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By A J. Jonaitis

The DENVER Tube Press is a simple, high pressure (1500 PSI (100 bar» filtration unit, developed for processing difficult-to-dewater materials and to produce a handleable filter cake and clear filtrate product. Lab and pilot testwork conducted in Australia on coal fines (55-70\ -35 micron (400 mesh)) have shown that total moisture contents of less than 20\ are consistently achieved in the final cake products from the Tube Press. Currently, these coal super fines are sent to waste due to uneconomical mechanical dewatering methods, which were only able to reduce total moisture levels in excess of 30%. Calculated, throughput rates for the 500 Series Tube Press exceeded 1700 kg/hr (3750 lbs/hr). Feed solids concentration requirements are between 45 and 50\ to achieve these results.

Jan 1, 1993

By T. W. Camm

One function of the U.S. Bureau of Mines is assessing potential economic impacts of federal land withdrawal policies. This often requires performing economic ana1ysls for an area with limited geologic information available. Input to the economic decision process relies heavily on estimates of mine and mill costs for the potential resources in the area being considered. A methodology for performing these cost estimates was needed to address this situation.

Jan 1, 1992

By Subhash Sethi

The WIPP (Waste Isolation Pilot Plant) Project near Carlsbad, New Mexico. is a research and development project sponsored by the U.S. Department of Energy, designed to demonstrate the safe disposal of radioactive waste. A mine (repository) is being developed 2150 feet below the surface in a thick salt bed, which will serve as the disposal medium. The underground ventilation system for the WIPP project was originally designed based on a fixed project scope. The design criteria and ventilation requirements were developed for the performance of various activities as then envisioned towards the achievement of this goal. However, in light of new information and actual site-specific experience at WIPP leading to a clearer definition of the scope-related programs and activities, it was realized that the existing ventilation system may need to be modified. A re-assessment of the ventilation requirements--based on the current status of the facility and a clearer definition of the scope of the experimental programs, waste storage methodology, mine developmental activities. and current equipment list--indicates a two- fold increase in underground airflows from 210,000 cubic feet per minute (cfm) to 425,000 cfm. Various options to provide the increased airflow to the underground facility were considered and analyzed. Based on the techno-economic analysis, safety and environ- mental considerations, and other conditions unique to a facility like WIPP, it was decided to construct a new shaft to serve as the primary fresh air intake, along with the installation of additional fans in parallel with the existing set up. Low cost and the ease with which the new design could be implemented and integrated into the existing ventilation system with minimum impact on current activities and projected schedules were the guiding factors in designing the shaft and related ventilation modifications.

Jan 1, 1987

By Vernon N. Cox

From comments and questions concerning the meaning of USNR, and "why is the Navy in the mining business?" I believe it is worth while to establish the background and purpose of our company. We are a stock company formed by the purchase and reorganization of a company known as the U. S. Natural Gas Corporation. In May 1969, a group of investors with Mr. Robert L. Katz as president and chief executive officer, created United States Natural Resources, Inc., to develop and purposively use our Natural Resources in four areas: 1. Mines and Minerals 2. Forest Products 3. oil and Gas 4. Recreational Lands As final proof that we are not a government organization, I simply state. "We pay taxes." The mining division was formed in October 1969, with the completion of the merger of USNR and Vibration Measurement Engineers, Inc., Of Evanston, Illinois. Throughout the industry we were known as "VME," our company supplied consulting service in the field of seismic energy control, mining consulting and. we operated drilling, blasting and, contracting organizations in several areas of the country. Since that time we have developed and acquired producing properties in Quarrying, Coal Mining and Cement Copper Production.

