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By Karl J. C. Harries

"8.1. INTRODUCTIONThe purpose of this chapter is not to provide precedents or examples of provisions, but rather to offer some comments that may be worth considering in the negotiation or review of an agreement. These comments are not intended to be exhaustive. It must also be noted that, although the chapter is written in the context of a common law joint venture, the concepts and concerns for the most part apply equally to a corporation that is owned by only a few shareholders for the purpose of participating in the project held by the corporation.The corporation has the advantage of having much of its organization established by local corporate law, but the particular wishes of the shareholders will appear in a shareholders’ agreement. The principal differences will be surprisingly small, save for the acquisition provisions that appear in a farm-in agreement1 and the substantial portion of the joint venture agreement devoted to creating and organizing the joint venture entity. Where the joint venture agreement refers to venturers and committees, the shareholders’ agreement will refer to shareholders and the board of directors, but both will have to deal with such basic matters as decision-making, default, dispute resolution, first refusals, funding, and carrying out work on the project. For convenience, this chapter usually refers to “venturers”, which may be taken to include shareholders.Negotiations give rise to many varying circumstances and concerns, and the main asset of the negotiator is an open and flexible mind. A desired result can often be accomplished indirectly in circumstances where the other side has adopted an inflexible position on a suggested approach. As precedents and standard forms tend to focus a negotiator’s thinking, they can be counterproductive. It is after the deal has been agreed to that a precedent can be of great assistance to the draftsman.The concepts are arranged in alphabetical order for convenience, not to suggest their sequence or position in an agreement or their relative importance. An agreement should adopt a progression of subjects in what the parties consider a logical sequence to read and work with. However, experience has indicated that it is best to set out in a single article the substance of the deal (i.e. the terms relating to the farm-in and what the acquiring party has to do to acquire his interest), preferably near the beginning of an agreement. The acquisition of the interest is, after all, the first order of business. The joint venture provisions will then follow in a reasonable sequence. It is also worthwhile to devote a single article to any special provisions that may apply during the earn-in period. For example, it may be provided that, although all work is to be done by the acquiring party as operator (with the duty of care, liability, and reporting requirements as set out in the joint venture sections of the agreement), but during the acquisition period, the acquiring party, acting as operator, may be at liberty to do such work as he wishes, without the need for any committee or other approvals, and committee meetings may be suspended.2An agreement is divided into paragraphs and articles to make it easier for the parties to read and understand, and to assist a party in finding “that provision” when the need arises. A comprehensive table of contents will also assist the parties who must work under an agreement. An added benefit of a table of contents is that in preparing it, the draftsman sees the overall structure of the agreement and will often catch and correct flaws."

Jan 1, 2003

By Kenneth R. Maser

This report describes a research and development program sponsored by the United State s Bureau of Mines. The purpose of the program was to develop reusable explosion-proof bulkheads for a cross-cut emergency shelter, and to study the implementation of such bulk-heads, and the resulting shelters, as part of an emergency escape plan in a normal coal mining environment. The first part of this report reveals a number of significant conclusions regarding the application of emergency shelters. A study of the cause s of, and the conditions prevailing during a mine emergency indicate s that ideal placement of the shelter s would be midway along developing entries, and at the inter section of butt and main entries. The proper spacing of shelters is based on the travel capability of trapped miners, which is in turn dependent on the height of coal. The life of a given emergency shelter, based on an analysis of the above information, will be anywhere from 6 months to 10 years. Consequently, some shelters are regarded as "temporary?, while others "permanent?.

Jan 1, 1975

By Robert H. Peters

This U.S. Bureau of Mines report identifies the types of serious accidents that occur most frequently at small underground coal mines and describes the strategies that could help prevent these accidents. A wide variety of methods for improving safety are suggested, including improvements in the design of equipment, work procedures, work schedules, safety programs, and emergency response plans, as well as techniques for diagnosing the potential hazards associated with new technologies and work procedures. Some of the papers in this volume focus on preventing specific types of mining accidents-ones associated with materials handling (primarily back injuries), equipment maintenance, improper machine guarding, and ground failure during retreat mining. Although the recommendations in this volume are heavily influenced by research performed at underground coal mines in the Appalachian coalfields, most of the papers contain advice that is equally pertinent to almost any type of mine.

