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By A. Hekmat-Ardakan

Conventional hypereutectic Al-Si alloys such as A390 are used principally for the casting of components used in wear applications requiring abrasive resistance such as in engine or compressor blocks. A comprehensive study was undertaken to investigate the potential of improving the mechanical properties of these alloys by the addition of magnesium. A thorough thermodynamic study of the effect of the addition of Mg to the conventional A390 alloy showed that Mg2Si starts to form as a primary phase at 4.2% Mg as well as in the products of the binary and ternary eutectic reactions forming the matrix. Experiments were carried out in producing castings with different cooling and solidification rates of alloys with up to 10% Mg. Mg additions were found to increase the hardness over the as cast alloy due to solid solution strengthening. Also, T6 heat treatment greatly improved the tensile properties of these alloy compositions due to the strengthening effect of the theta-Al2Cu phase. The elongation of these alloys generally decreases marginally with Mg content. The most significant property improvement of the alloys with higher Mg content is the substantial increase in wear resistance. This is attributed to the dispersion of smaller particles of Mg2Si and their coherence with the matrix as compared to the large Si particles in the conventional alloy. A new rheoforming process for A390 is presented that improves the processing of the semi-solid slurry. Structure modification elements were also added to refine the primary and eutectic silicon greatly improving the processing of the semi-solid slurry.

Jan 1, 2011

By C. P. Jenney

"Exploration for copper, in a region of 7,000 square miles on the Arctic coast between longitudes 114 and 118 degrees west, has covered a period of nearly 200 years. Occurrences of native copper, used by the natives for tools and weapons, have been reported since the early part of the eighteenth century. In J 771 Samuel Hearne of the Hudson's Bay Company, in the course of his classic 3-year journey from Fort Churchill, became the first white man to see the deposits, and incidentally the first to reach the Canadian Arctic coast by land. During the next 140 years the deposits were mentioned by every explorer and traveller who passed through the area. A good historical summary of this literature has been presented by Tyrrell (1912).In 1911-12 the Douglas-Sandberg party did the first geological mapping along the Coppermine River and Dismal Lakes (Douglas, J., 1913; Douglas, G. M., 1914), and described the copper occurrences there. In 1914 J. J. O'Neill (1924) of the Canadian Arctic Expedition investigated the showings on Bathurst Inlet. In 1929-31 two Canadian exploration companies sent prospectors and geologists to the area (Gilbert, 1931; Norrie, 1931; Duncan, 1931). Since that time only brief references have been published (Kidd, 1931; Stockwell and Kidd, 1931; Lord, 1941, 1951; Washburn, 1947). In 1943-45 an area of more than 1,500 square miles was prospected by American Metal Co. of Canada, Ltd., under the direction of the writer. Forty-nine showings were examined; seven of these were mapped in detail by plane-table and two were sampled by 27 short diamond drill holes totalling 3,061 feet. All holes were in permanently frozen rock, and the deepest vertical distance reached was 206 feet. Five groups of claims were staked. These later lapsed, but one of the groups was restaked in 1951, and assessment drilling and some trenching were carried out in 1952-53. Results were disappointing, and the claims have been allowed to lapse.The area is within the Arctic Circle, northeast of Great Bear Lake and 360 miles north of Yellowknife on Great Slave Lake. For exploration purposes, access is by aircraft from Yellowknife. During the short open season heavy freight can be brought by sea to Coppermine at the mouth of the river, either from Aklavik at the mouth of the Mackenzie or around Alaska. Concentrates would have to be moved by these routes.Although none of the deposits so far found is mineable under present conditions, the total volume of copper in the numerous showings marks the district as a major area of copper mineralization, which may some day be of economic importance."

