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"Virtual reality, a 3D computer-generated environment, has become a recognized delivery system for many forms of education. This paper describes the application of virtual reality to mineral processing education. An interactive mineral processing visualization module developed at the University of New South Wales, Australia, provides users with an overview of a base-metal concentrator and details about how the mined ore progresses through stages in processing. The module also involves developing instructional based plant layouts and flowsheets in the virtual environment. These assist the user in understanding the essential components of the base-metal concentrator.RÉSUMÉ La réalité virtuelle (RV), un environnement en 3D généré par ordinateur, est devenue un système de prestation reconnu pour diverses formes d’éducation. Cet article décrit l’application de la réalité virtuelle à l’éducation dans le domaine de la minéralurgie. Un module interactif de visualisation du traitement des minerais développé par l’université de Nouvelle-Galles du Sud, en Australie, offre aux utilisateurs une vision d’ensemble d’un concentrateur de métaux communs ainsi que des détails concernant la progression du minerai extrait à travers les différentes étapes de traitement. Ce module implique également le développement de schémas de réalisation et de traitement didactiques dans l’environnement virtuel, lesquels schémas aident les utilisateurs à appréhender les composantes essentielles d’un concentrateur de métaux communsINTRODUCTIONVirtual reality (VR) is the creation of an artificial environment that is experienced through sights and sounds provided by a computer (Squelch, 2001). The simulated environment is achieved through technologies such as 3D graphics, audio feedback, and special peripheral devices to produce interactive environments.Virtual reality has been used in diverse fields including medicine (Riener & Harder, 2012), entertainment (Hsu, 2011), military (Manojlovich, Prasithsangaree, Hughes, Chen, & Lewis, 2003), manufacturing (Zimmermann, 2008; Jiang, 2011), and chemical processing (Squires, Andersen, Reklaitis, Jayakumar, & Carmichael, 1992; Schofield, Lester, & Wilson, 2005). Virtual reality is also becoming the recognized delivery system for education in many fields, including engineering (Bell & Fogler, 1996, 1998; Shin, 2002). For example, VR laboratories have been designed and developed to teach users fundamental features of heterogeneous catalytic mechanisms and absorption columns (Bell & Fogler, 1995), the multi-phase and multi-component blast furnace iron-making process (Babich & Senk, 2009), and to guide users to identify various safety measures while working in a real laboratory (Bell & Fogler, 1996)."

Jan 1, 2017

By Siavash Zamiran, Abdolreza Osouli

"One of the most concerns of room and pillar mining system is subsidence of the ground surface due to coal mining particularly in room and pillar mines. Subsidence of ground surface is a result of floor, pillar, or roof failure of the mine. At the same, due to many difficulties associated with surface disposal facilities of coal refuse, some mining companies are trying to use underground space as a disposal storage place. In this study, stability and subsidence analyses of an underground coal mine located in the Illinois Basin are conducted. This room and pillar mine was abandoned and later on was used as a storage place to accommodate the coal fine refuse with slurry backfilling method. The geological stratigrophy and geomechanical properties of the mine floor and roof were collected. Floor and pillar stability analyses were conducted for areas with various extraction ratios. The stability of the mine was evaluated both prior and after slurry backfilling. The floor and pillar stability analyses results of the mine due to moisture exposure after slurry backfilling are discussed. The subsidence potential due to mine failure is also evaluated.INTRODUCTIONA typical lithology of coal seams in the Illinois Basin consists of weak underclay stratum. The immediate weak underclay causes frequent floor instability problems in Illinois underground coal mines. There are two different stages in assessing floor stability of the mines where slurry backfilling is planned. The first stage is during the mining operation when weak underclay layer squeezes under pillar stress and results in punching or bearing capacity failure. The second stage is after slurry backfilling. During this stage, the slurry material soaks non-durable floor layers and causes strength reduction in floor material. Pillar stability conditions should also be taken into account during both the operational period and after the slurry backfilling."

