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By B. C. Lewis

When John F. Kennedy made this statement, I am sure he was not thinking about the valuation of limestone reserves. However, it is certainly applicable. The objective of this paper is to demonstrate how the discomfort of thought (i.e., the analytical and methodical process performed by a reputable professional) builds the foundation for an opinion that provides assurance as to the value of a property. In its final form, a valuation is nothing more than an opinion. The credence of that opinion is directly proportional to the knowledge of the appraiser and the efforts and judgment extended in developing said opinion. Presented herein are the methodologies for formulating a defensible opinion. Before detailing the valuation process, an overview of the limestone industry is presented along with some historical parameters relating to the industry. Secondly, the most widely used valuation methodologies and a brief discussion of each are presented. Two case studies are then presented, which review actual valuation studies. The paper concludes with how the valuation process should be published in a report format that is defensible from a legal standpoint, bankable from a financial standpoint, and decipherable from a layman's standpoint.

Jan 1, 1989

By Linge HG, Fernandez PG, Hughes HC

Aqueous oxidation is a possible alternative to roasting for the processing of gold bearing arsenopyrite (FeAsS) concentrates. The reaction has been studied by voltammetry and this has shown, for the first time, that FeAsS can be readily dissolved without passivation at room temperature in dilute sulphuric acid at relatively modest oxidation potentials (0.7 V SHE). The reaction forms sulphur on the mineral surface and the oxidant consumption is thus minimal. Two practical modes of slurry oxidation are listed.

Jan 1, 1989

By W. Kunda

Silver nitrate solution is a very common product in hydrometallurgical processes involving the treatment of various silver bearing materials. Silver is recovered by electrolysis. The alternative method for the recovery of silver from aqueous solutions is the precipitation by hydrogen at elevated temperature and pressure. A previous study by the authors revealed the feasibility of this technique for the silver ammine sulfate system. Further study showed different behavior for silver in the silver ammine nitrate system and a systematic study was initiated to establish the optimum conditions for the process. The study showed that the process can be controlled by (1) composition of the feed solution, (2) temperature and (3) hydrogen pressure. The recovered silver product was in the form of very fine powder.

Jan 1, 1989

By F. R. Deluca

"ClassificationClassification is a combination of mechanical and hydraulic operation which separates a pulp into two portions according to their respective settling rate. The finished product, the overflow, is removed from the other product, sand, which requires further grinding.Pulp is the uniform suspension of solids in a liquid. Overflow is the fines and therefore the more slowly settling portion of the pulp which is carried over the top of the classifier by the flow of water; sand is the coarser and more rapidly settling portion of the original pulp which is discharged from the classifier by the mechanical action of the rakes or conveyed out by a ""screw"" .Selective classification is classification that has for its object the concentration of the heavy constituents of the original pulp in the sand product so that it may be ground finer than the lighter constituent.Classification is used as follows:I. To make a size separation, for example, a sand-fines separation so that each product may be given a different treatment.2. For closed circuit grinding so that the maximum size of particles entering the circuit is limited, and so that the useful work is increased by enabling the mill to operate mainly on the particles that require the reduction.3. For differential grinding of the heavy mineral constituent and the gangue. In this case, the heavy mineral is concentrated in the sand product and is reduced further, while the lighter gangue material overflows the classifier.The selection of the proper size and type of classifier is determined by the function required, the character of the ore, and the tonnage to be handled, the initial cost and the operating cost."

Jan 1, 1989

By Ying-Chu Hoh

The extraction of cerium(IV) by valence change with two-phase electrolysis was studied experimentally. The results show that the electro-oxidation extraction depends mainly on the distribution of the solute between the two phases, the reaction on the electrode surface and the diffusion of the reactant and product between the electrode and aqueous interphases. The effects of various parameters on cerium extraction were also studied. The selected parameters were background current, catholyte acidity, agitation speed, operation current and voltage and surfactant addition. The electro-oxidation extraction mechanism can be divided into eight steps. In addition, Wee the rate of extraction is quite fast, the percentage extraction Ce+4 can be taken as an index to show the conversion rate of Ce+3 J to Ce+4.