Jan 1, 1971

The 86th Annual Meeting of the SME Minnesota section/74th Annual University of Minnesota Mining Symposium partnered with the Canadian Institute of Mining Metallurgy and Petroleum (CIM)?s Iron Ore Symposium for a historic joint conference, held this year in Duluth, MN, April 15- 17. One of a flurry of recent collaborations between SME and CIM, the joint conference was a natural fit for the conference held in the heart of the Iron Range. As CIM National President Terence Bowles said in his joint keynote with SME President Jessica Kogel, ?The U.S. imports $51 billion from Canada and Canada imports $38 billion the U.S.; that?s 50 percent of Canada?s exports and 51 percent of its imports.? The two countries? economies are linked, and nowhere more closely than in their iron ore mining activities. Kogel opened the conference with a plenary speech identifying the top 10 issues facing mining and how these issues present opportunities for mining companies. She said that it is important that the mining industry stay flexible and adapt to changing conditions, or it will go the way of the dinosaur. However, she said that these challenges can lead to new opportunities. For example, one of the major challenges facing mining is the current state of risk aversion among investors, which makes for ?less money in the pipeline.? However, this situation creates a better climate for mergers and acquisitions, which is another, less risky way to get funding. Likewise, another challenge globally is geopolitical risk; this challenge is likely to drive growth toward stable countries, which was good news for an audience composed mostly of Minnesota and Canadian mining industry personnel. One of the highlights of Kogel?s address was a triangle illustrating the interdependent nature of sustainable development and corporate social responsibility (Fig. 1). This triangle consists of four equal components: the social environment, transparency, local and global impact and future generations. The most important takeaway, Kogel said, was that sustainable development and environmental and social responsibility, while they do add to the cost of doing business, are no longer optional.

Aug 1, 2013

By Stephen B. Castor

The rare earth elements (REE) which include the 15 lanthanide elements (Z = 57 through 71) and yttrium (Z = 39) are so called because the elements were originally isolated in the late 18th and early 19th centuries as oxides from rare minerals. Most REE are not as uncommon in nature as the name implies. Cerium, the most abundant REE (Table 1), comprises more of the earth's crust than copper or lead. Many REE are more common than tin and molyb¬denum, and all but promethium are more common than silver or mercury (Taylor, 1964). Promethium (Z = 61) is best known as an artificial element, but has been reported in very minute quantities in natural materials. Lanthanide elements with low atomic numbers are generally more abundant in the earth's crust than those with high atomic numbers. In addition, lanthanide elements with even atomic numbers are two to seven times more abundant than adjacent lan¬thanides (Table 1) with odd atomic numbers. The lanthanide elements traditionally have been divided into two groups: the light rare earths (LREE), lanthanum through eu¬ropium (Z = 57 through 63); and the heavy rare earths (HREE), gadolinium through lutetium (Z = 64 through 71). Although yttrium is the lightest REE, it is usually grouped with the HREE to which it is chemically and physically similar. The REE are lithophile elements (elements enriched in the earth's crust) that invariably occur together naturally because all are trivalent (except for Ce+4 and Eu+2 in some environments) and have similar ionic radii. Increase in atomic number in the lanthanide group is accompanied by addition of electrons to an inner level rather than the outer shell. Consequently, there is no change in valence with change in atomic number, and the lanthanide elements all fall into the same cell of the periodic table. The chemical and physical differences that do exist within the REE group are caused by small differences in ionic radius, and generally result in segre¬gation of REE into deposits enriched in either light lanthanides or heavy lanthanides plus yttrium. The relative abundance of individual lanthanide elements has been found useful in the modelling of rock-forming processes. Comparisons are generally made using a logarithmic plot of lanthanide abundances normalized to abundances in chondritic (stony) meteorites. The use of this method eliminates the abundance vari¬ation between lanthanides of odd and even atomic number, and allows determination of the extent of fractionation between the lanthanides because such fractionation is not considered to have taken place during chondrite formation. The method is also useful because chondrites are thought to be compositionally similar to the original earth's mantle. Europium anomalies (positive or negative departures of europium from chondrite-normalized plots) have been found to be particularly effective for petrogenetic modelling. REE were originally produced in minor amounts from small deposits in granite pegmatite, the geologic environment in which they were discovered. During the second half of the 19th century and the first half of the 20th century, REE came mainly from placer deposits. With the exception of the most abundant lanthanide el¬ements (cerium, lanthanum, and neodymium), individual REE were not commercially available until the 1940s. Since 1965, most of the world's REE have come from two hard rock deposits: Mountain Pass, United States, and Bayan Obo, China. GEOGRAPHIC DISTRIBUTION OF REE DEPOSITS More than 70% of the world's REE raw materials come from three countries: China, the United States, and Australia. China emerged as a major producer of REE raw materials during the 1980s, while Australian and United States market share decreased dramatically (Fig. 1). Table 2 gives recent annual production figures along with estimated reserves by country, and Fig. 2 shows loca¬tions of significant REE mining. MINERALS THAT CONTAIN REE Although REE comprise significant amounts of many minerals, almost all production has come from less than ten minerals. Table 3 lists minerals that have yielded REE commercially or have po¬tential for production in the future. Extraction from a potentially economic REE resource is strongly dependant on its REE miner¬alogy. Minerals that are easily broken down, such as bastnasite, are more desirable than those that are difficult to dissociate, such as allanite. In general, producing deposits contain REE-bearing min¬erals that are relatively easy to concentrate because of coarse grain size or other attributes. For more thorough discussions of REE¬bearing minerals see Mariano (1989a) and Cesbron (1989).

