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By M. A. Bryant, J. C. Goodwin, T. B. Faddies, L. D. Kornze

The Mercur Gold Mine is located 56 km (35 air miles) southwest of Salt Lake City in north central Utah; In July 1981 Getty Mining Company made the decision to put Mercur into production. The first gold bar was poured in April 1983. This paper provides details on: 1) the history of the camp, 2) past production, 3) geology of the deposit, 4) the exploration and development program, 5) ore reserve estimates, 6) detailed geologic pit mapping, 7) production blasthole sampling techniques and 8) the use of geostatistics (kriging) in handling assays and gold extractions to produce the required mill feed.

Jan 1, 1985

By A. Darragh

"Past Growth The Canadian coal industry has grown rapidly during the past two decades. Coal production increased over four-fold between 1965 and 1982; consumption almost doubled, imports remained relatively flat, exports soared and total demand increased nearly two and a half times. Coal production grew during this period at an average rate of 8.60/o, compounded annually; this remarkable performance is shown in Table 1 and Figure 1. The relationship between production and consumption is shown in Figure 1, where in 1981 the total Canadian production of coal for the first time exceeded total Canadian consumption. ln Figure 2, the relationship between imports from the United States and Canadian coal exports is shown; in_ 1981 again for the first time, exports offshore exceeded imports into Canada. The rapid growth in Canadian coal use between 1965 and 1982 followed a major decline after World War II, as the country moved rapidly to an oil based economy. Changes in consumption patterns between 1945 and 1982 are shown ~n Table 2. Railway consumption of coal was reduced to zero m the early 1960s. The industrial and domestic consumers market share fell from about 660/o in 1960 to 6.70/o in 1975; this share, however, appears to have stabilized in recent years and actual volumes can be expected to increase in the future. The steel industry's share of the coal market fell over the same period, but the volume in recent years has remained fairly constant at about seven megatonnes per year.Perhaps the most significant change in consumption is in the share of coal consumed in the generation of electricity; this has increased from 80/o in 1960 to over three quarters of the total Canadian coal consumed in 1982. This increase in thermal coal consumption has been supplied by indigenous coal, and was accompanied by a decreasing share for coal imported from the U.S.A. into central Canada. It is expected, because of the nuclear power commitment in Ontario, that this share will continue to decrease, although the total volume of coal imported may increase slowly over time. This will likely also have a dampening effect on future coal sales to Ontario from western Canada."

Jan 1, 1985

Reduce the noise levels to which operators of double-drum longwall shearers are exposed without compromising the operational effectiveness of the shearer. The Problem Noise produced by double-drum longwall shearers can be harmful to machine operators. Typical noise levels at the lead-drum operator position range from 100 to 105 dBA, and Federal noise regulations allow only one to two hours of exposure per shift at these levels. Noise radiated by the shearer cutting drum is the primary contributor to the overall noise level. However, test of a noise-controlled cutting drum developed by the Bureau of Mines reduced the operator noise level to 95 dBA, thereby increasing the allowable operating time to four hours per shift. Approach The key design aspect of the noise-controlled shearer drum is its reduced vibration-al response to coal-cutting forces. Laboratory studies have shown that these forces are concentrated in the low-frequency region (500 Hz and below). Since the cylindrical core and the cantilevered I plate-like helix of the standard shearer drum are easily excited by these forces (natural vibration frequencies be-

Jan 1, 1985

By John R. Bartels

This report discusses an improved method for rerailing underground railcars devised in a joint effort by the Bureau of Mines and Hoesch MFD. This improved method utilizes a lightweight hydraulic ram with hand-pump activation to move a bridge-mounted roller carriage in conjunction with steel-reinforced air-lift bags. This method provides a lightweight portable system in which only two workers are required to perform the mine car rerailing operation. Because of the very narrow confines in underground mines, use of overhead cranes and other surface rail techniques is not possible. This new system is designed for very low profile work, and provides the necessary lifting force from light- weight compressed-air bottles.

