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By Herbert L. Lines

This paper is one of a series on mining and milling methods and costs published by the Bureau of Mines. The Ash Peak mine of the Veta Mines, Inc., Duncan, Ariz., is of particular interest in that the only metal of commercial value in the ore is silver. The silver is concentrated by flotation; the concentrate is shipped to a smelter for treatment.

Jan 1, 1940

By J. P. Josien, Didier C.

ABSTRACT: France now faces the closure of most of its mining sites. Surface instability risk may sometimes remain, especially where large underground voids exist. This paper illustrates the importance of failure mechanisms identification in order to define properly how to manage the residual risk. RESUME: La France fait aujourd’hui face à la fermeture de ses exploitations minières. Des risques d’instabilités de surface peuvent persister, notamment lorsque des vides résiduels existent au sein des travaux souterrains. L’article illustre l’importance que présente la nature des mécanismes de rupture potentiels dans le choix des mesures compensatoires à adopter pour gérer le risque résiduel à long terme. ZUSAMMENFASSUNG: In Frankreich stellt sich derzeit das Problem der definitiven Schliessung des meisten Bergwerke. In manchen fällen ist die Stabilität der Oberfläche nicht garantiert, speziell wenn unter Tage nicht verfüllte Hohlräume verblieben sind. Dieser Bericht zeigt die Wichtigkeit, bei der Auswahl geeigneter Langzeit-Risikomanagementmethoden, der verschiedenen Mechanismen mit denen ein eventueller Bruch an die Tagesoberfläche geraten kann.

Jan 1, 2003

By W. G. Huang

To recover the coal resources of high-sulphur anthracite in Jincheng Mining Area, underground coal gasification (UCG) of No. 15 seam in Fenghuangshan Coal Mine was proposed. The feasibility of the project was confirmed by investigations of occurrence conditions, coal properties, and roof conditions, as well as experimental studies and theoretical analysis. It was found that UCG technology is appropriate to be adopted in the mining of the No. 15 seam, due to the stable rock conditions, simple geological structure and hydrogeology, the high carbon content of the coal, non-cohesiveness, medium-thermal stability, high ash fusion temperature, and weak reactivity with CO2. Further factors are the characteristics of the immediate roof, which consists of 9.11 m of limestone and mudstone with a compact structure and low permeability, and 4.27 m of dominantly mudstone with low permeability.

Jan 1, 2012

By H. E. Rudi

The advent of open nit mining permitted the development and processing of minerals never before thought possible. New equipment was needed; new techniques were devised; new methods were called for. This development and acquisition of new techniques, methods and equipment did not, however, stir the souls of our industry and educational leaders sufficiently to a recognition of the problem of people, especially the future development of the people needed in open-pit mining. The people problem has been and will be with us as long as there are two of them. The development of people will be required for the same reason. The problem of developing future personnel for open-pit mining is not what must be developed; that is known to all of us and can be briefly stated ashore and better of everything." As I see it, the real problem lies in determining (1) what personnel are really critical, (2) why are they critical and (3) how can we develop them.

Jan 1, 1965

By R. M. de Carvalho

Empirical and phenomenological models of SAG and AG mills have dominated the scene for the last few decades, being used nearly every time a mill is scale-up or an attempt is made to improve its performance. However, in spite of their success, these models fail to describe the details of both the grinding environment and the breakage mechanisms. The result is a generally good track record, with a few ? but very important ? instances when these models fall short in their predictions, which can be very costly. Further, nearly all of these models require detailed calibration to industrial and pilot plant data, being costly in their application, although still with limited predictive capabilities. Recognizing these challenges, a new model framework has been proposed which overcomes the limitations of currently used models by coupling the microscale population balance model, the discrete element model and functions that describe internal classification at the mill grate. This model framework has already been applied to describe breakage in ball mills, with showing very promising results. However, in the case of SAG and AG mills a much greater level of complexity is involved in the model, given the interaction between the mechanical environment that is formed totally or, in part, by the ore itself, and the breakage response in the mill. The paper describes the model framework, demonstrating how it can address appropriately effects such as mill speed, mill filling and size distribution, on the response from the mill. Some of the advantages of the model are related to its intrinsic multi-component and dynamic nature, which allows simulating appropriately mixtures of ores of different competences in a transient manner.

