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By S. K. Mishra

Introduction The history of the Australian coal industry is almost as old as the history of Australia after new settlement. The first cargo of coal was exported from Newcastle to India in 1799. Coal has been mined in Australia for almost two centuries. But there are indications that the first coal was processed in 1877 in the Newcastle area. This is nearly 50 years after the first coal processing in Europe. Processing on any significant scale began in 1944 at the Newcastle Steel Works. In Queensland, however, coal processing did not begin until the second quarter of this century. The dramatic growth of mining and processing of Australian coal since the mid-60s is primarily due to the expansion of the export market in Japan, Asia, and Europe. Australian coals Black coal occurs in most of the major sedimentary basins of Australia. The better known deposits of commercial importance are in the Sydney, Bowen, Oakland, and Gailiee Basins. Apart from the Collie Basin in western Australia, other coal deposits of the Arckinga Basin in South Australia, the Bonaparte Basin in Northern Territory, and the Tasmania Basin are basically unexploited. The Sydney Basin of New South Wales and Bowen Basin of Queensland remain the major producers of black coal in Australia. Currently exploited or potentially commercial deposits of black coal in Australia occur in strata ranging in age from Permian to Tertiary. Estimated black coal reserves are summarized in Table 1. Coals from different ages have significant differences in their petrographic characteristics. Many of the Permian coals are usually rich in inertinite. Jurassic and Tertiary coals are typically rich in vitrinite content. Typical petrographic and chemical characteristics of some important Australian coking coals are summarized in Tables 2 and 3. The reserves of coking coals are restricted in the main to the Permian coals of the Sydney and Bowen Basins. Coal deposits in the latter are at shallow depth. A high percentage of these are being strip-mined. On the other hand, in the Sydney Basin, the majority of the reserves of good quality coking coals are at significant depth. The mining cost of these deposits is substantially higher than those in the Bowen Basin. It is usually possible to make strong coke with Australian Permian coals of vitrinite content much lower than the other international coals. But there are many major Permian deposits in Australia where low vitrinite content presents problems. As they are classified as marginal coking coals, optimization of their pro¬cessing plays an important role in meeting the market specifications of coking coal. The major reason for processing Australian coal is to reduce the ash content. Compared with British and some American coals, Australian coals are of relatively high ash content. Unlike American coals, more than 99% of the Australian coal deposits have sulfur content less than 1%. Consequently, sulfur control has never been a major problem. The coking quality of coal is improved simply through the ash reduction in the marketable product. However, with the increase in intensive mechanization and multi-stage handling of coal be-

Jan 9, 1985

By G. G. Marino, J. W. Mahar

This paper provides an utierstanding of the betivior and potenttil damage of homes resulting from sag-type mine subsidence. This is done with extemive research of numerom case histories in Illinois collected by the authors. The howe response to substience-itiuced ground displacements are summarized and evaluuted. A damage level criteriu, specifically developed for residenttil structures, is presented based primarily on repair costs. Damage levels and the associated subsidence profile characteristics for each case history are compared.

Jan 9, 1985

By D. Gignac, P. A. Studemeister, H. Koza

Two epiclastic horizons in an Archean volcanic sequence host the gold occurrences on the Dunraine property near Wawa, Ontario, Canada. The Grace horizon of cherty and pelitic tuff strikes north-northwest and dips east. Native gold occurs with arsenopyrite in bedlike and podlike bodies of quartz lenses and stringers set in a pelitic matrix. The Parkhill horizon of lithic graywacke with associated flow-breccia strikes southwest and dips south. Native gold occurs with minor sulfides in similar bodies of quartz erratic within the Parkhill horizon. The auriferous bodies occupy paleotopographic channels and troughs within the two horizons. The former producers are the Parkhill mine with 1689 kg (54,300 oz) Au, Darwin mine with 473 kg (15,200 oz) Au, and Van Sickle mine with 48 kg (1536 oz) Au between 1902 and 1944. The gold occurrences are syndepositional with the host volcanic sediments laid during a pause in explosive volcanism. Fumaroles along steep gullies on the flank of a subaqueous volcanic center precipitated aprons of auriferous silica-sulfide mud. Downslope slumping resulted in exhalative debris flows; gold concentrated in flexures and depressions along stumpage channels. Renewed explosive volcanism covered the auriferous sediments with pyroclastic tuffs, arresting the slumping of in situ fumarolic deposits.

