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By G. E. Geiger

The purpose of this research was to develop a computer simulator fur predicting the air quality in existing coal mines as well as a design aid for developing new mines. In addition to the air quantity flow, the other variables of tempera Lure, moisture, methane and respirable dust are necessary to determine the air quality. An additional feature of this simulator is that it allows parametric studies of these variables to explore the effect that these variables have on the air quality of an operating mine system. The research has also pointed out arias where more research is needed, and promote better and more systematic data taking techniques. Wang and Hartman (see Reference 9, on page 1-98 of Section 1) had already published a computer program to determine the ventilation of large mines, and Wang and Saperstein (see Reference 10 on page 1-98 of Section 1) later published a refinement of the work in the previous reference. These references were the starting point of the simulator developed by this present research effort, and Section 1 of this report is a slightly modified version of the original vent elation program. The modifications were necessary to permit the additional programs of temperature-moisture, methane and dust to be

Jan 1, 1972

By N. A. Caspero, W. E. Eckard, W. T. Wertman

A thermal oil-recovery experiment was conducted in the Venango First sand, Goodwill Hill oilfield, Warren County, Pa., about 10 miles northeast of Titusville. The Quaker State Oil Refining Corp., Bradford, Pa., performed the experiment with assistance from Sinclair Research, Inc., Tulsa, Okla., and the Federal Bureau of Mines. The Goodwill Hill field was discovered in 1885. Primary-production oper- ations continued until 1930 when an air-gas injection project, which is still in operation, was started. At the location of the combustion experiment, the reservoir is 400 feet deep and 30 feet thick, with wide permeability and porosity variations. The crude oil is typical Pennsylvania Grade paraffin- base oil with a gravity of 43.9° API and a viscosity of 4.55 cp at 60° F. The well pattern for the experiment consisted of 5 producing wells, enclosing an area of 1.28 acres, and a central ignition-injection well. An air-natural gas mixture was ignited in the ignition well on July 29, 1961. Ignition was followed by injection of air and natural gas at various rates. The experiment was suspended January 5, 1962, when it became evident that economic oil production could not be achieved. There was no conclusive evidence that self-sustained combustion was achieved or that combustion increased oil and water production. A slight increase in liquid production was attributed to stripping action caused by the air-injection rates, which were higher than those normally used during air-gas injection.

Dec 1, 1963

By Deirdre Bradshaw, Cornelius Vos

"The detailed understanding of the variability in process performance parameters within an ore body forms a key aspect of ensuring that proper decisions are made with regards to the economic viability of that ore body. To gain this understanding, various tools have been developed over the years, of which the batch flotation test is the most well-known and applied technique for investigating the flotation separation of ores. In this paper, the Julius Kruttschnitt Mineral Separability Indicator (JKMSI) is put forward as a small-scale test, suitable for the characterization of the flotation separability of copper porphyry ores. It is demonstrated that the JKMSI can be a complementary technique to the batch flotation test, with the capability to further improve the knowledge of ore body variability. The response from this test has been shown to be sensitive to particle size and modal mineralogy, providing a critical link between flotation and upstream comminution activities. The trade-off between the fineness of grind and the recovery target can thus be evaluated to determine the minimum energy application required for optimal separation economics. The test is designed to utilize small sample quantities of various sizes, providing an opportunity to increase our understanding of ore variability through increased tests. This complements our ore body knowledge and combining this with efforts in comminution (Powell, 2013) provides a platform for extending the concept of flexible circuit design."

Jan 1, 2014

By Yuanbo Zhang, Yikang Tu, Zijian Su

Stainless steel swarf is a typical by-product produced from stainless steel processing, which contains a significant level of valuable metals, such as iron, chrome, and nickel. About 1 million tons of stainless steel swarf are generated in China annually, but as mixed with impurities such as Al and Si, stainless steel swarf is not suitable to be directly smelted into stainless steel through refining process. In this study, stainless steel swarf was applied as a strengthening agent during limonitic laterite sintering process. The effects of adding stainless steel swarf on green bed permeability, the yield and quality indexes of the sinters, and the microstructure of the sinters were evaluated systematically. The results showed that the concentrated distribution degree of granules and green bed permeability were improved after adding stainless steel swarf. As the additional amount of stainless steel swarf increased from 0 to 3%, the tumble index and yield of the sinters rose from 50.07 to 54.69% and from 62.04 to 67.35%, respectively. The addition of stainless steel swarf would not change the phase compositions, and had little adverse impact on the metallurgical properties of the limonitic laterite sinters.

