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By T. Egleston

The works of the Ore Knob Copper Company are situated in the county of Ashe in the northwestern part of the State of North Carolina, about ten miles from the Virginia line, at an elevation of 4600 feet above the sea. The nearest railroad station is at Marion, Smythe County, Virginia, about forty-five miles distant. The roads from the railroad to the works have been constructed by the company for the transportation of their material, and are very hilly, and in certain seasons of the year in bad repair. Transportation is therefore always limited and never easy, although it is done by contract at a very low price. The main difficulty with the transportation is not so much its cost as the fact that it puts a limit to the production of the works. These unfavorable conditions make it necessary for the owners of the mine to smelt their ores and to send to market nothing except the metal, which alone will bear the cost of transportation. The mine was opened previous to 1860, but has only been worked systematically during the last five or six years. The vein is a fissure vein from ten to twenty feet in thickness in the gneiss of the

Jan 1, 1882

By Tell Ertl

TODAY'S mining industry is witnessing a transition in labor utilization. The drill-jumbo operator, the mucking-machine operator, the blasting crew, the scaling and timbering crew are all specialists. The all-around miner is rapidly disappearing. As mechanization has resulted in a higher order of underground skills; specialization of labor has been a natural consequence, as has the need for more supervision and engineering. Mines now are cleaner, neater, safer, and have a greater productivity per man-shift than ever before. Nothing spectacular like the continuous miner has yet come to the underground metal mines, but t a gradual improvement in methods, equipment, and technical knowledge is achieving the increased efficiency. With the exhaustion of the rich ores and large profits and who-cares-about-the-costs, mining has become a business; that of producing low value ores at costs below selling price. Charles A. Chase, patriarch of Colorado mountain mining men, manager of the Shenandoah-Dives, was one of the first to preach and prove his preachings that mining is a business. He has been mining a lead-copper-zinc-gold-silver ore, much from elevations above 1.3,000 ft, for a quarter century without a shutdown.-The ore is of such low value that most engineers and investors still would consider it foolhardy. Yet he has kept Silverton, Colo., alive, has paid wages without a lapse, has produced $25 million of new wealth and maintained a steady return to the investors. This type of responsibility is increasingly apparent in the mining business and is one feather that can be worn proudly. .Much emphasis is being placed on improving, the productive mining operations-breaking, loading and transportation. Breaking in underground metal mining is done by drilling and blasting. To the writer's knowledge, no chain or rotary-type machine has been developed for mining strong, abrasive rock. Drilling Percussion drills are still the standard drilling machines underground. Diamond drills, that: were the rage a decade ago for drilling long holes, are being superseded by the rock drill. The development of the hard abrasion-resistant carbide bit permits full-gage long holes to be drilled by percussion drills at a lower cost than diamonds. The change in the use of percussion drills is chiefly in the method of mounting. The column and arm are disappearing and the jackleg and rubber-tired or track-layer jumbo mountings are taking its place. At the Homestake mine .lightweight jackhammers mounted• on pneumatic legs using 7/8-in. hexagonal drill. rods and 1 1/2-in, tungsten-carbide detachable bits have been found more portable and maneuverable. They have less air consumption, lowered, dynamite consumption, and more footage and tonnage per man-shift than with 3 1/2-in. drifters on a column mounting. Drills now are mounted on longer feed carriages, drilling up to 20 ft without changing steel. These mountings result in great savings because the driller can set up quickly, drill the entire depth of the hole without changing the drill rod or bit using carbide and one-use bits, and can move his machine quickly to the next hole. One man to the machine is becoming general practice. The result is longer rounds rounds drilled at a lower cost than the previously used short rounds. A jumbo developed in the Tri-State can be extended to mine ore left in the roof up to 65 ft above the floor. Drill-rod life was formerly considered to be about 250 min of actual use. The increase in the drilling time per rod per day has gone up considerably with the development of the jumbo and the long-feed carriage, resulting in which is apparently more rod breakage., Consequently, a great deal of research is being done in the attempt to develop an alloy-steel rod with longer service life to offset the greater cost. Some reports indicate that alloy steel or Swedish steel results in cheaper drilling than conventional drill rod. However, several tests have shown only slightly increased life for alloy drill rod. Undoubtedly, the blow of the rock drill, the length of the drill rod, and the resiliency of the rock being drilled are important factors in the life of drill rod, so it follows that alloy steel might work well in some mines and result in no savings in others. The bit forged on the drill rod is seldom encountered and steel detachable bits are not as common as in the recent past. The one-use bit is gaining popularity because of. the difficulty in rehardening reconditioned steel bits satisfactorily. It is thought that the, carbie-insert bit is most applicable to drilling hard 'rock' where the steel bit is unable to drill out a full change, for instance, in extremely abrasive

