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By Rodney J. Ishak

The reduction of Mn3O4 to MnO has been investigated in a thermobalance apparatus, The charge was composed of manganese ore (decomposed by heating/calcination or pre-reduction to mainly Mn3O4) and coke. The material was charged to a crucible, which was suspended in the balance. CO-gas was distributed through a grid in the bottom of the crucible. Two sizes of ores were used; 2.4-4.8 mm and 6,7-9.5 mm. Coke particles were in the size range 4.8-6.7 mm. Experiments were conducted in the 900-1100°C temperature range. The composition of the product gas was monitored continuously. External mass transport between bulk gas and particle surface does not seem to limit the rate of reduction. Assuming that both diffusion through product layer and chemical reaction at the interface between MnO and Mn)04 are rate controlling, the data was tried both in a shrinking core model and in a grain model using regression. The grain model gives the best physical description of the process, because the reactant is in fact a porous medium. With this model the effective diffusivity was calculated to be in the 1.5-6.10.5 m2/s range. The pore size was mainly between 0.1 and 10 um,

Jan 1, 2003

By Karl J. C. Harries

"9.1. INTRODUCTIONIn Chapter 5 of Volume I royalties are dealt with and several topics would appear to be duplicated in this Volume. However, Volume I may be looked upon as a general guide, whereas this Volume is a reference volume. It deals in considerable detail with specific provisions and concepts relating to royalties between private parties. This does not, however, mean that Chapter 5 can be ignored. It should be looked upon as a source of general information concerning royalties between private parties and as a negotiating aid intended to give an overview of various topics. You may well find that in its general approach it will lead you to ask a question which, hopefully, will be dealt with in this Volume .It should be remembered that royalty agreements are agreements with a particular focus, and so the concepts set forth in Chapter 1 apply to them. This chapter addresses a few considerations specific to royalties that will usually form part of an agreement rather than a stand-alone agreement.9.2. FORMAT FOR ROYALTY PROVISIONSIn many of the cases where royalties arise, they are adjunct to, or part of, other arrangements. For example, a royalty may form part or all of the consideration to be given to an owner upon purchase of his property, or it may arise if a joint venturer ceases to contribute to the venture and has his interest converted to a royalty.1 It is with such situations that this section primarily deals; if the royalty is contained in an agreement that is singularly, or primarily, concerned with creating it, then it is just a normal agreement.Commonly, by the time the right to receive the royalty arises, at least some of the other provisions of the agreement have been performed and/or become redundant. For example, in an option agreement the royalty will be a continuing obligation of the optionee, usually arising only after the option has been exercised.2 In a joint venture agreement, a royalty will often arise where the interest of a non-participating venturer has been diluted and converted to a royalty, in which case the recipient will usually become a passive party, entitled only to his royalty, and most of the rights that he enjoyed as an active venturer will cease to be effective."

Jan 1, 2003

By D L. Richardson, B Tiedt, C D. Morgan

Following residentsÆ concerns that the ongoing operations of Collinsville Coal (CCP) mine may be resulting in the release of contaminants, including products of acid mine drainage (AMD), into downstream environments, the Queensland Environmental Protection Agency (QEPA) issued CCP with a Notice to Conduct or Commission an Environmental Evaluation at Three Mile Creek. A key objective of the Environmental Evaluation was to assess the extent and magnitude of impacts to aquatic communities and their habitats. A multidisciplinary investigation examined a suite of physical, chemical and biological indicators to meet this objective. The study also aimed to identify contaminants of concern and the location of potential pollutant sources. Potential indicators of AMD, including elevated dissolved solids concentrations and low pH, were evident within the mine lease. However, significant differences in concentration of these indicators upstream and downstream of the confluence with Three Mile Creek were not observed. Although only proxy indicators of AMD contamination, these results suggest that the extent of impacts downstream is minimal. For the purpose of this study, physio-chemical indicators were selected on the basis of those best likely to provide an understanding of the likelihood of contamination, within the constraints of readily available long-term monitoring data. Ecosystem health indicators were adopted to supplement the existing data set and provide a more æroundedÆ perspective of water quality attributes within the system, generally unattainable by standard physio-chemical assessments. In contrast to AMD products, sediments were considered more likely to have a widespread impact on aquatic ecosystems. Waterways throughout the study region, including those unaffected by mining, have been affected by broad-scale sedimentation and were typically highly turbid. Due to the many diffuse sources of sediment potentially liberated within the catchment, the contribution of the mine compared to other land uses on total sediment loads entering streams is difficult to determine. This is clearly a major management issue for mines throughout the Bowen Basin. Streams of the central Queensland region display enormous variability in water flows and physio-chemical characteristics over a range of spatial and temporal scales. This variability presents major difficulties in distinguishing anthropogenic impacts from natural variability (noise). Despite this variability, impact monitoring by mines in the central Queensland district has tended to focus almost entirely upon physio-chemical indicators. The results of the present study indicate that a multiple indicator approach to environmental assessment is more useful for separating mine related impacts from natural ænoiseÆ and impacts from other land uses. In the absence of such information, by adopting the precautionary principle of Ecologically Sustainable Development (ESD), there is potential for an environmental impact to be incorrectly attributed to mining when other activities in the catchment may be contributing to changes in stream æhealthÆ.