Aug 23, 2023

By Kensuke Sassa, Shigeo Asai, Norihisa Waki

"A new method for separating inclusions from a molten metal using a high magnetic field has been proposed. The principle of this method based on the magnetization force has been confirmed in experiments of separating intermetallic compounds imitating inclusions from molten Al-Si-Mn-Fe and Al-Si alloys. In order to measure a magnetic susceptibility, the Gouy's method has been so modified by using a super-conducting magnetic as to work in a high temperature up to 1473K. A theoretical expression for the magnetization force, which is indispensable to evaluate the magnetic susceptibility, has been derived. The magnetization forces acting on intermetallic compounds which were used in the magnetic separation were measured over the range of liquidous to solidous temperatures and the magnetic susceptibilities of the intermetallic compounds were obtained from measured magnetization forces by use of the theoretical expression.I. IntroductionRecent developments in the technology of super-conducting magnets have given rise to the circumstance that a high magnetic field over a relatively large space is readily available without liquid helium. Then, it has been found that a high magnetic field provides magnetic effects to nonmagnetic substances and various interesting phenomena have been reported in the broad science fields of physics, chemistry and biology1). ""A science related to a high magnetic field"" in which many fields are transversally viewed from the standpoint of a high magnetic field2 ) is going to be established. In particular, new phenomena and functions brought by the science related to a high magnetic field are also useful for Material Science and Engineering so that the creation of Materials Science and Engineering related to a high magnetic field"" has been conceived 3).Now, when a substance regardless of being magnetic or nonmagnetic is put in a magnetic field, it feels a magnetization force, which is familiar to such a force that a magnet attracts iron. The force is in proportion to the product of magnetic field strength, its gradient and susceptibility so that a precipitated substance can be separated from a molten metal based on the difference between susceptibilities of a substance and a melt. This is a basic principle of the magnetic separation. So far the application of the magnetic separation has been limited to the separation of ferromagnetic substances from a nonmagnetic medium. A high magnetic field, however, has enabled to separate nonmagnetic substances from a nonmagnetic medium.In this study, a new method to separate inclusions from a molten metal using a high magnetic field has been proposed. The principle of the method was verified by experimental works and the feasibility on the elimination of inclusions in steelmaking processes has been studied"

Jan 1, 2000

By F. Chachula, A. Molinaro

"Sulphide mineral flotation operations continuously strive for a balance between mineralogy, mineral liberation, circuit conditions and reagent solutions to maximize the production rate and recovery of payable metals. The Taseko Gibraltar copper – molybdenum mill operations underwent an extensive project focusing on the fundamentals to identify the effects of process conditions and mineral liberation to improve the bulk circuit copper – molybdenum recovery efficiencies in the bulk flotation circuits. This discussion will provide process data that demonstrates; 1) fundamental relationship between mineral liberation to recovery and grade, 2) flotation circuit condition testing and optimization, 3) reagent combinations resulting in efficient/economical mineral recovery, and 4) the development of a xanthate free reagent solution. The data presented and discussed will also touch on flotation parameters including pH, retention time, kinetics and the effect on bulk circuit recovery performance.INTRODUCTION Taseko's is the owner (75%) and operator of the Gibraltar copper-molybdenum mine, located in south-central British Columbia, the second largest open pit copper mine in Canada and the largest employer in the Cariboo region. Taseko restarted Gibraltar in 2004. From 2006 until 2012, the company invested ~$700 million to expand and modernize the operation which was originally scheduled for demolition when the company acquired it in 1999. In the spring of 2011, construction commenced for Gibraltar Development Plan 3 (GDP3). GDP3 included the construction of a standalone 30,000 ton per day concentrator, built adjacent to the existing 55,000 ton per day facility. The new design capacity of Gibraltar was designed to be 85,000 tons per day. An integral part of the project was a new molybdenum recovery facility. In addition to the new concentrator, the mining fleet was upgraded with a new mining shovel, production drill and ten haul trucks (Taseko, May 2015). In May of 2015, the Company completed an updated mine plan for Gibraltar featuring a 50% decrease in strip ratio. This new mine plan was a result of a detailed, six-month engineering study and forms the basis of an updated NI 43-101 compliant reserve (Taseko Announces Improved Economics At Its Gibraltar Copper Mine, 2015). The new mine plan took into account lower milling costs as a result of the modernized processing facilities (Taseko, May 2015)."

