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By Dale S. Hursh, William A. Brooks

Introduction US dependence on external energy sources is dangerous because of unstable political situations existing in key energy exporting countries. So, recent national energy policies call for increased reliance on domestic energy sources. Coal ranks as the most feasible domestic energy source due to its abundant reserves and continental distribution. But to efficiently extract these coal reserves, huge sums of capital funds are needed. Due to the depressed economy, lenders of capital funds are forced to be more stringent with loan applications. This results in fewer loans granted. In many cases, it is uncertain if funding can be obtained. Furthermore, the greatest level of domestic mine financing is expected to be in the coal sector. Demand for capital in the domestic coal industry is anticipated to increase 80% by 1990. The Chase Manhattan Bank in New York warns that these future needs cannot be met by the present capital markets. This article analyzes the current and expected situations of the capital markets available to the domestic coal industry, including: • current and expected future types of financing used in the domestic coal industry; • problems the domestic coal industry may encounter as it seeks capital; and • the future availability of capital funds as concluded from analysis of the first two items. Background Information Regardless of industry, all projects or ventures can be divided into four basic stages: generation; evaluation; selection; and execution. Within the mining industry, one can break down these stages to draw a clear picture of mine development, as shown in Fig. 1. Each successive stage has a corresponding risk level. This risk level defines the type of financing available to the mine operator. Mining Venture Risks A coal mining venture can be characterized by its unique blend of technical and financial risk. As the mine moves through different development stages, varying proportions of each of these risks are encountered. It is these risks that the lender evaluates to determine project suitability. For a coal mining venture, the major complexities generally occur with the technical risk. These include: • quantifying the coal reserves: • assessing the feasibility of the mining method; and • evaluating the design of the wash plant. The reserve risk is gauged by the amount of measured, mineable, and saleable reserves. The greater the latter amounts, the lower the risk. Secure title to the reserves plus title for any surface areas required are also of concern to the banker. Feasibility of the mining method and evaluation of the wash plant design should verify that the project can be completed according to the engineered spec-

Jan 9, 1982

By W. H. Dickinson

The performance of seven antiscalants spanning a range of chemistries was evaluated for control of calcium carbonate (CaCO3) formation in gold processing applications. Three preferred chemistries were identified which provided up to 100 percent inhibition in static jar tests when applied at 30 ppm dosage. The three products were further evaluated using a model carbon extraction circuit developed for this application. The test circuit enabled direct measurement of calcium carbonate formed on the carbon from a supersaturated solution under dynamic conditions. The antiscalants lowered CaCO3 buildup on the columns by 15 - 26 percent compared to untreated controls. Impact of the antiscalants on the rate and extent of gold loading onto a carbon adsorbent was evaluated in laboratory carbon-in-pulp (CIP) studies. The antiscalants generated a 25 - 35% increase in gold loading at gold extraction efficiencies up to 65%. On-site testing at a gold processing facility demonstrated that 10 ppm of the preferred antiscalant was able to fully suppressCaCO3formation in thickener overflow water.

Feb 27, 2013

By A. M. Marabini

Flotation of rutile with N-benzoyl-N-phenyl-hydroxylamine (N-BPHA) has been investigated. Initially, floatability tests were performed in a Hallimond tube. The results indicated that rutile was floatable in the pH range from 2 to 4 at N-BPHA concentration between 2x10-3 M and 2x10-2 M. Selectivity against hematite was recognized when operating at pH values below 2. Following the hypothesis of the formation of a surface chelate between N-BPHA and titanium ion, this compound was precipitated from a solution of Ti(SO4) to which N-BPHA was added. I.R. spectrometry oft the rutile before and after treatment with N-BPHA solution confirmed the presence on the rutile surface of the same compound. The absorption isotherm and kinetics were determined by analyzing N-BPHA in solution with an U.V. technique. A hypothesis for the mechanism of adsorption of N-BPHA on rutile is suggested.

Jan 1, 1982

By Reginald Dias

Mining operations take a tremendous toll on equipment, operating in difficult conditions day after day. Owners and operators cannot make the job any easier, but they can give their equipment an advantage. Equipment life may be extended through preventive maintenance and the proper application of quality lubricants. This means lubricants that are made to last longer and stand up better to the punishment mining equipment must endure. There are several practices to consider as part of a successful preventive maintenance program. A good place to start is to review original equipment manufacturer recommendations about servicing and maintenance intervals for each part of the equipment, especially the engine. If these recommendations have not been followed, owners and operators must begin periodic service work on equipment to help minimize equipment down-time and extend engine life.