Jan 1, 1952

By Robert T. Ault

The nature of fracture in unnotched tensile and notched tensile sheet and round specimens and V -notched and precracked Charpy-type sheet specimens of both wrought stress -relieved and re-crystallized molybdenum was investigated over the temperature range of -78° to 300°C. The sharp rise in fracture stress, for unnotched tensile samples, as the temperature is increased above the brittleness transition temperature (Tb), is found to be a result of an increase in flow stress due to plastic constraint and an increased strain rate which results from the onset of necking at Tb . Quasi-brittle fracture in notched tensile samples is found to occur when the tensile stress at the elastic-plastic interface, beneath the root of the notch, reaches a maximum critical value, which is independent of test temperature over the range from —78° to 25°C, but dependent on microstructure. In the temperature range between 150° and 300°C, unnotched tensile and notched tensile samples alike are found to fracture by a ductile fibrous tearing process which is discontinuous in nature, as a result of the competition between the processes of tearing, through continued plastic flow, and local work hardening. Results from the V-notched and fatigue-cracked Charpy-type impact tests demonstrate that crack initiation is the governing factor in the low-temperature (-78° to 25°C) fracture process for molybdenum. In recent years, there has been considerable interest, and a commensurate number of investigations, concerning the duc tile-to-brittle transition in refractory metals. There has not developed, however, a satisfactory explanation for the uniaxial tensile fracture-stress transition which accompanies the well-known ductility transition. This matter therefore warranted investigation. In a similar manner, the increased importance of notched tensile strength values in evaluating materials and in design criteria requires a better understanding of the factors which control the fracture behavior of notched tensile samples. In a previous investigation1 of the nature of initial yielding and fracture in notched sheet molybdenum at room temperature, it was suggested that plastic constraint was the controlling factor in governing the fracture behavior of notched samples. The final portion of this investigation was concerned with the fracture toughness of molybdenum. Of particular interest was the comparison of effective surface energies for fracture in V-notched samples with fatigue-cracked, Charpy-type samples in order to ascertain the relative importance of the initiation and propagation phases of the fracture process. MATERIALS AND TEST PROCEDURE Sheet tensile, notched tensile, and V-notched Charpy specimens were prepared from 50-mil, stress-relieved molybdenum sheet.* Half of these specimens were vacuum-annealed for 1 hr at 1200°C and 7.5 x l0-5 Torr and furnace-cooled to produce a relatively uniform grain size of 0.30 mm diameter. Round notched and unnotched tensile specimens were prepared from warm-rolled and swaged 5/8-in.-diam bar.* These specimens were vacuum-annealed for 1 hr at 1350°C and 5 x lom5 Torr and furnace-cooled to produce a grain diameter of 0.11 mm. Material analyses in ppm were: C N O H Sheet 290 10 4 1 Bar 50 30 30 2 The unnotched tensile sheet specimens had a 1/4-in. gage width and a 1-in. gage length. The unnotched tensile round specimens had a 9/32-in. gage diameter and a 1-1/4-in. gage length. The sheet and round notch tensile specimens are shown in Fig. 1. All of the notched tensile specimens tested were tandem-notched in order to study the location and mode of fracture initiation. The tandem-notched specimens were carefully machined so that the largest variation in notch depth on a single specimen was 0.001 in. Thus, when fracture occurs, the extent of plastic deformation that exists in the un-fractured notch section is that which exists just prior to fracture. All of the tandem-notched sheet specimens were electrolytic ally polished and chemically etched prior to testing. The V-notched Charpy-type specimens machined from the 50-mil sheet material had the standard dimensions of 2.125 in. long, 0.394 in. deep, and a 0.010-in. root radius. The unnotched tensile and notched tensile tests were conducted over the temperature range of -78° to 300°C, in a 10,000-lb Instron Universal Testing Machine, at a constant crosshead speed of 0.020 in. per min. The V-notched Charpy-type