Jan 1, 2018

By K Sherry, N Shahbazi

Scope 3 emissions are a set of often overlooked indirect greenhouse gas emissions within a company’s value chain and represent the majority of emissions for many sectors. These emissions arise from activities conducted by entities beyond the reporting organisation’s ownership or direct control and are often challenging to calculate. Scope 3 emissions typically encompass purchasing goods and services, transportation and distribution, managing operational waste, downstream processing and utilising sold products. Within the mining sector, scope 3 emissions often constitute a significant portion of the overall carbon footprint. Therefore, these emissions are a significant aspect of the future of sustainable mining. As the journey towards a world committed to achieving Net Zero Emissions has started, the time to spark a transformative conversation in the mining industry has arrived. Consequently, a better knowledge of scope 3 footprints allows organisations to assess their emission mitigation projects against the total carbon impact of their operations and products.

Sep 1, 2024

By Harold V. Pearce

THE plant of the Boston and Colorado Smelting Company, at Argo, Colo., has not received special notice in technical or scientific publications for some time past. Dr. Peters' described the development of the reverberatory furnace used at Argo, but he dealt almost exclusively with the increase in size and the corresponding gain in capacity. Since the time of his description the changed conditions have led to a modification of the former smelting practice, and this modification forms the basis of the present paper. No claim is made for personal originality in connection with these improvements, in fact, I expressly disclaim any such intention, since nearly every successful step in the development of the process now used at Argo has been suggested by Dr. Richard Pearce at various times during the past 12 years, though perhaps in a different manner of exe¬cution. These changes would undoubtedly have been made before, were it not that many problems of greater metallurgical importance and momentarily of more urgent need thus had to be solved. At the time to which I refer, economic conditions demanded mainly an increase of capacity. Moreover, the determination and placing of exact losses in smelting were not so imperative as they now are. About three years ago, the time of my appointment to the - management of. the works of the Boston and Colorado Smelting Co., the great decline in the price of copper occurred; the Argo plant, in common with all others engaged in the copper-industry, lost heavily in the market-value of the stocks on hand of ore and furnace-products. Added to this was the unfortunate circumstance that the copper-supply of the Argo plant from general sources began to dwindle; in fact, it almost entirely ceased. About this time the smelting-plants in the west-

Mar 1, 1905

By C. O. Ruud, R. E. Siemens, D. Chandra

The mineralogical constitution of a lateritic ore dictates the type of metallurgical process that can be used to extract valuable metals such as nickel and cobalt . To provide needed mineralogical information on the interrelationships of the metals contained in domestic laterites , the Bureau of Mines awarded a grant to Denver Research Institute to study the transition - type , low - grade laterites found in northern California and southern Oregon . For comparison , limonitic - type laterites from New Caledonia and the Philippines were also studied . X-ray diffraction , electron microscopy , electron beam analysis , and conventional petrography were used to determine the mineralogical associations of nickel and cobalt in the laterites . Results showed that for both laterite types studied most of the nickel and minor amounts of cobalt are associated with the mineral geothite ( FeO ( OH ) ) . Most of the cobalt and minor amounts of nickel are associated with a mixed manganese oxide (wad ) mineral .

Jan 1, 1983

By J. L. Jambor

Previous crystal-structure determination of magnesian annabergite (Ni,MgMAsO4)2 8H2O indicated that ordering of Ni and Mg occurs in non-equivalent octahedral sites; such ordering supports the possibility of miscibility gaps on the Ni3(AsO4)2 8H2O -MgiAs04)2 8H2O. (annabergite-hornesite) join. In a predecessor study based on analyses of natural specimens, it was proposed that solid solution is incomplete both for annabergite-hornesite and annabergite-erythrite [Co, (AsO4)2 8H2O]. In the current study, syntheses by use of a slow-addition technique and aging of the precipitates indicated that the annabergite-erythrite solid solution is complete, and that no miscibility gap is present on the annabergite-hornesite join to at least 58 mol % Mg. Thus, interpretation of the compositions of these phases in oxidized mill-tailings impoundments can be done with the normal precautions for homogeneity, and without the added concern of the possible presence of miscibility gaps in the ternary system.