Jan 1, 2015

By P. R. Goad

"Kidd Creek is a large volcanogenic base metal sulphide deposit, located near the west end of the Abitibi greenstone belt, 27 km north of Timmins, Ontario. The rhyolite geology is characterized by a NNE-striking and steeply east-dipping package of rhyolite volcaniclastics upon which has been imposed a strong ESE-striking and north-dipping structural fabric . Massive rhyolite units with grey-black. chloritic cores and yellow, sericitic margins intrude as dykes into the stratigraphic footwall and as sills higher in the stratigraphy. Massive rhyolite units positioned near the top of the felsic pile exhibit an extensive marginal development of hydraulic fracturing and are termed crackle-brecciated rhyolite.The stringer sulphide zone is positioned in a lobate blanket of crackle-brecciated rhyolite at the top of the felsic pile. The stringer sulphide zone is characterized by a mature chemical alteration, being specifically depleted in alkalis and enriched in iron-rich chlorite. with accompanying silica, sericite and carbonate alteration. A suite of trace elements characterizes this mature alteration. The massive rhyolite units, which intrude lower in the rhyolite volcaniclastics, exhibit a core of weak chlorite alteration and strong marginal sericite alteration. Tight or unfractured massive rhyolite units are essentially devoid of sulphide mineralization and exhibit a suite of trace elements characteristic of this immature alteration. It is interpreted that the massive rhyolite units intruded into an already evolving system and ""choked-off"" active conduits carrying hydrothermal fluids and subsequently acquired an immature alteration signature. Rhyolite units positioned higher in the pile developed intense hydraulic fracturing and a mature alteration coincident with the formation of the stringer sulphide zone. In summary, a model, based strictly upon the rhyolite geology, is reviewed to assist in the exploration for volcanogenic base metal sulphide deposits."

Jan 1, 1985

By Nobuyoshi Yabuki

Building Information Modeling is a prevailing methodology in the building industry and half (by length) of the world's shield tunnels are in Japan. Accordingly, for shield tunnels from 2005 to 2007, we developed a product model called IFC-ShieldTunnel, which is based on Industry Foundation Classes (IFC), in order to meet the future demand for such a product model. IFC-ShieldTunnel was developed by adding new elements that are specific to shield tunnels and that are not included in the original IFC. The added elements include shafts, segments (A, B, and K types), waterproofing elements, segment joint elements, and ring joint elements. Furthermore, soil layers and void elements were created. Recently, we updated the product model by re-organizing the entities and correcting errors. We deployed the updated IFCShieldTunnel model in the construction of an actual shield tunnel in Tokyo for about a year from August 2010 in order to check its feasibility. In the verification process, first, segments were modeled using Autodesk Revit Structure 2011 and property data were assigned to each segment element. Next, a mapping between the original attributes of the entities of IFC and properties of IFC-ShieldTunnel segments was developed. Using this mapping and IFC?s IfcBuildingElementProxy function, we were able to convert the IFC data from Revit Structure 2011 to IFC-ShieldTunnel automatically. Segment data were also converted from Revit Structure to Google SketchUp by IFC-ShieldTunnel. Furthermore, the construction scheduling and cost data were converted from Revit Structure to EXCEL for 4D and 5D analyses of construction. We interviewed engineers who used IFC-ShieldTunnel and received positive comments about the utilization of the product model. Overall, our test demonstrated the feasibility of IFC-ShieldTunnel. In future work, we plan to apply IFC-ShieldTunnel to more projects and test its practicality.

Aug 1, 2013

By C. Ayora

The Iberian Pyrite Belt (SW Spain and Portugal) contains one of the largest reserves of pyrite in the world with mining activities dating back to prehistoric times. About one hundred abandoned mine wastes and galleries release a huge acidity and metal load to the Tinto and Odiel rivers. Once the mining activity is over, polluting discharges can persists for decades or even centuries with no specific responsible entity. In-situ passive remediation technologies are especially suitable for these orphan sites. The concept is to insert a reactive porous material in the natural flow path of contaminated surface and ground waters, and it is implemented through infiltration ponds and reactive barriers, respectively. Calcium carbonate pea-size gravel is the common alkalinity supplier to neutralize acidity and precipitate metals. These remediation systems have been traditionally implemented in coal mines. However, the acid drainages from the Iberian Pyrite Belt contain metal concentrations one to two orders of magnitude higher than those from coal mines and require special designs to avoid quick clogging or passivation (coating) of the grains of reactive material. To overcome these problems, a Dispersed Alkaline Substrate (DAS) mixed from fine-grained limestone sand and a coarse inert matrix (e.g. wood chips) was developed. The small grains provide a large reactive surface and dissolve almost completely before the growing layer of precipitates passivates the substrate. The high porosity and the dispersion of nuclei for precipitation on the inert surfaces retard clogging. However, limestone dissolution only raises pH to values around 6.5, which is sufficient to precipitate the hydroxides of trivalent metals (Al, Fe), but it is not alkaline enough to remove divalent metals. Magnesium oxide, which hydrates to Mg hydroxide upon contact with water, buffers the solution pH between 8.5 and 10. A DAS system replacing limestone with caustic magnesium oxide has been tested to be very efficient to remove divalent metals (Zn, Cd, Mn, Cu, Co, Ni, Pb) from drainage previously treated with limestone.

