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By Martha McJunkin, Lawrence Pietrzak

This paper describes and demonstrates the application of systems analysis and mathematical modeling techniques in the planning of actual tunnel projects and research and development to improve tunneling techniques. A recently completed tunnel project located in Utah is used as an example. Although cost estimating computer programs are used in tunnel project planning, the introduction of performance modeling, simulating the time to excavate, has added advantages that are explored here. The performance/cost tunneling model (TM) described herein mathematically simulates on a high-speed digital computer the important activities of a number of tunneling techniques accounting for activity interactions, variable external environments, mechanical failure, and other uncertainties. A cost accounting segment is included to facilitate cost-effectiveness comparisons. It is shown that, when combined with informed judgment and appreciation of limitations, the TM can be a useful tool that may help improve tunneling operations and cost estimation, for example, by achieving more balanced system designs or bounding the performance/cost implications of geologic and other uncertainties. Ultimately, this might lead to more competitive bids and greater profits. The need for systems analysis and modeling in tunneling research and development (R&D) is well recognized and documented.(1-5) In R&D one must seek broadly useful solutions to the basic problems of face fragmentation, materials handling, ground support, and environmental control. These solutions must take account of the interdependence of these elements and, for a variety of ground conditions, the limitations or constraints that any innovation in one element may impose on total system performance and cost. In this regard the structure and logic of the TM has been kept as simple and modular as possible so

Jan 1, 1974

By G. Bloomsburg, R. E. Williams, S. D. Vincent

A modeling scheme is developed to simulate the hydrogeologic effects of mine design and development in unsaturated rock. Simulations are conducted using the UNSAT2 finite element computer program and hydrogeologic data from the site of a proposed mined-out waste repository at Yucca Mountain, NV. Results of the simulations are analyzed for: •variations in the direction of ground water flow and in the distribution of pressure head caused by the design of the mined out openings; and •mine design variables that affect the predicted rates of mine water inflow. Evaluating the hydrogeologic impacts of mine design and mine development in unsaturated rock is significant in several respects. Characterization of the preemplacement of wastes along the fastest path ground water flow system at the Yucca Mountain site has been a primary research effort. Ultimately, however, the degree to which waste isolation is achieved will depend largely on the post-mining hydrogeologic environment as altered by the mine design and on the radionuclide inventory and resulting heat effects of the repository. Therefore, an ongoing characterization of the proposed mined-out nuclear waste repository at Yucca Mountain, NV, is recommended. Modeling results indicate that: •mined out openings will affect the movement of ground water, both in rate and direction; •hydraulic effects of mine development depend on the hydrogeologic environment and on mine design geometry; •mine water inflow is possible in the unsaturated zone, even for mines developed in hydrogeologically homogeneous rocks; and •mine water inflow can occur at values of down ward flux that are appreciably less than the saturated hydraulic conductivity of the overlying rocks.

Jan 1, 1991

By John O. Marsden

Technology development has played a crucial role in the minerals industry throughout history. The development of new technology allows mankind to produce metals and minerals at progressively lower cost of production in real terms, and therefore at progressively lower prices, improving their availability, accessibility and utilization worldwide. However, the developers of such technology are not guaranteed to reap the benefits from this effort: There is an expectation that technology developers will gain an advantage over their competitors. Is this a short-term benefit that results from a temporary cost or efficiency improvement, or is it a sustainable longer term "edge" that prevails even after metal or mineral price has been eroded by the implementation of a major step change technology? This issue is examined by reference to several case study examples in the copper industry. BACKGROUND The development and adoption of new technology has played a crucial role in the commodity minerals industry throughout history. As new, cost-efficient technologies are commercialized, the cost of production decreases, and this enables lower grade ore to be processed profitably. This in turn increases the availability and supply of the metal or mineral of interest, and ultimately (in a free market environment where the supply- demand balance determines price) inevitably decreases the metal or mineral price. This leads to the question: Why should mining companies invest in (new) technology development if the result is a decrease in the product price? The answer is to achieve competitive advantage, where the application of new technology enables one or more