Jan 1, 1995

By Edward C. Dowling

The advance of science and technology influences the modern economy in countless ways. Older industries must adapt to changes in the marketplace, while new industries are born by applying new technology to meet consumer needs. In light of declining head grades and increased unit costs in the US minerals industry, new technological developments in the production environment are paramount to maintaining a competitive footing in the international marketplace. Micro-engineering research provides the transition between the knowledge base and the application of new technology on the production level. Economic considerations The primary goal of technical development in the production environment is to reduce unit operating costs. Simply stated, this is accomplished by improving operating efficiencies and productivities on the production level. The goal of micro-engineering research in the production environment is to evaluate promising technologies and develop the criteria necessary to apply them in operations. As such, this process is the first step toward innovation and discovery. Generally, the micro-engineering research is followed by macro-engineering development. In the production environment, there are generally more development projects than can be accomplished in a timely manner. Usually, this is the result of financial and human resource limitations. Consequently, it is necessary to prioritize the work such that the most beneficial projects are accomplished first. By performing a discounted cash flow analysis and using benefit-cost ratios (for non-mutually exclusive alter¬natives) or net present value criteria (for mutually exclusive alternatives), the projects can be rated from best to worst. In this way, the financial and human resources can be best allocated to first complete those projects giving the highest returns before moving on to other activities. Moreover, this information is a prerequisite for management to justify additional financial or human resources.

Jan 1, 1992

By J. W. Paul

Withdrawing timber in coal mines is done for the purpose of inducing the roof to cave in the mined-out areas and thereby relieve stresses in the immediate roof material over the working places adjacent to the breakline of the roof, thus preventing the crushing of the ends of pillars and adding to the safety of those engaged in pillar extraction. A secondary purpose is the recovery of timber for further use either as prop-, crossbars, lagging, sprags or cap pieces. At some mines timber is withdrawn as a precaution against fire which may he of spontaneous origin, because wood always aids a fire of any origin. With some of the power-driven types of machines now in use a greater proportion of mine timber may be recovered, and in mines where pillars are left too narrow for their removal some of the timber in rooms might be salvaged for further use.

Jan 1, 1933

By G. Kallfa P. Geo

Exploration at both Greenfields and Brownfields stages entails business risks of different nature and success rates. Greenfields exploration is exceedingly assumptive and the success rate of exploration or return on investment is low because exploration is an inherently risky business. Brownfields exploration on the other hand is less risky, as the geology is better understood, but generally speaking since the larger ore bodies close to surface have already been found the return is lower. In addition, most exploration at the Brownfields stage is generally more expensive due to extensive use of drilling. Surface geology mapping and expensive drilling have been key technical contributors to most exploration programs over the last two decades. However, as client expectations, logistics, target depths and complexity of exploration programs increase, there has been a growing emphasis on using geophysical techniques to complement other methods. Integration and optimization of various geoscientific disciplines is becoming more important in successful exploration programs of the future to reduce exploration risks, successful integrated exploration requires putting reliable geophysical parameters and correspondent petrophysical property contrasts into an assumed or conceptual geological model. This paper discusses a new multi-parameter geophysical methodology finalized in a unique conceptual geologic model which can be used either as a root model in grassroots exploration or as an efficient tool in Brownfields exploration to successfully find satellite orebodies of almost any size. The application of a new multi-parametric geophysical approach to Brownfields exploration is illustrated with examples from Manitoba, including a past producing nickel sulphide deposit in Lynn Lake and the Reed Copper deposit, currently in development.

May 1, 2013

By Bruno V. Nordberg

The high cost of coal in Butte and the development of large amounts of cheap electric power from the Missouri river caused the Anaconda Copper Mining Co. in 1908 to make an investigation as to the possibility of adapt- ing this cheap electric power for the operation of their many large hoisting plants. At this time electric power had already been adopted for practically all other power purposes around the mines, such as pumping, compressing air, etc. The map (Fig. 1) shows the location of the mines of the Butte mining district. These mines are located within a circle of approximately a 1-mile

Jan 1, 1914

By CorrOa de Araujo A, Salum MJG

The treatment of mining and metallurgical liquid effluents is becoming, everyday, a necessity felt by these industries. Physical-chemical and chemical methods for treating such effluents are generally necessary whenever heavy-metals and other toxic compounds such as cyanide are present. The present paper discusses the use of precipitate flotation as an alternative physical- chemical method that can be applied for the treatment of effluents containing heavy-metals (mainly zinc and cadmium) and cyanide. Examples of laboratorial scale applications on real effluents are given. In both cases precipitate flotation was able to reduce the concentration of toxic components of the effluents at a very high removal rate, generating a solid waste that can either be disposed, re-used or recycled. A cationic collector - dodecylamine hydrochloride - demonstrated to be the best choice of surfactant for the two systems investigated. Sodium sulphide and dithizone were selected for the precipitation of the zinc bearing effluent whereas a copper salt was preferentially used for precipitating cyanide in a form adequate for its recycling envisaging the use of an AVR (acidification - volatilisation - regeneration) technique.

