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By H Plewes, A Bur, L Murray, J Pottie

Water recovery from tailings for reuse in mineral processing is essential to operation of mines in the Atacama Desert of Chile. With annual rainfall of 5 mm, the prudent and efficient use of available water resources is a major issue for the Escondida Mine and other mines in the area. The Escondida Mine is located at an altitude of 3100 m, in a very arid, seismically active part of the Atacama Desert of northern Chile. The site is located about 170 km from the coastal city of Antofagasta. From 1994 to 2002, tailings were discharged into the Hamburgo Tailings Facility, which comprises a series of æpaddiesÆ located near the open pit and mill. Because water in the region is only obtainable from groundwater sources, the paddy system incorporated a number of design features with the aim to maximise water recovery from the tailings. As part of the recent mill expansion to 237 500 metric tonnes per day, a new tailings facility, the Laguna Seca Tailings Facility, projected to be one of the largest tailings facilities in the world, was commissioned in 2002. Extensive studies were conducted for the design of the new facility to predict water recovery from the conventional wet disposal of tailings. The predictions were calibrated against the performance of the Hamburgo Tailings Facility and subsequently re-calibrated against actual performance during the first year of operation at the Laguna Seca Tailings Facility. Initial operation of the Laguna Seca Facility was marked by a coincidental change in tailings characteristics from design, which highlighted the need for thoroughly understanding tailings behaviour during deposition, and the parameters and deposition techniques that could enhance water recovery. Systems have been put in place to manage the tailings deposition and respond to changes in key parameters such that water recovery targets can be reliably achieved. This paper describes the background studies that were conducted to evaluate evaporation and tailings behaviour, summarises the water balance and then presents some observations from the commissioning and start-up of the facility.

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 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 B Watson

The ConSep ACACIA Reactor is a device, which utilises a high intensity cyanidation process to achieve very high, usually near total, recovery of gold from gravity concentrates. The process utilises a fluidised bed and a chemical oxidant to enhance the gold dissolution kinetics to the point where the bulk of the dissolution occurs in a few hours. For convenience and security, most plants operate a 24-hour turn around. The product from the process is in the form of cathode gold ready for smelting by traditional means. The ConSep ACACIA Reactor performs a two-fold role. Firstly it increases gravity gold production, leading to a decreased CIP feed grade. Secondly, it removes slow leaching components from the plant leaching circuit. This two fold benefit leads to the following efficiencies: enhancement of the dissolution kinetics; enhancement of the adsorption kinetics; reduction of the gold load reporting to the carbon; a significant reduction of the ægold in circuitÆ lockup; and removal of slow leaching entities which can also result in a lowering of the required cyanide concentrations in the leaching circuit and a subsequent reduction in overall cyanide consumption. The above benefits are discussed in this paper, with a particular focus on the ConSep ACACIA ReactorÆs role in removing slow leaching components, with data generated over a 21-month period. Improvement in overall plant recovery via removal of slow leaching gold species is achieved in two ways. Firstly, some of the slow leaching entities, successfully leached under intensive cyanidation, are not always fully leached under plant conditions. This results in a lowering of the solid tailing. Secondly, the faster leaching kinetics achieved in the plant as a result of the removal of slow leaching entities results in faster and more complete adsorption of the dissolved gold onto activated carbon. This results in a lowering of the solution tailings. The construction and operation of the ConSep ACACIA Reactor is simple. Apart from the reactor body, which is a proprietary design, all components of the system are æoff the shelfÆ or specific to the siteÆs requirements. In operation of the fully automated version, a PLC controls a series of valves and pumps but except for a daily changeover process the only operating component for the bulk of the time is a relatively small solution pump. The process can be totally automated giving the security of a æhands freeÆ concentrate handling process up to the point where the product is presented as cathode gold. The ConSep ACACIA Reactor was developed by Anglogold Australia (formerly Acacia Resources) for Union ReefÆs Gold Plant and has been in production since February 1999. It has proven to be a low cost, high recovery, mechanically reliable method for the processing of gold concentrates. Such has been the success of the plant, as of June 2003 there are eighteen full installations of the processing plant installed at mines owned and/or managed by Anglogold, Newmont, Placer Dome, Independence (formerly Lonrho), Sons of Gwalia and Harmony.