Jan 1, 1989

By C. E. Jordan, B. J. Scheiner

The Bureau of Mines has developed a continuous ultrasonic flotation cell for the recovery of Florida phosphate ore. Within a small mixing chamber near the bottom of the flotation cell, an ultrasonic probe agitates an injected mixture of air, water, and phosphate ore and breaks the air into fine bubbles. Phosphate particles are preferentially attached to these fine bubbles and floated in the main chamber of the flotation cell. Over 94 pct of the phosphate was recovered, resulting in a 30 pct P205 concentrate. The ultrasonic energy consumption was less than 7 kW.h/mt of phosphate ore.

Jan 1, 1989

By R. H. Colquhoun

"INTRODUCTION The Holt-McDermott Mine is wholly-owned gold mining operation of American Barrick Resources Corp. that begun operations in June 1988.The property is located 0.5 km. south of Highway 101 East in the Harker-Holloway Townships of Northeastern Ontario, 7 miles south of Lake Abitibi and 15 miles west of the Quebec-Ontario border.Employees of the operation travel daily from various communities in the area, predominantly from Kirkland Lake, Ont., which is located 65 km. to the southwest.The significance of the operation is that it is the first full scale operation associated to the Oestor-Porcupine Fault to go into full production in recent history as well as the first Carbon-in-Leach (CIL) operation in the province owing to the natural occurring carbonaceous ores that are associated to the ore body and the geological fault systems.GEOLOGYThe Holt-McDermott deposit is located in the Abitibi Greenstone Belt, a short distance west of the Ontario-Quebec border. Ore grade material follows the footwall contact of a fault zone known locally as the McKenna Fault, which is thought to be a splay off of the Oestor-Porcupine Fault, itself a major feature in the Abitibi belt.The McKenna Fault strikes approximately east-west (as does the Oestor-Porcupine) and dips to the south at sixty-five to seventy degrees. The fault lies within a package of mafic volcanic rocks (basalts). These rocks have been strongly altered and mineralized adjacent to the McKenna Fault, and the resulting lens-like ore bodies constitute the mining targets."

Jan 1, 1989

By MacKenzie Dickson

"INTRODUCTIONGold is found in many natural states, native nuggets, loose grain in river sands, veins in rock, as well as associated with sulphides, oxides, etc., disseminated more or less minutely.Its high value in recent years has spawned new technologies to win values from sources once considered too lean for commercial recovery. Cyanide leaching from fine milled ore or tailings, from upstream recovery operations, coupled with adsorption onto relatively coarse granules of activated carbon, concentrate the gold enough to be converted to bullion by time-honoured methods.The carbon granules are fragile. Size degradation in handling must be minimized not only to prevent loss of gold on fine fragments of carbon that could pass with the barren tailings, but to maintain adsorption efficiency. Besides, the granulated carbon itself is costly. Circular Vibroscreens are winning acceptance for dewatering carbon granules thanks to their gentle yet effective performance in gold recovery systems around the world. The system at Equity Silver is illustrative.BackgroundEquity Silver Mines Ltd., Houston, British Columbia, first began production in September 1980. In 1984, a feasibility study showed that additional gold and silver could be economically recovered through cyanide leaching of the flotation tailing.Although the carbon-in-pulp (ClP) or carbon-in-leach (CIL) process is commonly used for extracting precious metals from slurries, the use of circular vibrating screens, and Vibroscreens in particular, for the carbon circuit is an innovation that cuts costs.Rectangular vibrating screens have been the conventional separation mechanism of choice across North America. In contrast, the use of Vibroscreens has been proven to be less costly for the initial purchase and installation. Also, these circular vibrating screens require less power and less space. A description of Equity Silver Mines' process shows how these screens have been successfully integrated into the system."

