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By Thomas A. Wheeler, Robert O. Keys

The choice of the flotation reagent that suits a particular coal has become more complicated with the development of new, more efficient reagents. Frothers and conditioning reagents, in particular, have experienced a dramatic reevaluation of their role in floating various types of coals. This paper offers a better understanding of how each of the following factors contributes to the reagent selection: 1. Natural Flotability 2. Degree of Oxidation 3. Size Distribution 4. Percent Solids in Feed Slurry 5. Fluctuations in Plant Feed 6. Limitations on Froth Handling 7. Clean Coal Specifications 8. Ash Content in Feed a) discrete ashable minerals b) inherent ashable minerals 9. Water Chemistry 10. Petrographic Composition of Coal 11. Free-Swelling Index 12. Convictions of Customer The application of conditioning reagents - both promoters and emulsifiers can substantially improve the coal recovery. Some low-rank, hydrophylic coal, previously considered unfloatable can be economically recovered with the use of the proper reagent.

Jan 1, 1986

By Xuchen Fan, Chenyang Zhou, Yuemin Zhao, Liang Dong, Chenlong Duan

A gas–solid fluidized bed using magnetite particles is an effective methodology for coal beneficiation in the field of dry coal cleaning. Broadening the size range of magnetite used in the bed decreases medium preparation cost. In this study, a tapered fluidized bed was used to investigate a magnetite particle size range of −0.5 + 0.074 mm. The results showed that a tapered fluidized bed effectively strengthens mixing of magnetite with a wide size range (−0.5 + 0.074 mm). The results of beneficiation experiments indicated that with increasing tapered angle, separation efficiency increased and then decreased. The highest separation efficiency was obtained at a tapered angle of 10°. The optimal results showed that the ash content of the concentrate decreased from 31.82% to 12.33% with a probable error of 0.11, which indicated that a tapered fluidized bed was efficient to improve fine coal beneficiation performance.

By S. Triantafyllidis

The tailings produced from the Kirki (Agios Filippos) high sulfidation epithermal deposit processing plant are laminated, weakly cemented and their particle size ranges from fine sand to fine silt. They are mainly composed of milling residues of gangue (quartz, dickite/kaolinite, pyrophyllite, illite); sulfides and secondary minerals (jarosite group minerals, butlerite, anglesite, beudantite and gypsum) are present to a lesser extent. They have high Pb and Zn (average 0.75 % and 0.57 % respectively) and low S (1.04 to 2.92 %), Cu, As, Cd, Ni and Sb content (average 248, 163, 59, 27, 20 g/t respectively). Stagnant waters forming small ponds on the surface of the impoundments exhibit low pH and high heavy metal and sulfate concentrations. Negative Net Neutralization Potential (NNP) characterizes the tailings, indicating moderate to high potential for acid generation. Application of the TCLP test revealed that the tailings are characterized as toxic because of the increased solubility of Pb and Cd. On the other hand, As TCLP solubility is very low.

Jan 1, 2006

By R. Klimpel

Recent work has shown that the measurement of flotation kinetics in the laboratory is useful in providing guidelines on how operating sulfide flotation plant performance can be improved. This work outlines the influence of various factors on flotation kinetics such as collector/frother type and concentration, particle size, and frother blending.

Jan 1, 1981

By A. Pomianowski

A spectrophotometric study of xanthate solutions alone and their mixtures with equimolar amounts of alkyl trimethyl ammonium bromide (CnTAB) has established the additivity of ultraviolet spectra (190 - 400 my) for potassium ethyl xanthate (KEtX) and C12TAB. No obvious effect of C12TAB addition on the decomposition rate of KEtX was observed. The kinetics of collector abstraction by copper, nickel and sphalerite powders were studied in 10-5 - 10-3M solutions of KEtX alone and in equimolar mixtures of KEtX and C12TAB. Presence of C12TAB caused a 2 - 3 fold increase in the amounts of xanthate (equivalent to many monolayers) abstracted by copper and, nickel powders but had no effect on the abstraction of xanthate by unactivated sphalerite. The adsorption of C12TAB itself from the mixed solutions was very low, at most ore monolayer only, and was not influenced by the nature of the solid powder used. The results are interpreted in terms of molecular associations and synergistic action of xanthates and quaternary amines.