Jan 1, 1994

By W. C. Carter

In mid 1978 Inland Cement Industries Ltd. brought on-line their new one million megagram (Mg) per year cement plant at Tilbury Island, Delta, British Columbia. The Plant--Its Philosophy of Design The design of this plant began in 1974, at the beginning of the rapid rise in petroleum costs later referred to as the "energy crisis". The trend in fuel costs was clear, so one of the basic criteria for the selection of process equipment was high thermal efficiency. Throughout the process of selection of materials handling and process equipment, energy consumption was a factor in decisions. A second factor which influenced the design of the plant was its location on navigable water. The plant is designed to make maximum use of this means of transport to minimize transportation costs. All raw materials (and some fuel) are received by water, and a major portion of the cement and clinker is sent out by barge. Extensive modern dock and material handling facilities were provided to accomplish the shipping and receiving functions. A plant meeting stringent environmental regulations was the third major factor which formed the basis for design. To meet this requirement, all storage facilities had to be covered, 53 bag type dust collectors were applied throughout the plant, and materials handling equipment was designed to minimize dust and spillage.

Jan 1, 1979

By D. W. Fuerstenau

The flotation behavior of quartz in the presence of alkyl ammonium acetates as a. function of alkyl chain length has been interpreted in terms of hemi-micelle formation at the solid-liquid interface. The van der Waals cohesive free energy that is responsible for hemi-micelle formation has been found from these results to be 1.02 kT per CH group. This 2 is in excellent agreement with literature values obtained from research on the properties of micelles in bulk systems.

Jan 1, 1964

By William T. Ingram

Early in the 60's the author served as Chairman of the Engineering Foundation's Coordinating Committee on Air Pollution Research. One of our objectives was the development of a study on the measurement of stack emissions. Three publications of the Foundation resulted from these efforts to focus attention on the stack sampling problem.1,2,3 Two of these were annotated bibliographies covering 197 references. The third reported the results of a workshop meeting at which some 21 individuals from research institutes, industry and government discussed the possible and probable areas of research that would add to or increase the ease, precision and utility of sampling gaseous and particulate matter emitted from stacks. The American Society of Mechanical Engineers has had in its Power Test Codes a Standard Code for Determining the Dust Concentration in a Gas stream4 since 1941, The American Industrial Hygiene Association has published, in its Air Pollution Manual,5 a Section on Stack Sampling. Industry and regulatory agency requirements for stack sampling have utilized some modification of the alternatives in methodology. There has been ho single guide to stack sampling that met the needs of those who have the need to know.