Jan 1, 2003

By G. Biles, K. Loughran, R. Anand

The Eskay Creek Mine, a high-grade gold and silver underground mine in northwestern British Columbia started operations in late 1994. For the first three years of operation, ore was crushed to minus 2 inch; blended to satisfy smelter terms and direct shipped to smelters in Japan and Canada. Before commencing the above operations, preliminary evaluations had indicated that an extremely complex metallurgical facility, requiring a large capital investment, would be required to recover the precious and other economic metals. Subsequently markets for raw ore were identified and underground mining and ore transportation operations, at a nominal production rate of 300 tonnes per day, were commenced. Exploration diamond drilling in 1995 and 1996 discovered additional lower grade mineralised zones, which are less economic or uneconomic as direct shipping ore. Test work demonstrated that these lower grade zones could be upgraded to marketable concentrates in a simple flotation mill. The mill was built in 1997 and has been in operation since late 1997. The mining rate now has increased to 400 tonnes per day including 250 tonnes per day of the direct shipping ore and 150tonnes per day of the mill ore. Prime Resources Group Inc. wholly owns the Eskay Creek Mine. Homestake Canada Inc. owns 50.6% of Prime’s shares and manages and operates the mine on Prime’s behalf. This paper discusses the mining and milling operations as well as ore shipment and smelter contracts' administration.

Jan 1, 1999

By Rudy Scarabelli, John R. Wagner

At one time explosives were the only economical means of rock tunnel excavation. Except in relatively long tunnels in the right rock explosives are still the cheapest means of rock excavation where they can be used. Today the most economical means of rock tunnel excavation is increasingly not the choice of the contractor. A good part of our work is for public agencies in urban areas and the public today is increasingly less tolerant of the disruption caused by our efforts. Owners in many cases have to direct their engineers to write specifications which severely restrict noise and vibration levels during construction. Sometimes specifications allow drill-and-shoot for starter tunnels only or even eliminate powder by fiat. Recent advances in the use of explosives such as sequential firing have made blasting more palatable to the public but are not enough in all situations. Thus the roadheaders on construction projects. In recent work I have seen the Alpine Miners, a Paurant Miner and the Robbins Mobile Miners used in several rock formations and now believe this type of equipment has a place in the tunnel constructor's choice of equipment. Rudy and I have not attempted to present a formula for choosing the best alternative excavation method in any given case because, of course, of the variables involved. We have simply tried to describe our experiences on a particular project and hope our observations will be of some value to tunnel constructors.

Jan 1, 1987

By Cloyd D. McDowell

The Federal coal Mine Health and Safety Act of 1969 has been criticized by those who say it goes too far in controlling the activity of private enterprise and by those who say it does not go far enough in eliminating fatalities and accidents in an accident prone industry. Possibly a better evaluation of this legislation lies somewhere in between. From the viewpoint of the coal industry it can be said that through the efforts of those engaged in mining, both the operator and the miner, the year 1969 marked a record year in mine safety with only 190 fatalities and a frequency of 0.84 per million man hours exposure. This outstanding achievement compared to any previous was the result of a determined effort on the part of a concerned industry to improve its reputation as being the most hazardous industry in the nation. After the effective date of the Act, March 31, 1970, the Bureau of Mines assumed complete control of all safety and health activities of the mining industry. Unfortunately, there was no improvement in the safety record of underground mines in 1970 with the total of 255 fatal injuries and a frequency of 1.04 for the year. The number of fatalities declined to 177 in 1971 but the number of underground coal mines had declined from 5,955 to 2,268 during the two year period. Meanwhile, surface mined coal increased from about 38% of total production in 1969 to over 50% in 1971, keeping the annual production of coal at a normal level but involving fewer men.

