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By E. C. Lane

[This is the tenth in a series of retorts on properties of commercial motor fuels, made in accordance with a cooperative agreement between the Cooperative Fuel Research (C.F.R.) Committee e end the Bureau of Mines of the United States Department of the Interior. The first report rave data on motor gasolines sold during .e winter of 1935-36.3/ The present report presents analytical data for 1,732 samples, representing the products of approximately 50 companies, which, as in previous surveys, include both lame and stall suppliers. In addition, the Pacific coast is represented by data that were averaged by the Pacific Coast Technical Group before being submitted and are published exactly as they were received. As in previous surveys, the data are divided into the three groups of samples of regular-price, premium-price, and third-grade gasolines, and each group has been averaged separately. he number of samples, items, and brands comprising each groan), exclusive of those of the Pacific coast, are as follows: Regular price, 934 samples, 230 items, and 50 brands; premium price, 465 saris samples, 184 items, 40 brands; third-grade gasolines, 360 samples, 177 items, and of these terms as used in the surveys are follows: Sample: The individual supply of gasoline obtained at the filling station and analyzed in the laboratory.]

Jan 1, 1941

By R. D. Coursen

Tin has been one of the very few commodities which has been covered by an international commodity agreement. It is the only metal so covered. The reason behind tin's prediliction for an agreement has been the inconsistency of the price pattern for tin during the entire 20th century. It is not surprising in view - of the wide and wild fluctuations in its price that tin has been called the Cinderella metal. An examination, for example, of prices in 1977 alone attests to the erratic behavior of the tin markets. The high was recorded on October 27 at M$1,895 per picul and the low on January 3 at M$l,314 3/8, on the Penang market, a spread in Malaysian dollars of $581 for a picul weighing 133 1/3 pounds. The first steps in international cooperation on tin were taken after the price bonanza of the First World War. Despite a lack of increased consumption, and in spite of the fact there was no shortage of mining production during the war, prices boomed. Shipping shortages and thinning stocks brought about a situation where in the U.S., industrial stocks were only 1/6 of what they had been in 1914. The boom busted early. In 1921 the tinplate industry of the world had cut its output in half and total world consumption of tin fell by 1/3. Tin producers became so concerned that they created what was called the Bandoeng Pool. It accumulated stocks held by countries now known as Indonesia and Malaysia, amounting to 28 percent of the combined production of the two countries and about 15 percent of the total world for 1921. The pool holdings were shortly exhausted and thereafter in the years 1924 to 1928, general boom conditions existed for tin.

Jan 1, 1978

By Robert Glass Cleland

DURING the closing month of 1929, Walter Douglas found his health impaired by the strain of many difficult years of alternating prosperity and depression, and in April 1930 resigned the presidency of Phelps Dodge. Douglas was succeeded by Louis S. Cates. The choice broke a tradition that had been held inviolate for almost a hundred years. For the first time in its long history, the direction of the company's policies and operations was entrusted to a stranger without previous Phelps Dodge background, training, experience, or tradition. But the choice was wisely made. For a time at least, the path of Phelps Dodge was to run through rough and dubious ground, and no man in the United States was better qualified to blaze that trail than Louis Cates. After graduating from the Massachusetts Institute of Technology, Cates had served a rough and financially un- profitable apprenticeship at one of the century-old mining camps of Chihuahua, Mexico. Following his return to the United States and a brief interlude as assistant to the president of the National Steel and Wire Company, he had resumed his mining career, first as timekeeper, then as

