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By Ross D. Lawrence

"IntroductionOne of the methods used when applying the Market Approach to the valuation of a mineral exploration property is known as the Joint Venture Terms Method. The method is particularly useful for the valuation of early-stage exploration properties. Unfortunately, valuators are sometimes imprecise in distinguishing between joint ventures and other types of transactions.At VALMIN '94, Bob Appleyard1 proposed that, if one ignores the time value of money and the probability that the expenditure commitment would be completed, the formula to calculate the value ($V) of a property owned by Party B at the time of the deal would be:$V =$Ex (100-1%)/1% (Formula I)Where $V is the value of the property2Where $E is the expenditure commitment by Party A, andWhere 1% is the percentage property interest to be earned by party A.At PACRIM '99, Mike Lawrence and Graham Dewar3 referred to this method and suggested that there was an ambiguity in the formula proposed by Appleyard in 1994. Mike Lawrence referred to this problem again at VALMIN '014•Lawrence & Dewar suggested that the formulashould be:$V100% =($Ell%) x 100 (Formula 2)Where $V 100% is the value of the entire property,Where $E is the expenditure commitment by Party B, andWhere 1% is the percentage property interest to be earned by Party B.Subsequently, there has been considerable discussion in the AuslMM Bulletin5. In my view, this discussion has touched on a number of useful points, but generally has overlooked one essential element needed for an understanding of the correct application of the N Terms method. That essential element is to understand that there is a material difference between (1) entering into a joint venture arrangement and (2) the purchase of an interest in a property."

Jan 1, 2003

By William R. Oakley

In order to best-discuss the met spar industry let me take the liberty to review our involvement, that is, my company's. Our organization has been involved in the fluorspar industry for approximately thirty-five years. We started our activity in Western Kentucky as a mining company and a beneficiator of spar, that is, grinding and grading. After a few short years, the mine became contaminated and rather than invest in a flotation plant, the property was sold and our spar activity was moved, primarily to Mexico. It was decided not to establish ourselves as a Mexican corporation, so, it was necessary to take the position of backer-financier of numerous mining operations. We served in this capacity for quite some time. We also built processing plants on the border in Texas, that is, sizing, grading, etc. in order to market into the steel industry. In 1957, generally speaking, fluorspar for the steel industry was purchased as gravel fluorspar with a maximum of 10% -1/16". The price of this material was $23.50 to $24.00 per ton f.o.b. railcar at the Rio Grande Crossings and about $26.00 or $26.25 f.o.b. barge, Brownsville, Texas. Usually the material was purchased on an effective basis. As you know, 2-1/2 times the silica total, subtracted from the total CaF2 gives the effective calcium fluoride. This was normally the extent of the chemical specifications. Consequently, material was shipped with no regard whatever, to anything other than effective units. The variations in material was absolutely unbelievable. In addition to this, quite frequently, cars were shipped, as they say in the industry, topped. This being, good material placed in the top of cars or barges over bad or low grade. The entire shipment may very well have met the effective unit spec, but the complete imbalance of the sub grade vs. the high grade more or less guaranteed that the consumer was probably using a great deal of low grade and therefore, his usage had to be way higher than it should have been. He came to the conclusion, that because of these conditions and the new technology developing in the steel industry, it was just a matter of time that the entire raw material industry would have to improve. Rather than spend our efforts directed to a substitute flux, we put together a sizing and grading plant in order to ship a controlled crude product, with independent laboratory analysis confirming size and quality. The age of control was started. We began shipping 70 to 72-1/2, 80 and 85 effective with sizing 1/2" by 2", 1" by 3", and 2" by 5" with absolute control on the amount of fines. A material with no fines was a premium product. Incidentally it sold for $24.50 -60 effective up to $28.50, $29.50 for 80 effective.

