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By René Dufour

Jusqu?à son acquisition par MM René Dufour et Alain Robin en 1994, les claims miniers et les droits de surface de la propriété étaient détenus depuis 1953 par la société Québec Columbium, une filiale de la socité américaine Kennecott Copper qui y a réalisé d?importants travaux miniers. En 1995 la compagnie NIOCAN inc. fut incorporée; ses actions furent inscrites à la bourse de Montréal en 1997, et à la bourse de Toronto en décembre 1999. Jusqu?à maintenant, NIOCAN a investi plus de 7 millions de dollars dans le développement de sa propriété minière de niobium située à quelques 40 kilomètres au nord-ouest de Montréal. Le haut rendement économique des deux gisements principaux que compte exploiter la compagnie, le S-60 et le HWM-2, a été établie par des études de faisabilité effectuées par le consortium Met-Chem/SNC-Lavalin. La mission que s?est donnée NIOCAN inc. consiste à mettre en production ses deux gisements et à devenir ainsi productrice de ferroniobium dans les plus brefs délais. Figure 2 Le projet est présentement à un stade avancé d?obtention du certificat d?autorisation du ministère de l?Environnement. À plus long terme, la compagnie compte aussi exploiter les sous-produits de ses gisements (apatite, forsterite, magnétite, calcaire et terres rares).

May 1, 2003

By Benoit Taillon

Contenu de la presentation 1. Le projet QMM et son contexte 2. Gérer la biodiversité 3. Résultats obtenus QMM QIT Madagascar Minerals S.A. ? JV: Rio Tinto (80%) et Madagascar (20%) ? Trois gisements: Mandena (en cours d?exploitation), Ste-Luce et Petriky (total 6000 ha) ? CapEx : USD 940M (Installations minières + port, énergie, routes, logement, écoles, cliniques, etc.) ? Technique par dragage des sables minéralisés et de concentration de l?ilménite (FeTi02) ? Exportation de l?ilménite pour son traitement.

May 1, 2011

By F. Duan, J. Pfarr, J. M. Goris

"The U.S. Bureau of Mines, in cooperation with the Homestake Mining Co. and the University of Utah, is conducting a field demonstration to evaluate the behaviour of rock masses supported with cable bolts. One of two rock masses being studied is supported with both conventional and birdcage cables. This rock mass is located between the 6500 and 6650 levels of the 45-48N stope, 21 ledge. The second rock mass is the hanging wall of the D-limb stope between the 3500 and 3650 levels near the Ross Shaft and is supported with conventional cables. The primary objectives of the project are to monitor the behaviour of the two rock masses during mining using extensometers and cable support strain gauges, after which the rock will be modelled using the finite-element code UTAH III. Field data will be used to verify the modelling. In addition, a comparison between the effectiveness of conventional and birdcage cables will be made.45-48N StopeThe 45-48N stope is located in the 21 ledge between the 6500 and 6650 levels and contains about 233 000 short tons of mineable ore. The orebody lies within the Homestake Formation and is very irregular being approximately 200 ft long and 75 ft wide. Between the 6500 and 6650 levels, it dips from 35 degrees to 60 degrees east with a near-vertical plunge to the south. Mineralization is characterized by arsenopyrite and pyrrhotite with minor gold. The contact between the Homestake and the overlying Ellison Formation creates a plane of weakness along localized graphitic layers. The footwall dips at approximately 60 degrees but between 100 ft and 120 ft above the 6650 level , the hanging wall flattens to almost 20 degrees causing a significant mining problem."

Jan 1, 1991

By J. A. Maritz

"The Hedley and Grant formulation for pillar strength has been widely adopted by the South Africa hard rock mining industry. Today, some forty year later, this formula still provides the foundation for pillar strength calculations when designing for stability and utilising pillars in mine layouts. Various mine specific back analyses were conducted to adjust the equation parameters based on underground observations of failed pillars and comparing to the pillar stresses calculated using numerical models. In all these instances, the influence of shear stresses was ignored. The key to more representative pillar strength estimation is a better understanding of the pillar loading environment.In this paper, special mining cases are evaluated and the existence of shear stresses on the pillar loading environment is illustrated. By revisiting some back analysis data for optimisation of the equation parameters, recommendations were made in respect of the influence of the shear stress component and on how this should be considered in determining the pillar strength.INTRODUCTIONCommon practice on flat dipping, shallow and intermediate depth ore deposits in the South African hard rock and coal mining industry is to exploit the mineral resource using a room-and-pillar layout. The design methodology is mainly based on a Factor of Safety (FoS) approach, where the strength of the pillar is compared to the effective load on the pillar. In these environments, FoS values of 1.6 are applied as it was found to correspond to a probability of failure in coal mines of 0.001. As discussed by Ryder and Jager (2002) page 279: “For lack of anything else more substantial, the figure of 1.6 is generally used in hard rock pillar design in South Africa”. Dependant on the designed purpose of the pillar, the FoS might be selected as high as 2.0 where long term stability is required. The factors directly influencing the FoS include the pillar height (which is linked to the mining height), effective pillar width, a rock-strength factor and extraction ratio."