Jan 1, 1963

"Mining of ore bodies that are located at great depths enforces long distances to move the excavated rock masses to the surface. The excavated rock mass contains not only ore that can be economically extracted from the face but also waste, which is usually discarded several steps further downstream in the process. As a result, a large amount of rock is transported to the surface, influencing the costs at which the ore is produced. Reducing the amount of waste rock being transported to the surface by introducing a near-to-face sorting plant would improve the in many cases strained transport system in the deep mine. In this study, one of Boliden’s cut-and-fill mines was analysed with respect to the challenges related to rock transportation and increasing mining depth. The study aims to evaluate the potential use of a new near-to-face sorting system in the operating underground mine. Discrete event simulation was used to study and analyse the rock transportation system with and without the near-to-face sorting plant. The paper shows how the underground rock transportation system and the production were influenced when the near-to-face sorting equipment was added into the current system. INTRODUCTION The locations of waste rejection in the mining processes and the cost of removing waste from the system compared with the cost and energy necessary for further comminution are important parts in the material handling system (Bowman and Bearman, 2014). In an underground mine, longer material transportation distances generate the need for further investment in the mobile fleet and ancillary equipment in order to reduce the waste from the material handling as early as possible. One of the ways of reducing the waste (coarse particle size) in material handling is by use of pre-concentration. The benefits of pre-concentration are well known (Schena et al. 1990; Feasby, 1995; Peters et al. 1999; Klein et al. 2002), as well as the factors governing the feasibility of underground pre-concentration (Peters et al., 1999) and the mining integration issues (Klein et al. 2003). In the Onaping Depth orebody in Sudbury, Ontario the study of implementing the pre-concentration resulted in increased capital costs of 6% and a reduction in the operating costs of between 20-40% (Bamber et al, 2004). In this paper, the effects on the production and the transportation system of implementing underground pre-concentration by means of a near-to-face ore sorting plant in the Kristineberg mine are modeled and analyzed using the AutoMod tool. This tool is based on discrete event simulation (DES) (Banks, 2004), allowing high flexibility in customization and enabling the user to view the production of the system before ore sorting plant integration. The sorting plant selected in the simulation is built from modules. The material is fed by conveyor and goes through the comminution, classification, sorting and service processes after which the waste is redirected to backfill headings via trucks. The system mechanically ejects the particles from the feed stream on the basis of the information obtained from both the XRT sensor’s signal and 3D laser scanner based on both density and rate of refraction of light within a particular mineral. The sorting plant could pre-concentrate the metal ore up to 300 mm size. The plant requires little auxiliary infrastructure, is easily modularized for underground installation and can be easily relocated to different areas."

Jan 1, 2016

By Norman E. Lehman

INTRODUCTION The Washington Camp - Duquesne mining district is located on the east flank of the Patagonia Mountains, 98 kilometers south of Tucson and within 5 kilometers of the International border (Figure 1). Since the development of high-grade silver and copper ores by settlers in 1862, the Washington Camp - Duquesne district has yielded an estimated 450,000 metric tons of ore. The mined ores averaged 8% zinc, 2% copper, 3% lead and 124 grams of silver. REGIONAL GEOLOGY The Patagonia batholith, of Laramide age, crops out in the core of the Patagonia Mountains intruding Precambrian granite, Paleozoic sediments and Mesozoic igneous, volcanic and clastic rocks. This granodioritic batholith lies in a northwest-trending zone of Laramide plutonic rocks, which can be traced for a distance of 320 kilometers from the Nacozari district in Sonora, Mexico to the Silver Bell Mountains west of Tucson, Arizona. Several major porphyry copper systems occur within this plutonic belt including the Red Mountain deposit found at the northern end of the Patagonia Mountains. Data from more than 80 mineral deposits within the Patagonia Mountains show metal zoning symmetrical to the Patagonia granodiorite (Graybeal, 1975). Disseminated copper-molybdenum deposits occur within the batholith. Pyrometa-somatic, limestone replacement and vein deposits of copper, lead, zinc and silver occur in the wallrocks adjacent to the. granodiorite and epithermal manganese-silver deposits occur at the outer periphery of economic mineralization. GEOLOGY OF THE WASHINGTON CAMP - DUQUESNE DISTRICT Stratigraphy Nearly 900 meters of miogeosynclinal Permian and Pennsylvanian sediments are exposed in the district (Figure 2). In addition, 700 meters of older Paleozoic rocks crop out 6 kilometers north of the district. The Paleozoic rocks occur in fault contact with a sequence of Triassic-Jurassic pyroclastic and flow rocks, ranging in composition from latite to rhyolite.

