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By Lee A. Goetz

Cost control is a lot like motherhood - everyone proclaims its need and its worthiness, but is it really appreciated and used to successfully complete a project on time and within budget? Good Cost Control is a yardstick - requiring fixed definition but this does not mean rigidity for the project. It provides the means for telling: 1. Where you are going 2. When you will complete and 3. What it will finally cost. Cost Control does not fix the price of dreams nor the cost of projects loosely defined. It does not control costs in itself but provides the tools whereby engineering decisions can be made which will ultimately affect the project cost It does not even guarantee that a project will be completed within the original funds - but only, if this reflects management desires.

Jan 1, 1970

By F. H. Mertens

The concentrators of Gecamines are fed by a great variety of ores and produce different types of oxide and sulfide concentrates. It is therefore important to translate the performances of each circuit in terns of dollars in order to reach cost optimization in each mine to product line. A new system has been recently implemented for achieving this objective. Technical data and expenses are collected, allocated and analysed on mainframe applications. On the other hand, optimization and simulations are carried out on microcomputers which are linked with the mainframe files. Various kinds of auditing reports can be produced, including those leading to investments and cash-flow pattern which are

Jan 1, 1991

By F. H. Mertens

The costs of an open-pit operation can be classified according to the following hierarchy : -overall cost of production (per ton of ore) -costs of basic operations and functions -costs of auxiliary operations -costs of machines and equipment -maintenance costs. Production cost is a measure of the open-pit mine performance and should be the final target of the management control. It is also a measure of the share of the mine in the processing stages.

Jan 1, 1990

By Allen H. Gipson

Innovative thinking has led to the development of safe, environmentally sound, and cost effective methods for expanding existing tailings storage facilities (TSF). Three case histories are discussed here to demonstrate methods that have recently been used or are being considered for such expansions. Maintaining the integrity of the structure and reducing costs were primary goals in each case.

Jan 1, 1997

By T. W. West

A description of a coal washing spiral is presented, together with a discussion of the parameters which define the envelope within which the spiral can be successfully applied. The correct process engineering, installation, operating and maintenance parameters are addressed as well as actual results for new and retrofit installations on USA coal capital and operating costs of spiral circuits are compared to those of traditional fine coal circuitry.

Jan 1, 1988

By D. W. Horsfall

The different types of processes used in fine coal beneficiation in the Republic of South Africa are listed, together with data giving an indication of their separating efficiencies The two classes of coal, fines and ultra-fines, present in the -0,s m fraction of the run of mine coal are discussed, with special reference to their beneficiation characteristics. Using those properties, together with the data on plant efficiency, case studies are worked out to indicate the advantages and disadvantages of the different processing routes available. The paper closes with an indication of areas where research is required to enable some of the processes to be applied to a greater extent than is presently the case.

Jan 1, 1988

By Mark W. Cadwallader

Heap leach mining requires liners in order to contain leaching solutions for both economic and environmental incentives. The use of HDPE geomembrane liners for heap leaching is discussed in this paper. Comparison is made to clay liners, with inclusion of economic considerations. Several heap leach projects incorporating geomembranes are discussed.

