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By Arthur Lieu

Outline Removal mechanisms of Se and Mo in the Key Lake Bulk Neutralization circuit Bulk circuit Detail process modification in the Key Lake BN circuit Process performance after commissioning Objective Legacy effects of Se and Mo from the historical operation of Key Lake mill were shown to have an negative effect on the regional biota in the downstream environment. The water treatment circuit was not designed to remove Se and Mo from the effluent. Reduce Se and Mo concentrations in final effluent under0.028 0.028 ppm ppm and 0.3 and ppm ppm(CNSC regulatory limits).(limits).??????

Nov 1, 2011

By V. C. Wittchen, T. R. Yu, J. E. Croxall

"The consolidated rockfill at Kidd Creek Mines is a weakly cemented, minus 15 cm aggregate which posed problems for conventional drill/blast drifting methods. Consequently, lateral access to mineable ore adjacent to backfilled areas was gained by drifting around the fill in shattered rock.In mid-1987, Kidd Creek Mines began to investigate means of mechanically excavating drifts in backfill . The results of this investigation led to a trial program using a Dosco MK-2A Roadheader to excavate the required drifts in backfill.The roadheader was tested at Kidd Creek Mines from July to November 1988, in 28-735 X /C to be used as the top access for drilling and blasting 32-74/ ST. During this period, the roadheader excavated 54 m of a 4.3 m by 3. 7 m arched drift in backfill. Cutting rates over the period averaged 0.8 m/cutting hour as projected with a daily high of 2.0 m/cutting hour.Wood-lagged 2-piece steel arches on 1.2 m centres were chosen as ground support for the trial. Shotcrete will be tested in a roadheader drive for its potential to improve productivity by replacing the steel arches.The trial program included evaluations of point-attack picks, two sizes of cutter motor, 20 MPa (3000 psi) water-assisted cutting, cuttings-removal systems, and environmental control devices."

Jan 1, 1990

By A. Ghasemi

An alumina-silica coating was deposited on a nickel substrate by sol-gel process, and the structures and composition were evaluated, The sols were made from aluminium and silicon alkoxide, and an acid catalyst including HCl, To produce adherent silica coatings on nickel, various additives such as surfactant, viscose additive and drying control chemical additives were introduced to the system, and appropriate drying and firing cycles were applied after dipping in solution. The hot corrosion and oxidation resistance of the coating at different temperatures were investigated, The structure and uniformity of the coatings were examined by scanning electron microscopy (SEM), The results indicate that a uniform coating of alumina silica can be produced on a nickel substrate by optimizing the composition and process variables of the sol. Coatings can protect substrates from oxidation and hot corrosion at different temperature up to 1000°C, but is not very effective for hot-corrosion resistance at 1000°C.

Jan 1, 2005

By Al Hoffman

During the period May 15 ? 17, 2006 four fatalities occurred at #1 Waste Dump, at Teck Cominco?s Sullivan mine located at the city boundary of Kimberley, British Columbia, Canada. The fatalities occurred in the sump of a water monitoring station. The Chief Inspector of Mines and his staff immediately responded to the incident. The team worked collaboratively with the Teck Ltd. Trail Hazmat team, a consultant group from Rescan Ltd. and other Teck operation and technical staff. Sampling in and around the water monitoring station in the days following the fatalities showed that exposure to a depleted oxygen environment was the immediate cause of the fatalities. The sump located at the base of the shed was hydraulically connected to a French (coarse rock) drain, located at the toe of the covered waste dump. This presentation will briefly review the immediate cause of the accident, the investigation, a brief introduction to the work of the Sullivan Technical panel and the British Columbia government?s response to the incident and the recommendations of the Coroner?s inquest.

