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By Marcel R. Daly

The writer has devoted a number of years to practical operations and to the study of geology in the oil fields. In consequence, he has been brought to investigate the theories advanced to account for the accumulation of oil and gas in commercial deposits. It is the result of these investigations and his personal conclusions that he wishes to sum up in this paper. The writer is an advocate of the organic origin of petroleum found in pools. He has been led to believe that the present theories of oil and gas accumulations are incomplete and, in certain respects, incorrect, although they may embody certain elements of truth; that the forces that are called upon to explain the movement are only secondary forces in the process, and insufficient, by themselves, to cause this movement; and that the phenomenon of accumulation is of much larger order than heretofore admitted and bears an intimate relation with the general as well as with the local deformations of the crust and is a direct consequence and a mechanical effect of these deformations to which the term " diastrophie " has been applied. As a complement to this theory, the writer offers a new interpretation of the "rock pressure" and of the mechanism of the "sealing up" of this pressure in oil and gas pools. The Anticlinal Theory The theory most generally accepted to account for the accumulation of hydrocarbons in commercial deposits is the anticlinal or structural theory. This theory, the principles of which have been laid down by I. C. White, Orton, Winehell and others, and which has since been modified and perfected, is too well known to need a detailed statement. A clear interpretation of it may be found, in the paper of W. T. Griswold, in Bulletin No. 318 of the United States Geological Survey, and the reader is

Jan 1, 1917

By C. E. Cottrell, G. W. Preckshot, N. D. Delisle, D. L. Katz

Most crude oils contain asphaltic substances that may be naturally or artificially precipitated. In the Greeley field, California, this asphaltic bitumen is precipitated during the flow of the oil from the reservoir to the stock tank The mechanism of such precipitation is not well understood. This paper presents the progress that has been made by using the electron microscope as a new tool and by observing the effects of the streaming potential on the formation of bitumen particles. Crude oils at atmospheric pressure viewed in the electron microscope in very thin films under a vacuum showed no asphaltic particles. A technique of preparing slides of thin films by dilution of the oil with benzene and washing in petroleum ether was used at first, and these observations showed that the solvents caused the formation of the particles, varying from 0.01 to 0.2 micron in diameter. The electrical effects of fluids flowing through porous solid were studied, with emphasis on the formation of colloidal particles by the streaming potential. The streaming potential of crude oil flowing through sand was measured and was shown to be responsible for the formation of bitumen particles. These results bring out a new phenomenon, which may occur when crude oil flows through the porous oil reservoir. mechanisms. Asphalt has been the subject of widespread investigation but, owing to the complexity of the substances being considered, progress has been slow. Investigators working primarily with the asphaltic substances have treated the subject from the colloidal standpoint and have developed theories that picture the asphaltic particles as surrounded by adsorbed materia1s.14,15,17,24 The deasphaltization of lubricating oil by the use of solvents treats the subject primarily from the standpoint of liquid-liquid equilibria.'' A complete understanding of asphaltic substances would make possible the following of the material from its initial state in the crude oil through precipitation processes to the final plastic stage, the most common form of which is used in asphaltic pavements. Since these asphaltic particles are very small, it appears 'hat the electron microscope4 might be a useful tool in studying the precipitation processes. Specimens are examined by the electron microscope in a vacuum and as very thin films, requiring special techniques in preparation of samples. A brief description of the electron microscope and its operation will bring out the difficulties and advantages of its use for this problem. The first work was done with crude oils that had been diluted with solvents for the preparation of the film to be examined. Later a technique was developed by which the undiluted oil film could be made thin enough for direct examination. These two techniques show vastly different results Asphaltic particles have been precipitated from crude oils by a variety of

Jan 1, 1943

By Axel Hultgren

In ingots of silicon-killed carbon steel-made without addition of aluminum, transparent spherical or nearly spherical inclusions, up to about 0.15-mm diameter, are generally present. They may be glassy or crystallized, wholly or partially In steels of high carbon contents they consist of silica,4,12 in steels of lower carbon contents and, in consequence, higher oxygen contents, of iron-manganese-silicate with higher iron and manganese contents the lower the carbon content. Small silicate inclusions, about 0.01 mm or smaller, may occur, just as sulphide inclusions do, in portions that have been the last or nearly the last to freeze,l0,12,17 this location being verified by primary etching.10 Hence, it may be concluded that they have separated from liquid steel that has become enriched in oxygen through segregation during freezing. Silicate inclusions with a diameter larger than about 0.02 mm appear, at least in ingots of moderate size, to be distributed at random in relation to the primary structure and therefore may be assumed to have existed as droplets in the liquid steel before freezing started at the point in question. The average size of such large inclusions has been found to increase toward the axis1' and their amount to increase from the top downward in the axial region.2,10 It has been assumed that this accumulation is a result of the droplets being brought down by the slowly settling metal crystals.2 It has been suggested that large silicate inclusions generally form,6 or may form,'' by coagulation of smaller ones, or by small drops being caught by larger ones during the rising of the latter.9 The occasional occurrence of a large inclusion surrounded by a swarm of small ones has been taken as a proof of this mechanism but, as suggested later, may be explained in another way. It has been pointed out that an inclusion droplet in the liquid steel may grow at the expense of an adjacent one, which implies diffusion of soluble inclusion-forming elements in the liquid steel.'= Further, it has been pointed out that, on cooling in ladle or mold, the metal-silicate equilibrium is displaced in the direction of separation of silicate. Thus inclusions may grow in size and amount.2,3,8,12,13,17,19,20 The exposure of the liquid steel to the oxygen of the air during tapping and pouring, and the consequent reaction, has been mentioned as a source of the formation of inclusions19.20 but this possibility has not received particular attention. Further, the admixture of furnace slag during tapping1 or of refractory material from various sourcesl,20 has been considered. The inclusions due to the latter may be recognized, however, through their resistamce to hydrofluoric acid, imparted by the alumina content. Silicate inclusions are often referred to as the natural and inevitable product of reaction on adding silicon or silicon

