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By Herbert H. Einstein, Edward C. Tse, David B. Ashley

INTRODUCTION Decision-making in the design and construction of underground facilities must be made under conditions of varying geologic uncertainty, uncertainty which can have a major cost impact if not properly regarded. Of the two approaches for dealing with this variability, preparing for the "worst" anticipated conditions and optimizing design and construction in-situ, preparing for the "worst" conditions is the more if not solely conventionally practiced method in the United States. While the conventional approach is recognized at times to be extremely overconservative, it will remain preferred until a more adaptable method is shown to be economically superior. This paper presents research aimed at providing just such answers as to when and if an adaptable tunnel design and construction approach is more cost effective than a non-adaptable one. To fully understand the characteristics of this choice between adaptable and conventional tunneling alternatives a summary discussion of adaptable methods is presented. An acknowledgement of the importance of geologic and other factor uncertainties in making this decision leads to the adoption of decision analysis as a quantitative methodology for formalizing the problem. Exercising this methodology on three prototypical tunneling scenarios--urban deep, urban shallow, and transmountain--allows an isolation and ranking of the most crucial factors in making the basic approach decision. One scenario, a transmountain highway tunnel, is carried further through a detailed probabilistic analysis to show under what conditions of varying uncertainty adaptable approaches possess economic advantages.

Jan 1, 1979

By A. Fred Gelding

Introduction In preparing this paper considerable time was spent attempting to find some upbeat data about the mining industry, so those of us in the field could feel somewhat better about future prospects. Much to my regret, I failed to uncover substantial evidence that our near-term or, for that matter, our long-term opportunities appear all that bright in North America. That is certainly not the kind of assessment anyone likes to hear or accept as even a possibility. Those remarks may, on the surface, appear far too pessimistic. This industry will experience a recovery and most likely will see conditions begin to improve later this year or early next. The kind and degree of recovery, however, will more than likely differ from those experienced in the past. Fundamental Changes Clearly, the fundamentals on a world scale of our business have undergone important changes. In recognizing these fundamental changes, mining authorities believe productivity advances are needed to change the direction mining has taken in recent years. The really tough question is whether increases in productivity will be enough to change the course of events that has dominated the mining sector for the past decade. Before one can provide an honest answer, an appraisal of what has and is happening now is necessary. Here are some changes and events that have taken place that effect domestic mining and will probably continue: • Mineral-rich lesser developed countries (LDCs) in Africa, South America, and Asia-Pacific have reached a point where they have developed the needed mining infrastructure to not only produce at a high rate, but in many instances, at a lower cost than fully developed countries. Just as importantly, these countries, even if they do not enjoy lower costs, will produce for world export with government subsidies because min¬ing products are key in obtaining badly needed foreign exchange. • These producing countries also have the distance advantage of lower labor, environmental, and other important regulatory costs. If that were not enough, these same countries have minerals with considerably higher grade ore and, in some cases, much lower cost accessibility. • Exporting North American commodities is impaired by a dollar that continues to strengthen against other important currencies around the world. There are other impediments to overcome, but these represent some of the realities our industry faces. Can those obstacles be overcome through improving productivity? In the past, this industry has offset the impact of these events to a sizeable degree through innovations of mining techniques, equipment and processes, and by increasing the size of its individual operations to reduce costs. Will further enhancements along these lines be enough to alter this changing balance in the future? While there is no answer, it is apparent that if we do not mount a full-scale assault in some key areas, our prospects will not be encouraging. Productivity improvements throughout the entire chain of the mining industry most certainly rates as a high priority. Every link in that chain from mine planning, equipment selections, and transportation considerations needs to be examined and reexamined to assure the lowest effective cost is developed. Quality, while oftentimes costing a little more initially, is still the most cost effective purchasing decision to make. Regulations Another area of concern is regulations, be they environmental or those that dictate what must or must not be done in running our business. Certainly, I do not suggest that we not protect our environment. However, there is an acceptable balance that has, over

