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By Robert T. McKnight

Introduction The minerals exploration business, like many businesses, is faced with the problem of valuing future, risky cashflows. These cashflows are derived from those mineral deposits which have been successfully commercialized. Many deposits, however, do not have the quantities or grade of ore to be considered economic at the projected metal prices using the traditional tools of the Capital Asset Pricing Model and discounted cashflow analyses. If one calculates the future revenues, costs and cashflows of one these marginal properties, and discounted it at the appropriate risk-adjusted discount rate, it may have a negative present value. Yet such a property may still have real, positive value in the marketplace. Why would a firm pay money for a property with an (apparent) minus present value? Mining properties such as these are bought and sold in arms- length transactions on a regular basis. Why is this so? Part of the reason relates to the nature of ore reserve information. To generate cashflows, the analyst must t assume that the reserve information is known with certainty when, in fact, reserves are not known with certainty. Mineral reserves are a function of commodity price, extraction costs and the level of (usually drilling) information about the reserves. Stated, or currently known, mineral inventories may vastly understate the true state of nature. Some firms may therefore be buying a property based on a completely

Jan 1, 1988

By Fred N. Kissell, Robert J. Timko

Safe escape from coal mine fires continues to be a concern of the mining industry. The most life-threatening fires occur outby the working sections. Because stoppings always leak some air, an outby fire may in time cause intake escapeways to become contaminated with smoke and toxic gases. Smoke and gas infiltration into intake escapeways can be minimized by raising their air pressure over that of adjacent airways. This can be done by checking off the intake escapeway near the working face. The Bureau of Mines has investigated the use of a parachute stopping as a quick-erect check curtain during mine fires, and the concept has been tested in several mines. In every instance, when a parachute stopping was erected on the section, the intake pressure went up substantially. The pressure-raising effect of the parachute persisted for up to 1200 m (4000 ft) outby. Results indicate that checking off the intake escapeway may serve as a viable way to improve safety during mine fires.

Jan 1, 1991

By A. Kalogeropoulos, T. Michalakopoulos

The DEM has been used in several studies to numerically simulate the response of rocks to the cutting action with drag tools. In this research, the aim is to realistically simulate the rock material and the cutting process by controlling the grain interlocking of the numerical assembly and streamlining the calibration process while focusing on the cutting force and the failure mechanism.

Apr 1, 2023

By Ren Xiangwen, Shi Xuefa, Shao Mingjuan, Ye Jun, Yang Yaomin, Li Bing

"The Mid-Atlantic Ridge (MAR), one of the archetypes of slow spreading ocean ridges, extends from the Arctic Mid-Ocean Ridge southward to the Bouvet triple junction making up a significant proportion (~ 40%) of the global oceanic ridge system. During the past few decades, many hydrothermal fields like TAG, Logatchev, Ashasze were discovered along the northern part of the MAR, whereas the southern part, which makes up one third of the ridge (6000km), shows little documentation of hydrothermal mineralization, except for three sites: Site 4°48! the Nibelungen Field, and Lilliput. During March to May 2011, following discovery of three new hydrothermal fields during the 2nd Leg of COMRA's 22 Cruise of the R/V DayangYihao, the 3rd and 4th Legs found another two high temperature hydrothermal fields (SMAR15°S, SMAR26°S), one low temperature field, and several fields with strong turbidity and temperature anomalies in the water column. In this study, we present a preliminarily study of the mineralogy and isotopic geochemistry of the sulfides from SMAR 15°S and SMAR26°S.SMAR 15°S is situated in a SE-NW offset depression of an axial neovolcanic ridge in the median valley, with water depth of about 2793m. In the water column around this field, strong turbidity and temperature anomalies were detected. Ten-meter tall venting chimneys, hydrothermal mounds, as well as a large amount of hydrothermal vent shrimp were also observed and recorded by ROV and deep-tow camera surveys. The samples collected from this field include sulfide chimney fragments, massive sulfides and basaltic rocks. Based on the major metal and the mineral assemblages, three types of sulfides have been identified: 1) Zn-Fe rich sulfides with abundant wurtzite and pyrite zoned fragments, 2) Cu-Fe rich sulfides with much isocubanite and pyrite assemblage, 3) Fe-rich sulfide with massive pyrite fragments. These indicate that this field has undergone at least three phases of mineralization during the venting history."

