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Jan 1, 1924

By C. A. Heberlein

C. A. HEBERLEIN,* New York, N. Y.-The results stated by Rey and Brevers are so startling that they are of great interest, as the concentration of a low percentage of cinnabar by differential flotation yields a high-grade concentrate in the presence of either arsenical or iron pyrite. The authors say: "Cyanide can thus be used to depress arsenopyrite and make a good cinnabar-arsenopyrite separation. A cinnabarpyrite separation could probably be effected in the same way." Corrosive sublimate at the present price of mercury would be a very expensive reagent but the expense would be justifiable if a high rate of concentration could be obtained with a high extraction. On my request, special tests were made in the Punitaqui mill in Chile along the line suggested by the authors, without any improvement of either grade or extraction. As the recovery of the cinnabar in a complex sulphide of chalcopyrite and pyrite gave unsatisfactory results, I had tests made at the testing laboratory of the American Cyanamid Co. at Stamford, Conn. As these tests turned out to be highly satisfactory, not only at Stamford but later at the mine, they are presented here. [AMERICAN CYANAMID TEST FEED PER CENT Si02 66.54 A12032.08 CaO0.70 MgO 0.00 Alkalis1.78 Fe15.63 Cu0.44 S9.42 Hg0.45 OZ. PER TON Ag0.95 Au0.151 Screen Analysis of Tailings, Per Cent Plus650.0 Plus 1001.32 Plus 15020.75 Plus 20019.85 Minus 20058.08] The pulp had a density of 22 and a pH of 7.8. Total time of conditioning was one minute. The reagent added was Texas fuel oil, 0.116lb. Of 33.7 Bé. gravity containing 0.9 per cent sulphur. Frother, 0.062 lb. of No. 5 pine oil. Rate of concentration of mercury was 25.7: 1 [ ]

Jan 1, 1941

By AIME AIME

APOCRYPHAL, no doubt, but widely entertained is the proposition that top-flight mining geologists never agree with each other on anything. Being rugged individualists, they frequently seem intolerant of opinions that conflict with their own. However, one may suspect that controversy is often more apparent than real. For example, at last summer's meeting of the American Mining Congress, Ira B. Joralemon and Reno H. Sales, discussing "Mining Geology, Today and Tomorrow," seemed to be in serious disagreement over various phases of the subject; but much of this arises from the different angles of approach of the two distinguished and successful ore finders.

Jan 1, 1941

By William P. Blake

In another paper I have described in general the close association of zinc-blende and iron pyrites in the ore-deposits of southwest Wis consin. These two minerals generally occur together at the same horizon, a sheet of one being overlain by a sheet of the other; and also the pyrites is disseminated through the blende to such a degree that the latter is rendered comparatively worthless for the produc tion of spelter. Ordinarily the pyrites, which is mostly the trimetric marcasite variety, occurs in about equal quantity with the blende and is separated by hand-culliug and chipping; but there are large de posits where the ores are so closely mixed that they can neither be separated by culling nor by any mechanical method. The specific gravity of the two minerals is so nearly the same that attempts often made to effect even a partial separation by jigging have proved un. successful. The smelters of zinc-ores in the Mississippi valley will not take ores which carry more than 7 per cent. of iron; and it is therefore necessary to cull the massive ('jack" with great care and at consid erable expense, in order to bring it up to the market-standard of purity. The results of trials to effect a separation of blende and pyrites in other regions have been equally unsatisfactory. The literature of this branch of metallurgy abounds in examples. In Wisconsin efforts have been made in the past to " burn " the mixed ores in heaps, in order to soften or destroy the pyrites, and facilitate its separation from the massive blende. The same method has also been resorted to when galenite is mixed through the substance of the blende, for the purpose of disintegrating the ore, so that it could be separated by jigging. The custom was to pile the ore and the fuel together. As might have been expected, the results were far from satisfactory. As is usual in heap-roast ing, some portions of the ore were overheated and decomposed; zinc was lost by volatilization; the galenite in some portions was

