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By Wang Ding-heng, Wang Zhi-yuan, Nolan B. Aughenbaugh

The People's Republic of China has abundant coal resources with proven reserves amounting to 582 Gt (641 billion st). Recognizing coal as a major energy source on which to build the country's industrial and economic base, there has been a rapid increase in production since the founding of the People's Republic. In 1949, only 29.4 Mt (32.4 million st) of coal was mined. Production has increased to 576.5 Mt (635.5 million st), exclusive of Taiwan, at present, making China the third largest coal producing country in the world. Plans call for a 4-5% increase in annual production for the next 20 years. Coal constitutes 70% of the primary energy consumption in China. The remaining 30% is divided between petroleum and natural gas with 26% and hydropower with 4%. Coal use and consumption is divided as follows. General industrial use comprised 48.9%, power generation uses 20.1%, and coking accounts for 10.5% (6.3% for metallurgy and 4.2% for chemical industry). Domestic use such as home heating and cooking makes up 17.8% and coal-fired steam engines for railways uses 4.7%. Coal Districts Coal underlies about 1/18 of China's land area. It occurs in 30 provinces, autonomous regions, and municipalities. In addition, the western interior region, which has not been explored, may contain sizable reserves. Based on geology, geography, and administration, the coal fields can be grouped into five districts as shown in Fig. 1. The north China district, the heart of the industrial base for the country, has the most extensive and largest deposits of the five districts. This amounts to almost 40% of the country's total reserves. The largest coal basin with proven reserves of 181.4 Gt (200 billion st) and the most exploitable seams is located some 300 km (186 miles) southwest of Beijing (Peking) in Shanxi Province. Centered around Taiyuan, the compound field extends from Datong in the north to Xian in the south. Its western extension is not known fully. The Northwest and Northeast districts contain the second and third largest deposits. The biggest coal field in South China is located in the Sichuan and Guizhou Provinces near Chongqing. At present, it is not known if sizable coal measures exist in the Tibetan district. Coal Types China's coal varies widely both in age and rank. Geologically, coal measures were deposited from the lower Carboniferous (Pennsylvanian of the US) and Permian of late Paleozoic, mainly during the Jurassic of the Mesozoic and peri¬odically throughout the Cenozoic. Collectively, coal from the lower Carboniferous, Permian, and Ju-

Jan 3, 1983

By Simon D. Strauss

The recession that began in late 1980 has proved to be not only prolonged and severe, but in certain ways unique in its effect on the mineral industries among the periods of economic slowdown experienced in the Western world since the end of World War II. This time almost all minerals have been affected. In previous business turndowns, by contrast, some mineral sectors have with-stood economic adversity well. They experienced little or no adverse effect-thanks either to a strong secular expansion in the markets for their particular product or to specific factors that caused demand to be well maintained. For example, aluminum, molybdenum, and nickel are three metals that enjoyed extraordinary growth in applications during the years 1946-1973. These metals were little affected during the recessions that occurred in that era. Similarly, coal did not suffer a pronounced drop in sales in the 1974-75 turndown because, with the price of oil rising sharply, a switch away from oil and back to coal was clearly indicated for some energy-intensive applications. Oil itself was largely impervious to the ups and downs of the business cycle until very recently. And the precious metals, gold and silver, have often been regarded as benefiting from reduced economic activity because labor becomes more available, productivity rises, and operating costs diminish. In the current recession, however, no major mineral has escaped the broad trend. The secular growth factors that were previously so evident for aluminum, molybdenum, and nickel have disappeared, at least temporarily. The stable pricing behavior that previously characterized all three of these commodities has been replaced by extreme price weakness and apparent inability of the major producers to continue their roles as market leaders. Coal and oil both have suffered from a sharp drop in energy requirements. There are those who now anticipate a collapse of the market control over oil prices so clearly exercised by OPEC since 1973. If oil prices are no longer effectively controlled by the governments of the exporting countries, then coal prices are also certain to be affected. And the combination of high interest rates, tight money, and a change in public perceptions of precious metals put the skid under gold and silver quotations in 1981 and early 1982. Although inflation has been viewed as the scourge of most Western countries ever since the oil crises of 1973-74, prices-in constant dollars-of most minerals have not risen. On the contrary, with the exception of the precious metals and oil, for most minerals the prices that prevailed at the end of 1982 were close to the levels of the Great Depression of the 1930s in constant dollar terms. Table 1 compares prices for copper, lead, zinc, and aluminum at the end of 1982 with the average prices in 1934, stated in constant 1967 dollars. This emphasis on prices for mineral commodities reflects the fact that profits of mining enterprises vary directly with the level of prices. Manufacturing and retailing enterprises march to a different tune. They establish sales prices based on costs. Their profits tend to vary with volume. Commodities are for all practical purposes fungible, that is the advantages of known brands in marketing manufactured goods have little application in a commodity market. Thus the individual seller of minerals is unable to establish his sales prices. Except where a monopoly is present, he must sell at the going market. His option is to abstain from selling if he finds the price unremunerative. In past recessions, some mineral producers chose to do precisely that-either accumulating a substantial share of their output in inventory or, in prolonged downturns, abstaining from production. During the current recession, however, private-sector mining companies did not have the option of accumulating inventories to any great extent. Capital costs for new mineral projects or for expansion of existing facilities have escalated at an alarming rate since the early 1970s. Added to this has been the heavy cost of installing pollution control or safety equipment to comply with the regulations adopted in most industrialized countries (and particularly the United States) since 1968. The consequence has been that the financial position of most major mineral enterprises in mid-1980 was already strained. To finance increased inventories meant incurring additional funded debt at high interest costs, thus impairing the concern's credit rating. Management Choices Private-sector managements have had to face up to the alternative of either continuing to produce at an unchanged rate and marketing output at unremunerative prices or reducing output. The latter has meant either operating at a curtailed rate, with con-