Jan 1, 2004

By Jon T. Langstaff

The microseismic method of detecting instability and high-stress zones in underground mines was first developed in this country by the US Bureau of Mines in the early 1940's (Obert and Duvall, 1957). Early laboratory experiments showed that when competent rocks are stressed in a testing machine, the rock noise rate (number of rock noises per unit time) increases with increasing applied stress. This increase is more pronounced as the ultimate strength of the rock is approached. Subsequent testing of rock noises in underground mines confirmed this laboratory experience and much effort has been directed in recent years to make use of this property to develop a practical method of predicting rock failure. Investigations conducted in the Coeur d'Alene district mines have pointed out a definite relationship between the stress buildup in a rock mass caused by mining activity and the emission of audible and subaudible seismic activity (microseisms). In 1968, a concentrated joint effort by USBM Denver Mining Research Center and American Smelting and Refining Co. at Asarco's Galena mine was undertaken to verify several theories regarding the generation of microseisms (Blake, 1971; Blake, Leighton, and Duvall, 1974; and Kovacs, 1973). Findings indicate that (1) rocks under stress emit detectable seismic energy; (2) the energy source can be located using a triangulation method involving travel time differences to various receiving stations; (3) the rate of release of seismic energy increases with increasing stress; and (4) this increase in noise generally precedes a major rock failure (rock burst).

Jan 1, 1979

By Brian W. Hester

Ore was first discovered at the Kidd Creek mine site during the first few days of December 1963 when a diamond drill hole there cut sulfide mineralization. This event marked the end of the search started 11 years earlier with the conception of a geological idea. Economic forces provided the stimulus needed for the application of this idea but other-events, and legal considerations, also played arole in delaying the ultimate discovery. The location of Kidd Creek is shown in Fig. 1. Management of the then Texas Gulf Sulphur Co. had become concerned in 1951 at the company's declining reserves of native sulfur in Texas. This problem was to be alleviated by new discoveries and development of methods to recover sulfur from sour gas. At the time, however, the solution appeared to lie in the recovery of sulfur from pyritic ores. Canada was chosen as the best country in which to find these ores. Walter Holyk was hired in 1951 to conduct the search. By 1952, he was working in the area near Sherbrooke, Quebec, known as the "Eastern Townships" where mineralization consisting of base metal sulfides in volcanic rocks has long been known. His observations here led him to the then revolutionary conclusion that such mineralization could have formed as part of the volcanic process and not, as was generally supposed at the time, by replacement. On learning of the discovery of similar mineralization near Bathurst, NB, he moved there in the spring of 1953. He was able to utilize his new concept and found the Half-Mile Lake sulfide deposit.

Jan 1, 1991

By Carl D. Broadbent

The goal of slope mechanics is to achieve efficient and safe pit slopes. In the case of ultimate mine slopes the objective is to minimize the stripping ratio by steepening the slopes to their maximum stable limit. On the other hand, the inclination of working slopes is normally established by operating space requirements and the function of slope mechanics should be the continuous surveillance of slope conditions to assure long-term stability and to provide timely warning of impending slides so that corrective measures may be incorporated in production planning. In 1956 Kennecott instituted a program to provide the resources necessary to develop and maintain a slope mechanics capability, including technical knowledge, engineers, and instruments. Although the goal has not been fully achieved, very significant progress has been made. Other papers (3, 4, 7, 8, & 12) have described the purposes and detailed results of the most recent study carried out at the Kimbley Pit. The study has provided valuable experience and has given the industry a three dimensional picture of the stability variables that influence a mine slope. The study has better defined those areas which require further investigation and has indicated those design and analytical techniques which can be used with confidence. In effect, the study has paved the way for the next step; that of refining the design process and applying it for profit.