Jan 1, 1994

By William M. Knuth

The objectives of this study were the evaluation of the technical and economical feasibility of utilizing color and color infrared aerial photography to satisfy some informational needs for pre-mine planning, mine progress monitoring, and reclamation monitoring. Seven aerial data collection missions were conducted within a two year period over strip mine sites in Pennsylvania. Scales of 1:6,000; 1:12,000; 1:24,000; and 1:48,000 were flown on the first aerial mission. The 1:12,000 was chosen as the optimal scale for the remaining six flights. An extensive literature and legislative review and discussions with strip mine operators identified the informational parameters that could possibly be obtained from aerial photography. Interpretability accuracies were evaluated for parameters in the broad categories of land use, soils, water, vegetation, and geology. Seasonal interpretation characteristics were noted for infrared photography. Man hours for photointerpretation and costs of aerial data collection were monitored closely and incorporated into a cost benefit analysis. Those parameters that could be mapped, identified, or measured with accuracies =75 percent were incorporated into a photointerpretation training manual. An additional analysis was performed to determine the applicability of the interpretation methodologies and results developed for Eastern sites to Western surface coal mining sites. In addition, a separate aerial photographic interpretation manual was produced during this contract. It is intended to be utilized by eastern and midwestern surface mine operators and regulatory personnel.

Jan 1, 1978

By H. W. Earnest

This report covers the results of a two-phase study to determine the feasibility of underground disposal of retorted oil shale. Two mining methods, chamber and pillar mining and sublevel stoping, were specified for backfilling. Phase I of the study covered the evaluation of hydraulic, mechanical, and pneumatic transport and stowing systems, individually and in various combinations, and the selection of the most feasible methods. Conveyor transport and stowing and a combination conveyor transport and stowing with pneumatic topfilling were selected for detailed study of phase II. Phase II activities included detailed engineering analysis and design of the selected systems, an engineering economic analysis, and a cost comparison with total surface disposal of retorted oil shale. An extensive literature search was conducted and the bibliography is included in the report. Research done under Contract No. J0265052 by the Cleveland-Cliffs Iron Co. Available for reference at Bureau of Mines facilities in Denver, Colo., Twin Cities, Minn., Bruceton and Pittsburgh, Pa., and Spokane, Wash.; U.S. Department of Energy facilities in Carbondale, Ill., and Morgantown, W. Va.; National Mine Health and Safety Academy, Beckley, W. Va.; and National Library of Natural Resources, U.S. Department of the Interior, Washington, D.C. Order ONLY from NTIS:

Jan 1, 1978

Horizontal holes are drilled underground into coalbeds to control methane flow from ribs and active face areas and to make gas pressure measurements in coalbeds. Gas pressure measurements are made by drilling the same hole incrementally. After each increment, the hole is filled with some type of packers and allowed to reach equilibrium before a gas pressure reading is taken. As the length of hole increases, more packers are required to effect a seal and obtain a reliable pressure measurement. Problems have been encountered in obtaining satisfactory packer seals due to the friable nature of the coalbed. New methods of packing the holes must be used. Therefore, this project was established to evaluate materials and develop a new technique in which a semiliquid and/ or rigid type grout could be placed in the hole to provide satisfactory sealing.

Jan 1, 1972

By John R. Parker

Work places of an underground coal mine are required (30 CFR 1719) to be illuminated while self-propelled equipment is used. Permissible machine mounted systems have been developed and applied satisfactorily to many mining operations. However, some low seam and thin seam equipment has been difficult to illuminate because reliable, direct current systems and compact, low output, low glare luminaires were not available. This program resulted in the design and prototype construction of compact, low glare luminaires and AC and DC power systems, particularly suited to resolving illumination problems on low and thin seam mining equipment. Design objectives were based on enhancing the prospects for thin seam illumination solutions through definition of a product which could challenge markets enjoyed by higher glare luminaires and through reduction of technical risks associated with any new product development as well as the MSHA certification process.

