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By John L. Halls

Modern business practice dictates that in order to ensure the economic optimization of investment, the size of any investment venture must be such that every increment of capital invested in such a venture yields at least a corporate minimum acceptable rate of return. This practice is based on the premise that alternative investment opportunities capable of yielding the minimum corporate return are immediately available. If a mining corporation is to make the maximum use of its investment funds, any capital investment in a mining property must comply with the above practice. The most important parameter in estimating ore reserves is the cut-off grade which is used to separate material into ore or waste. The cut-off grade is calculated on the basis that material of cut-off grade produces sufficient revenue to cover the estimated costs of mining and processing through to sales, including depreciation and produce a pre-determined profit. Ore reserves so estimated are adequate for determining the magnitude of an orebody but do not provide a sound basis for determining plant size and therefore capital investment in a new property or for expansion consideration on an existing property. From a financial analysis of this one ore reserve it is impossible to ascertain whether each increment of capital investment is providing the minimum acceptable rate of return, Other difficulties associated with the calculation of a cut-off grade including the determination of depreciation and the amount of pre-determined profit to be included in the cut-off grade calculation are outlined in the text. The proposed solution to determine optimum ore reserves and plant size for new properties avoids the complication of calculating a cut-off grade by computing a series of ore inventories using arbitrarily selected cut-off grades. A comparison of the cash flows generated by production from such ore inventories using incremental financial analysis clearly indicates the ore reserve and plant size which will best serve the corporation's investment and metal production goals. Incremental financial analysis of a corporation's operating mines and prospects assists management in assessing the comparative expansion and investment possibilities of each property for increasing or maintaining metal production on a long term basis.

Jan 1, 1969

By Landy A. Stinnett

Coal mines in the United States are the most productive in the world in terms of efficient labor employment. This is because of an abundance of workable coal beds, large infusions of capital, improved management practices and continuing competitive pressures. The standard unit of measurement for labor productivity is expressed as tons/manshift, although for underground mines, operators often refer to tons per machineshift. Articles written concerning labor productivity generally focus on measurement techniques, safety considerations, application of technology and training. This article will illustrate by example the impact of labor efficiency (or inefficiency) on the ultimate selling price of coal, f.o.b. mine site. During the past several years, the coal industry has seen significant improvement in labor use. Figure 1 shows the trends in productivity for all active mines in the United States from 1985 through 1994. Productivity in 1985 was 20.1 t/manshift (22.1 st/ manshift). This factor has increased almost linearly throughout that period to 37.5 t/manshift (41.2 st/manshift). This is a 7.2% annual compound growth rate.

Jan 1, 1995

By John M. Hird

Texas Gulf Sulphur Company's Lee Creek Mine has opened a major phosphate mining district in the Central Coastal Plains of North Carolina (Fig. 1). The ore deposit as it is now known was roughly outlined in 1961 by a Texas Gulf geologist using wire line exploration methods. Slightly uraniferous phosphate materials were detected by a slim-hole gamma ray probe run in numerous farmers' water wells penetrating the formations. A follow-up-core drilling pro- gram determined the economic ore limits to lie in the south central section of Beaufort County beneath 70 feet to 120 feet of unconsolidated sediments. The 50,000 acre deposit is known to contain over two billion tons of phosphate ore amenable to strip mining methods. A part of the deposit underlies several thousand acres of the Pamlico River estuary. The 90 million dollar capital investment plant built by Texas Gulf during 1965-66 included a strip mining operation using a 72-yard walking dragline, a three million product ton per year flotation concentrator, four fluid bed calciners, a sulphuric acid plant (acid for captive use), a phosphoric acid plant, and three solid fertilizer material plants. Shipment to domestic markets is by rail and truck and to over- seas markets by barge to a transshipment terminal at Morehead City, North Carolina. Early mining investigations were conclusive first that the phosphate ore could economically be recovered only by dry strip mining methods, and second that artesian ground waters in the formation (Castle Hayne limestone) underlying the ore would have to be controlled. This report will relate the application of ground water hydrology in depressurizing the Castle Hayne aquifer to facilitate dry strip mining at depths 130 feet below sea level at the Lee Creek Mine.