May 1, 2010

By George R. White

"The Phalen Colliery, the Cape Breton Development Corporation's flagship, is now producing thermal and metallurgical grade coal in Eastern Canada's Sydney Coal Field. The colliery is a drift mine operating under the waters of the Atlantic Ocean. Improved mechanization, including a 2200 tonne per hour cable conveyor, and the introduction of modern retreat longwall mining methods as part of the Phalen concept are now paying off in better productivity and low operating costs. Geological conditions within the coal field are consistent with plans for ever greater outputs in the 1990s. Although much of the current production improvement is related to uprated machine capacity and simplified mines planning there is potential for even further development in the areas of maintenance, process control and engineering. Human resource development will also be a key factor. These programs are now well under way and Phalen Colliery is poised for top results in the 1990s. Comparison of the CBDC's top producer with similar operations elsewhere in the world, quantifies that potential.IntroductionAn exciting new mining project which has recently started production on Canada's East Coast has been conceived and designed to be one of the most modern and productive coal mining operations in North America.As with all mining operations, the business is basically that of material transportation. Daily, the product is transported many kilometres from the underground face to the surface and then to washing facilities. Men, materials and equipment are transported to and from the surface and the operating faces and services, such as electrical power, ventilating air, fresh water, discharge water, communications and compressed air are supplied throughout the operation to cover operating requirements. On all accounts the operation has been designed to take advantage of the latest proven technology."

Jan 1, 1990

By C. A. Biley

"A dedicated iron removal stage was installed at Anglo American Platinum’s Rustenburg Base Metals Refiners (RBMR) during an expansion project which began execution in 2010. The Pressure Iron Removal (PIR) process aims to precipitate iron from a nickel leach solution under medium temperature (145 °C) oxidative conditions using caustic for neutralisation. Since commissioning, the process has been robust in removing iron from the refinery but has shown significant variability in the residues produced. These residues, which are typically comprised of ferrihydrite, hematite or natrojarosite, have varying iron contents and different physical properties which have implications for their filtration and ultimate removal from the refinery. Since over 95% of nickel plated at RBMR passes through the PIR section, volumetric constraints caused by poor filtration performance directly influence nickel production and stabilisation of this process remains central to the continued ramp-up of the refinery to full nameplate capacity. This paper details the development of the PIR process and the journey from concept to implementation. Recent laboratory and plant scale tests have highlighted the importance of the initial phase formed in the autoclave for the ultimate residue requiring filtration and how the feed acid concentration is a critical control parameter. On this basis, a new caustic dosing philosophy was implemented which improved pH control in the autoclave. Further optimisation of the PIR process is on-going.INTRODUCTIONIn 2010, an expansion of Rustenburg Base Metal Refiners (RBMR) to increase nickel production from 21 to 33 ktpa began execution. The management of iron was pivotal in the ultimate configuration in the new circuit and one of the primary differences from the original circuit was the addition of a dedicated iron removal stage: Pressure Iron Removal (PIR). A significant drive for this new unit operation was to facilitate the separation of iron from other leach residues. Not only did this result in a significant decrease in the amount of leach residue but, without the constraints associated with iron precipitation during leaching, has permitted more aggressive leaching conditions and, correspondingly, greater throughput and efficiencies.However, as with many commercial implementations of even mature technologies, the journey from development to implementation has presented challenges for the continued ramp-up of the refinery to full nameplate capacity. Specifically, since all nickel bearing leach solution must pass through the PIR section prior to the nickel purification and recovery circuit, throughput difficulties in the PIR section can directly impact supply of feed to the nickel tank house. Since commissioning, the PIR autoclave has effectively removed iron from the refinery, but has shown significant variation in the solids phases produced in the autoclave. This variation presents difficulties for the filtration of the discharge slurry and represents a key throughput limitation which periodically impacts production. Additionally, the increasing production rates associated with the ramp-up of the refinery have resulted in a significant increase in the required volumetric throughput through the PIR process. This has placed even greater emphasis on improving the stability of the solid phase produced in the autoclave, ultimately targeting an easily filterable residue with high iron content."

Jan 1, 2016

By H. C. Cooke

"The Eustis mine, which was discovered in 1865, lies about 6 miles southwest of the city of Sherbrooke, Quebec, in lots 2, 3, and 4, range 9, Ascot tp. The mine was operated almost continuously from 1865 to 1937, under vanous owners.The ore was pyrite with varying amounts of chalcopyrite, a small amount of zinc blende and galena, and a low content in gold and silver. Parts of it ran quite high in copper, but the mine average would probably have been between 3 and 4 per cent. The high percentage of pyrite made it profitable to separate the ore into a copper concentrate and a pyrite concentrate. The latter was shipped away for manufacturing sulphuric acid, or was treated in a plant erected in 1887 at Capelton by the Nichols Chemical Company.The ore is a replacement of mica schist, which in turn was formed by the shearing of rhyolite flows. Ore also replaces the 'green rock', a term locally applied to carbonatized mica schists. The ore contained numerous 'horses' and smaller fragments of country rock, in all stages of replacement, ranging from those whose character was quite distinct to those whose ancestry could only be detected by an indefinite banding preserved in the sulphides."