Jan 1, 1973

By K. Fleck

Energy West Mining Company (EWMC) has implemented a geologic program for improving stability and support requirements along deep two-entry longwall gateroads at its Deer Creek Mine operations located near Huntington, Utah. Together with geotechnical monitoring and concurrent review of mine seismicity in cooperation with MTI staff, it has become possible to improve longwall layout designs for two seam extraction of the Hiawatha and Blind Canyon seams. The geologic program consists of surface and in-mine exploration drilling, surface and in-mine geologic mapping, rock mechanics testing and detailed measurements of changes in depositional and structural conditions during development of every longwall gateroad. The geotechnical program consists of underground measurements at seven locations in two neighboring mining districts located in the Hiawatha and Blind Canyon coal seams under moderate to deep cover. Within the last five years, additional measurements, including data on seismicity and face conditions, have been incorporated into the data collection program for verifying the insitu coal strength and load transfer mechanisms for improving two-seam designs and support systems. Geologic mapping results are also used to predict local stability of headgate and tailgate entries, combining mine roof mapping, stratigraphic profiles of the coal and roof, and depth-of-cover information and dual-seam mine overlays, for use by operations personnel in planning roof and rib support for the retreating longwall sections.

Jan 1, 2012

By Michael Cruickshank

All life on Earth relies on the ocean and yet the ocean is 95 percent unexplored, unknown and unseen by human eyes,? said Paula Keener, director of education programs for National Oceanic and Atmospheric Administration?s (NOAA) Office of Ocean Exploration and Research. ?To better understand, manage and protect the ocean and its resources, NOAA believes it is critical to use the best technology to explore, discover, inform, educate and motivate? (MTS, newsletter, January 2011). In the last few decades, our understanding of the global mineral resource base has been drastically changed by some surprising new developments. The potential for commercial minerals per unit area in the oceans and seabed appears to be similar to that of the terrestrial lands. Thus, almost three-fourths of the global mineral resources are in, or under, the sea and are virtually undeveloped. The area of the Pacific seabeds alone is greater than the total area of the global lands. Half of the global seabed minerals are now controlled by nation states within their Exclusive Economic Zones (EEZ). The other half is controlled by the United Nations (UN) through the International Seabed Authority (ISA) within the ?areas beyond national jurisdiction? known as The Area. Thus, the Law of the Sea, ratified in 1994, has resulted in the largest transfer of control of natural resources in the history of mankind. This paper was prepared by the Society for Mining, Metallurgy and Exploration (SME) Committee on the Offshore Technology Conference for the SME Board of Directors and other interested parties. As the premier professional society for the mining and mineral community in the United States, with a history dating back to the 19th century, SME?s mission is to encourage and support young men and women engineers in the minerals industry, provide the services they need, improve the image of the industry, strengthen the networking among global industry professionals and engage in proactive collaboration among industry, government, academia and nongovernmental organizations (NGOs). The accomplishment of this mission can be strongly advanced by highlighting what is probably now the most significant development in the history of the modern minerals industry - the exploration of the marine environment and the understanding of the potential for the development of the minerals therein.