Jan 1, 2015

By R. P. Smith

PRIOR to June, 1937, the employees of Hollinger Consolidated Gold Mines, Ltd., at Timmins, Ontario, received medical care for themselves under a contract system developed through an agreement between the employer, employee, and a contract physician. This form of practice is common to the mining industry in Ontario. But with the improvement in mining methods and conditions of living, and through an increasing demand for provision of a complete medical care, it was not any surprise when the employees of the Hollinger mine approached organized medicine and indicated their desire for a plan to provide their families with a more or less complete medical service in addition to that supplied for themselves. In April, 1937, this approach was made, and on June 18th, 1937, the Hollinger Employees' Medical Services Association was formed and started to provide medical services. A review of five years' experience is now presented. The Association provides complete medical service for the employee, his wife and family, as well as those dependents who are the total responsibility of the employee. The employee membership is limited to employees at the Hollinger mine in Timmins who reside in the immediate vicinity. The employee is examined by a Company doctor on application for employment and is subject to further examination by a specialise in chest diseases under the direction of the Workmen's Compensation Board of Ontario. The wife and family are not subject to examination but have to be registered when the employee is accepted for employment. The dependents, other than the immediate family, are subject to medical examination and approval after the employee has applied for such dependent or dependents to be admitted. Membership in the Association is obligatory when the employee is hired, but at the end of any Association year he may drop out if he so wishes.

Jan 1, 1943

By John F. Gartner

"New terrain maps provide information on the ground conditions in northern Ontario. This information has a relevance to mineral exploration because it assists the user in determining ground conditions prior to entering the area. The prospector, geologist, geophysicist and geochemist can then plan for the optimum use of exploration techniques best suited for theseground conditions.These terrain maps are the result of the Northern Ontario Engineering Geology Terrain Study-a program carried out by five consultants under contract to the Ontario Geological Survey of the Ministry of Natural Resources. The area mapped is 370,000 km2 and more than 100 basic data maps at a1:100,000 scale will be published.An unique terrain legend was derived to facilitate the mapping and it allows the derivation of specific user information. Examples of some of these uses are described. Introduction""Where did all the boulders come from Charlie?"", asked the student, as the prospector and his young assistant clambered through the bush. "" Why son, they were brought down here by the glacier"", the prospector replied. ""But where is the glacier now Charlie? "", persisted the young man. ""Gone back up north for more boulders son!""An old story, but one that illustrates the importance of overburden to the prospector. The use of overburden as a prospecting technique is not new. In fact, the principles have been known in the western world for at least 235 years (Shilts 1976). More recently, Dreimanis's classic work on boulder tracing (1957) and Lee's work (1971) emphasize the role of glacial geology in prospecting. In addition, papers by Smee and Sinha (1979), Averill (1978), Bereton (1978), and Gleeson and Hornbrook (1974) all describe the importance of drift in mineral exploration programs. The discovery of the copper deposit in the northern Ontario township of Currie (Thompson, 1979) is attributed in part to till prospecting methods. So the significance of the overburden is firmly established, both in the literature and in the minds of today's prospectors, geologists, geophysicists and geochemists."

Jan 1, 1981

By Errol Ladner

The application of large-diameter bore holes in underground operations at Heath Steele was first tried in February, 1975. Since that time, 90,000 feet of 6-l/2-inch holes have been drilled, primarily in open blasthole stoping, for a total of 1.4 million tons, 37% of underground production. This paper deals with a review of drilling with conventional percussion longhole drills, a practice which is still utilized at Heath Steele, and the changeover to accommodate the use of larger blastholes in underground operations. The discussion will include layouts for 2-inch-diameter blasthole stope blocks, 6-inch-diameter stope blocks, trials for I. T.H. (in-the-hole) stope rooms, and drill pat/ems, drilling and performance. The complexity involved in the development, drilling and blasting of 2-inch blastholes is overcome by the over-all simplicity of drilling and blasting in I. T.H. stopes. This has made the practice of open blasthole stoping more economical and efficient. The future indicates an increase in the company's I. T.H. program. Investigations are being undertaken regarding longer holes to decrease development costs. A VCR stope is also being developed for trial.

