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By Barry S. Epstein

Financing the acquisition of a going coal mine operation has not had the exposure other finance-oriented projects have had. Therefore, C.I.T. feels that coal mining people and financial people should improve their understanding of the factors involved in this important type of acquisition. The discussion consists of two major subjects: analysis of the acquisition of the property, and sources and terms of funding the acquisition. Source and Terms of Funding There is a need to keep the competent medium-sized independent operator in the coal business, especially in these times of energy shortage. The creation of a resale market for coal mines encourages new investment in the coal mining business by medium-sized operators and their financial backers. Who provides debt and equity financing to acquire going coal mine operations and on what terms?

Jan 9, 1975

By William Glenn

The taking of proper samples of crude ores seems to he less thoroughly understood, or less carefully practiced, than its impor tance requires. We all know how often we encounter the reports of very accurate assays and analyses, the weight of which as evidence wholly depends on the method of obtaining the sample, and is very probably nil, because there has been no proper sampling. Pissages might be cited from technical books, and from current technical literature (all the work of writers whom we delight to honor) to show that even among high scientific authorities there is too little acquaintance with the practical art of the sampler. There is no metallurgical or chemical establishment which does not frequently receive samples truly representing nothing. They consist usually of bits of ore, or what not, selected because they are worse or better than the average of what they are meant to represent. And they are worthless, no matter who made the selection. Where conscious choice is permitted to enter into the operation, a fair sample will not result, unless by a miracle. The work of sampling is often looked upon as within the realm of boys and of pensioners only. At least, though the manual labor be left to subordinates, the principles on which it is conducted and the safeguards with which it is surrounded are not unworthy of the study of experts; and experts should he ready to teach these principles and enforce them in practice. For exact sampling is the indispensable first step towards learning the value of any boxful, carload or shipload of ore. I propose to give a simple account of the method of sampling by hand, such as I have always pursued. There is nothing new about it. So far as I know, it is the immemorial old method, as old at least as Cornish copper-mining. Perhaps my fellow-members in the Institute may suggest improvements in it. If not, it will constitute a record in our Transactions to which laymen and beginners may be referred.

Jan 1, 1892

By Jerry G. Rose, Robert C. Howell

This paper addresses a process by which both the disposal and utilization of preparation plant coal refuse can be simultaneously accomplished with an attendant benefit of significantly increasing the percentage of extractable coal. A laboratory study is described in which coal refuse was successfully utilized as an aggregate in low cost concrete (coal-crete) mixes under simulated mine environments. Coal-crete specimens with compressive strengths of 14 000 kPa (2000 psi) were consistently produced. A construction sequence and mining plans are offered for placing the low-cost coal-crete pillars in accessible areas in room and-pillar mines so that a substantial portion of the remaining coal pillars could be extracted. The method could be applicable in areas where mining procedures do not permit pillar extraction became of possible surface subsidence, roof problems, or other conditions. Possible structural difficulties with the coal- crete pillar support system are discussed. Using a discounted cash flow analysis, the economic feasibility of mining with the coal-crete pillar system is investigated. The cost of the system is compared to the cost of a mining system which would have less coal recovery. The analysis indicates that although at higher coal selling prices the coal-crete mining system may yield an acceptable rate of return, the alternative of leaving the coal pillars is more attractive at the present time.