Sep 1, 2014

By J. C. Fox, V. L. Ketellapper

The Summitville Mine, located in the mountains of Southwest Colorado, is an abandoned gold mine. From 1984 to 1992, Summitville was mined for gold using an open pit heap leaching technology. During this period, the volume of acid mine drainage released from the mine significantly increased. This was attributed to the development of the mine pits, the waste rock piles, the heap leach pad, and increased discharges from the drainage adit. The release of this acid mine drainage resulted in the destruction of the aquatic ecosystem for more than twenty miles downstream of the mine. Beginning in 1993, plans were implemented to reduce the amount of acid mine drainage released from the mine. The majority of this work has been completed at the mine. This work includes removal of the Cropsy Waste Pile, closure of the Heap Leach Pad, and revegetation of disturbed areas. Significant improvements to water quality downstream of the mine have occurred resulting from mine reclamation. Aquatic life has returned to portions of the previously mining impacted areas. This study discusses the actions taken to reduce the amount of acid mine drainage generated at the Summitville Mine, the costs of these actions and the resulting reduction in metal loadings. Over 250 samples taken at over 10 locations since 1993 form the basis of this evaluation. Copper loading is analyzed as an indicator of the effectiveness of the actions taken.

Jan 1, 2002

By V. F. Hollister

The Ivanhoe district, Elko Co., Nevada, is located in the northern part of the Carlin trend of epithermal gold-deposits, but it differs from most mines in the belt in that Ivanhoe epithermal gold ores are found in 14 m.y. old Tertiary volcanic rocks as well as in the better known Paleozoic sediments. Within the Ivanhoe district U.S. Steel (USX Corp.) discovered and partly developed an epithermal gold deposit largely hosted by Tertiary rocks that, with a 167-hole program, was found to contain an open ended probable reserve of 4.0 million tons of heap leachable open pit oxide ore averaging .042 opt Au. An additional 4.0 m.t. of open pit sulfide ore averaging .048 opt Au were also developed. The U.S. Steel orebody was a blind discovery in that it just barely outcropped, and it was found by drilling through a premineral but barren cover of altered Tertiary volcanic rocks.

Jan 1, 1988

By A. Shah, L. W. Saperstein, M. C. Radomsky, D. L. Passmore

The development of microcomputer software that provides an analysis of pit-specific accident and production data for the mining industry is seen as a vital component in a total loss-control system. The Mine Injury Reporting System (MIRS) allows users to access accident and production data prepared by the Health and Safety Technology Center of the Mine Safety and Health Administration of the US Department of Labor for any particular state and to generate a simple, yet informative, report.

Jan 1, 1990

By Charles Rubin

Mining is a capital- and labor-intensive business, and profitability often depends on the ability to squeeze maximum efficiency out of every piece of equipment to achieve safe production. This means keeping every mechanized drill, loader, truck and bulldozer operating at all times, and having a system to coordinate the movements of people and personnel. Mines often use wireless radios to connect equipment with management systems. But growth and changes in a mine?s profile over time can require upgrades to the wireless network. In its openpit gold mine near Carlin, NV, Newmont Mining Corp. has recently upgraded to microwave radio systems to increase bandwidth while maintaining round-the-clock uptime on its wireless network. For many of its operations around the world, Newmont uses Minestar, an operational control software system that allows administrators to dispatch equipment operators and use GPS to track the precise position of every piece of equipment in an operation. Each of the approximately 150 pieces of equipment at the mine has a radio on board. These radios connect to a network backbone that carries information between the equipment and the mine?s operations center. When traffic began to bog down on this network, Newmont upgraded to Exalt microwave backhaul systems to carry dispatch, inventory and control information throughout its operation.

Jan 4, 2010

By Stuart Hammer

The mining industry has seen a flurry of merger and acquisition activity of late. Rising metal prices, increased spending on infrastructure in developing nations and the growing demand for companies to diversify have helped fuel M&A activity in this industry. Many analysts believe that the robust M&A activity will continue, particularly if the demand for mineral resources in India and China remains strong. Because prospective purchasers need to evaluate the various risks confronting target companies, acquiring mining companies requires a considerable amount of due diligence. Of these risks, environmental risk is critical and warrants significant analysis. The failure to properly assess environmental risks associated with remediation, reclamation, compliance or litigation can undermine the transaction. Such assessment is a difficult endeavor, however, due to several challenges that companies face when assessing environmental risks. To make matters more complicated, despite these challenges, many sellers ask buyers to assume all environmental risks with limited post-closing indemnification rights. This article addresses the most significant issues that commonly arise when conducting environmental due diligence and allocating environmental risk in connection with M&A transactions in the mining industry.