Jan 1, 2003

By Ulrich Maidl

The use of EPB shields in the so-called mixed face conditions has set new demands to man and machine in EPB shield tunneling. EPB shields were initially conceived to drive in the pressurized closed mode in soft ground, whereas hard rock TBMs were designed to work in the unpressurized open mode. The present use of EPB shields in hard rock and mixed face conditions requires the combination of both technologies by finding best compromise solutions. This paper deals firstly with the geotechnical and mechanical interactions between machine and ground. Further on the critical points such as tool wear and tool replacement are exposed, together with a proposal of best solutions.

Jan 1, 2003

By J Webster-Brown

The Tui Mine is an abandoned Pb-Zn mine giving rise to water quality problems in the Te Aroha region of Coromandel, New Zealand. When sampled in September 2002, for example, both the Tui and Tunakohoia Streams draining the mine site exceeded ANZECC (2000) water quality guidelines for aquatic life protection (Cu, Cd and Zn) and recreational quality (Cd). Based on trace metal mass flux (kg/yr) from parts of the mine site, the principal pathways by which Cu, Zn and Cd contamination reach these streams have been identified as:the tailings dam leachate,the diverted stream water from above the dam,the drainage from Adit 5 (which accounts for 95 % of Zn and Cd contamination in Tunakohoia Stream), andto a lesser extent, run-off from waste rock piles below Adit 4 level. Of the various remediation options, which have been proposed for the site, the following are identified as providing the best protection for the Tui and Tunakohoia streams:stabilising the tailings dam embankment and capping the embankment and tailings,constructing and/or cleaning out engineered diversion drains around the perimeter of the tailings dam to divert surface water away from the tailings dam, andinstalling bulkheads within Adit 5. A formal postal survey of the people of Te Aroha (66 respondents from 230 surveys) indicated that their priority was that the site be made safe for the public to visit, and used for recreation. As soil samples in potential recreational areas of the mine site, significantly exceeded guideline values for Cu, Pb, Zn, Cd and As, soil removal or capping clearly also needs to be part of a remediation plan. Development of the site as a historical/ecotourism area was viewed favourably, as this may encourage more visitors to the Te Aroha area as well as educate local residents.

Jan 1, 2003

During the first five years of operation, the Lihir gold mine has steadily increased plant throughput rate to over 4 Mtpa, well above the original design capacity of 2.8 Mtpa. Understanding how future variations in ore type impact on plant performance has been an integral part of LihirÆs development program. This paper discusses the key drivers for significant improvements to the plant, including a second oxygen plant, a pilot flotation plant, an autoclave heat recovery circuit, a pebble crushing circuit and additional autoclave feed pumping capacity. The result is a process plant with the flexibility to accommodate variations in ore type without significant loss of throughput.

Jan 1, 2003

All large open pits in Australia have been mined, or are planned to be mined well below the local water table. This raises several issues that impact on mine safety, mining costs and regulatory approvals. Some pits will be æwetÆ, where they are mined through permeable horizons and where there will be measurable groundwater inflows. These will require some form of dewatering. There may also be some difficulties in the disposal of excess water. Other pits, may be ædryÆ, where they are mined through impermeable material and there are no measurable groundwater inflows but where there are stability issues related to hydrostatic pressures within the pit walls. These may require some form of depressurisation. Some pits are a combination of both. Effective management of groundwater inflows and groundwater related stability issues and the development of cost effective and environmentally acceptable dewatering and depressurisation systems requires an understanding of site specific hydrogeological conditions and practical experience in what works best for different conditions. The presentation will include an outline of the key hydrogeological factors that impact on large pits, practical methodologies for achieving dewatering/ depressurisation, and some case studies from the Goldfields, Pilbara and North Queensland.