Jan 1, 1952

By Laura Moore

The southern shoreline of Monterey Bay, extending from Moss Landing to the Monterey Peninsula, consists of sandy beaches backed by an extensive Flandrian and pre-Flandrian dune complex. This length of shoreline, proximal to areas of urban expansion, is currently being considered for development. For this reason, it is extremely important to understand the variability of beach and dune position along this stretch of coast through time. Previous studies of southern Monterey Bay have documented relatively high erosion rates of 2-8 ft/yr due to a net deficit in the sand budget. Although the sediment transport system in this region is not well understood, estimates for the sediment deficit in southern Monterey Bay range from 200,000 to 1,500,000 yd3/yr. A possible cause of the erosional regime in the southern bay is the removal of sediment by coastal sand mining operations. Based on agency reports and mining permit applications, approximate volumes of sand removed by mining range from 300,000 to 450,000 yd3/yr. These volumes are significant when compared with estimated values for the sediment budget deficit. The sand of southern Monterey Bay, a valuable commercial resource because of its hardness, roundness, amber color and range of usable grain sizes, has been removed from the surf zone, beaches and dunes of Marina and Sand City by four companies since 1906. Information regarding the cross-shore location of sand removal and the exact amounts of sand removal through time is proprietary and poorly documented. However, records documenting the time at which each company commenced and terminated mining do exist. This information suggests that the greatest amount of sand was removed between 1950 and 1968 when three mining companies were operating concurrently.

Jan 1, 1994

By M. Ramulu, A. K. Chakraborty, P. B. Sahu, C. Bandopadhyay, P. B. Choudhury

Human response to blast induced vibration and air overpressure is an unsolved problem that accompanies excavation process in mining. Pre-assessment and understanding of annoyance due to production blasting is probably one of the most important aspects of a successful mining operation. Complaints arising due to unoptimised blasts lead to various critical situations that hamper production. Inspite, this important aspect has been covered by a limited number of researchers in the world and probably least in Indian context. Human response is a complex phenomenon and the sensitivity of individual also vary from person to person depending on various factors like age, sex, literacy, health and exposure to mining. With ever increasing demand of minerals, opencast mines are expected to approach habitats and thus mine management may witness increased response to blasting. Many developed countries have their own guidelines based on scientific analysis, addressing such environmental problems, where as there are a few studies available in India. This study introspects above phenomenon in tune with mining requirements by analysing direct human response. This paper is based on a case study regarding the human response to blast induced hazards in a Manganese mine situated in central India. Advanced techniques of Critical Path Method and Multiple Response Analyses have been used to unearth important inferences on the response of different crosssections of population residing about the mine to blast induced noise, ground vibration and air overpressure. Various inferences drawn may provide guidelines to the planners, environment or safety departments and blasting official for safe and environment friendly blast design.

Jan 1, 2004

By Dorothy M. Richardson

The Bureau of Mines has participated in the American Petroleum Institute Research Project 48A (API-RP48A) program on the Separation and Identification of Sulfur Compounds in Crude Petroleum. The lack of reference compounds or infrared spectral data has made difficult the identification of individual sulfur compounds boiling above 140° C. The recent acquisition of 24 alkylthiophnnes has made possible a limited study of this important class of sulfur compounds. The infrared spectra of 2-monoalkylthiophenes and 2,5-dialkylthiophenes for the 2 to 15p range are reported. Correlations for determining the 2-alkyl and 2,5-dialkyl substituted thiophenes are derived from this information. The 2-alkylthiophenes show a unique pattern in the 5.50 to 6.54 region, while the 2,5-dialkylthiophenes show a distinctive pattern in the 5.6µ to 6.7µ region. A skeletal vibration occurs in the 9.5 to 10.0µ region for all of the thiophenes investigated. These data will aid the infrared spectroscopist in the identification of compounds of the type reported.