Jan 1, 1970

By James C. Cobb

Middle Pennsylvanian (Desmoinesian) coals of certain areas of the Illinois and Forest City Basins contain epigenetic sphalerite and associated minerals in veins, clastic dikes, cleat, and other small-scale structural features. The presence of sphalerite in these coals records information about the geology of coals and coal basins, and represents a potential source for zinc as a byproduct of coal production. Origin of Sphalerite in Coal The origin of sphalerite in coal suggested by Cobb (1) involves sphalerite precipitation from zinc-bearing ?Na-Ca-Cl brines upon contact with sources of sulfur in the coal bed, e.g., pyrite, H2S, and organic sulfur. These brines were essentially at the temperature of the host coals as determined by fluid-inclusion thermometry and vitrinite-reflectance studies. The migration of these brines into coal beds may have been caused by compaction of sediments due to continued sediment loading of the coal basins. Zones of high permeability such as sandstones and the coals themselves presumably acted as conduits for the movement of the brines. The open spaces where sphalerite was deposited resulted from minor deformation associated with differential compaction and cleat formation enhanced by volume shrinkage during coalification.

Jan 1, 1982

By K. Anim, C. Calderon-Arteaga

Located in Mojave, CA, The Soledad Mountain mine is an Open pit Heap-Leach gold Mine, which is operated by Golden Queen Mining Company LLC. under private capital. Open pit mining began in 2015 while full production was reached in 2016. The open pit mine feed a processing plant that can process more than 13K tons per day of ore which is sent to a heap leach pad. The Soledad Mountain project is a poly metallic deposit with Au and AG being recovered as payable metals. As the mine became bigger after moving to the east pit phases, Golden Queen was facing new challenges to control the production and accurately determine KPIs to improve/increase the production. To maximize returns and asset value, a new fleet management system (FMS) was adopted and implemented. The new FMS has enabled the mine to interconnect the different stages of the mining, as well as to recognize issues and implement the necessary corrections. With the associated increase in complexity in the process, the requirement of the ore control system to accurately predict ore feed characteristics is critical to maximizing metal recovery. Implementation of new daily and weekly plans were needed to ensure the ore delivery and meeting the tonnage goals, while allowed the equipment operators to better geolocate and to maximize the equipment production. These conditions alongside with Golden Queen’s drive to increase profitability and maximize net asset value has created challenges. These challenges are numerous and multifaceted. However, the ability to accurately route the material from the mine, is critical to site success and some of these challenges have been overcome by the adoption of the new FMS, the implementation of daily and weekly plans and upgrades in the ore control workflow. Examples of how the integration of the new systems allowed golden Queen to improve production strategy, are discussed in this article.

Mar 2, 2022

By Harry R. Asche, Manfred K. Lechner

The Cross City Tunnel comprises 2km of a new underground traffic route in Sydney, Australia. The route is very complex, involving some six separate tunnels and three underground Y-junctions. For almost 200m the six tunnels run parallel at different level sunder William Street, Sydney. Almost all of the route runs adjacent to the City Business District of Sydney and adjacent to or below many major buildings and services. The planning and design of this project is described. The geometric arrangement is achieved with a strong dependence on 3D road design packages. Road alignment constraints include land acquisition and proximity to existing tunnels and basements as well as maintaining separation from the other tunnels in the scheme. Geotechnical and hydrogeological studies are described. Findings discussed include the high horizontal stress field in the Sydney area and investigation of incised palaeochannels on the route. Methods of design for the tunnels and Y-junctions are described, as well as methods of settlement prediction for the buildings and services. The latter includes the settlement assessment for more than 200 buildings, many in excess of 20 storeys, as well as services including all of the city railway lines in Sydney.

Jan 1, 2003

By G. H. Gronhovd

The U.S. Geological Survey estimate of the total remaining reserves of lignite in this country as of Jan. 1, 1967 was about 448 billion tons. This represents 27 percent of the total coal reserves on a tonnage basis and about 17 percent on a thermal basis. Approximately 98 percent of these reserves are in a vast lignite field located in western North Dakota and eastern Montana. This field also extends north into the Canadian province of Saskatchewan. Despite these large reserves and relative ease of mining by stripping operations, lignite production historically has accounted for less than 1 percent of the national total. This is largely due to the fact that the lignite deposits are located in an area that has no large centers of population and the economical radius of transportation is limited by its relatively high moisture and low heating value. Commercial utilization of North Dakota lignite for power production became firmly established in the mid-1920's with the development of the first successful lignite-burning equipment. Most of the early lignite-fired boilers were equipped with spreader stokers, but as the size of the plants increased, pulverized-coal firing became the more popular method, and with few exceptions, the plants built during the past 15 years are pc-fired.