Jan 1, 2003

"Adopted in 2003, theses guidelines are intended to assist the Qualified Person(s) in the planning, supervision, preparation and reporting of mineral resources and mineral reserve estimates. The report is divided into two broad sections “General Guidelines” appropriate for most metals and “Guidelines Specific to Particular Commodities” for potash, industrial minerals, uranium and coal. “These guidelines are reference in the Companion Policy of NI 43-101 with a statement that a qualified person classifying a mineral deposit as a mineral resource or mineral reserve should follow them.”Executive SummaryThe following is a summary, in table format, of the main elements of the Estimation Best Practice Committee's report ""Estimation of Mineral Resource and Mineral Reserve Best Practice Guidelines"". While the summary table is provided for convenience, the Committee recommends that the report be read in its entirety and the table summary not be used as a stand alone document. These guidelines are not intended to be either prescriptive or exhaustive. They do not preclude innovation. Preamble: These guidelines have been prepared by the Canadian Institute of Mining and Metallurgy and Petroleum (CIM) led Estimation Best Practices Committee. They are intended to assist the Qualified Person(s) (QP) in the planning, supervision, preparation and reporting of Mineral Resource and Mineral Reserve (MRMR) estimates. All MRMR estimation work from which public reporting will ensue must be designed and carried out under the direction of a QP in accordance with National Instrument 43-101 (NI 43-101) and related forms. A QP is defined in NI 43-101 as ""an individual who is an engineer or geoscientist with at least five (5) years of experience in mineral exploration, mine development, mine operation, project assessment or any combination of these; has experience relevant to the subject matter of the mineral project and technical report; and is a member in good standing of a professional association"". Disclosure of MRMR estimates is to be made in accordance with industry standard definitions approved by the CIM (the CIM Standards adopted by the CIM Council in August 2002) which have been incorporated by reference into NI 43-101."

Jan 1, 2003

By C Kusi-Manu, E Nyamusika

Geita Gold Mining Limited (GGML) is owned and jointly managed by Ashanti Goldfields Company (Ghana) and Anglogold (South Africa). The mine is currently one of the largest gold producing open pit operations in Africa producing 620 000 ounces of gold and mining in excess of 70 000 000 tonnes of material per annum. The mine currently has 2000 full time employeeÆs and a mine life in excess of 12 years. Geita Gold Mine is comprised of 11 different gold deposits situated in the Lake Victoria Goldfields of North Western Tanzania (Figure 1). The gold deposits are primarily associated with banded ironstone formations within an Archaean greenstone belt. Current global resources, including Inferred, stand at 129.5 million tonnes grading 3.91 g/t (16.2 M oz). Open pit reserves total 70.4 million tonnes grading 4.16 g/t (9.4 M oz). The majority of the gold resource is hosted by the three deposits (Nyankanga, Lone Cone and Geita Hill) within the æGeita TrendÆ a large and continuous (>4 km long) mineralised zone (Adofo, 2002). Geita Gold Mine commenced operations in June 2000, as the second large-scale open pit gold mine in Tanzania. The new workforce of 800 people had no previous experience in open pit gold mining. Since the start of the operation, Geita Gold MineÆs management ambition was to become a world leader in the application of best practice in all technical disciplines and in operational success. Staff development and training was identified as one of the major components in the company achieving its aim. Geita Gold MineÆs management has committed the necessary training staff, resources and the commitment of over $US 1 M a year to staff training and development programs for 2003 and 2004. The process and management of Geita Gold MineÆs mining geology staff training and development program is presented in this paper.

Jan 1, 2003

By F D. I Hodgson

Twenty-seven observation test pits were excavated at four different spoils dumps at three collieries in the Witbank Coalfield. The holes were dug into the upper three metres of the spoils to ascertain if any weathering profiles, variation with age or influence of topsoil covering could be gauged. Samples from these holes were also subjected to laboratory testing (ABA, humidity cells and mineralogy on several selected samples). The test pits showed that there was a good correlation between in situ paste pH-values and ABA results for samples taken from the pits. At all the collieries, no correlation between age of spoils and in situ acidity could conclusively be drawn. The depth of soil cover also appears to be a minor consideration in determining the eventual acidity of the spoil. In the pits where acidity was found, the weathering was evident when contrasted to areas still buffered. It is unclear if the weathering leads to the acidity or vice versa, as the soil covering appeared to be similar. The spoils proved to be extremely variable with regard to particle size and material on a micro and macro scale. Evidence from most of the holes suggested that there was enough water contained in the fine material in the spoils to support the initiation of acid generation. Conclusions from this investigation are that the mineralogy of the spoils is the most important factor in determining the eventual occurrence of acidic hotspots, and that prior characterisation and selective handling will provide the best management practice for these spoils.