Jan 1, 1961

By J. G. Whellock, J. W. Matousek

"In spite of their importance to the economics of many metallurgical projects, the values and technical aspects of precious metals losses in smelting operations are relatively undeveloped subjects. This paper attempts to provide a condensed overview of precious metals losses in pyrometallurgy, using some of the limited production and experimental data available. It is intended for three general groups of metallurgists - operators attempting to improve recoveries, cost-accounting engineers making estimates of metal losses in new or modified smelting plants, and research engineers and students.Distribution coefficients of precious metals, the ratios of metal or matte assays to slag assays, are convenient means of comparing smelting processes and the tendencies of the different metals to enter the slag. For silver in lead blast furnaces this ratio is approximately 250;for gold and the platinum group metals in submerged-arc, electric furnaces it is 900. The ratio for gold and PGMs in converters varies with the degree of oxidation of the charge. The over-all cycle-average for industrial installations is tentatively estimated to be 35.IntroductionThe magnitude of precious metal s losses in pyrometallurgical operation s is difficult to assess. The primary producers are generally reluctant to discuss the subject. The by-product producers (the large sulphide smelters o f copper , nickel, and lead) might be more willing to disclose information, but these have precious metals in their feeds in such dilute quantities that accurate accounting is extremely difficult. It is not until numerous processing steps have been taken t hat the precious metals become sufficiently concentrated to permit acceptably accurate sampling and analytical procedures to be followed. Thus, knowledge of the precious metals contents o f the intermediate mattes and slags may simply be unavailable."

Jan 1, 1990

By W. R. Bacon

"The Canam property is in southern British Columbia, 24 miles southeast of Hope. It is reached by 5 miles of road from Mile 26 on the Hope-Princeton Highway.Between the years 1930, when the property was discovered, and I 938 development work by The Consolidated Mining and Smelting Company of Canada, Limited included some open-cuts and six adits totalling 2,700 feet in length. Canam Copper Company Ltd. explored the property intermittently from 1947 to 1955 by diamond drilling and underground work, including driving No. 10 adit. From surface down to the level of No. 10 adit, about 1,250,000 tons of ore has been outlined with an approximate grade of 1.25 per cent copper, 0.8 ounce silver per ton, and 0.01 ounce gold per ton. The ore in the upper part of the deposit also contains a little molybdenum and a little uranium.In June, 1955 Canam Copper Company Ltd. made arrangements to have the property brought into production under the direction of Mogul Mining Corporation Ltd. of Toronto, and a new low level adit has been started.GENERAL GEOLOGYThe principal rocks on the Canam property are chert, cherty argillite, and argillite. They are considered to be Jurassic or Lower Cretaceous in age. Although massive bands to 150 feet in thickness occur, these rocks are in general thinly bedded. Conformable bands of pyrrhotite, a fraction of an inch in thickness, are not uncommon in the well-bedded rocks, and fine tourmaline can be observed in various places.The sediments strike slightly west of north and dip quite steeply, generally eastward; however, sharp divergences from this general attitude are fairly common.Dark grey dioritic sills, in which slender prismatic crystals are conspicuous, are fairly common in the sediments. In general the sills are less than 25 feet in thickness, but a few are as much as 100 feet thick. Under the microscope the sills are seen to consist largely of amphibole (pargasite) and plagioclase (near An50)."

Jan 1, 1949

By P Wopereis

The Nokomai valley is located within the pumpellyite/actinolite facies of the Otago Schist, a regional scale metamorphic belt in Southern New Zealand. The Otago Schist is dominated by psammitic and pelitic greyschist with more subordinate greenschist, quartzite, marble, and ultramafics. Mining in the Nokomai, began in the 1860s, with sluicing of terrace gravels in the lower valley. Good gold is reported to have been won from unconformities within very weathered gravels lower in the terrace sequences, and particularly from within channels which dissect these older deposits. Gold was recovered from these terraces in the main Nokomai Valley, and two major tributaries (Victoria Gully and Bullock Head Creek). In the period 1885 - 1887 further gold was discovered in basal gravels beneath the Nokomai flats when the Hunter brothers sank two shafts and excavated a connecting drive to discover a lead 1.2 - 1.5 m thick. The Golden Lion Sluicing Company began mining in 1896 using an hydraulic elevator on the very 'tight' 1.8 - 2.4 m of basal gravels. This operation was followed by the Nokomai Gold Sluicing Company whose average return grade was >485 mglm3 until mining ceased in 1943 (Wopereis; 1988, 1989). A quartz vein, Commissioners Reef, was worked for small production at some time during the 1920 - 1930 period, until fault termination of the vein ceased production.

