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By Gordon R. Sima

This contract is concerned with feasibility studies, design and fabrication of a prototype hand-held test instrument and a machine-mounted test Instrument for measurement of electrical shock hazards of mining machines. This report presents the proposed and detailed design of the hand-held test instrument and the machine-mounted test instrument. Theory of operation of each instrument is discussed and includes the operating parameters.

Jan 1, 1976

By L. C. Raymond

Valuations in the mineral industry differ from those of other enterprises because mines and oil wells have a definite life so cannot be considered a perpetuity. This requires that in any mineral-property evaluation the recovery of invested capital is necessary during the life of the property. Capital write-offs for nonextractive industries are assumed to be continuously plowed back to sustain the operation and produce yields on the capital invested. The extractive or mineral industry, however, generally attempts to return to the investor both interest and principal during the life of a property. Normally this is done currently and the dividend includes both items. Where the mineral property possesses large reserves and the life factor approximates a perpetuity, the return on investment is generally comparable to that of industrial stocks. The valuation of a mineral property, at best, is based on educated estimates and judgment factors. This is particularly true as it relates to estimating selling prices over a long term or assessing the quality of management. Also, it is possible to make various assumptions as to rapidity of working out the deposit, varying time for start-up of operations, varying earning rates, so as to obtain different results with the same basic facts. Thus it is not surprising that two engineers, irrespective of their abilities, may not agree exactly even when given the same facts, but their results should be close enough to be used in establishing a fair value for trading purposes. The valuation is no better than the source of basic data and the soundness of judgment factors. Fundamentally the basic principles of mineral valuation are similar for base metals, sulfur, oil, or any other mineral. Each mineral, however, requires an engineer to have a knowledge of such factors as its occurrence, distribution, mining and processing methods, and marketing problems in order to gather and analyze all the facts and data that have a bearing on the earning potential of the property. Present Value of a Mineral Property In essence the present value of a mineral property is a sum of money in today's dollars that future income from the property are worth. It differs from the total anticipated earnings by the amount of the interest that the unrecouped investment could be expected to earn during the period of recoupment. Thus, if one could accurately estimate what a mineral property will earn during its life, after deducting all operating, administrative, capital, interest, and tax charges, the determination of present value would be a relatively simple mathematical calculation. Normally, where the expected life of the mineral property extends beyond 20 or 25 years, the discounted value of earnings beyond this period is relatively small. The petroleum industry generally discounts the annual cash flow of an operation rather than earnings since, for tax-saving purposes, earnings are kept

Jan 1, 1976

In response to increased aluminum demand, U.S. producers have begun reactivating primary aluminum capacity which was shutdown during the 1974-1975 recession. Reynolds Metals Company started up almost 80,000 tons per year of idled capacity at Listerhill, Alabama, and Jones Mills and Arkadelphia, Arkansas plants. Howmet Aluminum Corporation and Alumax announced that the operating rate at their jointly owned facility at Frederick, Maryland was being increased from 75 percent to 100 percent, equivalent to a 44,000 ton-per-year increase in output. Kaiser Aluminum and Chemical Corp. expected to restart one of the two idled potlines at its Mead, Washington facility in May raising its production rate by 27,000 tons per year. ANTHRACITE - The anthracite market for the larger sizes continues at a good level, and although the demand for industrial sizes has been weak, the current trend indicates an increased demand for industrial fines by the steel, auto, and other industries.

Jan 1, 1976

Another major aluminum company announced intentions to follow other domestic producers recent price actions by raising its unalloyed ingot quotes by 3¢ to 44¢ per pound, effective June 1, 1976. COBALT: All final data for 1975 are included in the table for cobalt on page 23. Demand in March increased significantly for the second month in a row, signaling a recovery from the previous year's relatively low demand levels. Imports of cobalt tripled in March over those of February. This should partially offset reduced sales of cobalt excesses from the National Stockpile. Import projections for the next several months have been lowered because transportation difficulties in Zaire are expected to result in reduced shipments.