Jan 1, 1968

By Gary Jobson

The Mt Todd Gold mine is situated near Katherine in the Northern Territory of Australia. Commissioning of an 8 Mtpa processing facility incorporating a four stage crushing circuit, ball mills, flotation, concentrate regrinding, high rate thickening and CIL processing was commenced during late 1996. A 4.5 M tonne /annum crushing and heap leach facility was commissioned during late 1994, and was subsequently upgraded to a nominal 6 M tonne / annum circuit during 1995. Processing equipment used included primary gyratory, secondary cone and tertiary Barmac VSI crushers. Some of the features of that crushing circuit and heap leach facility were presented at the Randol Perth 95 conference by myself. The location is described as sub tropical with average climatic conditions including 1100 millimetres annual rainfall, predominantly during the December. to March wet season, and 3000 millimetres evaporation and maximum temperatures ranging from around 26 to 46 °C. The main gold occurrence at the Mt Todd site is the Batman deposit, with current published Reserves of some 60 Mt@ 1.20 g Au / tonne ( 0.0425 oz Au / ton ). The primary ore from the Batman deposit is an extremely competent greywacke and is very hard at an average Bond Ball Mill Work Index of26.5 kWhrs/ tonne. Other indicators include a Bond Impact Crush Work Index of 20 kWhrs I tonne, an Abrasion Index of 0.15 and Ultimate Compressive Strength values of 100 - 200 MPa. The main gold occurrence is very finely disseminated free gold (at an average grain size of around 5 micron) within a combination of quartz and mixed sulphide. This gold bearing component is confined to largely parallel veins ranging from 0.5 to 25mm wide within a greywacke matrix. Although the gold is essentially non­refractory, there is a strong recovery versus grindsize relationship due mainly to the liberation characteristics and the relatively low permeability of the host greywacke rock.

Jan 1, 1997

By Dianne M. Satalic, Peter A. Spencer

Bacterial leaching is a mature technology and has been applied in six commercial plants with others in the design stage or under construction. Bacterial oxidation is a relatively inexpensive process which uses naturally occurring soil bacteria to assist in extraction of base and precious metals. Bacterial oxidation has ini­tially been applied for gold recovery but the technology is now being transferred to base metal leaching with processes already developed for copper, cobalt and nickel. Bacterial oxidation plants often have capital and operating cost advantages over competing technologies and do not need a highly skilled workforce. The most common species found in the conditions used for bacterial oxidation and bacterial leaching are Thiobacillus fer­rooxidans and Thiobacillus thiooxidans. One common species other than Thiobaci!lus found in the commercial bacterial leach cultures is Leptospirillum ferrooxidans. Mixed cultures of the three species named here have formed the basis of the technolo­gy applied in most of the commercial applications of bacterial leaching to date. These bacterial species already mentioned all belong in the classification of mesophiles and have an operating range from 20 to 43°C. One other culture, a moderate thermophile operating over the range 40 to 50°C, has been used in one commercial plant in Western Australia. Bacterial oxidation takes place in acidic solutions under aer­obic conditions. The oxidation reaction normally produces iron (II) in solution which is ultimately conve1ted into the iron (III) form. The pH value falls naturally as the sulphide minerals are oxidised and the starting pH value can fall as low as pH 0.6 as the oxidation reaction proceeds. This paper examines the impact of the technology selection and its application on the design, engineering and operation of a bacterial oxidation plant. The effect of the changes to these para­meters on the cost of the bacterial oxidation plant is discussed.

Jan 1, 1998

By David Muir, Slobodanka Vukcevic

Gold is commonly associated with copper minerals, particu­larly in the more geologically recent rocks of Northern Australia, Chile and the Pacific Rim. Traditionally, oxidised copper-gold ores are selectively mined and processed for gold by cyanidation, ensuring that levels of reactive copper in the ore are kept low to minimise cyanide consumption; whilst sulphide copper-gold ores are floated and gold is ultimately recovered as the by-product from copper smelting and refining (La Brooy, 1992). Very few process­ing options exist for treating copper ores which cannot be selec­tively mined or floated, and for treating floation tailings which often contain significant gold (Muir et.al.,1989). The ammonia-cyanide leach system stands out as a unique method of selectively extracting gold without copper using economic levels of cyanide (1-2 kg/t NaCN) and ammonia (1-5 kg/t). Although first patented in 1904, it proved difficult to control and predict per formance with different ores. However, recent research and development in Western Australia by Ruane (1991), Hayes and Corrans (1992), La Brooy et.al.(1991), Muir et.al.(1993), Muir and La Brooy (1993), has led to an under­standing of the mechanism, and the commercialisation of the process at the Paris Dump (W.A.), Akjoujt (Mauritania), and in the Eastern Transvaal (Laxen,1994). Efforts are now underway to pilot and develop a tailings treatment plant at Telfer following successful laboratory trials. To date, process optimisation has relied on trial and error and large numbers of tests covering a range of conditions. Thus the results are specific to the ore. At Murdoch University, process optimisation is now focused on measuring and control­ ling Eh, pH, NH3 [Cu(II)], and Cu-CN species at the optimum levels identified from the recent mechanistic studies. In this way, the optimum composition required to process any ore should be readily established and maintained.