Jan 1, 2003

By Varadarajan Seshadri

The performance of mould fluxes in satisfying its quality requirements can have a significant effect on the efficiency of the continuous casting process and on the surface quality of the products. This performance is affected by various parameters including the characteristics of the mould fluxes, the quality of the steel being cast and the operational conditions of the caster. The extremely complex relationships involving the parameters mentioned above make it very difficult to have simple criteria for selecting mould fluxes for casting a certain grade of steel in a continuous casting machine. These difficulties led steelmakers and mould flux suppliers to select mould fluxes based mainly on plant trials. In the present work, a software to help in the analysis and development of mould fluxes for continuous casting was developed_ This software includes several models for prediction of mould flux viscosity and consumption. A mathematical model was also used to predict the heat flux through the mould flux. The proposed methodology was applied to continuous casting of crack sensitive steels_ Some of the results given by this software are presented, discussed and compared to plant data.

Jan 1, 2003

By L Smith, R Beckie

Controls on environmental loading from acid rock drainage (ARD) are not well understood in waste rock material. In particular, relationships between subsurface flow and the timing, duration, and intensity of leaching of metals and acidity from waste rock dumps remain ill defined. This study investigates field-scale relationships between subsurface flow processes and geochemical processes in unsaturated waste rock. A 12-metre tall, unsaturated waste rock pile, constructed in 1994, was deconstructed and sampled at Key Lake, Saskatchewan, Canada, during the summer of 2000. A detailed sampling methodology was developed to characterise physical and chemical properties of waste rock material within the waste rock pile. Physical properties were characterised by measuring soil-water suction, volumetric water content, and grain-size distribution at 60 random locations within the pile and grain-size distribution at 20 grid locations within the pile. Attempts to develop a field-based soil water characteristic curve from physical field-data failed due to spatial variability and hysteresis of waste rock properties. As a result, grain-size distribution was used as a relative measure of subsurface flow. Paste pH, pore-water geochemistry, mineralogy, and water-soluble extraction results were used to characterise geochemical processes and sulfide oxidation at each of the 20 grid locations. Geochemical characterisation results demonstrated the preferential weathering of marcasite relative to pyrite and chalcopyrite. Dolomite was the main buffering carbonate mineral. Gyspum, jarosite and iron oxyhydroxides were the main secondary minerals. Pore-waters contained up to 800, 11.7, and 6 mMolar (78 000, 690, 1400 mg/L, respectively) of sulfate, nickel, and uranium, respectively, suggesting significant weathering has occurred. Measures of weathering indicators show no discernable correlation with grain-size distribution nor do they show any spatial relationship within the sampled grid. Reasons for this may include limited duration of waste rock exposure to weathering and development of fluid flow-paths, and limitations of characterisation methods used. Indeed, six years may not be long enough for weathering patterns to develop due to fluid flow-paths in this unsaturated waste rock pile.

Jan 1, 2003

"These guidelines, implemented in 2003, were recommended by the Diamond Exploration Best Practices Committee established by the Canadian Institute of Mining, Metallurgy and Petroleum. The guidelines are applicable to public companies and their consultants reporting diamond exploration results.“The guidelines are referenced in the Companion Policy of NI 43-101 with a statement that disclosure regarding the reporting of diamond exploration sampling results should conform to them.”Reporting GuidelinesThe following guidelines have been recommended by the Diamond Exploration Best Practices Committee established by the Canadian Institute of Mining, Metallurgy and Petroleum. These guidelines are applicable to public companies and their consultants reporting diamond exploration results.In respect of these guidelines, Diamond Exploration Results are results derived from the initial activities undertaken to investigate a diamond bearing prospect or deposit, to generate tonnage, grade and value estimates that cannot be classified as a Mineral Resource or Mineral Reserve. They do not address the earlier stage reporting of geophysical, geochemical or kimberlite indicator mineral results.Public reports of Diamond Exploration Results relating to mineralization not classified as Mineral Resource or Mineral Reserve must address the confidence limits of the result and contain sufficient information to allow a considered and balanced judgement of the significance of the results.The objective of these guidelines is to assist public companies and consultants in making appropriate disclosure of diamond exploration results by reporting in a manner which is:Uniform within the diamond exploration industry; Consistent with reporting from other industry sectors .Comprehensive .Unambiguous .The guidelines are not prescriptive. Materiality is the overriding principle that determines the information that should be disclosed. However, where a company or consultant deviates from the guidelines, the disclosure or technical report should state the extent to which the guidelines have not been followed, and the reasons for the deviation.The guidelines do not in any way replace jurisdictional reporting requirements (For example, the requirement for Canadian reporting issuers to comply with Canadian Securities Administrators National Instrument 43-101 by having technical disclosure endorsed by a Qualified Person as defined in that legislation)."