Jan 1, 1949

By Axel Hultgren

In ingots of silicon-killed carbon steel-made without addition of aluminum, transparent spherical or nearly spherical inclusions, up to about 0.15-mm diameter, are generally present. They may be glassy or crystallized, wholly or partially In steels of high carbon contents they consist of silica,4,12 in steels of lower carbon contents and, in consequence, higher oxygen contents, of iron-manganese-silicate with higher iron and manganese contents the lower the carbon content. Small silicate inclusions, about 0.01 mm or smaller, may occur, just as sulphide inclusions do, in portions that have been the last or nearly the last to freeze,l0,12,17 this location being verified by primary etching.10 Hence, it may be concluded that they have separated from liquid steel that has become enriched in oxygen through segregation during freezing. Silicate inclusions with a diameter larger than about 0.02 mm appear, at least in ingots of moderate size, to be distributed at random in relation to the primary structure and therefore may be assumed to have existed as droplets in the liquid steel before freezing started at the point in question. The average size of such large inclusions has been found to increase toward the axis1' and their amount to increase from the top downward in the axial region.2,10 It has been assumed that this accumulation is a result of the droplets being brought down by the slowly settling metal crystals.2 It has been suggested that large silicate inclusions generally form,6 or may form,'' by coagulation of smaller ones, or by small drops being caught by larger ones during the rising of the latter.9 The occasional occurrence of a large inclusion surrounded by a swarm of small ones has been taken as a proof of this mechanism but, as suggested later, may be explained in another way. It has been pointed out that an inclusion droplet in the liquid steel may grow at the expense of an adjacent one, which implies diffusion of soluble inclusion-forming elements in the liquid steel.'= Further, it has been pointed out that, on cooling in ladle or mold, the metal-silicate equilibrium is displaced in the direction of separation of silicate. Thus inclusions may grow in size and amount.2,3,8,12,13,17,19,20 The exposure of the liquid steel to the oxygen of the air during tapping and pouring, and the consequent reaction, has been mentioned as a source of the formation of inclusions19.20 but this possibility has not received particular attention. Further, the admixture of furnace slag during tapping1 or of refractory material from various sourcesl,20 has been considered. The inclusions due to the latter may be recognized, however, through their resistamce to hydrofluoric acid, imparted by the alumina content. Silicate inclusions are often referred to as the natural and inevitable product of reaction on adding silicon or silicon

Jan 1, 1949

By G. W. Preckshot, C. E. Cottrell, D. L. Katz, N. D. Delisle

Most crude oils contain asphaltic substances that may be naturally or artificially precipitated. In the Greeley field, California, this asphaltic bitumen is precipitated during the flow of the oil from the reservoir to the stock tank The mechanism of such precipitation is not well understood. This paper presents the progress that has been made by using the electron microscope as a new tool and by observing the effects of the streaming potential on the formation of bitumen particles. Crude oils at atmospheric pressure viewed in the electron microscope in very thin films under a vacuum showed no asphaltic particles. A technique of preparing slides of thin films by dilution of the oil with benzene and washing in petroleum ether was used at first, and these observations showed that the solvents caused the formation of the particles, varying from 0.01 to 0.2 micron in diameter. The electrical effects of fluids flowing through porous solid were studied, with emphasis on the formation of colloidal particles by the streaming potential. The streaming potential of crude oil flowing through sand was measured and was shown to be responsible for the formation of bitumen particles. These results bring out a new phenomenon, which may occur when crude oil flows through the porous oil reservoir. mechanisms. Asphalt has been the subject of widespread investigation but, owing to the complexity of the substances being considered, progress has been slow. Investigators working primarily with the asphaltic substances have treated the subject from the colloidal standpoint and have developed theories that picture the asphaltic particles as surrounded by adsorbed materia1s.14,15,17,24 The deasphaltization of lubricating oil by the use of solvents treats the subject primarily from the standpoint of liquid-liquid equilibria.'' A complete understanding of asphaltic substances would make possible the following of the material from its initial state in the crude oil through precipitation processes to the final plastic stage, the most common form of which is used in asphaltic pavements. Since these asphaltic particles are very small, it appears 'hat the electron microscope4 might be a useful tool in studying the precipitation processes. Specimens are examined by the electron microscope in a vacuum and as very thin films, requiring special techniques in preparation of samples. A brief description of the electron microscope and its operation will bring out the difficulties and advantages of its use for this problem. The first work was done with crude oils that had been diluted with solvents for the preparation of the film to be examined. Later a technique was developed by which the undiluted oil film could be made thin enough for direct examination. These two techniques show vastly different results Asphaltic particles have been precipitated from crude oils by a variety of

Jan 1, 1943

By D. S. Rowley, F. C. Appl

Assuming that rock behavior, during cutting with a single diamond, may be approximated by that of a rigid, Coulomb, plastic material, a theory of single diamond cutting action has been developed. Using this theory, the stresses on the diamond cutting surface and the components of the cutting force have been determined. Theoretical results agree reasonably well with available experimental data. The theory of cutting of single diamonds may be used as the basis for subsequent study of the perfonnance of surface set diamond drill bits and other surface set diamond cutting tools. INTRODUCTION For more than twenty years, surface set diamond bits have been used successfully in the mining and petroleum industries to drill and core rock formations that range from medium hard to the hardest known formations. Most extremely hard rock formations cannot be economically drilled or cored by any other means. In view of the growing use and importance of surface set diamond drill bits, it is reasonable to study the way in which these tools cut, and the factors that influence wear of the diamonds. Such knowledge will contribute to better bit design and will improve operating procedures. To analyze the cutting performance of these tools it is appropriate to consider the way in which an individual diamond cuts. Once this is established, the over-all performance of the bits can be determined by considering the total effect of the individual diamonds. In recent years there has been a growing interest in rock mechanics and there now exist several publications dealing with the deformation and failure of rocks. Notable experimental work has been reported by Bredthauer,1 Handin and Hager,2, 3 and Gnirk and Cheatham.4 An extensive collection of data pertaining to rock properties at low confining pressures has been given by Wuerker.5 Cheatham and Gnirk have recently presented an excellent review of the state of knowledge regarding analytical and experimental rock deformation and failure.6 Generally rocks are extremely weak in uniaxial tension, and weak or only moderately strong in uniaxial compression. Both tensile failure and compressive failure are generally brittle in nature. This means that there is little or no deformation or "flow" of the material before shear or tensile fracture occurs. Thus, until fracture occurs, rock behaves very nearly like an elastic material in uniaxial stress. Significant changes in behavior of rock occur under conditions of triaxial compressive stress. There is generally a marked increase in compressive strength and in ductility. It has been demonstrated that the failure becomes plastic (in a macroscopic sense) at sufficiently high values of confining pressure. Sharp wedge chisel indentation studies conducted by Gnirk and Cheatham indicate that many rocks behave in a plastic manner at relatively low triaxial compressive stress states.4 If "failure" under triaxial compressive conditions is considered to be either complete rupture or macroscopic plastic flow, then the general failure characteristics of a rock can be reasonably well represented by the commonly known Mohr envelope. This certainly is not a perfect failure criterion (since the effect of the intermediate principal stress is neglected) but it has been found to be adequate for most engineering purposes. Mohr envelopes usually are constructed graphically using experimental triaxial test data. For purposes of analysis it is convenient to represent the envelope in equation form. Among the several approximate forms appearing in the literature, a parabolic form is suggested by Cheatham,7 and an exponential form is suggested by Paone and Tandanand.8 The exponential form has been adopted for this study, and based on published data, appropriate parameters have been established for 19 rock types. A typical plot of the data compared with the approximate envelope, and a summary of the rock properties and