Jan 1, 1894

By Norman J. Sather

LOCATION AND HISTORY The Bunker Hill Mine is situated on the south side of the Coeur d’Alene River in Shoshone County of Northern Idaho near the City of Kellogg. Kellogg, the largest in the Coeur d’Alene District cities, is at an elevation of 2,300 feet and has a population of approximately 7,000 people. It can be reached by air, railway or highway. The history of the Bunker Hill Mine dates back to August 26, 1885, when Noah S . Kellogg found the outcrop of the Bunker Hill ore body on the hillside above the present town of Wardner, Idaho, in Milo Gulch. A small concentrator was erected in 1886. Before the railroad came, the mine output was transported by mule teams to the head of navigation on Coeur d’Alene Lake. After ten years of production, an interest was purchased in the Tacoma Smelter at Tacoma, Washington, to which the entire output was shipped. In 1916 and 1917 a modern lead smelting plant and refinery was erected and in 1927 and 1928, a modern Electrolytic Zinc Reduction Plant was built and put into operation by the Sullivan Mining Company which was 50% owned and now totally owned by The Bunker Hill Company. GEOLOGY AND MINERALOGY The Bunker Hill ore bodies are found in gray and greenish gray quartzite and argillaceous quartzite of Precambrian age and are known as the Revett and St. Regis formations. Most of the ore bodies are found in the St. Regis formation.

Jan 1, 1970

By F. H. Deily, D. S. Rowley, R. J. Howe

By E. D. Gardner

AGAIN in 1945, the fourth year of World War 11, the American mining industry met the necessary demand made upon it for metals. Lack of labor prevented full production in some districts; maximum output, however, was maintained with the man power available. Development work and maintenance of mechanical equipment were neglected in favor of immediate production. Drafting of the younger men continued throughout the year, and the loss of personnel to war industries with higher wage rates continued up to "V-J" Day, Aug. 14. Labor shortages were more critical in 1945 than in 1944 though the man-power situation eased for some districts in the last quarter of the year. The trend in mining for the most part was to increase tons per man-shift by continued increased mechanization and refinements in methods and practices; larger equipment was installed where practicable. Labor shortages, together with the current higher wage rates, have advanced mechanization several years ahead of normal progress. The manpower shortage and the employment of inexperienced men had the effect of decreasing the average efficiency of the individual workman, but this condition was largely balanced by improved organization, greater efforts to improve labor relationship, and increased use of incentive pay systems. Safety instruction was emphasized, personnel contacts were increased, and more frequent foremen meetings were held to clarify contract agreements. Many of the large companies maintained schools to train green workmen.

Jan 1, 1946

By R. W. Mancantelli, J. R. Woodward

IN 1947 a large low grade deposit of uranium was located in the northwest corner of Saskatchewan, in the Beaverlodge property of Eldorado Mining & Refining Ltd. Most of the values occur as thin seams and as coatings on other minerals, and the ore, which is light and friable, is not amenable to the usual gravity methods of concentration. The acid leaching process developed to retreat the company's Port Radium tailings was also impractical, as the percentage of carbonates is high and the percentage of sulphides relatively low. Construction of the mill building and installation of equipment, both scheduled for 1952, awaited selection of a satisfactory ore dressing process on or before Oct. 1, 1951. An extensive research program on dressing of ores from the Ace mine therefore was undertaken by the Mines Branch in Ottawa, a research team at the University of British Columbia, and an ore dressing group at the company's Port Hope refinery. Pilot plant operations were conducted at the Ottawa plant of Sherritt Gordon Mines Ltd. under the general direction of C. S. Parsons, consultant on metallurgy and ore dressing for Eldorado. In mid-September, having compared results of the several research programs, Dr. Parsons recommended a process employing a carbonate or basic leach. He reported that, while the chemistry of the process had been proved, engineering of the flowsheet was incomplete, and he suggested that under normal conditions further pilot plant work at the Ace mine might be profitable. However, since this would involve a delay of 12 to 18 months in bringing the property into operation, he recommended that design of the concentrator proceed immediately. Concentrator capacity was determined by two considerations: 1) the amount of ore then available and 2) the expectation that continued improvements would be made in the ore dressing process as a result of the intensive research being carried out by the Mines Branch of the Department of Mines and Technical Surveys. As these improvements could affect both the chemistry and the en-