Jan 9, 1985

By Jonathan M. Pachter

Introduction The Bailey mining complex is located in Greene County, PA, in the Talley Run valley. It includes two Pittsburgh No. 8 seam deep mines (Bailey and Bailey No. 2), a coal preparation plant, and two refuse areas. Clean coal is shipped from the complex by way of a 24-km (15-mile) rail spur. It con¬nects to the Monongahela Railroad in Waynesburg, PA. In early 1981, Consolidation Coal Co. (Consol) began a permitting effort aimed at building the mine. Construction began in Dec. 1981, less than six months after the first application submittal. Clean coal was produced by the Bailey preparation plant in Sept. 1984. Several factors allowed quick permitting at Bailey. Effective project planning, including early formulation of a project planning team, and identification of red flag issues helped. So did innovative responses to environmental questions, and development of environmentally sound project designs. Forming a project planning team Consol management decided that Bailey mine construction had to begin in late 1981. A project permitting team was immediately formed to see that this goal was achieved. Team members included a project manager and personnel from Consol's engineering, environmental, and operating departments. Communications among all team members was crucial in obtaining the various state and Federal environmental permits. All project permitting team members participated in weekly meetings during application preparation. Discussions at these meetings ranged from recent public contacts, to application content, to environmental design considerations. Establishing a project manager was critical to the team's success. The project manager was responsible for seeing that permit acquisition, facility construction, and operation of the mining complex proceeded on schedule. The project manager had the final word, mediated disagreements, and frequently served as project spokesman to the public. Identifying red flag issues Red flag issues are those environmental factors with the most potential for delaying the schedule or stopping the project. The first red flag issue identified was organized local opposition. This opposition had completely derailed a US Soil Conservation Service proposal to build a multipurpose dam on Enlow Fork, a short distance

Jan 9, 1985

By Ernest H. Gilmour

Introduction An earth science teacher at the junior high school level has the potential of working with 450 students per year. And these young people are at an age where they can be properly informed about the importance and necessity of a viable, domestic minerals industry. It was with this philosophy that a course was developed at Eastern Washington University for science teachers entitled, "The Minerals Industry of the Pacific Northwest." The two-week course is sponsored by the Northwest Mining Association and the Idaho Mining Association. It was first taught during the summer of 1971 and will be taught during the summer of 1986 for the sixteenth straight year. It is a two-week mini-version of the very successful six-week course taught at the Colorado School of Mines. In 1971, Russ Chadwick was President of the Northwest Mining Association. He suggested that such a course should be developed and offered at Eastern. It was determined that tuition scholarships would be necessary. This would ensure that a reasonable number of teachers would register for the course. Say a teacher has five classes a day, with 30 students in each class. Some 150 students come into contact with that teacher each term. With three terms a year, an instructor works with about 450 students per year. So, with 20 teachers in the course, it was possible that 9000 students a year could learn from our informed teachers. And now, after 15 years, more than one million students have learned about the minerals industry from teachers who have completed the course. The course is designed to take the teachers through all aspects of the minerals industry. Most of the lectures are given by the working geologists and engineers who talk about their jobs in the industry. This is extremely important for the credibility of the course. The teachers realize that the lecturing professionals really believe in what they profess. Industry fundamentals The course begins with a lecture on the need for minerals in a modern society. Most of the teachers do not realize how critical minerals are to every aspect of our daily lives. The lecture is followed by the US Bureau of Mines movie, "Minerals Challenge." An exploration geologist then discusses what is involved in the exploration for a mineral deposit. This includes a case history that the geologist has actually been involved in

Jan 9, 1985

By David L. Rife

Introduction Our society is currently experiencing a change in civil philosophy toward US industrialization. We have become increasingly bent on the pursuit of a nirvanic state of zero risk. The money supply has become inversely proportional to its sources. And most mining companies, traditionally conservative, have become increasingly risk conscious. Rising taxes, high inflation, and decades of a steadily decreasing gross national product (GNP) - coincident with moral decay and disarmament - have eroded America's economic health. Psychology of US metal markets has shifted across the economic spectrum to disillusionment and discouragement. The sagging national economy, expanding governmental debt, and a backward mineral policy in concert with worldwide unrest and turmoil have caused great volatility in the metal markets. Congressional inaccessibility of US resources has contributed to its loss in strategic leadership and dependency on foreign suppliers and the common market. Large scale mining activities are now on the decline. And there is an overall slump in mineral exploration in this country. America now faces the sobering reality of almost total importation of 13 key mineral commodities and total dependence on foreign sources for five of them. There is a growing dependency on 21 of the 34 minerals vital to the US economy. And virtually everything needed can be imported directly from third world countries. Almost 85% of the free world's supply or production of vanadium, chromium, platinoids, manganese, and titanium - an essential to the aerospace industry - comes from South Africa. That country now plays a forefront position in supplying the West with minerals. The Soviets have become increasingly aware of this situation. They have made key moves in procuring for their own purposes major raw materials markets, particularly in South Africa. This is obviously threatening to the US' direction and brings about vulnerability to shortages and cutoffs. In spite of these developments and the overall change in the mining industry, there is good opportunity for growth ahead. The way has been paved for the smaller mining companies, particularly the more bullish of these. Smaller mining organizations possess a tight management and strong sense of direction. They can easily adapt to and cope with change. "Windows" that exist in the industry directly depend on a number of factors. These include the busi¬ness climate, market research and planning, management and human resources, applied appropriate technology, favorable hunting ground, and entrepreneurship. Mining as business Mining (and exploration) as a business is by its very nature highly speculative. It involves greater risk for a longer period of time than most other businesses. The entire mineral estate in the US continues to shrink. This is primarily because of various legislated wilderness measures. Consequently, the probability of finding an economic ore deposit in the US has decayed to less than 1%. Although the risk is high, the stakes far outweigh the gamble and are larger than most other businesses can offer. Mining properties, as investments or business opportunities, can provide effective hedges against long-term inflation because the real price for selected commodities, such as gold, may sometimes rise faster than inflation. Recessionary periods seem to provide the best climate for entering the mineral business or for a particular mining organization to expand its activities. Looking ahead and seizing opportunities during a depressed market will pay off. Property payments and royalties are likely to be lower. And the potential for an upward shift in prices for a given commodity is very positive. The decision to invest in a prom-