Jan 1, 1969

By Walter C. Lawson

The primary objective in laying track in panel sections is to reduce the number of track laborers required. This is possible because the work is mechanized. Moreover, because the work is mechanized and each of the operations needs only a few men, and each is self-contained, the work can be carried on at night as well as in daylight; therefore, the method provides a means of preparing tracks on more than one shift. The laying of tracks in open pits and quarries in panel sections is not new but new methods have been made possible by the introduction of new types of equipment. The purpose of this paper is to describe the methods that are followed in the Morenci open pit. General Mining Operations Full-scale ore production at Morenci is about 50,000 tons daily. The normal yearly output of ore and waste is 32,000,000 tons, of which 30,000,000 tons is handled by rail haulage. This requires the building of approximately 47 miles of loading and other temporary tracks during a 12 months' period (Fig I). Broken ore and waste is loaded into 90-ton capacity dump cars with 5-cu-yd full-revolving electric shovels. Shovel banks are uniformly 50 ft high. They are blasted with churn drill holes and the broken material from a blast is loaded out with two shovel cuts, the first one being called (locally) the "splatter" cut and the second one the "clean-up" or "face-up" cut. When a shovel is making its clean-up cut, the loading track is about 70 ft from the toe of the bank and, under normal conditions, a bank is blasted against it without removing the track. It is thus evident that each track is used for two shovel cuts before relocation is necessary, inasmuch as a single position serves for both the clean-up cut prior to blasting and for the splatter cut following the blast. The normal advance of a solid bench by a single blast is 40 ft (Fig 2). Preparation OF Panel Grade In preparation of panel grades bulldozers and rooters are used for the bulk of the work and an auto-patrol road grader for the final stage. At Morenci, bulldozers have always been used for track-grade preparation, but before the introduction of the other two types of equipment grades were uneven and irregular at best, and always necessitated a big gang of track laborers to hand-block under the ties with rocks after a track was laid into place. High blocking also made poor track because of instability and caused frequent derailments. Under these conditions derailments were generally bad as re-railing became difficult. Much track was torn up and many tics broken in the process. The inadequacy of the hand-blocked track, together with the inefficiency of hand blocking, constantly pointed, to the desirability of reducing the amount of labor required, so various means were tried to improve conditions, such as wood

Jan 1, 1949

By A. H. Underwood, M. –Ls. Trépanier

INTRODUCTION The King and Beaver mines of Asbestos Corporation Limited (ACL) were joined in 1957 to form the King-Beaver mine. In 1964, ACL purchased the Johnson's Asbestos Company. The combined underground workings are a part of the King- Beaver mine. Asbestos ore is mined at the rate of 4080 metric tons per day (mtpd) to provide 15% of the company's daily requirement in the Thetford Mines area. Figure 1 shows the location of Thetford Mines. Two shafts service the underground. No. 3 shaft, 457 m deep, is used for personnel and material transportation, downcast ventilation, and ore hoisting. No. 4 shaft, 820 m to the south, is 389 m deep. It is used for material transportation and upcast ventilation. Figure 2 shows the relative locations of the shafts and the underground workings. The ore is mined by block caving. HISTORY The orebody outcropped at surface and was first mined as an open pit. Underground mining commenced when open pit mining became impractical. Shrinkage stoping, used initially, was unsatisfactory in the highly fractured ore. Sublevel stoping improved ore recovery and safety, but did not overcome the adverse effects of the un- stable rock. Observations of the rock failures indicated that block caving would be satisfactory. This was confirmed by careful investigation and testing. A method of block caving similar to that used at the Miami Copper Company was adopted. The first block commenced production in June 1933. BLOCK CAVING General A large block of ore is undercut above pre- pared drawpoints. The ore above the undercut caves by its own weight. Caving progresses up- ward as the caved ore is drawn. A large proportion of the rock breaks up in the caving action so that it will pass through the drawpoints. Oversize blocks are broken by drilling and blasting or mudcapping. Figure 3 shows the progressive stages of block caving. In the central part of the ore zone, the vertical dimension of a block is determined by the 132 metres between production levels. When isolated ore pockets are developed, the vertical dimensions of a block depend on the extension of the ore zone above the undercut. The minimum horizontal dimension of an under- cut determines the cavability of the overlying block. When necessary, caving is assisted by drilling long horizontal holes into the block above the undercut and blasting them. This procedure speeds up or restarts caving. It will not ensure complete caving of blocks having undercuts less than 30 m wide. Orebodies suitable for block caving are highly fractured and wide enough to cave freely without excessive dilution. Undercutting must

Jan 1, 1981

THE metal iron has physical arid chemical properties which are some- what different from those of steels, but a knowledge of the pure metal is a useful starting point in studying the behavior of steels. Solid iron exists in two different crystalline forms, called alpha (a) and gamma (?) iron the former being the ordinary form at room temperature. When heated above the "A2 point," 769 C (1416 F), the metal becomes nonmagnetic, and at the "A3 point," 911 C (1672 F), it undergoes a change in crystalline form to become gamma iron. 111 the range 769 to 911 C, it is sometimes called beta (ß) iron to distinguish it from the magnetic alpha, but the two are identical in crystal structure. When gamma iron is further heated to 1392 C (2538 F), it changes into delta (d) iron, which is identical with beta or nonmagnetic alpha iron. Pure iron melts (in an inert atmosphere) at 1536 C (2797 F); the melting point is generally lowered by alloys or impurities. PHYSICAL AND THERMAL PROPERTIES OF IRON Many of the properties of iron undergo abrupt changes at the transition temperatures.1 For example, in heating through the A3 point, a sudden shrinkage in volume occurs. Similarly, melting is attended by sharp physical changes such as an increase in volume. Table 16-1 contains a summary of the measured physical properties of pure iron at several temperatures. Usually the properties change smoothly with the range of stability of a given form, but this is not always true. For ex- ample, the specific heat reaches a sharp maximum at the A2 point al- though no transformation occurs. (See Fig. 14-1.) Solvent Powers of Liquid Iron. Liquid iron is capable of dissolving most of the other metals and many nonmetallic elements as well. Of the metals that are liquid at the melting point of iron, only lead, silver, and bismuth refuse to dissolve to an appreciable extent. Table 16-2 contains a list of the common elements classified with respect to their solubility in liquid iron. Those which are very soluble or practically insoluble require no further discussion, but several of the nonmetals that are gases and exhibit limited solubility are of considerable importance to us and merit more detailed consideration.