Jan 1, 1954

By Yves C. Lizotte, Malcolm J. Scobie

Blast fragmentation is affected by the physical and mechanical characteristics of the rockmass as determined by geology as well as the explosive energy, the partition of this energy, the actual amount of energy transmitted to the rockmass, the blast geometry and the detonation sequence. This paper reviews studies of the influence of geology on blast fragmentation, particularly structure, i.e. the in situ or inherent fragmentation arising from rock discontinuities. Prior structural studies have mainly been limited to comparing equivalent diameters of the in situ blocks with the size distributions of the blasted material. No criteria exist to integrate structure into blast design. This paper reviews on-going studies of the blasted fragment shape and size observed in different rockmasses aimed at analyzing geological control over blasting. Digital photoanalysis was applied {o measure size and shape distributions, to correlate results with block size distributions and shape parameters of the inherent fragmentation. An integrated and comprehensive fragmentation assessment procedure which accounts for geological control is proposed. The potential of this research is to provide a greater understanding of the true contribution of explosives to fragmentation, the effects of fragment shape on system productivity and the reduction of blast-induced damage.

Jan 1, 1994

By G. J. Desroches

"In order to improve zinc plant productivity, areas of low efficiency were identified. As a result, solution purification was improved, additional dust precipitator capacity was made available and a new zinc casting plant was installed. The effects of these and other changes are discussed and the expenditure and benefits reviewed. HistoryThe operation of the Flin Flon metallurgical complex including an electrolytic zinc plant commenced in October 1930. The design of the zinc plant was based on that of the Commonwealth Mining and Smelting Company at Trail, British Columbia, the Anaconda Great Falls Montana Plant and the Electrolytic Zinc Company plant at Risdon, Tasmania.The plant began with a design capacity of 60 tons per day and currently produces 255 tons per day. Since plant start-up, approximately 3.5 million ton s of zinc metal have been produced, most of it exceeding special high-grade specifications.IntroductionThe facility incorporates the basic process steps of roasting, leaching, purification, electrowinning and casting. Figure I details the flowsheet. During the late 1970s, management recognized that in order for the zinc plant to continue operating, it was necessary to introduce cost-effective practices.Study groups, consisting of design engineers and operations personnel, were formed to investigate the details of plant revisions.The objectives were to improve productivity by reducing manual labour, reducing energy usage, increasing zinc recovery, increasing metal output and reducing costs.This paper details the changes made during the period 1979to 1986 and shows how these changes have affected the productivity and economics of the zinc plant operation."

