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ABSTRACT It is critical that historical processes and concomitant exposures to specific nickel substances be understood because some diseases linked to inhalation of certain nickel-containing substances have a long latency between first exposure and disease onset, and because nickel substances vary significantly in their toxicological properties. A discussion of the smelting history and related processes at Vale Canada’s (Inco’s) Copper Cliff, Ontario, smelter is integral to the understanding of these processes. The post-1950 processing history, equipment, propensity for aerosol formation, operational procedures, and ventilation controls used by Vale Canada in roasting, smelting, converting, and copper-nickel separation is discussed.

Jan 1, 2013

By Heather E. Lawson

Recent field data providing measured pillar loading from a deep western mine revealed that an increased load transfer distance existed compared to expected values (Larson et al., 2012). Additionally, recent work by Tulu and Heasley (2012) has shown that the abutment angle in deep longwall mines can be significantly reduced as the depth of mining increases. The load transfer distance and abutment angle are both used as parameters to estimate pillar loading in longwall design. To investigate the potential implications of these observations on pillar loading in deep longwall mines, a parametric study using ALPS loading estimation procedures was performed. A supplemental study was conducted using LaModel to further investigate pillar loading at the tailgate. The study found that the abutment angle is particularly important for panels with supercritical geometries. As panels reach a subcritical geometry with increasing depth, the primary influence of the abutment angle is reduced and matched by other factors, including load transfer distance for tailgate loading. An extended load transfer distance was shown to potentially reduce loading on pillars adjacent to the longwall as the loading is spread over a larger area. The results of these studies indicate a need for further field verification and research toward regional geologic influences on pillar loading and how these may impact ground stability.

Jan 1, 2013

By G. Couture, J. -F. Dubé, F. Letarte-Lavoie

"The Xstrata Nickel Raglan concentrator, located in Quebec’s Nunavik region, has been in operation since 1997. Originally designed to process 800,000 tonnes per year of high-grade nickel ore, the plant’s current capacity is 1.3 million tonnes per year due to various optimization projects. In 2011 and 2012, the Metallurgical group, with assistance from BBA, updated and optimized the variables affecting SAG throughput in order to optimize process stability while maintaining maximum plant throughput. This project consisted of reviewing the control strategy and completely updating the pre-existing Fuzzy Logic controller. This paper describes the successful update of the controller including a complete revision of control rules, a new process control strategy and the integration of new process variables, most notably mill rotational speed. It will also show how this new approach has provided a simple and robust way of delivering both an increase in throughput while reducing process variability.INTRODUCTIONThe Xstrata Nickel Raglan Mine concentrator is located in Northern Quebec along the 62th parallel. It has been in operation since 1997 and was originally designed to treat 800,000 tonnes of ore annually. The Raglan Agreement held with the Makivik Corporation and the Inuit communities limits the annual tonnage of ore that can be processed at 1.32 million tonnes.The ore is processed in a 24 foot variable speed, semi-autogenous grinding mill (SAG). The conversion from Autogenous Grinding (AG) to SAG was completed in 2006. Before the ore is processed by the SAG, its size is analyzed by a Wipfrag camera that provides a granulometry estimate. A cone crusher reduces the SAG’s discharge screen’s oversize material. A 14 foot diameter ball mill ensures final grinding before the flotation stage.Many control strategies were used at the SAG over the past few years. Fuzzy Logic was first used in 2007 in order to control tonnage feed to the SAG. This first version only measured the value of the variables without taking into account their rate of change. Revisions were made over the course of the last few years to improve controller performance. Other variables were added such as slurry density and crusher Closed Side Setting (CSS). The previous revision of the Fuzzy Logic was done in 2009 with a review of the rules only."