Jan 1, 1956

By Robert T. DeGavre

INTRODUCTION The $645 million financing for Inco Ltd's Soroako nickel project in Indonesia not only represents a significant human achievement but also there are certain important lessons that can be derived from Inco's experience in financing the project. The paper will not present a technical assessment of the project since Inco Ltd. submitted a series of papers on this subject at the international Laterite Symposium as part of the 108th Annual Meeting of the AIME in February 1979. BRIEF HISTORY OF THE SOROAKO PROJECT Table 1 summarizes the milestones achieved in the Soroako project and its financing. Exploration Phase A contract of Work was signed on July 27, 1968 by the Republic of Indonesia and F.T. International Nickel Indonesia (P.T. Inco) covering an extensive area of over 25,000 square miles on the two southeastern arms of the island of Sulawesi. The Contract provides that P.T. Inco has the sole responsibility for financing the project and determining the terms on which the financing should be obtained, that P.T. Inco has the right to receive and hold outside of Indonesia foreign exchange revenues and to freely dispose of such revenues, and that Indonesians have the right to purchase up to 20% of the equity of P.T. Inco over a period following start of production. P.T. Inco began field investigations in the Contract Area in August 1968. Preliminary reconnaissance sampling with portable drills broadly outlined areas of favorable laterite terrain which were then systematically sampled on surveyed grids. By early 1971 sufficient exploration work had been completed to indicate that the laterite deposits near Soroako could sustain a major nickel-producing plant (figure 1). Pilot plant studies in 1970 and 1971 at Inco's research station in Port Colborne, Ontario, using two bulk samples of Soroako ore material, also confirmed that the ore could be upgraded and treated for the recovery of its metal values. Feasibility Phase Encouraged by the results of its exploration program and pilot-plant work, Inco Ltd. commissioned Toyo Engineering Company of Japan in August 1971 to prepare a capital cost estimate for a relatively small nickel project called "Stage I". Stage I was to be a single-line pyrometallurqical process plant with an annual capacity of approximately 15,000 metric tons of nickel contained in 75% nickel sulphide matte (see Figure 2). Electric power was to be supplied by a thermal power station. It is important to recognize that Inco's strategy was to develop the Soroako ore deposits in several stages: first, construct a small project to gain experience and to reduce the initial capital outlay and then later expand in one or more steps to a much larger project to achieve maximum economies. The strategy reflected both Inco's financial position in 1971 as its sales and earning dropped sharply and the difficulties previously experienced by Inco in trying to launch in the late 1960's very large "greenfield" nickel projects in New Caledonia and Guatemala. Toyo's Project Development Study was completed. in January 1972. Based upon Toyo's cost estimate for physical facilities, Inco estimated the total capital cost of Stage I to be $115 million. For the next several months, Inco ran numerous in-house financial feasibility studies, using as inputs Toyo's cost estimate and the results of its exploration and pilot plant programs. In September 1972, Inco completed a project feasibility study which was based upon a capital cost estimate of $135 million. The feasibility study was immediately made available to potential partners and lenders. Partner Negotiations The Japanese nickel market had from the outset been central to Inco's planning for the Soroako project. That market had been growing dramatically at rates in excess of 20% per annum during the 1950's and 1960's. Japan had established, for rational security and other reasons, a domestic

Jan 1, 1985

By Johnston, T. L.

BISMUTH is found as native metal associated with tin, copper, cobalt, silver, gold, or other metals and in a variety of ores. The more important ones are: bismuthinite (bismuth glance), Bi2S3; bismite (bismuth ochre), Bi2O3.3H2O; and bismutite (bismuth carbonate), Bi2O3CO3?H2O. Of lesser importance are the arsenate, telluride, and vanadate. The sulfide is the most common; the others are often oxidation products from this mineral. Bismuth minerals have been found in various places in the United States, principally in Colorado and Utah, but no ores are mined solely for bismuth. In the Granite mining district of Beaver County, Utah, a stratum of limestone about 6 ft. thick has been almost completely replaced by contact minerals in which bismuthinite associated with pyrite and molybdenite was found intergrown with silicate minerals. In the early days a few small lots of ore assaying 7 to 10 per cent bismuth were shipped from this district. Native bismuth has been found in the Clifton and Tintic districts of Utah. Bismuth is produced as a byproduct in the refining of lead, copper, gold and silver ores, it being recovered from the anode mud from the Betts process. Deposits of bismuth minerals exist in Argentina, Aus¬tralia, China, Japan, Germany, Spain, Peru, Bolivia, and Canada, but Bolivia is the principal, producer and could easily supply all of the present world's demand.