Jan 1, 1989

By J. Avraamides

Some operational difficulties have been encountered in the transfer of carbon-in-pulp technology to Australian conditions. Many gold mines? are located in remote and arid areas where the available ground water is highly saline. There is a gradual depletion of free milling oxidised gold ore reserves resulting in the necessity to treat deeper primary sulphide .deposits which can be refractory. Some near-surface ore-bodies and tailing dumps are contaminated by natural vegetative matter which can interfere with the adsorption of gold from the cyanided pulp,. Advances which have been? made include potable water conservation in elution, a new type of regeneration kiln, inter-stage screens, alternative leaching systems transportable carbon-in-pulp plants and efficient open-cut mining methods. Academic and applied research is well supported by government and industry and the results are normally rapidly disseminated and put into practice by the gold mining industry.

Jan 1, 1989

By Richardson A. H.

"IntroductionSafety and training in the mineral industry will always be issues that are hotly debated and discussed.The nature of the mining industry, where people and equipment work in close quarters deep below the earth's surface, attracts a great deal of public attention and concern, especially in the areas of safety and related training activities. This concern has been carried over into the mineral processingsector which is, of course, a vital part of the mining industry.It is therefore imperative that mining people closely examine the policies, procedures and programs presently in place to determine if they meet the needs of the industry and its employees. Everyone stands to benefit: the companies, employees and the mineral industry as an important segment of the Canadian economy.Phrases such as ""Safety First"", ""Safety is Number One"", have a role to play in industrial safety programs but in reality are a shallow approach to the magnitude of the challenge. An industry must produce its products in a cost-effective way, with good employee relations. None of these objectives can be successfully achieved unless accompanied by good safety performance. Accidents both on and off the job result in very poor efficiency, high costs and poor employee relations.This chapter, Safety and Training, outlines those major areas that the author believes are necessary components for an industrial safety, health and training program, but are not all inclusive. More will surely be added as additional problem areas requiring attention are identified. The major sections discussed are: Development and Implementation of a Safety Program; Occupational Health; Training; and Audit Procedures.The author has drawn on his experience as both a mill superintendent, mine manager and superintendent of safety, health and training. The approach developed at loco Metals Manitoba Division is frequently used in this paper with examples and excerpts to better illustrate the subject, but does not represent the full scope of programs in place in the Division."

Jan 1, 1989

By K. A. Sauer

Blasting can create severe interference for a mine's carbon monoxide based fire detection system. At the present time, without being able to differentiate between blast and non-blast carbon monoxide, a fire detection system must either set fairly high alarm levels for its sensors, or allow frequent "false" alarms to sound during blasting. This paper will introduce current work being done which will attempt to define characteristics of the carbon monoxide concentrations time curve for blasting. The work uses drift blasting for its data base as it is one of the more common forms of blasting. Future work with the data may produce a mathematical model which can be used to monitor and identify the carbon monoxide time curve for drift blasting.

Jan 1, 1989

By M. M. K. McCrank

"PRACTICAL SAMPLING TECHNIQUESIt is important to achieve reliability when sampling heterogeneous materials where there is a difference in composition, and non random distribution of the constituent particles. Throughout the design, construction and installation of sampling systems it must be borne in mind that the sampling point must be capable of:-allowing each particle in the stream an equal opportunity to be sampled.-accepting and collecting as large a volume or mass of material as necessary to satisfy the requirements of particle counting statistics.-establishing a sampling plan so that the sample is representative of the whole to a defined standard of accuracy.Design ConsiderationsFactors that may influence the design of the sample point include:-the mass, or volume flow rate of the material being sampled-the size and shape of the material or flowing stream-the physical condition of the material being sampled (i.e. temperature, wetness, size consist, density).-the chemical composition of the material being sampled -the location of the sample point and the space available for installation, extraction, reduction where necessary, secondary sampling, and return of the sample rejects downstream.-whether the process to be sampled is in an existing plant or one yet to be designed and built.-ease of access for servicing and maintaining the equipment.-whether the sampled material must be collected continuously or intermittently.-whether an existing sampling method is likely to be adequate or whether a new technique has to be developed."