Jan 1, 1976

According to reports in August, Botswana RST's copper- nickel-cobalt smelter at Selebi-Pikwe produced 7 percent above the rated capacity of about 3,500 metric tons of matte per month. This record production occurred after 2 years of plant production difficulties and was brought about by a new management team. A shutdown for furnace maintenance had been planned for this year, but was postponed because of the improvements in production and operations. However, the mining operation continued to face problems relating to higher costs and some outstanding claims. COPPER: Effective December 1, ASARCO, Inc. and Phelps Dodge Corp. reduced their domestic copper prices by 54 per pound. Within a period of 3 days, a11 other producers (Kennecott Copper Corp., Newmont Mining Corp., Cities Service Co. , Copper Range Co. , Duval Corp., and Inspiration Consolidated Copper Go. ) had either lowered or discounted their market postings by 5¢ to 65.625¢ per pound on electrolytic wirebar and 65$ on cathode plate. Between November 29 and December 3, New York merchants decreased wirebar quotations by 1.8¢-2¢ to within a range of 57.8¢-58¢ per pound. New York Commodity Exchange (COMEX) spot-contracted copper in the week was priced at 57. 1¢ on Monday, 56.7¢ on Wednesday and Thursday, and 57.4¢ on Friday, resulting in a 5-day average of 56.9¢, London Metal Exchange (LME) cash (prompt) wirebar averaged 56.3¢ last week, opening Monday at 56.6¢, falling from Tuesday?s high of 57.2¢ to Wednesday?s low of 55.6¢ and closing Friday at 56.1¢. Foreign producers, guided by LME market transactions, lowered wirebar quotes to 56¢ per pound. Copper stocks as of December 3 totaled 187,702 short tons at COMEX warehouses and 654,573 tons at LME depositories, compared to 97,413 and 537,481 tons, respectively, for the corresponding 1975 period.

Jan 1, 1976

By Dick T. Atkinson

This report describes the Foster-Miller program that designed, developed, built and tested an automatic, remote control mine car coupler. This new coupler gives the motorman the capability to selectively couple and uncouple cars from the locomotive, to transmit braking intelligence to the coupled car s and to determine if the trip is intact. Hazards due to derailment and runaway cars will be reduced as the brakes are automatically applied in any uncoupled car. Laboratory tests described herein have been completed on the coupler set. Applications include, but are not limited to, the unit train system.

Jan 1, 1976

The value of U.S. mineral raw material output reached a record $63.1 billion in 1975. This high exceeded the 1974 value of $55.2 billion by 14 percent. Among the three major mineral categories -fuels, metals, and nonmetals -only fuels showed an increase in value. Both the metal and nonmetal categories showed declines in value. The significance of this nearly $63 billion mineral output can be noted in the fact that it is the basis for the subsequent production of over $270 billion a year in energy and processed materials. Of the 78 individual mineral commodities included in these 1975 totals, only 17 registered gains in output, while 45 registered value increases, reflecting higher prices.

Jan 1, 1976

If it had not been for the almost unbelievable adventures that came before and after, the last ten months of 19 15 would have been exciting enough for anyone. As it was they were a cheerful interlude. I spent most of the time on our Warren operations catching up on a lot of underground work and visiting Ajo every few weeks to see if my Chuquicamata visit might help solve the New Cornelia problem. While the difficulties were finally solved, at times they seemed almost hopeless. About all I could do to help was to make sure that the ore sent to the pilot plants represented the average ore that must be treated in the final 5000 tpd mill. Dr. Ricketts and John Greenway worked tirelessly with the best consulting advice they could obtain. Credit for the final success was due chiefly to their efforts. Since our old group had given up its "Merry Widow" home in Warren, a few of us got rooms in the company-built Cole Building over the Warren grocery store. This included Jim Lewis, Roy Mitchell, Steve Landon, Paul Stevens, and Hubert d'Autremont who came from Duluth to join our legal staff. Later we rented a small house two blocks from the Calumet and Arizona office. With the now flourishing country club only a 10-min walk away, and an electric car running to it every half hour or so, we were able to give parties in return for the hospitality of our friends. One of the most pleasant episodes came by luck a few days after I got back from Chile. Chester Congdon, a leading director in Calumet and Arizona, with his wife and their daughters, Elizabeth and Helen, spent a couple of days at the Greenway house before making an auto- mobile trip across the desert from Tucson to Ajo. At the same time I arranged to examine the small but rich Bush and Baxter copper mine a few miles from Tucson. At a party in Warren we found we would all be staying at the Santa Rita Hotel in Tucson, and I took my South

Jan 1, 1976

Most mineral products exported from Australia to Japan, with the notable exception of coal, are purchased with weight and quality determined on discharge. Sampling of imported minerals for purpose of payment is done at facilities owned and operated by the purchaser. The selling shipper is represented at the weighing, sampling and testing by an independent inspection group who supervises the whole procedure. Sampling and testing are done within the provisions of the contract between the two parties, and normally in accordance with the relevant Japanese Industrial Standards (JIS). These JIS specify such things as the number and mass of increments to be taken; the practice of taking these increments; the method of determination of moisture, size distribution and quality. The JIS concerned with sampling however, are meant to be basic guides rather than rigid rules. Hence sampling and testing practice varies from plant to plant. In general Japanese sampling facilities and methods are elaborate and efficient. Opportunity is given for the discussion of varying technical viewpoints between consumer and shipper. However the resolution of differences and the implementation of changes normally takes a long time. Such discussions seem best reduced by prior contract agreement on reasonable specifications and detailed testing methods. The independent inspectors