Jan 3, 1983

By Kenton E. McElhattan

Financial analysts have often called National Mine Service Co. the only "pure play" company to the mining industry, meaning that an investment in NMS is an investment in the mining industry. As a leading manufacturer and supplier to the industry, National Mine Service does enjoy a close and direct relationship with mining. It is the only independent company that offers products and services that include mining machinery, health, safety, instrumentation, mine supplies, and reconditioning services for hydraulics, electronics, and machinery. But what is a positive relationship in periods of economic upturn can be eauallv as negative during the downturns. In fact, National Mine Service has felt the resounding blows of the current recession in the mining industry. Two-Fold Strategy Rising unemployment, corporate losses, bankruptcies, and mine closings in particular have directly affected NMS. But the company embarked on a strategy several years ago that included a two-fold approach to becoming less dependent upon the vagaries of the US coal industry. One strategy was to develop additional products and services for other mineral industries such as potash, trona, and salt and, where possible, apply the technology developed for the mining industry to industrial markets. The other strategy was to become a more international company. The objective was to make export sales a minimum of 10% of total corporate sales. Even today, NMS believes this is a good strategy as opposed to diversifying because its expertise is in mining, not in other areas. A review of NMS's fiscal 1982 annual report indicates that the company's strategy did begin to pay off. 1982 was a turnaround

Jan 2, 1983

By H. C. Juvkam-Weld

R. Michael Craig Mr. Juvkam-Wold's article is a timely and much needed presentation of the method of depressurization to reduce ground-water inflow into mine shafts. The article is very informative and discusses the effects of depressurization upon shaft inflows adequately. However, the article omits a discussion of another important benefit of depressurization: the reduction of potential for artesian burst or, as it is also called, floor heave. Confined aquifer systems (artesian aquifers) can contain water under several hunder pounds per square inch (psi) of pressure. For example, water levels at elevations of 455 m (1500 ft) or more above the top of the Westwater Canyon member of Reply by H.C. Juvkam-Wold In general, Mr. Craig's comments are useful and accurate regarding the potential benefits of aquifer depressurization. However, two of his points require further explanation since they may lead to a misunderstanding of my paper and its predictions. These refer to his comments regarding failure to account for storativity and to non-artesian conditions. Equation 5 is indeed Darcy's steady state equation. However, as a careful review of the appendix in this paper will reveal, I have used this equation to represent semi-steady state conditions. In other words, steady state conditions are assumed at any instant of time, but conditions may change gradually from