Jan 1, 2013

By Dan Wang, Qian Li, Yong-bin Yang, Tao Jiang

"Thiosulfate is one of the most promising non-cyanide lixiviants for gold leaching. However, the undesirable reaction between thiosulfate and copper (II) gives rise to increased reagent consumption, which results in high cost and huge limit to its development. This paper presents study on the effect of ammonia, copper (II) and Cu(NH3)l+ ions on the oxidative decomposition of thioulfate. It shows that the presence of copper (II) and Cu(NH3)l+ can significantly increase the thiosulfate oxidation, while ammonia is relatively unaffected. The oxidation of thiosulfate by copper(II) in the absence of ammonia is fast at first and then decreases as time increased within a certain time, which can postulate that an intermediate product is responsible for the decreased consumption. The effect of ammonia is depended on the interaction with copper (II), which was found to significantly affect the consumption of thiosulfate.IntroductionFor over one century cyanidation is widely used in industrial production of gold, due to its simplity of process and low cost of production. However, cyanide is a highly toxic chemical reagent used dangerously and brings serious environmental pollution. What's more, cyanidation has slow speed of leaching gold and poorly leaching effective for refractory ores. With the exhausting of free-milling gold ores and promoted environmental protection requests, the disadvantage of cyanidation becomes a growing problem. In recent years, more and more research activities have been focused on alternative processes using non-cyanide lixiviants. Among the non-cyanide lixiviants, thiosulfate is considered as the most promising one[l-5].Compared to cyanide, thiosulfate is an inexpensive, nontoxic and less-pollution reagent, which can form complexes with many metal ions. Thiosulfate leaching of gold has an acceptable leaching rate and is insensitivity to impurities. Moreover it presents advantage on the treatment of refractory gold ores such as carbonaceous gold ores, copper gold ores, complex arsenic and sulfur gold ores, and so on[6]."

Jan 1, 2013

By Ulrich Leiste, David M. Fox

This paper presents the results from small scale testing aimed at measuring the loads on a rigid target due to the detonation of a buried mine. The aim of this research is to find how the impulse delivered to the target varies as the air filled void volume fraction within the soil changes.

Jan 1, 2013

By Norman Paley, Finn Ouchterlony

Detailed fragmentation data for different blast delay timing tests at the Red Dog mine in Alaska are analyzed. This work is a continuation of previous work in which the crusher output was found to be better described by the three-parameter Swebrec function than by the Rosin-Rammler function. For a crusher model, the x50 variable sufficed to describe changing crusher input while b and xmax could be considered fixed. For the crusher output from aggregated stockpile rock, as measured by digital image analysis using Split-Online, the constancy of b was not as apparent. In this paper detailed stockpile data, single Split data series, and sieved belt cuts of crusher product are analyzed using the Swebrec and truncated Rosin-Rammler functions. The variability of b is confirmed. By using specific fraction passing sizes a shortcut is presented that removes the need to do curve fitting to determine the three Swebrec function parameters.

Jan 1, 2013

"The characterisation of resources and description of variability across different ore domains is key to accurate prediction of probable metallurgical performance. Such characterisation testwork often has limited drill-core from which to work and this immediately confines the characterisation method to smallscale. For flotation feeds, the JKMSI (Mineral Separability Indicator) is being developed as a potential characterisation tool, building on earlier work by Chudacek, (1990), which used shaken test tubes, and was called the EMDEE device. In addition, the consistency of flotation recovery for specified size fractions has shown to be preserved, irrespective of the amount of material in that size fraction obtained by different milling conditions, so that the overall recovery can be estimated from knowing the particle size distribution (McIvor and Finch, 1991; Bazin et al, 1994, Runge, 2007 and Wightman et al, 2010) The JKMSI unit uses less than 10 g of material per test in narrowly sized classes and results to date have demonstrated the value of the test. This paper discusses the potential of the test by demonstrating the link between JKMSI performance and mineralogy of five different ores from Laguna Seca, Escondida Minera Limitada as well as the correlation to plant scale performance obtained in an earlier survey (Coleman et al, 2006). Further work to tie down the proof of representatively of the small sample has been identified and is discussed and included in the paper. INTRODUCTIONSince the uptake of the flotation process at the turn of the twentieth century, small scale, laboratory methods have been sought to characterise flotation response. Although laboratory batch flotation tests are the most widely used method to evaluate reagents, characterise ore variability and obtain suitable model parameters using various scale up factors Runge (2101) other methods using less ore would be useful where ore samples were limited.A method using test tubes for testing ores’s flotation response to reagents was first developed by Ian Walk (Wark & Wark, 1935; Wark; 1938; Sutherland and Wark 1955). In these tests a 50 cc stoppered measuring cylinder served as a means for a qualitative experiment, the aeration being effected through violent shaking by hand. In these experiments about 10 g of mineral was ground by pestle and mortar under water after which the ground material was deslimed and adequately conditioned with the appropriate reagents."