Jan 1, 1949

By H Zorychta

Based on underground measurements made at the Nova Scotia coal mines of the Dominion Coal Company, Limited, this paper presents a comparison between the physical properties of hardwood packs and steel friction props when used for longwall support. The probable loads sup-ported by steel friction props on a longwall face at both the Dominion No. 20 Colliery and the Princess Colliery are delineated, and the results of the tests are presented in graphical form. It is concluded that the steel friction props are more efficient than the hardwood packs that they replaced as roof supports. Introduction AN evolution in the methods of longwall face support is taking place in the Sydney coalfield. Longwall face support had consisted primarily of timber props and hardwood packs. In 1957, however, at the Princess Colliery, Sydney Mines, Nova Scotia, the first longwall was equipped with steel friction props. At the present time, eleven longwall faces are supported on wood and sixteen faces are carried on steel friction props.

Jan 1, 1965

By G. Anger, J. Enser, H. Antrekowitsch, S. Koch

Homogeneous chemical composition and microstructure are always necessary, but not always attained in practice. As-cast aluminium alloys tend to have a segregation microstructure. Features of the cast structure, which affect subsequent processing or properties, can be altered by the homogenization. The main task of the Department of Nonferrous Metallurgy was to investigate the effect of homogenization treatment on precipitation hardening of aluminium alloys 6061 and 6082. The effect of the solution heat treatment (SHT) temperature on the mechanical properties was also analyzed. The homogenized and non-homogenized rolling slabs were produced according to the usual conditions and methods. The metallographic investigations were carried out on the as-cast samples, after homogenization, after the hot and the cold rolling mill, and after natural and artificial ageing. Then, Brinell hardness measurements and tensile tests were conducted on both alloys in order to examine the influence of the homogenization.

Jan 1, 2006

By T. S. Li, D. Ilievski, I. Livk

Micromixing of the fluid and the particulate phases in a continuous gibbsite precipitator was investigated for three different micromixing states, namely maximum mixedness (MM), complete segregation (CS), and maximum mixedness of the fluid but complete segregation of the particulates (MMF-CSP). The influence of the micromixing on continuous precipitation of gibbsite was studied at different precipitation conditions via simulation. Three different cases were considered with respect to the precipitation kinetics: (1) gibbsite secondary nucleation is favoured with slow crystal growth and agglomeration rates; (2) gibbsite crystal agglomeration and growth are dominant mechanisms with secondary nucleation suppressed; and (3) gibbsite crystal growth is the only relevant phenomenon. Simulation results for the cases (1) and (3) showed that the crystalline products for both the MM and MMF-CSP micromixing states were very similar, but the product obtained from the CS micromixing state was considerably different. This indicates that at those precipitation conditions the fluid micomixing has the dominant effect on the product properties, and the particulates micromixing effect is insignificant. However, when operated under the conditions of fast crystal growth and agglomeration kinetics, i.e. case (2), both the fluid and the particulates micromixing were found to affect the precipitation process, resulting in a significantly different product. Computational Analysis in Hydrometallurgy 35th Annual Hydrometallurgy Meeting held in conjunction with the 44th Annual Conference of Metallurgists ofCIM Calgary, Alberta, Canada Edited by

Jan 1, 2005

By Rick J. Chalaturnyk

In Alberta, oil sands bitumen is utilized for synthetic crude oil production by surface mining, bitumen extraction followed by primary (coking) and secondary (catalytic hydrotreating) upgrading processes, or by catalytic hydrocracking and hydrotreating replacing the primary and secondary upgrading processes. Oil sands tailings, composed of water, sands, silt, clay and residual bitumen, is produced as a byproduct of the bitumen extraction process. Several processes have been proposed for the treatment of oil sands tailings, resulting in different recovered water characteristics, consolidation rates and consolidated solid characteristics, which may have effects on the performance of the overall plant operations. A process for the same purpose has been developed by treating the oil sands tailings with CaO lime and CO2 and thickening it using a suitable thickener. In this process a release water of acceptable properties is recovered in a short retention time, which makes it possible to recycle the recovered water, probably after a reconditioning treatment, as warm as possible to improve the thermal efficiency of the extraction process. The paper presents the theory and laboratory results for the CaO and CO2 thickening of low temperature flotation tailings. The water release rates, segregation potential of the thickened underflow and chemistry of the release water are shown and discussed. It is suggested that in using the proposed process, the thickened tailings underflow can be disposed for further consolidation, or combined with the coarse tailings to produce Blended Composite Tailings, corresponding to the Composite Tailings process in the existing hot water extraction plants.