Jan 1, 1977

By R. E. J. Putman

Rising demand, artificial market conditions, increased overseas competition, and a fluctuating international situation have brought ever increasing pressures to bear on the nonferrous metals industries, and particularly in the United States, Although capacity is being expanded by the construction of new plants and the development of new ore deposits, increasing attention is being focused on the possibilities of improving the performance of the existing installations and of getting the most out of the new equipment now installed. At first sight the task appears formidable. Based on raw materials which are nonhomogeneous, and possessing characteristics which are hard to quantify, even the processes by which the values in the ores are concentrated and extracted are in many cases not fully understood. The necessary analytical equipment and transducers demanded by these industries have also been slow in development and their earlier absence has hampered the application of modern control technology, This is reflected in plants which have been designed for ease of manual rather than automatic control, and in which the application of control techniques at first sight appears economically prohibitive. However, in any industry progress often comes only in small steps, It may be that by the wise choice of limited objectives and perhaps only partial solutions, substantial improvements in plant performance can be implemented now, and with only a modest investment. If modern control equipment is chosen of the type which can be reprogrammed, advantage can be taken later of more sophisticated solutions as the technology of the industry advances. This task of improving plant performance can and must be commenced even though our knowledge is incomplete. The experience of a related mineral consuming industry, with similar problems in the past, can be encouraging.

Jan 1, 1967

By D. McElhinney, K. Mohamed, T. Batchler, T. Matthews

Steel props are a type of standing support utilized in coal mines to support mine roof. In addition to the vertical roof loading, sometimes the steel props are subjected to lateral loading of spalled ribs. To enhance the safety of mine workers, the performance characteristics of the steel prop was studied under different scenarios of vertical and lateral loadings. Quik Stik props were used for use in this study. A uniaxial compression loading test was conducted for the Quik Stik prop assembly (inner and outer tubes, ball bearings, collar) to investigate the loading mechanism of the prop. Rupture tests were conducted for the inner and outer steel tubes of the Quik Stik props to estimate the yielding strength of the steel tubes. Nine Quik Stik props of 8-ft high were tested using the Mine Roof Simulator (MRS) at the National Institute for Occupational Safety and Health (NIOSH) Pittsburgh research facility. Three props were tested under vertical loading to measure the vertical loading capacity of the props. Six props were tested under lateral loadings with low and high roof-to-floor convergences to measure the lateral loading capacity and the retained vertical loading capacity of the props during lateral loading. Vertical loading tests showed that the tested props could be classified as yieldable supports with a stable load capacity of about 110 kips to 140 kips. Lateral loading tests showed that the vertical load capacities of the tested props were diminished because of applying lateral loads, and the props behaved as nonyielding supports with a maximum lateral load capacity of about 8.5 kips to 9.5 kips at stable lateral displacement up to 3 inches.