Jan 1, 1989

By Alain Simard, Andre Gobeil, Sylvain Lacroix, Maurice Rive, Denis Racicot, Pierre Verpaelst

"The Abitibi volcano-plutonic belt forms the major portion of the Abitibi lithotectonic subprovince in the Superior Province. The Abitibi belt is composed essentially of"" (1) approximately 2.7 Ga old volcanic and sedimentary rocks; and (2) gabbro, tonalite, granodiorite and syenite intrusions occurring in well-defined prekinematic ( synvolcanic ), synkinematic and post-kinematic plutonic suites. Most of these rocks are metamorphosed to greenschist facies. Regional multi-phase deformation affects the volcano-sedimentary rocks. Deformation was initiated as these rocks were formed, and peaked at the end of the Keno ran orogeny with the emplacement of granitic batholiths.There are 145 former and current mines in the Quebec segment of the belt. To date, more than 420 Mt of ore have been extracted yielding 1,600 tonnesof Au, more than4,000 tonnesof Ag,4,400,000 tonnes of Cu and 5,300,000 tonnes of Zn. Mineral production is concentrated in geologic domains that approximately coincide with the boundaries of lithotectonic domains. We have compared the geology and mineral deposits of different domains to illustrate their distinct metallogenic signature. Certain domains are dominantly gold-producing (Cadillac-Malartic, Val-d'Or, Caopatina), others are base-metal producers (Matagami and Normetal), while others produce both gold and base metals ( Rouyn-Noranda, Chibougamau, Casa-Berardi-Joutel).Gold is extracted from quartz-rich vein deposits (for example, Val-d' Or), sulfide-rich veindeposits(Cadillac or Chibougamau) and from volcanogenic massive sulfide deposits ( Rouyn-Noranda). Base metals are generally mined from volcanogenic massive sulfide( RouynNoranda, Matagami, Normetal), although certain vein deposits yield base metals (Chibougamau) . Certain sectors are dominantly zincrich (Matagami, Normetal)."

Jan 1, 1989

By J. M. Skeaff

As much as 100% of the gold and 67% of the silver in a sulphur-bearing hydrometallurgical leach residue have been transferred to copper metal at copper smelting temperatures by dissolving the partially calcined residue in an iron-bearing slag maintained in equilibrium with the liquid copper metal and matte phases. The precious metals can then be recovered by conventional refining techniques. Copper can be recycled at least four times without any detrimental effects on gold and silver transfers and recoveries. Apparent copper recovery in the .process can be over 100% because of the copper content of the residue. Based on slag analys.es, the overal1 recovery of gold in the copper metal and matte phases varies from 94% to 100% under all conditions investigated. On the? same basis, silver recovery varies .from 9S% ?to 99% under optimum conditions, but is only 4S% to 73% under other, less attractive conditions. Unaccounted for silver losses of' about 30% make it difficult to determine the major factors affecting ?silver transfer and recovery. A method for implementing the technology on a commercial scale at a Canadian copper/zinc smelter has been proposed. A preliminary economic assessment and comparison of the proposed pyrometallurgical process with conventional cyanidation indicates that either process is economically attractive for recovering gold and silver from leach residues. Although the capital costs are higher, the pyrometallurgical process is simpler, has higher recoveries, lower operating costs and no .potential environmental problems related to cyanide disposal.

Jan 1, 1989

By E. Laatio, W. McKay

"History of Tara Mines Ltd.Tara Exploration and Development Company Ltd. was formed in Canada by Irishmen in 1953. The discovery of an orebody approximately six miles from the historically famous Hill of Tara in County Meath was a wild dream . Nevertheless this dream became a reality. Tara Mines Ltd. was formed, and the mine developed some 35 miles northwest of the City of Dublin in the Irish Republic.Tara's original drilling program indicated a zinc-lead orebody of approximately 60 million tonnes grading at 10.1% Zn and 2.6% Pb. The terms of the mining lease stipulated that the Irish government would acquire 25% equity interest in the operation. The mine was thus owned 75% by Tara Exploration and Development Company Ltd. of which the principal shareholders were Noranda and Northgate, together with 25% being held by the Irish government. The mine was purchased in March 1986 by Outokumpu Oy, a Finnish mining and metallurgical company, and together with the 25% government stake are the current owners. Outokumpu Analysis on Tara Mines Ltd.Upon ownership Outokumpu carried out a comprehensive analysis on the operation and came to the following conclusions :1. Tara had a good orebody;2. Tara had a skilled, capable, stable workforce;3. Tara's concentrator and processing equipment was adequate to meet requirements;4. Tara's mobile equipment fleet was too old and too numerousin numbers; and5. Tara had too many employees, both staff and hourly paid .With ore reserves of approximately 50 million tonnes and at a planned extraction rate of 2.6 million tonnes it meant that the mine had a lifespan of approximately 20 years. To be a viable operation into the future, the mine had to become more efficient. Operating costs and manpower levels had to be dramatically reduced."