Jan 2, 1983

By Franklin J. Stermole

The current financial state of the mineral industry, in general, is bad. Economic prospects for improvements in the near future are uncertain. What will improve mineral investment economics so the mining industry can return to a more normal (in terms of past experience) production level? Basically, mineral commodity prices must rise. They must rise to economically justify reopening closed mines and for management to seriously consider expansion or development of existing and new mines. With the worldwide economy depressed for more than a year now (longer for most segments of the mineral industry), supply/demand relationships for mineral commodities are such that prices are depressed-except for precious metals. In investment analysis of the economic potential of existing or new investments in any industry, product price generally is one of the key parameters having great impact on the economic viability of projects. Petroleum and synfuels industry development contracted last year for the same product price reasons that have brought mineral industry development to a standstill. Much of the new mine development activity now underway or in the serious planning stages around the world involves precious metals ore body development simply because precious metal prices are high enough now or are projected to be high enough in future production years to give overall satisfactory project economics. It will take significant improvement in nonprecious metal mineral commodity prices in 1983 to develop significant new mine investment interest except in very high grade ore body special situations. Mineral Investment Decision Making Before progressing further with the discussion of mineral investment considerations for the coming year, it should be emphasized that mineral investment decision making-like all industry or individual investment decision making does not relate just to economic considerations. Investment decision making should and generally does involve three analyses: • Economic analysis • Financial analysis • Intangible analysis Economic analysis evaluates the relative economic merits of investment situations from a profitability viewpoint based on discounted cash flow analysis of projected investment revenues and costs. Financial analysis, on the other hand, refers to where and how the funds for proposed investments will be obtained. Regardless of the project's economic potential, if you can't finance it, the project will not be done. Intangible analysis considers factors affecting investments but which cannot be quantified easily in economic terms. Typical intangible factors are legal considerations, public opinion, goodwill, environmental and ecological impacts, and regulatory or political considerations, to name a few. New mine development investment decision making in the US has been impacted heavily by intangible considerations in the past decade and will probably continue to be impacted by them in 1983. There is a common tendency in literature and management practice to interchange the terms economic analysis and financial analysis. This often leads to confusion about the rationale for investment decisions. For example, in the past year a majority of companies in all types of industries cut back budgets for new projects. Often this was done not because new project economics were unsatisfactory, but because cash flow from existing operations was reduced compared to previous years due to the recession, and debt service requirements were high from existing loans so new borrowing was undesirable. For financial reasons, in other words, many projects were shelved last year. That included some precious metal mining projects and many petroleum projects. Many other projects were shelved for economic reasons (sometimes combined with financial reasons in the case of marginal economic projects). New mine development for copper, lead, zinc, molybdenum, iron ore, and synthetic fuels are a few examples. Economic Uncertainty and Financial Considerations Mineral project analysis has always involved a lot of uncertainty with respect to determining ore grades, tonnage of producible reserves, operating and capital cost projects, and mineral commodity prices estimates. The wide swings in mineral commodity prices in recent years and the almost impossible task of projecting future prices with any degree of confidence or accuracy concerns mineral project investment decision makers. In developing a new copper or silver mine, it is not today's price of copper or silver that is relevant to economic analysis of the mine, but what the price will be during the producing years. There is no way to avoid projecting the escalation (or de-escalation) effects on revenues and costs. To analyze a project in terms of today's dollar revenues and costs implicitly assumes that escalation will not change today's project costs and revenues; or that, if they do change, the project economics will be unaffected by the changes. This often is not the best or even a realistic assumption. The inherent uncertainty associated with historical mineral price swings is exacerbated in 1983 by the uncertainty of when