Jan 1, 1933

By Sidney A. Swensrud

About a year ago, I attempted in a general way to trace the origin and development of some of the marketing problems of the petroleum industry, and to describe certain trends which it then seemed possible to foresee. To summarize briefly, it was pointed out that the consumption of gasoline, after increasing for more than a decade at an almost unbelievable rate, was slowing down, but that the two factors which determine the supply of gasoline —-namely, the production of crude oil and the percentage of gasoline derived therefrom—were tending steadily to mount. It was suggested that, while the increase in gasoline outlets began with and probably was justified at the start by the rapidly increasing demand, long after all reasonable requirements as to number of outlets had been met the number continued to increase—if anything, at a still more rapid rate—because by that time the overproduction of crude had begun to exert an impelling urge upon the owners of that crude to seek assured outlets for it in the form of gasoline. As more and more companies became integrated all the way from crude oil to marketing, there took place an ever-increasing competition among them, not only for the existing outlets but for new ones. The wide margin between wholesale cost and retail price, which is characteristic of the early stages of most new industries, persisted in the oil industry longer than in most industries, for various reasons. The existence of that wide margin provided in large measure the means of attracting new outlets, for as the gallonage per outlet declined with the increasing number of outlets, competing companies simply offered the dealers a larger part of the total margin. The very nature of competition suggests that such a process would continue until practically all of the available margin was thus given away, and such was clearly the tendency. It was a system that in turn produced increasing marketing expense per gallon on account of the diluted gallonage per outlet; this increased expense might seem to have provided a justification for continuing wide margins. Economics, like its parent, nature, however, progresses by mutations and so began to throw out new types of marketers, in the form of tank-car service stations, cut-price jobbers, and the like—heretics or

Jan 1, 1932

Discussion of the paper of CHARLES H. MACDOWELL, presented at the New York meeting, February, 1915, and printed in Bulletin No. 98, February, 1915, pp. 103 to 114. GEORGE S. RICE, Pittsburgh, Pa.-I am especially interested in the mining side of this important question. In 1911, when in Europe investigating mining matters, giving special attention to subsidence clue to mining, for there is a very big problem of that kind, as many of you know, in the Pennsylvania anthracite region, I visited Stassfurt, which is one of the chief centers of potash mining, and which was pointed out as the place to see surface subsidence. We found the town much askewsome of the streets having sunk from 15 to 30 ft., leaving many ancient buildings pitching at various angles. One old church, 500 or 600 years old, has been sunk about 20 ft., cracking it badly. I understand that this condition came about because in early mining clays they were careless about leaving proper supports and used no filling or packing. The Stassfurt mines work along a buried anticline the sides of which pitch at 45° on the average. Through this careless mining they had a break of the hanging wall which let in water from the overlying marls and sands. The water rapidly dissolved the salts in the pillars, and spreading through the entire chain of mines, caused their complete loss, with serious trouble for the old city. They had to start new mines some distance away, and take care to prevent roof caves. The packing system is of interest. They were driving large rooms into the rock-salt foot wall and using the rock salt as dry filling. The application of hydraulic filling, using a saturated solution, was under contemplation at some plant nearby. Whether 6r not the plan was carried out I do not know. I was reminded of the plan by Mr. MacDowell's remarking on the use of a saturated salt solution in the core drilling. His reference to the apparent breakdown of the potash syndicate raises an interesting question. We have had the German system of syndicates pointed out as perhaps one means of solving our troubles in the soft-coal mining industry due to overproduction. It seems to have worked out admirably in the case of the Westphalian coal-mining syndicate and also in the syndicate of Upper Silesia; but apparently the syndicate plan did not work in the potash industry. .