Jan 1, 2011

By Charles L. Allie

Since Reserve Mining Co. began commercial operations at Silver Bay, MN, some 25 years ago, major improvements in taconite processing technology have become available. In addition, significant new government standards have been imposed on industrial operations. By implementing a $370-million modernization program, Reserve was able to accomplish two major company objectives: the quality of concentrates produced from the Peter Mitchell mine has improved, and the operation meets both present and foreseeable environmental standards. Process modifications at Reserve were designed to: •Reduce the pellet silica content from 9% to 5%; •Increase the pellet iron content from 62.5% to 65.8%; •Implement a tailings disposal system utilizing "best available technology" water quality controls; and •Reduce air emissions by installing "best available technology" air emission controls. By adding dry cobbing, fine screening, and flotation to the concentrating process, pellet silica content has been reduced; the process reclaims and reuses all process waters; all tailings are stored in a zero discharge tailings basin; and all air emission standards are being met. Initial Beneficiation at Silver Bay Reserve's Peter Mitchell mine at Babbitt, MN, is on the eastern end of the Biwabik iron formation. The open-pit mine is approximately 16 km long, 0.8 km wide, and presently has a maximum depth of about 50 m. Principal constituents of the ore body are magnetite, quartz, and iron-magnesium silicates. The company's large commercial plant began operating at Silver Bay, 75 rail km from the mine, in 1955. Facilities have historically had the capacity to process 31.5 Mt/a of taconite, containing an average 24% magnetic iron, into 11 Mt/a of iron ore pellets. Reserve's initial beneficiation process-which existed up to early 1979-consisted of two crushing stages at the Babbitt mine site, two additional crushing and screening stages at Silver Bay, grinding in a conventional rod-ball¬regrind mill circuit, size classification with cyclones, and concentration with magnetic and hydraulic separators. Concentrate produced by that circuit assayed 65% iron and 8.5% silica, with a screen analysis of 94% -44 µm, and a surface area of 9300 cm2/cm3. Pellets produced from this concentrate assayed 62.5% iron and 9% silica (dry basis). Construction began in 1977 to modify Reserve's operation. Process modifications were designed from pilot scale operations that had been operated and researched by Reserve for more than 10 years. There were two design restraints imposed on the process: economic constraints that Reserve continue to use much of the existing processes and structures in the new operation; and a substantial number of government-imposed permit constraints. In effect, the tailings process was designed first and then a concentrating process was developed that would "fit" the tailings disposal system. Operation of the modified process began in June 1980. Crushing Remains Unchanged No changes in process flow were made at either the Babbitt mine and crushing plant or at the Silver Bay fine crusher. Gyratory crushers reduce run-of-mine taconite to -90 mm-diam at the mine. Taconite is then transported to Silver Bay by intra-plant railroad. There are 10 fine crushing lines. Each consists of a double deck screen, followed by a heavy duty short head crusher, a second double deck screen, and second short head crusher. All screen undersize material bypasses the crushing lines, resulting in an open circuit crushing process. Fine crusher product is approximately 98% - 20 mm, 80% -12 mm, and 50% -10 mm in diameter. Each fine crusher line processes about 400 t/h of crude taconite. Cobbing Provides Aggregate for Tailings Dams The first major process change was the addition of dry cobbing, a dry magnetic separation step between the fine crusher and concentrator. Dry cobbing serves two major purposes in the new process. Its principal function is to provide large volumes of dry coarse aggregate for use in construction of tailings dams. This process rejects about 20% of the fine crusher product as tailings with a size analysis of 98% -20 mm and 50% - 10 mm. These tailings are free draining and have high frictional shear strengths-two key requirements for dam building aggregates. Fine crusher product is conveyed to a new dry cobbing building. Here crushed ore is discharged into one of two 30-minute capacity surge bins. Crushed ore is withdrawn by 12 constant speed conveyor belts; each discharges 500 t of crushed taconite into a dry cobbing machine. Each machine consists of a 3-m-long riffle splitter and two vari-

Jan 12, 1980

By Alejandro Prieto

Traditionally, Mexico has been a mining country. This industry has played a very important role in our country's development, creating jobs, integrating geographical regions - generally very remote from urban communities - and, an essential factor in our present day economy, generating an influx of foreign currency. The Fluorspar mining industry's development started in the 1920?s, but it was not until World War II that its exploitation became consistent and started growing. During the last few years, Mexico has become the world's leading producer, with an annual output of more than one million tons, which directly generates over 3,000 jobs. The actual proven reserves can guarantee fifty years of production at this same annual rate, and it is due to this fact that the producers have not increased their reserves. However, there is concrete information of the existence of several deposits, extending from the northern border to the gulf of Mexico, forming the "Fluorspar Belt? in Mexico.

Jan 1, 1986

By William Gleason

"During the past nine years the number of cellular phones connected to a network has increased from 34 percent of the world’s population in 2005 to 93 percent in 2014. These phones are powered by a combination of materials including elements such as gold, silver, copper and rare earths. And, as more parts of the world become connected to networks, the number of phones being produced, and the elements they will need, will continue to increase. The demand comes as prices for these commodities are slumping and access to the commodities is getting more difficult, technically and socially.These mobile devices have connected people around the world in ways that could not have been imagined two decades before, and, ironically, this communication has strengthened opposition to the development of the mines that produce the very materials they need to operate.In his keynote address to the 2014 SME Arizona Conference at the JW Starr Pass Resort in Tucson, AZ, on Dec. 8, 2014, John O. Marsden, SME President and president of Metallurgium, spoke to more than 500 attendees about the challenge to produce the materials that society needs while at the same time challenging the general public’s perception of mining that is often inaccurate and less than favorable.Marsden highlighted the amount of raw materials that will be needed not just for phones, but also for things such as automobiles, including electric cars, as a way to illustrate the importance of mining. Even so-called green products such as Tesla cars, which require about 317 kg (700 lbs) of aluminum, 13 kg (30 lbs) of copper and 36 kg (80 lbs) of cobalt for their eco-friendly batteries, will need materials mining provides.These are some of the numbers that the general public is often unaware of. They are part of the necessary things that mining provides for society but are rarely reported on. Instead, it is the accidents like the tailings spill at the Mount Polley Mine in British Columbia and at the Buena Vista Mine (Sonora, Mexico) that grab headlines and stick in the minds of the public, adding more challenges to an industry that already has its own complex technical challenges to deal with."