Jan 2, 1983

By Hans W. Schreiber

Most geologic and mining engineering consulting firms* began to experience the recession with declining billing levels, number of inquiries, and proposal requests in late 1981 or early 1982. As of today, most of them have been functioning at reduced income levels for nearly a year. And while many consulting firms have apparently reached a stabilized income level, they can see little prospect for attaining normal (pre-late 1981) billing levels and income for the remainder of 1983. A few firms have escaped being affected by the recession. Such com panies almost without exception are small (fewer than 20 personnel), offer a limited range in technical capabilities, and tend to be highly specialized in a particular niche. They include those specializing in the heap leaching of precious metals ores, in ground water testing programs, and in the derivation of computer-aided programs to monitor particular mineral processing functions. Those firms affected by the economic downturn have instituted a variety of policies and undertaken actions to cope with significantly reduced incomes to bring fixed costs in line with the depressed demand for services. These changes fall into the following broad categories: • management and management practices; • markets and market definition; • marketing and the pursuit of assignments; and • administration and personnel relationships. Not all of the perceived changes have necessarily been instituted by every consulting firm, and any one appears sporadically instituted. Management and Management Practices In favorable times the managers, and often the owners of the equity, of consulting firms tend to concentrate their attention on the part of the business they find most satisfying and enjoyable. For some, this means acting as project or assignment leaders, even undertaking a specific technical aspect of the job. For others, it means constant marketing with the associated heavy travel and entertainment schedules. In unfavorable conditions, such as the current recession, managers tend to spread themselves far more thinly, expending time and effort on all facets of the business including marketing, proposal preparation and cost estimating, budgeting, general administration, accounting and cash flow monitoring, project/assignment overview, and actual client work. The manager who in favorable times concentrated on client work is now less billable. The manager who concentrated on marketing is somewhat more billable. The manager now needs to pay attention to and expend equal effort on each facet of the business just to keep all the facets in relative balance. Falling behind schedule on a client job or carrying an unduly large percentage of accounts receivable exact a cost to the firm. Clearly the absolute cost to the firm is the same whether demand for service is good or slack. But in periods of slack demand the firm is frequently less able or even unable to bear such costs. Marketing and Market Definition Markets appear to have undergone some significant changes: • Federal and state governments have assumed a greater importance as providers of work vis-a-vis both industry and private groups. • Projects with increase-in-capacity aspects have given way to projects with maintenance or reduced operating cost aspects. • Projects searching for new deposits of minerals in generally new locations have given way to projects reviewing known mineral districts or known deposits. • Industrial mineral and mining companies have exhibited a great propensity to cut back the use of consultants and to undertake as much work as possible in-house. Further-more, a number of industrial mineral and mining companies have entered the competitive arena with consulting firms, submitting proposals (usually to the federal government) in an effort to keep their staffs intact and occupied. In response, consulting firms have reevaluated their capabilities by reviewing old work and reassessing personnel. The purpose is to broaden the services offered and the potential client base, thus redefining the available market. For example, a firm specializing in assessment of technical and cost parameters of a deposit would normally assist a prospective lender in judging the deposit's suitability for project financing. That same company could easily expand into the field of analyzing production costs for an individual operation -something that is needed in periods when lower prices reduce profit margins. Similarly, a firm that has confined such economic assistance to commercial banks could expand to provide its expertise to other lending and even equity buying in-stitutions such as insurance companies. Marketing and the Pursuit of Assignments With few exceptions, consulting firms have significantly increased their

Jan 2, 1983

By John A. Kaufman, Terry D. Vandell

Recent mining regulations have increased the need for detailed engineering and environmental information pertaining to the hydrogeologic environment in mining areas. The cost of obtaining such hydrogeologic information has also increased. After mineralization of potentially economic grade ore and tonnage has been identified, and after completing preliminary mining feasibility studies (suggesting that development is merited), a second exploration phase can incorporate a simple, cost-effective baseline hydrogeologic data reconnaissance program that is limited but useful. Using exploration drill holes only, this program can provide a direct indication of where ground water is encountered. Also, reasonable estimates can be made on the relative production of water from various water-bearing strata, a composite potentiometric surface map can be prepared, and the general chemistry of the ground water can be characterized. This article outlines what typical baseline hydrogeologic data are needed and describes how it can be easily obtained during exploration drilling. Introduction Major engineering and environmental ground water parameters can be identified early in a project by using, drill hole data obtained from a mineral exploration program, designed by the mine geologist and hydrogeologist. Most importantly, data obtained in the exploration drilling program can be used to design a logical, defensible, and cost-effective baseline ground water data reconnaissance and monitor well program, which would be required for mine design and ultimately for mine permit approval. Drilling Where possible, exploration drill holes should be drilled with conventional rotary drilling equipment using air or, if necessary, water as the drilling fluid. Rotary air or water drilling generally allow good delineation of the first major saturated or water-bearing zone. If mud must be used during drilling, distinct hydrogeologic zones can still be defined, although the task may be considerably more difficult. Water Levels Static water levels can be obtained from selected exploration drill holes at specific depths while additional boreholes are drilled. Such measurements should not, however, be conducted until the hole has been developed with air (no water) and has stabilized at each of the depths to be measured. Such water-level information can be particularly useful when more than one aquifer exists. Where mine development is eminent, the hydrogeologist should install 50-100 mm (2-4 in.) diameter PVC casing in select drill holes. The PVC should be slotted, gravel packed, and properly sealed so additional hydrogeologic data can be collected for specific hydrogeologic zones at a later date. Such data could include water level information, permeability estimates based on injection and /or pumping tests, and water quality data. Where casing is not installed in drill holes, or when the drill holes are abandoned, the holes should be properly grouted and back-filled to the ground surface to prevent potential future ground water contamination. Monitoring Air Lift Water Production Estimates of the relative production from various water-bearing strata can be obtained from selected exploration drill holes. If ground water is encountered, its air lift (ground water flow) production can be measured at distinct intervals using a surface water flow measuring device, such as a portable Parshall