Jan 9, 1985

By K. A. Grace

K.A. Grace's article advocates usage of the terms describing resources as defined by the US Bureau of Mines (USBM) and the US Geological Survey (USGS). Originally recommended in 1943, the terms were revised in 1976 and again in 1980. Mr. Grace further recommends that the term reserves should be severely restricted and that it should encompass mining and processing factors. The list of references quoted in the article does not, however, mention the study concerning reserves that was made over a period of almost four years by a joint Committee on Definitions. This committee was sponsored by three societies - the American Institute of Mining, Metallurgical, and Petroleum Engineers (AIME), the Society of Economic Geologists (SEG), and the American Institute of Professional Geologists (AIPG). Most of the detailed work was done by a working party appointed by the Society of Mining Engineers (SME) of AIME. After studying previous definitions in the US as well as in the United Kingdom, Canada, Australia, France, and other European countries, the following definitions were proposed and accepted in 1974 by the SME board of directors. (Ore reserve definitions in Rhodesia, South Africa, or New Zealand were not mentioned as having been reviewed.) Table 1 lists definitions from MINING ENGINEERING, July 1975. Notice in Table 1 it was mentioned, under Resources, that the definitions of reserves were recommended for the purposes of commercial evaluation. It was further stated that the terminology adopted by the USBM and the USGS, as released to the public, covering resources, was recognized as such. Mr. Grace also recommends that reserve calculations should allow for future losses in ore tonnage, ore grade, milling, and smelting. Unfortunately, it might take years to develop a prospect after it has been discovered. Mining methods have to be tested before being finalized in order to know what tonnage of ore is going to be lost, or how much dilution is likely to occur. The same problems are present in concentrating or in smelting. Operating mines usually know how mined grade compares with ore reserve grade. They can usually predict fairly closely what their final metal recoveries are probably going to be. It is, however, expecting too much to have to delay quoting reserves from say a recently drilled prospect. Any responsible mining geologist or mining engineer (or company for that matter) should state several things about an ore reserve calculation: that it is or is not a preliminary estimate only; that estimated grades have not been diluted to allow for a future, as yet unknown, mining method; that metal recoveries are or are not only tentative, based perhaps on drill hole samples only or on no metallurgical testing at all. Reserves of a partially explored prospect are always quoted when it becomes necessary to raise capital. If they are described as preliminary only (really just tonnage and grade estimates and not true "reserves") in addition to being accompanied by some of the items just mentioned, nobody is going to be misled. If, on the other hand, a report by a member of the SME or SEG is intentionally misleading, the individual must be reported and eventually disbarred from his or her society. To summarize, let us stay with the definitions of ore, ore reserves, and related terms as recommended and accepted by SME. I might add that on occasion I have used a fourth category in my ore reserve calculations, namely Geologically Possible Ore. This category is more or less the same as Inferred ore defined by the USBM and USGS. I have never given a grade to this category, which may be based only on geological mapping, geochemical sampling, or geophysical traversing.