Jan 1, 1995

By Anthony D. Hammond

INTRODUCTION A two-dimensional approach for modeling narrow-vein deposits using the TECHBASE® software was implemented at Sunshine Mining for its use in the evaluation of mineral properties. This 2-D approach prevents the overestimation of high-grade tons typically associated with the use of fixed 3-D blocks and reduces the size of the model in computer memory. The method consists of constructing a two-dimensional model oriented along the average plane of the mineralized structure. This approach works well for single, multiple and intersecting veins with the condition that each vein is roughly planar with variation in dip or strike less than 30" in order to maintain a reasonable resolution in the process of projecting data onto a plane (Figure 1). Also, a precise identification of the hanging-wall and foot-wall location is critical in ensuring an accurate representation of the vein. By using various modeling techniques, the two-dimensional model estimates metal content, thickness, tonnage, economic and dilution parameters which will be ultimately used in the identification of minable reserves. The following is a generic description of the steps involved in modeling a steeply dipping vein. DATA ENTRY A typical project database consists of drillhole coordinates, survey information, assay data and any other quantitative or qualitative data. This database can be created inside the software or imported from any spreadsheet. TECHBASE® utilizes the concept of "fields" and "records" (columns and rows) for storing data. The use of "calculated fields" enables the user to expand on the manipulation of the database with minimum memory requirements. Another important feature of TECHBASE® is the ability to replicate the structure and format of the "tables" for its use in another project and the capability of running a series of repetitive tasks by means of batch and "runlog" files.

Jan 1, 1998

By Phillip O. Tyree, R. A. Metz, Joseph W. Mussey

Bio-epigenetic sulphur deposits occur in Pecos, Reeves and Culberson counties of far West Texas. Sulfate reducing bacteria, utilizing hydrocarbons as energy, transformed gypsum into replacement limestone and hydrogen sulfide. Hydrogen sulfide, retained in the pores of the replacement limestone, was subsequently oxidized by highly oxygenated groundwaters, and native sulphur precipitated. West Texas sulphur was first recognized at surface exposures by William P. Blake, a geologist attached to the Captain Pope Military/ Scientific Expedition of 1854. Attempts were made in the early 1900's to mine these sulphur vent exposures by a retort method, but the ventures met with little success. In 1967, Duval discovered a large sulphur deposit near some of the old sulphur works in Culberson County. Duval also expanded reserves in a small sulphur deposit in Pecos County. The Frasch process, developed for producing sulphur from Gulf Coast salt domes, proved successful in West Texas type sulphur deposits also. However, modifications of the process were necessary to provide economical and efficient sulphur recovery from the varied ore occurrences. West Texas conditions and logistics require the ultimate in productivity to be competitive in the domestic and foreign sulphur markets. Several companies, in addition to Duval, are producing or have produced sulphur in West Texas. As of June 1, 1984, a total of 29.87 million mt (29.4 million long tons) of sulphur had been produced west of the Pecos River. Duval corporation has produced more than 88 percent of that total.

Jan 1, 1992

By Bernard J. Scheiner, R. J. Wesely, Cy E. Jordan, A. D. Zunkel, Gary M. Wilemon

The U.S. Bureau of Mines has investigated leaching of off-grade western United States phosphate deposits using sulfuric acid (H2SO4) in the presence of methanol. A combination of ore grinding followed by sulfuric acid in methanol leaching extracted over 80 pct of the phosphate. This leaching technique significantly limited the dissolution of iron, aluminum, and magnesium impurities and produced a phosphoric acid that was well within the desired limits for these impurities. The dissolution rate of phosphate rock in the sulfuric acid methanol system was significantly slower than the conventional aqueous sulfuric acid dissolution. Initially dissolution of the phosphate particle was controlled by the amount of surface area available to the sulfuric acid reactant. After about an hour of leaching, phosphate dissolution was slowed almost to a stop, limited by the rate of ion diffusion through the calcium sulfate barrier layer surrounding the unreacted phosphate particle. Consequently, the ore was ground below 38-pm to increase the particle surface area available and improve the overall dissolution kinetics and extraction. In addition, the sulfuric acid was slowly metered into the reactor to prevent any excess heat from the mixing of acid with the methanol from simulating the formation of methyl sulfates. The formation of methyl sulfate ultimately lowered the overall phosphate extraction by exhausting the supply of available sulfate ions for the dissolution reaction. Subsequent evaporation of the methanol from the product acid decomposed the methyl sulfates leaving undesirable sulfate ions in the product acid. Slow acid addition to the reactor provided high phosphate extraction and limited the amount of sulfate in the final product acid.