Jan 1, 2003

By Lenny Winkel

With the aim to develop a solar-driven process for the extraction of copper from sulfide concentrates research on the decomposition of copper sulfides under inert atmospheres has been initiated. Thermogravimetric measurements on chalcocite,(Cu2S) revealed that copper is formed already at 1823 K. Chalcopyrite (CuFeS2) also disintegrates at this temperature, although at a lower rate. Copper and iron have been identified in the solid residue. The results confirm the feasibility of copper extraction by direct decomposition of sulfides under atmospheric pressure. The decomposition under inert atmosphere prevents generation of SO2, it also alters the behavior of volatile impurities during decomposition of copper sulfide concentrates. Chemical equilibrium calculations for chalcopyrite contaminated with enargite (Cu3AsS4) have shown that the absence of an oxidic slag allows for a complete evaporation of arsenic and subsequent separation from intermediate sulfides. The need to better assess the potential of direct sulfide decomposition has prompted the development of an experimental setup for studying the decomposition reactions. The experiment has been devised such that data on the decomposition kinetics and on impurity removal can be obtained at temperatures up to 2500 K.

Jan 1, 2003

By F. -Z. Ji

Carbon injection into metallurgical slag is important in electric arc furnace (EAF) steelmaking for foamy slag practices and in nonferrous slag cleaning operations. The current publication presents kinetic data for coal injection into EAF slag to understand the interaction between injected carbon and metallurgical slag. Coal particles were injected into EAF slag and the kinetics were followed by gas and slag analysis. The results were analyzed, in terms of fundamental rate equations for each possible reaction step, as a function of temperature and slag composition.

Jan 1, 2003

By Brian G. Thomas

Quality problems in continuous casting of steel can be identified as they occur by monitoring mold signals (level sensor, thermocouples in the mold walls, friction etc.) and taking appropriate action (such as slowing casting speed, changing taper, changing a clogged nozzle, or later visual inspection of the surface for possible downgrading. Surface depressions and groups of deep oscillation marks form at meniscus and reduce local heat transfer as they move down the mold at the casting speed. This slows shell growth, increases shell surface temperature, and causes characteristic dips in mold thermocouple signals. More importantly, they are also associated with longitudinal cracks. Characteristic thermocouple signatures have been identified for many defects, including sticker breakouts, transverse depressions and deep oscillation marks, narrow-face bleeds, transverse comer cracks, longitudinal cracks, mold level fluctuation defects, and other problems. With the help of computational models, these mold signals should be used to troubleshoot defects, and to take appropriate corrective action. Keywords: Continuous casting, defect detection, thermocouple signals, on-line control

Jan 1, 2003

The BHP Billiton Cannington mine uses sequential flotation to treat a silver, lead and zinc ore supplied from an underground mine. The final products from the process plant are a silver rich lead concentrate and a zinc concentrate. Operational history of plant performance highlighted that the majority of valuable metal losses to final tailing occurred in the -5 ¦m fraction. Research completed on the flotation characteristics of this size fraction in plant feed resulted in the development of a split flotation process to improve the silver and lead mineral recoveries. Construction of a $A 9.5 million brownfield project to install the new split flotation circuit at Cannington was completed in July 2002. The circuit consists of three stages of cyclone classification to recover the ultra fine material to a final cyclone overflow stream, conditioning of this pulp to achieve optimal process conditions, and conventional rougher and three stage cleaner flotation to produce a silver rich lead concentrate. The rougher tail from the new circuit is recombined with the cyclone underflow streams and processed through the original lead-zinc flotation circuit. This paper discusses the circuit design, material properties, material selection for components of the circuit, operational practices and requirements to ensure the circuit succeeded in meeting production targets. The technology is subject of a number of patent applications including international application No PCT/AU02/00400.