Aug 1, 2013

By John Loop, W. A. Gibbins, Donald D. Hogarth

"Introduction Background The Frobisher voyages of 1577 and 1578 were organized by the Cathay Company for the express purpose of finding and mining gold ore. Since publication of the Baffm expedition of Charles Francis Hallill, the location of Kodlunarn or Countess of Warwick Island, the headquarters of Frobisher's third (1578) voyage, and focal point of the largest Arctic voyage of all time, has been known to the world. Through Hall we also know the location of the Countess of Warwick Mine on Kodlunarn Island. However, the exact locations of the other mines are not known. Of the ""ore"" we know little. Pieces of the original ""black stone"", once as large as ""a half-penny loaf' have now disappeared altogether. Specimens collected at random from the repository of shipments in England and from loose rock on Kodlunarn Island were termed, respectively, ""hornblende pyroxenite"" and ""amphibolite"" and from a locale about 200 yards from Kodlunarn as (hornblende) ""pyroxenite""121. However, it is uncertain whether these specimens are representative of Kodlunarn or of the other mines, although Blackadar131 notes that, in the northern trench of Kodlunarn, biotite gneiss contains lenses and bands of amphibolite. The ""gold"" itself is even less well defined. It has long been accepted that gold was virtually absent in Frobisher's ore. The ""gold"" has been termed pyrite, biotite and both biotite and pyrite together. Even t h e word "" marquesset"" , which appears and reappears in contemporary descriptions, is nebulous and is defined as ""a stone participating in the nature of some metal, yet in so small quantity, that the metal cannot be melted from it"" (0.E.D., definition of 1616)."

Jan 1, 1999

By S. Lun Sin

In this study, the effect of silicon on the microstructure, mechanical properties and hot tearing susceptibility of permanent mould cast AZ91E magnesium alloy was investigated. Varying amounts of silicon (0.5, 1.0 and 1.5 wt.%) were added to AZ91E in the form of an Al-53 wt.% Si master alloy. The phase formation, grain size and solidification behavior of each alloy were characterized and related to their tensile properties and hot tearing susceptibility. The results showed that the addition of silicon resulted in the formation of Mg2Si particles. The presence of these particles led to an increase of the hardness, but was detrimental to the tensile strength and elongation of AZ91E. However, silicon significantly reduced the hot tearing susceptibility of AZ91E. This was attributed to the reduction of the grain size and the decreased freezing range of AZ91E, which contributed to improve the interdendritic feeding during the last stage of solidification.

Jan 1, 2011

By R. D. Brown

"AbstractOver the past five years, tax rates in the Canadian mining industry have skyrocketed upward across Canada, as both federal and provincial governments have sought to increase their share of mining revenues.However, the past few years have not only brought high tax rates to the industry, but also a number of important new federal and provincial tax incentives.In large part, these incentives ~ special credits or reduction in tax for carrying out specific exploration, processing or other activities - have helped to moderate the adverse effects of the higher tax rates and have provided inducements for exploration and processing activities which might not otherwise have been undertaken.However, the effectiveness of certain of these incentives can be questioned: our over-all tax structure now consists in large part of punitively high marginal rates with some extraordinarily generous but capricious tax reductions for specific activities and may not be in the best long-term interest of either the industry or the nation.A rational tax structure, with moderate and stable tax rates, together with reasonable incentives confined to activities specifically requiring them, could be a more effective spur to investment than the present tax and incentive jungleIntroductionIN THE YEARS since federal tax reform, the mining industry in Canada has faced a continued escalation in its tax burdens as federal and provincial governments have leapfrogged each other in imposing new and higher taxes on the industry. The result has been that marginal tax rates imposed on mining and processing activities throughout Canada have jumped to hitherto unparalleled levels."