Jan 1, 1978

By T. Patching

"MINING operations at the Star Key Mine provided an example of a small-scale prairie-type coal mine that employed several interesting procedures and achieved good productivity with low capital expenditures. The mine was located about 11 miles north of the city of Edmonton, on the north side of the Sturgeon River valley. It opened in 1945 and operated until 1979. Output in the winters reached about 500 tons a day in the late 1940s, but in the spring and summer periods activity was usually limited to only servicing and development work. In the later years of the mine's life sales fell to less than 100 tons per day. Most of its output was bought for domestic use in furnaces and stoves so production of large sizes was desired. A modest market for stoker coal did exist for a time. Screenings (-5 / 8 in.) were sold to the city's power plant until it converted to natural gas and were also used for thawing frozen ground for work on pipelines. These markets were comparatively small and the small sizes did not command as high a price as did the larger sizes. However the extension of natural gas services to rural markets cut into the domestic heating market and finally led to closure of the mine. The coal was strong when freshly mined, but because of its high inherent moisture content, about 25%, it did not store well on surface but tended to disintegrate. It was of subbituminous Crank with a heating value of about 8000 Btu per pound and burned with a clean flame. The seam mined was in the Edmonton Formation, of Upper Cretaceous age, at a depth of 60 to 80 ft below the surface. The seam in the mine area was about 11 feet in thickness but thinned gradually to the north and south and split to the west (1). It was approximately horizontal but gentle rolls in the floor of several feet in height necessitated brushing in places to produce suitable haulage grades. The floor material was of bone and clay, overlying a thin layer of coal. Above the seam there were only a few feet of mudstones and weak sandy shales while the remainder of the overburden was clay and unconsolidated glacial till and surface soil. Because of the soft floor and weak roof material the miners usually left about a foot of coal in the floor to provide a firm working surface and about a foot of coal above the rooms and two feet of coal above the entries to provide a competent roof."

Jan 1, 1985

By James B. Loftis

The importance of increasing the world's mineral production to help solve our food and energy problems has been widely discussed. Improved surface mining methods will be needed to meet these needs. This paper reviews the modern horizontal drilling and blasting methods which can increase the productivity and lower the costs of I surface mining. A substantial decrease in the number of blast holes required, total footage of blast hole required and amount of explosive used has been realized by many mining companies using this method. Applications of this method are presently in large coal surface mines. However, similar gains are possible and probable in open pit mining of copper and iron.

Jan 1, 1975

By W Lindlief, Cyril Stanley Smith

Several investigators, mainly concerned with the mechanical properties of the alloys, have studied the so-called aluminum bronzes after various quenching and reheating treatments. Of these works, perhaps the most complete is that of Bouldoires, who studied changes of length, electrical conductivity, thermoelectric force, hardness and micro-structure on tempering quenched alloys containing 5 to 20 per cent of aluminum, although the work of Carpenter and Edwards,² Curry13 Greenwood,4 Braesco,5 Matsuda,67 Grard8 and others has added much to our knowledge of the changes occurring during tempering. The so-called acicular ß decomposes on tempering at temperatures between 350" C. and the eutectoid, giving rise to a Widmanstätten structure of a needles in a matrix of 6 or fine a + 6, associated with an increase in hardness and almost complete loss of ductility. Matsuda studied the eutectoid transformation by means of dilatation and electrical conductivity measurements during cooling at different rates. He found that on cooling at the rate of 10" C. per minute there was a decrease in electrical resistance and in length instead of the usual increase which occurred with slow rates of cooling. On tempering the rapidly cooled samples, the increase commenced at about 400" C. and at 520" C. the resistance and length had reached the equilibrium values. These peculiarities he accounted for as being due to a transitional phase ß' being formed, ß' having an electrical resistance and volume less than either ß or a + 6. Obinata9 published some electrical conductivity curves for copper-aluminum alloys showing a double break at the eutectoid temperature,