Jan 1, 1970

By Robert G. Ditchburn

The Mariana arc is an ~1,400-km-long intraoceanic arc that marks the southern extension of the Izu-Bonin arc, and is host to 62 ?volcanic centers? of which at least 27 (21 submarine) are hydrothermally, or volcanically active. A surface ship cruise in early 2003 mapped the distribution of hydrothermal plumes emanating from these centers, followed by remotely operated vehicle (ROV) cruises with ROPOS in 2004 and Jason II in 2006. With the exception of one volcano (East Diamante), none of the vent sites visited by the ROVs were host to sulfide mineralization. Rather, they were characterized by high sulfidation mineral assemblages dominated by native sulfur. The sulfur was seen marking the vicinity of vent sites, or as sulfur ?chimneys? (e.g., NW Eifuku and Nikko), or more spectacularly as ?lakes? of molten sulfur, either occupying the summit crater of the volcano (e.g., Nikko), or perched on the flanks of the volcano, near the summit (e.g., Daikoku). Gas (H2S and CO2) was discharging through the molten sulfur. Evidence for these lakes to have either been substantially ?deeper? in their recent past (e.g., Nikko), or existing at other volcanoes (e.g., Seamount ?X?) is given by remnant ?pillars? of native sulfur that are reminiscent of rock pillars in lava lakes found along mid-ocean ridges.

Jan 1, 2008

By P. Rusin

Many oxide silver and molybdenum deposits remain undeveloped because chemical extraction yields poor recoveries or is environ-mentally unacceptable. Bio-reductive leaching of such ore samples at MBX resulted in high recoveries of silver and molybdenum. When baseline 3-day cyanide bottle roll tests were conducted on manganiferous oxide silver ore, 13.7% of the silver was extracted. In contrast, 86% of the silver was microbially solubilized into the organic growth medium by bio-reduction with 99.8% dissolution of manganese. A follow-up cyanide bottle roll test yielded an additional 8.5% silver recovery for a total recovery of 94.5%. Baseline 3-day acid bottle roll tests of the iron oxide molybdenum ore yielded 1.8% moly. However, bio-reduction solubilized 93.3% of the moly into the growth medium. An additional 0.3% moly was recovered during the follow-up acid bottle roll test. Microbial treatment of refractory oxide ores with bio-reductive bacteria resulted in higher recoveries of silver and molybdenum than conventional chemical leaching. The bioleaching process occurred at a near-neutral pH at ambient temperatures. The bacterial solubilization of silver and moly was achieved without the use of cyanide or sulfuric acid.

Jan 1, 1992

By Jerry W. Danni, R. Craig Ford, Kermit C. Benke, Jim B. Finley, Donald D. Runnells

Steady-state water balance models have historically been used in the management of acid drainage at mine sites. Such systems could be more realistically described by non-steady-state conditions. In addition, the evaluation of alternatives for closure and management of acid drainage must consider non-steady-state conditions. Dynamic systems modeling is a method for simulating water management systems, offering flexibility in: (1) simulating either steady-state or non-steady-state conditions, (2) allowing "what-if' scenario testing. and (3) optimization of operation and closure alternatives. A case study is given for acidic drainage management during closure at a heap leach facility that demonstrates the utility of dynamic systems models.

Jan 1, 2000

By J. Cheung, H. Rabia

The traditional methods for predicting mine air temperatures are based on steady state heat transfer models as developed by Voss (1969) and Starfield (1983). These models are useful in providing approximate predictions of air temperatures in trunk and gate roadways. More complex models are required to provide predictions along faces. In practice, the heat flow in underground mines is of transient nature and recent observations in some British Coal mines show temperature variations of up to 5°C during a working week at any one point. In addition, the recent introduction of district recirculation of mine air in British mines requires a more precise prediction of air temperatures during start up of the system or during breakdown. A transient heat transfer theory based on the work of Jordon is presented. The method lends itself easily to computers due to the large number of calculations involved. The proposed transient model is validated using actual temperature data collected in roadways in Wearmouth Colliery in the North East of England. The transient results are compared with the steady state predictions of Voss (1969). Finally, predictions of air temperature in roadways for a recirculation system will be made using both the transient and steady state models. Temperature predictions along faces will be made using a separate model.