Jan 1, 1996

By Choon K. Quan

Subsidence is a surface manifestation of the underground development and exploitation of minerals, and its impact on the environment is becoming of increased concern, particularly in the face of an accelerating demand for energy and minerals. In the United States, the state-of-the-art in subsidence prediction, control, and prevention and in subsidence-related damage abatement has not progressed to the level achieved in other countries. To bridge this gap, the Bureau of Mines, through its Mining Environmental Research program, is pursuing a comprehensive subsidence investigation, specifically designed to address major problems on the local, regional, and national level.

Jan 1, 1979

Advances in technology have led to larger and deeper open pit mines and, consequently, also increased the potential economic impact associated with slope failures. If the ultimate aim of mining operations is to maximise project profit, it is surprising to see related research activities have mostly been focusing on technical areas such as slope stability modelling, but with limited studies conducted to date to assess the relationship between geotechnical uncertainties and economic risk. Given most major decisions in the mining industry nowadays are made by management staff with financial background, any design approach that would help to link slope stability analysis results with monetary values would no doubt enhance communication between geotechnical practitioners and decision makers. This paper presents a study which assesses economic impact of slope failures to assist in mine planning. The study also estimates the impact of slope failures on project value, which would enable economic risks associated with pit slope designs to be closely examined. The proposed risk assessment techniques, used by financial institutions for many years to assess portfolio risks, can assist geotechnical practitioners in quantifying risks of slope failures. Risk-adjusted concepts are also suggested to assist management in selecting a slope design with optimal risk and return ratio.

May 1, 2010

The papers in this section of the conference and indeed the conference as a whole will rightly focus on the recent û the state of play around the Pacific Rim. However, to set the scene I propose to take a longer-term perspective. In so doing I wish to illustrate and emphasise that change is normal and natural û to paraphrase Bob DylanÆs 1963 classic, æThe times they are (always) a-changinÆ Æ. The challenge is how to cope with such change, in an industry, a corporate and a personal sense. A further challenge for geologists, both exploration and mine-based, and indeed for anyone, is to understand where they fit in the broader picture. For several reasons it is appropriate first to look briefly at the minerals industry in the Pacific Rim around a century ago. It was here in Adelaide in April 1893 that the first general meeting of the Australasian Institute of Mining Engineers (or The Australasian Institute of Mining and Metallurgy as it later became) took place and where the Centenary Meeting was held in 1993. The late 1800s and early 1900s was a period of extraordinary change in the minerals industry regionally and worldwide. The industry benefited from the economies of scale provided by improved mechanisation. It further benefited from the introduction of technically qualified professionals, such as chemists, metallurgists and mining engineers, although the usefulness of geologists had yet to be recognised commercially. With the rise of such professionals, technical societies formed and flourished. At the same time international financial markets and trade were expanding, a gold standard was widely supported and the financing of mining ventures was well established. Mining was an international business and its people travelled widely. As a consequence of the better-educated mining professional, the ready exchange of knowledge and the availability of finance, new processing techniques such as pyritic smelting, the cyanide process and flotation were developed. These, together with much improved materials handling in the mining and processing phases, dramatically changed the economics of the minerals industry.

Jan 1, 2004

By C. K. Wilton

"The Agnew Lake uranium deposits were discovered in 1953 following the discovery of the Elliot Lake deposits to the west. The original property was optioned to Kerr Addison Mines Limited who added additional claims by staking. Agnew Lake Mines Limited was incorporated in 1967 to develop the property and a shaft was sunk to 1040 metres and five levels developed before work was suspended due to low uranium prices at the end of1970.In 1974-75 the mine was dewatered and production started in 1977. By 1978 reserves were estimated at 10,000,000 tonnes averaging 0.35 kg. U10 , per tonne. Underground operations were terminated in 1980 although a uranium leaching operation was continued until early 1983.The deposits lie near the contact of Huronian metasediments with underlying Algoman granite. The sediments consist of arkose, conglomerate, argillite and quartzite with the uranium mineralogy mainly confined to oligomictic quartz pebble conglomerate. The higher uranium values are related to conglomerate with highest percentage of pebbles. The chief uranium minerals are uranothorite and monazite. It is of interest that the uranium thorium ratio differs appreciably from that of the Elliot Lake deposits. This fact along with the fact that the Elliot Lake sediments were deposited by paleocurrents from the northwest whereas the Agnew Lake sediments were deposited by paleocurrents from the northeast indicates widely separate sources for the deposits. It is suggested that the Agnew Lake uranium deposits are syngenetic placers deposited under anoxygenic atmospheric conditions."