Jan 1, 2012

By M. J. Ferrante

The Bureau of Mines investigated the applicability of the freeze-drying technique for preparing dispersion-strengthened tungsten powders suitable for conversion by powder metallurgy into materials which might have improved high-temperature strength. Extruded rods from compacts of tungsten-5 vol pct thoria had at 1,650° C a tensile strength of 30,300 psi and a 10-hour stress-rupture strength of 12,700 psi, These are slightly below those measured for swaged rods of commercial tungsten-3.7 vol pct thoria. Only those tungsten-thoria dispersions containing a stoichiometric deficiency of oxygen yielded a significant strengthening effect. A low-melting eutectic formed in extruded tungsten dispersions containing either zirconia or yttria, which caused a lowering of the tensile strengths. These tensile strengths were only slightly higher than strengths of elemental tungsten made from commercial powder having a particle size of 2.4 microns (Fisher subsieve). Sheet made from this commercial tungsten had a slightly higher tensile strength than tungsten made by freeze drying, but the freeze-dried tungsten sheet had a lower recrystallization temperature, a lower ductile-to-brittle transition temperature, and a higher purity.

Jan 1, 1971

The annual general meeting of the Branch was held at the St. Helena Club on Thursday, August 21, 1969. Mr J. G. Kirchner (Chairman) was in the Chair. Also present were Mr R. C. J. Goode, President of the S.A. Institute of Mining and Metallurgy; Nine Members: Messrs N. A. Honnet, W. R. Lawrie, J. N. Saunders, D. D. Waterman (Committee Members), M. G. Cullen, G. C. P. Labuschagne, H. A. G. Slater, I. G. Thomas, T. Zadkin and Nine Associate Members: Messrs R. Campbell, D. E. Couperthwaite, T. M. Espach, J. M. Ferguson, G. W. Futcher, A. G. C. Merson, E. R. Penny, R. B. Sutherland, J. W. van den Munckhof and One Visitor: Mr D. J. McLaren. The Chairman declared the meeting open and, on behalf of the Branch, thanked the President for coming from Johannesburg to attend. MINUTES OF THE PREVIOUSGENERALMEETING As the Minutes of the General Meeting held on June 18, 1969 had not yet been published in the Journal, the Chairman moved that their adoption and the discussion thereof be deferred to the next General Meeting. This motion was adopted unanimously. CHAIRMAN'S ANNUAL REPORT 1968/69 At Mr Kirchner's request, Mr. R. C. J. Goode took the Chair during the presentation of the Chairman's Annual Report. (This report was published in the August 1969 issue of the Journal.) OFFICE BEARERS AND COMMITTEE MEMBERS FOR THE YEAR 1969/70 The Chairman announced that the outgoing Committee had elected the following office bearers for the coming year: Chairman: N. A. Honnet; Vice-Chairman: J. N. Saunders; Immediate Past Chairman: J. G. Kirchner. The Chairman then read a letter from the scrutineers reporting that the following had been elected to the Committee: M. S. Grobler, W. R. Lawrie, L. O. W. Leimer, A. T. Lewis, R. S. Pearson, T. Zadkin. The Chairman thanked the scrutineers for their services, and congratulated Messrs Lawrie, Leimer and Zadkin on their re-election and Messrs Grobler, Lewis and Pearson on their election to the Committee. The Chairman announced that he had heard, with regret, that Mr. T. Zadkin would be leaving the O.F.S. at the end of August, 1969. Mr Zadkin had served on the Committee continuously since the inception of the O.F.S. Branch and records showed that he had only failed to attend three General Meetings in over nine years. The Chairman expressed the gratitude of the Branch for Mr Zadkin's invaluable services to the Institute, congratulated him on his well earned promotion and wished him well in his new position. INDUCTION OF CHAIRMAN The Chairman introduced Mr N. A. Honnet to the meeting by briefly outlining his past career and, after congratulating him on his election, called upon him to take the Chair. In congratulating the out-going Chairman on a very successful term of office, Mr Honnet said that due to the absence of many Committee Members for a large portion of the year Mr Kirchner had carried a heavy burden, and he moved a vote of thanks and appreciation for Mr Kirchner's efforts. This was carried unanimously. GENERAL BUSINESS There were no points raised under this heading. MINING AND METALLURGICAL CONGRESS The Chairman called on Mr W. R. Lawrie to give his talk on aspects of the Mining and Metallurgical Congress recently held in Britain. This presentation was illustrated with photographic slides and proved of great interest to Members. Mr D. D. Waterman proposed a vote of thanks to Mr Lawrie and the Chairman then asked Mr R. C. J. Goode to contribute to Mr Lawrie's address. Mr Goode thanked Mr Kirchner for his efforts during his very successful term of office and congratulated the in-coming Chairman and Vice-Chairman on their election. He then gave a brief talk on aspects of the Congress not dealt with in Mr Lawrie's address. These included the industry's requirements of graduates, the necessity of their rapid advancement and the desirability of sending such young men to attend future Congresses. Mr Goode announced that two symposiums will be sponsored by the Institute next year, one on Tunnelling and the other on Open Cast Workings.