Jan 1, 1993

By J. J. McDougall

The Windy Craggy copper-cobalt-bearing massive sulfide lies in the Tatshenshini map area of northwestern British Columbia, where British Columbia joins Alaska and the Yukon. The area is covered with numerous glaciers and ice fields that mask geologic detail and hamper ground access. In 1957, Ventures Ltd., the predecessor of Falconbridge Ltd., undertook a reconnaissance of the area using a float-equipped Supercub. At that time, large lakes and glaciers were unnamed and little was known of the geology. The prospecting team was led by J.J. McDougall with Stan Bridcut as pilot-prospector. Prospecting was directed at the St. Elias Mountains between the rich Kennecott copper deposits to the northwest and the Maid of Erin silver-copper mine on the Haines Road, BC. Reconnaissance flying in 1957 and early 1958 eliminated vast segments of the Kennecott-Haines Road terrain as being too inaccessible for mining. In 1958, the Supercub landed at an unnamed lake and the terminal moraine of an unnamed 12.9-km (8-mile) long glacier was prospected. The lake was called Tats Lake and the glacier named Tats glacier (short for Tatshenshini). Float of sulfide was found in the moraine. Follow-up investigation along Tats glacier led to the discovery of several small sulfide deposits and these were staked. Prospecting active glaciers in this area can be complicated because of drainage capture by eroding valley glaciers. Glacier capture resulted in the float from one mineralized area being deposited at different times in three widely separated moraines. Float of the Windy Craggy deposit, therefore, occurs along the course of older glaciers and at the base of the currently active ones. The problem of sourcing caused much additional Supercub reconnaissance. It is interesting to note that about 40 geographic names were given various features in this unmapped portion of the St. Elias Range, and these names were ultimately officially adopted.

Jan 1, 1991

By K. Konialis

In the last twenty years, the mining industry has made marked efforts to improve its reputation in regard to its social performance. These efforts have been expressed in the 9th ICMM (International Council on Mining and Metals) principle as a commitment to contribute to the social, economic and institutional development of the local communities. Towards this goal, which has been increasingly highlighted because of its importance for sustainable development, a number of practices and methods have been developed. The international development literature describing these practices is full of so-called development buzzwords, such as stake-holder participation, empowerment, capacity building. This paper argues that none of these development catchwords are neutral, but contain assumptions based on a specific view of development. Since capacity building is a central task in development, the paper focuses on this concept and takes a critical look at the assumptions that underlie this concept and influence strategies employed by the mineral sector. It suggests that the notion of capacity building in some earlier approaches implies a set of asymmetric power relationships between developed and developing countries where capacity is transferred from the developed countries to the developing ones. The developing countries are seen as passive recipients while the experts, i.e. the developed countries through their mining companies ultimately control the capacity-building process. The paper also points out that the mainstream capacity development approach has been based on the assumption that local or indigenous communities are mainly made up of needs and capacity gaps. The goal of development projects should then be to address these needs, which are perceived and prioritized by the ?experts?. Critiques of this development model suggest that in order for the mining industry to embrace more successful and sustainable practices, it should rethink the notion of capacity building. It should move towards alternative approaches that see it as a two-way learning process which will serve to enhance not only the capacities of the communities, but also of the development practitioners and which will build on the strengths of the community, and move away from attitudes of superiority and practices of dependence.