Jan 1, 2014

By B. McNulty

The Niblack polymetallic volcanogenic massive sulfide deposits are located on Prince of Wales Island in southeast Alaska, approximately 50 km southwest of Ketchikan. The property hosts a number of polymetallic volcanogenic sulfide occurrences within the folded Lookout rhyolite volcanic succession. The Lookout deposit is the primary focus of current resource delineation and contains an indicated resource of 4,136,000 tonnes at 1.13% Cu, 2.32 g/t Au, 2.27% Zn, 38.70 g/t Ag and an inferred resource of 1,736,000 tonnes at 1.09% Cu, 1.77 g/t Au, 2.02% Zn, and 25.52 g/t Ag as of March 2011. Sulfide mineralization is interpreted to have formed sub-seafloor, within permeable felsic fragmental volcanic rocks. Sulfide minerals of economic interest include chalcopyrite and Fe-poor, Zn-rich sphalerite. Of considerable importance, the Lookout deposit contains elevated gold that occurs as inclusions within the base metal sulfides.

Jan 1, 2012

By C. V. Deutsch, J. B. Boisvert, M. A. Cuba

The amount of information available for characterizing a deposit increases over time due to the continuous acquisition of data during mining. This additional information is collected from different sources, including geologic mapping, production data and infill drilling. Throughout the lifetime of a mining project, the block model and the mining sequence are periodically updated to account for this new data. In general, the acquisition of additional data increases the accuracy of the block model, reduces uncertainty in ore/waste limits and clarifies the optimal mining sequence. There has been extensive research on mine planning, but current techniques do not consider the decrease in uncertainty as additional information becomes available. Conventional paradigms assume either 1) the kriged model is correct and uncertainty due to multiple realizations does not change the mining sequence, or 2) the mining sequence is unrealistically adapted to each realization. A new paradigm is proposed for evaluating minable reserves of surface mining projects, which accounts for the acquisition of additional information in the design of the long term mine plan. Multiple scenarios characterizing the dynamic nature of mining and data collection are created. In the proposed methodology, the performance of the long-term mine plan depends on both mining and data acquisition strategies. Each scenario considers the same extracted volume for the first period, resulting in a set of scenarios that diverge from a common initial period, accounting for how the mine may develop over time as new data are acquired and provide a more realistic evaluation of reserves with an appropriate level of uncertainty. A synthetic example is presented to illustrate the implementation of the methodology and the benefits over conventional paradigms.

Jan 1, 2013

By Antonio Raschillà

On the 2nd of June 2007 SELI S.p.A. started the excavation of Beles Tailrace Tunnel (Ethiopia). The new 8,07 m diameter DS Universal TBM utilized for the tunnel excavation was manufactured by SELI S.p.A. and allowed the installation of 30 cm thick concrete lining, contemporaneously with the excavation of 7,200 m of tunnel. The greatest part of the tunnel alignment was excavated in hard and sound basal-tic rocks. The paper describes the main steps of the tunnelling operations which led to a remarkably rapid excavation, with a peak production of 36 m / day and a final break-through achieved 46 days ahead of the contractual deadline. Furthermore the paper describes the work and logistic organization that was set up to efficiently perform the mechanized excavation in the very remote area of the project.

By R. O. Burt

The paper examines the role of gravity concentration in both an historical contest and within the modern mineral processing industry. It discusses the principles of the process on both a theoretical and practical level. The importance of ore mineralogy and its effect on the choice of the wide range of equipment available is discussed. The paper concludes with a discussion on the relative merits of gravity concentration to other forms of processing and seeks to answer the classical question - "Quo Vadis?"