Jan 1, 1968

By John W. Brauns

18.1-RAILROAD JOHN W. BRAUNS Conventional railroad haulage can be employed at both open-pit or strip and underground mines-in the latter case, largely for transfer of ore from distant openings to processing plants, or processed material to loading points or docks, using standard hopper cars for bottom unloading or gondolas for rotary dumping. The major application, however, is in surface mining for moving ore and/or waste out of the pit to a crushing plant or dump. Consequently, the following will deal largely with this phase of railroad operation, though the conclusions apply equally, for the most part, to other rail-type surface haulage. In surface mining, trains consisting of a locomotive and gondola or side-dump cars suitable for loading by power shovels are used. Gondolas are restricted to hauling ore as a rotary dumper is required. Side-dump cars are more versatile, carrying both ore and waste, but because of their additional dumping mechanism they are likely to be more expensive to maintain.' Also they weigh up to twice a flat-bottom car of the same capacity and. therefore, fewer" cars can be hauled per train. Standard-gage track is most commonly used. Track systems incorporate low-quality temporary track where moves are frequent and permanent high-quality track on main lines. Rail haulage can be used alone, or in combination with other surface haulage methods, thus permitting a selection best adapted to the peculiar requirements of each mining project. 18.1.1---GENERAL APPLICABILITY, CONTROLLING PHYSICAL CONDITIONS For handling rough rock, the shovel-train system is unexcelled.' The ideal applica¬tion is in a large, but not excessively deep, open pit mine from which the coarsely blasted ore and waste must be transported over 3 mi. If. in addition, a high production rate is to he maintained, railroad haulage probably will afford a lower cost per ton transported. Grade must he relatively gentle-usually 3% uphill and 4% downhill. The greater the differences in elevation involved, the greater are the track grade space requirements; for example, a 3 c ramp out of a pit only 300 ft deep is almost 2 mi long. Main-line track locations should he selected carefully so that the number of moves during the life of the mining operation can he kept to a minimum. This applies both to the ore haulageway and that for waste. Such moves are not only expensive, but are difficult to execute without adversely affecting production rates. The large mine affords greater opportunities for judicious location of semipermanent trackage. Figs. 18-1 and 18-2 illustrate typical track layouts. The effect of terrain in considering railroad haulage is confined chiefly to the initial cost of the installation. Grade construction in mountainous territory is ap¬preciably more expensive. However, if that expense can be borne, the subsequent maintenance cost of trackage will not he much higher than in areas of low relief.

Jan 1, 1973

By Xinchun Li, Youdi Zhang

AI is one of the computing methods, artificial intelligence performs its calculation by simulating the intelligent behavior of human beings. It is regarded as one of the most important scientific achievements in the 20th century, A1 has been developed rapidly in recent years with the development of the computer technique .The application of AI in the mineral industry has also obtained rapid progress sine AI has been used in early 1980's, such as evaluation of resource, underground mining, surface mining and mine safety etc. It has played an important role for increasing mining efficiency, improving mining management and ensuring the safety of the miner. An integrated A1 system has been developed for coalmines environment management in this paper.