Jan 1, 1989

By W. Edwin Dill

For the mining industry, the Internal Revenue Code and regulations offer a range of choices in arriving at the allowable depletion. Each case is essentially unique. Two prerequisites can optimize these opportunities: communications between the mining company's tax specialists and its technical staff; and an understanding of IRS definitions. For the latter, a logical starting point is consideration of exploration and development, since they precede production and depletion is unallowable prior to production. Criteria for selecting engineering and accounting options for exploration and development indicate the necessity of interaction between these company functions to achieve the most favorable tax position.

Jan 1, 1982

By B. Tolwinski

Long-Term Open Pit Scheduler or L-TOPS is a new software package for evaluating, planning, and design of open pit mines. L-TOPS transforms geological, economic, and technical information about a mineral deposit into a detailed mining schedule that maximizes economic efficiency without neglecting the practical requirements of mining operations. L-TOPS has been customized for integration with Placer Dome Inc.'s existing in-house resource/reserve optimization software to function as a primary tool for property acquisition studies and for the designing of mines for feasibility studies. This pa-per presents an overview of L-TOPS and reports on its application to Placer Pacific's (Placer Dome's Australian affiliate) Mt. Rawdon project.

Jan 1, 1996

By Peter Johnson, David Barber, Lachlan Henderson

"The traditional approach to rail tunnel fire safety design is to follow NFPA 130, which assumes a major tunnel fire could occur and requires bi-directional emergency ventilation. There is no regard to the impact of ventilation on fire growth and smoke production. In Europe and other parts of the world, the need for tunnel ventilation systems to provide smoke management in the event of fire is being questioned. The European Commission’s Safety in Railway Tunnels TSI is based on a philosophy that improved running capability (preventing fires and other events stopping the train in the tunnel) and elevated fire performance of materials means the chances of a major fire in a tunnel is highly unlikely, with only small fires expected, and no tunnel ventilation required. This approach is reinforced by the International Tunneling Association which has recently published an Engineering Methodology for Performance Based Fire Safety Design on Underground Rail Systems, which includes a methodology that does not require assessment of tenability in tunnels, but requires a scenario based risk assessment to be undertaken to determine overall fire safety measures. Recent research by the University of Edinburgh has shown that forced airflow from a mechanical ventilation system may promote fire growth and increase smoke volumes much more than with natural ventilation. Whilst the concept of no mechanical ventilation (i.e. natural ventilation) is a new concept for some, for many rail tunnels it is worthy of serious further consideration. RAIL TUNNEL SMOKE MANAGEMENT AND STANDARDS Smoke management using mechanical bi-directional ventilation systems has been a central part of the fire safety design solution under NFPA 130 for rail tunnels since 1982. The current version of the standard, NFPA 130: 2014, states that mechanical ventilation should be fitted to rail tunnels of length greater than 305 meters and an engineering analysis should be undertaken for tunnels of length 61 to 305 meters to determine whether mechanical ventilation should be fitted. However, this approach is not necessarily reflected elsewhere in the world. In Europe in particular, mechanical ventilation systems for smoke control within rail tunnels have taken a much less central role within the standards framework."

Jan 1, 2016

By Carl R. Christiansen

Excellent underground industrial sites and warehouse facilities have been constructed in Europe and at several locations in the United States. Many quarry and mine operators are considering, or should consider, the possibilities of the development of their mineral properties in such a manner as to make underground space that is suitable for a secondary industrial use. Before proceeding with mine or quarry development, the operator should answer the following questions: 1) Is there a need for underground industrial space in your geographical area? 2) Is your deposit suitable for development of space for industrial usage? 3) If the deposit is suitable, what methods of development can be used? 4) What are the comparative economics of the different methods of space development? An honest analysis of the first two questions may eliminate the need for proceeding to the third. Affirmative answers to questions 1 and 2 should be followed by the engineering and economic studies required in response to questions 3 and 4.