Jan 1, 1964

By W. R. Hibbard Jr., R. W. Guard, N. G. Ainslie

Evidence is presented that copper-base solid solutions of different solutes having equal grain sizes, no preferred crystal-lographic orientation, equal electron-atom ratios, and, within experimental scatter, identical initial yield strengths, need not have identical stress-strain curves at strains larger than about 0.04. The stress-strain behavior is rationalized in terms of the proposed Suzuki chemical interaction between solute atoms and extended dislocations using what is thought to be a somewhat different means of representing stress-strain data. ALTHOUGH the effect: of alloying element upon the strength characteristics of sold solutions is a subject which has received considerable attention in the past, the exact relationships between the common deformation parameters and certain common variables are not really known in some cases. As a result some of the experiments reported in the literature in which these variables are inadequately controlled lose some of their persuasion regarding underlying principles. Nonetheless, facts are known which bear pointing up: When the true stress, a, and true plastic strain, E, of tensile deformatic~n are plotted on a double logarithmic coordinate system, one may observe a straight-line relationship at strains greater than 0.02. The form of the curve in the linear region is given by a = Ken! where a represents true stress, E, true strain, and K and tn, constants. If the relationship holds, K and m define the flow characteristics of the material being tested. m and K, however, may vary with other parameters. Hollomon found that in a-brass, m is influenced by grain size. French and HibbardZ found in alloys of copper that inverse relationships existed between m and 1) the solute concentration for a given solute, 2) the 0.01 yield strength, and 3) the constantK. Lacy and Gensamer3 observed (du/d~) (= U/Em) to increase with increasing values of K in systems of alloyed ferrites (although with considerable scatter of data which may be attributed to uncontrolled grain size). Brick, Martin, and Angier* deduced in copper-base alloys a straight-line relationship (with some scatter) between the change in the Dph number due to solid-solution strengthening and the change in the Dph number due to work hardening which suggested that copper-base alloys having equal yield strengths might have identical stress-strain curves in the plastic flow regions. French and HibbardZ concluded that the yield strength of copper-base solid solutions is the proper basis for comparing the effects of solute elements. Also, Allen, Schofield, and ate' showed that, within their experimental variation, copper-base alloys of zinc, gallium, germanium, and arsenic having the same electron-atom ratios have the same true-stress true-plastic strain curves. Dorn, Pietrokowsky, and ~ietz' also found that with aluminum-base alloys the stress-strain curves in the flow regions are approximately the same if "equivalent" concentrations of alloying elements are used. Solute valence and lattice parameter distortion were the parameters used to determine equivalency. The present report describes an investigation in which an attempt was made to obtain copper-base solid-solution alloys of four solute elements having within close tolerances equal grain sizes and yield strengths, and to see if the level of yield strength does indeed define the flow curve regardless of solute type. During analysis of the data certain unexpected features of the stress-strain curves became apparent which gave rise to some speculation and are discussed at length in the paragraphs that follow. EXPERIMENTAL PROCEDURES Alloy Preparation—Using the data of French and HibbardZ as a first approximation, four different binary copper-base alioys were designed so as to have the same yield strength. In addition, other alloys were prepared in which the solute aoncentrations varied slightly from those calculated above so as to span a range of yield strengths, see Table L The yield strengths of all alloys prepared except the copper-tin alloys were subsequently found to Lie fairly close to one another. The copper used in the alloys was produced by the American Smelting and Refining Co. and was of very high purity (99.999 pct). The alloy additions and their initial purities are as follows:

Jan 1, 1960

By T. A. Wilson, S. L. Hoyt

THE plastic deformation of slender single crystals of zinc has been described in some detail in the paper by Mark, Polanyi and Schmid,1 which has become a classic, and also by one of the present authors in a somewhat shorter account.' The study of single-crystal zinc is termed classical because zinc single crystals offer, perhaps, the best material yet available for the study of atomic behavior during deformation and the effect known as "strengthening" in metals. A considerable amount of additional work has also been done on single-crystal zinc, but as it is not closely related to the present paper it will not be considered. Throughout all the former work, the mechanism of plastic deformation first described by Mark, Polanyi and Schmid has been assumed to hold. This may be said to offer the strongest confirmation of its correctness. Even so, the picture of the process has never been as completely portrayed as is desirable. The first object of the present paper is to describe work that has been done in this field, and which is even yet being carried on, in the hope that a more complete picture may be obtained. Mathewson and Phillips' have recently described a new mechanism of the deformation of zinc based on their study of large rectangular crystals. One of their conclusions was that deformation produced twinning with a rotation of some of the basal planes into positions 94° removed from their original position; a position almost the same as that of the prismatic planes before twinning. A second conclusion was that fracture occurred along these basal planes in their new position, and, therefore that fractures previously regarded as prismatic were in reality basal. Such findings are of great significance and they raise a question as to the generality of such behavior. Professor Mathewson's opinion is that even the slender cylindrical single crystals behave in the same manner as his large rectangular crystals when strained by simple tension.