Jan 1, 2008

By V. Shchukin

According to the scientific views formed by the middle of nineteen seventies there should be no possibility of commercial diamondiferous kimberlites in the north of the west European platform. However a later analysis of the geological data gave rise to the concept that diamond bearing kimberlites would be present in the north but on the mineralogical level they would differ from kimberlites of South Africa and Yakutia. Further investigations resulted in the confirmation of these conclusions and with discovery at the beginning of 1980 of diamond bearing kimberlite pipes in the Arkhangelsk region.

Jan 1, 1995

Editor’s note: As usual, the June issue features an industrial minerals review. And some thanks are in order. Thank you to the industrial minerals annual-review editor, to the technical committees chair and vice chairs and to the authors of the individual commodity profiles. Jim Norman of GeoTrans Inc. is the industrial minerals annual-review editor. Gary Tomaino, Specialty Minerals Inc., is the chair of the SME industrial minerals technical committees. Technical committee vice chairs include: •Lucy McCartan, U.S. Geological Survey, agricultural minerals as well as sorbents, filter and process aids. •Steve Herron, Oglebay Norton Performance Minerals, ceramics and refractory materials. •Srinivas Veeramasuneni, U.S. Gypsum, chemical raw materials. •William Langer, U.S. Geological Survey, construction materials. •Vanessa Santos, Independent, fillers and pigments. •Richard Berg, Montana College of Mineral Science and Technology, specialty minerals. Their help makes possible this June industrial minerals issue. On behalf of the readers, the editors thank them.

Jan 1, 2003

By R. D. Hamilton, W. J. Miles

In 1987, the International Agency for Research on Cancer designated crystalline silica as a 2A probable carcinogen. As a result, crystalline silica is regulated under the Hazard Communication Standard as a probable carcinogen at a concentration of 0.1% or greater in the workplace. Crystalline silica will be listed as "reasonably anticipated to be a carcinogen" by the National Toxicological Program. This designation of crystalline silica as a probable carcinogen has created major issues for the mineral and chemical producer, including labeling, hazard communications, marketing a material with potential hazard exposure, and potential liability. The State of California also regulates crystalline silica under Proposition 65 in products as a carcinogen, based upon the IARC determination that it is a probable carcinogen. More federal and state regulations are anticipated as a result of the IARC classification of crystalline silica and its subsequent federal regulation. Respirable crystalline silica has been regulated as a hazardous dust for many years by OSHA. This regulation was initiated to prevent silicosis, another occupational disease. OSHA has established monitoring devices for determining the concentration of airborne respirable silica in order to measure exposure to this substance. The accurate determination of the crystalline silica content is critical to dealing with these health risks and regulations. In the past, crystalline silica was considered to be safe and, because of its ubiquitous nature, little effort was made to determine or quantify its presence in most materials. The Hazard Communication Standard requires that a1l products containing 0.1% or greater crystalline silica must be properly labeled for this material and its hazard. Unfortunately, the 0.1% threshold was not chosen on the basis of established analytical capabilities for crystalline silica, but results from general limits for potentially carcinogenic chemicals and substances. Numerous methods have been developed for the determination of crystalline silica in a variety of products. However, these methods are not generally applicable since they must be specific for silica in any of its crystalline states and not just for total silica content. Chemical tests for silica are not difficult and quite accurate at the 0.1% level; however, in addition to its crystalline phases, it occurs in amorphous phases and in a wide variety of crystalline and amorphous silicates. In general, there is little correlation between total silica content and crystalline silica.

Jan 1, 1991

By Paul M. Godlewski, Joseph P. Gildner, David S. McAllister

With construction underway on the 22.5 km (14 mile) Initial Segment of the Link Light Rail transit system in Seattle (including the one-mile EPB-driven running tunnels and mined station at Beacon Hill), the Sound Transit Board on May 20, 2004 voted on selection of a preferred route for an approximately eight-mile extension northwards from the central business district to Northgate, and authorized immediate start of advanced conceptual/preliminary engineering and geotechnical exploration programs scheduled to be completed in Spring 2005. The extension includes approximately914 m (30,000) route-feet of bored running tunnels, a mined station with platform level approximately 60 m (200 ft) below grade, three (possibly four) cut-and-cover stations and a cut-and-cover cross-over structure, as well as an aerial terminal station at Northgate and other line-section below-grade and aerial structures. All tunneling will be in glacial soils.