Feb 1, 2023

By Osamu Nishikokura, Jumpei Yamashita, Darrell Liebno, Malcolm Sheehan

"The Eglinton-Scarborough Crosstown Project builds a 19km LRT corridor that includes a 10km underground portion, between Keele Street and Laird Drive. The West Tunnel Contract (ECLC1-15) includes 6.5km of twin EPB TBM bored tunnels with a 5.75m internal diameter precast concrete segment lining (PCTL), between Keele Street and Yonge Street. This paper summarizes the overall scope of work, the technical challenges faced and innovative solutions developed by the contractor during the TBM move across an existing subway tunnel using state of the art high capacity strandjack gantry crane.1. PROJECT OVERVIEW The Greater Toronto and Hamilton Area (GTHA) is Canada’s largest urban region, populated with over 6 million people, and is one of the most rapidly growing regions in North America. One forecast estimates that the population of this region will increase to 8.6 million by the year 2031. In September 2008, Metrolinx, an agency of the Government of Ontario, launched a 25-year regional transportation plan named “The Big Move” to cope with the expected increase in transportation demand. The Eglinton-Scarborough Crosstown, one of the projects included in “The Big Move”, is a light rail transit (LRT) that will run across Toronto in an east-west direction between Mount Dennis and Kennedy along Eglinton Avenue. In October 2012, the West Tunnel Contract of the Crosstown LRT (ECLC1-15) was awarded to Crosstown Transit Constructors (CTC), a joint venture between Obayashi Canada Ltd., Kenny Construction Company, Kenaidan Contracting Ltd. and Technicore Underground Inc. The project includes approximately 6.2 km long twin bored tunnels, 9 cross passages, 1 emergency exit building, 7 sets of station headwalls, and an intermediate pair of extraction and launch shafts. Each of 6.5 km long twin tunnels are divided by the existing subway station into two drives: the first half from the launch shaft LS-1 (west of Keele Station) to the extraction shaft ES-1 (west of Eglinton West Station), and the second half from the launch shaft LS-2 (east of Eglinton West Station) to Yonge Station, as shown in Figure-1. The TBMs are extracted at ES-1 and moved to LS-2 over the existing Yonge-University Subway Line at Eglinton West Station before resumption of tunneling at LS-2."

Jan 1, 2016

By Boris CARO VARGAS, Bernard Theron

"In early 2014, Nicholson Construction Company was awarded, together with its tunneling sister company Bessac, the Norris Cut Miami Tunnel Project. The 2.5-meters diameter segmental lined tunnel, 1600-meters long, is aimed to replace the existing 54” force main connecting the Waste Water Treatment Plant (WTP) on Virginia Key to Fisher Island. To overcome project challenges such as the highly permeable limestone of the Fort Thomson Karstic Formation (one of the most permeable formation in the World), the project team has developed State of the Art solutions: The TBM was launched with pipe-jacking technique for the first 70-meters and then converted to segment erection mode. It allows substantial schedule savings and drastically reduces the size of the circular launching shaft. The TBM, jointly designed and manufactured by Bessac and Herrenknecht, can convert from slurry to EPB mode within a few minutes. The cutters can be replaced by wet divers thanks to an innovative application in the TBM industry. PRESENTATION OF THE PROJECT The aim of this project is to replace the existing 54-inch force main pipeline which transmitted all sewage collected from Miami Beach, Surfside, Bal Harbour, Bay Harbor, North Bay Village and Fisher Island to the Central District Wastewater Treatment Plant (CDWWTP) to Fisher Island. The existing pipeline consisted of pre-stressed concrete cylinder pipe which is in poor condition in a number of locations and could be subject to sudden failure. An adjacent portion of this existing force main under the Government Cut (North Fisher Island) has already been replaced as part of a previous design-build contract and involved the installation of a 60-inch diameter fiberglass-reinforced mortar pipe installed inside a micro-tunneled casing."

Jan 1, 2016

By H. J. Bickel

This paper is concerned with general concepts and statistical devices used in projecting overall energy requirements. Particular emphasis is given to the use of individual end- use markets as an approach to developing future overall energy requirements, and translating these requirements into fuel consumption.

Jan 1, 1962

By Volkan Arslan

This study aimed to remove the contaminants in quartz sand by using an eco-friendly method and to obtain high-purity quartz. For this purpose, ultrasound-assisted acid leaching was applied. Equal amounts of a mixture of diluted hydrochloric and oxalic acids were used as the solvent. Response surface methodology (RSM) was used for optimizing, modeling, and predicting the experimental parameters. The correlation coefficient ( R2) of the proposed quadratic model for the relationship between iron removal yield and test parameters was calculated as 0.9731 and it was determined that the predicted and actual values were compatible. Finally, optimization experiments were made and optimum experiment conditions were revised and determined as 83.38 °C of leaching temperature, 196.35 min of leaching time, 2.86 M of acid concentration, and 202.24 W of ultrasound power. Under the optimum conditions determined after optimization, the highest yield of iron removal was determined as 95.08%. Under the optimal parameters, the SiO2 content of the concentrates increased from 97.841 to 99.907% and the Fe2O3 content reduced from 0.225 to 0.011%.