Jan 1, 1993

By E. Ghali, C. Su, G. Houlachi

"The influence of lead ions on zinc electrowinning process was investigated by means of electrochemical noise measurements (ENMs) and cyclic voltammetry in conjunction with scanning electron microscopy and X-ray diffraction. All electrochemical experiments were performed in sulphuric acid electrolyte containing different lead ion concentrations as impurity. Lead was added in six trace levels between 0.05–0.8 mg/L in the bath. The lead content of the zinc deposits was dependent on the introduced lead concentrations. The overpotential associated with zinc electrodeposition shifted to higher values with the increase of lead concentration in the solution. An appropriate correlation was found between the different concentrations of lead in the electrolyte and the morphology of zinc deposit by ENM. The results showed that the increase of lead ion concentrations is generally accompanied with the decrease of skew and increase of kurtosis values that could be related to the morphology of zinc deposit. Effectively, the morphology changes from well-defined hexagonal platelets to large hexagonal, layered platelets and finally to non-symmetric refined crystalline structure, respectively.INTRODUCTION In commercial zinc electrowinning, zinc oxide is leached from the roasted calcine with an aqueous acid sulfate electrolyte. Then the zinc-rich solution is purified and transferred into an electrolytic cell. During electrolysis, zinc is deposited on aluminum cathode where lead-silver or pure lead is served as anode. Electrodeposition of zinc could be influenced by several parameters such as bath acidity, temperature, current density, the nature and concentration of impurities as well as additives in electrolyte. Metallic impurities play a complex role during zinc electrowinning and they can adversely"

Jan 1, 2016

By R. Aliberti, E. Comis, M. Wone

DC Water’s Clean Rivers (DCCR) program involves the construction of approximately 29 km (18 mi) of CSO tunnels in Potomac Group soils in the Washington DC area. Soils include an upper predominantly over-consolidated fine grained plastic material facies (P/A) and lower predominantly coarsegrained facies (PTX). As earth pressure balance (EPB) tunnel boring machines (TBMs) are mainly used in such soils, the correct approach to soil conditioning can make a considerable difference in TBM performance. Soil conditioning laboratory tests are often completed during the planning phase prior to TBM excavation to develop a baseline for soil conditioning, reduce risks, minimize costs, and improve performance. However, only a few basic tests are standardized to date, and conditioning regimes are fine-tuned during the mining phase. The paper illustrates the effort carried out to identify the correct soil conditioning regime for both PA and PTX facies to improve TBM overall performance and reduce ground movement during the excavation of the Northeast Boundary Tunnel (NEBT) in Washington DC.

Dec 1, 2022

By Andrew J. Neale, Brian C. Flintoff

A review of the current literature, combined with the authors' knowledge of the western Canadian coal industry, indicates that the development and implementation of process control in coal preparation, particularly in flotation applications, is significantly lagging behind that seen in mineral processing. The reasons for this include the lack of inexpensive and reliable sensors, incomplete understanding of the flotation process, limited experience of process control in the coal preparation industry and depressed coal prices, all of which have combined to hinder plant automation. This paper illustrates the benefits of process control in coal flotation, provides a general discussion of the control problem and concludes with two examples drawn from Australian experiences.

Jan 1, 1989

By M. K. Barnett

[ ] ENGINEERING research consists, broadly speaking, in the investigation of the effect of the variations in a number of factors on some property of a product or characteristic of a process. The unambiguous description of the product or process requires that the property or characteristic be expressible in quantitative terms. For the purpose of practical control, it is likewise desirable that the independently variable factors governing the product or process be quantities, although this ideal goal is not always attained. Maximum efficiency-i.e., the attainment of the maximum amount of reliable, useful information relating to the influence of the factors on the property of the product or characteristic of the process, for the least expense-is an important requirement for the satisfactory operation of a research organization. Obviously, a necessary condition for the attainment of maximum efficiency is an adequate knowledge of the specialized field in which the experimental research lies. While necessary, this condition is not sufficient. Proper attention must also be given to the general principles of experimental design together with the modem methods for the analysis and evaluation of experimental data. The present discussion is confined to a single design, the so-called "factorial" design. This design is of special interest in that it attains its goal, maximum efficiency, by directly departing from the