Jan 1, 1964

By AIME AIME

FREDERICK WORTHEN BRADLEY, the newly elected president of the Institute, may be said to be the prototype of the men who have built up the great mining industry of the West. He was born in Nevada County, Cal., on Feb. 21, 1863, and studied mining at the University of California from 1882 to 1884, as a member of the Class of 1885. He was in contact with the mining industry from his earliest years and in his reminiscences which we published last month, he told of meeting Thomas Mein and H. C. Perkins in 1877. Beginning as assayer and roustabout at the Eagle Bird mine, in Nevada county, Mr. Bradley was a deputy mineral surveyor in 1886 and 1887 and superintendent of the Spanish mine from 1885 to 1890. There he made a record of mining gold ore at 65 cents per ton that was not only astounding in that day when modern large scale mining had not yet been developed but is still a mark to shoot at. As a result he was called in 1890 to be assistant manager of the Bunker Hill and Sullivan and was made manager in 1893. In 1897, he was elected to the presidency of the company, a position he still holds. H. C. Perkins and D. O. Mills, the largest stockholders in the Bunker Hill and Sullivan Co. took over the Tacoma smelter in 1898, feeding it with concentrate from the Coeur d'Alene and Douglas Island mines but also doing a gen-era1 smelting business. Mr. Bradley was put in as president of the Smelting company, and held that position until the plant was sold to the American Smelting Securities Co. in 1905.

Jan 1, 1929

MAY 17-The last bit of verbal sod had hardly come to rest on the grave of the coal industry-which grave was being eagerly dug with typewriters and microphones by administration hangers-on and even an operator or two-when its leaders gathered for the 1950 Coal Convention of the AMC in Cincinnati on April 24. Surprisingly, mourning clothes were not being worn but the boys had on their diggers preparatory to digging their way out from under the muck. High costs created by wage and welfare demands, together with work stoppages, have caused markets to shrink, but even so, an optimistic air still prevailed as new techniques were disclosed at technical sessions. The administration, however, came in for its share of knocks.

Jan 6, 1950

By S. B. King

IT is the purpose of this article to give those not familiar with the subject an idea of the extent to which coal is mined by machine in the United States; to describe some types of electrically operated coal cutters; and in particular, some of the latest improvements and developments in these machines. Generally speaking, the article deals with the mining of bituminous coal in room-and-pillar mines, as the use of undercutting machines in the anthracite region of Pennsylvania is in its infancy, and when machine mining is referred to bituminous coal is taken for granted. The number of mines in the United States that are operating on the long-wall principle is very limited, and the number of long-wall machines in use is a very small percentage of the total. The advantages of mining by machine may be summed up briefly as follows: A. Increased safety to property and life, due to the large decrease in the amount of powder required when the coal is properly undermined. B. Reduction in the cost of mining. C. Improvement in the quality of the product; and, consequently, increase in market value, due to the greater proportion of lump and screen sizes secured by machine mining. D. Increase in the capacity of the mine, and more rapid development of new mines. E. Ability to mine veins in which the height of the coal or the character of the roof has prevented mining by hand, on a commercial basis.

Jan 6, 1914

The General Committee met in the Treasury Building at Washington on Oct. 6 and 7. At the first meeting, Cornelius P. Kelley was appointed chairman, and Paul Armitage, secretary. Sub-committees were ap-pointed on Invested Capital, Mine Valuation, and Depletion and De-preciation. On Oct. 7, the reports of these committees were submitted to the General Committee and were referred to the Executive Committee. A motion was carried that the Executive Committee he constituted a permanent committee to continue the work of the Committee, with full power to acid to and increase its membership, that. as thus increased, it should constitute a permanent organization to act- and cooperate with the Treasury Department in matters of mining taxation under the Federal Income and Excess Profits Tax Laws. Thereafter the Executive Com-mittee met and formed a permanent committee as follows: Cornelius F. Kelley, chairman, 42 Broadway, New York City. J. L. Darnell, office of the Commissioner of Internal Revenue, Wash-ington, D. C. J. Parke Channing, 61 Broadway, New York City. Walter Douglas, 99 John St., New York City. R. V. Norris, 542 Second National Bank Bldg., Wilkes-Barre, Pa. J. E. Spurr, Engineering and Mining Journal, 10th Ave., and 36th St., New York City. W. G. Swart, 808 Selwood Bldg., Duluth, Minn. J. P. Finley, 45 Cedar St., New York City. W. A. Williams, Bartlesville, Okla. F. S. Peabody, Peabody Coal Co., McCormick Bldg., Chicago, Ill. Matthew C. Fleming, 71 Broadway, New York City. H. B. Fernald, 54 Wall St., New York City. William G. Mather, Cleveland, Ohio. Walter Fitch, Eureka, Utah. Arthur Thacher, 900 Security Bldg., St. Louis, Mo. John P. Gray, Coeur d'Alene, Idaho. Paul Armitage, secretary, 233 Broadway, New York City.