Jan 1, 1933

By NEWTON B. KNOX

THE Guianas region is a geological unit, consisting of the northern lobe of the Brazilian Shield, but political accident and the fact that rivers act as the principal means of transportation have divided the region between five separate sovereignties. Brazilian and Venezuelan Guiana have already been considered. The French, Dutch, and British colonies consist of a coastal plain some fifty miles wide, which, together with the lower reaches of the principal rivers, support the greater part of the population. Inland from this tidewater region is a wide area of low, forest-covered hills, under-lain by gneisses, schists, granites, and pegmatites of the Shield. As in Venezuelan Guiana, these rocks are overlain by a thick series of horizontal continental sediments intruded by moderately basic magmas. Gold, bauxite and diamonds have been the principal products of the colonies. The first metal is quite widespread in the hill country. The quartz mines are small, though occasionally rich; probably the greater number of veins remain undiscovered because of the thick mantle of decomposition product that covers the schists and gneisses. The greater proportion of the gold, therefore, is derived from placers which are exploited in all three colonies. Some geologists claim that they occur in two belts parallel to the coast; whether this feature has its origin in the location of the primary mineralization or in the gradients of the rivers is not clear. In some instances the river gravels grade into auriferous laterite. The laterites are well developed in the Guianas and represent the weathering products of the more basic rocks.

Jan 1, 1946

By AIME AIME

MOST of us are far .from home, and yet our Japanese hosts- have made us feel very much at home. Here in the Orient we engineers are .learning a new meaning for the word "orientation"- hereafter that engineering term will be a synonym for gracious hospitality, and "to orient" will mean to turn a whole country over to the World Engineering Congress. Mere geographic distance is no longer able to separate nations, for the conquest of distance is one of the triumphs of 'modern engineering. We of the Americas are fortunate in the position of our continents: with their shores lapped by the waves of two oceans, we face' two great civilizations, the' Occidental and the Oriental, and thus we can share the intellectual resources of these two older cultures.

Jan 1, 1929

By AIME AIME

THANKS to the excellent preliminary work of: the Division officers and the local committee the fall meeting of the Coal Division at Bluefields was a brilliant success. West Virginia was at its best with its beautiful mountains, good roads and foliage, just beginning to turn to autumn colors. The meeting began on time and was kept on time throughout. The papers were-well prepared and, being on subjects of live interest, provoked 'lively discussion. One factor in bringing this about was that they were not too numerous and that with one exception copies had been submitted in advance a sufficient time to permit of them having been studied. The Friday morning session was presided over by John .J. Lincoln of the Crozier Coal and Coke Co. and president of the Pocahontas Coal Operators Association. After brief announcements by Thomas H. Clagett, chairman of the local committee, regarding plans for the two day's involved, and by Howard N. Eavenson, chairman of the Division, the reading of papers was taken up.

Jan 1, 1931

By S. A. Swensrud

NINETEEN Thirty-Six was the biggest year in volume in the history of the oil industry, and unquestionably the best since 1929 in respect to profits. The quota of new and difficult problems to face seemed a little smaller during 1936 than in most recent years, and a somewhat better balance existed between the different branches of the industry. 'Domestic consumption of gasoline in 1936, estimated at about 475 million barrels-the highest on record, was approximately 11 per cent above 1935, and 26 per cent above 1929. Demand for crude oil increased in about the same proportion: over 1935, and the average production, of about three million barrels daily,' constituted a new high level.

Jan 1, 1937

By C. W. Handy

ONE LAW cannot he evaded, the economic law of supply and demand. Silver, like any other commodity, is subject to this law; and its price in the long run is determined by existing conditions. I say "in the lone run because at times silver has appeared to mope contra to basic coalitions. Such movements, however, are, occasioned by the market's attempt to anticipate changes in these governing conditions. If the expected changes materialize then the new market level is justified, but if they do not then the market will revert to its previous status, A striking example of such a move occurred in November when the price advanced over 70, in ten days and then in the next two weeks lost more than it had gained. The reasons for this advance were that the speculative element interpreted certain events as favorable to silver namely, England suspension of the gold standard, higher shat prices, and the Chinese-Japanese crisis. When these expectations proved unjustified the inevitably, elapse followed became the governing conditions had not channel.