Jan 1, 2007

By A. Redfern, B. G. D. Smart

The ultimate objective of the development work presented in the paper is to devise an appropriate method for relating powered support specification to geological conditions and mining practice, thus enabling the longwall method of coalmining to be successfully implemented throughout the varied coalfields of the world. The paper begins with a review of various methods previously used to determine support rating, each method being analysed with regard to its source, the logic and theory which constitute the method, and subsequent recommendations. An alternative approach is then proposed, the Powered supports being considered to be one of three foundations, sharing load with coal ahead of the faceline which acts as another foundation, and the waste behind the supports which acts as the remaining foundation. The load/deflection characteristics of the coal and waste, which in turn are related to geological conditions and mining practice, are shown to affect the load transfer on to and hence the specification of the powered support. In particular the characteristic of the waste foundation is shown to be affected by the caving mechanism, an alternative form to that mechanism accepted for British conditions being proposed and designated "parting-plane-controlled" caving. A finite element solution for a beam on elastic foundations was used to translate the above concepts into numerical results, these results being compared with data from Indian and Chinese operating conditions. The Indian case study examines the effect of using a conventional chock type of support in a one-web back mode when mining towards a roof break generated ahead of the face, while the Chinese case study compares measured subsidence over a longwall with "blocky" roof conditions with the model results. The comparisons are encouraging, suggesting that the approach used is worthy of further development.

Jan 1, 1986

By John McMorran

An open pit mine design system should have the characteristics of being flexible, versatile, and simple. All of these characteristics are necessary for producing a dynamic mine design. In other words, a design that can be improved, updated, and implemented. Flexibility is an important characteristic due to changing times. For example, the effects of a changing economy, increased knowledge of the mineral deposit, or improvements in mining technology can result in a considerable, if not a complete change in the long range mining plans. Since the short range mining plans are based on the long range mining plans, they will-also be effected. Also, it is very important to validate the information used in the design or the design itself. This means the system should have the flexibility of being able, not only to detect, but to correct errors. Versatility is another important characteristic of a mine design system due to the wide range of situations that may appear. First, a design system must be able to handle both long and short term planning. This is necessary because of the variability in the definition of a time range. Second, a design system must be able to handle different types of deposits. Special emphasis must be placed on this issue, because many deposits, if not the majority, do not fit predefined categories such as bedded, massive, or roll-front, etc . . . Furthermore, the true test of the versatility of a design system is not only the ability to create an ultimate design but also to schedule sequences for this design. Thus, the versatility of being capable to design with a variety of time ranges, variety of deposit types, and scheduling are all important characteristics of the design system.

Jan 1, 1982

By Ronald J. Vance

One of the key elements of change in the mining industry has been the ever-increasing integration and coordination of previously highly segregated business disciplines, the extent to which the marketing and finance functions have evolved and merged within the mining industry. If one listens to the language of mine product marketers today, one hears terms like contango, backwardation, forwards, options, min/max, synthetics, swaptions, caps, collars, FRA's, spot deferreds, double bottom, head and shoulders. The list is endless and a glossary may be out-of-date even before the ink is dry. No longer can a marketer of mine products get through the day and, more importantly, keep his or her job merely by reciting statistics on supply, demand, prices and the jargon of quotational periods, delivery and payment terms. Walk into the office of any marketing department today, and computer terminals spewing on-line market prices and instantaneous news retrieval command the attention of all who enter. Traditionally, mining companies, particularly those in North America, took a passive view toward marketing their products and an even more passive view toward management of price risk. The typical, albeit simplified, gold producer of the 1970s and early 1980s spent all of its energy exploring, delineating, developing and producing a product that was placed by the mine gate. Like magic, anonymous buyers took it away and left piles of dollars in its place. No fuss, no muss and nothing to get in the way of more exploring, delineating, producing etc. The typical copper producer, meanwhile, was slightly more creative. Copper producers still spent most of their energy exploring, producing etc., but they at least acknowledged the identity of their customers. Many even went so far as to fabricate finished mine products into shapes and sizes that their ultimate customer needed. Wire, cable, sheet and extrusions were all in forms ready to be purchased by power companies, motor manufacturers and telephone companies. But, while production and costs steadily increased, research and development into new expanding markets was funded by little more than lip service. Competitors and competitive products steadily eroded market share and realized prices. The now-famous Business Week magazine cover that proclaimed "The Death of Mining" was an imminent reality.