Jan 1, 1979

By L. C. Galloway, P. M. Tiley

"Some progress has already been made in defining the parameters which will determine the performance of a guidance system in a mine shaft. Very little information is available, however, to help designers or operators predict the effects of varying these parameters in new or existing installations.The experience we have gained from monitoring a variety of installations has led to the development of a model which simulates the motion of a conveyance as it moves through a mineshaft, restrained by fixed guides.This paper presents a general analysis of the performance of the guidance system used in several installations, as well as a detailed description of the problem encountered at one mine and the steps taken to solve it.IntroductionOur company has investigated in some depth the problems that arise in the guidance of mine hoist conveyances.We have a telemetering accelerometer which we obtained to test mine hoist brakes. Frequently, during brake tests, the mine owners request us to use this instrument to measure the lateral motion of the conveyance ""to check guide alignment"". We have made such tests in shafts that have guide s of different kinds, including wooden guides, steel rail s and tubular steel guides. From these tests, we have gained some valuable information about guidance systems.In a well-aligned guidance system that is designed within common and well-known practice, the conveyance will experience very little shock most of the time. However, on rare occasions, shocks up to .5 g will occur. That is, the conveyance exerts a force of up to half its loaded weight on the guide. If the guide slips or is damaged by this force, it will be misaligned for future trips and become the cause of future shocks. In time, the whole guidance system can become misaligned."

Jan 1, 1982

By B. Stuckert, P. Sheehan, J. Balfour, B. (Manas) Das, D. Fawcett

"With the growth of large scale surface mining operations, waste disposal and stability of waste dumps pose a challenging problem to engineers. Vibrations due to blasting operations proximal to these dumps further complicates dump design. Many dumps which are statically stable may become unstable due to the effects of blasting vibrations.A joint project between CANMET and Smoky River Coal Ltd. has been initiated to study the dynamic stability of waste dumps. The study involves development of an analytical algorithm combined with field monitoring to assess dump performance.Another objective of the study is to provide baseline data for a vibration attentuation relationships for sedimentary rock (coal) environments: most studies to date are for base metal mines. The effect of dump thickness on vibration response is also addressed.The key objective of the study is to present a methodology for assessing the dynamic stability of waste dumps. Implicit in this methodology are a number of assumptions concerning vibration attenuation in sedimentary rock environments, and response of the dump material to induced vibration. Where possible, these assumptions have been compared with monitoring data as a check on their validity."

Jan 1, 1989

By Ron Bradburn, Derek Perkins

"The Brenda mine is located in south central British Columbia, 22 km north west of Peachland, in the heart of the Okanagan Valley. Situated at an elevation of 1500 metres, the mine area straddles the divide between the headwaters of Trepanier Creek and Peachland Creek. These flow into Okanagan Lake, the chief valley water resource located 1100 metres below. The creeks are of great significance to the water management of the area as they constitute the water supply for the Municipality of Peachland, a thriving retirement community with a population of 5000. A location map is shown in Figure 1.The history of the Brenda Mine operation has been well documented previously. After twenty years of operation, the open pit mine shut down in June 1990 due to the depletion of its ore reserves. During the course of its life, it produced 109 million tonnes of waste rock which is thought to contain approximately 0.10% copper as chalcopyrite and 0.015% molybdenum as molybdenite stored in four rock piles around the pit. Similarly, approximately 200 million tonnes of tailings were produced grading 0.015% copper and 0.005% molybdenum. During operation, tailings were hydrocycloned to produce a coarse sand for dam building with the fine slime stored behind the dam. It is estimated that 40% of the tailings were used for the dam construction. The layout of the mine site is shown in Figure 2.The mine was operated under a zero discharge permit. This was achieved by diverting practically all surface water flowing towards the mine area around the site. Water affected by mine operations, was discharged to the tailings impoundment, and recycled to the mill for reuse. The recycle rate was 90% and seepage from the tailings embankment and saddle dam was pumped back to the tailings pond. Because acid drainage was not a problem with the low grade Brenda rock, runoff from the rockpiles was initially released to the local environment. However, due to the alkaline nature of the waste rock, dissolution of low concentrations of molybdenum in the site runoff waters became evident by the late 1970's. The molybdenum content of Peachland Lake, the water reservoir for the municipality of Peachland, approached the Canadian Drinking Water Standard of 0.25 ppm. By 1979, a series of diversion and collection ditches was completed to direct all runoff water from the rockpiles to the tailings impoundment area. This had a significant detrimental effect on the site water balance causing it to go into a considerable surplus condition. During normal operation, this oversupply was contained by the rate of tailings dam building. An economic shutdown of the mine during 1984 forced a limited discharge from the site to protect the integrity of the tailings dam."