Jan 12, 1919

By John McDonald

THIS report is a continuation of an earlier one with a similar title,1 to which the reader is referred for such details of procedure as do not appear here. A brief summary will be given of the objects and methods of the research at this time. It was pointed out in the previous paper that properties of magnesium alloys, as re-ported by different workers, often differ. This was thought to be due to differences in the preparation of the specimens tested. The ideal way to compare alloys would be to prepare each of them in so many ways that reasonable assurance would exist that the best properties of each alloy had been developed. The alloys would then be com-pared on the basis of these properties. The treatment actually given the alloys of these studies is necessarily a compromise with completeness. Nevertheless, enough treatments have been given so that a con-siderable degree of assurance exists that the properties obtained are representative of the alloy as such, and not merely of the manner in which it was worked and heat-treated.

Jan 1, 1940

By C. R. Fettke

In 1914, the officials of the Brundred Oil Corpn., faced with the problem of introducing new methods to increase production in the old and nearly depleted pools of Venango County, became interested in the Smith-Dunn (Marietta) process which was at that time being tried out in southeastern Ohio and which was already yielding very encouraging results. A license to use the process in Pennsylvania was secured from the owners of the patents. These patents were later declared invalid. The method was first used in Pennsylvania on a property consisting of about 434 acres, of which 300 are productive, at Hamilton Corners, 15 miles northwest of Oil City, in Cherry Tree and Oakland Townships, Venango County. The producing horizon is the First Sand of the Venango Group. A small oil pool was opened up in this vicinity in 1904. By July, 1916, when the compressed air was first introduced to restore pressure, the production had dropped to a point where it was no longer possible to continue profitable operation. From that time until March, 1927, over 100,000 bbl. of oil have been recovered from the tract. The property is being operated at present by the Brundred Oil Corpn. and LUX. The 1926 production, amounting to 10,650 bbl., was only 400 bbl. short of the maximum reached during any year of the 10-year period that the process has been in operation. Inasmuch as the Hamilton Corners pool is the first one in Pennsylvania in which the Marietta process was tried out, and the one in which it has been longest in continuous operation, considerable interest attaches to the results obtained. Through the courtesy of H. D. Brown and W. J. Brundred, officials of the Brundred Oil Corpn., all their data on this operation were made available to the writer in connection with an investigation of rejuvenation methods in the State for the Pennsylvania Geological Survey. Stratigraphic Position of the Producing Sand The producing sand at Hamilton Corners is encountered at depths of from 364 to 560 ft., depending on the location of the well and the topog-

Jan 1, 1928

R. W. Raymond, New York City: As was announced in the Secretary's note, appended to the pamphlet edition of Dr. Ledoux's paper, I have undertaken to superintend the preparation of the samples required by his plan, and the ollation for publication of the results reported. Promises of cordial co-operation hare been received already from a number of leading assayers;? and it is to he expected that the data thus collected, and the discussion to be based upon them, will shed much light upon the important question raised in this paper. Although a detailed discussion of methods on the present occasion might be deemed premature, I am sure that suggestions on the subject from members engaged in assaying would be timely and valuable as a preliminary to later and more detailed criticism. Herbert G. Torrey (U. S. Assay Office), New York City : I may say in relation to the losses in the furnace that I have made a number of experiments, and on my little blank form years ago I put down a place for the losses in the cupel. It met with a good deal of opposition among the smelters, but I claimed that it was my duty to give the full amount of the gold and silver present, and that it

Jan 1, 1895

CRUSHING and concentration flow-sheets of western mills have become greatly simplified and more or less standardized of recent years with the introduction of modern grinding methods and flotation. Improvement has not stopped, however, and advancement is continually being made in crushing and milling practice. A case in point, where remarkable improvements in efficiency have resulted from comparatively minor changes in the flow-sheet, is in the New Cornelia mill of the Calumet and Arizona Mining Co. at Ajo, Ariz. This mill, completed in 1924 for the concentration ,of the sulfide ores of the New Cornelia mine, was originally designed for a 5000-ton capacity. Before recent changes and additions were made the five 1000-ton units were handling 6500 to 7000 tons per day, giving a flotation feed of approximately 14 per