Jan 3, 1979

By E. Bicknese, R. Clark

The mechanism and rate of reduction of FeO at conditions similar to those in the stack of a blast furnace have been determined for temperatures from 980" to 1165°C. Preliminary studies of the reduction of Fe2O3 with activated coconut charcoal in a static system (no flow of reducing gas) have shown that the CO2-CO ratio of the product gas depends upon the relative reactivities of the Fe2O3 and charcoal. In a systern with a "hot blast" of CO and Nz (simitar to dry bosh gas), synthetic FeO, and actiuated coconut charcoal, the rate of reduction was not sensitive to the flow of reducing gas, and the rate-controlling step alas the chemical reaction at the metal-oxide interface. Wherz solid carbon was not present, a critical flow rate of reducing- gas had to be met in order to prevent a lowering of the reduction rate. The effect of a less-reactive carbon (blast-jurnace coke) and of a "natural" FeO on the mechanistn and rate, and the mininum amount of carbon necessary in the charge to tnaintain the reducing potential of the gas phase, have been determined. THE importance of iron oxide reduction processes has encouraged many studies of the process reaction kinetics. Despite this, the mechanism is not well-understood and three main theories have evolved, which can be stated as follows: A) the rate-controlling step is diffusion, either gaseous diffusion of the reductant or product gas through a porous solid,' or solid-state diffusion of iron and oxygen atoms through the so1id.2 B) The slow step is diffusion of reducing gas through a stagnant boundary layer. C) The reaction rate is controlled by the chemical reaction occurring at the metal-oxide interface and is proportional to the area of this interface.3 By increasing the velocity of the reducing gas to a flow rate beyond which no increase in the reduction rate is observed, critical flow rate, it may be possible to eliminate B as the slow step. However, as warnere points out, the establishment of a critical flow rate may only assure that the reaction is not limited by a reduction in the reducing potential of the gas and that B may still be the rate-determining step. Edstrom and Bitsianes and Seth and Ross8 show that A and C may both be correct for the reduction of the same oxide, depending upon the stage of the reduction, and that the relative importance of the two mechanisms varies with the porosity of the oxide. Themelis9 has derived expressions which express A, B, and C in terms of the fraction reduction, Rx, of a spherical particle. Thus, in the case of A a plot of In (1 - Rx) vs time must be linear and the time to reach a given reduction is proportional to the square of the particle diameter. For B a plot of (1 - Rx) vs must be linear and the time to reach a given reduction is proportional to the square of the diameter. For C a plot of 1 - (1 - RX)1/3 vs f must be linear and the time to reach a given degree of reduction should be proportional to the diameter. In the case of mixad controlled reactions, none of the plots are linear over their entire length. The results of previous studies, in which the rates of gaseous reduction of iron oxide were measured in the absence of carbon, may not correspond to blastfurnace practice because they ignore the effects of the Boudouard reaction. CO2 +C — 2CO The presence of carbon may alter the mechanism or the rate of iron oxide reduction through an enrichment of the gas phase by Eq. [1]. In this case, the presence of and reactivity of carbon become important. If the Boudouard reaction has no effect on the rate of reduction, the reducing gas could be supplied by some means other than the gasification of carbon at the tuyeres and carbon could, theoretically, be eliminated from the burden. Preliminary studies of the reduction of Fe2O3 with activated coconut charcoal were made to determine if the reactivity (surface area) of the Fe2O3 had any effect on the product gas composition. Two size fractions of Fe2O3 were reduced with charcoal in a static system (no flow of reducing gas). In each case the charcoal was -100 + 325 mesh and was 25 pct of the total charge. One fraction of the reagent-grade Fe2O3 was submicron in diameter. The other fraction was -100 + 200 mesh and was prepared from the former by compacting, sintering at 1300°C, crushing, and screening. In each experiment, the reaction vessel was filled with a mixture of CO and CO, which would be in equilibrium with FeO and iron at the reaction temperature. A furnace was heated to the desired temperature, the vessel was placed in the furnace, and the gaseous products of the reaction were collected and analyzed. The results of these experiments, Fig. 1, show that the gas phase associated with the submicron oxide is more oxidizing than that with the -100 + 200 mesh oxide. Therefore, in a static system, the relative rates of the reduction reaction and the gasification of carbon depend upon the reactivities of the Fe2O3 and charcoal. The reduction of FeO to iron is the most important reaction occurring in the blast furnace and is probably the slowest of the several reduction steps. The mechanism and rate of reduction of FeO in a system containing carbon and a flow of dry bosh gas have been studied. TRANSACTIONS OF THE METALLURGICAL SOCIETY OF AlME