Jan 1, 2013

By Hadi Fanisalek

"Most industries attempted to conduct their energy consumptions in an optimized way for a few decades. This is because policymakers and top managements in industries have felt the critical situation of a possible energy shortage that could happen for them in the near future, even in countries with significant fossil fuel resources. Decisions related to energy consumption in any industry will have a long-term effect on different parts of the industry structure. In this way, energy decisions should be categorized as part of any industry's main strategic and long-term decisions, which should be made by top strategists. On the other hand, strategic management has many powerful tools to help the policymakers in industries to establish a long-term strategy for energy consumption and reducing or preferably eliminating the energy loss. This will be more important for industries in the Middle East, where they have just started to make an applicable strategy for their energy consumption and to design a long-term procedure for their energy management. Based on strategic management and by comparison we designed and offered a new model for establishing the main structure of energy management strategy in primary aluminum industry, which is a high consuming energy industry. This strategy, which we will call ESM (Energy Strategic Model) and has been applied for a typical primary aluminum industry in this paper, is similar to the practical models in the field of strategic management, which were developed for designing the overall company strategy.IntroductionThe elementary goal for introducing strategic management in any organization was to establish a successful plan helping the company to survive and to gain competitive advantage over its competitors in a rough business environment. Strategic management is an ongoing process that evaluates and controls the business and industries in which the company is involved; assesses its competitors and sets goals and strategies to meet all existing and potential competitors; and then reassesses each strategy annually to determine how it has been implemented and whether it has succeeded or needs replacement by a new strategy to meet changed circumstances, new technology, new competitors, and a new economic environment[!]."

Jan 1, 2013

By L. Flett, S. Woods, C. Deredin

"Following a significant reduction in world Imperial Smelting Furnace (ISF) capacity from 2003 to 2008, a major optimization initiative was successfully carried out on the lead upgrading and bulk (zinclead) flotation circuits in the Brunswick Concentrator.This paper describes the process improvements that have taken place in order to reduce the quantity of bulk concentrate:•,Increase in lead upgrading rougher flotation circuit capacity•,Installation of a closed-circuit bulk regrind utilizing MillPebs and 150 mm Cavex hydrocyclones•,Installation of two additional cleaner flotation stages on the bulk circuit•,Optimization of the manipulated variables in the lead upgrading and bulk circuitsINTRODUCTIONThe Brunswick Mine (Xstrata Zinc Canada) is located near Bathurst, New Brunswick and is one of the world’s largest lead/zinc mines. Milling of ore commenced in 1964 from the No. 12 orebody, with an expansion in 1966 to accommodate ore from the No. 6 open pit mine. The planned closure of the mine will take place at the end of the first quarter in 2013. The ore is a complex massive sulphide, consisting of approximately 20% valuable minerals, 60% pyrite and 20% silicates.A simplified flowsheet for the concentrator is given in Figure 1. The overall flowsheet involves SAG milling, secondary ball milling, selective flotation, and dewatering by thickening, filtering and drying. The complexity of the flowsheet evolves from the requirements for fine grinding and the production of four concentrates: zinc (sphalerite), lead (galena), copper (chalcopyrite) and bulk (sphalerite plus galena).Primary hydrocyclone overflow feeds the copper-lead aerator-roughers for flotation at pH 9.0 with soda ash. Plant xanthate (80-20 sodium isopropyl and potassium amyl) and AP407 are used as collectors in the copper-lead circuit. The rougher concentrate is directed to the copper-lead regrind circuit and the tailings are fed to the secondary grinding circuit. The secondary hydrocyclone overflow from the secondary grinding circuit feeds the copper-lead rougher-scavenger banks. Rougher concentrates are reground to a P80 of 28 µm prior to three stages of copper-lead cleaning. The first stage of cleaning is done in an open circuit with the tail reporting to the cleaner scavenger. The cleaner scavenger concentrate reports to the regrind circuit and the cleaner scavenger tail combines with the rougher/scavenger tail to feed the zinc circuit. The second and third stages of cleaning are performed in closed circuit with the cleaner tail being recycled to the copper-lead regrind circuit. The average final concentrate grades 23% Pb, 3% Cu and 704 g/t Ag, and is fed to the copper separation circuit."