Jan 1, 1977

By Robert B. Parsons

"Several recent cases indicate that the Courts may be leaning toward a more favourable treatment of mine closing and related costs. In this article, we look at two recent cases, Burnco Industries Ltd. and Nomad Sand & Gravel Ltd. The former was heard before the Federal Court - Trial Division and the latter before the Tax Review Board.It appears that in certain situations mining companies may now be able to sustain current deductibility of estimated mine closing costs during the productive years of the mine, rather than waiting until either the date on which mining ceases or the reclamation and similar activities commence. This would be of great benefit to the mining industry, as waiting until the bitter end often means that there are no revenues available against which the expenses may be offset and, hence, no tax relief.IntroductionUnder the Income Tax Act in Canada, taxpayers are not permitted any deductions in respect of an outlay or expense in determining income from a business or property, except to the extent that such expenditures are made or incurred by the taxpayer for the purpose of gaining or producing income. In addition, no deductions are permitted for amounts transferred or credited to a reserve, contingent account or sinking fund except as expressly permitted by the Act.In large measure, these provisions are relevant to the mining industry to the extent that they determine the periods during which expenses may be charged against revenues for income tax purposes. Several recent cases have indicated that the Courts are leaning toward a more favourable treatment of accrued costs in the mining industry than was previously considered to be the case."

Jan 1, 1982

By J. Arzúa, L. R. Alejano, P. Rodríguez

"After six years of successful excavation with a support pattern, some roof failures have happened in a room-and-pillar underground mine excavated in a stratified rock mass. In this paper the authors give explanation to the failure mechanisms and redesign the support in order to solve the recent problems of roof collapse.The mine magnesite bed is approximately 14 m thick, and runs in the E-W direction with an average dip of 18º. Due to mine constraints and the inexpensiveness of the ore, the excavation is performed in the mineral itself, avoiding the need for mining dumps and waste excavation. Rooms and drifts are oriented in the mineral bed to form an angle of 19º to the direction of the strata, reducing the roadway gradients to less than 10%. Rooms are 11 m wide and pillars are 7 m wide. They are designed to leave a 1 meter thick magnesite bed in the roof of the rooms to act as a supporting beam. More often than not there is a layer of very poor quality marly shale up to 1 m thick resting on this magnesite beam. Overlying the poor quality marly shale there is a better quality, self-supporting sandy shale.First, a characterization of the involved rock masses (magnesite, marly shale and sandy shale) is performed, collecting the geotechnical data from previous studies and performing new in situ geotechnical surveys to check the soundness of the previous data. A distinction is made between different quality zones inside the mine by means of the RMR classification, associated to the occurrence of faults.Back-analysis of some of the failed rooms and data from exploration boreholes were used to determine the failure mechanisms (associated to Voussoir type failure or occurrence of sub-horizontal joints crossing the magnesite beam). Based on an understanding of these mechanisms, the method used to design the support and to analyse the stability of the different possible thicknesses of the magnesite beams of the rooms and drifts of the mine were improved.Numerical models of the most relevant conditions found in the mine were performed in order to better understand the behaviour of the roofs and to simulate the supporting solution obtained in the previous analyses.The most relevant conclusions with regard to the main elements causing the instability of the roof include the appearance of sub-horizontal discontinuities crossing the magnesite bed, which causes total instability of the roof and usually leads to collapse; excessive thinness of the magnesite beam in the problematic rooms; and the relaxation of the deepest (around 270 m in depth) zone of the mine because of existing faults."