Jan 1, 1967

IN the early period of steelmaking, ingot structure and segregation were of no practical importance. Crucible melting required very small ingots that gave little segregation, and a small inserted hot top prevented pipe. As larger ingots were poured from bessemer converters and open-hearth furnaces, segrega- [ ] tion, piping, and gas evolution became increasingly important. The techniques of making semikilled and rimmed ingots were developed with little knowledge of the actual mechanism of the process. The first studies of solidification were made by the Brearleysl and Gathmann,2 who used stearine to show the effects of shrinkage and mold shape. Fig 11-1 is a picture of a series of stearine ingots at various stages of solidification. These studies showed that the liquid solidifies at a nearly uniform rate from the sides and bottom of the mold and demonstrated the formation of

Jan 1, 1951

CONTENTS PAGE WARNER, ROBERT K.-Efficiency of Screening. Discussed by Robert C. Canby,Robert K. Warner, W. 0. Borcherdt, V. E. Flanagan 1 FAHRENWALD, A. W.-Surface Reactions in Flotation. Discussed by Arthur F. Taggart, A. M. Gaudin 7 Efficiency of Screening Discussion of the paper of ROBERT K. WARNER, presented at the New York Meeting, February, 1924, and issued, as Paper No. 1293-M, with MINING AND METALLURGY, January, 1924. ROBERT C. CANBY, Wallingford, Conn.-On page 2, the author speaks of the importance of using a testing sieve clothed with the same material as the screen being studied; does he regard this as essential? In practice, how does the screen efficiency calculated by the difficult-grain method compare with those computed by the usual undersize method? Is it possible by the author's method, to obtain a measure of efficiency that can safely be compared with that of another screen sizing a different ore? ROBERT K. WARNER.-The use of a testing sieve clothed like the mill screen being studied is desirable but not essential for routine work about a mill where the character of the feed varies little, as regards the shape of the grains and the sizing test. Close agreement in size of aperture between the sieve and the screen is, however, important if the data obtained are to be valuable to others working on a different feed. If the testing sieve is coarser than the mill screen, the efficiency will appear unfairly low; whereas if it is too fine one might get efficiencies greater than 100 per cent. because of the apparent oversize in the undersize. In either of these cases the usefulness of the difficult-grain method of calculation would be reduced. As screens wear, the undersize grows appreciably coarser so that it is desirable to test screens only when the cloth is new or else to provide testing sieves that are worn about the same amount. The futility of making efficiency observations on a. distorted or broken screen surface is obvious.

Jan 6, 1924

By William Plank

IN PAST YEARS, engineering educators and others have been able to study the problems relating to en-gineering education in the United States with only inadequate and, frequently, inaccurate data at their command. For the first time there is now available fairly full and accurate information on this subject, gathered and compiled by the Board of Investigation and Coordination of the Society for the Promotion of Engineering Education. This board, of which W. E. Wickenden is the director, has for the past four years been carrying out fact-finding investigations into "the objects of engineering education and the fitness of the present day curriculum," under a grant of funds from the Carnegie Corporation of New York. Twelve bulle-tins have already been published by the board and others are in the process of preparation. The studies made, thus far, have been of the various phases of engineering education in general as well as of the major branches of engineering. Within the past year. the board has completed a study of mining engi-neering education by means of a questionnaire sent to members of the Institute. A special committee, con-sisting of Charles E. Locke, Allen H. Rogers and the writer, cooperated with the board in drafting certain parts of the questionnaire and in selecting the mailing list. Similar studies have been made through the mem-bers of the four other national societies. The results of these studies have been published only in mimeo-graphed form, therefore, in order to place the data before the members of the Institute an incomplete sum-mary of the replies to the A. I. M. E. questionnaire is here given. The full report will be available for distri-bution at the annual meeting in February. The questionnaire was sent to 306 members of the Institute, a proportion about equal to the proportion of the membership of the other national societies can-vassed; 152 members replied to the questionnaire, 55 per cent of whom had received college degrees in some branch of engineering connected with the mineral in-dustry. Forty-seven educational institutions were rep-resented in the replies. Seventeen different positions were held by the members who replied, with 24 con-sulting engineers at the head of the list, 20 managers, 16 superintendents, 11 presidents, 10 professors, 6 deans, and others.