May 1, 2002

By Seong-Taek Lim

Recently, 7xxx aluminum alloys have been evolved into new variants for thick semiproducts which have low amount of 2nd phases and low quench sensitivity. Commercial 7xxx alloys, especially in the thick forgings made of big ingots, often entail microstructural inhomogeneities and concurrent poor mechanical properties due to limited heating ranges and slower quench cooling. In this study, high strength aluminum alloy 7175 and 7050 are adjusted as an attempt to control the equilibrium phases (M-, T- and S-phase) to have optimum microstructure for the thick forging applications. The effects of the relative content of (Zn, Mg, Cu) on the evolutions of the coarse equilibrium phases, hardening response and resultant mechanical properties are investigated. Equilibrium phases (M,T,S) are evolved depending on the constitutional effect, primarily the change of Zn:Mg ratio, and cooling rate following solutionizing. The formation of the T- and S-phases is effectively controlled, and M-phases are homogeneously precipitated in the adjusted (dilute and high Zn:Mg ratio) alloys. It provides extended heating range and lower quench sensitivity than conventional alloys. The attempts ensure the microstructural homogeneity and improved properties, and is expected to be uniquely applicable in 7xxx thick forgings.

Jan 1, 2004

By L. G. Bergh

The experience developing a supervisory control and information systems in a SX pilot plant is presented. The plant is located at the Process Control Laboratory, Santa Maria University, in Chile. In this work, the problem of controlling this process is discussed and related literature is briefly reviewed. Then, an innovative control scheme organized in three levels, local, hydrodynamic, and metallurgical supervisory controls is presented in an architecture including field controllers, PLC, and PC networks. Operating decisions in the metallurgical supervisory control are taken with incomplete information from on-stream analyzers. The control proposed is based on metal and acid concentration predictions of intermediate and exiting streams through the use of dynamic and static models and flow rates and input concentration measurements. Preliminary results are presented. The main objectives are to develop and test intelligent techniques in a hybrid system, and to study measurement and supervisory control problems. It is expected to produce reliable results that will contribute to improve the efficiency of this emerging and important process.

Jan 1, 2007

By E. Brzychczy

Artificial intelligence techniques are ever more frequently implemented in the modern world. One of their numerous uses is supporting enterprise management. Intelligent techniques and intelligent information technology (IT) systems can be implemented in mining-related issues as well. The author of this article concentrates on supporting the process of planning mining operations by intelligent systems and techniques. The author also underlines the importance of knowledge accumulation in a mining enterprise (especially tacit knowledge) as well as its efficient storing and using. Additionally, the author provides a short description of characteristics of intelligent IT systems and indicates their capabilities in planning mining operations. She presents two solutions, namely: an advisory system which supports the process of planning preliminary works and exploitation works in hard coal mines, and a method of modeling and optimizing mining operations. Finally, the author indicates a few possible future development trends of intelligent systems - the intelligent systems of decision support.

Aug 1, 2013

By Gareth Barnes

Traditional approach to improvement is driven by good ideas from good people, but whilst the business case may sound good, when the project is complete, we often have not delivered on expectations.  Why not? The best way to successfully predict the outcomes of an improvement effort in a complex process is through using statistical modelling, which considers the impact of uncertainty within interacting processes.  Applying Theory of Constraints in a model helps leaders to quickly determine: Where the constraining process(es) is/are Where improvements will add the most value How much improvement should be targeted - before the next constraint takes over The confidence level of achieving a given target, which gives us a clear pathway to improvement. This paper presents an analysis of statistical modelling applications at Vale’s Manitoba Operations to achieve the 2025 targets. Using statistical modelling of the Business Structure, the team identified a series of process improvements through a Theory of Constraints Analysis. Value Stream Maps (VSMs) were used to define the required data, apply statistical modelling, and conduct training sessions enabling the Manitoba team to identify the constraining influences. Scenario testing in the Statistical models helped identify the Hierarchy of Constraints and specify the pathway to improvement. How to Improve a Business Video link https://vimeo.com/344418155