Jan 1, 1930

By NORMAN D. FitzGkrald

IN 1942 the outstanding characteristic of the petroleum industry was the multiplicity of war-induced distortions in virtually every segment of the business. So devastating was the success of the Nazi submarine campaign along the shores of the western Atlantic and on transoceanic routes that within six months after our entry into the war petroleum rationing was necessary in the East Coast area. The conquest of the Netherlands Indies by the Japanese three months after the opening of the war in the Pacific cut off our normal sources of rubber, and in our first year of war nationwide rationing of gasoline had to be invoked to conserve rubber-borne transportation facilities. Meanwhile the oil industry faced the imperative necessity for rapid expansion in the output of aviation gasoline and later accepted the vast responsibility for developing a new industry. synthetic rubber manufacture. Probably no other essentially peacetime industry has been forced to make so many complicated adjustments, yet its response to its wartime obligations has been nothing short of dramatic.

Jan 1, 1943

By R. U. Fitting, A. C. Bulnes

Field experience with limestone and sandstone production indicates the existence of wide differences between the reservoir behavior of these two types of formation. Little attention appears to have been given to the separate study of the flow of fluids and the retention of fluids in limestones. This paper presents data and arguments to demonstrate the existence of a difference between the two types of formation, and urges the separate intensive investigation of limestone reservoirs. AH experimental data presented pertain to dolomitic limestone formations in west Texas and New Mexico. Two kinds of Porous media are recognized— intergranular and intermediate. Intergranular rocks are those in which the porosity and permeability are determined by the geometrical properties and the sorting of the sedimentary units; intermediate rocks, those in which there is no direct relationship between grain properties and the porosity and permeability. Limestones in general are intermediate media. The partial relationship between porosity and permeability of any class of Porous media is represelried by an area of .finite extent and definite shape on the permeability-porosity plane. The horizontal and vertical variations of porosity and of permeability in limestone and sandstone formations are discussed and compared. Comparisons are made of connate-water content, the relative permeability-saturation relationship, and capillary phenomena in the two kinds of rocks. A number of tentative conclusions are drawn relative to the reservoir properties of lime- stones; in particular, (I) dolomitic limestones are oil bearing and apparently are oil productive in zones of permeability less than 0.1 millidarcyj and (2) primary depletion (by gas expansion) oil saturations may be lower in dolomitic limestones than in sandstones. Introduction It is well known that the reservoir performance of limestones displays numerous irregularities when compared with that of sandstones, and that the departures from "normal" behavior of limestones are more frequent and generally more marked than in sandstones. This is particularly true of fractured limestones and those that have undergone considerable development of secondary porosity' A review of the literature of production research published during the past 15 years reveals a startling absence of theoretical and experimental investigations directed specifically toward explaining and predicting the performance of limestone reservoirs, even. though such problems as the prediction of water encroachment and the estimation of ultimate recoveries continue at the "inspired guess" stage. By far the greater part of the experimental data reported pertain to measurements on sandstone core samples, while the theoretical studies, almost without exception, are developed from the assumption of an ideal porous medium and therefore seldom are applicable to limestone formations. The chief cause of this situation appears to be the common belief that, to all practical intents and purposes, sandstones and the majority of producing limestone formations

Jan 1, 1945

By Ralph M. Hunter

UNTIL recent years, maintenance of surface coal handling facilities was a relatively simple task. Equipment consisted principally of conveyors, screens and crushers of comparatively simple construction. Electrical equipment consisted of motors and starters, with little, if any, interlocking. In most cases failure of any component affected only the grades of coal loaded so that even a prolonged break-down did not affect mine operation materially. However, with the introduction of modern cleaning plants, the picture has changed. The equipment is much more complex and therefore more difficult to maintain. In many cases failure of any component of the plant prevents loading of coal. Even if provision is made to by-pass, the quality of coal loaded is lowered, affecting markets. In the case of plants designed to permit full seam mining, marketable coal cannot be loaded without operation of the cleaning plant. Under these conditions it is apparent that considerable thought and effort toward better maintenance are justified. In order to assure continuous, efficient and economical operation, maintenance should receive consideration, not only after the plant is in operation, but while it is being designed. It is hardly necessary to say that the designer should strive for sturdiness and wearing qualities. It is sometimes not realized, however, that even the best parts will sooner or later require replacement or repair. The designer should, therefore, give consideration to accessibility. Anyone who has had to do with cleaning plant maintenance is familiar with installations where several hours are required to get at a part that can be repaired or replaced in a few minutes, once it is accessible. As in most cases, experience is the best guide. The men who operate and maintain this equipment know the problems encountered. Whenever available, the opinions of these men should be sought and heeded. As an example, we might consider the refuse elevator on a Chance Cone. Our company is now operating three of these cones, the first of which was installed in 1941, and the latest in 2946. Exact records are not available, but well over 50 pct of delays charged to the Chance Cones have been caused by the refuse elevator. This elevator receives refuse from the cone and carries it to a point above the water level of the cone, discharging onto a dewatering and desanding screen. Since the elevator operates under water and necessarily has close clearances in the lower boot, it tends to jam on large pieces of refuse or tramp iron. The chain, buckets and boot are also subjected to the action of water, sand and refuse, which accelerate normal wear. In case of jamming or chain-breakage it is necessary to drain the elevator and the cone so that even a minor fault in the elevator causes a considerable loss of time for the cone. In our new plant, which will contain two Chance Cones, the refuse elevator has been eliminated. This was accomplished by raising the cone so that the refuse gates could discharge directly onto the dewater-