Jan 1, 1993

By Charles G. Weakly, Alan M. Lander, Pamela B. Zohar, Robert W. Leonardson

The cluster of gold deposits at the Goldstrike property is located in the Northern Carlin Trend in northeastern Nevada (Fig. 1). At many mature mining camps like Goldstrike, exploration innovation and success may wane with time. In this regard, sufficient exploration drilling was conducted in the area immediately north of the ultimate pit crest and under the final planned pit wall to test for a major deposit. No indications of large deposits were found, however, the majority of drill holes did intercept mineralization. Mining along the northern pit wall exposed significant structurally controlled ore-grade mineralization that had been missed by exploration drilling. In 2002 and early 2003, the mine geology group added reserves to the pit and improved the definition of underground resources by targeting specific ore-controlling structures within favorable stratigraphic units by utilizing relatively inexpensive horizontal RC drilling from the pit wall. The widespread occurrence of mineralization to the north of the pit was re-interpreted to be an indication of continuity of these mineralized zones. In January 2003, 70 feet of 0.332 opt Au at a depth of 710 to 780 feet was intercepted in a dewatering well. This intercept was significantly thicker and higher-grade than average for the area, which confirmed the existence of high-grade structural continuity, and helped secure management support for additional exploration. A timely and cost effective solution was needed to confirm the potential of the area. Immediate follow-up drilling on tighter grid spacing was rejected in favor of improving the geology model. Exploration across the property would benefit from an improved geology model, but to provide results in a timely manner, the area to the north of the Betze pit was chosen as a starting point (Fig. 2).

Jan 1, 2005

By M. C. Roberts

The consumption of industrial minerals, like most other commodities produced from the earth, depends on the demand for the goods and services that use these materials. Minerals are not generally used directly by final consumers (table salt is a notable exception) but instead are used to either make products that are then purchased by customers, or the minerals are used to make industrial products that eventually contribute towards producing other goods and services. Therefore the demand for industrial minerals in most uses is derived from the ultimate demand for goods and services by consumers. The problem for producers of industrial minerals is that the demand for their mineral product fluctuates greatly in response to the changes in the production of goods and services over the course of the business cycle. In this respect, the producers of industrial mineral are innocent victims, subject to market fluctuations outside of their control. Because the demand for most minerals depends on the demand for the product and because minerals typically make up a minor portion of the costs of producing the product, changes in the price of the mineral often do not influence demand for it to a significant degree in the short run. This is described as a very low price elasticity of demand, as shown by the steep slope of the hypothetical demand curve in Figure 1. This demand curve shows that changing the price of the mineral does not alter the quantity demanded very much, but shifts in the demand curve will be the important determinant of the quantity of the mine.ra1 that is sold. The shifts are caused by the changing demand for the products using the mineral over the course of the business cycle.

Jan 1, 1994

By Peter E. Hart

The search for mineral deposits is a difficult high-risk enterprise whose likelihood of success is influenced by a great many factors. Among the most important of these factors are the knowledge and judgment brought to bear on an exploration problem. If, for example, a panel of expert highly experienced geologists could be convened to examine every prospect, it is at least plausible that fewer deposits would be overlooked in the exploration process. Unfortunately, whether a project is undertaken by a private company or a government agency, it is not usually feasible to convene such a panel. Our purpose in this chapter is to describe an experimental system of computer programs called PROSPECTOR that is intended ultimately to provide expert consultation on problems of mineral exploration and resource evaluation. Ideally, PROSPECTOR would serve as a surrogate for a panel of expert economic geologists. However, because the cost of computation is very low and is projected to drop by a factor of about 100 over the next two decades, systems like PROSPECTOR could be made available to the exploration enterprise at large. When consulting about a prospect, the PROSPECTOR system first gives the field geologist an opportunity to tell the program about the most significant features of the site: the major rock types, minerals, and alteration products. The system then compares these observations with a number of stored models of various types of ore deposits and forms alternative hypotheses about the types of deposits that might be present. The system next engages the geologist in a dialogue in order to obtain additional data that would be useful in resolving the multiple hypotheses. The geologist can interrupt the system at any time to obtain clarifications of questions, volunteer additional data, request the reason a particular question has been asked, or obtain a general summary of the state of the consultation process.

Jan 1, 1979