Jan 8, 1985

By Christian F. III Baiz

Introduction A new mining agenda is before us. Born of government policies and world economies, the years ahead will show reduced growth. Metals, mining, and most other natural resource industries are inflation dependant and capital intensive. For these, a long period of contraction of outmoded and costly capacity will evolve. In some cases, this will be supplanted by new, lower cost capacity. But this will occur only if the cost of production - including cash operating and debt service costs - comes in at or below current market conditions. The industrial outlook for metals mining can be characterized as bearish. A US bank economist said mining companies planning their five-year forecasts should take current market conditions and straight-line them to the end of the decade. With low growth and low inflation, the real price of metals will remain flat or decline slightly. As a result, capital funding will be problematic. The low-cost producer will succeed. That means only the producer with low cash costs and low principal and interest costs per unit of production, will succeed. Gaining a perspective One must look back 30 years to see the evolution of the capital markets, for metal mine financing. This period can be divided into two economic periods. The 1950s were a time of stable economics. Mining companies earned and reported good profits. They had good corporate creditworthiness. In essence, mining companies of the 1950s were highly self-reliant. When equity infusions were needed, they were easily obtained. Financial management kept long-term debt low. Fixed rate, long-term financing was readily available in the long-term bond markets. The commercial banks of the 1950s were rarely used by the mining industry. When necessary, mining companies went to the banks for short-term financing - the kind that was needed for working capital requirements. Changing rhythms In the old rhythm there was an orderly market. Even into the mid-1960s, 75% of world annual copper production was controlled by eight companies: two in the UK, one in Belgium, and five in the US. During times of poor market demand, these producers would control supplies to the market. They took their losses out of retained earnings. Capital was easily restored during the ensuing good times. The new rhythm called for copper to be an economic means to a political end. Third World copper producers brushed aside the market fundamentals of commodity economics. Yet, the political solutions of these countries - their lack of response to the market - have seldom achieved their original objectives. Each commodity has its own old and new rhythm. Aluminum may have a similar rhythm, coming 10 to 20 years later than copper. By the late 1960s, changes were occurring. Inflation was on the rise. Ore reserve quality was falling. As a result, capital expenditures were necessary to maintain existing output. These costs created an increase in corporate leverage, thus adding to inflation and rising interest rates. Indicators A comparison of the gross national product (GNP) deflator index, consumer price index, and the metal mining deflator index is instructive. (Fig. 1 and Table 1). With 1972 equal to 1, note that the metal mining deflator reached its lowest point in 1967. From that point, the metal mining deflator has accelerated severely for 16 years. Only two minor downturns occurred during the business recessions of the mid-1970s and the early 1980s. In essence, Fig. 1 shows that while GNP has grown modestly, a miner's dollar in 1972 would require $3.48 in 1980. This is an almost 17% compounded growth rate over that eight-year period. Beginning in the late 1960s, for the first time in mine financing, the risk of success shifted from the corporate balance sheet to third parties. Limited-resource financings were taken up by banking syndicates that accepted certain of these risks. The lender needed to be well acquainted with the types of risks to be evaluated. These include resource quality and quantity, construction and completion, capital and operations costs, market risks, force majeure, and political and exchange rate risks. Project financings became the basis whereby mining companies were able to maintain their borrowing capacities. In essence, the lender was willing to share some of the project risk while only receiving lenders' returns on these investments. Over the last two decades, mineral project financings have become highly complex transactions involving multicurrency, multi-

Jan 8, 1985

By Gaither H. Kitchell

Introduction Fire assaying is an ancient method of determining the amount of gold and silver in geological materials. Today's commercial, mining, school, and private fire assaying laboratories still use this basic assaying method. One of the primary reagents used to collect gold and silver from the ore is litharge (PbO), or lead oxide. The Federal Occupational Safety and Health Administration's (OSHA) and the Nevada Division of Occupational Safety and Health's (OSH) have a lead standard. It states that a person exposed to airborne lead at concentrations greater than 50 µg/m3 (1.4 µg per cu ft) of air over an eight-hour period has gone beyond the permissible limit for health safety. It is not uncommon to get airborne lead concentrations of 1400 µg/m3 (40 µg per cu ft) in the flux/sampling area or 900 µg/m3 (25 µg per cu ft) around the gas/ electric furnaces during the fusion and cupelling phases. Therefore, any individual working in these areas for more than 30 days per year without proper protection is a likely candidate for lead poisoning. Lead In A Human Lead enters the body as a toxic substance by breathing it into the lungs and upper respiratory tract and by getting lead particles into the digestive system through ingestion. Smoking, eating, drinking, chewing tobacco and gum, or wiping a lead-contaminated hand across the mouth are all potential ways forgetting lead into the body. Lead taken in large quantities can actually kill a person in a matter of days. This is rare, however. The real hazard of lead overexposure is for the unsuspecting person who works in an unsafe lead environment for months or years. This individual can slowly receive damage, sometimes permanent, to the central nervous system, gastrointestinal tract, kidneys, blood, gums, and reproductive system. Safe Blood-Lead Level The Lead Standard states that the maximum safe blood-lead level is 40 µg/100 g (40 µg per 3.5 oz) of whole blood. It recommends 30 µg/100 g (30 µg per 3.5 oz) if a person is of child-bearing age. People not working around lead products normally have a blood level of less than 10 µg/100 g (10 µg per 3.5 oz). A person not adequately protected can exceed 40 µg/100 g (40 µg per 3.5 oz) in a few weeks by fire assaying only 100 samples per day per week. Studies show that some individuals have developed lead-related diseases with blood-lead levels less than 80 µg/m3 (2.3 µg per cu ft). Lead Poisoning Symptoms There is a long list of symptoms associated with lead poisoning. The most common are: a prolonged, sweet, metallic taste in the mouth; loss of appetite; anxiety and irritability; weakness and dizziness; nausea and tremors; and insomnia. Preventive Measures Based on the lead standard, a number of preventive measures can be taken to ensure that fire assay laboratory personnel frequently exposed to lead are protected against overexposure. First, the actual lead concentration within the assaying area should be determined. In Nevada, one can contact the Department of Industrial Relations, Division of Occupational Safety and Health for assistance in monitoring any laboratory. The agency will also recommend ways to protect against lead. This agency does the monitoring and provides an educational class on lead safety. This type of agency can be found in other states. Commercial consulting firms are also available, but they are expensive. Regardless of the technique used to determine lead concentrations, it is most likely that the average fire assay area exceeds the 50 µg/m3 (1.4 µg per cu ft) lead concentration limit. This is considered unsafe.