Jan 1, 1989

By Robert B. Parsons

"In this period of improved metal prices and reported profits, valuable lessons should be recalled from the 1970s when a similar cycle lured the federal and provincial governments into thinking that they could grab bigger pieces of the pie without harming the minerals industry. It took years for the industry to recover from the damage inflicted by that unprecedented scramble for higher tax revenues. It is hoped that the current policy makers will have learned from the lessons of the seventies, and will realize that mining companies need to keep a reasonable share of profits realized during the good years in order to prepare for the inevitable downturn in the cycle.INTRODUCTION"", «. We have made clear to industry that super profits... will no longer be tolerated "".With that assertion, the Honourable David Barrett , Premier and Minister of Finance of the Province of British Columbia, announced the introduction of a new mining tax regime in his February 17, 1974 bud get papers . British Columbia producers would face a basic royalty and a royalty on so-called ""super profits"", resulting in some instances in tax rates exceeding 100070 of pre-tax profits.The ball started to roll. Mining tax changes knew no political or geo graphical boundary. On April 9, 1974, Ontario's Treasurer John White stated in his budget speech:""Increased demand by major industrialized countries has resulted in sharply higher metals prices and substantial wind fall gains for the mining industry in Ontario. With the prospective demand for minerals likely to sustain current price trends into the future, it is only fair that we secure for the people a higher return from our natural resources""."

Jan 1, 1989

By S. R. Maynard

The Ortiz Mountains lie 25 mi (40 km) northeast of Albuquerque, New Mexico in Santa Fe County (Figure 1). Approximately 350,000 ounces (11,000 kgs) of gold have been produced from the Ortiz Mountains since the 1820s. The 100 square mile (260 square km) Ortiz Mine Grant was secured from the Mexican government in 1833 by Jose Francisco Ortiz for the purpose of mining gold. The Grant has remained more or less intact to the present. The mineral rights are currently owned by Ortiz Mines, Inc. of Joplin, Missouri and are leased to LAC Minerals, USA, Inc. (west half) and to Gold Fields Mining Corporation (east half).

Jan 1, 1989

"In conjunction with Banick Mercur , Wright Engineers Limited designed the first multi-stage aqueous pressure oxidation system in an alkaline environment in North America. A three-stage slurry heating and slurry pressure let-down with heat recovery was an innovative approach to the problem of high energy cost with the low sulphur content of the ore. The design of this system required solving a number of problems associated with heating and pumping of slurries at pressures up to 3230 kPa and temperatures in excess of 220°C. Wright received an Award of Merit in October 1989, from the Canadian Consulting Engineering Awards Committee in the Process Category for its design of the Mercur pressure oxidation system.The Mercur Mine is located at the south end of the Oquirrh Mountains in Tooele County about 65 miles by road from Salt Lake City, Utah, U.S.A. The original mill was designed to process 5000 tpd of oxidized gold ore in a carbon-in-leach (CIL) circuit. A new ore treatment system was required to treat the substantial quantities of refractory ore reserves which could not be treated economically in the existing mill. The new pressure oxidation circuit makes the refractory ore amenable to gold recovery by oxidation of the sulphides contained in the ore .Wright Engineers Limited was commissioned by Barrick Mercur Gold Mine Ltd ., a wholly-owned subsidiary of American Barrick Resources, to design the pressure oxidation facility. This followed completion of a feasibility study by Wright which showed that the project was technically and economically viable.Work on the feasibility study began in 1986, detail design commenced in February 1987, and was completed in December 1987. Mechanical installation was completed in January 1988, and slurry feed began in February 1988. The plant has operated since June 1988 without major interruption . Wright was responsible for engineering, procurement and construction management for the addition of the 750 tpd pressure oxidation circuit to the existing mill and also had commissioning responsibility.Major unit processes involved in the pressure oxidation facility are ore thickening, three-stage slurry preheating, pressure oxidation and three-stage slurry cooling with heat recovery, stearn generation, propane and oxygen storage and a video graphic display process control system were included in the scope as process anciliaries.The pressure oxidation increases gold recovery from the refractory ore by conventional CIL from as low as 35% to more than 86070. A patent has been granted for the process."