Jan 1, 1976

Major producers posted 25¢-per-pound increases on cadmium, raising their domestic quotes to $2.75 per pound. COBALT: Cobalt consumption in February, exclusive of salts and driers, increased by 21 percent compared with consumption in January. Significant increases in consumption occurred in cutting and wear resistant materials, welding and alloy hard-facing rods and materials, magnetic alloys, and other alloys. The major sales agency for cobalt in New York reportedly announced price increases, effective April 15, 1976, for cobalt metal, powders, and oxide. The new price for 250 kilo (551 lb.) drums of cobalt metal (granules or electrolytic cathodes), f.o.b. Port of New York, was quoted at $4.40 per pound. This is the first cobalt price increase since January 23, 1975, and is the result of a price increase by Sozacom, the official Zairian sales agent. Other cobalt producers are expected to raise their prices in line with the new quote.

Jan 1, 1976

By Dennis J. Callaghan

This report is the result of information obtained from a review of related literature, personal inquiry and on-site examination of active surface coal mining operations. Four improved surface coal mine systems are described in detail and evaluated for feasibility, implementation requirements, environmental benefit and costs. Engineering feasibility emphasizes equipment availability, compliance to design requirements, practicality and industry rating. Implementation potential emphasizes immediacy, ease, acceptability and constraints. Special attention was given to environmental responsiveness, both with regard to the solutions to mined-land reclamation problems and to the concurrency of reclamation. Each system description includes a hypothetical model mine with a depreciation schedule, capital summary, estimated annual production costs, sales price computation, production and operating cost summary, and a sensitivity analysis of mine price to stripping ratio. A program plan and time schedule for demonstrating a selected mining system covers site selection criteria, mine data collection, criteria for controlling and budgeting costs and reporting findings. Ten additional mining methods and techniques are briefly described and evaluated. Common reclamation problems are listed and described. Sixteen state reclamation laws and regulations are abstracted. Sixty-nine references are listed in the bibliography.

Jan 1, 1976

As a result of early experiments in underground mine illumination, the Bureau of Hines recognized the need for additional experience with the underground lighting of coal mines having low seam thicknesses. There was already experience with tile illumination of coal mines having higher coal seams, and this contract with Ocean Energy Inc. (OEI) was undertaken to contribute to the "low coal" experience. For the purpose of this contract, a "low coal? mine is defined as one having less than 45 inches of overall headroom in the working places. As a practical limit, 26 inches was the minimum coal seam thickness to be encountered in this program. In one instance, the maximum coal seam thickness was eight to ten feet, however, this particular work was at the direction of the Technical Project Officer (TPO) by virtue of the unique type of lighting arrangement that was to be evaluated which would be useful for low coal. At the outset of the contract, three major tasks were established. The first two tasks involved the installation of permissible fluorescent lighting equipment at two low coal mines. The intention was to illuminate mining sections in each case consisting of one or more machines. The third task was to illuminate a variety or mining equipment including a longwall. For the purpose of this report, the fol-owing identifies the particular installations associated with each task.

Jan 1, 1976

By Lorraine B. Burgin

This study by the Bureau of Mines documents the leadtime required for preliminary and detailed exploration, development of the mine, and construction of beneficiation and support facilities for selected copper deposits in Arizona. The time for major exploration ranged from 1 to 15 years, time for open pit development (or construction) was 1 to 4 years, and time for under- ground development was 4 to 8 years; one underground mine presently being developed may require 12 years to achieve production. Construction of the beneficiation plants required 8 months to just over 2 years. The data are supported by historical facts for each deposit during the leadtime stages from location of claims through exploration, construction, expansion, and leaching. The sequence of development and factors contributing to differences in the time spans are discussed. Histories are detailed for the Miami, Castle Dome, Copper Cities, San Manuel-Kalamazoo, and Twin Buttes properties; briefly summarized are the Pinto Valley, Miami East, Esperanza-Sierrita, Pima, and Mineral Park Properties. Each mining operation had its own pattern of development, and together they present a source of planning information for the development of other properties.

Jan 1, 1976

By R. J. Goodman, P. Lafleur

This paper presents a current interpretation and projections of recent statistics on raw materials availability based on familiarity with the Canadian steel industry and its development. Problems and opportunities are recognized and discussed.