Jan 8, 1985

By G. J. Jansen

Introduction The usefulness of microscopes in exploration and ore dressing, problems has been documented for the older generation of mining industry personnel in such publications as Schneiderhohn and Ramdohr (1931). A more recent publication that examines the subject is Process Mineralogy, a conference proceedings of The Metallurgical Society (TMS, 1981). However, it is worthwhile to review some of the principles and advantages of microscopic examination of rocks, ores, and mill products. Transmitted light Microscopists can look at materials in transmitted or reflected light. Studying transmitted light is what is usually meant by petrography. In this method, the light passes through the specimen. The upper polarizing filter can be moved in (crossed nicols) or out (open nicols) of the light path. The specimen can be a thin section, a slice of rock mounted on a glass slide and ground to 30 µm (>400 mesh). Or, it can be a sample of rock or ore crushed to about 70 µm (200 mesh). Transmitted light study is particularly suited to gangue minerals, such as quartz, carbonates, and feldspars, and to the study of alteration processes and products. It has some applications to liberation studies. Minerals are identified in transmitted light by observable and measurable optical parameters, such as cleavage and twinning. Figure 1 is a photomicrograph of the mineral microcline, (original

Jan 8, 1985

By Paul D. Tomlingson

Part two of this two-part series covers the use of an integrated information system with administrative information, including error and absentee reports as well as open work files. Part one (ME, July, page 650) discussed conceptualizing and developing a maintenance information system. It explained what information is needed to manage such a system.

Jan 8, 1985

By Victor F. Hollister

Introduction Trends of successful discovery technology and psychology emerge from a thoughtful study of various companies' exploration programs. These subjective patterns can be generalized into groups of factors for discussion. Here, for convenience, factors that influence exploration success are separated into management and geologic concerns. Most successful discoveries have a demonstrably favorable management combined with a technically competent geologic input. Both are required. But the management input is decisive. Management factors include the correct definition of management's role; cost of exploration; time needed for exploration; commodity selection; and the fostering of autonomy, creativity, and confidence in the geology department. Geologic factors include imaginative technical competence (field as well as academic), correct development and use of empirical exploration or prospecting models, and dedication. Success comes to those entities that are properly managed and have technological competence. A management team that directs a company's business has been compared to a dynasty. The dynasty lays out policy and follows up with appropriate action. In that management's power is pervasive, the term is appropriate. Management's role is, however, more important. Many examples can be cited where the geologic input was impeccable. But management somehow snatched defeat from the jaws of victory, and the exploration success was turned to a third party's profit. Management Factors Management's role can be broadly generalized to four parts. These are to identify the commodities it seeks, define its part in the exploration process, develop a functioning exploration department, and have the desire to succeed. It must have confidence in its geologists and delegate to them the authority and responsibility they need to operate successfully. Head office management cannot do the thinking for a field staff thousands of kilometers away. There is no substitute for confidence and delegation of authority. Successes came to those who had the freedom to act. Motivation is a management requisite. Management's role is to prevent destructive, internecine political battles within the corporate structure. Most large US mining corporations have well known histories of political strife that have damaged their exploration efforts. Management's role must, above all, include the desire to succeed. There are cases where management has been confronted with a commercial exploration success, but their reaction is to request additional study or exploration. Perhaps the problem of bringing a commercial find into production is beyond their capabilities. But a bona fide discovery sent back for additional work commonly is lost due to that management. The cost of exploration is a factor that management must accept. A variety of studies made during the past 40 years shows the cost per discovery to be $25 million, $38 million, $200 million, or even $290 million. These figures are derived by dividing the total exploration expenditure by the number of discoveries. However, successful management dynasties have a much lower cost per discovery during their management regime. Asarco, from 1948 through 1963, had one of the lowest cost discovery rates in the world. Duval Corp., from 1948 through 1968, had comparably low discovery costs. Placer Development, from 1955, was equally successful. Western Mining in Australia has had one of the longest lived dynasties associated with exploration success. Time is vital in exploration success. Most successful exploration case histories stress sufficient time in project exploration so that the target is well tested. A large target cannot always be adequately evaluated by a few holes (strat or concept testing). Serendipity helps in exploring large targets, but it best operates in a lengthy program. Numerous case histories include pleasant surprises. But these came mostly after the 10th hole. Commodity markets are important factors governing exploration success. Management's decision to explore for a specific commodity can doom its effort if that product suffers from severe oversupply. Unquestionably, progressive copper price increases from 1948 through 1968 helped convert marginal porphyry copper discoveries