Jan 11, 1983

By Ora H. Rostad

Veins containing silver and gold values, with some associated values in copper, lead, and zinc, were discovered in 1890 by Will Kirwin in what was later designated the Kirwin mining district situated on the North Fork of the Wood River, about 56 km (35 miles) west of Meeteetse. (See Fig. I.) After considerable prospecting activity, including the driving of several short adits on veins, most of theclaims in the district were consolidated into two ownerships. One was held by the Galena Ridge Mining Co. which was organized on Nov. 18, 1902. The other was held by the Shoshone Mountain Mining Co. which was organized on Mar. 23, 1903. During the period from 1903 to 1907 inclusive, the two companies continued exploration on veins in their respective areas. The major exploration-development activity for the Galena Ridge Mining Co. was the driving of the Galena Ridge crosscut adit for 709 m (2327 ft), to cut veins at depth which had been explored by short adits high on Galena Ridge. Shoshone Mountain Mining Co. concentrated their work on the Bryan and Pickwick veins. Neither of the companies found ore that was rich enough to sustain profitable operations in that remote locality. Most of the major exploration and development activities were stopped in late 1907. A major snowslide in February 1907 killed three people and destroyed several buildings and may have contributed to discouragement in the area. From 1908 to the early 1920s, only minor exploration work was done. Galena Ridge Mining Co. was dissolved Aug. 5, 1922, and Shoshone Mountain Mining Co. was dissolved on Mar. 23, 1923.

Jan 1, 1991

By Ronald I. Fuller

Core Laboratories, a division of Western Atlas International, maintains laboratories in all energy-producing areas of the United States, as well as in many foreign countries. Central to laboratory operations has been the incorporation of computers and computer software. Core has developed a mu1tiuser Laboratory Information Management System (LIMS) , which is currently installed in numerous company sites in the U.S., and is now undergoing installation in Canada. In addition, Core has provided custom soft ware to contract laboratories which Core operates on behalf of mining firms. The software development was done under the direction of the author in Denver, Colorado, and Casper, Wyoming. The intent of this paper is to pass some of the practical experience gained by our efforts on to those who wish to utilize computers more fully in the laboratory setting. The product of analytical laboratories is numbers. Nothing else comes from our work. We deal in information about samples. It is then reasonable to assume that the computer would be central to a laboratory operation. The hard part is to initially define what kind of computer the lab operation needs. The choices today can be very complex, and almost every hardware salesman is full of bad advice. Even the people in your own information services department may hold divided opinions. Since the advent of the personal computer, we have lived with a polarized data processing community. The PC boys consider their machines equal to any challenge, while the "save the mainframe" crowd view the PCs as limited toys that are only good for the things that clutter up a real computer. Management tends to lean toward whatever costs the least.

Jan 1, 1989

By Paul C. Jones

Summitville is an old mining district located south of Wolf Creek Pass in the southern San Juan Mountains of Colorado at an elevation higher than 3500 m (11,500 ft). The Summitville mine site is about 40 km (25 miles) southwest of Del Norte. The current mine, developed by Galactic Resources Ltd. and its subsidiaries in the mid-1980s, is on the north facing side of South Mountain. The area is drained by Cropsy Creek to the east and Wightman Fork to the north, both tributaries to the Alamosa River. Mining in the Summitville area began in 1870 when James Wightman discovered placer gold on what is now known as Wightman Fork of the Alamosa River. The first vein-type deposits were located in 1873 on South Mountain near the current Summitville Mine. Mining began in the district in 1875 and continued sporadically through 1942. Major mining episodes occurred from 1875 to 1894 and from 1926 to 1942. Total gold production from the mining district through 1949 totaled 7.5 t (240,000 oz). An additional 7.7 t (249,000 oz) were produced during Galactic's tenure. Natural degradation of the outcropping sulfide-rich veins in the area and the early mining activity, including development of the Reynolds, Dexter and Iowa drainage tunnels in the late 1890s, have polluted the streams draining the area with heavy metals and acidic water. Names of the various tributaries to Wightman Fork, such as Iron, Alum and Bitter Creek, testify to this natural pollution. This degradation has reduced, or killed, aquatic life in several area creeks, including Wightman Fork, for many years before recent mining activity.