Jan 1, 1948

By R. J. Teitel

FOUR or five years ago an investigation was initiated to study and develop basic information on llquid metal fuels for future power nuclear reactors. The objective was to find fluid forms of uranium (solutions or dispersions) in low melting alloys. A summary of the different fuels was presented in a recent article by Teitel, Gurinsky, and Bryner.' The combination of uranium and bismuth, with its low thermal neutron cross section and low melting point, is of basic interest to the development of these fuels. Most of the previous effort on the U-Bi phase diagram was done under security regulation. Ahmann and Baldwin' reported their findings on the U-Bi system in 1945. Their results indicated that the phase diagram had at least two compounds and possibly one more. UBi, and UBi were established by chemical analyses of residues after high temperature centrifugation of alloys. UBi, decomposed peritectically at1980°C and there were signs of another reaction above that. UBi melted at a very high temperature, and there were also signs of a monotectic at high temperatures in high uranium alloys. The solubility of uranium in liquid bismuth has received attention by three groups of authors: Bareis,X ayes and Gordon,' and Ahmann and Baldwin.' The latest and most widely accepted data is that of Bareis, and it is included in Fig. 1 along with new data at higher temperatures. Brewer et al." and Ferro"'' have used X-ray diffraction to determine the number and crystal structure of the compounds. Brewer identified the structure of UBi to be a simple NaCl cubic structure having a cell edge of 6.364A. The density of the compound was calculated to be 11.52 g per cu cm. Two other unindexed patterns were presented as possibly belonging to two other compounds. Ferro agreed with Brewer on the crystal structure of UBi and identified the structure of UBi, and U,Bi,. The intermetallic compound UBi, has a tetragonal cell with a = 4.445A and c = 8.908A. The density of the compound was determined and the number of atoms per cell (six atoms) was calculated. The X-ray density reported was 12.35 g per cu cm. The compound UsBir was treated in a similar way and it was reported to have a cubic structure 9.35A on an edge and to contain 28 atoms per cell. The density was given as 12.59 g per cu cm. Teitel reported that there was a compound UaBi, and no UBi, compound. (The difference in the compositions is 3.3 pct U.) This conclusion was based upon the extrapolation of some 20 tie lines in the

Jan 1, 1958

Edward Halse, Puerto Berrio, Colombia, So. Amer. (communication to the Secretary*): The Taviche mining-district is generally known as " Taviches," being named from the two villages called respectively San Pedro Taviche and San Jero-nimo Taviche. It is so called by Jose G. Aguilera, in his paper on the Geographical and Geological Distribution of the Mineral Deposits of Mexico;' and in published reports by the late N. W. Rudston Read ;2 and by Juan de Dios Villarello3 The region is a large one, measuring about 24 miles long and 7 miles wide. Dr. Chance, in his interesting paper, tells us very little about the nature of the ores, and, with regard to the geology of the district, contents himself with observing that " the country, as a rule, consists of eruptive rocks; and no evidences of sedimentary strata appear near the mines." The latter part of the above statement is hardly correct. The formation is mainly