Jan 1, 1928

By R. V. Smith

The theoretical background for calculating friction factors for flow in gas wells by two methods is presented. The first method, requiring pressures, temperatures and specific volumes of the flowing fluids at various depths in the well bore, shows how the mechanical-energy-balance equation for vertical flow may be graphically integrated over the actual path of the expansion of the fluid in the well. Thus, assumptions regarding the effective temperature and effective compressibility of the fluid in the well are avoided. The second method presents an equation derived on a basis of the assumptions that both the temperature and the compressibility are fixed at constant effective values throughout the flowing column of gas. The second method provides a convenient and practical means of calculating friction factors for gas wells and lends itself readily to the problem of calculating subsurface pressures in a flowing gas well. The application of both methods to actual test data taken on a flowing gas well is illustrated in the paper. INTRODUCTION As friction factors for the producing strings of flowing gas wells cannot be measured directly and must be calculated from flow-test data, study of the methods of arriving at friction factors is a necessary adjunct to understanding the characteristics of flow in gas wells. There are two methods of calculating friction factors for gas wells; they differ from one another mainly in the treatment of the path of expansion of the fluid in the well. In the flowing well, the energy consumed in lifting the fluid from the bottom to the top of the well, overcoming the friction between the moving fluid and the pipe walls, and increasing the velocity of the fluid as it flows up the producing string is supplied by expansion of the flowing fluid. The available energy is determined by the expansion of the fluid that follows a path determined by conditions of temperature, compressibility and phase changes of the fluid during the expansion. A means of evaluating the available energy in a flowing gas well and determining the proportion of the available energy used in lifting the gas, overcoming friction, and increasing the velocity of flow is developed in this report. Knowing how much energy is consumed in overcoming friction makes it possible to calculate friction factors for given flow rates in given sizes of pipes in wells. Friction coefficients, as used in this report, are dimension- less proportionality multipliers used in the flow equations to satisfy the equality between the terms of the equation. The square root of the reciprocal of the friction coefficient is termed the friction factor. It has been known for many years that friction factors may be computed directly from mathematical formulas based on certain assumptions regarding the temperature and compressibility of the moving fluid in a well. A general equation is presented in this report without assumptions for vertical flow of fluids and a conventional-type equation is derived on the basis of assumptions that fix the temperature and compressibility at constant values. Accurate pressures at the sand faces in wells are required in the method of determining the productivity of gas wells, as outlined by Rawlins and Schellhardt1 in Bureau of Mines Monograph 7. Where measurements are not made with subsurface-pressure gauge; or static gas columns are unavailable, flowing pressures customarily are calculated at the sand face in the well by the use of the well-known Weymouth formula1. Natural gas engineers have realized that errors introduced by the use of friction factors as given by the Weymouth formula are relatively unimportant in testing low-capacity gas wells; they also know that such factors are important considerations in testing large-capacity gas wells. Accordingly. present research on the productivity of gas wells at the Petroleum Experiment Station of the Bureau of Mines, Bartlesville, Okla., is being directed toward measurement of the pressure loss due to friction in flowing gas wells. It is beyond the scope of this report to show how friction factors vary with rate of flow and in pipes of different diameters, as it is intended only to develop and illustrate the use of mathematical expressions for calculating friction factors from flow-test data. The equations presented apply only to turbulent flow in circular pipes. ENERGY RELATIONS FOR FLOW OF FLUIDS2 The concept of conservation of energy is usually the basis of any study of fluid flow through vertical pipes as in gas wells, horizontal pipe lines, or orifices. In deriving equations, the following symbols are used:

Jan 1, 1950

By T. Gleason

Problems involved in applying wet scrubbers to gas cleaning coal dust from thermal dryers are reviewed. Careful consideration of all the elements going into a modem coal preparation plant is required in view of the increasing difficulty of applying suitable gas cleaning equipment. This problem arises not only from the presence of finer coals to be handled, but also from the pressures applied by both the general population and the plant operators to improve the standard of gas cleaning performance. The Peabody scrubber is presented by the author as a machine designed to help improve this cleaning operation. Wet scrubbing of fine coal from thermal dryers poses a number of problems in adapting the gas cleaning equipment to the fine particulate matter. Among them are: 1) Dust in gases leaving the thermal dryer cyclones is often extremely fine with high percentages of total dust loading less than 1p in size. 2) Flue gas entering the scrubber is corrosive since the coal fired in the thermal dryer furnace is in the range of 0.7% by weight sulfur or higher. Therefore, comparatively high cost stainless steel alloys or corrosion resistant linings are required for a satisfactory service life. 3) Requirements for residual coal loadings leaving the gas scrubber are continually being lowered, while modern coal preparation operation is imposing heavier burdens on the collection system through introduction into the thermal dryer system of very fine coal previously not recovered. The advent of flotation systems in increasing numbers is typical of this trend. 4) Installation of a scrubbing system on thermal dryers is made primarily to reduce air pollution and product recovery value is of little or no value. Therefore, the operating costs of gas pressure drop and water requirements must be held to a minimum. We have, then, the basic situation which calls for comparatively high cost stainless steel alloy wet scrubbers, which must be highly effective in removing coal fines particularly in the 0 to 5-p size range. Further, the standards of scrubber performance are continually being raised towards the level where gas discharged from the scrubbers must be essentially free of any coloration due to residual dust. In view of the highly refractive nature of fine coal dust, residual loadings of 0.01 grains per cu ft or less are required to provide a color free discharge gas. In the present specifications under consideration a residual coal loading of 0.05 grains per cu ft would be considered color free, since the discharge gases are saturated in the range of 150°F. The steam plume acts as a masking agent at the point of discharge, and upon dissipation of the 150° saturated vapor stream, the effluent gas stream could be essentially color free. The specification under consideration calls for residual solids loading of 0.05 or less grains per cu ft, given a coal size distribution shown in the basic data in Table I. It is noted that the dust laden coal stream has a size distribution by weight of 33% in the 2 to 5-p size range and 55% in the 0 to 2-p size range. The particle size distribution given in the specifications does not detail the percent by weight less than 1-p in size, and more important, the size distri-

Jan 1, 1963

By Guy W. Jordan, David P. Hale

High-iRon cements have a number of advantages over cements carrying little or no iron. The presence of iron in Portland cement aids in the manufacture of the cement and also imparts certain advantageous physical properties to the finished product. In manufacture, the presence of iron lowers the fuel consumption, increases the ease of proper"burning, and lessens the destructive action of the charge on the kiln refractories. In the finished cement the presence of iron reduces the expansion and contraction, adds strength, adds increased resistance to"freezing and thawing, and increases the resistance of the cement to sea "or sulphate waters. [" During the past few years the construction of numerous dams through- "out the Southeast by the Tennessee Valley Authority has stimulated the "production of high-iron cements. At present a great number of specifica- "tions call for an iron cement, and the industry is supplying this demand "with a Portland cement carrying approximately 5 per cent iron oxide. "Several manufacturers are now making practically all of their cement "of this type and a number of others manufacture it as a special cement "over short periods to meet demands from the Tennessee Valley Authority "and other buyers. " The recent increase in the use of iron in Portland cement has created "a market for iron products that previously was nonexistent. The chief "sources of supply for the cement manufacturers at present are iron sand, "iron sinter and slag, and ocher. The Copperhill mining district, Ten- "nessee, supplies both iron sinter and slag for use in cement. The Carters- "ville district supplies iron sand, ocher, and some iron resulting from the "magnetic separation of iron from barite. The advantages of these "products vary according to the chemical properties of the raw materials "and the methods of handling used by the different manufacturers. Where "the iron is to be handled by conveying belts and in hopper cars, the iron"sand and sinter and slag are preferable. Where the silica content must "be raised, the iron sand is doubly advantageous because it supplies both