Jan 1, 1928

By Robert K. Steunenberg, Irving Johnson, James B. Knighton

The activity coefficient of plutonium in liquid magnesium, over the temperature range 650° to 800°C, was obtained from measurements of the distribution of plutoninm between a 50 mole pct MgC12-30 mole pct NaCl-20 mole pct KC1 molten-salt mixture and liquid Zn-Mg alloys. For dilute solutions (0.08 at. pct Pu) the activity coefficient of plutonium was found to vary from 10.1 at 650°C to 12.2 at 800°C. The activity coefficients of plutonium in dilute liquid solutions of plutonium in uranium, silver, lanthanum. cerium, and calcium were estimated to be. The distribution data indicate a value of about 0.1 at 800°C for the activity coefficient of PuCl3 dissolved in the above ternary salt mixture. LIQUID magnesium and several liquid alloys of magnesium with metals such as zinc and cadmium have been shown to be useful solvents in pyrochemical processes for the recovery of uranium and plutonium from discharged nuclear fuels,' and for the separation of transuranium elements.' The present study was undertaken to determine the activity coefficient of plutonium in liquid Pu-Mg alloys in support of process-development work. The activity coefficient of plutonium in liquid magnesium was determined from experimental data on the distribution of plutonium between a liquid ternary MgC12-NaC1-KC1 salt mixture and various liquid Zn-Mg alloys. The distribution data were used to calculate the ratio of the activity coefficients of plutonium in liquid zinc and in liquid magnesium. The activity coefficient of plutonium in liquid magnesium was then computed from the known activity coefficient of plutonium in liquid zinc. It was not necessary to know the thermodynamic properties of the molten-salt system explicitly. The major features of the Pu-Mg system have been reported by Schonfeld.3 At the temperatures of interest in the present study, i.e., above about 600°C, the phase diagram indicates the existence of a wide liquid-miscibility gap, with the plutonium-rich liquid containing about 8 at. pct Mg and the magnesium-rich liquid containing about 10 at. pct Pu at the intersection with the solidus regions. Additional data on the compositions of the two equilibrium liquid phases obtained in this laboratory4 have defined the miscibility gap up to the consolute temperature (at about 1040°C). EXPERIMENTAL PROCEDURE AND RESULTS Materials. The 50 mole pct MgC12-30 mole pct NaC1-20 mole pct KC1 salt mixture was prepared by melting the required proportions of reagent-grade NaCl and KC1 with anhydrous MgC12. The molten salt was then purified by contacting it with liquid Cd-30 wt pct Mg alloy (at 450°C) to reduce oxidizing impurities, followed by filtration through a stainless-steel frit (pore size, 65 µ) to remove solid MgO formed during the reduction. The purity specifications of the zinc, magnesium, and plutonium were 99.999, 99.8, and 99.85 pct, respectively. Apparatus. The liquid salt and metal were contained in a tantalum crucible inside a graphite secondary vessel. The crucible assembly was located inside a resistance-heated stainless-steel furnace tube. The furnace tube was closed by means of a stainless-steel cover, which was attached by bolts, with a neoprene O-ring serving as a gas-tight seal. The top of the furnace tube was water-cooled to protect the O-ring. The furnace-tube cover was provided with a tantalum thermowell, a tantalum stirrer, and a port through which sampling tubes could be inserted and materials could be added to the melt without admitting air to the furnace tube. Vacuum and an argon atmosphere were available through a side-arm on the furnace tube. The furnace temperature was regulated by a proportional controller that was actuated by a chromel-alumel thermocouple between the furnace tube and the heating elements of the furnace. The melt temperature was measured by means of a chromel-alumel thermocouple in the tantalum thermowell. The accuracy of temperature measurement was ±3°C. The salt and metal phases were intermixed by a motor-driven tantalum paddle positioned at the liquid interface. The tantalum crucible was provided with four baffles to increase the turbulence. The sampling tubes consisted of 1/4-in.-OD tantalum tubing that terminated in a tantalum frit (Kawecki Chemical Co.; average pore size, 30 µ). Procedure. The zinc, magnesium, plutonium, and salt were charged to the tantalum crucible; then the system was evacuated and filled with argon. The melt was brought to the desired temperature, and agitated for 1 to 2 hr. After allowing the salt and metal to separate, both phases were sampled. Filtered samples were obtained by immersing the end of the sampling tube in the liquid and increasing the argon pressure sufficiently to force the liquid salt or metal through the frit into the tantalum tube. The sample was then partially withdrawn into the cooler portion of the furnace tube and permitted to solidify before being removed. The temperature sequence for sampling at each magnesium concentration was 800°, 700°, 600°, 650°, and 750°C. The composition of the liquid-metal phase was varied by incremental additions of magnesium in a series of experiments at low magnesium

Jan 1, 1967

By R. L. Ash, R. R. Rollins, C. J. Konya

An investigation was performed to determine conditions for optimizing the spacing of simultaneously initiated multiple explosive columns. This was done by using models of mortar, dolomite, and Plexiglas with 10-grain mild detonating fuse as the explosive charge. It was desired to simulate blastholes with multiple primers initiated by detonating fuse or when high-velocity explosives are used in low-velocity materials. It was found that optimum spacing between multiple charges was strongly influenced by charge length. At less than optimum charge length, the spacing at which complete shearing was possible between adjacent charges decreased exponentially with a subsequent loss of broken material volume. For charges fired simultaneously, larger burdens and spacings were possible as compared to those necessary for single-crater charges. For each material studied, there was a characteristic optimum charge length and a maximum attainable spacing at any given burden. Proper selection of the spacing distance between charges is fundamental to successful blasting. Its value directly affects the cost of drilling and explosives used per unit of broken material. In addition, the choice of a spacing that is Compatible with a given set of blasting conditions aids in the control of fragmentation sizing, ground vibrations, overbreak, and throw which in turn, influence other production costs. For example, normally loaded blastholes that are spaced too closely invariably promote overbreak and usually give coarse fragmentation. Unless care is taken, airblast and violent flyrock will occur and under certain conditions cutoffs and misfires may result. Too large a spacing, on the other hand, frequently leads to conditions that form bootlegs or toes. The choice of a particular spacicg to use, however, is largely a matter of individual experience and judgment, usually based on trial and error. Very little is known or can be found in the literature with regard to how the spacing between charges is related to field conditions and charge geometry. As a general rule, the firing time sequence of adjacent charges and properties of a material are thought to have the most significant influence on the spacing distance best suited for any given field condition. For example, delayed initiation of adjacent charges usually always requires a closer spacing than when charges are fired at the same time. This should be expected if one considers that the energy normally dissipated and lost in the surrounding ground from charges fired independently would be captured and utilized for breaking material between charges when they are initiated together. Spacing can be extended also when charges are aligned with structural planes of a material, such as jointing, along which shearing is relatively easy. It is customary to relate the spacing (S) between charges to their common burden (B) in the form of a spacing ratio, or SIB. The burden normally is considered as the optimum depth or distance from any single charge perpendicular to the nearest free or open face at which the desired fragmentation and maximum crater yield are obtained. For production blasting, value of the ratio is generally considered to vary from 1 to 2, depending on conditions.1-6 When adjacent charges are fired independent of one another, the value varies from 1 to about 1.4, the closer amount being employed to square corners or produce craters having the ideal 90" apex angle. The larger ratio is the geometric balance value for craters having an apex angle of 135". The basic ideal crater forms in the plane of the charge diameter for charges fired independently are shown in Fig. 1. In the event charges are fired simultaneously, geometric balance in the plane of their charge diameters suggests that a spacing ratio near 2 would be appropriate, as illustrated by Fig. 2. In practice, however, some compromise ratio value must be selected to conform with the specific ground conditions. An example would be where the jointing planes tend to produce 60° or 120° crater angles, the appropriate geometrically balanced charge arrangement being given by Fig. 3. In this condition, the spacing ratio is 1.15, not 1 or 1.4 as suggested for the 90° cratering of independently fired adjacent charges. In view of the foregoing, it would seem logical to assume that whenever charges all having the same burden are fired at the same time, spacing distances always can be greater than those permitted by charges fired independently. In practice this is not the case, however.