Jan 1, 1988

By A. A. Ruitenberg, C. J. Morrissy

"The Lake George antimony deposit comprises a system of stibnite-bearing quartz veins that cut Silurian greywacke and slate. The stibnite-bearing ore zone is in part enveloped by a uraniferous zone.The ore-bearing quartz vein system occupies an easterly striking, gently north-dipping fracture system that cuts across north-northeasterly trending gently southwest-plunging, tight Acadian (early Middle Devonian) folds. This vein system continues at depth into a siliceous skarn zone intruded by altered granite porphyry dykes, which constitute probably a late phase of the Hawkshaw granitoid intrusion to the north.Most of the ore occurs in a northeast-plunging, trough shaped vein structure that formed where the vein system (gently north-dipping) intersects the axial surf ace zone (steeply northwest-dipping) of an Acadian synform. The trough shaped structure resulted from deflection of the fracture zone (containing the vein system) by competent beds.Emplacement of the quartz-stibnite veins was preceded by, and is in part penecontemporaneous with, the formation ofa micaceous-argillaceous alteration halo, which in turn intersects a patchy biotite alteration zone.The hypabyssal intrusions associated with the Lake George deposit probably represent a late phase (early Carboniferousr) of the nearby Hawkshaw intrusive granitoid complex. IntroductionThe Lake George Antimony Mine is situated 40 km southwest of Fredericton and 2.5 kin north of Lake George, New Brunswick (Fig. 1). The mine is owned by Consolidated Durham Mines and Resources Ltd.Shaw (1940) described the early history and development of the mine. In subsequent years, available drill cores were relogged by several geologists. Much new information became available when an extensive diamond drilling program (Kidd , 1970) was started by Consolidated Durham Mines and Resources Ltd. in 1970. A study of the geology and economic potential of the deposit was made by Glover (1973). Abbott and Watson (1975) made a study of the ore mineralogy. Available drill cores were relogged and a preliminary study of the fracture system in the mine was made by G.A. Pierce and A.A. Ruitenberg during 1976. Outcrops in the area sur rounding the mine are extremely sparse.Between 1976 and 1979 the present authors made a detailed study of the mine workings, available drill core and regional structure in the vicinity of the mine, with results set forth in this paper. The regional geologic setting of the deposit, the geometry and structural controls of the ore zones, and the mineral zonation and rock alteration are emphasized."

Jan 1, 1980

By Richard S. Allen

"The casual visitor is not apt to think of the Adirondacks as a one-time hive of mining and manufacturing activity. However, where there are mountains there are usually minerals and northern New York State is no exception.The Adirondacks are a rocky shield, a great stone cap pulled down over what is now northern New York. The bedrock consists of layered metamorphic rocks which were once sandstones or limestones on the bottom of a shallow sea that covered the region 1000 million years ago. The highlands are composed for the most part of the igneous rock anorthosite. Ancient earth upheavals at temperatures of at least 750°C mixed molten masses of anorthosite and the minerals it contained with the older metamorphic rock, resulting in deposits of iron-titanium oxide s, red garnet and other valuable minerals. Of these, the most readily recognizable was iron.The first hint of the existence of iron ore in the Adirondack Lake Champlain region of upper New York State seems to have come from a Swedish naturalist, Peter Kalm (1716-1769), who travelled through French Canada and visited the military outpost of Fort St. Frederic in 1749. In July of that year, Kalm wrote:""Among the kinds of sand which are found on the shores of Lake Champlain; one is black and the other garnet-colored... and they sparkle when the sun shines. All the grains of this sand without exception are attracted to the magnet, the uppermost or black sand being about a quarter inch deep...""Concerned primarily with the fur trade, the officers and men who occupied this remote bastion of La Belle France were apparently unaware of the industrial and commercial possibilities beneath their feet. No deposit of iron was then known to exist any closer than the Three River s area in Lower Canada."

Jan 1, 1983

By D. Crone, T. Watts

"The Lindsley project was a program of deep drilling to test the contact down-dip from two nickel-copper deposits, one uneconomical and the other mined out. The role of Borehole Pulse EM(PEM) was to detect the higher grade, more massive sulphide zones if they were missed by a drillhole, and to help determine geometry if the zones were intersected. Two problems appeared as the PEM survey progressed: (1) conductivity-thickness as measured by the PEM did not always relate to economic sulphides as determined by the market; (2) a pattern of unusual PEM anomalies was obtained that indicated something odd and big, but the cause was unknown. A large fold structure subsequently was indicated by a program of deepening previous holes, the third of which intersected high-grade mineralization below 1280 m. Falconbridge is in the process of shaft sinking and underground exploration.IntroductionThe Falconbridge Lindsley property is on the south rim of the Sudbury basin, 8 Ian north of downtown Sudbury. The original property was acquired by a prospector named James Stobie, who, in early August 1885, staked a showing that later became the Mount Nickel mine (Fig. I). On August 10 Stobie staked another property that would become the Little Stobie mine, and at the end of the same month he staked the main Stobie orebody.In 1888, the ground immediately west of the MOlU1t Nickel find was staked. This ground contained the Blezard deposit (Fig. 1) which was put into production in 1889 and was eventually acquired by Inco. Down-dip from the Blezard workings, on Falconbridge ground, is located the upper Lindsley No. 1 deposit which was drilled off by Falconbridge in the 1940s to 1950s. A decision to go underground on the Lindsley No.1 mineralization was made in 1969, but the project was cancelled in 1971 because of declining nickel prices. The shaft was stopped at 95 m, and the headframe and hoist were sold. Further surface exploration drilling in the 1970s discovered the deeper Lindsley No. 2 zone, but as it had grades similar to those of the No. 1 zone, it too was considered uneconomic."