Jan 1, 1976

By Joseph Sabatini

This report, covering the period January through December 1975, contains abstracts of articles concerning all phases of cost engineering and economics for chemicals processing, raining, and other mineral industries. The abstracts are collected from the following sources: 1. Chemical Engineering 2. Chemical Engineering Progress 3. Chemtech 4. Coal Arse 5. Coal Mining and Processing 6. Combustion 7. Drilling 8. Electrical World 9. Engineering and Mining Journal

Jan 1, 1976

By Arne Paus-Jenssen

The potash industry in Saskatchewan has recently been the focus of much new legislation at the provincial level and, along with other mining industries in Canada, also subject to changes in tax legislation at the federal level. As a result, the industry presently operates under (a) provincial production controls, a prorationing scheme; (b) a new provincial reserve tax on potash only and; (c) a new federal income tax applicable to all mineral industries. The prorating scheme dates back to 1970 and emerged as public policy because of the excess supply situation faced by the international potash industry towards the end of the sixties. This caused special problems for new mines in Saskatchewan and the provincial government decided to intervene. The new tax legislation at provincial and federal levels, both introduced within the last four years, reflects a belief that insufficient revenues accrue to the public sector from natural resources. All mining industries in Canada, including the potash industry, have had their tax positions completely reversed during these four years. Traditionally the mining sector in Canada has been a recipient of substantial tax incentives and has enjoyed low tax rates. This has changed and the mining sector is now one of the most heavily taxed sectors in the economy. In addition, the mining sector has moved from a situation where its rapid development was favoured by governments to a situation where this is no longer the case.

Jan 1, 1976

As shown in Table 9, consumption has risen steadily for the period November through April, reaching its highest level since June of 1974. Imports remained at a relatively high level in spite of decreased imports from Zaire and Belgium-Luxembourg. Award prices for cobalt sold by the General Services Administration on June 17, 1976 ranged from $5.058 to $5.41211 per pound of contained cobalt. The high bid was about $1 per pound above the current market price set by the major sales agent in the U.S. for cobalt on April 15, 1976. COPPER: Eight domestic producers on July 1 hiked refined copper prices by 4¢ to 74¢ per pound for cathode and to 74.625¢ for electrolytic wirebar. New York Commodity Exchange (COMEX) June pricing of prompt contracted copper averaged 70.6¢, with daily quotes registering between 67¢ and 72.5¢ per pound. In June, London Metal Exchange (LME) cash wirebar prices averaged 70.3¢, trading between a low of 65.5¢ and a high of 73.6¢. End of the month copper stocks totaled 108,758 short tons for the COMEX and 539,350 metric tons for the LME.

Jan 1, 1976

By M. Sengupta

International trade in minerals plays a very important role in the economic growth of many nations. Several less developed countries a1•e heavily dependent on their mineral exports for earning foreign exchange, which is needed for industrialization. Mineral exporting nations experience many problems in international mineral markets; the most important are tariff barriers, deteriorating terms of trade, instability in metal prices, etc. The formation of international mineral cartels to raise prices can be successful only to a limited extent and only for a short period of time.

Jan 1, 1976

By Peter Cammack

Where raw coal from a mine is treated in dense medium separators ash in the washed product is generally very consistent, provided control of the medium suspension is maintained at a given specific gravity. When, however, the washing process is a Baum jig or other similar apparatus, making a separation at rather arbitrary gravities, the control of the product ash is less accurate, particularly in those cases where the design capacity of the washbox is exceeded by the load of high ash fines. In either of these cases an instantaneous measurement of ash while not essential would be desirable, to check the quality of the washed product and provide operator or management with instantaneous warning of changes in ash. Nearly 60% of all British coal mined goes for electricity generation, to burn at 17% ash, and since the overall average ash content of raw coal as mined is about 30% and varies within a range of 18 ? 40%, incombustible material has to be removed. The ash specification could be met either by total washing, or by washing part and blending the clean coal produced with the remaining untreated coal. Some plants use a straight tonnage split, but generally speaking in Britain it has been found more economical to screen and wash the oversize only. In either case for effective quality control in blending an instantaneous determination of the ash content of the product as it is made has been found essential, since standard ash determination by pyrolysis methods is lengthy and provides information too late to be used in the control of plants blending at the rate of 1000 ton/h.

Jan 1, 1976

A major domestic aluminum producer raised its price for primary aluminum metal from 44 cents per pound to 48 cents per pound, effective August 5, 1976. Other major producers have increased their list prices by equivalent amounts COAL: The strike which began July 19 in southern West Virginia enlarged by early August to involve approximately 80,000 miners in nine States. As of August 4, the aggregated loss of production is estimated to be 5.8 million tons. Reportedly, at this time, the railroads which serve the struck areas are feeling the largest impact with coke plants and electric utilities relying on stocks which are generally high.

Jan 1, 1976