M.S. Enders, his assistant, describes the geology of the deposit. It was presented at the Northwest Mining Association meeting in 1982.

Jan 1, 1990

By Rush H. Spedden

Antoine M. Gaudin was a vigorously creative man and throughout his career an internationally respected leader of his chosen profession of mineral engineering. To his professional colleagues and clients and to his former students he was both "Professor Gaudin," their wise, inspiring, and enthusiastic teacher, and "Tony," their warm and beloved personal friend. Thus, his teachings and his unique inquisitive-creative approach to problems live on and grow in the accomplishments of his students. Antoine Gaudin was born at the turn of the century in Smyrna, Turkey, where his father was general manager of a French-owned railroad. It was there that he spent his earliest years, literally in the shadow of classic marbles from diggings at the site of Aphrodesias, which his father had rediscovered. From this, Tony developed an appreciation of the arts. He eventually surrounded himself with art treasures; he reveled in the beauties of nature, and he cherished his choice collection of rhododendron and azaleas. His artistic traits led him to take up painting when his daughter, Elinor, sought his help in blending her tints for a water color. In typical fashion he was not satisfied until he had become adept with pastels in capturing the muted tones of distant landscapes and the technical properties of light and color. Unfortunately not many paintings were produced. His paternal grandfather was Marc-Antoine Gaudin, for many years secretary of the Academie des Sciences in Paris, and a well known chemist and mineralogist whose primary interests included the synthesis of precious stones. In an autobiographical sketch written in 1939, Dr. Gaudin recalled: "As a child I saw many of the original synthetic sapphires and rubies which my father had inherited. This, coupled with my father's avocation of mining ventures and archaeology, early decided that I would become connected with the mineral industry." One can speculate that the archeological activities of his father, the mineral systhesis experiments of his grandfather, and his own early studies of mineralogy and geology formed a base from which his special talents as an experimentalist were to develop. Laboratory research under Professor Gaudin's personal guidance was often an intensive, fast- moving, and exciting experience--especially to a new graduate student. First of all, Professor Gaudin was a highly skilled observer with seem-

Jan 1, 1976

By R. J. Sweigard, R. V. Ramani

Three case studies were undertaken to investigate the role of land use potential evaluation in reclamation planning and to determine the impact of regional differences on final land use plans. The three surface mines studied were representative of operations in the Appalachian, Interior, and Northern Great Plains provinces. The scope of the investigations included a survey of regional characteristics, a detailed investigation of the mining operations and site conditions, and an assessment of local land use planning activities in the area of the mines. Special attention was given to key factors that presently determine the use of reclaimed land. Also, for each case study, the postmining land use potential was evaluated using site planning principles. Specifically, the environmental, economic, and social impacts of several potential postmining land use plans were considered.

Jan 1, 1987

By L. G. Stolarczyk

In-mine Continuous Wave (CH) Radio Imaging method (RIM) instrumentation has the capability of measuring EM wave propagation constants in layered formations. The RIM method is based upon the fact that seams of coal, trona, potash, quartzite, gilsonite and oil bearing sands form natural waveguides for low loss transmission of electromagnetic (EM) waves. The waveguide forms whenever the seam is bounded by more conducting claystone, mudstone, shale or in the case of oil/gas traps, by a floor of saline water. Disturbances caused by faults, shear zones, paleochannels, sills and dikes significantly alter the propagation constant. The analytical values of the EM wave propagation constants depend on the physical and electrical parameters of the seam. The values are presented in this paper in a graphical form to assist in the interpretation of RIM tomographic images. This paper compares in-mine geologic mapping obtained during mining to tomographic images of the geologic disturbance zones in a Central Utah coal mine.