Jan 1, 1986

By M. E. Kuchta

Research is currently being conducted at the Colorado School of Mines in the use of high-pressure water for scaling down loose rocks in underground mine openings. In addition to improved miner safety, the adhesion strength of shotcrete applied to rock surfaces treated with high-pressure water is also increased significantly resulting in improved overall support capabilities of the shotcrete layer. Test results show an increase in adhesion strength by a factor of four on a concrete test wall cleaned with water at 21 Mpa (3000 psi) as compared to a surface cleaned at 0.7 Mpa (100 psi).

Jan 1, 2002

By R. W. Smith, D. L. Taylor, K. A. Altman

The importance of metallurgical information in reaching appropriate decisions during the development of mining projects is demonstrated. A financial analysis is calculated using a simulation that includes random number generators. The results are compared to the results of a traditional sensitivity analysis. The traditional analysis is shown to have the potential to overestimate the value of mining projects. The type of statistical distribution selected for the random number generator affects the results significantly. The statistical method of analysis provides insight into the amount of metallurgical testing to be completed and verification of how representative the samples are.

Jan 1, 2000

By R. E. Shinkosk

This paper outlines the development of a program for increasing the life of woolen bags used for filtering Dwight-Lloyd gases by treating the bags and gases with hydrated lime. Methods and apparatus are described for determining alkalinity of dusts, acidity and breaking strength of bag cloth. Procedure and results, based on several years of operation, are presented. DURING 1939, additional facilities were constructed in the Dwight-Lloyd Blast Furnace and Baghouse departments at the Selby, California, Plant of the American Smelting and Refining Co. In order to handle adequately the increased volume of gases from the resultant increase in production, it was necessary to increase gradually the amount of water used for cooling gases ahead of the sinter machine baghouse. As a result of this increased water cooling, the average bag life dropped from 27 months in 1939 to 14 months in 1941. (Table I). This drop in life meant an increased. bag cost, as well as lower recovery of dust and some curtailment of operation. During 1941, it was found new bags showed as high as 0.3 pct acidity* after two weeks of opera- tion and as much as 2.0 pct acidity after some months of operation. This high acidity was present in spite of the fact that free oxide or relative alkalinity of the unburned dust ran from 5 to 6 pct. In view of these circumstances, a twofold program was started in Nov. 1941.t Part one of this program consisted of vigorously dipping all new bags in a weak lime solution, containing 50 lb of hydrated lime per 50 gal of water. Part two consisted of feeding fine, dry, hydrated lime into the gas stream intake of the sinter baghouse fan. Apparatus for feeding this lime is shown in fig. 1. All baghouse chambers are shaken in rotation about once each hour. On alternate hours, the baghouse operator places 50 lb of hydrated lime (one sack) into the lime feeder, starts feeder and immediately starts the bag shaking machinery. The rate at which lime is fed is set to coincide with the approximate time necessary to shake all sinter bag-house chambers, or about 15 min. It is felt this method of lime addition is most effective for getting lime into the woolen bag fabric. The amount of lime so fed averages about 600 lb per day. The amount of lime fed per day is varied to keep a minimum relative alkalinity of 9 pct in the unburned sinter dust. A daily dust sample is taken for alkalinity by allowing dust to accumulate in a sample pipe over a 24-hr period. This sample pipe, placed in any chamber cellar, is 2 in. in diam, 4 ft long, is sealed on the inner end, and capped on the outer end. It has a 1/2 in. slot cut for 18 in. along the tip end. This slot faces upward and allows the pipe to fill gradually with dust as bags are shaken. Breaking strength of bags has, in most cases, been the deciding factor in bag replacement. Bags that normally test 100 psi breaking strength when new are replaced when they test under 35 lb. The method for determining breaking strength is shown in the description accompanying fig. 2. Since the start of the liming program in 1941, bag life has increased from 14 months to an average of over 23 months, with a consequent material decrease in bag cost per year. Acidity, as per cent sulphuric acid, may be determined by means of a Beckman pH meter as follows: From a piece of bag cloth. which has been thoroughly cleaned of dust, a 5 g sample is weighed on a balance. Cut the sample into fine pieces and place in a 400 cc beaker. Add 100 cc (measured) of distilled water and stir vigorously. Filter on suction funnel, holding cloth pulp in beaker with a stirring rod. Wash cloth sample and filter wash water four additional times, each time with 20 cc distilled water, the last time squeezing cloth pulp over funnel. Discard pulp and rinse funnel and filter paper. Pour wash solution jnto measuring graduate and make up to exactly 300 cc with distilled water. Place into clean 600 cc beaker and measure the pH on meter. The per cent acid in bag cloth is read from the following table:—