Jan 1, 2013

When it comes to safety in the mining and extractive industries, success is literally a matter of life and death. Anything short of perfection is not acceptable. In recent years, the mining industry in the United States has made tremendous strides in terms of health and safety for its workers. Part of that success has come with an increased focus on the issues of safety, an intense examination of procedures, liberal sharing of best practices and a focus on the synergy between safety, reliability and environment. During his closing keynote address of the Safety Management & System Reliability Conference in Minneapolis, MN on Nov. 15, Joe Driscoll, vice president of Great Basin Gold, showed a calendar from the coal fields in Pennsylvania from the early 1900s. The calendar marked the number of mine-related deaths each month. Some months, the number was as high as 50. It was an illustration of how far things have come, but there is still much more work to be done.

Jan 1, 2013

Miners really are an optimistic bunch. Even with the dark clouds hanging over the global industry, mining professionals still turn out in droves at industry conferences. In February, more than 7,200 professionals attended SME?s Annual Meeting in Denver, CO, a record. And the following week, more than 30,000 people converged on Toronto, ON, Canada for the Prospectors and Developers Association of Canada (PDAC) meeting. For many small and junior mining and exploration companies the PDAC conference is a place to find potential investors in their projects. The Investors Exchange attracts several hundred companies, each showing off their properties to the many money types who wander the hall during the four-day conference.

Jan 1, 2013

By R. H. Batey

"The process control and cost of monitoring mining slurries is normally accomplished using a continuous mass flow system, conventionally embodying a volumetric magnetic flow meter and nuclear density meter. DuPont’s Maxville Mine at Starke, Florida, USA was chosen to examine costs associated with performance of a nuclear density meter. Since it is typical of many mid-sized establishments and has a long history in their use. The published accuracy under ideal conditions of a nuclear density meter is ± 1.0%, but in practice considerable ambiguity of cost in annual production implies ± 2% at best. Using such accuracy in a 400mm (16”) pipe carrying zircon slurry at 75,000 tons/day, the cost of ambiguity, together with initial and running costs, amount to nominally $962,000 per year.Such cost leaves much to be desired. This paper describes an unique continuous, direct mass per unit volume Density Meter used for mining slurries in pipe sizes up to 1000mm (40”), which significantly reduces the cost of ambiguity of measurement and running costs. At the same time the disadvantages of nuclear devices are obviated.In an effort to reduce costs, a 400mm non-nuclear Density Meter was installed at the DuPont Maxville mine. A typical on-site accuracy can be shown to be ± 0.285%, whereby the cost of ambiguity, initial and running costs in the example above shows an annual improvement of $78,660, a reduction of over $880,000 per year.Even higher cost savings may be demonstrated with mass flow systems having gas entrainment compensation. Unlike nuclear and other inferential density meters, the signal quality of this non-nuclear Density Meter is totally unaffected by entrained gas found in mining slurries. This non-nuclear density meter is then ideally used with a vortex velocity domain sonic flow meter, and provides for the first time compensation in wet density or dry % solids, as well as wet or dry mass flow of mining slurries with entrained gas, resulting in enormous reductions in cost ambiguity."

