Search Documents

By H. Lyn Bourne

This is the fourth annual tabulation that gives mineral royalty information. The table presents previous information plus about two dozen new entries. In addition to the royalty information, some entries show the cost of purchased reserves. Last year's tabulation appeared in two issues, to accommodate all of the information. This year the format has been changed slightly so the table can be printed in one issue. This year's table presents the commodities in the same sequence as last year. Sand and gravel information appears first, followed by: crushed stone for aggregate; other stone; industrial sand; other industrial minerals; energy minerals (coal, oil shale, uranium); and finally metals. As always, a caveat relates to factors that influence the reserve values. The data should serve only as a general reference. The table is not intended to present an absolute scale of reserve costs. Several factors influence the value of mineral commodities. These factors include: • location and transportation costs (especially significant for most industrial minerals); • market conditions for both the commodity and the company acquiring the right to mine it; • quality or grade of the deposit as it reflects the amount of processing and beneficiation necessary to produce the finished product; • and legislative restrictions and conditions for mining a given material at a given site. These and other factors will influence reserve costs of reserves. The table shows the range of royalties and the variations in the basis of computing the fees. In a few instances, it gives the cost of acquired reserves based on purchase price and quantitative estimates of the material in place. The table lists the commodity; the location (either by state, US geographic area, or Canadian province); the cost (R for royalty and P for purchased cost); and the year in which the lease or purchase agreement occurred. The last column offers either comments or gives a footnote number for more information. The cost column requires more explanation. The units may refer to cubic yards (/yd), cubic feet (/cuft), tons (/T) (2000 lbs) or acres (/A). 1 cu yd = 0.76m3 1 cu ft =0.28m3 1st = 0.9 t7 1 acre = 0.40 ha or m2 In several cases the royalty is a percentage of the finished products, sale price and is levied against either the amount produced or the amount sold. We thank those who contributed information for the table: J. Dunn, T. Eyde, K. Loda, L. Morgan, F. Nix, H. Sorenson, and L. Williams. Several people have said they would like this to be an annual tabulation. That can happen if new information comes to the writer. What appears in the table is only a very small fraction of the cost information relative to the various commodities and the geographic areas for which there is royalty information. If you find this column of interest and possess information write or call: H. L. Bourne, c/o Neyer, Tiseo & Hindo, Ltd., 38955 Hills Tech Dr., Farmington Hills, MI 48018, (313) 553-6300. Only with new information can this become an annual and current source of reserves costs.

Jan 8, 1986

By Garry Keizer

The Cortez gold mine is located in Lander County, NR, about 130 km (80 miles) southwest of Elko. Cortez Gold Mines (CGM) is a joint venture between Placer Dome US Inc. (60% operator) and Kennecott Corp. (40%). The claims that supply oxide and refractory ore feed to the Cortez milling facility are located in both Lander and Eureka counties. These include the Cortez and Horse Canyon deposits, all operated by the joint venture. Other deposits outside the CGM claim area include Fire Creek, Buckhorn, Gold Bar and Tonkin Springs. These deposits all occur along the Battle Mountain-Eureka Trend. History Mining in the Cortez district began in 1862 with the discovery of high-grade silver ores. Grades in the hundreds of ounces per ton occurred in an area 7 km (4.5 miles) southeast of the current CGM mill site. Underground mining through the Garrison and Arctic tunnels provided the bulk of the ore production between 1864 and 1895. To a lesser extent, the Mill Canyon area also supplied ore until 1930.

Jan 1, 1993

By Stuart F. McTavish

Mechanically suitable grinding mills became available to the mining industry in 1908. Since then, mill operators have been searching for the best material and design with which to line the mills. These liner systems had to fulfill several criteria. Most important, they had to last long enough in an operating mill to protect its structure from the abrasive wear of the ore and the grinding media. In addition, they had to be capable of efficiently transferring the energy from the mill to the mill charge in order to facilitate the grinding process. And these liners had to be easy to install and remove. The first liners used were generally made of cast white iron, Hadfield manganese, unalloyed high-carbon steel and composites of steel and concrete or cemented in flint blocks or natural stone. In the early 1920s, pieces of solid rubber truck tires were used as emergency repairs for broken cast metal liners. Thus was rubber first introduced as a mill liner material. The first patent for rubber mill liners was awarded in 1921 to James Denny and Rolla Watson, both of the Coniagas Mine in Cobalt, Ontario, and to Dale Barnum of the Comstock Lode in Virginia City, NV. This original design was covered under US Patent No. 1470597. It had a fabric backed rubber that was bonded to the shell of the mill.