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

By J Krahn

In designing climate exposed soil structures such as caps and covers over mine waste it is necessary to include the wetting and drying influences of the local climate in order to accurately predict the net water, vapour and oxygen fluxes across the ground surface and through the base of the covers. The most advanced evaporative flux modelling tools currently available to practitioners have been limited to rigorous one-dimensional models (ie SoilCover) or semi-empirical two-dimensional models (ie Hydrus-2D). It is common practice to use the rigorous one-dimensional evaporative flux model results to develop a surface boundary function that can then be applied within a saturated/unsaturated two-dimensional model. However, this is not an ideal situation and results in a further approximation of the real system being modelled. This paper will highlight the use of a new modelling tool, VADOSE/W, which brings existing, rigorously formulated evaporative flux theory into the familiar setting of a two-dimensional model. The model is enhanced for simultaneous two-dimensional oxygen gas transport analysis, which has direct application in the mine waste industry. A key focus of the paper will be addressing the limitations of one-dimensional analysis for cover systems on sloping and hummocky terrain.

Jan 1, 2003

Many operating hard-rock sulfide mines are predicted to require perpetual post-closure management to prevent environmental degradation. Causes include evaporative concentration of metals and other solutes in pit lakes, and acid rock drainage from sulfide waste-rock, tailings, and pit benches. Dilemmas posed by the prospect of perpetual management include: uncertainty in predictive models typically prevents reliable bounding on forecasts for the timing or magnitude of environmental impacts; comprehensive closure designs that can meet environmental standards may not be economically possible, particularly when applied retroactively to mines permitted under less stringent closure requirements; the publication of site-specific environmental analyses in peer-reviewed journals are discouraged in the current regulatory environment, hindering scientific advancement; and the durability of financial and government institutions cannot be assured for the long-time horizons over which mine impacts are predicted to occur. Re-evaluating mine closure in a framework of sustainable development (as proposed by the Mining Mineral Sustainable Development forum), can resolve, in part, these dilemmas. Key sustainability goals include: assurance of the social and economic well-being of the local community; assurance of the long-term environmental integrity of the region; and establishment of institutions capable of addressing (and learning from) long-term environmental management. Under a sustainability framework, impractical plans for immediate attainment of perpetually-stable closure may be replaced with a fund for long-term management of environmental impacts (eg through contaminant migration controls and exposure barriers), and a set-aside long-term growth reserve intended to eventually fund more complete closure. Fund expenditures would follow Adaptive Managementùa template for environmental-management institutions in which knowledge accumulated and uncertainty acknowledged explicitly. Under adaptive management, trusts would be flexible entities, supporting an evolving program of monitoring, predictive model refinement, and treatment. Periodic value of information analyses would target data collection efforts, refining the balance between predictable cost and uncertainty. This framework could overcome present-day financial shortcomings, enhance the field of environmental science, and meet the needs of future generations through the propagation of capita.

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 J Simpson, M Johnston

Recently Mount Isa Mines undertook a study to review the lead-zinc orebodies to extent of resource and reserves and determine the new life-of-mine schedule, as the Mount Isa and Hilton orebodies had not be reviewed for many years. Also, the recovered value of the Mount Isa, Hilton and George Fisher orebodies had been increased by major performance improvements in the lead-zinc concentrator. The Mount Isa Lead-Zinc concentrator processes fine-grained lead-zinc ore from the Mount Isa, Hilton and George Fisher orebodies. These orebodies have varying levels of pyrite and large variation in the grain size and texture of the galena, sphalerite and pyrite. This variation has a large effect on the recovery of the lead and zinc in the concentrator. Some ores achieve 90 per cent recovery at target grades, yet other ores are unable to achieve æsaleableÆ concentrate grade, with no metal being recovered to concentrate and therefore effectively losing the contained metal to the final tailings. Models were created to predict the metallurgical performance of these orebodies, to better reflect the variation that occurs. These improved metallurgical models and economic data allowed the determination of the Net Smelter Return (NSR) for each block in the geological block model. This NSR is the return to MIM of the metals contained in concentrate. The NSR was used as the cut-off grade criteria when determining the value of the ore. This formed the basis of the lead-zinc life-of-mine schedule and the optimisation of the lead-zinc business.