Jan 1, 1993

By Robert D. Talvensaari

It is indeed an honor for White Pine, as a member of the copper mining industry, to participate in this Rapid Excavation Conference. Although our presentation, as the title indicates, is not a success story, we foresee, through our experience, future application of boring machines and rapid excavation equipment in the hard rock mining industry. One might ask what a copper mining company would be doing with boring machines and why the gamble on a high-cost, capital investment for a relatively untried application. Perhaps a little background on the White Pine mine and its geology will explain our daring and speculative motives. THE WHITE PINE MINE The White Pine Copper Company, a wholly-owned subsidiary of Copper Range Company, operates a mine, mill and smelter at White Pine, Michigan in the western Upper Peninsula approximately 6 miles due south of Lake Superior. We employ approximately 3,000 people from the surrounding area and mine approximately 25,500 tons of low grade (1%) copper ore per day. The orebody is contained within several distinct sedimentary horizons that comprise the lower 20 feet of a Precambrian formation known as the Nonesuch Shale. Numerous articles and reports have described many aspects of the White Pine operation and the geology. I will brief you only on that criteria which precipitated our interest in rapid excavation equipment and techniques, specifically, boring machines. Mineralogical and optical studies have demonstrated that the siltstones, sandstone and shale beds all contain relatively barren and discrete particles of quartz (25%), feldspar and mica, bonded with

Jan 1, 1974

By Ian M. Loomis, Malcolm J. McPherson

A fuel-rich fire exists when the quantity of fuel exceeds the oxygen available to support complete combustion. The transition of a mine fire from Oxygen- rich to Fuel-rich combustion, at this time, represents a point-of-no-return in the fire fighting efforts. Once the transition has been made to fuel-rich the fire can spread at a rate 6 to 10 times as fast as in the oxygen-rich state. Utilizing available technology the fire fighters are left to seal the fuel-rich fie as the only technique to extinguish it. In order to minimize the devastating effects of a fuel- rich fire it is important to understand the means by which the fire becomes fuel-rich and by what means the fire may be returned to an oxygen-rich state. This paper covers: the development mechanism of a fuel- rich fire in a coal mine entry and the physical and chemical effects of applying water to a fire. Experiments concerning these matters have been conducted in a 30 cm square wind tunnel constructed at the Virginia Polytechnic Institute and State University as a model coal mine entry. This paper also addresses the results obtained in testing application of a water mist to fuel-rich fires in this model. These tests have centered on the development profile of a fuel-rich fire in a duct and demonstrate a means of regaining control of a fuel-rich fire by returning it to an oxygen-rich state.

Jan 1, 1995

By F. N. Kissell

The US Bureau of Mines undertook a study of those factors influencing worker escape from an outby coal mine fire. The results of this investigation were two-fold. First, those factors affecting escape from a mine fire were defined, and second, the relationships between these factors were identified. Although the individual components had been studied before, little information was available on their interdependence. Fault tree analysis was used to evaluate the miner escape scenario. After constructing the fault tree, a two-phase analysis of the tree was conducted. During the first phase, the minimal cutsets of the fault tree were identified and ranked. These sets were the smallest sequence of events leading to fatalities during the fire. This ranking revealed that reduced evacuation delays, improved self-rescuer training, and improved stopping construction were important in controlling fatalities during escape from the mine fire. The second phase involved additional analyses of the fault tree. These evaluations were started by first determining occurrence probabilities for each event in the fault tree. Two types of sensitivity analyses were then conducted. The first analysis dealt with changes in event probabilities and their impact on the likelihood of fatalities. The final sensitivity analysis considered dramatic reductions in the probability of fire fatalities. This revealed what event probability values were necessary to reach this level. These results have revealed various remedial actions that could be used to improve the survivability of an outby mine fire.