May 4, 2025

By P. Coursol

The Noranda Reactor Process (NRP) has been in operation now for more than 30 years and this mature process has attained a high level of performance. The NRP at the Home Smelter of Xstrata Copper treats a wide range of feed materials and a thorough knowledge of both process control and smelting physico-chemistry has been beneficial to help meet the required plant flexibility. In this regard, some level of predictive knowledge related to slag chemistry, in particular, the liquid and solid phases such as spinels or olivines, has been found to be beneficial. In the last decade or so, the availability of commercial thermodynamic modeling packages, such as Factsage1m have been utilized with advantage to help the plant optimize slag chemistry and minimize problems from difficult slags, for example, those the could arise from undue feed variability. This paper illustrates the application of this software in examining a range of operating parameters such as: %Fe in product matte, the %Fe/%Si02 ratio in the slag, the levels of minor slag components including CaO, Ah03, ZnO, and MgO, and the level of oxygen enrichment on the operating conditions of the NRP. The slag composition boundaries at the conditions affecting magnetite control and solid magnetite/other precipitated solid phases, as well the conditions influencing the slag liquidus ranges of NRP slags are also discussed with respect to the overall process chemistry.

Jan 1, 2007

By Mengsu Hu, Yuan Wang, Jonny Rutqvist

Material interfaces and typical boundary conditions are boundaries influencing the existence, uniqueness and stability of numerical solutions of water flow in heterogeneous media. The Numerical Manifold Method (NMM) with a two-cover-meshing system is an ideal method to handle boundaries, considering its flexibility with no need to adjust mathematical nodes onto boundaries, the meshing efficiency, and its integration precision. In this study, we derive and compare two new approaches for boundary constraints, i.e., a discontinuous approach with Lagrange multiplier and a continuous approach with jump function in the frame of NMM. In the discontinuous Lagrange multiplier method (LMM), Dirichlet boundaries or the material interfaces are regarded as discontinuities which are linked by Lagrange multipliers. In the continuous Jump function method (JFM), the material interfaces are regarded as inner interfaces, where the refraction law is realized by constructing jump terms with discontinuity of hydraulic gradient in its normal direction. Both the continuous and discontinuous approaches make full use of the aforementioned advantages of NMM and are established based on a clear physical meaning of water flow by our energy-work seepage model. The newly derived boundary-constraint approaches were coded into an NMM water flow model and tested for precision and efficiency on different simulation examples. We first tested both LMM and JFM for an idealized heterogeneous model, comparing the numerical results with analytical solutions. Then we tested both approaches with a heterogeneous model and compared the results of hydraulic head and specific discharge. We proved that both approaches are very suitable for material boundaries considering the accurate realization of the boundary constraints and the flexibility with no need for mesh-conforming.