Jan 5, 1915

By P. V. Faragher

A METAL or alloy finds its place in commerce in proportion to its ability to serve certain purposes better and more economically than other materials. While there is some overlapping of the fields of application of the various metals under discussion in this symposium, each one has its uses for which it is especially adapted. While aluminum is the most recent of the metals to enter the field, the development of the industry has been based on its peculiar properties, by virtue of which new uses for non-ferrous metals have been created. There has been substitution of this new metal for other members of the group but there has been a far greater development in entirely new fields. In common with the other non-ferrous metals, aluminum is resistant to atmospheric corrosion. It also withstands the action of many of the common chemical reagents, strongly alkaline substances being the notable exceptions. The outstanding properties on which the application of aluminum is based are its low specific gravity and its ease of fabrication into the forms in which it is used. It is noteworthy that this property of specific lightness is retained in all the commercial aluminum-base alloys. This statement does not apply to aluminum bronze; this is more properly a copper-base alloy, since aluminum enters into its composition to the extent of only about 10 per cent. None of the commercial casting alloys of aluminum has a density exceeding that of the parent metal by more than about 10 per cent., and some are actually lighter. In the so-called "strong alloys" of aluminum in which strengths comparable to that of mild steel are developed by heat treatment, the greatest increase in density is only slightly more than 3 per cent., and one of these, also, is lighter than aluminum. This property of lightness combined with the desirable mechanical properties of the alloys, makes aluminum especially suited for parts of moving assemblies where saving in power, as well as a decrease in stresses resulting from inertia and vibration, are of importance.

Jan 1, 1928

By AIME AIME

ALL sessions of the Mining Geology Committee at the Annual Meeting this year were held jointly with other groups, a plan that seemed to work out to the satisfaction of every one. Certain of these sessions are reported in this issue by others; the ones held on Wednesday are covered here. Ten papers, as published in the February M&M, were on the program for the Wednesday morning session, held jointly with the Society of Economic Geologists. Mr. Eckel made a brief presentation of his paper, on which there was no discussion, and Mr. Peoples presented that of which he was a joint author. D. M. Fraser then discussed a gravimeter survey for chromite in Cuba, which blocked out some 50,000 tons of ore, and F. G. Wells told of work on chromiferous sands in Oregon.

Jan 1, 1943

By M. D. Hassialis

THE object of a technical paper is to communicate new technical knowledge, the paper being the vehicle of communication and the existence of new knowledge its reason for being. It follows that the development of information worthy of communication, the criterion being novelty, is prerequisite to exercising the privilege of communication. The act of communication is achieved when the reader perceives the nature of the new knowledge, i.e., when he understands it. A paper achieving this objective is an acceptable technical paper. Development of new knowledge has as one of its purposes the increase of the existing state of knowledge and the enjoyment of the benefits derived therefrom. Technical knowledge is a collection of facts so ordered as to make apparent, relations existing between the facts. When the interrelations have been exposed the facts have been interpreted or explained Three broad, overlapping categories of technical papers may be recognized: papers consisting of (a) a report of facts, (b) an explanation of facts, or (c) a combination of a report and an interpretation. Ideally a technical paper should belong to one of the last two categories but current practice is to accept papers belonging to any of the three categories. Based on a small sample drawn from the scientific and engineering literature, the relative frequency of the three types is a: b: c:: 20:1:14. If the sample be limited to engineering literature, the ratios become a:c::2:1; type (b) being nonexistent. This large departure from the ideal is a consequent of the

Jan 1, 1948

By Stephen G. Wright

Jan 1, 1985

Stanley C. Bullock, Captain, Royal Engineers, has been awarded the Military Cross. Charles L. Cantley was commissioned Lieutenant in the Fifth Royal Highlanders of Canada and went to France with the first Canadian contingent early in 1915, being Quartermaster of the Battalion. He went through the second battle of Ypres, Festubert, St. Eloi and the other engagements in which the Canadians were engaged up .to July, 1915, at which time he was promoted to the rank of Major. He was later ordered home by General Sir Sam Hughes, then Canadian Minister of War, and his services were loaned to the Nova Scotia Steel & Coal Co., suppliers of shell steel and forgers of shells in Canada. He continued with this company as chief officer in charge of munitions until the latter part of 1917, when he sailed for England with his old regiment. John D. Cooner was wounded on Apr. 9, 1918, by shrapnel, and is now in a hospital in Paris. He is getting along nicely. T. C. Gorman was killed in action in France on Mar. 18, 1918.