Jan 1, 1990

By R. C. Kirkman

Your interesting and well-written paper brings up the issue of the purpose or use of a mineral property appraisal, specifically the value of these evaluations when the quality and quantity of the mineral resource to be exploited have not been thoroughly investigated. I am not a practicing professional in regards to valuation of limestone investment opportunities. I simply wish to make a few generic observations about the appraisal process in order to stimulate meaningful thinking by appraisal professionals whose reports may be reviewed by professional investors and "laypersons" alike. It is my contention that the analysis given in your paper is very thorough, considering the data that was made available to you. But I would not like to be the person responsible for investment decision making without having a feel for the risk involved. Therefore, the reviewer must classify this type of analysis as relatively "subjective" because they have not received an indication of the inherent risk involved in exploiting a mineral resource. This risk can best be quantified by using probabilistic methods in conjunction with the quality and quantity of the mineral to be produced. Most appraisals passively ignore this problem. Specifically, you have accurately identified the various costs and values entering the economic appraisal process. These can usually be quantified with a great deal more certainty than the capability of the resource to provide 25 years of quality material. Also, in Cases A (West Virginia) and B (Alabama), you are fortunate enough to have previous operations data. What if there had never been production from these properties? How does a potential mineral property investor evaluate the resource capability to meet various projected financial outcomes without spending a good deal of up-front capital to drill and delineate enough quality resources for a 20-plus year operation.

Jan 1, 1990

In west-central England, 183 m (600 ft) below the Cheshire Plain, lie the evaporate remains of an ancient sea. Stratified into nine beds of salt separated by marl bands, the deposit stretches roughly 21 x 12 km (13 x 7.5 miles) and contains reserves of rock salt estimated as high as 400 Gt (440 billion st). The Winsford Salt Works, one of England's largest underground mines, extracts the Cheshire salt and sells it for use as animal feed, for application in de-icing programs, and as a key ingredient in sodium fertilizer production and a variety of other industrial processes. Because road de-icing is an important market, demand for Winsford's salt varies with the severity of British winters. Design capacity is 2.25 Mt/a (2.5 million/year). However, production peaked at 2 Mt (2.2 million st) in 1987. Over the past five years, annual production has averaged 1.6 Mt (1.7 million st). Run-of-mine salt averages 92.5% NaCl, mixed with about 5% marl. The marl was formed by deposition of a reddish dust blown into the Cheshire basin from deserts in what is now central Europe. Association with the marl adds color to the salt, producing tea-colored crystals that resemble unrefined sugar. Adaptation of coal mining systems Rock salt mining in the Winsford district began at least as early as 1682. Mining at the current site dates from 1844 but was shut down from 1892 to 1928. In the early 1900s, a series of catastrophic collapses and floods plagued and ultimately shut down then-active Cheshire brine-salt producers. Subsequently, Winsford reopened and began adapting mechanized underground coal mining systems to rock salt extraction.

Jan 1, 1992

The minerals industry contributes to the economic growth, prosperity and quality of life of nations, particularly in areas where there might be limited opportunities for employment in other sectors. However, notwithstanding their economic importance, the minerals extraction and processing industries are considered to have significant impacts on the surrounding environment. In recent years many mines have implemented modern monitoring technology and modelling of the monitored environmental parameters to provide scientifically proven indicators about the state of the environment. The flexibility required by the minerals industry to respond dynamically to a changing natural, social and economic environment has become a major consideration. Whilst the notion of continuous improvement is embodied within most environmental management systems, what is now required is a structured audit trail which tracks the flow of resources through the production process to the ultimate environmental impact associated with their consumption, transformation and disposal. Imperial College is coordinating an EC funded project, which is developing a methodology to minimise the ?full life-cycle? impact of metalliferous mining projects, adopting an integrated approach to production and process design, and the costs involved. In order to develop a life cycle assessment (LCA) system that will incorporate different types of data related to the minerals extraction operations, a data inventory was designed and coded in an object-relational database model. The calculation procedures accounting for the input/output balance of the alternative scenarios for mining production, processing, waste disposal, monitoring, and their financial implications are being programmed into a software system. This paper presents the rational and innovative aspects of this work. The methodology developed for the life cycle database is illustrated for the mining production and gaseous emissions components of the system.