Jan 1, 1989

By J. Abbott

This paper gives a brief description of the Compania Ninera del Pacifico (CNP) a subsidiary of the Campania Acero del Pacifico (CAP), its participation in the Chilean Iron Ore mining and the gradual development of its activities. mainly in this paper, it is explained the CNP experience in the production of 34 million tons of self-fluxing pellets for Blast Furnace in a period of ten years in its Huasco Pellets Plant.

Jan 1, 1989

By D. M. Range

Exxon is reclaiming an 80-hm2 (200¬acre) Wyoming uranium tailings basin in accordance with US Nuclear Regula¬tory Commission (NRC) requirements. The reclamation plan is designed to control the tailings and their radioactive emissions for at least 1000 years. Rigorous modeling and analyses of potential erosion by wind and water were used in planning. The use of riprap was minimized and the need for long¬term reclamation maintenance was eliminated. The resulting design is simi¬lar to regions stable from erosion cre¬ated by nature. The concepts used in the design and implementation have wider reclamation application. Highland history Exxon operated the Highland uranium operations from 1972 until mid-1984. Open pit and underground operations mined the roll front, sandstone ore body. The 2.5 kt/d (3000 stpd) mill employed conventional crushing, grinding, sulfu¬ric acid leach, CCD, SX, precipitation, and drying circuits. The mill produced 10 Mt (11 million st) of tailings. An¬other operator began commercial scale in situ leach operations in 1988. The tailings basin was constructed by deposition of mill tailings in a natural ravine dammed with a 30-m (100-ft) high by 1050-m (3400-ft) long clay core earthen dam built entirely downstream of tailings. Figure 1 shows the layout of the tail¬ings basin in 1984. Tailings were de¬posited along the dam face on the east side of the basin as well as in the west end and along the south edge until the early 1980s. This left a deep water pond in the middle of the basin. The deep pond was largely filled with tailings during the last four years of mill opera¬tions by the construction of two tailings causeways and the operation of a float¬ing tailings line. The pond water volume was mini¬mized by recycling tailings water to the mill and by operating a 32-L/s (500¬gpm) evaporation enhancement spray system during the last few years of mill operations. Regulatory requirements Several conceptual tailings basin rec¬lamation plans were prepared during the mine life. In September 1984, Exxon began preparation of a detailed plan in response to an NRC request. Water, Waste and Land Inc. (WWL) of Fort Collins, CO was selected to help pre¬pare the plan that was submitted to the NRC in December 1984. The design had to meet the require¬ments found in NRC regulations (NRC, 1985). These were based on regulations prepared by the Environmental Protec¬tion Agency (EPA, 1983) at the man¬date of federal law (UMTRA, 1978). The NRC regulations contain strict primary standards and a somewhat more flexible set of secondary standards. The primary standards include requiring that: • radiation from tailings be reduced to background levels; • radon gas emitted by the tailings be reduced to 20 pCi/m2/s from the surface of the reclaimed tailings pile; • tailings not be dispersed into the environment; and • these conditions endure without routine maintenance for at least 200 years and for 1000 years to the extent reasonably attainable. The lengthy time requirements pre¬sented a large engineering challenge. Radon is a radioactive, chemically inert gas with a 3.8 day half-life. It is released from uranium tailings by the radioactive decay of radium, which, in turn, is a radioactive decay product of uranium. Radon emissions from ura¬nium tailings can be controlled with an earthen cover thick enough that the radon gas decays to its solid, short-lived radio¬active daughters before the radon dif¬fuses through the cover material into the air.

Jan 1, 1989