Jan 7, 1918

By AIME AIME

PRODUCTION of nickel in Cuba, a new source of this metal, has been started by the Nicaro Nickel Co., subsidiary of the Freeport Sulphur Co. Construction of the Nicaro plant in Oriente Province, Cuba, and of a refinery at Wilmington, Del., has been "substantially completed," according to Langbourne M. Williams, Jr., president. The initial rate of output is less than capacity operation, which will be reached when "the customary problems incident to the commencement of full- scale production are eliminated." The plant in Cuba for the treatment of the extensive nickeliferous ores of that region, and the refinery, were built by Nicaro for the account of the Defense Plant Corp. construction has been under way for eighteen months. The plants, when operating at capacity, are expected to increase America's sup-

Jan 1, 1944

By Grover R. Castle

INTRODUCTION "Project Financing" or "Project Loans" have become increasingly popular in recent years, and commercial banks are being asked to consider more and more of such financing. However, the analysis of this type of loan is quite different from the analysis of a loan to a financially sound corporation based on the company's balance sheet. For this reason Chemical Bank did a study of project loans in an attempt to be more sophisticated in our approach to them. As part of this study, we examined 29 project financings for which information was available. In this article I shall describe project loans and set forth the guidelines we developed, as an aid to credit officers who might have occasion to analyse this type of financing. DEFINITION OF "PROJECT FINANCING" OR "PROJECT LOAN" The terms "project financing" and "project loan" commonly describe the various methods that banks and institutional lenders use to finance the construction of new projects on a basis whereby payout is anticipated from the revenue stream generated by the project. A project financing often involves a loan to a new entity formed specifically to own the project. The analysis of a project loan proposal is quite different from the analysis of other term-loan proposals since it involves a credit decision based on the review of a projection or forecast rather than of historical earnings and/or it involves the reliance on contractual obligations of third parties. Lenders are asked to assume the added risks associated with project loans because: 1. Project financing may permit a company to obtain additional leverage. It is possible for companies to arrange financing on a project basis that could not be arranged as a direct borrowing. For example, a company may not be permitted to borrow more money directly, due to a limitation in a bond indenture. However, a project financing can sometimes be negotiated on a basis not prohibited by the indenture. 2. Often the sponsors of, or the stockholders in, the project are seeking an off-balance-sheet financing. For example, 11 of the 29 projects in our study were arranged on an off-balance-sheet basis and one showed on the balance sheet as a deferred income item. An off-balance-sheet financing, for the purpose of this article, is a financing which does not show as a direct liability on the balance sheet of the sponsors of or stockholders in a project. 3. Projects are often located in a foreign country. The financing is arranged so that the lenders assume the political risk on the loan because many companies rightly believe that this arrangement affords a degree of insulation from political risk not otherwise obtainable. 4. Many projects are jointly owned by several sponsors. This form of financing lends itself well to a situation where a new entity is formed to own a project and do the borrowing. Project loans can be used to finance a variety of activities including development of iron-ore deposits and associated pelletizing plants; development of coal reserves; construction of pipelines, alumina plants, fertilizer plants and refineries; etc. The specific areas of analysis can be quite different, depending upon the type of project being financed. It is important, therefore, to classify the proposal according to the type of project, and also by the nature of the financing - nonrecourse financing, financing covered by a guarantee of completion and financing supported by an undertaking lasting for the life of the financing. I will discuss each of these types in more detail later, but first, I should like to make some

Jan 1, 1985

By L. T. Hiaains

EVEN before the surrender of Germany, a gradual reduction in output of many of the small mining iseswises in the different countries of South America had occurred. Part of this was due to restricted purchases of strategic mineral supplies, and part to economic conditions. Inflationary tendencies have keen increasing since the war started; out in the past three years they have become serious. The difficulty in obtaining supplies, and labor troubles, has also combined to reduce production in many circumstances. British Guiana The Cuyuni Goldfields, Ltd., operating he Aleck Hill mine, is increasing their yanked mill to 500 tons. This appears be one of the few important new developments in South America during recent years. Brazil The big Volta Redonda steel plant was sported as being ready to start operations. Argentina Political troubles have restricted activities during the past year, and fuel short. ges have been so acute that surplus corn as burned in some instances. Practically all the tungsten producers ther closed down entirely or reduced

Jan 1, 1946