Jan 1, 1985

By A. W. Randall

Geological Aspects of Ore Reserve Estimates of Pine Point District Zinc- Lead Deposits, N.W.T. Zinc-lead ores of the Pine Point District, Northwest Territories, Canada are hosted in paleokarst cavities within a Middle Devonian carbonate barrier complex. Of the nearly 100 deposits found, most are irregularly distributed along two main regional stratigraphically controlled trends. The ores, which occur predominantly as open space filling, form deposits most of which average one million tonnes in size with an average grade of 10% combined zinc plus lead. Geological features related to karsting control not only distribution of deposits but also their shape, size and grade. The higher grade ore in these deposits generally occurs in a relatively small core area. Consequently, accuracy of reserve estimation is dependent on drill hole density and understanding of karst geometry. Several case examples will be reviewed to demonstrate the relationship between shape, size and grade of deposit, geological reserves and drill hole density, along with a discussion of geological ore reserve estimation methods.

Jan 1, 1985

By Mark S. Sanders

The purpose of the present study was to develop and test improved Type V workvests for use on dredge operations. The goal was to design workvests that would be more comfortable to wear, would interfere less with task performance, and would better meet the needs of dredge workers. It was hypothesized that by attaining these goals, the resulting vests would be worn more often and would be kept buckled more of the time than traditional vests. The study involved three major phases. In Phase I, visits were made to dredge operations and a definition of the problem was developed. Problems with current vests were identified and working conditions and tasks surveyed In Phase II, prototype vests were developed and laboratory tests were per-formed to assess comfort and interference. In Phase III, the prototypes were modified and field tested with actual dredge operators and workers.

Jan 1, 1985

By Robert G. Paul

President Reagan's Exclusive Economic Zone (EEZ) Proclamation of March 10, 1983, extended United States ocean jurisdiction 200 nautical miles offshore our coastal states and territories. The accompanying policy statement noted that this action was a result of recently discovered deposits of polymetallic sulfides and cobalt-rich manganese crusts, which could be a major source of minerals important to the U.S. economy and security. Within these 3 billion acres of exclusive economic jurisdiction, the United States has sovereign rights to explore, develop, conserve, and manage the mineral and other natural resources of the seabed. The President has directed the Department of the Interior (DOI) to encourage exploration and production of minerals from this area. The DOI, through the Minerals Managment Service (MMS), is responding to this presidential directive by developing a leasing program for nonenergy minerals in the EEZ. The authority to develop this leasing program is the Outer Continental Shelf Lands Act of 1953, as amended in 1978, which authorizes the Secretary of the Interior to grant leases for oil, gas, sulfur, and other mineral resources on the Outer Continental Shelf (OCS). The Solicitor of D01 has determined that the definition of the OCS for legal purposes extends at least 200 nautical miles offshore of our coastal states to the EEZ boundary. Section 8 (k) of the Act allows the Secretary to lease minerals, other than oil, gas, and sulfur, on the basis of competitive bonus bidding and under such terms and conditions as he may prescribe at the time of offering the area for lease.

Jan 1, 1985

This publication summarizes the research (in-house and contract projects) programmed by the Bureau of Mines for fiscal year 1985 (October 1, 1984-September 30, 1985) under its Health and Safety Technology Program. The objective of these projects is to provide an ordered and sequenced advance toward the Bureau's overall goal of providing the system technology required to create a more healthful and safer working environment for the Nation?s mining and minerals processing workers.

Jan 1, 1985

By F. A. Edwards

The Macassa Division of Lac Minerals Ltd. is a high grade gold mine that has been operating in Kirkland Lake, Ontario for the past 51 years. It produces approximately 120,000 tonnes of ore per year, averaging approximately 18.7 grams per tonne (0.45 ounces per ton) of gold. Over the years, the ore body has been developed to a point where mining takes place below the 1,220 m (4,000 feet) elevation and 1,830 m elevation (6,000 feet) west of the original shaft. The mine is currently serviced by two surface and two winze shafts. (Figure 1). The ore body extends below the 1,930 m (6,400 feet) Level which is the bottom of the existing mining operation. An ambitious underground exploration program has substantially increased these reserves. Concurrent with the discovery of greater reserves, has been rapidly escalating mining costs, particularly labour which constituted 66% of the total cost in 1981. These costs continued to escalate as the major proportion of mining was carried out to the west, far away from the existing hoisting systems. This required a three lift hoisting system for men, materials and ore. In addition to the increased travel time and ore handling expense, increased humidity, temperature, ventilation and compressed air losses have added to the inefficiency of the operation. As a result, studies were initiated in 1980 to assess the future of the Macassa operation. The results of the studies indicated that a new deep shaft with a potential to hoist from 2,135 m (7,000 feet) or below was the most attractive option. Detailed design of the shaft and associated surface plant commenced in January, 1982 and the following milestone dates were achieved: 1980 - initial study of hoisting and haulage facilities; January, 1981 - ore reserves in excess of 1 million tonnes of ore at 18.7 g/tonne (0.45 oz/ton) confirmed; March, 1982 - preliminary study of Macassa No. 3 Shaft completed; April, 1982 - permanent hoisting plant purchased; June, 1982 - site clearing commenced; September, 1982 - shaft collared; May 1, 1983 - shaft sinking commenced; February 11, 1985 - shaft reached 1,600 m (1mile); December 1, 1985 - shaft scheduled for completion.