Jan 1, 1995

By H. Bannach

"This paper focusses on what seem to be the leading indicators of prosperity in the minerals industry during this decade: the geographical distribution of deposits, environmental impact, capital allocation and acid consumption. There is a potential for meeting environmental criteria at a reasonable profit margin, but those with limited acid demand within economic range will face hard times to meet growing environmental concerns, resulting in additional mine closures. At the other end, those with old waste dumps who are thinking about smelting capacity additions will need capital influx at a much larger rate than ever before. All things considered, a change should be made in the way the world's copper reserves are computed, because there is a growing need to internalize these effects back to the ore blocks before a meaningful estimate of reserves becomes available.IntroductionThe copper industry has undergone several changes during the past decade, many of which were expected to take place because they rel1ect the economics of ageing mines. However, many others took place that shocked the industry because they were not completely under control. The focus of this paper is to rel1ect on those changes, and on market expectations for this decade that somehow depend on their impact.To review the prospects for new mine developments and expansions from an industry perspective to a full extent, it would be necessary to consider not only the deposits themselves, but also geographical constraints, environmental constraints, labour composition, technology development and use, the availability of capital, ownership issues, and integration within the industry. This paper, however, will concentrate on only some of the key elements that are believed to playa major role in shaping the market in the decade that has just begun. These elements, all interconnected, are:"

Jan 1, 1992

By Jeff Stufsky

Debt Financing ?Broad Market Overview ? Recovering due to factors including: ? Increased trust in the system ? Enhanced capitalization of financial institutions ? The need to deploy capital for profit ? Competition: ? Investment-grade bond volumes increasing dramatically, and starting to pressure banks to compete with new capital ? Term Loan B financing from insurance companies and related institutions is returning, also pressuring banks to lend ? Local country financial institution capacity in Latin America has materially increased ? Results: ? Loan capacity increasing generally across instruments, regions, and sectors ? Financial institutions/banks starting again to seek yield as pricing competition heats up ? Tenors increasing with pricing coming down more slowly Underwriting is back in play

May 1, 2010

By J. M. Shneerson

Gipronickel Institute, Saint-Petersburg will The copper concentrate was extracted from copper and nickel matte after its hydrometallurgical treatment and nickel removal. The concentrate containing 60-74% of copper was represented by two principal copper minerals, digenite and covellite. The oxidising leaching of this kind of concentrate was studied at the Gipronickel Institute. The effect of key parameters, such as temperature, oxygen partial pressure and initial solution compound, on the rate of copper dissolution and transfer of sulphur from sulphide to elemental form was investigated. It was shown that at temperatures about 90DC, the sulphur content of covellite converts to elemental form. Under autoclave conditions at 11ODC, the elemental sulphur dissolves as a sulphate-ion. At the temperature range from 50 to 90DC, the copper dissolution rate is in direct relation with temperature. By increasing the temperature to 130DC, this effect is reversed. Based on the research work, a technological flow sheet for the leaching of the copper concentrate was developed.

Jan 1, 2007

By P Kovacs, D. L. Flock

For the purpose of reservoir-performance calculations a balance can be made between the materials with-in the reservoir and the production from the reservoir. The material balance equation, a relationship which holds under or near equilibrium conditions, has been used in many forms by the Petroleum Engineer for the determination of initial oil-in-place in the reservoir and the calculation of performance into the future. One of the more recent methods developed by Tracy, utilizes a modified form of the Schilthuis material balance. In the latter case, values of incremental production are assumed for a particular pressure drop, a value of the gas-oil ratio found and a check of this estimate made by calculation"' the initial oil-in-place. Tracy's method utilizes an estimation of the instantaneous gas-oil ratio and by trial and error a value of the gas-oil ratio is

Jan 1, 1961

By J. G. MacGregor

At this, the opening meeting of the Western Quebec Branch of the Institute, it seems fitting that the first paper presented should embrace a survey of the known mineral deposits occurring in the area, and also a review of ?the exploration methods that have brought about their discovery. And since the study of geological structures must always be the guiding principle of an intelligent exploration campaign, it also seems to be the appropriate occasion to review the geological situation from the economic angle, in an attempt to arrive at a re-statement of the known facts governing the deposition of the mineral bodies . . It is not my intention to confine my remarks entirely to the geological problems involved, but rather to pass under review the exploratory methods that have been employed in the past and that are presently being used, and to offer a forecast of the type of exploration campaign that will be largely adopted in the future search for ore.