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

By Hiromichi Ohta

Precise thermal properties of molten materials are essentially required for analyzing the metal production process. These properties are also important as a clue to consider the dynamic structure of liquid materials. However, it is difficult to obtain the precise thermal diffusivity values of molten oxides at high temperature because of the experimental uncertainties arising from the bubble formation or the severe separation of radiative and conductive heat components. Recently a novel laser flash method has also developed for measuring thermal diffusivity of molten oxides at high temperature. In this new technique, the sample is melted in a metal crucible and heated to the desired temperature. A single laser pulse is flashed on the bottom of the metal crucible and the infrared ray irradiated from the same bottom surface is measured for obtaining the temperature decay, from which the thermal diffusivity of the liquid sample can be estimated. The usefulness and validity of this new laser flash technique have been confirmed by obtaining the thermal diffusivity values of silicate melts in the wide temperature range between 773 and 1673 K.

Jan 1, 2003

By Subagyo

The condition of slag in a pyrometallurgical reactor is vital to ensuring control of the process. A new technique based on multivariate image analysis (MIA) of digital images has been developed to provide an online measurement of important slag characteristics, such as the presence of exposed metal, the presence of solid phases, and temperature. This paper shall describe the technique and provide some results from analysis using industrial plant data.

Jan 1, 2003

"Developed by CRIRSCO, IRT is a document that draws on the best of the CRIRSCO-style reporting standards. These reporting standards are recognised and adopted world-wide for market-related reporting and financial investment.The IRT is not an international reporting code and does not supersede existing national reporting standards. Rather it is a guideline that encapsulates the content of these standards for the benefit of the international mining industry and its various stakeholders.The template is a 'living document' that is continuously updated and improved as new national laws, rules, codes and guidelines are created or amended.The International Template is advisory only and where national codes already exist, these will take precedence. The International Template is intended to assist those countries that either do not have a reporting code or whose code is outdated, to produce a new code consistent with international best practice. It also provides a consolidated version of national codes that reflects their compatible international components and may thus be used in comparisons with other international reporting systems. The word 'Template' is used advisedly to indicate that this document is a model for code development and does not in itself constitute a 'code' which implies that it has legal or other regulatory force.From this point forward, the Template includes words that imply a mandatory action, such as ""requires"", ""applies"", ""must"" etc. This is to enable the Template to be easily adopted by countries and organisations wishing to do so, and does not imply that the Template itself is a mandatory reporting standard.INTRODUCTION2 In this edition of the International Reporting Template (""The Template""), important terms and their definitions are highlighted in bold text. The guidelines are placed after the respective Template clauses using indented italics. They are intended to provide assistance and guidance to readers for interpreting the application of the clauses in the Template.Indented italics are also used for Appendix 1 — 'Generic Terms and Equivalents"", and Table 1 —'Check List of Assessment and Reporting Criteria' to make it clear that they are also part of the guidelines for the application of the Template.Appendix 1 contains a table of generic terms and their equivalents, designed to avoid unnecessary duplication or ambiguity in the textAppendix 2 provides Rules of Conduct for Mineral Resource and Mineral Reserve estimators that may be considered in addition to the Codes of Ethics or Practice normally applying to members of professional institutions."