Jan 2, 1983

By S. D. Bechtel

Bechtel Civil and Minerals, Inc., one of the Bechtel group of companies, is a large engineering and construction firm that services the mining industry, among others. The firm's head, S. D. Bechtel Jr., comments on how his E&C company is dealing with the recessionary economy. First, he offered a historical perspective. About a half century ago-in the middle of the Great Depression-W. A. Bechtel and several business partners drew up a fixed price bid to build the Hoover Dam. At that moment in history, the W. A. Bechtel Co. was a modest success, but the times were troubled and uncertain. Money was scarce and a lot of contractors across the country were one project ahead of bankruptcy. The bid for Hoover was a make-or-break proposition for Bechtel, and it turned out successfully. The Hoover Dam was a no-frills operation in an isolated and harsh environment. There was plenty of hard work, long hours, and not many amenities. Controlling costs was critical. Everyone knew what had to be done, and why and what the consequences were. Today's Challenge Bechtel is now a bigger, more complex organization whose management views the current economic recession as a challenge to be met in much the same way W. A. Bechtel met the challenge of the Hoover Dam: by pulling together with a sense of purpose and direction. In many respects, Bechtel's situation today has a number of parallels to that which faced my grandfather. The company is eminently successful, but times are tough and there are plenty of signs that they could get tougher. My grandfather bet on the Hoover Dam to insure the future health of his company and I think we can work together again in that same tradition, make some tough decisions together, and the company's future can be just as promising. The first and most important requirement is to make certain that everyone understands the situation. The Bechtel group of companies are in an excellent financial position now. Its workload hit an alltime high in 1982 and it is well positioned in its principal markets. But the next two years may be critical for the company. Traditionally, Bechtel's work load lags behind general developments in the economy. Although many of its clients continue to suffer serious business difficulties, Bechtel is only beginning to feel the impact. The worldwide market for basic metals remains soft; relatively low prices and abundant supplies of oil and gas have flattened the petroleum market and made once promising synfuels projects economically unattractive; utility clients are still caught in the vise between overregulation and escalating costs. And persistently high, long-term interest rates have made capital investments expensive and difficult to justify. The company maintained a healthy workload through 1982. In some areas it has had little new work and consequently has been forced to lay off some staff as projects have been canceled or concluded. In other areas new work has tided the company over and more people have been hired. But new work bookings have fallen off, creating some uncertainty for the near future. 1983 requirements are clear, although seemingly contradictory. Belt tightening and cost reduction are necessary for Bechtel to remain healthy and competitive, enabling it to handle a possible further downturn with a minimum of turmoil and dislocation. At the same time, we need to allocate resources and funds in areas that will keep us positioned for the turn-around marketplace.