Jan 1, 1970

By Morris E. Fine, Richard A. Kloske

The stress-strain beha1,ior in tension of Au-Ag alloy single crystals containing nominally 1,3, 5, 95, 97, and 9.9 at. pct Ag was studied uS strain role and lektlperalure down lo 4.2K. A slrain aging yield hob lc,rrs observed on aging under stress in the temperature range 30° lo 75°C. The species diffusing to the dislocation is thought to be a divacancy-solute complex wilh /he. solute then pinning the dislocation by short-Range ovdering and possibly Suzuki locking. At room tempevullcve the critical reso1ved shear stress .follo~c.s an empirical equation of the form tc = A +Bc' where A and B are 90 and 420 ,g per sy mm tor gold base alloys and 60 and 510 g p~r sq )11ttz .tor si1ver base alloys. This strengthening was attributed to a long-range size ejtect. The alloy slrenglliening at i.2'K is greafer than at room temperature. The additional atrloutzf was altribuled lo a uwak skovl-range i?~levacIion between the solute and dislocallon cove. The activation energy .tor deformation a/ 4.Z0h7 decreases on alloying. 11 increases irr other fee systetns. hi the 5 at. pcl Air-Ag- alloy in pmvlicular there is very extensive easy glide and lavge overshooting- of the synmetry line at 4.Z°K. There is also u sharp decrease in the vale of. strain hardenitlg near the widdle of stage II with the new rate bezng abold the sarne as tlzal In easy glide. This uws attributed to a sudden reduction of activity on the pvitrrarg sgstertr. In Au-Ag alloys the critical resolved shear stress Tc. at room temperature is essentially a parabolic function of atomic concentration:' the 50 at. pct Ag-50 at. pct Au alloy is about 10 times stronger than the pure metals. This strengthening occurs in spite of the similarity in valence and atomic size. Solid-solution strengthening in fcc metals is characteristically greater at low temperatures than at room temperature. In Ag-10 at. pct Au and Au-10 at. pet Ag; r, (20.4K)/Tc (300°K) is 2.3 and 2.5. respectively.- compared to 1.2 in pure silver.3 Suzuki' and Flinn5 explained the alloy strengthening at room temperature as a combination of Suzuki locking and short-range order hardening. The agreement between the computed and measured strengthening was very good: however, in Ag base-A1 alloys Hendrickson and Fine6 concluded that Suzuki locking resulted mainly in a yield drop effect. Recent reviews of the solid-solution strengthening in fcc metals by Fleischer2 and Haasen8, 9attributed the strengthening at room tenl-perature to the combined effect of atom nlisfit and change in shear modulus 011 the long-range stress field surrounding a dislocation. The parameter used by Fleischer was The shear tnoduli of Ag-0 to 6 at. pct Au alloys were measured by Pur-wins. Labusch. and Haasen.In While addition of 4 at. pct Au caused an appreciable increase in the C,, elastic constant. there was a decrease on increasing the solute to 6 at. pct Au: C,, and C :: were not measured in the 6 at. pct alloy. The greater solution hardening at low temperatures implies the presence of short-range interactions between the solute atoms and dislocations These include size and electronegativity effects. Whether the extra alloy strengthening at low temperatures is due to locking or friction hardening is still a controversy."".' In the present research the stress-strain behavior of Au-Ag single crystals containing 1 to 5 at. pct Ag and 1 to 5 at. pct Au was measured vs strain rate and temperature down to 4.2' K. Particular attention was paid to yield drop effects. These have not been previously reported. PROCEDURES The alloys were supplied by the Engelhard Industries. Inc.. as strips 0.050 by 0.250 by 12 in. The compositions are given in Table I. Single crystals were grown under static vacuum using a traveling molten zone technique. Crucibles shaped to the size of the strips were made of high-purity graphite prebaked for 24 hr at 1100°C in vacuum. The crucible and its charge were placed in

Jan 1, 1970

By Gilbert Soler

Producers of alloy steels recognize the importance of chemical composition in relation to the hot-working properties and the typical surface defects found in their product. Each analysis of steel has its own peculiar characteristics. Under conditions of standard mill practice each analysis is susceptible to certain types of defects. Mill practice must be varied to obtain the best combination of surface and internal quality in the product. Chemical composition influences the cast structure and crystallization characteristics of the ingot. It also determines the rate of heating and cooling, the plastic hot-working range, and the phase structure of the steel at various temperatures. as well as the tendency toward scale formation and decarburization. This paper endeavors to emphasize the manner in which chemical composition affects the various properties of steel, and to indicate the relative importance of these factors in relation to the hot-working properties and surface characteristics of killed steel. The influence of chemical composition may be outlined as follows: I. Effect on the cast structure of steel, including: A. State of deoxidation, and type of inclusions. B. Gas content of steel. C. Freezing point and melting point of steel. D. Crystallization characteristics and segregation. 11. Effect on the hot-working properties and surface characteristics of steel, including: A. Plastic hot-working range. B. Phase structures at hot-working temperatures. C. Rate of heating. D. Cooling characteristics. E. Scale formation. F. Surface decarburization. EFferect of Chemical Composition on Cast Structure of Steel State of Deoxidation and Type of Inclu-sions.—The state of deoxidation is limited by the final chemical analysis desired in the finished product, and is controlled primarily by carbon, manganese, silicon, and aluminum, and to a lesser degree by chromium, titanium, vanadium, or other deoxidizing elements. The degree of deoxidation affects the density of the cast structure and broadly classifies the steel as killed, semikilled, or rimming. This in turn manifests itself in surface characteristics. The manner and extent of deoxidation also controls the amount, type, and distribution of nonmetallic inclusions formed. The equilibrium of manganese, silicon and aluminum with the slags and pouring refractories with which the metal comes in contact is important, especially in regard to inclusions of fire-clay origin. Some surface Seams and hot-working difficulties can be traced to nonmetallic inclusions.