Jan 1, 1906

By Michael A. Gustafson, Fernando B. Sotelino

INTRODUCTION The degree of success of any new project will ultimately depend on two factors: (i) the underlying economic strength of the project; and (ii) how successfully the parties involved can coordinate their interests to establish a financing structure which indeed capitalizes on the project's inherent economic attractiveness. A project's underlying economic attractiveness is determined by its inherent comparative advantage in accessing the factors of production, combining these factors of production to create a product and marketing this product. Initially, the decision regarding whether to go ahead with the project - the go/no go decision - has to be based on its total ability to generate cash flow returns to project participants to compensate them for resources committed and risks undertaken. The extent to which project sponsors will actually benefit from the project's inherent economic attractiveness is fundamentally dependent on their ability to establish the long-term financing arrangement which best meets the objectives and constraints of each project participant and sources the most advantageous funding. The decision regarding the financing of the project, the "how-to-go" decision, is then an attempt to find the capital structure, consistent with market terms and conditions and sound financial management policies which will best: (i) match planned outflows with cash inflows; and (ii) maximize the return for project sponsors. This article makes use of a case study to illustrate the analytical process involved in dealing with the go/no go and the how-to-go decisions on a project. Though most commonly applied to project finance situations, the guideline described herein is equally applicable to other financing situations, such as leveraged buyouts and debt restructurings, where timely repayment of debt depends largely on the future cash flows to be generated by the entity being financed. Our case study is of a hypothetical expansion of an existing copper mining operation in Latin America. The company, Latin American Copper (LAC) currently has 147 million metric tons of proven sulphide ore reserves. The existing mine complex consists of an open pit mining operation and a conventional flotation plant with a processing capacity of 20,000 metric tons of ore per day. LAC sells copper concentrates primarily to Japanese custom smelters. The mine has been in operation for 5 years, fine copper production last year was 108,240 metric tons, and LAC currently has assets of $175 million and net worth of $135 million. Due to a recent increase in proven reserves, LAC is considering doubling the treatment capacity of its flotation plant to 40,000 tons per day, and expanding its mining capacity to meet the additional concentrator capacity (the "Project"). Project capital expenditures and incremental working capital have been estimated at approximately $210 million. The construction period is expected to cover one year, including a three-month start-up phase. The Project is to be funded by a combination of equity, senior debt, including both supplier credits and/or commercial bank term loans, and subordinated debt. LAC's shareholders are willing to commit a maximum of $50 million to the Project. A government development agency, which is also a minority shareholder, might be willing to lend approximately $40 million to LAC in the form of subordinated notes, depending on the ability of the Project to generate foreign exchange reserves. Commercial banks cannot be expected to offer loans with maturities longer than ten years. The Project is expected to increase the value of the firm because: (i) It will solidify the Company's position as a low-cost copper producer by taking advantage of economies of scale. As a result of the expansion, cash production costs are expected to decrease 7.0[c]/lb. and all-in costs 11.0[c]/lb; (ii) The potential earnings stream from the sulphide ore reserves will be realized

Jan 1, 1985

By Fernando A. Buttazzoni, Jorge C. Munita

INTRODUCTION To provide a background for discussing long-range financial and operational planning in the mining industry, we would like to begin by describing the role of planning in Codelco. Having taken part in Codelco's planning process since its inception in 1976, we believe that useful conclusions may be drawn for the experience we shall relate. Although Codelco is a state-owned copper producer with an important role in the Chilean economy, and is consequently very much at the core of national economic planning, the following discussion is not related to government planning but to planning in an operationally and commercially autonomous business concern with all the characteristics of a private enterprise. The only way in which Codelco differs from private business is that its financial successes or failures have a more direct impact on the countryls ability to participate in international trade, to meet its international financial commitments and to achieve economic and social growth. Thus, what follows is a presentation of the conceptual features of the planning process at Codelco and a description of the current state of planning in the company. It is understood that certain conceptual components are basic to any formal strategic planning process, and that the components of Codelco's planning process are therefore generally applicable in similar companies. First, the mission and scope of operation of the company must be defined, and goals must be set to achieve leadership in the business activities in which it engages. Having set this framework, the company must constantly scrutinize those internal elements and conditions that are essential to fulfill its mission and achieve leadership. In Codelco this means considering the actions which can best serve to define future capacities, taking into account declining ore grades and determining optimal production levels; watching over the productivity and skills of its labor force, and; keeping abreast of technological developments in non-ferrous mining and processing. If the company is proficient in these three areas, it will be cost efficient and there- fore competitive. Codelco must also watch over the business environment in which it operates. The company sells concentrate, blister and fire-refined copper, wirebar, cathodes and wire rod and must study the behavior of the market to attune its product mix to the demand existing for these various commodities in the international market and the copper consuming industries in general. By examining the internal and external environment in which the company conducts its production and commercial operations, it is able to diagnose its strengths and weaknesses, to identify the hazards it must overcome to stay ahead in the copper trade, and to take full advantage of business opportunities as they arise. CHARACTERISTICS OF CODELCO-CHILE Although our subject is Codelco, readers should keep in mind that there are many other copper producing operations in Chile, all in the private sector, and many valuable deposits that may be exploited in the future. Codelco is the only public sector copper producer, although there is one other state enterprise that operates smelting and refining facilities principally to serve a large number of very small producers of copper concentrate. In the mid-19801s, Codelco is the largest copper mining company of the world and the largest producer and exporter of copper with yearly sales totalling close to US$ 1.8 billion in 1983. Moreover, it is a highly profitable copper company at a time when the world copper industry as a whole has reported losses for several years. Codelco-Chile is a fairly new organization. The history of the four mining operations it manages is much longer: El Teniente was opened in 1912, Chuquicamata in 1915, Salavador in 1959 -- with installations of the old Potrerillos mine dating from 1927 -- and Andina in 1970. Having had separate owners, the management systems of the