Jan 1, 2003

By Richard L. Daley

Today's subject of discussion, "OSHA AND ITS PROBLEMS", must be covered in the time allotted with a slight tongue in cheek approach, for if one is to believe that the "problems of OSHA" can be covered in a twenty minute review, he, himself, has one of three problems: 1. He has residual combat fatigue left over from World War II. 2. He is an egomaniac. 3. He is afflicted with both of the above. Clearly, the difference between divinity and humanity lies in their work. All human endeavor is plagued by errors and omissions, and unless one would be so facetious as to equate bureaucracy with godliness, our government-sponsored ventures seem to receive more than their share of missive missles with which to combat the ills of our society. Coming from an industry known for its undertaking of gargantuan projects, I feel capable of looking at things from the big picture perspective. No one would deny that the massive influx of government, both in the monetary and supportive personnel roles, has accomplished much. But only we, as tunnel constructors, have moved countless mountains of muck, placed endless yards of concrete and engaged the public on numerous fronts and in spite of all, at times have even made a profit! Profit! What a dirty word in our society today. It makes one shrink back from the filthy overtones dripping with the cloying scent of decay. Never shall we judge the success of our government programs with such a slimy yardstick as profit. No, for that which has been conceived in the bowers of Camelot, the measure must be more elevating and inspiring. Something to bring a proud bearing to our efforts! Nothing has helped to alleviate the suffering of man as much as medicine. The eradication of typhoid, polio, and

Jan 1, 1979

By Werner A. Ruemmele, Steven R. Wardwell

INTRODUCTION The first phase of the Los Angeles Metro Rail Project consists of 7.1 km (4.4 miles) of subway and stations running through downtown Los Angeles from Union Station to MacArthur Park. Shank-Ohbayashi has two of the tunnelling contracts on this initial phase: A-171 and A-146. Contract A-171, the Wilshire/Alvarado Line, involves tunnel construction beneath 7th Street from the 7th/Flower Station to the Wilshire/Alvarado Station. The project consists of the excavation and lining of 3000 m (9900 ft) of twin-bore, 6.7 m (22 ft) excavated diameter, 5.5 m (18 ft) finished diameter subway tunnels. Contract A-146, the 5th/Hill to 7th/Flower Tunnels, comprises 1220 m (4000 L.F.) of twin-bore tunnel identical in cross section to the tunnels in Contract A-171. The majority of the excavation on Contract A-171 is beneath city streets in a weak siltstone/claystone bedrock with cover varying between 10 m and 25 m (32 ft and 82 ft) to the street surface. Approaching the 7th/Flower Station some fine-grained alluvium is encountered. The tunnels on both contracts are excavated with an open face digger equipped shield. On Contract A-146 the tunnel alignment is a 305 m radius curve of approximately 550 m (1800 L.F.) length underneath several multi-storied buildings of various construction. Excavation is still ongoing on Contract A-146. The contractor's choice for initial tunnel support on both contracts is a system of precast concrete segments similar to what the contractor had used on 7 miles of tunnel in Phoenix, Arizona, for the Arizona Department of Highways.

Jan 1, 1989

By Harry M. Conger

Good afternoon, fellow members of the international mining community. I appreciate the opportunity to participate in this special three-day, international gathering, and to join with you in honoring one of my very good friends, Doug Fuerstenau. It couldn't be more fitting to have this kind of event to mark Doug's 60th birthday. You know, in addition to his faculty position at the University of California in Berkeley, Doug is a member of the Board of Directors of our Homestake Mining Company. So it is a double pleasure for me to help pay tribute to one of the outstanding academicians of the mining industry as well as a man with whom I work closely in running Homestake. I have been asked to talk about "The Future of Precious Metals," but I will concentrate my remarks on gold. Since the theme of this Symposium is "Challenges in Mineral Processing," what I'm going to talk about is a challenge that relates especially to a major problem faced by those of us who process ores to recover gold. I noted that in the Scope of this Symposium, it stated: "the mineral industry is currently facing many challenges to improve the economics, operating efficiencies and environmental concerns of the mineral processing system." I couldn't agree more with that statement. I think that a need exists for us to address this situation as it involves gold. And who better to consider this than the worldwide leaders of mineral processing research here assembled. I start with the premise that we need a new method for cyanide use or a chemical to replace sodium cyanide entirely. In the case of using cyanide differently, I see a continuing difficulty in getting general public acceptance regardless of how