Jan 1, 1982

By J. L. Henry

The development and status of technology for producing titanium from U.S. resource materials are summarized in this Bureau of Mines report. Commercially feasible processes and investigations of alternative procedures are reviewed in order to identify techniques that could make existing operations more effective or areas in which future research may lead to the development of new production methods. Procedures are described for producing concentrated titanium dioxide from starting materials such as sands, massive deposits, and mineral processing residues containing rutile, ilmenite, and perovskite; producing and purifying titanium tetrachloride from concentrated rutile, ilmenite, and titaniferous slags; reduction of titanium tetrachloride to titanium sponge metal using metallic magnesium or sodium; purifying and consolidating titanium sponge and scrap by arc melting or induction melting techniques; purifying sponge, scrap, and alloys by molten salt electrorefining; and electrowinning titanium from chloride salts.

Jan 1, 1987

By W. L. Swager

Tramp (undesirable) elements introduced into iron and steel castings via purchased ferrous scrap are evaluated as to their likely degree of future threat to the quality of castings. Conclusions are based on analysis of literature and on nonmail surveys of foundries, scrap processors, trade and technical associations, and others. The existing tramp-element problem is expected to be persistent, but amenable to improved control by foundries and their suppliers. Four recommendations for action are given.

Jan 1, 1981

By Felix duBreuil

The present sampling procedure for evaluating the rock dusting conditions in a coal mine is time consuming. This study considers means by which this procedure could be simplified. Surveys were conducted in six coal mines in Pennsylvania to determine the in¬combustible content of the deposited dust. Some 2,000 samples were analyzed and statistically evaluated. It is suggested that the mean incombustible content could be obtained with fewer samples and smaller samples without greatly increasing the sampling error.

Jan 1, 1972

By B. W. Gandrud

To say that the treatment and handling of the "fines" is the most difficult phase of coal preparation is probably an understatement of facts. It is the fine sizes from about 1/16-inch to 0 that are mainly responsible for the inescapable sludge and slurry problems at plants using wet methods of preparation. Sludge and slurry are a problem from the standpoints of both cleaning and dewatering. They cannot be cleaned satisfactorily by "gravity" methods, which are used so extensively on coarser Sizes, due to the fact that fine sizes, particularly from 65-mesh to 0, do not follow the same laws of settling as do the coarser sizes. Although fine sizes are cleaned more successfully on wet-wash tables than in jigs, even tables as usually operated in coal-preparation plants fail on sizes below 100-mesh. As to other phases of the, sludge and slurry problem, wet coal preparation plants are almost universally beset with troubles in connection with the recovery and dewatering of the fine sizes from about 14-or 20-mesh to 0. The sizes finer than 100-mesh further complicate the problems in a wet preparation plant by their tendency to stay in suspension and build up a troublesome load of solids in the circulating water. In order to prevent too much trouble from this source, it is, customary at most plants to bleed a fair-sized stream out of the circulating system continuously and replace it by addition of fresh make-up water. The slurry water withdrawn from the circuit is usually run to waste, in which case it carries with it a considerable amount of fine coal, thus increasing the "washer loss." Another evil results from wasted slurry water in that quite often it finds its way into creeks and larger streams, creating stream-pollution problems.

Jan 1, 1948

By Ronald G. Schmidt

AND SOME RIN UP HILL AND DOWN DALE, KNAPPING THE CHUCKY STANES TO PIECES WI' HAMMERS, LIKE SAE MANY ROAD MAKERS RUN DAFT. THEY SAY IT IS TO SEE HOW THE WARLD WAS MADE. Sir Walter Scott St. Ronan's Well - 1824 In the minds of many, geologic exploration has advanced little since the early nineteenth century. In truth, despite the development and refinement of new and potentially valuable technological tools, the approach or philosophy of the explorationist has received meager attention in professional literature. In many areas, the explorationist relies upon experience, subjective judgement and general intangible inspiration, often traveling together under the misleading pseudonym of "art," in achieving both an exploration plan and in making the myriad day to day decisions necessary to the execution of that plan. Without a solid, objective basis for decisions, exploration under this concept is little more than guesswork largely by intuition, and it is small wonder that many exploration programs flounder in a sea of over-expenditure inefficiency or fail to fulfill their expected goals within the funding which has been provided. From a rational management point of view, such a state of affairs is frustrating and inconsistent with the application of the same scientific principles which are presumed to be the basis for the exploration methods which are used. This somewhat presumptuous point of view cannot be extended as a general condemnation of the many exploration programs which are both technically and economically successful. On the other hand, the