Jan 1, 1990

By R. W. Chappell, M. W. Hills, R. L. Olsen

A stochastic approach was developed and applied to the Butte, Montana Hillside abandoned mining site for modeling stormwater runoff and subsequent receiving stream loadings. This approach enabled capture and quantification of the uncertainty associated with stormwater quality data and allowed the prediction of copper and zinc concentrations in the receiving stream caused by runoff from the Butte Hillside during storm events. Runoff flows and stormwater concentrations were input to the model as probability distribution functions. Monte Carlo simulation allowed prediction of expected instream concentrations in the form of cumulative distributions functions. The modeling results allowed evaluation of current best management practices (BMPs), targeting of future BMPs, and identification of key data gaps to fill during future sampling activities. This modeling approach is considered extendable to other active and inactive mining sites. Output from a model of this type is easily understood and can be used to communicate effective stormwater management to site regulators. Furthermore, application of this modeling approach will facilitate the development and implementation of a site-specific stormwater management plan and will optimize efforts to achieve standards for compliance with stormwater discharge permits.

Jan 1, 2002

By H. Lyn Bourne

This is the ninth annual tabulation of royalty information. Again this year, some of the older information has been deleted to make room for more than 30 new entries. Several articles and publications crossed the author's desk this past year that relate to mineral valuation and mineral royalty. Tom Loucks presented a paper, "The Valuation of Hard Rock Mineral Property," at the Rocky Mountain Mineral Law Foundation in Santa Fe, NM in July, 1990. His paper gives an indepth explanation of the definitions and concepts related to mineral valuation. It includes descriptions of numerous legal cases that have dealt with mineral valuation and proper reference is given for each case. Loucks works for the Denver Mining Finance Co. Gold royalties generally range from 5% to 7%, net smelter return. However, Severn Brown sent information that shows a much wider variation. Echo Bay Mines reported in its 1989 annual report royalties that range from 1.5 % to 30% for gold from various gold properties. Brown also sent a copy of an article that appeared in the Dec. 27, 1982, issue of Fortune magazine. This issue carried an article by Walter Guzzardi, Jr. "The Huge Find in Roy Ash's Backyard." The article gives the history of Newmont's leasing in Nevada on property that became the Carlin, Bootstrap and Blue Star Mines. The article states that the initial royalty was 10% that escalated to more than 16%. Another property, the site of Gold Quarry, provides an 18% royalty to the same own¬ers. The article makes interesting reading for those interested in mining history.

Jan 1, 1991

Remote sensing methods have been used to evaluate vegetative growth patterns for many applications, though relatively little work has focused on tracking mine reclamation progress. For coal mines in Central Appalachia, reclamation approaches that include production of biofuel feedstocks are increasingly attractive, as these may yield significant post-mining land values and contribute to carbon-neutral energy supplies. To optimize productivity, the influence of reclamation parameters must be well understood ? which necessitates tracking biomass production over long time periods. Satellite-based estimations may offer low-cost alternatives to conventional biomass appraisals, and also the potential to provide critical input for carbon accounting at varied spatial scales. In this paper, we use biomass production experimental plots on reclaimed mine sites established by the Powell River Project (PRP) for a comparative study between satellite measurements of Normalized Difference Vegetation Index and inventory estimates of biomass under a variety of conditions. The PRP is a unique public-private partnership in the coalfields of southwestern Virginia dedicated to enhancing beneficial use and environmental protection of mined lands.

Feb 27, 2013

By P. D. Rao, D. E. Walsh

Chemical and physical properties of typical low-rank coal (LRC) ash are significantly different than bituminous coal ash. With the exception of extraneous ash, which is incorporated during mining or is due to ash partings within or between coal seams, LRC ash consists primarily of inherent ash that is bonded into the coal's organic matrix or finely disseminated mineral matter. This paper reviews the nature of LRC ash, both inherit and extraneous, and how this impacts the prospects of washing and utilizing LRCs. A literature review, as well as washability data, proximate and ultimate analyses and ash analysis of 25 Alaskan LRC seams are used as a basis for this discussion. The authors' remit research into the nature and distribution of phosphorous in an Alaskan LRC is also discussed