Jan 1, 1941

By R. D. Pehlke, J. V. Gluck

A study was made of' the effects of up to five additional solutes on the thermodynamic activity of zinc in dilute solution with molten bismuth in the range 450" to 650°C. The experimental measurements were made in a multielectrode galvanic cell apparatus employing fused LiCl-KCl as the electrolyte. The solute additions included indium, lead, tin, cadmium, copper, silver, antimony, or gold. A range of positice and negative interactiotls with zinc was covered. The experinzer~tal observations were cowlpared with the activity coefficients calculated usitlg either Wagner's first-order Taylor series rnodel or a proposed second-order solution itrteraction model. hi general, the truncated first-order Taylor series proposed by Wagner gaue good results for "dilute" solutions (XBi > 0.90) contaitzing up to six solutes. The second-order model, which includes a second-order cross-interaction term, produced a slight improvement in predictions for solutions with XZn = 0.015 and a significant improvement for solutions with XZn = 0.050 hear the limit of Henry's law region). Seveval of the quaternary solutions studied contained a total solute content of 0.215 mole fraction, and fairly good success was achieved in predicting the activity coefficient 01- zinc. ThE study of thermodynamic interactions between dilute solutes in liquid metallic solutions has occasioned much recent interest. It is useful to recall in this respect that Wagner's well-known expression for the activity coefficient' is a practical application of the problem of representing a given function, i .e., In ?, by means of a sequence of polynomials. No specific physical model of a solution is involved in its use. As suggested by Wagner, a Taylor Series is used to expand In ? about a point of infinite dilution with respect to all solutes. The partial differential coefficients of the series have been termed "interaction parameters". Various authors'-6 have proposed formalisms for parameters, the definitions being designed to meet some specific experimental or physical condition. A usual assumption is that terms above first-order in the Taylor Series may be neglected. In that case, the logarithm of the activity coefficient is expressed as a linear function of solute concentrations. The resulting expression is presumed valid for any number of additional solutes as long as the solution can be regarded as "dilute". This assumption can be termed "the hypothesis of additivity". However, experimental tests of that hypothesis for quaternary or higher-order solutions have been extremely limited. Primarily such tests have been confined to studies of effects of added metallic elements on either the activity of carbon or the solubility of gases in liquid iron.7-13 The only known previous study of an all-metal system is the limited work of Okajima and pehlke14 on the effects of multiple solute additions on the activity of cadmium in liquid lead. The present investigation is a portion of the work to determine the effects of various solute additions on the activity of zinc in dilute solution with molten bismuth in the range 450" to 650C It was shown for such ternary solutions that second-order Taylor Series terms could be evaluated at the same time as first-order terms, with no additional experimentation required. A second-order solution model was described which, under certain conditions, is a rigorous representation of solute activity in a ternary solution. (In the sense employed in this paper, the term "model", as distinguished from "equation", is taken to mean an empirical correlation or formalism, but not a hypothetical physical system per se.) Presumably such a model could be extended to produce a better representation of In ? in solutions of even higher order. The feasibility of a generalized Taylor Series approach to solution interactions and inclusion of second-order terms also has been discussed recently by Lupis and Elliott in independent work concurrent with the present investigation. In addition, they discussed empirical means of estimating certain second -order coefficients.17 The utility of such solution models rests on the ability of a truncated series to represent adequately the experimental facts in multicomponent solutions. Questions that arise include: Do the second-order terms really make a significant contribution? How far away from "dilute" solution may such models be applied? Are the types and varieties of the additional solutes important? among others. In order to provide some answers to these questions, an experimental study was made of the effects of two or more additional solutes on the activity of zinc in dilute solution with molten bismuth. Comparisons were then made with calculated activity coefficients obtained using the previously determined ternary interaction parameters. INTERACTION MODELS As an example of the approach to defining activities in multicomponent solutions, consider the Taylor Series expansion for a quaternary system, i.e., three dilute solutes. Writing terms through second order, the result is:''

Jan 1, 1968

By Gilbert Soler

Producers of alloy steels recognize the importance of chemical composition in relation to the hot-working properties and the typical surface defects found in their product. Each analysis of steel has its own peculiar characteristics. Under conditions of standard mill practice each analysis is susceptible to certain types of defects. Mill practice must be varied to obtain the best combination of surface and internal quality in the product. Chemical composition influences the cast structure and crystallization characteristics of the ingot. It also determines the rate of heating and cooling, the plastic hot-working range, and the phase structure of the steel at various temperatures. as well as the tendency toward scale formation and decarburization. This paper endeavors to emphasize the manner in which chemical composition affects the various properties of steel, and to indicate the relative importance of these factors in relation to the hot-working properties and surface characteristics of killed steel. The influence of chemical composition may be outlined as follows: I. Effect on the cast structure of steel, including: A. State of deoxidation, and type of inclusions. B. Gas content of steel. C. Freezing point and melting point of steel. D. Crystallization characteristics and segregation. 11. Effect on the hot-working properties and surface characteristics of steel, including: A. Plastic hot-working range. B. Phase structures at hot-working temperatures. C. Rate of heating. D. Cooling characteristics. E. Scale formation. F. Surface decarburization. EFferect of Chemical Composition on Cast Structure of Steel State of Deoxidation and Type of Inclu-sions.—The state of deoxidation is limited by the final chemical analysis desired in the finished product, and is controlled primarily by carbon, manganese, silicon, and aluminum, and to a lesser degree by chromium, titanium, vanadium, or other deoxidizing elements. The degree of deoxidation affects the density of the cast structure and broadly classifies the steel as killed, semikilled, or rimming. This in turn manifests itself in surface characteristics. The manner and extent of deoxidation also controls the amount, type, and distribution of nonmetallic inclusions formed. The equilibrium of manganese, silicon and aluminum with the slags and pouring refractories with which the metal comes in contact is important, especially in regard to inclusions of fire-clay origin. Some surface Seams and hot-working difficulties can be traced to nonmetallic inclusions.