Jan 1, 1968

By A. L. Peyton

Manganese-oxide minerals occur in irregular pockets distributed through the residual clays of the Cartersville district, which lies 45 miles north-west of Atlanta in Bartow County, Ga. The district produces, or has produced, limonite, barite, specular hematite, ochre, ferruginous manganese, manganiferous iron are, as well as manganese. Bureau of Mines engineers have visited the district on three occasions - in December 1939, February 1941, and October 1942. During the visit of February 1941, 80 tons of samples of manganese-bearing clays were taken from seven properties for ore-dressing tests, which were conducted at the Bureau of Mines laboratory at Rolla, Mo. The. October 1942 visit was for the purpose of reappraising the district in the light of knowledge gained from the ore-dressing studies and to prepare a plan for the district's development. Exploratory drilling was begun in March l943 and was continued until June 1945. Nine properties were explored that, roughly follow a line beginning near Cartersville and extend to a point 2 miles northeast of the village of White. The work consisted of bulldozer trenching, rotary bucket churn drilling, sampling, and analytical determinations. The manganese district is 18 miles long with a maximum width of 7 miles at Cartersville, which lies at the center of the district. The work of the Bureau was confined to the northern half of the district between Cartersville and Pine Log. The properties explored comprise but a small portion of the Potential producing area.

Jan 1, 1949

By Enzo Palumbo, Joël P. T. Kapusta, François Larouche

In light of the rapid deployment of bottom blowing smelting in China over the last ten years, one has to wonder why it has taken the copper industry so long to adopt ultra-high oxygen enrichment via Savard-Lee type injectors. As early as 1976, Kellogg and Henderson suggested, in their landmark paper on energy usage in the copper industry, that ‘maximum use of oxygen enrichment of process air’ was one of seven ‘energy saving features’ for copper matte smelting and converting. Yet today, shrouded injection and high oxygen enrichment has not been implemented in copper bath smelting outside China and Vietnam. In this paper, the authors explore the reasons why bath smelting processes such as the Noranda Reactor and the Teniente Converter still operate around 40% oxygen enrichment, while the bottom blowing SKS/BBS process typically runs at 65 to 75% oxygen, with all three processes producing white metal. Are there fundamental metallurgical explanations for this striking difference beyond the long-standing skepticism towards high oxygen shrouded injection and its perceived high implementation cost?

Jan 1, 2015

By G. H. Damon

Since 1963, Bureau of Mines Information Circular 8179 has served the mining industry as a fundamental safety guide in the field of blasting agents. In the intervening 14 years, many changes have occurred, and this report presents revised and new recommendations which recognize these changes. For example, AN-FO is now supplied mostly premixed, whereas in 1963 much of it was mixed by the blaster; aluminum metal (A1) and other fuels are now often added to AN-FO to increase strength, and flake aluminum powder is used as a sensitizer in water gels; and water gels or slurries that are now extensively used were just coming into practical use in 1963. To provide the widest possible margin of safety, some of the Bureau's recommendations are more stringent than existing regulations,