Jan 1, 1987

By John Chadwick

In the drive for faster development advance rates, railbound systems can be advantageous, in the right application. Skanska BS, the contractor to mine-owner VSK Mining, is driving an adit access deep into the Volouské Urchy Mountain in Slovakia to access the Gemerská Poloma talc deposit, some 70 km (43 miles) west of Ko?ice, the economic and cultural center of eastern Slovakia. Skanska began driving the Stolna Elisabeth drift in February 2007, extending 25 kg/m (50 lb/yd) rails (with 750 mm or 30 in. between sleepers) into the mountain to provide the main haulage to bring talc ore and waste out of the new mine once it gets into production. It will also be used for personnel transport, and is now almost complete. As a second egress and for ventilation, a 2.5-m- (8.2-ft-) diameter shaft of about 300-m (984-ft) depth will be sunk from surface down into the orebody. Stolna Elisabeth is a 4.2-km- (2.6-mile-) long drift mined at a cross section of some 11 m2 (118 sq ft). The finished profile is 3.2-m- (10.5-ft-) wide by 3.6-m- (11.8-ft-) high. It has been developed on a very slight incline so that water runs down it to the portal. The portal is 450 m (1,476 ft) above sea level and the end of the tunnel is 475 m (1,558 ft) above sea level. Much of the rock through which it has been developed is magnesite with a compressive strength of 150 MPA. The drilling jumbo is an Atlas Copco twin-boom Boomer 282 Raildrill drilling 42- to 45-mm- (1.6- to 1.7-in.-) diameter holes to a maximum length of 2.5 m (8.2 ft), depending on ground conditions. This is a drill jumbo that Skanska has used successfully on a number of projects during its life. The condition of the rock through which this drift has been driven is extremely variable. Five classifications of A1 and A2 and B1, B2 and [ ] B3, where A1 is the most competent rock and B3 is the worst, have been established. The amount of support used, of which more later is determined by the classification of ground conditions. At the time of the author?s visit, the project it was about 40 days ahead of schedule, thanks to high advance rates. For instance 6 m/day (20 ft/d) was the plan for the advance to be achieved in B1 rock, but sometimes the crews have achieved 8 m/day (26 ft/d) ? which is the average for the whole project ? in those conditions. In A1 the best advance rate achieved is 12 m/day (39 ft/d). The loading unit is a Häggloader 9HR-B on crawler tracks with a pony track to run on the rails. This allows the unit to be towed up and down the drift along the rails. To load from the face, the Häggloader lowers the foot of its onboard conveyor system to the floor and the backhoe pushes material on to it. This digging arm-conveyor combination produces uninterrupted, optimal volume loading of the haulage unit, without spill ? a technique offering load capacities as high as 180 m3/h (6,356 cu ft/hour). Further-more, as an electrically powered machine, it offers great

Jan 1, 2009

By V. C. Rogers, K. K. Nielson

INTRODUCTION The potential health impact from uranium milling operations is mainly associated with long-term releases of radioactive contaminants from the mill tailings.(1,2) The major mechanisms for mitigating these potential releases focus on increasing the tailings containment with the addition of migration barriers such as thick earthen covers and clay liners. Some limited investigation has also focused on reducing the radionuclide source terms. This alternative approach has some desirable features, but stringent cost requirements are placed upon source removal methods in order for them to be economically favorable. A cost effectiveness evaluation is presented herein, in which costs for containment methods are used to establish maximum cost guidelines for the source removal methods. The 230U decay chain, shown in Figure 1 contains the radioisotopes of major concern, 230Th, 226Ra, 222Rn and its short-lived alpha-emitting daughters, When the uranium is removed in the milling process, these isotopes, which are normally not removed remain in the tailings solids. The general pathways to the environment from uranium mill tailings are depicted in Figure 2. The dominant pathways are radon to the atmosphere and radium and thorium to a groundwater aquifer. The magnitude of the contaminants released into these pathways can be characterized by the following parameters: 1. The 230Th and 226Ra content. 2. The emanating power for radon. The fraction of radon generated that is free to migrate. 3. The leach rates. Source reduction methods seek to reduce the magnitude of any or all of these parameters. In general the dose rates are proportional to the source terms. For radon production the source term is proportional to the product of the radium concentration, R, and the emanating power, E, so that the risk is reduced by the same factor that reduces RE. For example, if the radium content is reduced by 95 percent, but E is increased by a factor of two, then the dose rates are reduced by an order of magnitude. The source term for the groundwater pathway is not as easy to identify. The peak in the radium concentrations in the accessable water body can also

Jan 1, 1981

By T. Hayes

Track-type tractors remain one of the most cost-efficient stripping tools available to coal miners. Whether they are "sweetening up" a dragline operation with pre-benching or serving as the primary stripping tool, dozers can play an important role in driving down mining costs. This paper reviews the application zone of track-type tractors. In addition, it provides tips on site set-up, equipping of tractors, and machine operation which the audience can take home and apply.

Jan 1, 1996

By A. J. MacKellar

The economic viability of any project is generally assessed on an evaluation of the total capital constructed costs along with operating costs, owner's costs and market conditions. This paper will be directed to the role that Cost Engineering plays in the development of the capital costs and the cost control techniques applied thereto.