Jan 1, 1929

By Leonard A. Wolff

"The 1980sfor the mining industry can be characterized as the survival of the fittest. High interest rates, low commodity prices, foreign subsidized competition and decreasing ore grades have contributed to a streamlining of the domestic mining industry in the United States, leading to the shutdown of operations or large cutback of work forces. The purpose of this paper is to look at the impact of a layoff on the employees of what was once a major uranium producer in south central Wyoming, twenty months after the final layoff and mine shutdown. INTRODUCTIONDecember 19, 1985, was the date of the final of three successive layoffs over a two-month period, leading to the complete shutdown of Petrotomics Company, a subsidiary of Getty Minerals Company. The final shutdown was due to a combination of depressed U3O8 prices and the takeover of Getty Oil Company by Texaco in January 1984.The layoffs affected 104 employees and included mine personnel, mill personnel and staff. Both hourly and salary workers were involved. The operation was considered non-union, however, a few mill hourly employees were unionized. At the completion of the layoffs. only a handful of employees remained for administrative and miscellaneous functions.For Getty employees, the terms of the merger agreement provided a generous level of separation benefits. The terms that were insisted upon by Mr. Petersen, Chairman of the Board for Getty Oil, stipulated that employees receive one month of severance pay, for each full calendar year of employment up to a maximum of two year's pay. This was the forerunner of what is now commonly known as the ""tin parachute”. All but the union employees of Petrotomics received these separation benefits. Union employees were covered by their separate, less generous, contract.Much of the literature that has been published in recent months has centred around the effects of layoffs on remaining employees, or the psychological effects on the severed employee. This study will emphasize the economic impact and ramifications due to a layoff, using the Petrotomics employees as a case example."

Jan 1, 1989

By Phil Molloy

"In March, 1968, Skega Ruh her Liners were used to reline the shell of an 8' x 12' Allis Chalmers ball mill.This mill is used to regrind the cyanided pulp from 58i -200 mesh to 92% -200 mesh prior to this pulp passing to the flotation circuit, at approximately 450 tons per day.Before the use of rubber liners, the regrind ball Mill shell had been lined with single wave ni-hard liner!'. These liners had an average life of five years. Ni-hard end liners were used both prior to and during the use of rubber liners, as the life of the ni-hard end liners was about seven years, and it was thus felt that little economic benefit would be realized by lining the ball mill ends with rubber.The rubber lining used has a thickness of 57.15 millimeters and the square shaped lifter bars which are spaced at 14~ inch centres, have a 4"" x 4"" cross-sectional dimension.With the use of ni-hard liners, the consumption of 1 1/4 forged steel balls averaged 1.062 pounds per ton, Using rubber liners the consumption of l~"" forged steel balls increased to 1.368 pounds per ton. Also the level of the ball load which previously had been kept at approximately 18 inches below the mill discharge, had to be increased to approximately 8 inches below the mill discharge in order to effect the same grind.The initial gri4ding performance of the newly relined mill was also poor, until the leading edge of the rubber lifter bars, which were square shaped in cross-section had been worn to a rounded profile. These lifter bars were replaced after 4 years and 3 months of operation.The advantages of rubber liners in our opinion is as follows:"