Jul 12, 2021

By Farzad Moradpouri, Kianoush Barani, M. R. Azadi

The aim of this paper is to assess the effect of microwave treatment on copper sulfide ore for ball milling and bed breakage. Liberation analysis of ground products in eight size fractions showed that microwave pretreatment liberated more chalcopyrite particles from the bed breakage product than the ball mill product. In bed breakage, microwave pretreatment caused a 2% increase in chalcopyrite liberation on average. Microwave pretreatment produces more elongated particles in ball milling and more rounded particles in bed breakage, respectively. Microwave pretreatment produces coarser chalcopyrite particles with a wide range of sizes. This effect is more significant in bed breakage compared with ball milling. Micro-flotation test results showed that in ball milling, treated and untreated materials have similar metallurgical performance and there is a little difference (1%) between the average Cu recovery values. However, in bed breakage, the average recovery for the treated materials is about 5% higher than the untreated materials.

Jul 8, 2021

By Jamal Rostami, Manso Deen Sesay, Sydney Slouka, HUGH MILLER, Anshuman Mohanty, Midhat Sajad, Kun Zhang

The lack of progress in controlling pulmonary diseases such as pneumoconiosis cases in recent years necessitates additional studies on dust generation and the characterization of airborne dust. Studies are underway by a NIOSH-sponsored project to observe the characteristics of the dust generated by pick cutters under various wear levels. This research performed a full-scale linear-cutting-test matrix on eight coal samples with various bit penetrations, spacing, and wear conditions. The specific energy and resulting PSD (particle size distribution) of airborne dust and material left at the cutting surface were measured and analyzed. The dust concentration was determined using the NMAM (NIOSH Manual of Analytical Methods) 0600 method. For fines, the PSD was characterized using Laser Diffraction, measuring percent channel and aerodynamic diameter, while Imagej, a virtual sieving application, was used for larger particles. The results show that for a new bit, as the cutting depth and spacing increase, the specific energy and dust generation decrease. The size and shape of the dust particles have been analyzed, and the observed trends are discussed in this paper.

Feb 1, 2025

By A. Moergeli, Philip Sander, John J. Reilly

"Estimating and managing the costs of complex infrastructure projects – in the planning/design and construction phases, for both owners and contractors – has been a challenge for decades. The more complex and technologically advanced the project, the greater the uncertainty, including potential risks that are important to owners and contractors, such as:• Cost risks to owners – meeting budget and schedule, maintaining public credibility.• Cost risks to contractors – profit, consequences of loss, impacts to reputation/future work.This concern has been addressed in various ways by the underground construction industry for some time (Reilly, 2001). In particular, while significant advances have been made in cost estimating for the planning and design phases (Reilly et al., 2004), that are important to agencies and political decision-makers, it is not apparent that these advances have been widely adopted for construction cost estimates. The reasons for this may relate to lowbid considerations – any method that tends to increase the contractor’s cost estimate, by including risk or likely costs, could lead to an erosion of the contractor’s competitive position – if others are not similarly required to include such costs.Different cost estimating methods produce different levels of information. Specifically, there is a large difference in the character and depth of information if a deterministic (quantities times price plus a contingency) and risk-based cost methods are used. It is this difference in character and depth of information that is the reason that risk-based cost estimating has potential value for owners and contractors. Figure 1 presents hypothetical cost results from deterministic and risk-based methods and illustrates some of these differences.In Fig. 1, the results for deterministic and risk-based cost estimates are given related to the potential profit or loss for a typical project. As is evident in this example, there is significant potential for costs to be realized that are higher than the proposal/bid value estimated using a deterministic approach, with a 15 percent probability of a loss. There is a 30 percent probability that the project will have a reduced profit. There is a 55 percent probability that the project will return a good profit. Using a risk-based approach, it is possible to better recognize this potential outcome in the bid phase and, as a consequence, develop a strategy to:"

Apr 1, 2016

By Clement K. Chase

Since the dam of cyanidation leaching techniques for precious metals, certain manganese-bearing silver ores have been a problem due to low silver extractions. Since simultaneous occurrence of silver and manganese is common in nature, this situation has made many otherwise attractive silver deposits uneconomic in the past. Several older techniques have been useful but at $1.29 per ounce of silver, the economics were unfavorable. With the new look in silver prices and some improvements in processing technology, neglected silver districts offer new promise.