Jan 1, 2005

By Victor Rudenno

Cut-off grade is one of the most critical parameters affecting project cash flow. Its sensitivity is due to the number of other parameters that are correlated with any change in its value. Changes in cut-off grade, average grade and ore tonnage vary and they in turn can affect such parameters as capital and replacement costs, recovery, life of the project and operating costs. Perhaps one of the best definitions of cut-off grade is that of Taylor (1), "... any grade that, for any specific reason, is used to separate two courses of action, e.g. to mine or to leave, to mill or to dump ... . Obviously the most likely specific reason is one governed by economics, involving the return of investment and sufficient profit to motivate development and mining of the deposit. In this paper the cut-off grade is defined as that mining limit which will maximise the economic return for a projected mining venture. The following brief literature survey indicates that when computing the optimum cut-off grade there is a need to be able to directly compute the Discounted Cash Flow Rate of Return (DCFRR) or Net Present Value (NPV), as economically as possible, while allowing for parameter dependencies and variation in project structure.

Jan 1, 1979

By R. E. Le Messurier

GENERAL DESCRIPTION The mines are located at Broken Hill in the western part of New South Wales, Australia, 930 km west¬northwest of Sydney. Mining Methods Where pillars must be left between stopes, extraction of a block of ore between two or more levels is carried out in stages: 1) Stopes are mined overhand by horizontal cut¬and-fill stoping, or by long-hole stoping. The various methods of horizontal cut-and-fill stoping used are desig¬nated as: -Loader cut-and-fill stoping with horizontal blast¬holes and diesel load-haul-dump (LHD) units. -Open stoping with horizontal blastholes and com¬pressed air or electric scrapers, or with diesel or electric LHD units. Square-set timber stoping, where ground condition precludes open stoping. The backs are sup¬ported with timber square sets. Pattern rockbolting of the backs may be used as an intermediate stage between open stoping and square-set stoping. 2) Vertical pillars are mined by undercut-and-fill stoping or by vertical crater retreat stoping. 3) Where a horizontal pillar has been formed below the level above the primary stope, this level pillar, usually 6.1 to 8.2 m in depth, may be mined by over¬hand square-set stoping or by undercut-and-fill. Long-hole stoping is used at the Zinc Corp. (ZC) and New Broken Hill Consolidated (NBHC) to mine parts of the zinc-rich A and B lodes. Drilling is carried out from drill drives and, in some cases, sills. Hole sizes used are 165 mm (61/2 in.), 110 mm (4'h in.), and 65 mm (21/2 in.) nominal diam with hole lengths being limited to 50, 30, and 20 m respectively. Ammonium nitrate-fuel oil (ANFO) and water gel explosives are used. Broken ore is loaded from drawpoints at the bottom of the stope using rubber-tired diesel-driven LHD units which deliver ore to an orepass. Annual production at Zinc Corp. and NBHC accord¬ing to mining method is given in Table 1. At Zinc Corp. mining is being carried out at depths varying between 200 and 832 m. At NBHC it ranges from 528 to 915 m below the surface. The average travel time to the stope is 30 to 45 min. GENERAL ORE BODY REQUIREMENTS Size, Shape, and Dip There are six separate lodes which carry minable ore in the mines of Zinc Corp. and New Broken Hill Consolidated. The lowest of these and the main ore bodies presently being mined at Zinc Corp. are the lead lodes, consisting of a siliceous fluoritic ore body (No. 3 lens) and overlying it a calcite rhodonitic ore body (No. 2 lens). Each possesses characteristic ratios of lead, silver, and zinc, although the grade within each lens is variable, in places being as high as 30% Pb. There are also low¬grade portions which consist chiefly of poorly mineral¬ized rhodonitic material. No. 3 lens terminates within the Zinc Corp. leases, while No. 2 lens continues into the NBHC leases where it continues to provide a significant proportion of pro¬duction from the mine. Overlying the No. 2 lens are the various zinc-rich ore bodies. In ascending sequence these are lower No. 1 lens, upper No. 1 lens, A lode, and B lode. A typical assay for the small No. 1 lens group ore bodies is 8% lead, 50 g/t silver, and 20% zinc. The `A' lode is a large low-grade ore body in which the higher grade sections assay 4% lead, 30 g/t silver, and 10% zinc; larger quantities of lower grade ma¬terial also occur. B lode, the main zinc lode, typically assays 5% lead, 30 g/t silver, and 17% zinc. B lode increases in size as it extends south, and in NBHC is a major ore body, contributing about 52% of the production. All the lodes pitch south, the average pitch being 0.52 rad (30°) in the Zinc Corp. leases and rather flatter than this in the NBHC leases (see Figs. 1-3). The ground is all competent rock. Production requirements at Zinc Corp. are 900 000 t and 1 200 000 at NBHC.