Jan 1, 1974

By Michel Dagbert, Mohammed Harfi

"Abstract - The Draa Sfar polymetallic deposit, at about 16 km NW of Marrakech in Morocco, is a massive sulfide zone at the contact between an underlying volcanic and an overlying clastics sequence. The mineralized body is a flat lens with schistosity and "boudinage," tilted to the west and with a strong dip to the east. The lens extends over a strike length of about 2 km and from surface to a depth of about 1 km, with thickness varying from 1 m to almost 30 m. It has been intersected by about one hundred surface drill holes and, in its south part, by about thirty underground fan holes from two exploration levels at depths of 300 m and 400 m. On these two levels, the massive sulfide zone has been channel sampled over a cumulative length of about 0.7 km. Results from drill and channel samples are used to estimate the resources of the orebody according to several methods: sections, polygons around intercepts on a longitudinal plan, grids on the same longitudinal plan with various distance weighting methods including kriging and, finally, a 3D grid with the same range of interpolators. A comparison of the various estimates delineates the important factors in deriving resources for this type of deposit. Those factors are mostly geological and related to the interpretation of the geometry of the two limiting surfaces of the zone. For the 3D gridding, the authors have devised a new and original method that constrains the interpolation of blocks from samples to a geometry of limiting surfaces. The resulting model shows internal grade variations that parallel fluctuations of zone thickness and orientation without having to re-orientate the search window in each block. Résumé - Le gisement polymétallique de Draa Sfar, situé à environ 16 km au NW de Marrakech est un horizon de sulfure massif au contact d’une formation volcano-sédimentaire de base et d’une formation détritique sur-jacente. Le corps minéralisé se présente sous forme d’une méga-lentille aplatie, schistosée, boudinée et déversée vers l’ouest avec un fort pendage vers l’est s’étendant sur une longueur de 2 km et une profondeur de près de 1 km avec une épaisseur variant de moins d’un mètre à près de 30 m. Il a été reconnu par plus d’une centaine de sondages de surface et, dans sa partie sud, par une trentaine de trous souterrains en éventail à partir de deux niveaux à des profondeurs respectives de 300 m et 400 m. Sur ces mêmes niveaux, des traçages ont permis de rainurer le minerai sur une longueur cumulée de 0.7 km. Les données de sondage et de rainurage ont servi à estimer les ressources du gisement selon plusieurs méthodes : sections, polygones sur longitudinale, grille sur longitudinale avec différentes pondérations en fonction des distances incluant le krigeage et enfin grille tridimensionnelle avec le même éventail de pondérateurs. La comparaison des estimés obtenus permet de mettre en évidence les facteurs importants dans l’estimation des ressources de ce type de gisement. Ces facteurs sont essentiellement géologiques et relatifs à l’interprétation de la géométrie des limites des corps minéralisés. Pour l’estimation sur grille tridimensionnelle, on a mis au point une technique originale qui calque l’interpolation des blocs à partir des échantillons sur cette géométrie des surfaces de contact. Le modèle résultant montre des variations internes de teneurs qui épousent les fluctuations d’épaisseur et d’orientation de la zone sans qu’il soit nécessaire de ré-orienter les fenêtres de recherche dans chaque bloc."

Jan 1, 2002

Planning and operational problems Difficulty in getting accurate geological interpretation Hard to plan work in advance Constant changes in engineering drawings and specifications Occasionally, a small stope portion requires changing the mining method from room-and pillar to shrinkage The ground has to remain stable until the entire stope is mined out A large stope portion is mined as development (30%) Frequent corrective excavation work due to dip changes Unstable and inclined working surface Frequent rehabilitation work is required

Feb 1, 2008

By R. E. Stewart

"Using the concept of economic life and marginal analysis, it can be shown that proper equipment replacement timing can save a mining company many thousands of dollars. To assist management with determining the economic life of mining equipment, a new computer package has been developed. The package, called ERG (equipment replacement guide), incorporates all important economic factors related to equipment usage, such as operating costs, maintenance costs, salvage values, depreciation, volume of work, tax credits, inflation rates, ROJ, etc. The information is used in a series of equations which balance the costs of new equipment against the total cost of old equipment. The solution of the equations determines economic life and the point in time when the old equipment should be replaced. IntroductionIn an operating mine, equipment must eventually be replaced or downgraded for a variety of reasons. Fleets of haul trucks, dozers and other major pieces of equipment deteriorate over time until the mounting costs of maintenance and repair force either a major overhaul or the ir replacement by new and more efficient pieces of equipment.The question of determining the best time to replace old equipment has been approached in many different ways. Various methods, ranging from operating experience, intuition and physical necessity to sophisticated computer models have been devised to help cope with equipment replacement decisions . The best of the se will incorporate the most important economic factors related to equipment usage, such as operating and maintenance costs, salvage values, depreciation, work delivered, the cost of capital, tax credits and, of course, the effects of inflation.Economic TheoryThe fundamentals of equipment replacement theory grew out of the interaction between economics, engineering and finance. The use of annual cost comparisons and rate-of return calculations were helpful in handling situations in which assets with different finite lives were being compared. Later developments bringing together the concept of economic life and marginal analysis helped provide additional refinements to the theory. Taylorui showed that the displacement of an aging asset with a similar, but newer, asset can be justified economically when the marginal cost of keeping the asset one more year exceeds the minimum uniform annual cost equivalent of the proposed replacement."

Jan 1, 1980