Jan 1, 1975

By David C. Slack

In recent years public concern over the environment has grown enormously. A very aware populace has exerted pressure on its legislators to enact enforcement laws dealing with pollution. Among the different types of pollution, sulfur dioxide in the air is a large and readily identifiable constituent. Air pollution, according to the EPA, costs the U, S. billions annually with SO2 a major portion of this cost. Fossil fuel and oil fired power plants release better than 50% of the SO2 in the country. Thus great attention is being focused on the methods power plants are utilizing to control emissions. With a time schedule of compliance by early 1975, decisions are being made and systems chosen that will have to perform - and perform - and perform. Therefore, a large majority of the power plants are presently considering lime in the planning and operational phases of their stack gas desulfurization programs. The reasons for this are: Lime scrubbing has more development and pilot work completed than most other methods; the removal potentials are relatively high; the stoichiometric ratios are not excessive and, the process has relatively low capital and operating costs. Many pilot plant studies have been completed recently using lime and the first operational full scale lime scrubbing unit is now in the start-up phase at this time at Duquesne Light Company's Phillips Station here in Pittsburgh. Also, because of completed development work, the problem of solid waste disposal will also be tackled at this power station at the same time. There are various methods for the use of lime in scrubbing for S02, but for our purposes I would like to describe the cyclic wet lime process. This method called "Scrubber Addition of Lime" involves contacting the flue gas with a slurry of milk of lime.

Jan 1, 1973

By O. Schumacher

Guidelines for publication of information defining the amount and grade of resource material available in a deposit are well established in Australasia?s JORC Guidelines, Canada?s National Instrument 43-101 and similar documents in South Africa, Peru, Chile and elsewhere (Table 1). These guidelines provide standards to apply regarding the geologic and geostatistical basis for describing the level of confidence to be assumed for an estimate of the amount and grade of material. All of them provide for a strict distinction between material that has been demonstrated to be economically mineable and that which has not, and all of them provide terms such as ?resource? or ?exploration information? to be applied to data regarding material that has not been demonstrated to be economically mineable. It is not until an economic study has been completed that we are allowed to apply the powerful terms ?reserves? and ?ore? to our deposit material. Indeed, the application of these eye-catching labels immediately tells the reader that an economic study has been completed by a qualified person, and that the results of the study were positive. While extensive guidelines are established for describing the level of confidence in published geologic data, and the nature of the economic study that should be accomplished before using the terms ?reserves? or ?ore?, surprisingly little guidance is provided regarding the process to use, and the level of detail to attain, for estimating capital and operating costs for the study. The intent of this paper is to lay the groundwork for development of suitable guidelines for the cost estimating process. While the codes do not provide specific instructions for the cost estimate, they do provide numerous hints and clues to help determine the level of detail expected and the type of procedure to apply in preparing the estimate. This paper will first review the various codes to gain an insight into the thinking of the drafters of the codes regarding their unstated expectations for the cost estimating process. Based on this review, a series of guidelines are proposed for this purpose.