Jan 1, 2015

By D. F. Machuca-Mory

The new algorithm for high-order simulation of ore deposit grades termed HOSIM is based on the concept of spatial cumulants. The algorithm is tested using data from Apensu, a structurally controlled gold deposit in Ghana. The required high-order spatial structures are obtained from a training image or analogue of the deposit. Using the available drillhole data and training image, HOSIM realizations are able to model well the grades and geometry of the large and well sampled mineralized structures. However, under-sampled small structures remain difficult to model. HOSIM offers a promising alternative for the spatial simulation of complex non-Gaussian orebody attributes of interest.

Jan 1, 2011

By R. S. Adhikari

It is necessary to assess the physical and functional conditions of highway bridges at regular intervals to ensure they still meet their service requirements. Currently, this condition assessment is mainly performed through visual inspection, which has been identified with several limitations (e.g. the timeconsuming assessment process and heavy reliance on inspectors? personal experience). In order to overcome these limitations and enhance the current inspection practice, this paper presents a novel method for automated bridge condition assessment using a hybrid sensing system. Under the method, existing conditions of bridge components are first captured with a stream of point clouds and color images. Then, the bridge components and the defects inflicted on the components are detected utilizing their visual patterns. The detection results are mapped to the point cloud. This way, the 3D information of the components and defects can be retrieved. The bridge condition assessment can be made effectively through the 3D visualization of this information before carrying out any on-site detailed evaluations.

Aug 1, 2013

By Kai Zhang, Aijun Huang, Jeremy H. Rao, Xinhua Wu, Paul Rometsch

"As one of the most typical additive manufacturing (AM) technologies, selective laser melting (SLM) removes many of the shape restrictions that limit materials design, thereby allowing computationally optimised and high performance structures to be directly produced and tested. Due to the high reflectivity and lower absorptivity of Al alloy A357 powder during high temperature laser melting, one of the issues SLM might bring is the surface roughness and defects present on the parts. In this regard, this study investigates the surface roughness – fatigue property relationship for a heat-treated aluminium alloy A357 after SLM. Via the adjustment of SLM parameters, an ultrafine microstructure can be obtained due to the fast solidification rate. Therefore, comparable or even better mechanical properties can be achieved with respect to traditional A357 casting counterparts. Meanwhile, the surface roughness conditions of the SLMed Al alloy are also influenced by various processing parameters, raw powder properties, and sample building methods. For selective laser melted Al alloy A357 specimens, a dense part with a smoother surface would be expected to correspond with a good fatigue performance.INTRODUCTION Additive Manufacturing (AM), also known as 3D printing, is a process in which a complex part is fabricated layer by layer from a digital design package (Martin et al., 2017). AM has the potential to conserve raw materials, reduce the energy consumption, part cost, and fabrication time. Furthermore, as a typical additive manufacturing (AM) process, selective laser melting (SLM) was originally developed from selective laser sintering (SLS) based on higher quality lasers (Rao, Zhang, Fang, Chen, Wu, & Davies, 2017b). Different from conventional casting consuming valuable time and energy, SLM is now used as a cost effective method for the manufacturing of metals, such as Al-Si alloys, to produce almost full density parts using fine metallic powder and high power laser beam (Tang & Pistorius, 2017)."

Jan 1, 2018

By Jorgen Elbrond, Yve Lizotte

"A mine evaluation method based on the use of a computer program that models mining with an open-ended dynamic program is presented in this paper. It is demonstrated with an example how the method is applied, how some of the decision variables are related in the particular industrial environment and how these decision variables affect the economic benefits of mining.IntroductionTwo distinguishing characteristics make mining a particular industrial environment: exhaustible resources of a given ore deposit and heterogeneousness of the ore grade spatial distribution in the ore deposit. These characteristics, inflation, uncertainty and cyclical price variations which greatly affect estimated cash flows also contribute in rendering difficult the evaluation of the economic outcome of mining at the preliminary planning stage.Decision variables and their ranges are associated with the mine plan; basically, they include choices of the mine's nominal capacity (mining and milling), the sequencing of mining through the deposit, the ranges of possible production rates and cutoff grades, and the stockpiling policies. The mine's nominal capacity must be decided at the planning stage, but this capacity choice must take into account flexibility to modify other decision variables as mining commences and uncertainty resolves.Although it is generally accepted in discounted cash flow analysis that the sequence of mining must proceed from the richest to the lowest-grade stopes (with correspondingly ajusted cutoff grades), this may not produce optimum benefits when cyclical price variations are considered.Mining rates and cutoff grades can also be adjusted to changing economic conditions, taking into account the limited resources of the ore deposit. Thus, when prices are thought to be in the trough of a cycle, production can decrease to preserve ore for expected greater future profits. When prices rise, mining rates can increase possibly even over the mine's nominal capacity. In both cases, the machinery's effectiveness shall not be-optimally utilized; this will be reflected particularly by the variations in the concentrator's metal recovery and the concentrate grade output."