By M Haydon

How do you portray a large structurally and stratigraphically complex deposit to return a meaningful resource estimation, and produce a geological model that is useable for planning on a daily basis? The George Fisher Mine is located 22 km north of Mount Isa and forms part of XstrataÆs Zinc Group operations. It is currently a major producer of zinc, lead and silver in the region with an estimated total resource for all categories of 127 Mt at 100g/t Ag, 5.3 per cent Pb and 9.2 per cent Zn (June 2005). Production in 2005 totalled 2 647 492 wet tonnes for 317 699 kg Ag, 140 317 tonnes Pb and 230 331 tonnes Zn from underground operations. George Fisher (GF) consists of two deposits that are structurally complex on a mine scale, George Fisher North (GFN) and George Fisher South (GFS). Regional faulting has resulted in a 2 km long package of variably pyritic shale and siltstone that separates the deposits. This paper looks specifically at GFN. Distinct correlations exist between the two deposits based on stratigraphic matches; however, orebody characteristics, geometry and fault architectures differ significantly between the two. The deposits consist of multiple, sedimentary-hosted, stratiform orebodies from 2 to 25 m wide, separated by waste intervals of variable width. Each ore-waste interval is modelled as an individual geological domain. Structurally, George Fisher North (GFN) contains a series of major late-stage NE faults with dextral offset(s) of up to 130 m. Further complexity is added by NS, NW and NNE striking fault orientations that can produce either a loss or repeat of stratigraphy, local drag folding, orebody attenuation and block rotation. Due to this structural complexity and orebody offsets, domains at GFN are further divided into fault blocks (FB). The GFN model comprises eight FBs over a strike length of 1 km, all of which are modelled independently. As drilling progresses and additional resources are converted, further FBs will be added at major fault offsets to accommodate orebody and model expansion. This will be in addition to what is already a large and time-consuming data set to manage and update. For example, each FB has 18 domains each with two constraining wireframes (hanging wall and footwall). Each wireframe has several sets of point data depending on the type of data available, ie diamond drilling, mapping or interpretation points. This equates to over 1100 separate files to manage. Additional wireframes and files are also required for major structures, daily planning requirements and block model runs. In total some 1500 files are managed, updated and maintained for GFN alone. The ongoing need to expand as a business and optimise production in the current economic climate where there is a global demand for metal has led to an increase in production at GF. This has resulted in a rapidly growing data set and highlights the importance of practical and efficient modelling to achieve a meaningful resource estimate. This paper focuses on the geological modelling, modelling approaches and techniques employed for the GFN deposit.

Jan 1, 2006

By Tim Gitzel

Thank you for your introduction, and thank you to the CIM for inviting me to make a presentation to you today. This is my first opportunity to report to you on the status of the Canadian uranium industry and I am pleased to tell you that the industry is in good shape, and well positioned for the future. As you will no doubt be aware, Saskatchewan benefits from the world?s largest known highgrade deposits of uranium as well as from a high level of provincial, public and northern community support. It is within this unique combination of geology and community that our industry operates. Uranium markets have been extremely competitive for a number of years for several reasons. First, deregulation in the nuclear electric power industry has tended to encourage fuel buyers to use up their large inventories built up at a time when rapidly increasing demand was anticipated. Second, alternate sources from surplus commercial stocks, military materials and reprocessed fuel have presented a major additional source of uranium supply. Today, these secondary supplies are meeting about half of uranium reactor feed requirements. Canada (that is, Saskatchewan) is the world?s largest ?natural? uranium producer with about a third of the global production. Saskatchewan?s mines produced more than 30 million pounds of yellowcake in 2002. Despite low prices, steady demand for uranium will continue. In fact, an increase in world uranium production in 2002 helped feed a more than 3 per cent increase in reactor fuel demand. Low cost production is important for surviving low market prices, but investments are based on longer-term strategies rather than simply responding to market cycles. Cost is not the only issue. In these times of increasing regulatory and public scrutiny we must continue to earn the trust of our stakeholders by adopting the highest standards and staying on the leading edge of technical, social and environmental developments. Managing these issues is as important as traditional concerns of ore grade and cost of production. The last two decades of the 20th century saw the Province of Saskatchewan rise to prominence as the leader in uranium production from facilities, which were at the time deemed world class. These facilities are now either at - or nearing - the end of their production years. We are now bringing on new facilities that will position Saskatchewan to remain the world leader in uranium production for many years to come.