Feb 24, 1997

By Li Jiuping, Zhong Gang, Chen Yong Zhang, I. Michael Gowring

The Liaoning Dahuofang Reservoir Water Transfer Project is an important development for the Department of Water Resources of Liaoning Province in northeastern China. The 85.3 km water conduit will transport water from the Hun River downstream of the Huanren Reservoir to the outlet on the Suzi River leading to the Dahuofang Reservoir. The additional water is required to sustain the growing cities of Fushun, Shen-yang, Liaoyang, Anshan, Panjin and Yingkou. The project is divided into seven contracts. Three TBM contracts comprise almost 75% of the work and the others are drill and shoot. The focus of this paper is about the creditable TBM performances achieved and some of the problems encountered by Chinese contractors; notably two having had no previous TBM experience.

Jan 1, 2007

By W. G. Brunner

The slurry wall technique has undergone an evolution from its invention to its today’s status. In the early stages slurry walls were built with cable grab, later on with much stronger hydraulic grab and last but not least with the use of the cutter technique. The cutter allows thick walls with high verticality to extreme depths through hard soil and rock formations. With the rising demand of the construction of watertight diaphragm walls different joint systems have been developed. In addition to the rapid development of excavation systems it was necessary to improve slurry treatment and desanding plants, especially in conjunction with high performance trench cutters. Deep mixing methods can be used economically for the construction of cut-off or excavation support walls where other systems such as traditional soldier beams and lagging walls would yield unsatisfactory performance, where the installation of vibrated or driven sheet piles could cause vibration induced settlements and where concrete diaphragm walls would be time consuming and expensive. The new CSM method can largely replace the more conventional single or multiple auger methods of soil mixing or jet grouting. The cutter tool is similar to a cutter used in diaphragm walls or cut-off walls and is operated with a Kelly mounted on a drilling rig or rope suspended on a crane jib or mast of a base carrier. With this system much deeper walls can be installed and even hard soil layers can be penetrated.

Jan 1, 2007

By Kiseong Hyeong, Young-Tak Ko, Gee Soo Kong

"The benthic environmental impact experiment addresses environmental impacts at a specific site related to deep-sea mineral resource development. For such a purpose, since 2010 we have carried out essential environmental research at both the BIS and a preservation site. We have acquired several tens multi- or box core samples at 32 sites within the BIS especially between 2011 and 2013, aiming to examine the basic properties of surficial deep-sea sediment as the potential source for deep-water plumes.In this study, we present physical the properties such as water content, shear strength and also geochemical properties such as major elements, rare earth elements (REEs), heavy metal contents at the BIS. Such proxies vary distinctly according to the Facies association. The lithology of all core sediments in the BIS corresponds to both Association Ib (Unit I/Unit II) and Association IIIb (Unit I/Unit III) on the basis of the KORDI classification (KORDI, 2004); Unit I is watery mud and dark grayish brown (10YR4/2) to dark brown (10YR4/3). Unit II is highly bioturbated mud and brownish yellow (10YR6/6). Unit III is very dark brown (10YR3/2) to black (10YR2/1) mud. Physical properties of these sediment types show that Association Ib is distinct from Association IIIb. The vertical profile of water content changed more sharply in Association IIIb probably due to compaction; water contents varied from 230 to 300% in Association Ib and changed from 200 to 250% in Association IIIb. The vertical profiles of shear strength are also quite different between Associations; the profile curve in Association IIb is much more gentle due to bioturbation."

Sep 1, 2014

By T. Hudaverdi

Control of the particle size distribution of a muckpile after blasting is always an important subject for mining industry. Blasting has a significant impact on downstream processes such as loading, crushing and grinding. Improvement of blasting results provides increase in loader and excavator productivity due to increased diggability capacity, and increased bucket and truck fill factors. Suitable and uniform particle size distribution results increase in crusher and mill throughput and decrease in energy consumption in size reduction process. Digital image analysis technique has been used for many years in mining industry in order to determine blast fragmentation. The images of muckpile surface can be used to determine the mean fragment size (x50). The source of digital images can also be haul truck, leach pile, waste dump, stockpile, and conveyor belt. The screening that is conventional method to measure blast fragmentation is time consuming and expensive. Digital image analysis is a cost effective and faster method (1).