Jan 1, 1951

By V. P. Bhavanandan

The mucus secreted in the respiratory tract provides the first barrier against inhaled particulate and gaseous toxicants. Trachea removed from pathogen-free rats were maintained as organ cultures and used to study the effects of coal dust exposure on the synthesis of mucin. The high molecular weight isotopically labeled (3H-glucosamine, 14Cleucine or 35S-sulfate) mucin could be purified by gel filtration, treatment with testicular hyaluronidase, ion exchange chromatography, delipidation and CsBr density gradient centrifugation. To examine effect of coal dust on mucin production, groups of explant cultures were exposed to media containing coal dust at 100 µg per ml every 2 days for 2 weeks while control cultures were treated with media without dust. Analysis of the spent culture media showed that treatment with dust markedly decreased the production of nondialysable glycoproteins as well as hyaluronidase-resistant acid-precipitable fraction consisting mainly of mucin. Since the synthesis of protein was not affected to the same extent the decrease in mucin production is not entirely due to cell death. In separate experiments rats were subjected to in vivo coal dust exposure in inhalation chambers and tracheae of these and control rats were removed for explant cultures. The incorporation of precursor isotopes into mucin by these explant cultures are being examined. (Supported by U.S. Bureau of Mines through the Generic Mineral Technology Center for Respirable Dust under grant G1135142, project 4210).

Jan 1, 1988

By Spencer P. Hwell, Charles E. Munroe

"Among the surplus explosives left on band with the War Department was a quantity of that styled Trojan Grenade Powder, which was especially designed during the war for use as a bursting charge in grenades and for which naturally there would be very little military use in time of peace. With a view to its disposal through use in civil projects a quantity was sent to the Bureau of Minas explosives experiment station, where analysis showed that its characteristic explosive ingredient was nitrostarcn and that the powder bad the following composition:Trojan Grenade Powder appears as a dark gray granular substance, part of which is slightly pulverulent. The granules fairly hard. The explosive is not at all dusty, and has the consistency of granulated sugar.Nitrostarch is a substance produced by treating starch with nitric and sulphuric acids and in appearance it looks very little different from powdered starch. It resembles nitrocellulose and nitroglycerin in its constitution and explosive properties and has been longer known than either, it having been prepared by Braconnet in 1833. Nitrostarch explosives have in recent years been developed for industrial use in this country, they having been used to an extent in blasting in the Canal Zone, yet as this grenade powder was a special composition it seemed desirable that a complete series of tests should be run upon it. This was done, and the results are reported in the following table in comparison with those previously obtained in testing ammonia dynamite."