Jan 1, 1985

By R. W. Metsger

The metamorphic zinc-iron-manganese ore in the Grenvillian rocks of the Reading Prong m Sussex County, N.J. is unique. The singularity of its mineral composition and associations has fueled controversy among economic geologists and mineralogists for more than a hundred years. The silicate-oxide ore, in two synformal concentrations has been mined since about 1838. The Franklin mine was depleted in 1954, while the one at Sterling Hill is still producing. Although the two mines are perhaps best known for their almost three hundred mineral species and have been a mecca for collectors, they -- as importantly -- have provided a window through which to observe more than a billion years of geologic history. When pieced together, studies reveal a sequence of probable sedimentary deposition, intense folding, pseudo- viscous flow with attendant negative diapirism, uplifting, erosion, karstification, hydrothermal alteration, burial, faulting, igneous intrusion, uplift , saprolitization, and glaciation.

Jan 1, 1985

By Louis P. Gignac

The Lac Shortt gold deposit is located in Northwestern Quebec, at some 115 km west of the Opemiska Division and 380 km northeast of the Lac Dufault Division, as shown on Figure 1. Falconbridge's exploration crews drilled the first six holes in the gold-bearing ore zone in 1979. After further diamond drilling from surface in 1980, the decision was taken to carry out an underground exploration program. A three-compartment shaft was sunk to a depth of 340 metres in 1981 and 1982; it was followed by an extensive exploration program, which included 1073 metres of cross-cutting and footwall drifting, 645 metres of ore drifting and 11 200 metres of diamond drilling. The underground work was completed by mid-winter 1983. It was followed by a complete feasibility study of the Lac Shortt Project. After some $Can 14.2 millions in exploration expenditures, the Board of Directors of Corp. Falconbridge Copper approved in July 1983 additional expenditures of $Can 45 millions to bring the Lac Shortt Mine in production at the capacity of 261 000 tonnes per year. Gold price was $US 425 per ounce at the time.

Jan 1, 1985

By T. G. Legare

It is now well documented that trace amounts of silver, gold, and platinum group metals occur in certain geothermal brine deposits. A significant body of literature has been generated over the last twenty years which describes attempts to quantify the frequency and levels of these precious metals in the brines. This literature is often confusing and contradictory. For example Barnea 1 states that the Salton Sea geothermal field carries 2 ppm gold, yet more recent data by workers at Lawrence Livermore National Laboratory2 (LLNL) concludes that the gold level in Salton Sea brine is <0.07 ppb. They report a platinum level in one well of 55 ppb. This apparent contradiction may be explained by sampling source and technique, but is most probably explained by difference in analytical technique. Analytical techniques and problems will be discussed in the next section.

Jan 1, 1985

By Gary L. Hundley

The Bureau of Mines has devised a procedure to recover chromium chemicals from low-grade domestic chromites, which contain silicon and aluminum impurity levels that are too high to permit processing by present industrial processes. The Bureau procedure consists of reacting chromite with molten sodium hydroxide (NaOH) under oxidizing conditions to form sodium chromate (Na2Cr04). The reaction product is leached with methanol to remove the majority of the unreacted sodium hydroxide, then with water to remove the sodium chromate and the remainder of the sodium hydroxide. The sodium chromate product is recovered by evaporative crystallization from the aqueous solution. This report presents results of laboratory tests to determine the optimum fusion conditions and the chromium extractions obtained from several domestic chrotdte concentrates. These concentrates are from a variety of sources, including the Stillwater Complex in Montana, Kanuti River-Caribou Mountain, Red Bluff Bay, Kenai Peninsula, and Kodiak Island areas in Alaska, deposits in northern California, and a nickel-cobalt laterite from southern Oregon. All of these concentrates were successfully treated by the Bureau procedure. The best chromium extrac-tions obtained for each of these materials ranged from 69.5 to 98.9 pet.