Jan 1, 1992

By G. A. Kosick, M. Freberg, L. A. Kuehn

"Highly variable and higher than forecast lead miff feed grades were problems experienced at the Polaris Concentrator. Limited flotation capacity and poor operating flexibility prevented the plant operators from overcoming these difficulties, and resulted in grades and recoveries which were lower than necessary.Two column cells were integrated into the lead circuit in an effort to give the operators the tools they required to achieve the best grades and recoveries possible, regardless of the miff feed grade. Installation of the column cells increased lead concentrate grade from 76% to 79.3% Pb, and increased lead recovery from 9/% to 91.3% Pb.This paper reviews the design, development and operation of column flotation cells in the lead circuit at the Polaris Mine.IntroductionThe Polaris Concentrator was constructed in 1980 on a barge in Trois Rivieres, Quebec, and towed to its pre sent location on Little Cornwallis Island, Northwest Territories, about 1450 km from the North Pole. The plant presently treat s about 2800 mtpd of new feed with average feed grades of 3010 Pb, 13% Zn and 5% Fe. Current production averages 36 000 tonnes of lead concentrate and 220 000 tonnes of zinc concentrate annually.The barge design and min e location dictated that the concentrator .be compact with very little unused floor space. As a result, flexibility was limited in terms of expanding the plant.Mill feed grades were highly variable and above forecast and the lead flotation circuit was found to be under capacity. This caused continued overloads in the lead cleaning circuit, resulting in low concentrate grades and recoveries. It was evident that an increase in lead flotation capacity and flexibility was necessary. The existing floor space did not allow for the installation of additional conventional flotation cells, but one alternative was the installation of column cells."

Jan 1, 1988

By W. W. Muir

"The Baker Mine used a 100-ton per day conventional cyanide leach mill located in northern British Columbia. A production decision was made in early 1980 and the mill was on fine in April 1981.Ore reserves had been estimated at 100,000 Ions averaging 0.9 oz gold per ton and 18 oz silver per ton . Mineralization consists of electrum (Au/Ag) and acanthite (Ag2S).This paper will review plant design and focus on some problems associated with start-up and early operation with the intention of assisting other mine operators by indicating potential problem areas.IntroductionThis paper will discuss operating strategies employed at Baker which improved over-all mill performance. Also included are some ideas which could be steps toward a more efficient operation in a similar setting.Actual dore production by mine life was 37,606 oz gold and 742,117 oz silver.Figure 1 illustrates the relative stability attained over the mine life. Metal recoveries for gold and silver were 92% and 85% respectively.Safety at Baker was of prime importance because of its remote location. Baker received the Mine Safety Association ""Small Mines Award "" in two of its three operating years. At shutdown in late 1983 the mill had operated for over 850 days without a lost-time accident."

Jan 1, 1985

By S. Dallaire

With the attainment of high temperatures it becomes possible to process any kind of material (particularly ceramics) in their liquid state. In the plasma spraying process, the material to be sprayed is rapidly heated until it is molten and is propelled by high velocity gases onto a surface where it adheres, to give protective coatings for a wide range of applications. The method could be considered as one of the most versatile and rapid to build up thick deposits (of plastics, metals, ceramics, cermets) and also free-standing artifacts for particular requirements without resorting to lengthy forming and sintering studies. Although plasma spraying is at the production stage in industry, advanced processes have also been developed for economically producing a wide range of new materials. This paper illustrates the benefits of the process and evaluates the challenges it represents.