Jan 1, 1981

By J. F. Burr, D. Snyder, W. Calder

"INTRODUCTION “Explosion protection” refers to techniques used to minimize the potential for electrical and electronic equipment to create an ignition while operating in a hazardous location (HAZLOC). In particular, U.S. coal mines are required to use equipment in certain areas of the mine that has been approved by the Mine Safety and Health Administration (MSHA) for use in a methane and coal dust environment to limit the risk of the equipment creating an ignition-capable spark or a thermal energy ignition. In general, MSHA’s regulations for explosion protection recognize two techniques: the use of explosion-proof enclosures (XP boxes) and 2-fault intrinsic safety for electrical and electronic equipment. For 2-fault intrinsically safe (IS) equipment, the U.S. mining industry requirements are unique in that the equipment is certified by MSHA. The criteria MSHA uses to evaluate equipment for intrinsic safety, as required by Title 30 of the Code of Federal Regulations (30 CFR) [30 CFR, Sections18.20(b), 18.68(a)(1), 19.1(b), 20.1(c)(2), 22.6, 23.6, and 27.20(a)], is published in a document referred to as ACRI2001 (1). Outside of U.S. underground mining, many industries and countries accept equipment that is designed to a consensus-based international standard (ANSI/ISA 60079-11 is the U.S. version). The purpose of this study is to provide an overall assessment of the ANSI/ISA 60079-11 standard on 2-fault intrinsic safety and the MSHA ACRI2001 acceptance criteria, and determine if the ANSI/ISA document can be an alternative to ACRI2001 while maintaining an equivalent or better level of safety for miners. There are many drivers for this study. First, immediately after the 2006 MINER Act (2) was passed, there was a perception in the industry that the unique MSHA requirements were contributing to delays or restricting the availability of equipment to meet the requirements of the Act. Additionally, the MINER Act required that mine operators submit an accident response plan for MSHA approval, to be reviewed every six months. MSHA is required to determine if these plans reflect the most recent credible scientific research and make use of currently commercially available technology. There is a concern, as expressed in a recent National Academy of Science (NAS) study (3), that the unique requirements for U.S. mining may be limiting the technologies available to coal miners and technology options for mine operators. Accordingly, the study recommended that the National Institute for Occupational Safety and Health (NIOSH) and MSHA re-examine their technology approval and certification processes to ensure they are not deterring innovation, and explore opportunities to cooperate with other international approval organizations to harmonize U.S. and international standards without compromising safety. Lastly, the National Technology Transfer Act (NTTA) and the accompanying Office of Management and Budget’s OMB-119 circular mandate the use of consensus-based standards by federal agencies. However, for U.S. mining operations, MSHA cannot accept such standards unless a determination is made that such standards provide an equivalent level of protection for the miner, per the requirements of the 1977 Mine Act, the 2006 MINER Act, and 30 CFR Part 18 regulations."