Jan 1, 2015

By Dogan Paktunc, Larry J. Hulbert, Robert C. Carne, D. Conrad Grégoire

Abstract -A thin layer of stratiform Ni-Zn-PGE sulfide mineralization of sedimentary-diagenetic origin was deposited during the Middle to Upper Devonian in the euxinic "Nick basin". The mineralized unit (2:3 cm thick), which seems to have been developed over the entire sedimentary basin of >80 km2, consists of pyrite, vaesite (NiSi), and sphalerite. The average grade of the mineralization is about 5.3% Ni, 0.73% Zn, ?770 ppb (PGE+Au), and up to 61 ppm Re. Anomalous Se, As, Mo, P, Ba and U are present. A minimum of 0.90 x 106 tonnes of Ni were deposited in the basin (based on a bed thickness of 3 cm) during the Devonian. The unique metal association, extensive lateral distribution, persistent metal grade, mineralogical makeup, and stratigraphic control demonstrate that this is a new deposit type and a new geological environment for Ni and PGE +Au. The sulfide layer occurs at the base of a Phosphatic Chert Member which is underlain by a distinctive marker unit consisting of concretionary limestone structures. The limestone spheroids may represent a vent-specific carbonate facies developed adjacent to faults that emanated nutrient­ rich hydrothermal discharges just prior to the main mineralizing event. The suite of elements associated with the Nick mineralization suggests that the ore-forming metals were originally bound to organic matter derived from decaying marine organisms. Discharge of hot brines bearing organic­ matter-bound metals took place along numerous conduits within basin faults that are now manifest as bitumen veins. Our syndiagenetic model proposes that these fluids were discharged laterally from the conduits into the unconsolidated bottom sediment (ooze). The introduction of this metalliferous fluid, rich in organic matter, stimulated biological activity and bacterial reduction of its contained S04 to sulfide. Hot, dense, laterally migrating hydrothermal fluid precipitated thin sulfide-rich 1arninae within bottom sediment. Published thermodynamic studies suggest that the diagnostic vaesite­ pyrite assemblage crystallized at approximately 138°C. The ?34:S values range from -14.7 o/oo to-10.0 o/oo and are up to 34 o/00 lighter than locally surrounding sulfides and age-equivalent mineralized strata elsewhere in the Selwyn Basin. The ?13:C values of calcite in the footwall of the mineralized unit ( -12 o/00 to -6 o/00) are isotopically much lighter than regional values. The lighter isotopic character is attributed to the hydrothermal discharge of fluids enriched in organic compounds. Although geochemical profiles of the lower Earn Group sediments that host the Nick mineralization reveal that these black shales are not distinctive, the unusual Ni, Zn, PGE, U, Ba, and P elemental associations and their anomalous concentrations in stream sediments can be used to explore for this deposit type.

Jan 1, 1992

By J. Petit

"In July 2004 workers at the ABI Smelter in Bécancour (Quebec, Canada) went on strike. Contingency plan were ready to face the situation and plan was done to operate one potline out of three. Two lines were stopped; keeping in mind the restart on cold metal after the strike was over. The subject to be presented and shared includes a summary of work organization including training, schedule of restart, pot cleaning, pot preparation, crash start method, follow up after crash start, safety and environment. This major project has been a very big challenge. It shows that people involvement is a must and the key success. It is then true to say : ""People who believe in success will work and act in order to get there"" and ""People who don't believe in success will act in such a way to fail"" Then both will prove they were right to think their own way ! Sharing such experience can be interesting because it's a true story and people like true stories."

Jan 1, 2006

By C. O. Swanson

THE purpose of this paper is to discuss the use of the dip needle in the field of mining geology. The subject matter is new only to the extent that it reflects the writer' s added experience in recent years. The treatment is brief, and those interested in a more extended analysis are referred to the articles listed at the end of the paper. In the discovery and tracing of mineral deposits, the clip needle, like most other geophysical instruments, can be used in two ways. One method may be termed direct; the other, indirect. The direct method is that of finding or following certain ore-bodies by virtue of their magnetic properties. Explicitly, or by inference, it is the method which many mining men and practising geophysicists have in mind when they consider whether or not a certain property should be studied by geophysical means. In the ideal case, this method demands little or no knowledge of geological conditions. The indirect method uses the clip needle as an aid to purely geological studies in working out the structure of a mineralized area. Although not as simple as the direct method, it enjoys a much wider field of usefulness. The writer's experience in the past fifteen years, which is believed to be typical, is that the indirect method finds application four or five times as often as the direct method. The indirect method is of particular value because it furnishes information concerning the relationship between geological structure and ore occurrence. Most mining engineers will agree that structural control is an important factor in the localization of ore deposits, and therefore that the subject under consideration is of some interest in mining geology. Specifically, then, the present purpose is to outline the principles and practice of using the clip needle in working? out geological structure.

