Development and Implementation of Economic Material Splits at Chino Mines

In early 1988, Chino Mines Co. began using a system of economic splits for all materials encountered in mining. All mined material is evaluated as mill ore, solvent extraction electrowinning plant feed, and non-ore material, to determine its disposition. Results thus far indicate a significant increase in financial returns on material mined compared with the copper cutoff grade previously in use. Chino Mines is a partnership between Phelps Dodge Corp. (two-thirds ownership) and Mitsubishi Corp. (one-third ownership). The company produces copper and byproduct metals from the historic Santa Rita del Cobre mining district in southwestern New Mexico. The history of copper production in the district began with the use of surface native copper by native Americans before 1800. Spanish soldiers from Mexico later became aware of this district and mining began in 1801. The district was worked intermittently until 1909 when the Chino Copper Co. was formed, with Daniel C. Jackling as vice president and managing director. Concentrator operations were started in 1911. Kennecott purchased the company in 1933 and built a smelter in 1939. Chino Mines Co. was formed in 1980 when Mitsubishi purchased one-third of Kennecott's holding at the property.