Jan 1, 2012

By Ted Nye

This paper describes a number of aspects of the design and construction of a driven tunnel which forms part of the Boggo Road Busway project. The driven tunnel is 430m long with an excavated width of 15m and a full tunnel excavation height of 8m. The first section of driven tunnel was excavated under the heritage listed Boggo Road Jail for a length of 120m. The main jail buildings and perimeter walls were built in 1908 and are of brick construction. Ground cover over the tunnel beneath the jail site varied from 5.5m to 8m and as a consequence the predicted settlement values and their potential to cause damage to the buildings were critical to determining and obtaining approval for the selected tunnel alignment. The geology along the driven tunnel alignment was very variable, providing mixed face tunneling conditions and ranging from surface residual soils to high strength rock at depth. The maximum ground cover above the driven tunnel is 20m.

By D. R. Gagnon

Mining companies are continually looking for product-ivity and efficiency improvements with their equipment to reduce operating costs. This paper will review the results of a productivity analysis conducted at the Luscar Ltd. Boundary Dam and Bienfait mines near Estevan, Saskatchewan using a Computer-Aided Earthmoving System (CAES) installed on a track-type dozer. The CAES TTT system is a Global Positioning System that provides the operator with constant survey guidance. The study includes a productivity comparison between two similar test sites, one with the aid of the CAES system and the other, without. The CAES TTT system shows a productivity improvement of between 20 and 35% in the reclamation slope leveling application. Even with the CAES TTT system deactivated, some of the advanced features of the system were used to: retain terrain data for volume calculations; track the equipment position; and, accurately record and separate idle time from working time.

Jan 1, 2002

By William R. Yernberg

The Fifth International Heavy Minerals Conference (HMC) was held Oct. 16-19, 2005, at the Marriott Sawgrass Resort in Ponte Vedra, FL. With SME as sponsor, the 2005 conference marked the first time that the HMC was held in North America. The conference is held every two years and provides an important forum for professionals in the heavy minerals and related industries to meet and discuss issues related to heavy mineral exploration, mining, processing and marketing. Previous locations included Australia and South Africa. The conference consisted of technical presentations, field trips to heavy mineral operations, a trade show and social activities. It was appropriate that Ponte Vedra was selected as the location for the conference. Ponte Vedra, located on the Atlantic Coast 17 km (10 miles) southeast of Jacksonville, FL, is the birthplace of heavy minerals mining in North America. Ponte Vedra beaches were mined from 1916 to 1929 in what was then called Mineral City. Though Ponte Vedra is now a golf and beach resort, there are still four heavy mineral mines operating within an hour’s drive. Today the Ponte Vedra Country Club and Golf Course is situated in the center of the former mining site.

Jan 1, 2006

By Tim O’Neil

The US Bureau of Mines and the Santa Cruz Joint Venture (SCJV) are working on a production-scale, in situ copper recovery project in Arizona. The research is being conducted at the Santa Cruz site, located 11.2 km (7 miles) west of Casa Grande, AZ (Fig. 1). Santa Cruz is a 1.36-Gt (1.5 billion st) porphyry deposit averaging 0.6% Cu, of which 65% is oxidized, concealed beneath post-mineral alluvium at depths of 365-914 m (1500-3000 ft). The Bureau and the SCJV will evaluate in situ mining as a method for extracting copper from this previously unmined deposit. Research objectives of the Santa Cruz project are: - to demonstrate that an in situ research test can be operated in an environmentally acceptable manner ; and * to operate an in situ well pattern long enough to develop information on copper recovery and economic feasibility data. In situ mining of copper from undisturbed deposits has not been attempted commercially. There are several potential advantages with in situ mining: less exposure of miners to hazards, lower pital costs for the mine and plant and lower operating costs. In addition, there are no pits, dumps or tailings, which means less environmental impact.

Jan 1, 1991

By J. S. Peterson

Occupational noise-induced hearing loss (NIHL) has been recognized by the National Occupational Research Agenda (NORA) as the most common job-related disease in the United States. Roughly 30 million workers are exposed to excessive noise levels or toxins that are potentially hazardous to their hearing. The National Institute for Occupational Safety and Health (NIOSH) Office of Mine Safety and Health Research (OMSHR)is investigating noise controls to reduce operator overexposures caused by haul trucks used in underground metal/non-metal mines. To identify the most significant contributors to the overall sound level, Source Path Contribution (SPC) analysis was conducted. Noise dosimetry and time-motion analysis were also conducted to quantify operator noise exposure. SPC analysis determined that, under high idle conditions, a source near a hydraulic pump mounted to the rear of the engine and the engine cooling fan were the major noise sources. The time-motion/dosimetry analysis showed that the operators accumulated more than 90% of their noise exposures while they were hauling ore to the dump site and traveling back to the load site unloaded.