Jan 1, 2003

Confirmation that acid drainage (AD) was a significant environmental issue for the Australian minerals industry came in 1992 with the first national workshop on the topic. Subsequently the extent of AD was documented in a national survey published in 1997. The recommendations arising out of that survey served as a platform for actions by government, industry and industry-support organisations such as the Australian Centre for Mining Environmental Research (ACMER) to enable more effective prevention and management of AD. This paper briefly documents the extent of AD in the industry, the government regulations and guidelines for AD management, industry initiatives, the role of ACMER and other organisations in assisting industry through research and technology transfer, and the efforts being made to deal with AD at derelict mines. Future management of AD in the industry will be assisted by the linkage of Australia (through ACMER) into the International Network for Acid Prevention (INAP) which is facilitating the interchange of knowledge on AD as well as coordinating global research on the topic.

Jan 1, 2003

By P. A. Manohar

This paper describes an implementation of the Potts model for simulation of grain growth in 2D on a distributed-memory parallel architecture. The simulation scheme utilizes a continuous-time, asynchronous parallel version of the n-fold way algorithm. Each Processing Element (PE) carries a piece of the global simulation domain while the virtual topology of the PEs is in the form of a square grid in 2D and Torus in 3D. Different PEs have different local simulated times. Inter-processor communication is carried by the Message Passing Interface (MPI) routines. Sample results for grain growth simulation in 2D are presented for a 840 x 840 global domain size distributed over 16 PEs. The grain growth kinetics obtained in the simulation of pure, isotropic systems is in good agreement with the theory. Grain size distributions obtained in the parallel simulation are well described by the lognormal distribution, thus validating the simulation procedure. Keywords: Metropolis algorithm. n-fold way algorithm, asynchronous parallelization, grain growth

Jan 1, 2003

By Karl J. C. Harries

"8.1. INTRODUCTIONThe purpose of this chapter is not to provide precedents or examples of provisions, but rather to offer some comments that may be worth considering in the negotiation or review of an agreement. These comments are not intended to be exhaustive. It must also be noted that, although the chapter is written in the context of a common law joint venture, the concepts and concerns for the most part apply equally to a corporation that is owned by only a few shareholders for the purpose of participating in the project held by the corporation.The corporation has the advantage of having much of its organization established by local corporate law, but the particular wishes of the shareholders will appear in a shareholders’ agreement. The principal differences will be surprisingly small, save for the acquisition provisions that appear in a farm-in agreement1 and the substantial portion of the joint venture agreement devoted to creating and organizing the joint venture entity. Where the joint venture agreement refers to venturers and committees, the shareholders’ agreement will refer to shareholders and the board of directors, but both will have to deal with such basic matters as decision-making, default, dispute resolution, first refusals, funding, and carrying out work on the project. For convenience, this chapter usually refers to “venturers”, which may be taken to include shareholders.Negotiations give rise to many varying circumstances and concerns, and the main asset of the negotiator is an open and flexible mind. A desired result can often be accomplished indirectly in circumstances where the other side has adopted an inflexible position on a suggested approach. As precedents and standard forms tend to focus a negotiator’s thinking, they can be counterproductive. It is after the deal has been agreed to that a precedent can be of great assistance to the draftsman.The concepts are arranged in alphabetical order for convenience, not to suggest their sequence or position in an agreement or their relative importance. An agreement should adopt a progression of subjects in what the parties consider a logical sequence to read and work with. However, experience has indicated that it is best to set out in a single article the substance of the deal (i.e. the terms relating to the farm-in and what the acquiring party has to do to acquire his interest), preferably near the beginning of an agreement. The acquisition of the interest is, after all, the first order of business. The joint venture provisions will then follow in a reasonable sequence. It is also worthwhile to devote a single article to any special provisions that may apply during the earn-in period. For example, it may be provided that, although all work is to be done by the acquiring party as operator (with the duty of care, liability, and reporting requirements as set out in the joint venture sections of the agreement), but during the acquisition period, the acquiring party, acting as operator, may be at liberty to do such work as he wishes, without the need for any committee or other approvals, and committee meetings may be suspended.2An agreement is divided into paragraphs and articles to make it easier for the parties to read and understand, and to assist a party in finding “that provision” when the need arises. A comprehensive table of contents will also assist the parties who must work under an agreement. An added benefit of a table of contents is that in preparing it, the draftsman sees the overall structure of the agreement and will often catch and correct flaws."

Jan 1, 2003