Jan 1, 1987

By Bruce K. McKnight

"The new H-W orebody was evaluated by considering its production at three technically feasible rates. Capital and operating costs were estimated f or each rate and production sequences were established using mining cutoff limits generated by an ore value algorithm. The viability of the project was then examined by conducting economic and financial analyses of each of the three production cases under various world economic scenarios. These analyses employing standard profitability measures demonstrated all three cases would be economically viable; the production case which maximized the Net Present Value of the project was the one selected for development and production.IntroductionWestmin Resources Limited and its predecessor company, Western Mines Ltd., has been continuously carrying out mining operations near Myra Falls in Central Vancouver Island since December 1966. The mining operation, whose current production rate is approximately 830 tonnes / day (t/d), based on ore derived from the Myra and Lynx Mines, produces copper, lead and zinc concentrates which contain significant quantities of gold and silver in addition to the base metals.In the late 1970s, with Lynx and Myra ore reserves slipping to unacceptably low levels, a major increase in mine-site exploration was initiated, with outside geological staff brought in to complement the efforts of the mine's geological staff. By the end of 1979, this program had resulted in the discovery of a significant new orebody on a deeper horizon some 300 metres below the one which hosts the Lynx and Myra deposits. Throughout the period 1980-1982, major drilling was carried out to evaluate the new H-W deposit and by the end of 1982, drill-indicated mineral inventory for the deposit compared with Myra, Lynx and Price ore reserves was as shown in Table I. During this same three-year period, a major development and evaluation program was underway comprising environmental monitoring and control programs, shaft sinking test mining, bulk sampling and mill testing, rock mechanics studies and preparation of the Stage I and II reports for the multidisciplinary Environmental Land Use Committee (ELUC).As a result of the preliminary engineering work and exploration drilling, it became rapidly apparent that the H-W deposit could support a considerably higher production rate than the current one. Accordingly, engineering studies including scheduling of development and production as well as capital and operating cost estimates, were focused on three possible production rates: 1350, 1800 and 2700 t/d. Our task was to select the optimum one of these three rates."

Jan 1, 1987

By P. W. Percival, J. J. Janssens

"Whitehorse Copper is a 2600-ton-per-day underground copper mine located within the city limits of Whitehorse, Yukon . In early 1978, due to increasingly difficult ground conditions. it was decided to investigate the conversion from longhole open stoping to vertical crater retreat mining. On-site crater testing by C-I-L demonstrated the feasibility of V.C.R. mining at Whitehorse Copper.After some investigation. a down-the-hole drilling rig was chosen and drilling began in November /978. Blasting began in June /979. and to September 1980 approximately one million tons of ore had been blasted. In-field changes to both drilling and blasting techniques have been implemented. Some of these changes were dictated by problems encountered; others were made to improve efficiencies.To date. V.C.R. mining has proven successful from a drilling and blasting aspect.IntroductionWhitehorse Copper Mines Ltd ., a division of Hudson Bay Mining and Smelting Co., Limited , is a 2600-Lp.d. underground copper mine. The plant site is located I mile west of the Alaska Highway, and approximately 7 miles south of Whitehorse city center. Production is from the Little Chief orebody, and total output is from vertical crater retreat stopes.The Little Chief and Middle Chief orebodies at Whitehorse Copper had original reserves in excess of 6 million tons, most of which graded 2.00/0 copper or higher . The orebodies are typical skarn deposits that have developed along the contact between an intrusive diorite and a limestone-quartzite flank pendant. The limestone has been metasomatized to form a calcium-magnesium skarn which, along the limestone / quartzite contact, has locally further developed into a mineralized magnetite-serpentine skarn. The principal copper minerals are bornite and chalcopyrite, with minor chalcocite and valleriite. Skarn gangue minerals are serpentine, diopside, garnet, epidote, calcite and wollastonite. Appreciable values in gold with some silver are present and recovered as well."