Jan 1, 1942

By David P. Hale, Guy W. Jordan

High-iRon cements have a number of advantages over cements carrying little or no iron. The presence of iron in Portland cement aids in the manufacture of the cement and also imparts certain advantageous physical properties to the finished product. In manufacture, the presence of iron lowers the fuel consumption, increases the ease of proper"burning, and lessens the destructive action of the charge on the kiln refractories. In the finished cement the presence of iron reduces the expansion and contraction, adds strength, adds increased resistance to"freezing and thawing, and increases the resistance of the cement to sea "or sulphate waters. [" During the past few years the construction of numerous dams through- "out the Southeast by the Tennessee Valley Authority has stimulated the "production of high-iron cements. At present a great number of specifica- "tions call for an iron cement, and the industry is supplying this demand "with a Portland cement carrying approximately 5 per cent iron oxide. "Several manufacturers are now making practically all of their cement "of this type and a number of others manufacture it as a special cement "over short periods to meet demands from the Tennessee Valley Authority "and other buyers. " The recent increase in the use of iron in Portland cement has created "a market for iron products that previously was nonexistent. The chief "sources of supply for the cement manufacturers at present are iron sand, "iron sinter and slag, and ocher. The Copperhill mining district, Ten- "nessee, supplies both iron sinter and slag for use in cement. The Carters- "ville district supplies iron sand, ocher, and some iron resulting from the "magnetic separation of iron from barite. The advantages of these "products vary according to the chemical properties of the raw materials "and the methods of handling used by the different manufacturers. Where "the iron is to be handled by conveying belts and in hopper cars, the iron"sand and sinter and slag are preferable. Where the silica content must "be raised, the iron sand is doubly advantageous because it supplies both

Jan 1, 1942

NEW MEMBERS The following list comprises the names of those persons Who became members during the period Dec. 10, 1914, to Jan. 10, 1915: Members AGUILAR-REVOREDO, J. F., Min. Engr -Casilla 146, Oruro, Bolivia. BAKER, JOHN M., Min. Engr Baker Mines Co., Cornucopia, Ore. BETTS, ROBERT M., Mgr Cornucopia Mines Co., Cornucopia, Ore. BILLINGS, THOMAS PARRY, Min. Engr., 404 Dooley Block, Salt Lake City, Utah. BLAIR, GEORGE SHEPPARD, Engr. and Assayer, Mariposa Min. & Mill. Co., Hornitos, Cal. BOLE, JOHN W., Supt ...Siskiyou Dredging Co., Fort Jones, Siskiyou Co., Cal. BOWMAN, REGINALD G., Statistician, International Smelting Co., 621 Kearns Bldg., Salt Lake City, Utah.

Jan 2, 1915

By Charles Barrett

SINCE 1925, when the preferred orientations in compressed aluminum were first determined1, 2 the orientations have been described as a fiber texture in which a face diagonal, [110], of the face-centered cubic lattice is parallel to the compression axis. Subsequent experiments have seemed to confirm this texture,3-5 and a number of theories (recently summarized in references 6 and 7) have been proposed to explain it and to relate it to the behavior of single crystals during compression. 3,8-11 The experiments reported in this paper prove that the orientations are not adequately described as quoted above-i.e., as a [110] fiber texture-although this is a first approximation to the actual texture. They also show that the texture cannot be thought of as a stable orienta-tion that is reached and maintained after a sufficient amount of deforma-tion. The actual texture, when studied in detail at successive stages of compression, indicates that a hitherto unsuspected range of orientations is present, both in the polycrystalline metal as a whole and in various individual grains in its interior, and that a state of dynamic equilibrium exists within this range. The reasons for the failure of previous theories to predict the actual texture become obvious when the heterogeneous nature of the flow is considered. In addition to the deformation texture, the manner of its develop-ment, and its theory, this paper presents data on the following related subjects: the identity of strain markings in aluminum; the orientation changes in aluminum single crystals during compression and a com-parison of these with the conditions in individual grains of a polycrystal-line specimen; the origin of asterism in deformed single crystals, which heretofore has been regarded as a distortion localized at the surfaces of slip planes; and the relation of plastic strain in individual grains in an aggregate to the strain of the whole.