Jan 1, 1941

By M. A. Perras, H. A. Kasani, G. Walton

The development of an underground repository for the storage of spent nuclear fuel relies on a multi-barrier system to isolate the used fuel from the environment – ultimately, the biosphere. These barriers include engineered copper and steal canisters, dense bentonite, and the natural rock as well. In order to reduce the potential flow pathway along the excavation induced damage zone, various slots perpendicular to the excavation axis have been proposed. These slots are called cut-off seals and generally are filled with bentonite as it has high swelling potential and very low permeability. Many different geometries have been proposed, but clear guidelines on the selection of the optimum geometry have yet to be developed. In order to assess the optimum geometry, three shapes have been selected for this numerical study, including a trapezoid, a triangle, and a thin rectangular slot. The cut-offs were modelled for a conceptual shaft constructed in the Queenston Formation from Ontario over a stress to strength ratio that has been found at many underground research laboratories. It was found that the excavation of a triangular and thin slot cut-off had the smallest increase in the damage as quantified based on the extensile volumetric strain within the plastic yield zone. Both shapes showed an increase in the damaged zone by 13 cm at a stress to strength ratio of 2.75. The trapezoidal cut-off damage zone increased by 20 cm at the same stress to strength ratio. Further study is required to better define the optimum cut-off shape for wider variety of conditions and other geological formations.

Jan 1, 2020

By E. Heikkinen, J. Suikkanen, T. Siren, J. Valli, M. Hakala

Diametrically faced borehole breakout observations are a fairly good indication of magnitude of the secondary stresses acting perpendicular to the borehole. In cases of low in situ stresses, where borehole breakouts are not observed naturally, it is possible to increase the prevailing stress state around the borehole by increasing the rock temperature. When the temperature is increased sufficiently, thermally induced borehole breakouts will occur. By implementing the temperature increase in boreholes located at excavated tunnels, it is also possible to study the effect of the near-field stresses caused by the excavation. The near-field stress state changes as a function of borehole depth, thus increasing the information available from experiment. To study the feasibility of this proposed low cost method, a Borehole Thermal Spalling (BTS) experiment was executed in ONKALO Underground Rock Characterization Facility, in Western Finland in 2014. The first borehole pilot test with the method was conducted in ONKALO at the POSE niche in already at May 2010, with the second pilot test following in August 2010 at Äspö HRL. The major objective of the experiments was to define the trend of the maximum in situ stress component, while also providing knowledge of the in situ spalling strength of the ONKALO rock mass. The stress state in ONKALO is nearly isotropic in horizontal layer, causing problems for the use of more traditional stress measurement methods. With boreholes heated over long interval, the weakest rock parts are observed to fail, thus providing statistical confidence. For these reasons, continuous test sections have an advantage in ONKALO, compared to spatially limited stress measurement methods such as overcoring and hydraulic fracturing. The BTS experiment is conducted in 9 meter deep vertical boreholes located at the POSE niche, situated -345 m depth below the ground surface. The boreholes used within the BTS experiment are located in migmatitic granite, in an experiment area where the surrounding stress state and the rock strength are fairly well known. The prior knowledge of the stresses is favourable for the experiment, as it requires careful planning and iterations to determine the appropriate heating power domain. Too low heating power will not be sufficient to cause borehole breakout, while too high heating power causes breakout in all directions thus making determination of stress direction hard or impossible. The initial state of the borehole and induced borehole breakouts will be monitored using acoustic televiewer logging (ABI) and optical borehole logging (OBI) imaging techniques. Fracture mechanics modelling is used in planning of the experiment, also in back-analysis to link the observed breakout angle to stress state. Both the pilot test in 2010 and BTS test in 2014 resulted in similar borehole breakout direction. The results are in line with so called EDZ & VT1 stress interpretation, revealed the maximum horizontal component bearing the magnitude of 21.5 MPa, with the trend of 166°.