Jan 1, 1989

By D. L. McClure

Gold mineralization at the Colosseum Mine is submicroscopic and associated with pyrite. Pyrite occurs in breccia clasts, replacing dolomite, in crackle breccia veinlets with traces of quartz, and as disseminations in two small, interconnected intrusive pipe complexes of rhyolitic felsite and breccias of felsite and wall/country rock. Breccia types grade from felsite plus wall rock of Pre-cambrian gneiss to cross-cutting breccias "of felsite, gneiss, and Paleozoic sedimentary rocks that are in contact with the Precambrian gneiss terrane one-quarter mile (40Om) southwest of the Colosseum pipes. Mineable reserves are estimated to be 8 million short tons (7.3 million metric tons) at 0.074 troy ounces of gold per short ton (2.3 g/metric ton) at a cutoff of 0.03 troy ounces of gold per short ton (1.0 g/metric ton).

Jan 1, 1988

By D. Gignac, P. A. Studemeister, H. Koza

Two epiclastic horizons in an Archean volcanic sequence host the gold occurrences on the Dunraine property near Wawa, Ontario, Canada. The Grace horizon of cherty and pelitic tuff strikes north-northwest and dips east. Native gold occurs with arsenopyrite in bedlike and podlike bodies of quartz lenses and stringers set in a pelitic matrix. The Parkhill horizon of lithic graywacke with associated flow-breccia strikes southwest and dips south. Native gold occurs with minor sulfides in similar bodies of quartz erratic within the Parkhill horizon. The auriferous bodies occupy paleotopographic channels and troughs within the two horizons. The former producers are the Parkhill mine with 1689 kg (54,300 oz) Au, Darwin mine with 473 kg (15,200 oz) Au, and Van Sickle mine with 48 kg (1536 oz) Au between 1902 and 1944. The gold occurrences are syndepositional with the host volcanic sediments laid during a pause in explosive volcanism. Fumaroles along steep gullies on the flank of a subaqueous volcanic center precipitated aprons of auriferous silica-sulfide mud. Downslope slumping resulted in exhalative debris flows; gold concentrated in flexures and depressions along stumpage channels. Renewed explosive volcanism covered the auriferous sediments with pyroclastic tuffs, arresting the slumping of in situ fumarolic deposits.

Jan 9, 1985

By E. G. Joe

Introduction Uranium mining has been actively carried on in Canada for over twenty-five years mainly in Ontario at Elliot Lake in Bancroft, and in Northern Saskatchewan at the operations of Eldorado Nuclear Ltd. During this period, approximately one hundred million tons of mill tailings have been created and lie mainly on the surface close to the mining and milling installations. If all of the present reserves of uranium ores in Canada are mined, a further eight hundred million tons of mine tailings could be created in Ontario, Saskatchewan, the Northwest Territories, Labrador and British Columbia. The present control of effluents from existing tailings is managed by the operating mines under the regulations of both federal and provincial control agencies. It is the long-term effect of these tailings on the environment that has not been clearly defined or measured. Several years ago, the Canada Centre for Mineral and Energy Technology of the Department of Energy, Mines and Resources, embarked upon a program of research directed at the long-term effects of uranium mine tailings. Much of the research to date has been on tailings in the Elliot Lake, Ontario area where some tailings piles have existed for over twenty years. The program consists of two projects, one to address the problem of existing tailings and the other to examine alternatives in the management of current and future tailings. TAILINGS CHARACTERISTICS Uranium tailings are generally the result of sulphuric acid leaching in which the uranium and alkaline minerals such as carbonates and chlorites are leached out. If the ore contains sulphides, these minerals potentially present an additional hazard of acid generation over time and could increase the mobility of heavy metals and some radionuclides such as thorium-230. Except for the extracted uranium, most of the radionuclides from the ore remain in the tailings pile. Uranium ores in Canada span a wide variety of mineralization and associated gangue composition. Uranium minerals include pitchblende, uraninite, uranothorite, brannerite and the phosphate uranium minerals autunite and saleeite. Gangue minerals vary from acid consuming carbonates, and chlorites to acid producing sulphides and inert silicates. With such a wide variety in ore composition, the characteristics of the resultant tailings in Canada are in many cases site specific and the solutions to the long-term effects of these tailings may also be site specific.

Jan 1, 1980