Jan 2, 1983

By Graham J. Morgan

The following material is excerpted from a presentation Mr. Morgan gave recently to representatives of the financial community. Introduction 1982 was a period of challenge for United States Gypsum Company because of reduced market opportunity. Housing starts for the first 10 months averaged a seasonally adjusted annual rate of 1 million units, 9% below the comparable 1981 period when housing starts were the lowest in 35 years. Industry gypsum board shipments declined 9% from the already low levels of the same period in 1981. US Gypsum met the challenge with stringent cost reduction programs and aggressive action in the marketplace. In late 1981, anticipating market deterioration, the company's management adopted strategies to focus on two shortterm objectives: • Adjust operations to perform profitably in view of limited opportunities through more efficient operations and asset management. • Continue to strengthen U.S.G.'s resources and ability to take advantage of important market opportunities as the economy improves through selective expansion of production capacity in key growth markets. Concentration on these two objectives resulted in a nine month performance in 1982 that, while certainly not satisfactory by company standards, compared very favorably with that of principal competitors in terms of net earnings, margin on sales, and return on average stockholders' equity. To counteract limited market opportunities, U.S.G. focused on productivity improvement, cost reduction, expense control, and maximization of market penetration. Energy Use Improving performance encompassed all segments of operations. For example, efficient use of energy was a significant factor despite lower operating rates at most plants. Overall, in the third quarter of 1982 versus 1972, the company used 27% less energy per unit of production, a savings of $15 million in that quarter alone. These continuing improvements helped to partially offset constantly rising energy costs. A number of operations achieved superior results in the first nine months of the year compared with the same period in 1981. For example, gypsum board plants in Jacksonville, FL, and Sweetwater, TX, recorded 8% and 7% reductions, respectively, in energy use per unit of production. Paper mills in Oakfield, NY, Galena Park, TX, and Kansas City, MO, each reduced energy use more than 12%, while the Greenville, MS, ceiling products facility achieved a 16%o reduction. Safety Safety is another important element that received increased attention. U.S.G.'s safety performance over the past five years has consistently improved. In 1981 it was five times better than that of the gypsum industry; nearly 10 times better than all industry as measured by the National Safety Council; and almost 20 times better than all US manufacturing as recorded by the Bureau of Labor Statistics. In addition to human concerns, this excellent record results in significant dollar savings that directly affect company results. In 1981, U.S.G.'s pre-tax savings in claims, premiums, and related expenses were about $20 million compared to the industries in which it competes. For the first half of 1982 performance improved further, with a cumulative lost workday incidence rate per 200,000 man-hours worked of only 0.27, an all-time record. Expense Control Careful control of inventories and receivables also received special attention. As of Sept. 30, 1982, inventories were 29%, or $44 million, below the level of Sept. 30,

Jan 2, 1983

By Frank Matter

Production of ultrafine powders of industrial minerals has been a problem in the past. In recent years new wet and dry grinding stirred ball mill systems have emerged which have been commercialized Two such systems are the TRZK mill with double step air classifier for dry grinding and the NRZK mill for wet grinding The primary features of these mills are feed entering from top and the product along with the grinding media leaving from the bottom, and a media separation and recycle system A detailed description of the NRZK mill for grinding coal is presented

Jan 1, 1983

By Jay P. Chapman

The basic control requirement for multi-pump, long distance slurry pipelines are discussed and a particular example of an operating slurry pipeline using programmable controllers is presented.

Jan 1, 1983

By Gill Montgomery

Although fluorspar is considered an industrial mineral by usage and value, its geological occurrence and the mining and milling methods employed make it more akin to the non-ferrous metal ores. Likewise methods of exploration for it are more like those used in the search for lead and zinc, with which fluorspar is often mixed. In fact, it often takes the mixture of fluorspar, lead, zinc, plus maybe barite to add up to enough recoverable values to make the mineral an ore by definition. This is so true where the fluorspar portion is low grade, perhaps less than 25 percent. Until the development of modern steel milling in World War I times, the invention of aluminum smelting, and development of the fluorine chemical industry and air conditioning, there were few uses for fluorspar aside from ceramic fluxes in the flint glass industry and for uses as glazes for pottery and china. Pure fluorite crystals have long been admired as semi-precious and ornamental minerals of many delicate colors.

Jan 1, 1983

By Harry Sutcliffe, Francis M. Keville

The paper describes the, impact of the geotechnical exploration program on the line and grade of the tunnels and the shaft configuration on the Red Line Extension N.W. in Cambridge and Somerville, Massachusetts, and comments on several aspects of the implementation of the project.

Jan 1, 1983

By Sidney M. Cohen

This paper describes an economical method of upgrading a clay deposit using conventional separation processes into a suitable cement plant feed. The natural size difference of clay and silica in the clay deposit is utilized in the dry air classification device. A case study in which the raw material from a clay deposit is converted into a portland cement plant feed is presented.