Jan 8, 1985

By Paul D. Tomlingson

Part one of this two-part series covers conceptualizing and developing a maintenance information system. It explains what information is necessary to manage such a system. Next month, part two will discuss using this type of system with administrative information, including error and absentee reports as well as open work files. Introduction There is no doubt that quality, timely, and accurate information can make a solid contribution to maintenance cost reduction objectives. Yet, despite obvious benefits, methods being used to acquire information systems are proving costly, frustrating, and often unsuccessful. Those needing the information are disappointed. Mine managers, hoping to reduce costs with quality information, are instead seeing no system, no savings, and massive spending on information endeavors of questionable benefit. Options Any software vendor will happily sell you his program. Numerous mining organizations, having "gone to the cleaners" themselves, will gladly make their programs available to help cover huge trial and error development costs. Any package can only be a generalization. Any program bought from some other organization must undergo numerous modifications to make it work properly. In the process the initial cost is doubled. Many mining maintenance organizations do not know how to go about the task of conceptualizing, developing, installing, and effectively using a maintenance management information system. Consequently, many have hedged their primary responsibility of specifying what information they want, how they will get it, and how they will use it effectively. Into this void have jumped many who claim they can help. But some may not understand the special information needs of maintenance in the mining industry. By default, the whole scene of maintenance information systems has become confused and in need of clarification. A Starting Point Four broad phases are used to organize the steps by which maintenance acquires an effective maintenance management information system and initiates its use. Conceptualization is an identification of needs, factors that influence development, and an assessment of support for the system. Development is a plan of action for bringing the conceptualized information system to life. Consideration is given to the practical aspects of collecting field data, processing it, and converting it into useful information. Implementation consists of those actions by which the newly developed system is integrated into the organization and put in the hands of its personnel so that its value can be derived. Use addresses the means by which personnel use the information to accomplish maintenance improvement objectives. These phases are preceded by establishing the need for the information system. They are followed by a requirement to measure its success (Fig. 1). Conceptualizing the Information System Responsibilities - The information system user must acquire the system best suited for its use. A step-by-step process is essential to avoid many serious problems than can easily occur. The most important step is to clearly identify its objectives and lay out a course of action to achieve those objectives. The major reason for the failure to achieve information objectives is not carrying out this responsibility. Maintenance cannot delegate the task to data processing. It can obtain technical assistance but it must retain responsibility. Nor can maintenance purchase

Jan 7, 1985

By Steve Karl, Rock Jenkins

Continuing its objective of sharing new ideas, methods, theory, and engineering developments, more than 550 members of the underground fraternity gathered in New York City for the 1985 Rapid Excavation and Tunneling Conference (RETC). Since the first meeting in 1972, RETC’S aim has been to lay a foundation of tunneling experience on which the industry could expand and develop over the years. The RETC is jointly sponsored by the American Institute of Mining, Metallurgical, and Petroleum Engineers (AIME), the American Society of Civil Engineers, in cooperation with the Canadian Institute of Mining and Metallurgy, and the Engineering Institute of Canada. The 17 sessions included 72 papers that explored up-to-date practices in the mining and civil engineering fields. Session topics ranged from geotechnical and seismic design, through design, construction, and support of underground openings, to ground water control in shafts and mine openings. Case histories of tunnel boring machines and large diameter tunnel and underground openings were also reviewed. All the papers presented at the three-day conference are valuable additions to improving the state of rapid excavation. A few sessions, however, are particularly noteworthy as they are geared to the mining industry. The two volume proceedings of the entire conference are available from SME. (See ad on page 1003).

Jan 7, 1985

By Tim Neil, O&apos

The coming years should see moderate growth in the US coal industry. That growth may come at the expense of the oil and natural gas industries. Conoco pegs coal growth at 2% a year, until the year 2000. During that same period, Conoco projects only 0.5% annual oil growth and "a flat or negative trendline" for natural gas. This is compounded by the fact that coal has a delivered cost per Btu that is only half as much as it is for natural gas and only a third as much as it is for oil. So said Ralph Bailey to many of the 2600 attending the opening session of the American Mining Congress Coal Convention, May 12-15, in Pittsburgh, PA. Bailey is chairman of the AMC. He is also chairman of Conoco. While coal's projected growth is not spectacular, "it is in fact almost an assured growth," Bailey said. Weak oil and gas prices will likely prevent faster growth for US coal. Most of coal's increased demand will come from the electric utility industry and expanded steam coal exports. Conoco's study projects that domestic coal demand will be strengthened in the 1990s. By then, the present surge of nuclear power plant constuction will be over. And there will be a lack of acceptably priced, large-scale generation alternatives for utilities. "It is not likely that any electric utility is going to be ordering new nuclear reactors," Bailey said. "And as oil and gas supplies become scarcer and more costly, it is only logical that coal is going to fill the gap." At the same time, Bailey believes the US coal industry must find ways to lower its costs. He said cost excesses can be found in "regulatory overkill, labor, and simply bad habits" hidden by years of high inflation. "Those costs have now been laid bare, because we are going through a pe¬riod of disinflation. We have to put our house in order, particularly if we are going to compete in world markets." Bailey also touched on coal research. "The industry certainly accepts the fact that we must find a way to burn coal as cleanly as possible. A lot of work in that regard is going on. I expect there will be some significant break-throughs." Bailey said the coal industry is being squeezed this year. Last year, coal customers accumulated inventories in anticipation of a major coal strike that never materialized. Now, many utility customers are working down these inventories. So they are not taking deliveries on their coal contracts. But coal use is up in 1985, compared with 1984, Bailey said. So increased coal use, along with supply drawdown, should strengthen the coal market before the year is out, he said. After Bailey's presentation, some 100 speakers addressed policy and technical topics at 15 sessions during the four-day meeting. It was the first time since 1977 that the AMC Coal Convention has been held in Pittsburgh. And this year's attendance was up 40% from the last AMC Coal Convention held two years ago in St. Louis, MO. This year's registrants included 228 companies, 225 manufacturers, and 106 associated members. The only negative was the David Lawrence Convention Center. It was less than ideal. By turns, meeting rooms were too small, too cramped, or too far from one another. The session on longwall mining was so crowded that the doors were propped open so conference delegates could peer in. A concurrent manufacturers' forum session needed 50 more chairs to accommodate those wanting to attend. However, on to summaries of some of the presentations. Coal transportation and export Since Congress approved the 1980 Staggers Rail Act, railroad rates for hauling coal have not been excessive. In fact, rail rates for coal have increased less than 0.5% a year, in real terms, since 1980. Moreover, the market oriented principles written into Staggers are contributing to the improved financial and operational health of the nation's railroads. But no railroad is earning excessive profits. That is the gist of a coal transportation study being completed by the US Department of Energy. William Vaughan is DOE's assistant secretary for fossil energy. He affirmed the thrust of the upcoming report. Vaughan did allow that Interstate Commerce Commission (ICC) regulations on rate reasonableness could permit the railroads to exploit their monopoly power on captive shippers. Luncheon comments later made by Don Hodel confirmed Vaughan's comments on railroad rate justification. Hodel is Secretary of the