Jan 1, 1982

By A. T. Iannacchione

From 1990 to 1996, 16 states reported 92 injuries from falls of roof, rib or face in the more than 90 underground stone mines in the United States (Fig.1). Missouri, Pennsylvania and Kentucky accounted for 48% of the total number of injuries (Fig. 2). Of this total, 11 miners were killed. Of the 11 fatalities, 10, or 91%, were associated with unrecognized loose or failed rock within the roof beam. Additionally, unrecognized roof beam failures resulted in a majority of the falls of ground injuries occurring in underground US stone mines from1990 to 1996. This number is not large in magnitude. But a workforce of fewer than 2,000 miners makes for a high fatal-accident rate. The severity of the typical fall-of-ground injury is, in general, very high. About three-fifths of all roof, face and rib fall injuries were designated by the US Mine Safety and Health Administration (MSHA) as some kind of lost time accident. MSHA assigns each accident a severity value from one to six. A one represents a fatality, a two, a permanent disability and three, a lost time accident (Fig. 3).

Jan 1, 2000

By G. P. J. Schmitz, F. S. Gouws

In flotation processes the structure of the froth phase contains a wealth of information regarding the behaviour of the plant. Various structural features of the froth phase provide an indication of the froth viscosity, froth stability, mineral content, bubble size, etc., which can all in turn be related to the performance of the plant. In this paper the application of machine learning techniques to exploit information from digital images of the froth phase of industrial flotation plants is discussed. This includes both connectionist techniques to identify control decisions necessary to maintain optimal operation of the plant, as well as symbolic methods, such as induction techniques. Both approaches are used to classify froth structures based on statistical features derived from digitized images of the froth surfaces. It was found that backpropagation algorithms perform significantly better than either non-incremental or incremental induction. Backpropagation algorithms requires significant user input in order to optimally train the neural network as opposed to induction, which requires little user input. In contrast to back propagation, decision tree induction produces easily understandable decision trees which can be incorporated into a rule base or an expert system. Finally, incremental induction provides a simple means to smoothly and continuously adapt induced rules to follow changing process conditions.

Jan 1, 1996

By L. E. Krys, K. D. Harrison, S. M. Nordwick, C. G. Anderson

Since 1984, nitrogen-species catalyzed pressure leaching has been utilized at the Sunshine Mining and Refining Company for the recovery of precious metals from a refractory sulfide concentrate, The process operates without the use of cyanide. The plant is now the only industrial-scale commercial application of this technology. Since the inception of the process, changes have been implemented to improve efficiencies and throughputs. Two of these changes, the replacement of nitric acid by sodium nitrite and a concentrate regrind, have recently been implemented. This paper will discuss the outcomes of these recently patented plant-process changes. In particular, a comparison between the previously used method and the new leach method is made. Also discussed is the potential applicability of the process to other materials. A companion publication (Anderson, Harrison and Keys, 1996) indicates possible mechanisms responsible for the success of these process changes.

Jan 1, 1997

By William F. Abercrombie

The role of the laboratory is described in relation to the prospecting and exploration of kaolin clays. Test methods used to evaluate crude ore samples of kaolin clay for commercial consideration are reviewed. A background of the kaolin mineral and known means of prospecting this mineral are presented. Common analytical methods are discussed with special emphasis on those in use today.

Jan 1, 1982

In February 2001, Kalgoorlie Consolidated Gold Mines (KCGM) commissioned its first full-scale ultra fine grinding (UFG) plant to supplement existing roaster concentrate treatment capacity. This process involves the fine grinding of refractory pyritic concentrate to 10µm, followed by direct cyanide leaching for the recovery of gold. By this means gold is economically extracted from the concentrate without the need to first oxidise the host pyrite. This paper details the history of the project from initial laboratory testwork comparing possible treatment options, to current performance of the 12 tph plant. This includes the cost comparison of the major treatment options, the laboratory and pilot scale UFG performance, the UFG mill selection, cyanide leaching of UFG product, commissioning and plant performance to date.

Jan 1, 2002