Jan 1, 1941

By E. P. Abrahamson, S. L. Lopata

A general relalionship between the amount of glide shear (due to slip) and the macroscopic shape change has been developed. Since the deformation can be large, finite strain analysis is employed. In this treatnzent, the shape change is expressed by a deforlnation gradient matrix, F - [axi/aXj/ where X and x refer lo the initial and final positions of a particle. This matrix is readily evaluated in termas of the amounl of glide shear, a , and the direction cosines of the slip-plane normal and the slip direction for a single active slip systena. In the case of deforma tion from slip on several systems, the product F(a) of the several deformation gradient matrices is first calculated. Then, by assuming that the final configuration is reached by a long series of small shears of magnitude a, occurring more or less alternately in the several slip sys- IN problems of crystal plasticity, it is often necessary to relate the amount of glide in the operating slip systems to the macroscopic strain components. This relationship is relatively simple when only small strains are considered. In this case the separate strain contributions from several slip systems are additive. Such a procedure is incorrect in the case of large plastic deformation. To the authors' knowledge, no general treatment of the latter problem has appeared in the literature. In specific instances, Mark, Polanyi, and schmid3 have derived the relationship between glide and axial elongation during tensile pulling of a single crystal when only one slip system is active. A similar relationship for duplex slip was worked out by v. Göler and Sachs.4 Taylor and Elam1 have also studied in detail problems of large plastic deformation. Due to uncertainties as to the slip systems at the time, ! terns, the final deformation gradient matrix can be obtained. Mathematically, the problem is reduced to finding the limit of F(aN as N — m while a — 0 in such a way that the Product Na = a finite conslant designatzng the accumulated amount of shear. It turns out that this limit is simply eafF1, where F, is the matrix whose elements are the coefficients of a in the F(a) twatrzx. Application is made of the present treatment to a fcc crystal of Permalloy compressed on the (110) plane and contrained to elongate in the [112] directzon. In addition, it is shown that one rnay readily obtain from the general analyszs the well-known formulas relating elongation, amount of glide shear, and amount of lattice rotation for crystals deforming by single and double slip under tension. however, they were mainly concerned with proving that slip occurs on {111}(110) systems in fcc metals. The present general treatment arose out of recent investigations of magnetic anisotropy in cold-worked Fe-Ni alloys6 as well as some related problems in strength anisotropy of single crystals.' Detailed application of the general analysis will be provided in the case of a Permalloy single crystal compressed on the (110) plane and constrained to elongate only in the [112] direction. It will be seen that, as expected, the small strain approximation leads to significant errors after moderate straining. It will also be shown that the present general treatment yields the formulas of Mark et al. and of v. Goler and Sachs in those specific cases. GENERAL CONSIDERATIONS Consider a homogeneous deformation in which a material point initially at moves to (xl,xz,x3), both positions being referred to the same set of Cartesian axes. Such a deformation can be

Jan 1, 1967

By F. C. Langenberg

It is the purpose of this paper to present a limited amount of experimental data obtained on the Charpy impact machine. Several concrete examples will be given showing the relation existing between the results obtained upon the Charpy impact machine and the behavior of the parts tested when in service. Although it is pointed out by G. Charpy and A. Cornu-Thenard1 that it is first necessary to determine a satisfactory working process before studying the correlation between the results of these tests and the behavior of the parts tested in service, this ideal course cannot be strictly adhered to. If a certain part repeatedly fails in service and the available tests give no indication of its cause, advantage must be taken of any possible means that will solve the problem; therefore, even though the reliability of the results obtained by the Charpy impact machine have been questioned by many, it was necessary to use this instrument without giving careful consideration to its possible sources of error. It would seem that the conclusions arrived at by Charpy -and Cornu-Thenard justify the assumption that the precision obtained by this machine is comparable to that obtained by the other more common forms of testing. The second general conclusion arrived at by them, namely, that the impact test upon notching does not offer any direct correlation to the ordinary tests, is also borne out by many hundred determinations made in the laboratories at Watertown Arsenal. This statement, however, should be qualified as follows: Other ordinary tests include the static tensile test from bars taken in a longitudinal direction and the Brinell hardness. The author agrees that no law is yet known for the computation of the energy absorbed in the rupture of bars of the same material but of different dimensions. Although Charpy and Cofnu-Thenard do not refer in their valuable article to the use of the Charpy machine in industrial practice, it should be stated that this instrument has been in constant use in the laboratory at Watertown Arsenal for several years, and is now employed for both routine and experimental testing.

Jan 1, 1920

By Canada Ernst & Whinney

INTRODUCTION The principal objective of this chapter is to provide guidance in understanding and making effective use of published financial statements of mining companies. Although financial statements only represent a gathering together of information relevant to an enterprise's financial position and results of operations, they increasingly reflect the complexities of the modern day business environment. In the mining industry, a wide variety of accounting practices have evolved to deal with the unique aspects of the business in the absence of authoritative accounting pronouncements from standard-setting bodies. Given such complexities and divergent practices, financial statements of mining companies are not easily understood and cannot be used effectively as a tool in decision-making without a basic knowledge of fundamental accounting concepts, generally accepted accounting principles and their application in the mining industry. As such, this chapter is not restricted to a discussion of the accounting for the unique aspects of the mining industry. These aspects are dealt with at length but the text also includes a discussion of general accounting concepts and practices which have wide application in the mining industry. Frequent references are made in the text to international practices and to specific rules and requirements of individual countries. In this respect, the scope is restricted to four major mining environments, Canada, the UK, the US and Australia, all of which have made significant contributions to the development of generally accepted accounting principles. Acknowledgements This chapter was prepared under the direction of Ian Murray of Ernst & Whinney in Toronto, Canada. Contributions were received from Graham Butt, Mark O'Sullivan and Dominic Robinson, all from Ernst & Whinney in Toronto and Bill Duvall and Tom Schoenbaechler from Ernst & Whinney in Louisville, Kentucky, US. The authors would also like to acknowledge the assistance received from David Ferguson, Don MacLean, David Taylor and Susan Zoutman from Ernst & Whinney, Toronto, from the UK and Australian practices of Ernst & Whinney and from Ernst & Whinney International. FINANCIAL STATEMENTS - ELEMENTS AND CONCEPTS Financial statements were originally a stewardship report to owners to satisfy them that management had given a proper account of the resources with which it had been entrusted. Today, the number of users of financial statements has expanded to include the following groups: - shareholders, present and prospective; - lenders, present and prospective; - financial analysts; - regulatory authorities; - taxing authorities; - labour unions and employees; and - creditors and customers. The expectations of these user groups differ. For example, investors and lenders require information that will indicate the adequacy of their security and the profitability of the enterprise; taxing authorities will be concerned with the concept of income; labour unions and employees will focus on the profitability of the enterprise. Ground Rules for Preparing Financial Statements Responsibility for Financial Statements Financial statements are the representations of management. This may strike the reader as a rather obvious statement. It is important to remember, however, the role of judgment in accounting. Notwithstanding the promulgation of accounting standards in the developed countries, considerable flexibility remains in the selection of accounting practices and methods and in their presentation. Arguably, there is more flexibility in the mining industry as few countries have developed standards to deal with its unique aspects. Accordingly, financial statements are as much a product of management's perspective and philosophy as they are a compliance document.

Jan 1, 1985