Jan 1, 1977

By J. W. Watkins

This report describes in detail methods of making corrosion tests and chemical analyses that have been used extensively and satisfactorily in a study of plants in which various surface, waters and brines are conditioned and used for water flooding, brine disposal, and reservoir-pressure maintenance in Kansas, Oklahoma, and North Texas. The tests and analyses described were designed and adapted for use in the field in determining the relative corrosive and plugging tendencies of waters from various sources conditioned by different methods. Although the described methods were developed and used in testing oil-field waters in the Midcontinent oil-producing area of the United States, these same methods should be equally applicable to testing oil-field or highly mineralized waters throughout the world. Many of the methods used have been discussed by the writer (1)2/ previously, and some of them have been used for similar work in other laboratories. Early in the development of the practice of the subsurface injection of brines for disposal and increasing the recovery of oil, it became evident that different methods of chemical treatment and conditioning equipment would have to be devised to sustain desired injection rates into water-input wells. These changes became necessary because the highly mineralized waters produced with petroleum from deep formations became chemically unstable when pumped to the surface, owing to loss of dissolved gases as pressure and temperature dropped to atmospheric and to the contact with atmospheric oxygen at the surface.

Jan 1, 1954

By Cleo G. Rall

The method for determining the effective porosity of oil- and gas-bearing sands described in this report is a development of earlier methods (28)3/ devised by the Bureau of Mines. The apparatus bas been improved and made more convenient to use, but the procedure is essentially the same as that which has been in use for maw years. A tabulation at the end of the report gives the results of more than 4,800 porosity determinations for oil sands4/ in the fields of 13 States, A selected bibliography of references to articles containing descriptions and evaluations of various methods of' determining porosity is included in this report. The method was devised and developed at the Petroleum Experiment Station at Bartlesville, Okla., as part of the Bureau's research on fluid-energy relationships and on methods of improving the recovery of crude oil from underground reservoirs.

Jan 1, 1954

By K. H. Johnston

This guide was written to furnish the coal industry with a description of techniques, instruments, and clues on how to find abandoned oil and gas wells that have penetrated coal seams. The report includes specific information on searching techniques currently in use by several coal mining companies, gas-transmission companies, and waterflood operators, as well as information on State agencies responsible for the enforcement of laws and the preservation and distribution of data pertaining to the drilling, development, and abandonment of oil and gas wells. Comparative tests were performed with several commercial electronic metal detectors to determine the feasibility of using them to aid in the search for abandoned wells and to determine the instrument most suited for that particular use. The role of methane detectors to locate abandoned wells is described, including a case history. Tests were made to develop an efficient procedure to follow in systematically searching an area for metallic clues or hydrocarbon evidence to abandoned wells. The guide describes, in detail, a search sequence, including the collection of basic data, preparation of the selected area, and the physical search. Methods are given for evaluating the results.

Jan 1, 1973

By E. C. Strycula

Solid-state equipment offers a number of potential advantages in the coal mining industry. These advantages can only be realized, however, through careful and judicious design of the control and protection circuitry. Problems relating to the interaction of solid-state equipment on the electrical system and the special design considerations which apply to solid-state circuitry are examined. Design guidelines are provided for solid-state applications in the areas of: (a) equipment operated from a DC trolley wire, (b) drive systems for surface mining equipment, (c) AC motor starters, and (d) electromagnetic interference.

Jan 1, 1981

By Trevor R. Ellis

Minerals appraisers/valuers often find great difficulty in attempting to employ the sales comparison approach to the market value appraisal of development and operating stage mineral properties. An important factor generally overlooked is a comparison of net operating income (NOI) margins on a per-unit-of-production basis between mineral properties, whether these be demonstrated or forecast margins. NOI margins can vary greatly between mines or quarries that are producing similar products. Ultimately, the expected NOI margin determines what a buyer is willing to pay for an income-producing property. Here, common criticisms of the sales comparison approach by mineral appraisers are introduced. These are counterbalanced by raising some issues in the way the inputs for the income approach are usually derived by minerals appraisers and by review of some conspicuous examples of the much-too-common misuse or abuse of the income approach in market value mineral appraisals. Example transaction analyses and sales comparison analyses are used to demonstrate the author?s methodology for adjusting units of resource in his transaction adjustment tables. The examples are used as the basis for a discussion of ways to employ adjustments for operating economics and many other factors, while warning against the potential for double counting. The conclusions include a recommendation that minerals appraisers attempt to apply at least two of the three valuation approaches when appraising the market or fair value of development and operating stage mineral properties, the two being the sales comparison and income approaches.

Jan 1, 2011