Jan 1, 2013

By Willie M. NeSmith, W. Morgan NeSmith, Alan Roach

"In 2013, Augered Cast-in-Place (ACIP) piles are a mature foundation technology throughout the United States. General guidelines for the design and construction of ACIP piles are available along with numerous references for design in specific North American geologies. In fact, the current generation of contractors and geotechnical practitioners might view ACIP piles as just another deep foundation option to be considered, along with driven piles, drilled shafts and others. This acceptance has developed, however, over a 60-plus year period.The term, Augered Pressure-Grouted (APG) pile is often used when referring to ACIP piles because the piles emerged out of construction processes at the Intrusion-Prepakt firm in the late 1940s. The company’s specialty was pressure grouting and preplaced aggregate concrete. The grouting was typically accomplished by driving a pipe to a target level and then injecting grout under pressure. In some soil conditions, it was necessary to use an auger to reach the desired grouting depth. In these circumstances, the grout pipe was driven beside the auger and grout was pumped as the auger was withdrawn. The grout pipe was then withdrawn as well. This was the genesis of the APG, or ACIP pile, and many piles were installed using this technique. The patent application, “Method for Forming Piles” was filed by Raymond Patterson of Intrusion-Prepakt in 1951, and the patent was granted in 1956. The process was eventually modified when a suitable hollow-stem auger was developed. Licenses were granted to the Lee Turzillo Contracting Company and Berkel & Company Contractors, Inc. in the late 1950s. Each of the three companies Patent, LicensesThe patent application, “Method for Forming Piles” was filed by Raymond Patterson of Intrusion-Prepakt in 1951, and the patent was granted in 1956. The process was eventually modified when a suitable hollow-stem auger was developed. Licenses were granted to the Lee Turzillo Contracting Company and Berkel & Company Contractors, Inc. in the late 1950s. Each of the three companies coined their own terms for the piling process: “Pakt-In-Place” for Intrusion-Prepakt, “Auger Pressure-Grouted” for Berkel and “Augercast” for Turzillo. Over time, “Augercast” was frequently used as a generic term for the system. The installation of these piles was, and still is, a highly nuanced process; “contractor dependent” is a term often seen today. Intrusion-Prepakt, Berkel and Turzillo all had personnel who were part of the original group that developed the system and who appreciated the craftsmanship involved in forming sound piles."

Jan 1, 2013

By R. Bashir, J. F. Hatley

ABSTRACT Northern Saskatchewan boasts some of the world’s largest known high-grade uranium deposits. The successful mining of these deposits cannot be accomplished without overcoming technical challenges, however, which include high grade of the uranium ore, specialized mining methods to deal with groundwater at high pressures, and poor ground conditions. This paper discusses the various mechanisms of inflows at three of Cameco Corporation’s sites in northern Saskatchewan. The risk of inflows is quantified in terms of unique challenges due to hydrogeological conditions, rock mass integrity, and uncertainty in geological conditions. Strategies in the case of an inflow are also briefly described.

Jan 1, 2013

By John MacDonald

An unstable economy has shown businesses what the mining industry has known for decades ? a successful business location today may not succeed in the future. Unexpected expenses, natural events and workforce changes have a big impact on the costs of production. To help focus production and maintenance budgets, mining executives are increasingly turning to production metrics to make key decisions. Role of mine and mill data Companies employ a variety of information systems to allow employees to accomplish their operational tasks, and each worker is focused on the metrics, or key performance indicators (KPI), for his or her individual function. For example, machine operators monitor throughput and cycle time to keep the machines running continuously and to meet daily production quotas. Meanwhile, the maintenance teams monitor machine performance, overall equipment effectiveness (OEE) and meantime between failure to predict and help prevent downtime.