Jan 1, 2012

By E. F. Schnitzer, S. R. Mamoyac, P. J. Wampler

During 1996 and 1997, Oregon experienced flooding on a scale not seen in many years. Some gravel pits located near rivers experienced erosion and, in several cases, breaches between the gravel pit and the river. Initial evaluation of several sites that experienced breaches indicates that impacts to the river system are complex and vary significantly from site to site. The impacts to the adjacent river system may be viewed as both positive and negative. Several floodplain-mining sites in Oregon located in areas of historic river flow have reverted to active riverbed. In many cases, state and federal fisheries biologists and university researchers see the resulting increase in channel complexity and habitat as favorable. The Oregon Department of Geology and Mineral Industries – Mined Land Reclamation Program (DOGAMI-MLR) is performing additional studies of the impacts to the off-channel areas that resulted from the 1996 floods. More data is needed to make sound floodplain decisions regarding mining.

Jan 1, 1999

By E. F. Schnitzer, P. J. Wampler

During 1996 and 1997, Oregon experienced flooding on a scale not seen in many years. Some gravel pits located near rivers experienced erosion and, in several cases, breaches between the gravel pit and the river. Initial evaluation of several sites that experienced breaches indicates that impacts to the river system are complex and vary significantly from site to site. The impacts to the adjacent river system may be viewed as both positive and negative. Several floodplain-mining sites in Oregon located in areas of historic river flow have reverted to active riverbed. In many cases, state and federal fisheries biologists and university researchers see the resulting increase in channel complexity and habitat as favorable. The Oregon Department of Geology and Mineral Industries – Mined Land Reclamation Program (DOGAMI-MLR) is performing additional studies of the impacts to the off-channel areas that resulted from the 1996 floods. More data is needed to make sound floodplain decisions regarding mining.

Jan 1, 1999

By Anna Sukhanova, Svetlana Babaeva, Sergey Andreev, Victor Beltenev

"The Zenith-Victoria /1/ and Jubileynoye /2/ hydrothermal fields have symmetrical structural position on the Mid Atlantic Ridge (Fig. 1). In order to compare the evolution of hydrothermal systems, we conducted mineralogical and geochemical studies of SMS from both sites.Radiochemical and geochemical investigations of massive sulfides of the Zenith-Victoria field distinguishes three major stages of evolution: initial, interim and final represented by Fe-S, Cu-Fe and Zn-Fe types of SMS respectively /3/. In this talk, we describe the results of geochemical analysis of massive sulfides from the Zenith-Victoria field. Geochemical varieties of SMS are considered to be indicators of the evolutionary stages of the hydrothermal system."

Sep 1, 2014

By S. J. Schatzel

In order to better understand the effects of longwall mining on the methane reservoir overlying the panel, the National Institute for Occupational Safety and Health/Pittsburgh Research Laboratory (NIOSH/PRL) designed and implemented a vertical borehole monitoring experiment (BME) on an active longwall panel. The mine operates in the Pittsburgh Coalbed in Greene County, Pennsylvania. The BME site was located away from either end of the panel to avoid mechanical influences caused by the draping of overburden in this region and was positioned at the same distance from the tailgate gateroad as the mine?s gob gas venthole sites. The borehole drilling depths and monitoring intervals were chosen to address a different stratigraphic zone in each of the three planned holes. The monitoring boreholes were positioned perpendicular to face advance using a close spacing pattern of about 15 m (50 ft) between collars. Boreholes were instrumented downhole and on the surface for various measurements. It was observed from the field data that the gob gas venthole fracture network formed 24-46 m (80-150 ft) ahead of the mining face. Overburden permeability?s within the same test zones increased 100 to 500 times following undermining. The borehole test interval within the fractured rock responded to overburden gas pressure while the test interval in the caved zone responded to mine ventilation conditions. Eight months after the boreholes were undermined, slug testing indicated permeabilities had increased further in the fractured rock zone. Measurements of surface movement indicate that the permeability development observed in the boreholes is a product of vertical subsidence without lateral movement within the tensional rock mechanics zone on a supercritical longwall panel. Results from this study suggest that maximum permeability in the longwall panel overburden is achieved 58 to 190 m (190 to 620 ft) behind the longwall following maximum compaction of the overburden.

Jan 1, 2009