Jan 1, 1932

By JOHN R. SUMAN

TONIGHT I want to speak of the current problems and the postwar difficulties facing American industry. American industry has done an outstanding job in adjusting its operations to wartime necessity. The national income for 1942 was nearly $120,000,090,000 and of this outlay approximately $55,000,000,000 went for war material. The enormity of the expenditures for war material is indicated by the fact that the expenditures for war purposes alone were greater than the annual gross national income in the period 1931-34. This tremendous production job in turning out a record output of war products was accomplished by industry in spite of a large number of restraining and hampering influences, and I want to mention several of the more important problems.

Jan 1, 1943

By L. D. Ricketts

AN older man looks back, perhaps wistfully, on a long and rather active experience, and possibly a popular and brief glimpse of some contrast between past and present may hold your attention for a few brief moments and prove useful. In the late nineties an engineer was .called on to de- sign and build two copper ore concentrating mills of 400 tons average daily capacity. There were larger mills than this at Washoe and elsewhere, but a 400 ton' mill was a large one as mills went over thirty years ago, and one might say a large mill of those days could crush a ton of copper ore in 216 seconds. In the mills I refer to steel construction and the conveying belts were introduced into the copper industry and rein- forced concrete came shortly after. Since then we in the West have ever been faced with a constantly de- creasing tenor in the grade of our copper ores and a constantly increasing demand for our product, and we have therefore been obliged to call for far larger castings and finished machines than were formerly used. The mechanical engineer has also enabled us to accomplish notable economies in power generation and distribution. Ore handling and crushing have been simplified and through the introduction of reagents to induce physical or chemical reactions, or both, our older methods have been vastly improved or even supplanted by new and better ones and our recoveries greatly improved.

Jan 1, 1929

By L. F. Reinartz

FROM the earliest times when our prehistoric ancestors laboriously fashioned crude tools and weapons from meteoric iron until our day when we manufacture steel in 150-ton open-hearth furnaces, the production of iron and steel has played a dramatic and important role in the development of civilization. Progress in the science of refining iron ore into iron and steel was painfully slow for many centuries. The keen scimitars of Damascus, the broadswords of the English knights, the coats of mail of French knights, and the Iron Pillar of Delhi are well¬known examples of medieval metallurgical technique. Expense and the scarcity of raw materials originally limited the distribution of iron and steel products. It was not until the nineteenth century that a determined effort was made to adapt the use of steel to peaceful pursuits. The spectacular and rapid strides made in the manufacture of steel during the last hundred years were hastened by the invention during the decade 1860 to 1870 of two great steelmaking processes-the Bessemer and the open-hearth process.

Jan 1, 1936

By Arthur T. Word

STANDING room only seemed to be the order at the annual session and luncheon of the Eastern magnetite committee. Gatehouse check at the former indicated at least 80, with 33 attending the luncheon - all the crowded facilities could handle. Chairman Crockett opened the meeting by calling upon Meredith E. Johnson, who presented his illustrated paper on "Prospecting for Iron Ore in New Jersey in 1943." This "wartime" brief was discussed by Lucien Eaton, P. W. Henry, and Chairman Crockett. H. E. Hawkes, Jr., of the U. S. Geological Survey, then presented his unscheduled paper on the "Magnetite Deposits of the Jersey Highlands." Discussion was by A. W. Pinger and Chairman Crockett. Fred E. Stiefel then described shaft sinking at the Fisher Hill mine of the Republic Steel Corp., giving a detailed description of how modern

Jan 1, 1944

By Jay A. Carpenter

THIS preliminary report from the Committee to Study Relations Between Students and the Institute is submitted to our member- ship for consideration and discussion before the general subject comes up for action at the Annual Meeting in February. At present, the A. I. M. E. has a dual relationship with mining students, each relationship in no may connected with the other. To the individual student the Institute offers for $2 a year a Student Associateship in the Institute which carries with it a subscription to MINING AND METAL- 'LURGY, a watch fob, and the privilege of becoming a Junior Member after graduation without payment of the -first year's dues, if one's application is accepted. To the student's college society it offers the privilege, upon application, of becoming 'an Affiliated 'Society, which brings with it no specific supervision or aid, and in turn requires no specific conditions as to membership, fees, or rules. This Affiliated Society is distinctly a school organization which Student Associateship in the Institute can he given special status or ignored, is the local .society sees fit.