Jan 1, 2013

By G. Castillo, G. Thies, C. Bissue

"Newmont’s Phoenix mine began gold production in 2006 and has since experienced difficulties in reaching design throughput due to variability in ore hardness. In 2010, a debottlenecking study was conducted, generating multiple options to increase throughput of the existing Phoenix Mill through a series of phased expansions. An option was selected in early 2011 to increase the current concentrator capacity by approximately 25% through two phases. The first phase of the project was the installation of a secondary crushing and screening circuit in order to reduce SAG feed size from a P80 of 6 inches to 2 inches. The second phase focuses on downstream unit operations in the concentrator aiming to relieve existing bottlenecks such as flotation. This paper analyzes the design, commissioning, and operation of a recently installed SAG Pre-crush circuit (Phase 1). The design discussion will focus on concept development, flowsheet design, design criteria, process models, design limitations, and control philosophy. Discussion on the integration of operating data and flowsheet into design during engineering will be presented. Actual operating data of major equipment is gathered from the commissioning and operation of the circuit and compared to the initial design models. Conclusions will be drawn on equipment design factors used during engineering, and the success of model integration into operation. The paper concludes on the successes of the project and where improvements can be made during design.INTRODUCTIONThe Phoenix mine is located within 25 miles of the town of Battle Mountain, Nevada. The mill processes copper, silver, and gold ore. Production started in 2006 and has since struggled to reach the designed tonnage of 33,600 stpd due to the variability in ore hardness. In production year 2010-2011, the Phoenix mill average daily throughput of 33,000 stpd. In 2008, a larger primary crusher (FLS 60/89 gyratory crusher) was installed to operate in parallel with the originally supplied primary crusher (Metso 50/65 gyratory crusher), in order to provide additional capacity upfront in the circuit so that the primary crushing circuit could keep up with the mill.In 2010, a mill debottlenecking study was completed to assess the various options that could be implemented to increase the current mill capacity. The study was completed in late 2010 and contained four tonnages that Phoenix could achieve through various expansion scenarios. A single option was selected in early 2011 to increase the mill capacity from 33,000 stpd to 48,000 stpd. The selected option looked at a four phased expansion that would increase the capacity of the Phoenix mill and address the mill’s current bottlenecks:"

Jan 1, 2013

"The Dumont deposit is a large (1066 Mt probable reserve) low grade (0.27% nickel), nickel sulphide project located in the Abitibi region 25km west of Amos, Quebec. Royal Nickel Corporation acquired the project in 2007 and has since taken the deposit through pre-feasibility. And updated, revised pre-feasibility was released in July 2012.The disseminated nickel sulphide and alloy mineralization is hosted within the serpentinized dunite subzone of the Dumont Sill; a differentiated, pervasively serpentinized, ultramafic sill of komatitic affinity. Pentlandite, heazlewoodite and awaruite are the dominant nickel-bearing, metallic phases and can be recovered by conventional methods (flotation, mag separation). Non-recoverable nickel is also present within the silicate matrix of the serpentinized dunite and is locked in serpentine (Fe and Mg-rich variants) and minor olivine.A detailed mineralogical program including 1097 QEMSCAN® samples and 4300 electron microprobe points were undertaken to increase the understanding of the nickel deportment in the various recoverable and non-recoverable phases in a spatial context across the deposit. Eighty-three (83) metallurgical tests performed under a standard procedure have linked the mineralogy to metallurgical performance. This has allowed the creation and modelling of geometallurgical domains on a block by block basis to understand the recovery variation and metallurgical performance throughout the deposit. Understanding the spatial variability of Ni deportment in recoverable and non-recoverable phases through mineralogy is the key to understanding metallurgical performance thus, unlocking the value of the Dumont deposit and other large tonnage low grade ultramafic nickel deposits."