Feb 27, 2013

By A. J. Richardson

Before the development of the underground stoping and mining costs can be considered, certain facts about the ore body, the proposed mine, markets, etc., must be known or determined. In the case to be studied, the zinc-lead mineralization occurred with a narrow vertically dipping structure of undetermined length and vertical extent. Exploration completed to date has revealed 6.5 mil¬lion st t of proven reserves. A further 820,000 st of in¬dicated reserves has been outlined and this tonnage is considered capable of being expanded by a factor of approximately four after more detailed drilling. After studying the market conditions and completing a very preliminary feasibility study, it was decided that production would be 730,000 stpy (or 2000 stpd) of ore. First year production would be at the rate of 1500 stpd. The main design criteria for the selection of the min¬ing methods are minimizing surface subsidence, maxi¬mum recovery of the ore body, maximum degree of grade control, maximum productivity, and safe working conditions. Two basic extraction systems are considered capable of meeting these requirements: mechanized cut¬and-fill stoping and sublevel long-hole stoping with filling. The primary development system of the mine has been designed to give maximum flexibility in stoping systems and layout and to permit changes if considered necessary as a consequence of actual production ex¬perience. At the present time, access to the mine is by a circu¬lar concrete lined vertical shaft, 16 ft diam, sunk to a depth of 1380 ft. Two exploration levels have been driven within the ore zone at depths of 165 and 1246 ft below the surface outcrop. The development to date had the objective of sampling the mineralization and produc¬ing detailed information on the outline of the ore body and the distribution and controls of zinc and lead values. In an attempt to satisfy the basic design criteria for the mine, it was decided that production would be best achieved by a combination of 40% sublevel long-hole stoping and 60% cut-and-fill mining. Costs of exploration and capital development of per¬manent underground facilities are normally written off over the life of a mine. Production expenditures, on the other hand, are of a temporary nature and are normally charged as and when incurred as an operating expense. Reasonably accurate predictions of mine production costs can be built up from engineering design and estimates of individual mine activities for ultimate inclusion in the comprehen¬sive data required for financial decision making. The simulated operations can be costed on a detailed basis in the form of a monthly operating budget. The budget format can be generalized or detailed, depending upon the scope of the project. However, ex¬perience suggests that a fairly detailed format has the advantage of assuring that all significant cost items are included. For underground costing it is suggested that the budget structure include five major cost centers (i.e. development, diamond drilling, ore extraction, hoisting/ transportation, and general mine expense). These in turn are detailed under numerous subheadings. The mechanism for compiling an operating budget will be illustrated. Because of its relative simplicity, ore extraction under sublevel long-hole stoping has been chosen for illustration. All other activities, simple or complex, can be estimated in similar fashion. BLOCK AND STOPE DEVELOPMENT Long-hole blocks, used where advantageous, will be up to 250 ft in height, depending upon the vertical con¬tinuity of the mineralization, and approximately 300 ft long. Drawpoints will be at 36-ft intervals and serviced by loading crosscuts driven from a footwall drift parallel to and close to the ore zone. Pillars between the stopes will be 50 ft wide. Stopes will be drilled off with vertical rings of blastholes drilled from sublevels approximately 60 ft apart vertically. This drilling will be done by percussion drilling machines (31/2 in.) mounted on a trackless drilling rig. Load¬haul-dump (LHD) equipment will be used to move broken ore from the drawpoints to the orepass connecting to rail haulage systems. On completion, long-hole stopes will be backfilled to prevent caving and to facili¬tate later pillar removal. From a planned stope layout, a forecast of produc¬tion and development is made in Table 1. Table 1. Block Tonnage and Stope Development Quantity Ore Waste Total ore block 375,000 st 2 stopes 310,000 st 1 pillar 65,000 st Access crosscuts, 4 at 100 ft 400 ft Drill sublevel drifts, 6 at 300 ft 1800 ft Stope raises, 3 at 250 ft 750 ft Undercut sublevel drifts, 2 at 300 ft 600 ft Loadout crosscuts at 35-ft intervals 550 ft 100 ft 3300 ft 500 ft Total development footage 3800 ft Tons per ft of development 987 st

Jan 1, 1982

By James E. Breland

Society's growing concern over the number of deaths and serious injuries occurring in coal mines, coupled with a growing sentiment to develop and promulgate improved mandatory health or safety standards, was no doubt the basis for passage by Congress of the Federal Coal Mine Health and Safety Act of 1969, being Public Law 91-173 approved December 30, 1969. Even prior to passage of the Act, strong reaction was quick to arise concerning the effect of such legislation upon the coal mining industry. Initial response varied from mild forms of criticism to' the expressed fear of complete suspension of operations and mine closings. Primarily responsible for these early forms of skepticism were speculative or fanciful cost estimates which led operators to contemplate a less than prosperous existence. However, in spite of this unfavorable outlook, the majority of the operators have faced up to the situation and have been striving to comply with the Act and the regulations issued thereunder. While encouraging strides have been made toward implementation of the Act, it must be recognized that noticeable results have been attained only through many months of determined effort and, as anticipated, at quite heavy expense to the operator.

Jan 1, 1973

By Bruno C. Boik

INTRODUCTION Cost Management is the evaluation and control of project scope, budgets, and costs with the objective to minimize costs and maximize the benefits to be derived from the use of project resources in conformance with Criteria stipulated or approved by the Owner. In order of importance, Cost Management is one of the most prominent Project Management functions because of its impact on the financial success of the venture. Cost Control and Cost Accounting are essential parts of Cost Management. The principal objectives of Cost Control are to monitor project commitments and expenditures, and measure performance for the detection of variances from acceptable standards and from control budgets so that timely action can be initiated to minimize costs. Cost Control is evaluation of current costs and projection of future costs, rather than the reporting of actual costs. Cost Control is not Cost Accounting. The primary objectives of Cost Accounting are the determination, classification, analysis and reporting in useful detail of actual costs. Following are some considerations on Cost Management and Cost Control as practiced by Owners and Contractors of industrial projects, Mining and Metallurgical projects in particular. COST MANAGEMENT Functions Conforming with the requirements of Owner's Criteria, the principal Cost Management functions are to • evaluate estimates of project costs and establish budgets for a scope of work and schedule; conversely, evaluate the scope of work that can be executed most effectively within a budget and schedule. • promote investigations and comparative evaluations of alternate designs and plans to find the most cost effective way to execute a project and minimize its operating costs. • based on Cost Control and Cost Accounting input, evaluate and initiate appropriate actions to correct deviations from approved budgets. assess project economics, the effect of changes on project economics and, if necessary, revise Project Criteria to modify their impact on costs.