May 1, 2003

By Y. Kumagai, F. A. Souza

"Electroless plating process has been used in many fields such as automobile and electronic industries. Solutions used in these processes must be disposed or treated. Commonly, in these solutions metal ions, organic materials and others chemicals are in very high concentration. It is very difficult to keep the environmental regulations for disposal of these materials, and the cost of the plating process becomes higher.The objective of this study was to investigate the recovery of components of those baths in order to decrease the cost of the plating process as well as to meet the environmental regulation.In this study the recovery metal ions, sulfate ions, phosphite ions and organic compounds were investigated. Organic compounds used in electroless plating solutions are the organic acids. In this work the solvent extraction of the most used organic acids included citric, lactic, succinic, tartaric and malic was studied. The solvent phase considered in these studies was ethyl acetate.About 95% of the metal ion was recovered by chemical plating onto mica powder. The hypophosphite remained is oxidized to phosphite and with the sulfate ion, both are recovered as calcium salts by selective precipitation in pH 7 and 2 respectively. Organic acids were recovered by solvent extraction using ethyl acetate as solvent phase and the best results were for lactic acid and succinic acid.Along with this study, was developed the analytical parameters to perform wastewater analysis by using Ion Chromatography, High Performance Liquid Chromatography (HPLC), Fourrier Transform Infrared Spectroscopy (FTIR). Ion chromatography was used to perform analysis of sulfate and phosphite ions in liquid matrix, HPLC was used to perform analysis of organic acids in liquid matrix and FTIR was used for characterization of the solids obtained in the recovery processes."

Jan 1, 1997

By B. Bichel

For the last 70 years, molten blister copper has been transferred by rail in hot metal cars from the Copper Cliff Smelter to the Copper Cliff Copper Refinery (ex Ontario Refining Company) where it was processed in two (2) reverberatory anode furnaces by poling with logs, cast on four (4) wheels, and then electrorefined. This practice was modernized in 2001 with the installation of two (2) rotary anode furnaces at the. Copper Cliff Smelter which employ steam and. natural gas for reducing and which provide a significant reduction in emissions. A new casting shop with a single anode casting wheel is used to cast regular and stripper constant weight anodes which are transported by truck to the Copper Cliff Copper Refinery for anode preparation and electrorefining. This paper provides an overview of the copper circuit at the Copper Cliff Smelter and a description of the CDN$31 million capital project.

Jan 1, 2002

By J. K. Whyatt

The paper presents an approach to design a multi level room and pillar layout in a 40m thick seam overlain by a major aquifer. The design was required to maximise extraction with due consideration of the general stability of the workings, the potential water hazards, and spontaneous combustion risks due to air leakage between horizons. The approach utilised was a combination of empirical pillar sizing for water hazard control with numerical modelling to assess potential interactions between horizons. The numerical modelling allowed the size of interleaves, and the appropriate staggers to be optimised in terms of stress distribution. The stress distribution allows both the general stability of the openings and more importantly the permeability changes around the openings to be determined. The permeability of coal is sensitive to stress, and an empirical stress to permeability relationship, and theoretical permeability to flow leakage relationship has been applied to interpreting the relative spontaneous combustion risk associated with each of the proposed layouts. The final proposed design is a compromise between maximum exploitation of reserves and consideration of water hazards and of spontaneous combustion risk. Further more detailed design will be required as more comprehensive data on the geotechnical properties of the coal and overburden become available.

Jan 1, 1996

A reliable laboratory method to characterize the response of free gold particles to flash flotation conditions has been developed. The test has been performed on free milling gold ores as well as synthetic ores, using either a gravity concentrate or gold powder as the gold source, to assess the floatability of gold particles. Trends in free gold flotation kinetics, as well as size and milling effects, were identified for gold recovery based on the different feed types, reagent dosages, and residence times. It was shown that the ultimate recoveries and kinetic trends of gold particles from the gravity concentrate could be enhanced with increased dosage of collector, potassium amyl xanthate. Interestingly, in comparison to gravity-recoverable gold, recovery from pure Au powders was better in collectorless flotation, and cumulative recovery decreased with higher levels of collector addition. Improved coarse particle recovery appeared linked to increased collector additions for both the gravity concentrate and the pure gold powders. In general, coarse gold particles demonstrated slower kinetic rates thaen the fine or intermediate components incomparable tests.