Jan 1, 2013

By Kevin M. Ansdell, Irvine R. Annesley, Christine L. Mckechnie

The U-Th-REE mineralization at Fraser Lakes Zone B is hosted by granitic pegmatites and leucogranites, which lie along the deformed contact between Paleoproterozoic metasedimentary gneiss of the Wollaston Group and Archean orthogneiss, approximately 25 km from the southeastern edge of the Athabasca Basin. The pegmatites/leucogranites are subcordant to concordant with the regional foliation and are concentrated within a northeast-plunging antiformal fold nose, the study area, which lies west of Fraser Lakes. The mineralized pegmatites/leucogranites in the western part of the study area (Group A) are typically enriched in U (± Th) with Th/U ~1, and contain uraninite, thorite, zircon, and allanite. Those intruding the central part of the study area (Group B) are generally enriched in Th and LREE, with Th/U >2, and contain monazite, thorite (commonly U-enriched), and zircon. The pegmatites and leucogranites in Group A tend to be slightly enriched in SiO2 and depleted in TiO2 relative to those in Group B and are interpreted to represent more evolved crustal melts. Both groups are peraluminous and show varied chemistry. Partial melting (~850ºC and 9 kbar) of a metasedimentary rock-dominated source, entrainment of accessory minerals as xenocrysts, and assimilation-fractional crystallization processes combined to enrich the granitic pegmatites/leucogranites in U, Th, and REE elements. Transfer of melt from the source region to the crystallization sites was assisted by deformation within and along major structural zones, such as the folded Archean-Paleoproterozoic discontinuity. The character of mineralization and structural control in the study area is reminiscent of the alaskite-hosted deposits at Rössing, Namibia.

Jan 1, 2013

The National Mining Hall of Fame and Museum (NMHF&M) will celebrate its 25th anniversary on Sept. 22, 2012 when the 2012 class is inducted during a special ceremony in Las Vegas, NV in conjunction with MINExpo 2012. The NMHF&M will induct four men representing the equipment manufacturing, minerals exploration, copper and coal sectors of the mining industry. The diverse cross-section of mining industry giants joining the hall of fame include Glen A. Barton, J. David Lowell, Samuel Newhouse and John Cleveland Osgood. They will join 214 other mining industry pioneers when they are formally inducted into the National Mining Hall of Fame at the 25th Silver Anniversary Induction Banquet & Ceremony. These men were selected for being visionaries, leaders and ambassadors within their own sectors and across the industry at large.

Jan 1, 2013

What is your personal view and assessment of the overall health of the industry in the current global economy? The economic outlook remains soft for the near future and, although the global economy is showing signs of recovery, uncertainty has tempered the pace of recovery. In addition to uncertainty, we are still facing significant economic challenges in many parts of the world, including Europe and the United States. The rapid expansion of China?s economy has recently slowed, further contributing to the sense of uncertainty in the overall health of the global economy. This situation is both a blessing and a curse, depending on which sector of the mining industry we are considering. For example, coal, industrial minerals, aggregates, base metal and precious metals markets are impacted by different forces and drivers and will experience different outcomes within the same economic environment. Let me give a few concrete examples to illustrate this concept. The prevailing economic uncertainty that I have just described tends to drive investors toward safe havens. Gold has historically been viewed as a safe haven and as long as investors shy away from traditional investments, gold prices will remain high and gold mining companies will continue to expand and invest capital in their operations. The same sluggish economy that drives gold prices higher has the opposite effect on other segments of the minerals industry. A great example of this is industrial minerals and aggregates used in construction. The markets that consume these minerals have contracted significantly over the past five years. The outlook for this segment is poor, as the glut of available housing continues to inhibit demand for new construction and, thus, many industrial minerals. In addition to this, the federal government?s lack of political will to enact long-term legislation funding transportation and infrastructure projects continues to be a drag on the U.S. aggregates industry.

Jan 1, 2013