Jan 1, 2017

By Kenneth A. Grace

Introduction The 1980s have not been kind to the mining industry, especially in the United States. As mineral commodities prices plunged, marginal producers were squeezed out and then major players were forced to cut back or close down operations. Base metal miners suffered the most. Gold was all that glittered. As had been the case throughout min¬ing's history, exploration activity was an early victim of these depressed conditions. Mining companies had to economize drasti¬cally and exploration was deemed a nones¬sential activity. Funding for new explora¬tion ventures dried up as mining was seen as a poor investment. A national magazine even proclaimed the death of the industry. Indeed, ignoring matters of independ¬ence of supply and the relationship of min¬eral production to national security, it was argued that mining was but a small cog in the overall scheme of things in the United States. The industry made a relatively small contri¬bution to the gross national output. We were becoming a service industry economy, re¬member? But what of those countries where mining plays a major role in the economic well-being? In some, mining is the national economy. In a few specific cases, special conditions actually brought prosperity. Copper production in Chile is one example. There, high grade copper, low production costs, and a technically advanced industry reaped the benefits of mine closures else¬where. In most other cases, however, par¬ticularly in the lesser developed countries, whole economies were devastated. This article will show what one major mineral producer, Canada, did to ensure the survival and even growth of its minerals exploration activity during these lean years. Background While Canada is among the world's mining leaders, mining is not its dominant industry. Still, it plays a far more important role than in the United States. It is a major earner of foreign exchange, currently accounting for about 25% of the total value of exports. Through spinoffs and a multiplying effect, it is a significant employer. In the far north, particularly, mining is the major nongovernment industry and a leading factor in the opening up of frontier territory. The industry cannot be allowed to die because it is often the main economic underpinning for vast, remote areas. Thus, exploration for new deposits cannot be cur¬tailed significantly without it having a long¬term negative impact on the very fabric that melds such a large, sparsely-populated ex¬panse of country into a nation. Over the years, Canadian governments have employed various means to encourage the development of new mines. Often, these incentives were tax-oriented, such as the three-year income tax holiday that applied to new mines in the 1950s and 1960s. The advantage of the tax connection is that any such incentive policy can be applied across the board to the 10 provinces and two territories that make up the federation of Canada. This is important because mining, except for the two federally-administered northern territories, comes under provincial government jurisdiction. Mining taxation is a complex give-and-take between the central and provincial authorities. In Canada, expenditure on mineral exploration is an allowable cost against reve¬nue for tax purposes. This works well pro¬vided there is some revenue from which to deduct. New exploration companies, those with no income from mining activities, de¬rive little benefit from this type of tax provi¬sion. Similarly, in times of depressed prices and reduced or nonexistent profits, the tax deductibility of exploration spending loses its value even for the major mining compa¬nies. To encourage exploration in Canada during the lean years, a different sort of incentive was required. The instrument used during the 1980s was again tax connected. It became known as flow-through financing or, simply, flow-through shares. When it assumed its final shape, it worked dramati¬cally. Flow-through shares Flow-through shares are so-named because they permit tax benefits earned by a corporation to 'flow-through' to the share¬holder. Basically, when an investor buys a flow-through share and the proceeds de¬rived by the company from this transaction are used for Canadian exploration, the in¬vestor can claim a deduction for tax pur¬poses as if the exploration expenditure was made by him personally. Flow-through shares go back to the early 1970s when Canada revamped its mineral income tax law. At that time, it permitted full deduction of exploration and development expenditures and provided for an automatic depletion allowance of one¬ third of operating profits from mining. There was also the three-year income tax holiday for new mines. New legislation replaced the depletion allowance with an earned depletion arrange¬ment whereby one dollar of depletion was earned for every three dollars spent on ex¬ploration and development. This earned depletion was `banked' during a transitional period (to 1974). After that it could be deducted from resource profits up to a maximum of 25% of such profits in any one year, with the excess carried forward. To promote exploration and mine de¬velopment in Canada, the earned depletion allowance plus the continued deductibility of exploration and development expendi¬tures permitted the recovery of risk capital before taxation. The three-year tax holiday, however, disappeared. Also, mining com¬panies that did not reinvest in exploration lost the depletion allowance benefit.

Jan 1, 1989

By Jr. Goller

You and I can visit cement plants, inspect the various rotary kiln systems and find some equipment or some burning techniques that waste energy--fuel and power. After we have made such a visit and studied a few ideas, we could recommend ways to eliminate much of this waste. Probably every idea would cost money to bring into action. For our discussion, let us arbitrarily set an upper limit of $1,000,000 on the recommendations that we are allowed to make. Call these "low-cost" or "short-term" measures. They are improvements that do not require more than say, three months to complete; they do not require a major revision to the process. Other recommendations are "high-cost" or "long-term"; they are outside the scope of this discussion. Some of our "low-cost" recommendations would offer a satisfactory return on the money that they cost; the remainder would not. Now, is there some way that we can rather quickly pick out the "low-cost" measures that will show a satisfactory return and spend our time making these improvements first? Can we separate these items from those where the return is less likely to be good? I feel that we can pick some of these items quickly if we have a kiln system that has consistently non-uniform day-to-day operation. If the operation is uniform we probably cannot pick them quickly.

Jan 1, 1977