Jan 1, 1989

By Richard Newcomb

It is four years since the seminal study of demand for rapid excavation by the National Academies of Sciences (NAS) and Engineering outlined this technology's opportunities, requirements and significance to the challenges of urbanization and natural resource conservation. The demand study was quite simple. Opportunities were valued at market while requirements to produce new technologies were valued at cost. The significance of new technology in economic terms was measured by the net discounted gains to users over time. The Academy view in 1968 was that these gains, even most modestly estimated, appeared large enough to justify the bill for research proposed by that Committee (1). In 1970 the question of demands became international in what is recognized as the first international experiment in technological policy analysis, terminating in the Advisory Conference on Tunneling of the Organization for Economic Cooperation and Development (OECD)(2). A monumental demand survey formed the basis for its economic assessment. The twenty-two OECD nations also made an impressive attempt to measure the magnitude of existing research and development efforts. In their recommendations periodical statistical demand forecasting and collection of demand data (Recommendation 1) was given central importance for public planning (Recommendation 2), the financing of public construction (Recommendation 3) and the encouragement of technological advance (Recommendation 4). Their program for international cooperation led to OECD's establishment of a Directorate for Environmental Affairs, and influenced the organization of the World Environmental Conference meetings now held in Stockholm under United Nations auspices. The OECD Conference was the first example of "an attempt to apply the concept of technological policy analysis to a 'civilian' technology having potentially

Jan 1, 1997

By Joe Komadina

DOUG HALBE: Our next topic is one that I would think everyone might want to contribute to. I'm sure everyone here has had some experience in this area. If you haven't, I'd suspect you've never really run a mill. This is what we call "Horrible Spill Areas We Had When We Started Up the Plant and How We Fixed Them." Our next speaker has had a really great operating career. He had many years with Newmont in the Carlin area, and now he's executive vice president and chief operating officer of Independence Mining Company: Jim Komadina. I don't have to be nice to the speakers anymore, do I? [laughter] You may wonder why we picked Jim Komadina to give this talk. I was involved many years ago in the start-up of Newmont7s Gold Quarry plant. Jim held quite a responsible position there. I'm not going to say anymore, but I have in the back of my mind this picture of the pump floor and a rowboat and a guy rowing around on the pump floor. [laughter] Jim, was that you? [laughter] JIM KOMADINA: Probably. I wasn't responsible for the design. [laughter] Actually it's amazing. I've seen a lot of these plants and actually had the opportunity to walk around them, so when I say this, "Horrible spills I have seen and done," it's because I've been responsible for more than my fair share of them. But having seen a lot of spills, I will present a little bit of wisdom about how to prevent them.

Jan 1, 1998

By Robert F. Baker

Neanderthal technology is a harsh and inaccurate way to describe modern underground construction and mining practices, but such an exaggeration helps to focus on a major problem or wasted opportunity of modern society. Why is it not safer to excavate in the underground? Why are the working conditions still so unfavorable? Why are urban freeways, shopping malls, warehouses, power plants, sewage disposal treatment plants, and similar facilities still constructed on the surface of the ground--because it is a better location? On the contrary, if underground technology made full use of existing knowledge, underground resources and space would be much more effectively used. And why is the technology so inadequate? Certainly, researchers and practitioners are aware of the shortcomings and are equally aware of problems that have to be overcome. One of the most important reasons has to do with the type of policy goals that society has set in the past. Policy makers may have agreed that improvements would be desirable but no serious commitments have been made--that is, there has been no major allocation of resources to advance these technologies. And yet, to bring about significant changes will require significant time and resources. The resources that are needed are far in excess of what industry can afford to invest, particularly since the pay-off may be far in the future. So the problem reverts to society in general. As long as society is willing to tolerate the present costs and safety requirements for recovering minerals and for constructing underground facilities, then the changes will be slow in coming. Until such time as society sees and desires the benefits