Jan 1, 2015

By S. Sun

Recent studies on the physico-chemical properties of molten slags and oxide solid solutions of interest is reviewed. The review covers redox and phase equilibria in slags, viscosity, diffusivity, electrical conductivity, kinetics of interfacial reactions between slags and CO-CO2, interfacial properties and phenomena. Some highlights from ongoing work on modelling phase diagrams, component activity, viscosity and electrical conductivity of multi-component slags will be presented and results compared with published experimental data on slags with or without suspended solid phases.

Jan 1, 2004

ALTHOUGH it has been a matter of about one hundred years since the idea of the internal-combustion engine entered the mind of the inventor, the practical application of its use was not attained till 1860, when Lenoir produced an engine similar to the ordinary highpressure steam engine, with the valves arranged to admit the explosive mixture and the discharge of the exhaust gases. In this case no attempt was made to compress the gas before ignition, as it was then considered that the explosion under these conditions had a detrimental effect, inasmuch as it would act as a sudden blow to the working parts. Indeed, he went so far as to inject steam and water sprays to reduce the explosion.Under these conditions the consumption of gas was exceedingly high-about 106 cub. ft. of coal gas per b.h.p. per hour but the mechanical effect showed that the engine ran in every respect as smoothly and quietly as in best steam-engine practice.The extravagant consumption of this engine was clearly pointed out at the time by Gustav Schmidt in a paper before the German Society of Engineers, wherein he states :-" The results would be far more favourable if compression pumps, worked from the engine, compressed the cold air and cold gas to three atmospheres before entrance into the cylinder. By this means a greater expansion and transformation of heat is possible."

Jan 1, 1912

By Oliver Bowles

"The manufacture of asbestos paper began commercially about 40 years age but its principal development has taken place during the past twenty-five years. The asbestos used by the ancients, termed amiantus by Pliny was used for winding sheets, tablecloths and other fabrics. It was probably chrysotile fiber and was a woven and not a felted product, and there¬fore is not to be confused with asbestos paper. There are, however, some early references to paper manufacture that are of interest. Pontoppidian, Bishop of Bergen, in his Natural History of Norway, published in 1750, refers to paper made from asbestos found in the parish of Waldens. He states that this paper did not burn when thrown in the fire, but the writing on it totally disappeared. This indicates that the primary ob¬ject was to obtain an indestructible writing paper. About 100 years later, further efforts were made with the same object in view. In 1853, a patent was issued for a process of making paper from a mixture of asbestos and alum. Many experiments were made to manufacture suitable asbestos printing paper. Some such papers contained only about one-third asbestos, the remainder being of combustible material. Such papers would burn, but would leave a white residue which retained its shape and preserved the written characters. On account of the difficulty of obtaining a smooth and even surface, and the tendency for the material to absorb ink like blotting paper, asbestos paper is not well adapted for writing or printing purposes. Other early uses of asbestos paper were for ornamental wall-paper and carpet linings. None of the uses mentioned above have developed to anything of importance in a practical way, but the manufacture of asbestos paper has become a very important industry, and it has found extensive uses in ways that were never dreamed of by the early investigators.It is recorded that the first sheet of asbestos paper made in America was manufactured in 1876 by John Roberts & Son Company, in a mill near Waltham, Mass. The material first used was a long-fibered amphibole asbestos from Italy. About three years later, Canadian fiber was introduced and proved to be very satisfactory. The shorter grades of fiber which would otherwise be wasted were used for the manufacture of paper and board. For several years, the product of this mill was sold through Rice Kendall of Boston, Mass. From 1881 to 1900, the H. W. Johns Company, of New York, took the entire product which was 30C to 700 tons per year. The latter company built their own asbestos paper mill at Brooklyn in 1900. Keasbey & Mattison Company, of Ambler, Pennsylvania, began to manufacture in 1897. Other early manufacturers were: the Asbestos Paper Company, at Baldwinsville, Mass„ and Mr. B. S. Binney, at Shirley, Mass. The number of manufacturers gradually increased until at present asbestos paper is manufactured by the following ten companies:"

Nov 1, 1919

By Bobby J. Timmons

Luck; blind, beginner's, fisherman's, or whatever type, plays an important role in romance, racing, football, gambling, and mineral exploration. However, for each of these; education, training, technique, and experience are necessary for a long, continuous, successful relationship. Success, no matter how obtained, is easier to defend than almost success, regardless of the education or the degree of refinement of the seeker. Similarly, investment dollars are more readily available to a successful, uneducated and unscientific practitioner than to his beginning or unlucky professional counterpart.