Jan 1, 1981

By P. L. Lehoux, R. F. Lopes

"Unanticipated low recovery or extraction of gold from heap leachable are can often be attributed 10 phenomena such as non-uniform percolation (channelling) of solution through heaps, excessively slow percolation rates due to densification of ore during stacking on the pads and parasitic or competing reactions of the cyanide solution with undesirable elements or geochemical ""impurities"" in the ore. The nature and causes of these phenomena are discussed in this paper, and it is suggested that geotechnical and geochemical expertise can contribute significantly to a better understanding of the relationship between laboratory results and actual field performance of the leaching process. Recommendations are made for bench-scale metallurgical testing to be complemented by geochemical and geotechnical laboratory evaluations, to ensure more successful heap leach projects. IntroductionHeap leaching is a simple, low-cost method of recovering metals from low grade ores which has now come into widespread application particularly for gold and silver metals in the United States.The heap leach process involves percolating a lixiviant (leaching agent) solution through broken or crushed ore (Chamberlain and Pojar, 1984). In the case of gold a dilute sodium cyanide solution is used and crushed ore is ""heaped"" on specially prepared impervious pads.The potential for use of heaping leaching methods for northwestern Ontario gold deposits was discussed by Beard (1983), who suggested that the use of this extraction technique in Canada should grow significantly for low grade ores as well as for small high grade deposits which cannot justify the installation of a new mill or the use of remote custom milling facilities. Two other potential situations for lise of a heap leaching extraction method are : as a low capital cost cash generator in the opening phase of a larger new project, and as a low cost output augmenter to complement a milling operation."

Jan 1, 1989

By Scott K. Palm, Neil D. Pearson, Jr. Read

"Uncertainty is an important feature of many investments, but it is especially important for mineral properties. Mine properties often entail large investments and fixed commitments. Managers in the mining industry often view price uncertainty as undesirable, due to the possibility that the price of the mined commodity will fall to a level that prevents the firm from recovering its investment and fixed costs. This paper identifies pitfalls in conventional valuation methods and outlines a new approach to valuation based on option pricing theory and dynamic programming. In the process, it identifies generic strategies for organizing mine production in ways that allow the owner to benefit from the uncertainty in mineral prices. IntroductionRisk is pervasive in the mining industry. The operation and maintenance of a mine may involve high, and unavoidable, fixed costs. A mine owner can only begin to recover these fixed costs if the price of the mined commodity is greater than the incremental cost of production. But the prices of many minerals are extremely volatile. The price volatility of copper has been significantly higher than the price volatility of a typical stock, for example. A mine owner cannot be sure that the price of the mineral product will remain high long enough for the firm to recover its capital and fixed costs.Mine owners are able to minimize their losses during periods when the output price is below the incremental cost of production by temporarily closing operations. During these periods they incur only fixed costs. While shut-downs help minimize losses, the y do not help the firm recover its initial investment. If output prices remain low long enough, the fixed costs and original investment may never be recovered. High fixed costs, therefore, lead to substantial downside risk."

Jan 1, 1986

By L. A. Homeniuk, R. Bonnar

"The Fond-du-Lac uranium deposit is located on the northern rim of the Athabasca Basin. The uranium mineralization is, for the most part, confined to the Athabasca Group, which is underlain by pre-Helikian metamorphic rocks of the Western Craton.The deposit is characterized by a remarkable train of mineralized glacial erratics which led to the original discovery. The mineralization is present as a ""high-grade"" core and a diffuse ""low-grade"" aureole. The ""high-grade"" core occurs as a stockwork of steeply dipping pitchblende veins which strike N 50°E. Hematite, siderite and secondary silicate are also abundant. The ""low-grade"" aureole contains uraniferous goethite, argillaceous material and rare carbon buttons. Recent alteration to coffinite has taken place along the margins of pre-existing ore minerals.The ""high-grade"" core is 390 m long and 10 to 40 m wide, and is surrounded by an irregularly shaped zone of ""low-grade"" mineralization with a similar length and a width of up to 350 m.Comparing the Fond-du-Lac deposit to other unconformity-type deposits, several important differences can be noted:1. Ninety per cent of the ore is above the unconformity, in the Athabasca sandstone.2. The deposit is not associated with underlying graphitic rocks or a major structure.3. The clay-rich alteration zone is not extensive around the Fond-du-Lac deposit.Although there are differences with other Athabasca unconformity-type deposits, the high-grade portion below the unconformity suggests a common origin.The ore deposit is postulated to have been formed from uranium-bearing solutions which entered the stockwork of fractures. Following the reduction in part of these solutions by pre-existing carbonaceous matter and pyrite and/or chemical reaction with pre-existing hematite, deposition continued as a result of decreasing temperature and pressure. Subsequently, minor supergene redistribution of the uranium has taken place."

Jan 1, 1982