Jan 1, 1975

By K. Luxbacher, A. Haghighat, B. Lattimer

Mine face ignition due to high levels of methane is one of the most common fire incidents in underground coal mines. In continuous miner headings, depending on the magnitude of the ignition or resulting fire, auxiliary ventilation controls may be damaged or dislodged, affecting the ventilation into the area. A computational study was conducted to investigate the effects of different levels of damage to an exhausting ventilation curtain in a continuous miner heading, and the impact on ventilation to the face. The computational fluid dynamics software Fire Dynamics Simulator (FDS) Version 6.0 was used to predict the conditions that develop due to a 200-kW fire in the face following a methane ignition with different levels of assumed ventilation curtain damage. Smoke layer depth, temperature and mass flow inby the last open crosscut were used to evaluate the impact of no damage to the curtain, partially dislodged curtain, and fully removed curtain. As more of the ventilation curtain was damaged, smoke depth and temperature outby the fire increased. With the full removal of the curtain, the smoke accumulated from the last open crosscut to the face, with the ventilation completely bypassing the continuous miner region.

Jan 1, 2016

By Gilbert Sauriol

The mining complex, which the Mines Gaspé division of Noranda Mines Limited has operated in Murdochville since 1954, includes open pit and underground mines, two mills, one leaching plant and a smelter. The under- ground mining uses predominantly a large scale room and pillar method, rooms 15 m wide, 30 m high and 300 m long being common. Ore production is effected by 4.5 m3 front-end loaders and 32-tonne trucks powered respectively by 225 and 325 kW diesels. Daily dust and gas readings show that air quality can be maintained at an acceptable level with much less ventilation than that normally specified. This paper emphasizes the point that air requirements should be based on Air Quality Standards, thus allowing an operation to benefit from favourable conditions or from improvements such as exhaust treatment, fuel alteration, etc.

Jan 1, 1983

By B. Hornsby

At the Mount Isa mine, Mount Isa, Qld., Australia, sublevel open-stope mining is used for copper ore while both sublevel open-stope and cut-and-fill methods are used for the silver-lead-zinc ores. Production in 1979¬80 was 4 730 000 t (5,200,000 st) copper ore and 2 590 000 t (2,850,000 st) of lead ore. The deepest mine level currently is 960 m below the surface. GENERAL ORE BODY REQUIREMENTS AND LIMITATIONS Size, Shape, and Dip The mine is located in the valley of the Leichhardt River in Lower Proterozoic sediments of the Mount Isa group. The regional strike of the sediments is north¬south and they have a persistent westerly dip of about 1.1 rad (65°). In the mine area, the Mount Isa group comprises a sequence of alternating bands of dolomitic shales and siltstones some 3.2 km (2 miles) in width. It is bounded on the east by greenstones and quartzose sediments of the Eastern Creek volcanics, and on the west by the Mount Isa fault, west of which occur schists and other metamorphic rocks. The ore bodies as currently known at Mount Isa are restricted to the Urquhart shale, a formation of thinly bedded pyritic, dolomitic, and volcanic shales some 1070 m (3500 ft) thick. Towards the top of the Mount Isa group sediments, copper and silver-lead-zinc ore bod¬ies occur as contiguous but discrete entities and are mined and treated separately (see Figs. I and 2). Argentiferous galena, sphalerite, pyrite, and minor associated sulfides occur in distinct concordant bands throughout the Urquhart shales. Wherever these bands are grouped together in sufficient density they constitute silver-lead-zinc ore bodies with widths varying up to 36.6 m (120 ft). Other mineralized bands are common in intervening beds. Individual ore bodies persist for many hundreds of meters concordant with the strike and dip of the enclosing shales. Intersections of these beds with fold axes provide local zones of enrichment but otherwise the mineral content of the ore bodies varies only slightly throughout the extent of the dip and strike. Chalcopyrite is the only important primary copper mineral. It occurs in association with pyrite and pyrrhotite as disseminated flocks and as vein fillings throughout irregularly shaped zones of folded, brecciated, and re¬crystallized Urquhart shale. These zones, which are lo¬cally termed "silica-dolomite" bodies, are broadly transgressive to the shale bedding and confine all significant copper mineralization to the virtual exclusion of silver¬lead-zinc mineralization. In some areas, the downward percolation of acidic water through faults and shears has caused extensive leaching of the coarse-grained carbon¬ates to depths in excess of 610 m (2000 ft), but most of the silica-dolomite remains unleached and the ground is competent. The majority of lead ore being mined is north of the main shaft pillar (R62, U62) area. The major lead¬producing areas for many years have been the Black Star ore bodies (2 and 5 ore bodies) and the Racecourse ore