Jan 1, 1985

[A AALSETH, Earl P (M 51) Consult Geol Engr 2019 Eldorado Dr, Billings, Monl ABADIE, Henry G (M 43) Asst to Supt of Oper Long Beach Oil Dev Co 925 Harbor Plaza, Long Beach 2, Calif ABBE, T Waldo (A 56) Asst Dist Oper Supt Sun Oil Co PO Box 66, Stowell, Tax ABBOTT, Fred E Jr (M 59) Abqaiq Dist Mgr Arabian American Oil Co Dhahran, Saudi, Arabia ABBOTT, Clifton T (A 60) Apartado 677, Maracaibo, Venezuela ABBOTT, J L (M 56) Partner Pritchard & Abbott 1010 Ft Worth Natl Bk Bldg, Fort Worth 2, Tex ABBOTT, Richard H (J 51) Partner Abbott & Howard 422 W Hermosa San Antonio 12, Tex .ABBOTT, William G (M 50) Div Mgr Rice Engrg & Operating Inc Box 1142, Hobbs, N. M. ABDERHALDEN, Ronald R (J 59) Prod Engr Continental Oil Co Box 100, Carmi, III ABEL, Malcolm D (J 50) Gen Partner Abel & Bancroft PO Box 865, Midland, Tex ABEL, Ramond L (M 28) Prof of Chem Eng Univ of Pittsburgh, Pittsburgh 13, Pa ABEL, Wayne K (M 57) 1513 Patton Drive, Odessa, Tex ABELL, Joseph M (J 55) Petr Engr Tennessee Gas & Oil Co Box 1772, Casper, Wyo ABELS, Thomas A (J 60) Exploit Engr Shell Oil Co Box 193, New Orleans 3, La ABENDROTH, G F (M 46) Dring Prod Supt Lyons & Logan 1500 Beck Bldg, Shreveport, La ABERCROMBIE, Bolling A (M 60) Mgr Product Planning Axelson-Garrett PO Box 2427, Longview, Tex ABERCROMBIE, C T (160) Prod Engr Cities Ser Petr Co Box 472, Brownfield, Tex ABERCROMBIE, H L Jr (J 55) Prod Engr Mobil Oil Co Room 1800 Gr PI Life Bldg, Lubbock, Tex ABERCROMBIE, Robert (J 57) Prod Engr Mobil Oil Co PO Box 1770 Shreveport, La ABERG, Richard S (M 57) Area Prod Geol Shell Oil Co of Canada, Box 100 Calgary, Alta, Canada]

Jan 1, 1961

By D. N. Hedges

This paper discusses the actual recovery and installation of a longwall in a bituminous coal mine in western Pennsylvania. The coal bed mined is in the Lower Freeport seam, which averaged 1.07 m (42 in.) in height locally. Drainage from the mine is about 13.25 ML/day (3.5 million gal per day) of water. This water deteriorates the mine's predominately fire clay bottom making it extremely difficult to move equipment. Support removal is accomplilshed by pulling the 5.44 t (6 st) shields out under their own hydraulic power and transporting them by track 8.05 km (5 miles) to the next longwall panel. This paper also discusses the changes that will be made to aid in the succeeding longwall recoveries and installations.

Jan 1, 1985