Jan 1, 1974

By G. A. Campbell

Mining companies have been very interested in the presence of a number of small but high-grade ore bodies of base metals in northern Wisconsin and the west/central section of the Upper Peninsula (UP) of Michigan. The region is rural with outdoor recreation/tourism and lumbering being the key industries. The economy of the region is based on the use of its natural resources, and mining is not a new activity to the region, especially the UP. The western UP was historically a key mining district for copper and iron, and today the central UP has a significant iron-mining district. However, all efforts to develop the base metal ore bodies have been met with a storm of controversy involving the local community, regional activists, Native Americans, and the state government, and only one mine has gone into operation. There is concern by some stakeholders about the sustainability of mining in communities that depend on the environment for tourism, recreation, and other commercial activities. There have been four attempts to get the necessary approvals to mine in this region: the successful Flambeau Mine effort (Wisconsin), the failed Crandon project (Wisconsin) and Lynne project (Wisconsin) efforts, and the continuing effort to get the Eagle Project (UP of Michigan) approved. The cases are presented to illustrate the project situation, the history of the permitting effort, and the opposing parties and their concerns. The case of the Eagle Project is looked at in detail by using the method of discourse communities and discourse analysis. Results of the analysis provide insight into the communication efforts to address community concerns about sustainability and what more can be done to improve this dialogue.

Jan 1, 2008

By M. F. Gleason, S. Burns, J. R. Arnold

In 1986, Gold Fields began negotiations with a large Nevada electrical power utility to supply power for its Chimney Creek mine in northern Nevada. After the long negotiations reached an impasse over various costs associated with the power line, a decision was made by Gold Fields to generate its own power. Self-generation is not uncommon overseas, but it is rare for any but very large or very small operations in the United States. Surprisingly, under certain conditions a mine can generate its own power profitably, and Gold Fields has found that the associated operating and maintenance problems are minimal. The following report details what factors went into this decision and how it works. Hopefully, it can serve as a guideline for those who may find themselves in a similar position. History In the spring of 1986, Davy McKee Corp. was contracted by Gold Fields Mining Corp. to provide design engineering and construction management for the chimney Creek Mine. Chimney Creek is located about 50 mi northeast of Winnemucca, NV in a remote part of Humboldt County. The nearest industry using utility power was the Pinson Mine, about 13 mi from the proposed plant site. The existing electric line was not capable of carrying another mine the size of Chimney Creek, which required 29 million kwh per year. There were three options available to Gold Fields for the power supply: 1 )Power could be supplied by the public utility from a coal-fired plant about 30 mi away by constructing a new line to the mine,

Jan 1, 1991

By Richard Keith Corbin

INTRODUCTION The purpose of this paper is to assist explorationists and entrepreneurs in deciding whether to invest in gold mining concessions in lesser developed countries (LDCs) and, if so, in deciding which LDCs provide the best opportunity. The first decision is difficult in the face of common notions that foreigners are not welcome - only their money; that the best gold deposits were worked out long ago; that even if you survive the mal- aria, and in spite of 51% control by a national partner, you manage to profit from a new discovery, they will tax your operation to death, or worse yet, nationalize it. Close scrutiny of what happened to foreign investors in LDCs during the “Mexicanizationt” of the 1930's through the "Zambianization" of the 1970's shows that many of these concerns are well-founded historically. But the trend of knowledgeable writers over the past decade seems to be away from this gloomy foreboding, and towards a cautious optimism, based on recently perceptible metamorphoses in certain LDCs' conditions and attitudes. If the explorationist or entrepreneur decides to seize on this apparent opportunity, the second decision -- which of these certain LDCs to invest in -- is doubly difficult, because of the formidable tasks of coming up with a rating system to provide rational comparison, and then gathering enough current, reliable information to apply. To assist in these tasks, a suggested rating system and case studies, respectively, follow a brief review of recent writings on the subject

Jan 1, 1987