Jan 1, 2002

By E. C. Ekedahl, R. J. Heath

Introduction Potassium, together with nitrogen and phosphorous, is an essential nutrient required for growth. Since all living things need potash, the major demand for potash - about 95% of the total - is as a fertilizer. Agricultural productivity has increased dramatically in recent times. This increase in crop yields requires substantial amounts of added nutrients to keep the soil fertile. It follows then that potash will always be in demand. There is no substitute. Other fertilizers that contain phosphorous (P) and nitrogen (N) are complementary and not competing products. Fireplace ashes (pot-ashes) have a relatively high potassium content. Their value as a fertilizer had been recognized for centuries. But today's potash industry did not begin until deposits of potassium-rich ore were discovered and exploited in Europe during the 19th century. Canadian potash development Potash in Saskatchewan was first recognized in 1943. It was discovered as a byproduct of an oil exploration program. But it was several years later before the existence of a major commercial deposit was acknowledged, and not until 1951 that the first attempt at development occurred. That attempt was unsuccessful. The shaft flooded and was abandoned. It did, however, demonstrate the need for new technology to penetrate the waterlogged Blairmore layer. This was eventually developed and the first mines were brought into production in the early 1960s. Once the technology was available, and the extent and quality of the potash beds became known, a number of companies proceeded to develop mines. By 1970, seven mines were in operation and three more were nearing completion. Combined, total capacity then was 7.6 Mt/a (8.4 mil¬lion stpy) K20. At that time, world potash consumption was about 15 Mt/a (16.5 million stpy). This increase in supply from Canada produced a large potential surplus that shattered the prevailing balance between supply and demand. Although world demand increased steadily throughout the 1960s and early 1970s, it was several years before world supply and demand were again in balance. Saskatchewan capacity has been expanded a number of times. It now stands at 10.7 Mt/a (11.7 million stpy) K20. Actual production has not approached this figure, however. Two new mines in New Brunswick have recently been built with a combined annual capacity of 1.2 Mt (1.3 million st) K20. Total Canadian capacity of about 12 Mt/a (13 million stpy) now amounts to 30% of world capacity. Central offshore marketing organization Canadian Potash Exports Ltd. (Canpotex) was created in 1970 as the offshore marketing organization for Canadian producers. Canpotex is owned by Saskatchewan producers and is their exclusive marketing organization for offshore business. Each company handles its own sales in Canada and the US, but all sales to other markets are handled through and by Canpotex. The Saskatchewan industry has an ore body of a size and consistency unmatched anywhere in the world. Large efficient mines have production costs that compare favorably with other producing countries. On the minus side, Saskatchewan is remote from most major markets. It therefore needs the ef¬ficiencies that stem from one organization that coordinates all offshore shipments and minimizes distribution costs. Agriculture guides potash market In the period following World War II, potash was a classic growth industry. World demand increased each year from 1945 to early 1970s. Since then, demand has been more erratic. Some years show substantial increases, but are followed by significant declines. For about the last decade, the pattern has been unclear and future demand has become correspondingly difficult to predict. North America and Europe together account for about 40% of the world potash consumption. In both areas, farming is characterized by surplus production, declining crop prices, and expensive government support programs. Under those circumstances, farmers respond by minimizing input costs. Fertilizer is one of the items they reduce. Potash is retained in the soil. It is possible to reduce potash application with no immediate deterioration in crop yield. The lower yields occur only when potash levels are depleted. So, farmers can econo-

Jan 12, 1987

By Craig M. Sams

Phosphate mines in Florida are continuing to encounter higher dolomitic content host rock with the phosphate pebbles(1) necessitating a change in grinding conditions and/or circuits, One of these changes is to install hydrocyclones and close circuit the mill as opposed to the traditional open circuit grinding plant. Close circuiting of the grinding mill with hydrocyclones allows one to take advantage of reduced process mill power requirements by circulating the coarse mill discharge back into the mill for multiple chances of particle breakage. Additionally, as in this case, the hydrocyclones de-slime the pebbles, allowing for more efficient use of grinding power by reducing the amount of dolomitic material recycled to the mill.

Jan 1, 1986

By W. F. Moll

Absorbent clays are products, usually in the form of granules, that can absorb and hold approximately their own weight of liquids while essentially maintaining their size and integrity. They always contain in abundance at least one of three materials: montmorillonite, attapulgite and diatomite. The first two are complex silicates; the last is amorphous silica of biogenic origin. Not all montmorillonites provide the base for an absorbent clay, however. Nevertheless, the silicates in particular, and the diatomite to a lesser degree, have certain molecular properties that give rise to the useful physical properties. Uses Use of absorbent clays is as old as civilization. Numerous references to "fuller's earth" appear in ancient writings, including the Bible. Fuller's earth originally connated a clay that could absorb oil and grease from wool to facilitate cleaning. Robertson (1986) covers the fascinating history in interesting detail. In the modern sense, absorbent clays find application in three principal areas, and a host of minor ones. Industrial floor absorbents, cat litter and agricultural carriers comprise the major uses.