Jun 1, 1920

By V. J. Hucka

Coal, which was discovered in Utah in 1849, covers about 18% of the total area. Production in 1981 vas more than 14 million tons. However, some Utah coal mines are quite gassy. If longwall face technology is applied, then a release of a high volume of methane may be expected during the mining process. Investigations on methane content have been made by use of an isothermic bubble desorbometer. The desorbable methane content of 5 m3 to 16 m3 of methane per ton of coal mined has been determined.

Jan 1, 1983

By Carson Rife, Michael L. Clark

INTRODUCTION Zortman Mining Inc. is a wholly owned subsidiary of Pegasus Gold Corporation of Spokane, Washington. Pegasus has been producing gold and silver from the Zortman and Landusky mines since 1979. The Zortman and Landusky mines are two distinct open pit mines located approximately 6 kilometers apart in the Little Rockies Mining District of north central Montana. The two mines use large-tonnage, low- grade heap leaching techniques to efficiently process the gold and silver ore. PROJECT DESCRIPTION The Little Rockies rise abruptly 914 metres from the surrounding plains to about 1829 metres above sea level. The topography is quite steep, making efficient leach pad construction a major challenge. The climate is semi-arid with moderate summers and occasionally severe winters. Freezing temperatures usually arrive in late October or early November, influencing the effectiveness of leaching operations. GEOLOGY AND MINERALOGY The geology of the Little Rocky Mountains consists of steeply dipping sedimentary ridges forming an elliptical dome surrounding a core of intruding syenite porphyry. Within the syenite porphyry are well fractured and mineralized shear zones where the existing reserves and open pits are located. The ore is presently divided into oxidized, mixed, and sulfide. Only the oxides and mixed zones that are of ore grade are placed on the leach pads. The syenite porphyry host rock enables effective leaching of gold and silver to depths of 61 metres, having a major impact on leach pad construction costs. MINING All mining since 1979 has been by contractor. This enabled initial mining to commence without capital investment in equipment. Through competitive negotiations, Pegasus has been able to keep contract mining costs at levels very close to what would be experienced if Pegasus had purchased equipment initially. Contracts are negotiated yearly and are based on a unit price and haul distance for ore and waste. Haul distances have ranged from as little as 457 metres to as much as 3,050 metres. At present, Pegasus is developing a 27,000,000-tonne leach pad at the Landusky project that is adjacent to the minine area. This design feature will reduce the mining cost by 20 percent over the life of the mine. In 1987, over 5,900,000 tonnes of ore and 3,200,000 tonnes of waste will be mined at the Landusky project. Through 1986, 13,763,000 tonnes of ore have been mined at a waste-to-ore strip ratio of 0.60:l at the Zortman project, and 13,005,000 tonnes of ore at a waste-to-ore strip ratio of 0.79:l have been mined at the Landusky project. Current mining reserves are 32,769,000 tonnes of ore at a waste- to-ore strip ratio of 0.59:l. Through efficiencies of large-scale heap leaching, Pegasus has been able to lower the mining cutoff from 0.34 grams per tonne gold to 0.27 grams per tonne gold. This has reduced the mining cost per tonne of ore h percent through a reduction in strip ratio of 14 percent. Beginning in 1984, all pits were designed based on computer-generated "floating cone" pits. The geologic models were developed by Pegasus staff with a series of economic models evaluated. The resulting computer-generated pits were used as a guideline in designing the mine plans, including haul roads for final calculation of tons and grade. Input to the floating cone models consisted of mining cost, processing cost, cutoff grade (0.34 grams gold per tonne), recovery (67 percent) and gold price. Due to the gold being deposited primarily on the fractures of the syenite host rock, no crushing of ore is needed prior to leaching. This characteristic of the ore is a key in being able to profitably mine and process gold ore at an average grade of 0.69 grams of gold per tonne. Strict blasting control is also a key in success of the leaching operation. A system of splitting ore and waste in blast patterns has been devised to reduce dilution. Also, drill hole spacings are varied from 3m x 3m in breccia ore to 4m x 4m in syenite ore to 5m x 5m in waste. Drill holes

Jan 1, 1987