Jan 1, 1983

By P. Perruzza, R. Grandori, A. De Biase, A. Ciamei, A. Busillo

The Turin metro alluvium soil is mainly made of large boulders, cobbles and gravel , few sand and almost no fines. This grain size curve is out of the range of application for EPB and Slurry TBMs. In order to bore 5 of the total 7,5 kms of Line 1 tunnel, two specially designed Lovat EPB TBMs were utilised in combination with a systematic non structural pre-grouting of a small volume rectangular slab just above the tunnel section. The same pre-grouting was not however applicable for lack of access on surface in some sections of the remaining 2,5 km of tunnel that had to be bored below important buildings/structures, with under ground water pressure up to 1,5 bar, with curves radius of 180 m only. For these more critical sections it was necessary to study and implement a new technical solution and improve the capacity of the TBM to work efficiently in EPB mode even in this unsuitable ground and overall conditions. After months of studies the selected and adopted solution has been to inject inside the cutterhead chamber, in addition to the almost standard foams & polymers additive mixes, a suspension of limestone powders. This with the scope of compensating the lack of fines of the natural ground with rock powders.

Jan 1, 2005

By AIME AIME

AT the end of September, ' the metal-producing industries were almost prostrate, the production of fuels was largely curtailed, there was a fair degree of activity in general manufacturing, while retail trade was moderately good. Looking at industry on the whole, there was a large percentage of unemployment, the degree of which has increased, progressively, month by month since the beginning of 1921. There is the prospect of much destitution and misery this winter; yet while' in some, quarters, idle workers are already being fed from, commissaries; in other quarters profligacy; in "spending continues, unabated. Amid this confusion in conditions there is;' much that appears paradoxical, but in fact it is not so and indeed everything is running pretty true to form: Such activity in production as there is to be seen is mainly in textiles; - leather goods, foodstuffs, etc., i.e., consumption goods for immediate use. Even in hard times 105,000,000 people must buy a good deal of clothing and food. Besides this there is indispensable repair work and- maintenances. Thus, the good business of the year in white lead for painting. The chief uses for the metals, however, are in the production of capital goods, and except for occasional and special reasons nobody in his senses is capitalizing anything at present prices for labor. Hence several millions of men are idle. The impoverishment of Europe and the exhaustion of her credits adds to this by curtailing our export trade.

Jan 1, 1921

By S. F. Willey

The difficulties encountered in justifying replacements for over-age mobile mine equipment at the Gay Mine are common to most mining operations. More critical management reviews, resulting from ever rising capital expenses, increased such difficulties. These increased difficulties are especially apparent to those who are primarily operators and are not statisticians, mathematicians, or computer oriented. The Gay Mine is located 17 miles east of the town of Fort Hall in southern Idaho. This open pit operation annually supplies the J. R. Simplot Company and the FMC Corporation with 1.5 MM - 2.0 MM tons of phosphate ore. Stripping ratios average approximately three bank cubic yards of waste per ton of ore mined. The mobile mine equipment fleet consists of ten 24 yard scrapers; twenty-one 30-50 ton end dump trucks; four 32 42 yard shovels; fifteen dozers in the D-8 and D-9 classes; and three road patrols. Equipment replacement is based on the results of evaluations made on individual units. Authorization of capital expenditures for equipment replacement is dependent upon a favorable profitability index (true rate of return on investment) plus a favorable payout time. The system is based on cash flows and requires the determination of (1) the net cash outflows in the form of capital expenses plus (2) the expected cash inflows resulting from reduced expenses and depreciation tax credits. After adjustments for taxes and the time value of money, the net amounts are used to calculate the required indices. The basic elements for the system related to the replacement of mobile mine equipment include: (1) the determination of dollar penalties to be expected from the continued use of aging equipment; (2) the selection of equipment that will provide the greatest return on the investment dollars; (3) the quantification of the expected savings; and (4) the calculations of the prescribed indices. Inadequacies inherent in previous evaluating methods led to the search for more

Jan 1, 1972