Jan 1, 1986

By Christian F. III Baiz

Introduction A new mining agenda is before us. Born of government policies and world economies, the years ahead will show reduced growth. Metals, mining, and most other natural resource industries are inflation dependant and capital intensive. For these, a long period of contraction of outmoded and costly capacity will evolve. In some cases, this will be supplanted by new, lower cost capacity. But this will occur only if the cost of production - including cash operating and debt service costs - comes in at or below current market conditions. The industrial outlook for metals mining can be characterized as bearish. A US bank economist said mining companies planning their five-year forecasts should take current market conditions and straight-line them to the end of the decade. With low growth and low inflation, the real price of metals will remain flat or decline slightly. As a result, capital funding will be problematic. The low-cost producer will succeed. That means only the producer with low cash costs and low principal and interest costs per unit of production, will succeed. Gaining a perspective One must look back 30 years to see the evolution of the capital markets, for metal mine financing. This period can be divided into two economic periods. The 1950s were a time of stable economics. Mining companies earned and reported good profits. They had good corporate creditworthiness. In essence, mining companies of the 1950s were highly self-reliant. When equity infusions were needed, they were easily obtained. Financial management kept long-term debt low. Fixed rate, long-term financing was readily available in the long-term bond markets. The commercial banks of the 1950s were rarely used by the mining industry. When necessary, mining companies went to the banks for short-term financing - the kind that was needed for working capital requirements. Changing rhythms In the old rhythm there was an orderly market. Even into the mid-1960s, 75% of world annual copper production was controlled by eight companies: two in the UK, one in Belgium, and five in the US. During times of poor market demand, these producers would control supplies to the market. They took their losses out of retained earnings. Capital was easily restored during the ensuing good times. The new rhythm called for copper to be an economic means to a political end. Third World copper producers brushed aside the market fundamentals of commodity economics. Yet, the political solutions of these countries - their lack of response to the market - have seldom achieved their original objectives. Each commodity has its own old and new rhythm. Aluminum may have a similar rhythm, coming 10 to 20 years later than copper. By the late 1960s, changes were occurring. Inflation was on the rise. Ore reserve quality was falling. As a result, capital expenditures were necessary to maintain existing output. These costs created an increase in corporate leverage, thus adding to inflation and rising interest rates. Indicators A comparison of the gross national product (GNP) deflator index, consumer price index, and the metal mining deflator index is instructive. (Fig. 1 and Table 1). With 1972 equal to 1, note that the metal mining deflator reached its lowest point in 1967. From that point, the metal mining deflator has accelerated severely for 16 years. Only two minor downturns occurred during the business recessions of the mid-1970s and the early 1980s. In essence, Fig. 1 shows that while GNP has grown modestly, a miner's dollar in 1972 would require $3.48 in 1980. This is an almost 17% compounded growth rate over that eight-year period. Beginning in the late 1960s, for the first time in mine financing, the risk of success shifted from the corporate balance sheet to third parties. Limited-resource financings were taken up by banking syndicates that accepted certain of these risks. The lender needed to be well acquainted with the types of risks to be evaluated. These include resource quality and quantity, construction and completion, capital and operations costs, market risks, force majeure, and political and exchange rate risks. Project financings became the basis whereby mining companies were able to maintain their borrowing capacities. In essence, the lender was willing to share some of the project risk while only receiving lenders' returns on these investments. Over the last two decades, mineral project financings have become highly complex transactions involving multicurrency, multi-

Jan 8, 1985

Water conservation and compliance strategy can be cause for success or failure of a new or existing mining operation. Water accounting at outset, and pit and waste dump planning, may not fully consider total inflows, or sediment loads encountered during mine life. Environmental impact assessments, and permitting often dictates the rules, and these may change, to be more stringent, during course of mine development. This paper will identify techniques to control unprojected fresh water, or increased surface water flows in surface mine operations.

Feb 23, 2014