Jan 1, 1982

By R. A. Mantz, V. N. Balbyshev, A. N. Khramov, N. N. Voevodin

Corrosion protection properties of the hybrid organo-silicate coatings on aluminum substrate can be significantly improved by means of encapsulation of organic corrosion inhibitors within the coating material. In order to achieve sustained release of corrosion inhibitor and long-term corrosion protection, a secondary chemical equilibrium of either ion-exchange interaction with the coating matrix or cyclodextrin-assisted molecular encapsulation of the inhibitor has been employed. Several organic corrosion inhibitors, such as mercaptobenzothiazole, mercaptobenzimidazole, mercaptobenzimi¬dazolesulfonate, and thiosalicylic acid have been examined by a group of electrochemical methods including potentiodynamic scan, electrochemical impedance spectroscopy, and scanning vibrating electrode technique. It has been found that the formulations that contain ß-cyclodextrin demonstrate superior corrosion protection capabilities as the complexation equilibrium results in a continuing delivery of inhibitor to corrosion sites. The approach is considered a promising way for active corrosion protection of high-strength aluminum alloys when integrity of barrier coating is compromised.

Jan 1, 2004

By R. Kong, X. W. Zhang

"High pressure (up to 50 MPa) isotropic compression tests were performed on marble, gneiss and sandstone specimens, of which represents the typical rocks, to investigate isotropic compression deformation characterization at room temperature. Experimental data with respect to volume change in loading and unloading are presented. An apparent volume change inflection point (sensitive stress) was observed at a lower pressure range for porous sandstone, indicating that the elastic-plastic behaviour arising in the isotropic compression stage, but for tight crystalline rock, the sensitive stress is much higher, not probed prior to 50 MPa. The irrecoverable volumetric strain in the unloading can be seen for sandstone as well. The anisotropic deformation was discussed in terms of the axial and radial strain measurement. It was found that essential features of mechanical anisotropy are the irreversible in deformation range. The deformation feature in the isotropic compression tests is a very complex issue due to the factors concerning the stress history, unloading in sampling and in-situ stress. INTRODUCTIONThe isotropic or hydrostatic compression condition that stress is compressive and has the same magnitude for all direction, which is expressed as s1=s2=s3 in principal stress space. A yield locus of soils subjected to the isotropic and anisotropic compression was widely known, for instance Cam Clay model, which forms a closure cap model. However, the similar isotropic compression yield curves for rocks, especially for hard rock, was not established due to the geo-stress in the rock mass is much less than the socalled isotropic yield stress. And hence, the previous experimental studies on the hard rock have been made tend to on the stress-strain-strength relationship (Handin & Hager, 1957; Edmond & Paterson, 1972; Menéndez et al., 1996). Perhaps the yield curves related to an increasing in the hydrostatic pressure is not forced to construct for hard rocks, undoubtedly, the deformation data in this processing is valuable to assess the bulk module (Fabre & Gustkiewicz, 1997), anisotropy (Niandou et al., 1997), field stress (Hakala et al., 2007). Furthermore, many rocks store much elastic volume strain energy link to the hydrostatic pressure exerted, following a deviator stress applying, to drive the unstable brittle fracture for hard rock. Latter was studied to interpret the incentive of rock burst. However, volume change characteristic in the isotropic compression behaviour have been scarcely studied experimentally to our knowledge, less application related to the fracture in hard rock as well. The mechanical behaviour in the isotropic compression of hard rock is notably affected by the original structure anisotropy, stress history and stress condition before sampling, all of which need reasonably assess. It is also a useful understanding to study isotropic compression that elastic and plastic volume change in the isotropic loading and unloading, and the micro crack evolution throughout it."

