Cost-Price Squeeze Successfully Met by Homestake Mining Company

To counteract the spiralling costs of labor and materials against the fixed sale of its product, namely, gold at $35 per oz, Homestake Mining Co. has revised the milling flowsheet once and effected increases in the daily milling rate twice in the past 12 years. During this period the mining department has been able to hold production costs steady by increased productivity through technical improvements and utilization of the most modern mining by CLAUDE E. SCHMIDT and FRANK M. HOWELL, JR. 46-MINING ENGINEERING, APRIL 1963 equipment. The flowsheet alteration occurred during 1951-1953 when the two crushing plants at the shaft head frames were converted to a three-stage crushing system with the third stage closed circuited to produce a minus 5/8-in. product as rod mill feed.