Jan 7, 1985

By Maribeth Amyot, Y. J. Wang, S. S. Peng

Introduction The impact of computers on individuals and businesses increases each day. And the mining industry is no exception. The growing number of short courses, symposia, and feature articles in journals on the subject of computers is indicative of the developments and interest in their application to mining. Given this interest and the growing importance of computers, a legitimate concern is the computing background of graduating mining engineers. Based on a sample survey, this paper presents the current status of computer education in Accreditation Board for Engineering Technology (ABET)-accredited mining engineering programs in the US. Specific topics addressed include hardware and software available to students, integration of computers into curricula, concerns of mining educators, and historical and anticipated trends in computing education. Methodology Nine of the 19 ABET accredited mining engineering schools (as published in the SME-AIME Guide to Minerals Schools) were surveyed. Interviews consisting of open-ended questions were conducted with a knowledgeable faculty member from each of these schools. This was done to obtain an overall view of computing in mining engineering programs. The intent was not to evaluate nor compare individual schools, so a complete census was deemed unnecessary. The minimal deviations between the responses to the subjective questions reinforces the credibility of the sample as being representative. Results Hardware Most of the mining engineering schools polled had access to hardware on three scales - mainframe computers available university wide, minicomputers available in the college or department, and microcomputers available at all three levels. Without exception, each school had access to mainframe and microcomputers. Minicomputers, however, were not available at every school. The mainframe computers have been in place the longest. The predominant mainframe currently on campuses is the IBM model. Mainframes were once the essence of all applications. But the improved availability and capabilities of smaller machines have afforded users a viable alternative. The increasing practice in education of assessing charges for time used on the mainframe - as opposed to no charge for time on the mini- and microcomputers - makes use of the smaller machines attractive. Conversely, much of the mining engineering software is only operational on mainframes. Sometimes this restriction exists because the requisite speed or storage inherent in the software can only be met by the mainframe. More often, however, it is because the software was developed when mainframes were the only machines available, and it has not yet been adapted to run on a smaller machine. At the schools polled, many mining engineering problems that are well suited to microcomputers are being solved on mainframes simply because microcomputer software is not available. Minicomputers are available at the department or college level in many mining programs. DEC is the most popular make. Often, the minicomputers were installed to alleviate the inconveniences of attempting to access and use an overcrowded mainframe, to avoid being charged for time used on the mainframe, and to meet the needs of a specific research project. The minicomputers are currently used much more for research than for teaching applications. Therefore, minis are seldom used by undergraduate students. Microcomputers have become extremely popular at mining schools within the last five years. Generally, some form of computing policy or strategy was established near the time the first microcomputers were purchased. This was formulated in part to ensure consistency, or at least compatibility, in the type of machines acquired. Microcomputers were subsequently selected based on the established computing policies; ma-