Jan 1, 1986

By V. O. Tenorio, A. M. Sanzana

"INTRODUCTION This report summarizes a research about mines which are transitioning from surface to underground mines. It is a guide to make strategic decision in these increasing amount of mines. Capital and operating costs are linked with major strategic decisions in the exploitation of an ore body. This is the reason to analyze costs related to this transitioning world trend. There are multiple reasons for transitioning from Open-Pit (OP) to Underground (UG) mining. The primary economic incentive for going UG is that the cost per unit of ore from OP mining eventually exceeds that from UG extraction. This is due to the excessive amount of waste that must be extracted when the depth of the pit increases. In addition, the reduced footprint of UG operations contributes to diminish the environmental impact on the surface. Furthermore, it becomes more difficult to find new, easily accessible ore deposits. Then, a cost model helps to guide strategic decisions in the transition from OP-to-UG mines. Objectives • Propose a methodology to guide strategic decisions in the transition from OP to UG mining. • Create an integrated cost model based on existing OP and UG individual cases. • Identify and characterize a group of mines transitioning from OP to UG. • Analyze operating and capital costs of a particular transitioning from OP to UG mine. MAIN CONCEPTS Open Pit Mining (OP) The main decisions in OP mines are: Cut-off grade, Stripping Ratio (SR), equipment size, stockpiling, pushback sequencing and processing capacity. The stripping ratio is measured as the tonnage of waste required to be removed to reach and extract one tonne of ore. The material extracted from an OP exploitation can be classified as waste and ore. This classification depends on the cut-off grade. The cut-off grade indicates the minimum amount of material with economic value in a block. The waste from the mine is going to the waste dump and the ore is going to stockpiles where will be store and then going to the processing plant (leaching or concentrator). The waste of this process is going to the tailing pond big pools. And the product is sell in the market. Another important issue is the mining capacity which is going to define the investment in mining equipment. Underground Mining (UG) The first decision to be made in order to open an underground mine is selecting the mining method. Caving methods are the more productive and have lower operating costs. There are three caving methods: Block Caving (BC), Panel Caving (BC) and Sublevel Caving (BC). The access development could be an horizontal adit or a straight or downspiral decline. A shaft could be used for inclined or vertical access. Other key issues are: equipment capacity, cut-off grade and production sequencing."

Jan 1, 2016

By D. W. Alexander

Mine fires, explosions, spontaneous heating and inundations are among the leading causes of catastrophes (unplanned, temporary sealing and recovery of major mines). Many reports are available that detail company efforts to re-establish mining operations and agency efforts to regulate away the causes, but the associated costs are rarely included. The increasing scale of coal operations concentrates earning potential and the financial risk of business interruption in fewer locations. Underground coal mine catastrophes are low probability, high loss events that happen nearly every year. This paper will present an evaluation of coal mine catastrophes from case studies.

Jan 1, 2003

By L. B. Rothfeld, R. L. Dolzani

This paper presents preliminary results of a US Bureau of Mines (USBM) study of potential costs of compliance with possible federal regulations for copper heap and dump leaching. The regulations could arise under amendments to the Resource Conservation and Recovery Act (RCRA) and/or the General Mining Law. Estimates are given for the cost of compliance with possible technology standards that would require the use of liners and closure caps regardless of terrain and underlying geology and hydrology. This cost is compared to the cost of compliance with 1992 state requirements for terrains typical of those found at existing copper leach sites in the southwestern United States. Incremental compliance costs are found to widely exceed screening criteria used by the US Environmental Protection Agency (EPA) to denote significant economic impact.

Jan 1, 1995

By L. B. Rothfeld

This paper presents preliminary results of a Bureau of Mines study of potential costs of compliance with the federal Resource Conservation and Recovery Act for copper heap and dump leaching. Specifically, estimates are given for the cost of compliance with possible technology standards that would require the use of liners and closure caps regardless of terrain and underlying geology and hydrology. This cost is compared to the co lit of compliance with present state requirements for terrain a typical of those found at existing copper leach sites in the Southwestern U.S.A. Incremental compliance costs are found to widely exceed screening criteria used by the Environmental Protection Agency to denote significant economic impact.

Jan 1, 1993