Jan 1, 2003

By D Michaelsen, S Miller

The Grasberg Mine is a copper and gold open pit mine operated by PT Freeport Indonesia (PTFI) and located in the high equatorial mountains of the Indonesian province of Papua. The climate is alpine/subalpine with little seasonal variation in temperature or rainfall. The daily average temperature ranges from about 2¦C to 14¦C and the annual rainfall in the vicinity of the mine and overburden stockpiles is about 4000 mm to 5000 mm. Mining of the Grasberg open pit will continue until 2014 at which time approximately 2750 Mt of overburden will have been produced. Current overburden production rates are 200 Mt per annum. The current mill rate is 230 000 t/day from the Grasberg pit (190 000 t/day) and the underground operations (40 000 t/day). The acid rock drainage (ARD) issues associated with overburden from the Grasberg operations were identified early in the mining operation. Almost all overburden placed to date has been Potentially Acid Forming (PAF). Laboratory testing has identified four main overburden types: limestone and non-acid forming (Green waste), PAF low capacity (Blue waste) and PAF high capacity (Red waste), and Heavy Sulfide Zone (HSZ), which contains greater than 20 per cent pyrite. Waste type block modelling indicates that at least 30 per cent of the overburden production from 2003 to the end of Grasberg pit operations will be limestone. Strategies are being developed to maximise the beneficial use of limestone through strategic blending and placement for ARD mitigation and control.

Jan 1, 2003

This paper presents an overview of the current status of mine water management in South Africa. The regulatory framework within which mine water management operates is set out, based on the principles and policies embodied in the relevant legislation. The status of the gold and coal mining industries, with regard to water management, is presented on the basis of studies that have been undertaken to develop water and salt balances for these industries. While the data is not available to quantify the status of ARD in South Africa, the range of typical mine water quality problems faced by South African gold and coal mines is presented. The status quo, problems and challenges relating to mine water management are presented and discussed. It is shown that, while there have been major strides in the last decade, and mine water management and treatment in South Africa has moved onto the forefront of mine environmental management, important problems still persist. There is still a significant amount of improvement required, particularly in the field of prediction of water quality deterioration and the application of such predictions to the identification of management actions that can be applied to prevent or minimise mine water pollution in the shortmedium- and long-term.

Jan 1, 2003

By Christopher Davey, Professor Emeritus, Marian Mazurkiewicz, Peter Kanjorski

The concept of a high pressure liquid jet mill with highly unsteady flow, has been developed and recently patented by Cornerstone Technologies LLC (CsT), for the purpose of micron and sub-micron particle production. The mill accepts feed sizes up to 15mm for some materials and is capable of sub-micron production. Successful material range from precious metals such as silver and palladium to dielectric components and substrates such as Barium Titanate slips, zirconia, titania and silica. The process has also succeeded in adequately reducing the size of materials for both composite and coating uses such as anthracite coal, graphite, chrome metal, wollastonite and more than 100 others. A unique design approach has been taken to highly maximize the energy flux in the mill’s chambers to create extremely high turbulence and destructive cavitation. This is assisted by shock waves, which cause particles to undergo ultra high frequency pressure pulsations, high frequency collisions and then abrasion, shattering, hydro-wedging, and cleaving. Due to these extreme properties the processing occurs in just fractions of a second allowing throughputs up to 1000 kg/h on a machine that would fit inside a 60 cm box. The technical solution and technological advance, as well as the environmental and economic benefits indicate rapid and wide spread acceptance of high-pressure liquid jet milling in modern industry.

Jan 1, 2003

By C. Tompouloglou

The innovation in a technological field is reflected by the Research and Development (R & D) activity in it. It is explained why patent literature is a more reliable indicator than non-patent literature for the assessment of the R & D activity in the technological fields considered. Consequently the R & D activity is measured in this article through the patent applications filed in the fields considered. The pattern of patent application filings in Drilling, Mining, Tunneling and accessory technologies is analyzed at an international scale over the period 1990-2000. A statistical analysis of the fluctuation of the number of patent applications per year, per country and per technological field is performed. The technological fields are defined on the basis of the internal patent classification used in the European Patent Office. The article attempts to detect the high activity and ?cutting edge? technologies over said period, to relate them to political or financial events and possibly to foresee the ?cutting edge? technologies of the future in which potential investors could be successful. Strong patents are revealed on the basis of the frequency of their citations by the applicants in patent applications or by the patent examiners in the search report. International as well as specific national trends in the innovation are spotted and analyzed.