Jan 1, 1983

By Alex G. Sciulli

According to recent estimates, nearly 30 percent of the material from underground coal mining in the United States is rejected on the surface as waste. This accumulation of almost three billion tons of coarse and fine coal refuse is primarily from coal cleaning operations. The marketable coal is intermixed with sandstone, clays, shales, and carbonaceous rocks, which must be removed and disposed of in an acceptable manner. The disposal of mineral wastes is a major environmental concern. The most common types of environmental problems associated with coal refuse disposal are acid formation, erosion, and sediment control. Other areas of concern include air and water quality, combustion control, mine sealing, and reclamation. This paper focuses on these topics and attempts to outline special environmental features which can be incorporated into the design and construction of a coal refuse facility. Often these measures can minimize and possibly eliminate the potential environ- mental hazards. It is imperative, however, that these measures be adopted prior to and during construction, because of the relative ease and cost savings compared to post-construction implementation.

Jan 1, 1983

By Donald W. Foss

The Shiloh Church deposit is a very significant molybdenum occurrence in an ususual, perhaps unique, geologic environment. Work done to date indicate that several million tons of "ore" may be present, occurring as a matrix in limestone and dolomite breccias. Mineralized rocks cored to date are at or near the surface and the deeper resource potential has not been tested. The prospect is located in Polk County, north- western Georgia (Fig. 1). The "ore zone" was outlined by North American Exploration, Inc. (NAE) using geochemical prospecting techniques. Extensive geological work, including core drilling, has been conducted on the properties, together with geochemical and geophysical surveys. The geology, geochemistry and geophysics of the prospect are discussed. It is hoped that these data can be used to formulate exploration programs in similar terranes located elsewhere in the eastern U.S.A.

Jan 1, 1983

By Eugene E. Hively

The Tower Kill is a vertical "stirred" ball/pebble mill recently introduced in the Western Hemisphere. This device offers a significant power savings on wet fine grinding applications when compared to conventional tumbling mills. This paper describes the laboratory application of this mill wet grinding hydrated alumina to products of 50 percent passing 2 to 6 microns.

Jan 1, 1983

By Duk-Won Park

Ground water has been a problem in underground mines (Anon., 1981; Aughenbough, 1973; Stansbury, 1981). Water migrates from water-bearing formations and surface water bodies such as lakes, ponds or creeks into the underground workings through fractures and cracks. As a result, under- ground workings become plagued with the necessity of having the water pumped out in large quantities. Underground workings become flooded when unexpected amounts of water flow into the openings, especially when mines use pillar extraction or longwall mining methods. It is difficult to detect water bodies above the coal mine roof before water problems take place. The resistivity method was used as a method for detecting water saturated rock layers and bodies of water above the roof of a coal mine in northern West Virginia, where the multiple seam mining method was being used.

Jan 1, 1983

By Robert A. Pond

Heavy (exceeding 35 tons) roadheaders have not seen much use in the United States, but are used extensively in Europe to excavate many types of underground openings in civil and mining applications. Early models of roadheaders were light and suitable only for utility excavation such as drift enlargement or chamber excavation, unless the ground was very soft and easily cuttable. Frontier-Kemper Constructors, Inc. is now using a 45-ton roadheader to excavate two mine slopes in Kentucky and a 70-ton roadheader to excavate a long decline at a new mine in Utah. Results to date indicate that heavy roadhead machines are an effective alternative to both conventional excavation and full-face boring machines in many cases; and where circumstances are favorable are a superior choice. This paper concentrates on applications in the mine development construction industry, but the conclusions are no less valid for civil construction.

Jan 1, 1983

By Donald E. Ranta

An ore zoning technique developed by Climax geologists during the past forty years has been used to contour drill-hole assay values on cross-sections for fourteen porphyry molybdenum deposits in western North America, including the Climax and Henderson orebodies. Detailed geological studies of these large, complex deposits are essential in determining ore controls, which are the factors most critical to the zoning of MoS2 assays and to conceptualizing geologic models. The technique provides a detailed representation of the size, shape, grade distribution, and geologic continuity of the individual deposits. It demands a disciplined approach and adheres to rigorous rules while maintaining flexibility for adaptation to widely varying geologic conditions. By defining the limits that guide and control manual, computer-assisted conventional, and geostatistical reserve estimates, it exerts a strong geologic influence on the estimation process. A combination of ore zoning and geostatistical analysis of molybdenum deposits produces a significantly more accurate, precise, and defendable geologic reserve estimate than other methods.

Jan 1, 1983