Jan 1, 1982

By J. C. Yingling

[New stochastic process models are developed to calculate the probability of various fill levels in section feeders as a function of vehicle interarrival times, payloads and feeder-discharge rates. These models may be utilized to establish the minimum feeder-discharge rate necessary to prevent a feeder, with a particular surge storage capacity, from constraining the section's production rate. In addition, it is shown how the output from these models may also be utilized to calculate the probability of various flow rates at junctions in the conveyor haulage network, enabling one to size gathering belts. The model provides a basis for optimizing, (in economic terms) capacity specifications for feeders and conveyor belts in the materials-handling system by considering tradeoffs in the size of the two types of units.]

Jan 1, 1997

By Daniel Tao, Jike Qiao, Hao Ren, Feifei Ji, Gonglun Chen

The floatation of niobite was studied using a number of collectors at various dosages and solution pH’s. Octyl diphosphonic acid was found to be an effective collector for niobite flotation with good selectivity. A flotation recovery of 91.2% was obtained with 140 mg/l octyl diphosphonic acid at pH’s less than 5.0. Infrared absorption spectroscopy (IAS) and X-ray photoelectron spectroscopy (XPS) were used to characterize the interactions of niobite with octyl diphosphonic acid. Species distribution diagram of octyl diphosphonic acid and niobium species was used to elucidate the flotation behavior of the mineral with octyl diphosphonic acid. A chemical adsorption mechanism of niobite with octyl diphosphonic acid was proposed. Keywords: octyl diphosphonic acid, electrokinetic measurements, niobite flotation, XPS.

Jan 1, 2005

By J. M. Wempen, R. D. WEYHER, M. K. McCarter

Beam theory is a proxy for the behavior of intact, deforming roof strata above underground openings. Strong, stiff, intact strata have the ability to store significant strain energy when underground openings have large spans, as is typical of longwall operations. When strata fail, they may release some or all of this strain energy. Released energy is partitioned between fracture, thermal and seismic energy. The tensile failure surface in simply supported beams is predicted to be free of shear stress. This prediction and the kinematic inability of crack slip during fracture make significant dissipation of energy by friction unlikely.  In this study, the failure energy partitioning of specimens from the Nugget Sandstone formation is examined. Tensile fractures in specimens were induced using three-point loading tests. Elastic waves emanating from fracture events were recorded using an array of accelerometers. Accelerometers were placed within two crack lengths of the fracture surface, and the acceleration records are similar to strong motion seismic records. Spectral analysis was performed and used to develop synthetic, well-behaved, acceleration signals. Synthetic velocity signals were used to estimate radiated seismic energy generated by fracture. These estimates of radiated seismic energy demonstrate a potential means to constrain the minimum seismic partition. Fracture testing was performed on additional samples to estimate the fracture toughness of the sandstone. Synthesis of this data demonstrates a potential means to constrain a maximum seismic partition. Bounding the seismic partition for this type of fracture event could aid the detection and evaluation of seismicity emanating from longwall operations. Having better information about the location and magnitude of mining induced seismicity within longwall overburdens could lead to better understanding of extraction sequencing and rock behavior in general. These energy estimates also support the hypothesis that dissipation of thermal energy by friction is small in bending tensile failure.

By Alessandro Navarra, Aldo Quelopana

Sophisticated models have progressively been developed to address the challenges related to long-term, openpit mine planning under conditions of geological uncertainty. Prior research has acknowledged that strategies for mine planning and the design of mineral concentrators are interdependent; thus, it is highly desirable to optimize them together. However, achieving detailed holistic optimization of the mineral value chain remains unresolved because of the inherent limitations associated with mathematical formulations and computational processing capacity. This paper details a method that contributes to bridging these limitations by employing a novel parallelized variable neighborhood descent approach combined with an embedded mass–balance component using linear programming techniques refined through Dantzig– Wolfe decomposition. This approach is exemplified through a case study of a gold deposit, which illustrates the enhanced performance capabilities of the new algorithm. The findings demonstrate significant improvements in the optimization process for mine planning, providing a stronger link between the mine’s output and processing plant’s capabilities.

Mar 1, 2025