Jan 1, 1947

By K. S. Benson

DEPLETION is a subject of vital importance to the mining industry. Yet, in spite of its importance, its significance is not generally understood. The purpose of this discussion is to clarify the main aspects of the subject from the viewpoint of a metal mine taxpayer. To define the term depletion, it is necessary to distinguish among its various uses. In the economic or geological sense, depletion means the exhaustion of a natural resource. A mineral deposit is a wasting asset and once exhausted is nonrenewable. Millions of years were needed to produce an ore deposit, which may be consumed in a few years and which cannot be replaced except by the discovery of new sources of supply. The wasting asset feature of the mining industry has a vital bearing on the impact of the Federal Income Tax Law on this industry. This is recognized in the law by the various provisions dealing with the depletion allowance, and in this sense the term depletion has an income tax meaning. Depletion from the tax viewpoint means the statutory deduction from gross income designed to permit the return to the taxpayer of the capital consumed in the production and sale of a natural resource. The mining enterprise realizes income on the extraction and sale of minerals and a portion of the income realized represents capital consumed. As the resource is exhausted, the mining enterprise approaches the end of its existence unless new sources of supply can be acquired. Depletion from the tax viewpoint is a creature of statute with limited meaning and application and, in essence, is a method for amortizing the value of the primary asset of a mining enterprise. An example can best illustrate the significance of depletion from the tax viewpoint. Compare a manufacturing concern with a mining company. In computing taxable income of a manufacturing concern, consideraion is given to the cost of producing such income, the principal costs being capital investment for plant and equipment, labor, and raw materials going into the products produced. A mining enterprise, on the other hand, is faced with a different problem because its principal asset is the natural resource which it is producing. In computing its taxable income, consideration is given also to its capital investment for plant and equipment and the cost of labor; but in addition, recognition must be given to the fact that a portion of the proceeds realized on the sale of mineral represents capital. Without such recognition, the mining company would be taxed not on income but on capital and income, and Congress has never intended that capital be taxed as income. Thus, when depletion allowable is referred to in the mining industry, it means the statutory deduction allowable in computing taxable income of a mining enterprise. For guidance the appropriate provisions of the Internal Revenue Code, Income Tax Regulations, and the judicial decisions interpreting and construing them must be examined. It is important to identify and distinguish three methods of determining the allowance for depletion: 1—Cost depletion, 2—Discovery depletion, and 3—Percentage depletion. The basic method is cost depletion and in addition some taxpayers may be entitled to use discovery depletion and other taxpayers may be entitled to use percentage depletion. Discovery depletion and percentage depletion, however, are mutually exclusive and if a taxpayer is entitled to percentage depletion, he is not entitled to discovery depletion. By statute, a metal mine taxpayer is entitled to use cost depletion or percentage depletion, whichever produces the highest deduction. Thus, discovery depletion is merely of academic interest to such taxpayers and to most others. Briefly and broadly speaking, these methods of determining depletion may be described as follows: 1—Cost Depletion: Under this method, the allowable deduction for depletion is based upon the cost of the particular deposit to the taxpayer, unless the deposit was owned prior to Mar. 1, 1913, in which case the taxpayer may use the fair market value of the deposit on that date or actual cost, whichever is higher. This method is sometimes described as basis depletion or adjusted basis depletion, but in this discussion it will be referred to as cost depletion. 2—Discovery Depletion: Under this method, the allowable deduction for depletion is based on the fair market value of the deposit at the date of discovery or within 30 days thereafter and was originally designed to take into account deposits discovered subsequent to Feb. 28, 1913. 3—Percentage Depletion: Under this method, the allowable deduction for depletion is based on a specified percentage of the income realized during the taxable year from a particular property. As stated, the concept of depletion is based upon the exhaustion of a natural resource as distinguished, for example, from the concept of depreciation based on the exhaustion of property used in trade or business. From the tax viewpoint, depletion first became important in the administration of the Corporation Tax Act of 1909, which provided for an excise tax on net income. As soon as this act went into effect, mining taxpayers attempted to claim a deduction for depletion in computing net income although there was no specific mention of a deduction for depletion in the statute. The courts in these cases uniformly held that the statute did not permit an allowance for depletion in computing net income and also held that the provision permitting a reasonable allowance for depreciation did not include depletion. These early cases are quite significant because they establish the principle that the

Jan 1, 1952