Jan 1, 1985

By A. F. Cohen

When location guidelines are followed in choosing sites for fixed point velocity transducers for use in underground coal mine monitoring, mine air turbulence intensities <11% are generally expected at those sites. The objective of this Bureau of Mines investigation to determine the effect of turbulence intensities <11% on vortex shedding sensors and transducers. Measurements were made at velocity levels of interest for underground coal mine monitoring use (?200, ?500, ?1,000, ?1,500 ft/min). The effect of grid-produced turbulence intensities (2% to ?14%) on the output of vortex-shedding air-velocity transducers was less than ±10%.

Jan 1, 1985

By T. Yalcin

"This paper describes the development of a mathematical model for determining the liberation of an ore at various grinding sizes, based on the combined results of microscopic counting, grinding tests, and chemical analysis.The method is illustrated with an application to the magnetite ore of Sherman Mine in Temagomi, Ontario. For this ore, a degree of liberation of 98.7% was determined at a grinding size of 90% passing 44 microns, which closely corresponds to the final grinding size employed at the Sherman Mine Concentrator.Introduction Liberation characteristic of ores have direct and significant bearing on overall economics of concentration processes.Target grades and recoveries can be achieved only it minerals are adequately liberated prior to separation. Degree of liberation depends on the extent of size reduction. However, due to the high costs associated with size reduction processes, it is important to keep size reductions within limits of satisfactory liberation. Prevention of excessive size reduction is also necessary because of inefficient mineral separations in very fine sizes. Hence, a study of reduction size — liberation relationship is essential for optimum profit from milling operations.A number of procedures have been developed for liberation studies (1-12), but there is lack of method for universal adoption.A new approach is presented in this paper that might provide a realistic estimate of liberation and give a practical guidance as to the degree of size reduction required for satisfactory liberation."

Jan 1, 1985

By Gray N. B

The need to improve existing metallurgical processes and to develop new processes to meet the economic challenges that lie ahead requires the application of the tools of process analysis viz. mathematical models, physical models, pilot plants, laboratory measurements and plant tests. Examples of the application of these techniques to processes are described in this paper. Several of these techniques, combined with basic knowledge, are necessary to make improvements and for existing processes this always involves plant measurements. Also because metallurgical processes include extraction, refining, alloying, casting, mechanical working and heat treatment, an interdisciplinary approach to research and development is essential. This paper argues that metallurgical engineering is a discipline that is uniquely able to encompass the broad spectrum of chemical- and physical-metallurgy processes and is therefore essential to the health of the metallurgical industry.Regrettably many metallurgical engineering departments are not offering courses on process analysis, control, optimization, etc so necessary to meet modern industrial challenges.

Jan 1, 1985

The small-scale surface mining operation in northern regions is typically located in a remote, ungaged basin. With the recent increase in the economic potential of mining, the number of small operations is increasing. The year-to-year variability in precipitation in this region under study is of great concern to mine operators. Some years may yield only 5 to 6 inches of precipitation, while others may yield in excess of 15 inches. Such variability makes placer mining operations difficult to plan, since low water years may result in too little run-off for gravel washing and high water years may result in flooding of mining developments. There are no official streamfloaw records in many watersheds in the northern region containing placer mining claims. However, information from other streams permits calculation of an estimated discharge for a watershed under consideration using average flows per square mile of drainage. It is to be emphasized that these are average or expected figures in reality, one water year may be significantly wetter or drier than another. This high variability of annual precipitation is significant in relation to placer operations because of the large quantities of water required for this type of mining. Some operations can not operate in low water years. In the larger watersheds, operations may continue in low water years but at a slower pace because of longer water collecting times. The high variability of available run-off rakes placer mining in many parts of Alaska difficult to plan on a long range because of the unpredictability of water supplies.