Jan 1, 1934

By AIME AIME

FOR the development of a mine, a shaft of small cross-section is usually sunk, of no larger size than is absolutely necessary. After the mine has been developed and put on a production basis it is a common practice to sink a shaft of larger cross-section for hoisting and use the original shaft for the handling of men and material into the mine. While that ar¬rangement is usually expedient, the small size of the supply cages presents a problem in the handling of ma¬terial. Where a cage is, say, 4 by 4 ft., which is not an uncommon size, all lengthy and bulky material must be handled piece by piece several times from the supply department to the underground stations. Thus drill steel and timbers over 4 ft. long will be loaded on cars at the supply department and wheeled to the shaft, where each piece must be unloaded from the cars and stood up in the cage. They are then lowered to the shaft station, unloaded piece by piece and placed in cars, run to the supply station and again unloaded and stored until called for. In such a case handling becomes a major item in the cost of supplies.

Jan 1, 1930

By S. Rideout

The United States Department of the Interior's Office of Surface Mining (OSM) is responsible for regulating active coal mining and reclaiming abandoned coal mines in the United States. In working with the State government agencies that implement these programs, OSM is building a new approach that moves away from traditional "command and control" regulation and towards an approach that focuses on providing long-term environmental and economic sustainability on lands disturbed by coal mining. This initiative called "Reclaim the Future!" looks to enhance opportunities for economic development, wildlife preservation and enhancement, reforestation, and other beneficial and productive uses of lands disturbed by coal mining. The initiative is also focused on ensuring that the landowners and the local public have significant involvement in determining how best to reclaim mine sites and what post-mining land uses are most appropriate for each individual abandoned mine reclamation project or active mine reclamation. Through the use of the best scientific input in an open, participatory process, OSM hopes to further sustainable development principles for coal mining within the framework of existing United States law.

Jan 1, 2007

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 R. L. Summers

The tremendous engineering advances occurring during this past century are very evident within the boundaries of the Anthracite Section of AIME. The Steelton plant of Bethlehem Steel Corporation, located along the Susquehanna River just east of the Commonwealth's capital at Harrisburg, for more than 105 years has experienced a most dynamic life which has paralleled America's industrial growth. (Figure 1) In June 1865, just after the Civil War, a group of men met to organize the Pennsylvania Steel Company. The war had brought into sharp focus the vital importance of the railroads to the country's expansion. Until that time wrought iron rails were used, and the replacing of track after only several months wear had become an almost unbearable cost. The spirit of free, competitive enterprise and the prospects of a lucrative market compelled these men to form that first Pennsylvania Steel Company and to develop better rail products. They issued the following statement: "...our desire to free ourselves from dependence upon a foreign market (has) led to the organization of the Pennsylvania Steel Company, and the parties who have connected themselves with it are determined to produce upon American soil all the principal manufactures of steel that are now, at such a serious cost for freight, commission, insurance, exchange, duty, etc., and often, with so much delay and uncertainty, imported from abroad. (We) are preparing to establish near the consumer, works at which articles of accustomed pattern will be promptly produced, and from the

Jan 1, 1971

By Tim Deans

This paper will address methods to manage hydraulic hose and coupling inventory so that parts will be available to build assemblies for the vast majority of equipment with as little inventory as possible. Topics also to be covered will include some basic hose assembly tagging techniques that will help keep equipment running by tracking problem hoses and building ?band aid? kits, having problem hoses premade in stock, and inventory usage tracking (one of the biggest problems for any inventory manager is knowing which couplings have been used so they can re-order). Cradle to grave tracking of hydraulic and industrial hoses insures reliable service of vehicles and ethical disposal of old hoses and couplings. With accountability for disposal of hose products that may contain chlorine (neoprene tube material in some hydraulic hoses) and carbon black that will be scrutinized more closely in the future, a proactive approach should be adopted in order to minimize maintenance facility problems.

Aug 1, 2013