Jan 1, 2015

By O. C. Rojas, J. Sanhueza, J. C. Vargas

Empresa Nacional de Minería (ENAMI) is dedicated to the promotion of small and mid scale Chilean mining industry. Paipote, ENAMI Copper Smelter, processes a variety of mineral products as the result of this promotion. The mineral products characterize a wide variation of copper, iron, sulfur and precious metals content as well as the significant dispersion in the content of impurities, such as arsenic, antimony and bismuth. The Smelter Modernization Program, initiated in1997, introduced a series of technological and operational changes. The development of operational planning and control strategies was necessary to optimize the blending of a wide variety of concentrates and the control of metallurgical processes in order to ensure the stable operation, fulfillment of environmental regulations and the quality of produced copper anodes. A permanent optimization process carried out in the last decade led to the permanent increase of the smelting capacity and the production of anodes and sulfuric acid. Additionally, introduced improvements affected the smelter efficiency and metallurgical recovery, demonstrating the possibilities of the optimization of a small smelting facility reflected in good metallurgical and economic results. This paper presents the smelter evolution, introduced technological and process control changes as well as incorporated new reactors and equipment as a continuous process of optimization.

Jan 1, 2007

By Michael Samis

Conventional project valuation techniques, such as discounted cash flow (DCF) method, are more frequently being criticised for the manner in which they consider the interacting effects of uncertainty and project structure (including management flexibility) on project value. Modern asset pricing (MAP; often called ?real options valuation? when applied to the analysis of flexibility) is a more general valuation framework that corrects many of the shortcomings of common valuation methods. Previous mining applications of MAP have tended to treat the ore deposit as a homogenous entity. While useful for demonstration purposes, this is inadequate for practical application in industry. This paper presents a MAP valuation example that allows for the heterogeneous nature of an ore deposit. It shows that deposit structure may increase the complexity of the mine planner?s decision so that results of a standard DCF analysis, or a simple MAP analysis that ignores the details of deposit structure, are misleading. In the example, a management is considering the development of an adjacent low-grade zone while mining operations in a high-grade zone are ongoing. If the low-grade zone is developed before high-grade reserves are exhausted, the proposed development will include both low-grade zone development and a capacity expansion to handle additional low-grade reserve production. If development of these reserves is delayed until the high-grade reserves are depleted, then the low-grade reserves can be developed without a capacity expansion. A typical DCF analysis would reduce the management?s decision problem to three alternatives: 1) continue mining only in the highgrade reserves, 2) immediately develop the low-grade reserves and expand capacity, and 3) delay low-grade zone development until the high-grade reserves are exhausted. The model presented here allows the management to reconsider the development and capacity expansion decision on a discrete half-year basis. It delineates price regions, for given levels of high-grade zone reserves, in which it is optimal to develop the low-grade zone, defer low-grade zone development and abandon the mine irrevocably. The model presented here extends the ability of mine planners to describe actual project structure while using the MAP valuation framework that is already noted for its capacity to combine project uncertainty and risk insights with a dynamic project description.

May 1, 2001

By N. H. Grace

"IntroductionA STRIKING FEATURE of the past twenty years has been the application of organized scientific and industrial research to problems of national defence and security and to the development of our natural resources. It has been shown that effective research improves public health, increases the productivity of land, makes mineral wealth available, and increases the efficiency and productive capacity of industry. Alberta is a region bounteously provided with a variety of natural resources, and the Province has entered into a period of unprecedented industrial development. There is, surely, a great opportunity to bring scientific research to bear •on problems associated with the development of these natural resources.I propose to spend a little time discussing the term 'research', indicating something of the various types of research and those fields which appear to •be the particular responsibility of government bodies. It seems logical, also, to outline the course of development .of industrial and scientific research in the English-speaking world during the past twenty-odd years.Research is investigation, examination, or enquiry, and involves the application of human thought, and actions, to the unfolding of new knowledge. That knowledge may assume a variety of forms. Fundamental knowledge may be new facts related to some form of matter, to motion, space, thought, and so on. Those engaged in applying the natural sciences have no monopoly on research as this term is equally valid for those engaged in obtaining, sorting, relating, and interpreting the facts of history, literature."

Jan 1, 1952