Jan 1, 1985

By Harry V. Makar

As part of a continuing research program for conserving domestic mineral resources, the Bureau of Mines is investigating new and improved scrap identification techniques to improve sorted mixed scrap purity. This report focuses on various classes of wrought and cast copper alloys produced with recycled scrap. Based on a survey of the literature, principal alloys, such as the brasses and bronzes, are examined with respect to impurity elements and their effects on metallurgical behavior. Effects of elements such as lead, antimony, iron, chromium, and aluminum are discussed. The metallurgical effects described include hot shortness, fire cracking, and undesirable phase transformations.

Jan 1, 1985

By Elizabeth L. Robinson

INTRODUCTION The financial structure of the mining industry has changed strikingly over the last thirty years. The changes that have taken place in the last ten years include both the acceleration of adverse trends in familiar balance sheet numbers and ratios, and the subtle but extensive increase in the complexity and diversity of funding sources, both on and off the balance sheet. The objectives of this paper are: 1. to briefly trace the evolution of trends in the mining industry&apos;s financial structure; 2. to focus in more detail on changes in the last decade; and 3. to analyze those trends both within the framework of capital structure theory, and in the context of changes in business and economic conditions. This survey focuses primarily on the mining companies listed on the major U.S. stock exchanges, since financial data for these firms are readily available. The producers of minerals are a diverse lot, however, and the quantitative data on "the mineral industry" as characterized in this survey fails to encompass the financial arrangements for the bulk of production worldwide, whether owned by governments or private-sector enterprises. Even large portions of the U.S. minerals industry - subsidiaries of still larger firms, medium-sized privately-held companies, and the small miners - were not included in the quantitative part of the analysis. THE EVOLUTION OF THE INDUSTRY&apos;S FINANCIAL STRUCTURE In the aftermath of the business failures of the Great Depression, most borrowers and lenders considered minimal debt on the balance sheet the soundest policy. By the 1950&apos;s, however, a body of literature was developing which demonstrated that the use of leverage could improve the value of the firm, given a corporate tax structure which allows interest, but not dividends, to be deducted from income. Optimal Capital Structure The objective of undertaking a new project is to improve the wealth of the current owners of the firm. If internally-generated funds are insufficient to allow growth at the desired rate, the company can raise funds either by issuing new equity, or by incurring debt. The most attractive source is the one which will provide the funds for the lowest cost. Both stockholders and lenders expect to receive compensation for use of their funds at a rate which reflects two things: (1) the return they could earn in alternative investments, and (2) the riskiness of the projected return. Factors which increase business risk include the variability of demand, sales prices and input prices, and "operating leverage", or the proportion of fixed to variable costs. In addition, from the investors&apos; point of view, the use of financial leverage concentrates risk onto the shareholders, because lenders enjoy a prior claim in the event of bankruptcy. So although financial leverage can increase a project&apos;s expected rate of return, and therefore, presumably, earnings per share, too much debt will be perceived as uncomfortably risky by equity investors, and have a negative effect on stock prices. In theory, then, there should be an optimal level of debt which the firm&apos;s managers should seek to obtain in its financial structure. The desirable proportion of debt should in general be lower for a firm with a higher inherent business risk. In addition to their own judgement, financial managers are sensitive to the attitudes of lenders, rating agencies, and investment bankers in setting financial targets (Scott and Johnson). In practice, financial structure will also depend upon the company&apos;s growth rate and level of profitability, and conditions in the capital markets at a given time.

Jan 1, 1985

By R. A. Pimentel

Complying with reduced dust standards (i.e., less than 2.0 mg/m3) due to quartz levels that exceed 5 percent is presently a critical problem for many continuous mining sections. Results are presented of research which was performed to determine the factors causing high levels of respirable quartz dust and to identify the major contributors to operator exposure. It was found that the significant sources of quartz dust are the drilling of the roof and the mining of the roof, floor and rock bands. Both the miner and the bolter may be on a reduced standard, but compliance is easiest to achieve on the bolter for which improvements in maintenance and operator practices are usually sufficient. At the miner, the problem is more elusive. Research continues to identify operating and mining practices that contribute to the exposure..

Jan 1, 1985