Jan 7, 1985

By Adam H. Zimmerman

Introduction Noranda, like similar businesses, is suffering the pain of previously unheard of currency relationships, a cost structure built in better days, and conditions of gross oversupply possible in almost any commodity. Indeed, it does seem like the worst of all possible worlds is out there before us. To understand a Canadian natural resource company, you must know how the country is organized. So far as natural resources are concerned, Canada is not Canada. Canada is 10 provinces and each own the resources situated therein. Thus, the conditions of extraction, exploitation, and operation are all set by the province, while the conditions of trade and currency are set by the Federal government. This means that what may be the rule in Newfoundland may not be the rule in Manitoba or British Columbia. The second thing is that the Canadian currency has been a satellite of the US dollar for a long time. This means that we hold the unenviable and unjustified position of being the country with the second strongest currency in the world. What this has meant to us is what it has meant to an American operator. Since 1980, a pound of copper fetches 214% more for a Chilean than it does for us and a pound of zinc 115% more for a Belgian. From an American point of view, Canada is favored because its dollar is valued at 25% to 30% less than the U.S. However, because of industrial indiscretions in years past, Canada has a locked in labor cost disadvantage that is very hard to cope with. Canada has a unique situation with its labor unions. Many of the unions are, or have been, internationals and therefore gained undue strength in early days. Canada has a third political party of socialist persuasion. It is entirely funded by dues from laor union members. Thus, we have a politicized workforce. And finally, we have a public service that has the right to strike. This had made the public service unions by far the strongest now in Canada. What this means to the mining industry is that there is somebody out there blazing the trail. The unrelenting power of these public service unions probably creates a climate more conducive to excessive wage settlements in industry than would otherwise be the case. Study, Work, and Pray So what do we do when times get tough? In simple terms, we study a lot, we work harder, and we pray a great deal. We study a lot in terms of learning hitherto unknown strengths and weaknesses of our products, processes, and operations. We work hard in the sense that we do everything possible to improve our productivity. And we pray a lot because, so far, anything else we have done has not been enough. Some years ago, Noranda recognized that its principal base and precious metal operations were diminishing. To provide for the future, we should branch out into other resource type operations. These might be countercyclical and also perhaps a little more permanent. For this reason, Noranda entered the potash, aluminum, and forest products businesses. This, of course, was a 'brilliant' strategy that was much applauded in its early days. We built an excellent potash mine, the smallest inte-

Jan 6, 1985

By R. A. Jankowsi, S. K. Ruggieri

Airborne respirable dust levels on longwalls can be reduced if operators approach the dust control problem in a logical and fundamental manner. This can be accomplished through the proper application and continued use of effective dust control techniques. The Bureau of Mines is currently assessing the effectiveness of longwall dust control techniques in use today to provide mine operators with guidelines for selecting the most appropriate control technology. This paper presents a fundamental approach to the problem of shearer dust control. Three dust control techniques to be discussed are: deep cutting/increased pick penetration for reducing the amount of respirable dust generated; drum water sprays/improved water supply system to suppress the amount of airborne respirable dust; and improved external water spray system, the "shearer-clearer," to push the dust close to the face. The techniques have been evaluated in field trials and have been shown to be both practical and effective in applications to control shearer generated dust.

Jan 6, 1985

By William A. Griffith

The recent recession has severely impacted the performance and results of virtually all of our natural resource companies. The depressing climate continues to linger and recovery maybe sometime away. Problems remain for resource companies in the steel and petroleum industries as well as the mining business. In February, at the AIME Annual Meeting in New York, an All-Institute session presented a variety of views on the situation. A. T. Yu, chairman of ORBA Corp., Mountain Lakes, NJ, organized presentations by top management personnel of four natural resource companies. This well attended session heard management strategems for the present and views for the future. A compilation and synthesis of these presentations, gathered by Dr. Yu, are presented here for ME readers. Leading off will be William A. Griffith, president and chief executive officer of Hecla Mining Co., Wallace, ID. Other speakers presented here include Wilfred P. Schmoe, executive vice president of Du Pont Co., Wilmington, DE; Frank W. Luerssen, chairman and chief executive officer of Inland Steel Co., Chicago, IL; and Adam H. Zimmerman, president and chief operating officer of Noranda Mines Ltd., Toronto, Ontario. First, then Griffith's remarks. Introduction The key to successfully managing a natural resource company in austere times is good management in good times. In other words, position the company during prosperous times to survive the times when the well dries up. Although we know how to manage properly, for various reasons we sometimes do not do it. We forget the lessons of history. We allow ourselves to be carried away by our egos. We fail to position our companies properly in good times. As a result, in bad times we find ourselves in deep trouble. We need constant reeducation in the things we already know. In the natural resource industries, proper positioning in good times involves becoming a low-cost producer, retaining the flexibility to pull in our horns, developing a lean and effective organization, and maintaining a healthy balance sheet. Nothing improves the chance of survival during austere times as much as being able to produce at a lower cost than your competitors. In our business, that means having low-cost mines - low cost because the ore bodies are high grade or favorably located, and because they are efficiently operated. It also means recognizing the competition. The key numbers are the cost to produce an ounce of silver or gold. Nothing else really counts. And our competition is every other precious metal mine in the world. Flexibility is important when one gets stuck with a high-cost operation, often because things do not work out as we expect. It is important to be able to shut down an operation quickly and easily, without high holding costs, and without disrupting the corporate organization. A lean and mean, effective organization of competent people is vital during bad times. A company will not have that if it is not developed and maintained during good times. Finally, a natural resource company has to develop a healthy balance sheet during good times if it is to survive the bad. Money in the

Jan 6, 1985

Diesel powered machines are doing some specific operations in the cyclic order required by the technical process. The dynamics of this process in certain conditions has an essential influence on environmental health conditions in the working area. The main purpose of this paper is to show, using computer simulation, how the movement (dynamic) of diesel vehicles effects environmental health standards and also how to determine the required air quantity for ventilation.

Jan 6, 1985