Jan 1, 2015

By W. G. Wahl

The Slave Province, a segment of Archean continental crust, migrated west and north from the northern flank of the Superior protoshield shortly after the Kenoran orogeny. The probable cause of migration, the path it followed and the cause of its coming to rest can be inferred from the Bouguer gravity data. The migration caused an indentation in the edge of the Superior protoshield which precluded the development of the Hudsonian orogenic front under Hudson Bay. As the nickel and asbestos deposits of the Thompson Nickel Belt and the New Quebec Nickel Belt are restricted to this orogenic front, no such deposits would occur under Hudson Bay.

Jan 1, 1973

By Robert T. McKnight

"Traditional techniques for valuing resource projects companies have been primarily based on discounted cashflow methods (DCF) or by comparison to similar projects with an apparent market capitalization. Many resource projects are really forms of options to invest rather than a future cashflow stream. Employing the DCF method to value a resource project which is really an option to invest, can dramatically underestimate the real value of the project. The analytical tools required to evaluate options, while more complicated than the usual spreadsheets used for DCF, are becoming more easily available and usable by managers. This paper will discuss the background of options valuation and some of the tools which will make it easier for managers to estimate the value of projects and companies which have significant real option values.ResumeBob McKnight is a graduate of the University of British Columbia in Geological Engineering, supplemented by an MBA from Simon Fraser University. Following several years in the oil patch with Cities Service and Brascan, Bob returned to Vancouver in 1979 to work for Wright Engineers. He subsequently went on to work for Cassiar Mining, Getty Resources and Endeavour Financial before joining Pincock Allen & Holt Ltd. in 1998. His experience ranges from exploration to feasibility studies, financial evaluations of mining and oil & gas projects, due diligence, project finance, valuations and mergers and acquisitions. He has extensive international mining experience pertaining to such countries as Chile, Mexico, Uruguay, Thailand, Indonesia, Angola, Papua New Guinea, Kazakhstan.What are Options?Options have been around for centuries. They were familiar to Roman and Phoenician traders who were shipping cargoes from Mediterranean seaports. In the financial world, options are types of contracts that generally include the right, but not the obligation, to buy or sell a share, currency or commodity. The underlying commodity price or share price changes are assumed to be lognormally distributed. In this context, options are of two general types, ""call"" options and ""put"" options. Call options have the characteristic of having the right to buy a tradable commodity or currency at a predetermined price for a specified period of time. For the owner of call options, they become more valuable as the price of the underlying commodity increases. For the seller of call options, these options become an increasing liability as commodity prices rise, since there is the obligation to sell the commodity at a predetermined (perhaps lower-than-market) price. This characteristic of call options recently became high profile with the sharp rise in gold prices last year. The value of gold call options sold by certain producers increased their associated liabilities to the point where margin calls were made."

Jan 1, 2003

By Walker. P. W. A.

Abstract -The Riviera tungsten occurrence in the Cape Province of South Africa was discovered in October 1979 as a result of stream-sediment panned concentrate sampling. The Cape age granite and late Precambrian Malmesbury Group carbonates and chlorite schists which it intrudes and which host the mineralization are covered by between 10 m and 30 m of Tertiary/Recent alluvium and clay. The scheelite/powellite and molybdenite mineralization occurs in a greisenized granite cupola with an overprint of porphyry-type alteration as well as in minor skarns. The ore reserve is estimated to be 46 million tonnes at an average grade of 0.2160Jo W03 and 0.020% Mo. The deposit is uneconomic at current tungsten prices.

Jan 1, 1994

By K. Bunney, R. Pleysier

The deportment of a suite of elements through representative gold ore processing unit operations in cyanidation has been investigated. Chromium and lead are not soluble in alkaline cyanide solutions. Arsenic, antimony, cobalt, molybdenum, selenium, tellurium and vanadium are soluble, but typically do not adsorb onto activated carbon to any appreciable extent. Silver, copper, cadmium, mercury, nickel and zinc to varying extents report along with the gold to the carbon eluate. Cadmium, mercury and zinc can report to the carbon regeneration kiln off-gases. Strontium is soluble and adsorbs on carbon where it remgins.

Jan 1, 2011