Jan 1, 2003

By Flavio Rojos-Tapia, Samuel Sánchez-Pino, Marcelo Fernández-García, Samuel Sánchez-Baquedano, Rainer M. Imhof

"Pneumatic flotation was introduced to the Chilean copper mining industry in 1993 by Ingeniería de Minerales S.A., being implementation in 1994/95. The technology is based on the designs and development of Dr. Rainer Imhof from Germany and from Chilean copper processing experience.Pneumatic flotation has been successfully used for sulphide and oxide copper minerals and copper slag, iron ores (reverse flotation), gold and promising results with molybdenum as product. Extremely hard conditions were applied in flotation process such as roughing, cleaning, scavenging. Pneumatic flotation can be applied for any type of mineral which has to be separated by flotation. Even very dense and heavy slurries can be processed, the range of the particle sizes to be collected is very wide, and the number of cleaning stages needed normally is one in our experience until now.The good performance of the technique can be explained by the high gas hold-up and the very effective micro-turbulences which boosts the attachment to the bubbles changing dramatically the flotation time concept. Some economic high lights are: less energy consumption, less maintenance costs, simple and reliable to operate and it is required a small area to install the circuits.As a result of the Chilean mining industry experience, it can be concluded that the pneumatic flotation can be regarded as an excellent alternative to the conventional way of Mineral Processing.INTRODUCTIONDerived from seventies, works in Germany about pneumatic flotation with Prof. Simonis (Technical University of Berlin) and Prof. Bahr (Technical University of Clausthal), it has been developed an interesting flotation technology in Mineral Processing, with the designs developed by Dr. Rainer Imhof, who has been known for more than ten years (Imhof, 1998) by his contribution at Ekof, KHD, Allmineral and the actual company Maelgwyn Mineral Services where he is a Technical Director. Ingeniería de Minerales S.A. has been working ten years deeply involved with the technology developed by Dr. Imhof and is more than ten years experienced with pneumatic flotation, from Wits University and Mintek in South Africa (Sánchez, 1990), (Sánchez, 1990)."

Jan 1, 2003

By Greg Gosson

"Early efforts to develop formal reporting systems to quantify and classify mineral deposits date back over 100 years. (e.g. Hoover 1909: “Proved, Probable, Prospective Ore”). This was at first driven by mine operators’ need for reliable estimates of what their mines could produce. Disruption of transportation routes by world wars prompted western governments to recognize the need for assessments of strategic sources of metals and minerals that could support domestic industry during times of crisis. Categories were created to quantify mineral potential which were additional to those of mine reserves. Terms such as hypothetical and undiscovered resources entered the lexicon. Capital markets serving the mining industry were traumatized during the latter part of the 20th century by undisciplined and fraudulent disclosure by exploration companies of mineral deposit potential. Government securities regulators pressed for the development of credible reporting codes (e.g. SEC Industry Guide 7: 1981; JORC 1989; SAMREC 1994, CIM 2000). Representative organizations from the major western mining countries generally agreed that there should only be three categories of mineral resources (measured, indicated, and inferred) and two categories of mineral reserves (proven and probable). This was formalized in 1997 with the “Denver Accord”. Acceptance of the standard terminology may have been the easy part, because the challenge for the 21st century is to get general industry acceptance and agreement of the principles behind the definitions of each category. There has been noticeable movement towards this objective in the last few years. This is reflected in part in the updated reporting codes by JORC 2004, CIM 2005; SAMREC 2007; SME 2007; and PERC 2008, and the development of the CRIRSCO International Reporting Template 2007."

Jan 1, 2003