Jan 1, 1982

Jan 1, 1999

By Jerry Williams

GEORGE WEINMAN: At this time, our co-chair, Jamie Davis from Phelps Dodge, will come to the podium. JAMIE DAVIS: Our next speaker is Jerry Williams from Phelps Dodge, Morenci. Jerry is the maintenance planning supervisor and is in charge of preventative maintenance and maintenance scheduling. Jerry's group uses predictive tools to monitor and predict the equipment failure throughout the mine, from pumps to shovels to motors, you name it. The title of Jerry's talk is "If You're Not Using Predictive Tools, You're Behind the Curve." I’ll turn it over to Jerry.

Jan 1, 1998

By C. Roos, K. Jetmore

Developing a strategic underground mine plan is challenging and investigating multiple scenarios may take weeks. This process can be sped up using the Theory of Constraints to isolate the bottleneck mining activity and simplify the mine schedule process. This paper presents a technique to apply the Theory of Constraints to test multiple cutoff grade scenarios in Mineable Shape Optimiser and quickly produce many high-level production-based schedules that can be easily interpreted using stope-by-stope graphs, the Hill of Value, and through incremental return analysis.

Mar 2, 2022

By John Ward Smith

Dawsonite bearing oil shale of Colorado's Green River Formation offers a unique and vast (6.5 billion tons of Al2O3) resource of easily extractable alumina. The processing methods required by the thermal reactions dawsonite and its oil shale carrier also require production of shale oil, soda ash, and nahcolite as marketable coproducts. These production methods are presented. The alumina production process is contrasted with the Bayer process to describe technical advantages of extraction of alumina from oil shale which may offset the problems associated with processing a relatively lean ore. While alumina production from oil shale requires development of new technology, the technical problems appear solvable. Only the political problems arising from the now onerous and completely unnecessary Federal oil-shale withdrawal appear less solvable.

Jan 1, 1980

By D. M. S. Bhatia

Twenty-six insitu analyses of cubic galena crystals from a Mississippi Valley-type deposit were undertaken with a laser microprobe spectrograph to study the variation of nine trace elements from the crystal center to its periphery, both along the diagonal and vertical. The general trend is an increase in the concentrations of Ag, Ga, Ge, and In with As showing the opposite trend Bi, Cd and Sn did not show any pattern. Sb was not detected. These variation patterns nay serve as a model for similar studies of other Mississippi Valley-type deposits.

Jan 1, 1984

By Brij M. Moudgil

Flotation of fine and coarse coal after multistage addition of the frother was found to yield coal fractions with significantly lower ash content as compared to the feed. It was observed that the lowest ash content, specific gravity and reactivity of coal was associated with finer size fractions. Ignition and combustion characteristics of different coal fractions were evaluated using a differential thermal analyzer (DTA) with calorimeter attachment. It is suggested that in the ignition stage, the removal of mineral matter affects the reactivity through the physical changes brought about by the ash removal. In the char combustion stage the mineral matter seems to influence the reactivity through the catalytic activity of surface concentrations of metal ions, ratio of combustible/incombustible material, internal pore structure and roughness.

Jan 1, 1984