Jan 1, 1939

By Alistair Frame

INTRODUCTION In April 1988 discussions were about to start with BP on the possibility of buying their- mineral interests, and it took a long time to arrange a deal. I will talk about RTZ without BP Minerals, look at the new RTZ with BP Minerals, discuss the outlook for metal prices, and review the problems in South Africa and develop the case against sanctions on that country. RTZAT THE END OF 1988 Late in 1987, after completing a worldwide review of our strategic thrust, we decided: 1. That the business focus would be to remain a major diversified natural resource group with interests in related industries. 2. To divest non-core and low growth businesses. 3. To develop a logical acquisition plan. 4. To emphasise organic growth and, most importantly, to enhance shareholders' wealth by capital increase and a progressive dividend policy. Subsequently, we concluded that we should sell our oil and gas business and dispose of several assets for which we saw little growth potential. The disposal programme raised some U.S.$ 1,600 million, representing a significant capital gain on our various investments. All transactions were carried out by our small Head Office staff in London, without the help of merchant banks and lawyers, and we were able to safeguard the employment of our staff in all these operations. The most interesting disposal was of our oil and gas interests. Before the 1987 strategic review, we had ambitions to develop our oil and gas interests and to become the leader in the second division of European oil companies. Our interests, which were purely in exploration and production of oil and gas, consisted of the 100% owned RTZ Oil and Gas company, and 29% of LASMO, a publicly quoted U.K. oil and gas company with extensive worldwide interests. LASMO, in turn, owned 25% of Enterprise Oil, one of the more successful of the North Sea oil exploration and production companies. Prior to the end of 1987, our intention was to acquire control of both LASMO and Enterprise. However, when we evaluated the net asset value of these two companies based on our oil price assumptions, which were pessimistic for the next five years or so, we concluded that they were both trading in the market at significant premiums. This, taken with the additional premium required for acquisition and the high cost of exploration, led us to conclude that, since funds could undoubtedly be used to better effect, we should sell our interests. Turning to the other major achievements in 1988, we commissioned, and built up to design levels in a very short period of time, the Morro do Ouro gold mine in Brazil. This mine reached its design output of 100,000 ounces of gold per year within three months of start-up, which was on time and under budget. We are now considering a possible expansion of this property. In South America, Utah International, Mitsubishi and RTZ arranged non-recourse finance, with post completion guarantees, for the giant Escondida Project in Northern Chile. Financing came from a group of banks in Japan, Germany and Finland -- the countries to which most of the concentrates will be sold -- and from the LEC. The average output of the mine for the

Jan 1, 1990

By C. E. Shoenfelt

The year 1939 witnessed the rapid development of several of the more important Rocky Mountain oil and gas areas and the discovery of new oil and gas fields. As a further result of an active year, many oil fields had their productive limits greatly extended or responded to deeper drilling with oil production in lower horizons. In Colorado there was a substantial increase in refinery capacity, with three new units constructed. Its contribution to the crude-oil supply was an important extension of the producing area of a Western Slope field and a deeper oil-producing horizon in an old field east of the Front Range. Occurrences of gas were reported in two wells in northwestern Colorado, but severe winter weather prevented tests and the value of these discoveries cannot be determined at this time. Montana's northern fields were extended and a number of record wells were completed. The North Cut Bank area gives promise of wide expansion in 1940. The gas-producing area of Wyoming's Elk Basin field was extended into Montana on the north plunge of the anticline. The most important developments in Wyoming oil fields in 1939 were extensions to the producing area of Lance Creek and the discovery of a deeper pay in the Tensleep formation at Wertz dome. A new gas field at Horn Valley in the south central part of the state was the only new field discovered, but wildcatting was at low ebb in Wyoming in 1939. Colorado In Colorado, the year 1939 saw the completion of several interesting tests, but largely with negative results. Oil was discovered, however, in a deeper sand in the old Fort Collins field and the productive area of the Wilson Creek field was extended. Gas had been noted in two Western Slope wells, at Yellowjacket-Buford and at Trull, but their volumes had not been determined at the end of the year. Of principal interest, however, were the failures, descriptions of which will be given presently. One of these established a new depth record for Colorado.

Jan 1, 1940

By C. E. Shoenfelt

The year 1939 witnessed the rapid development of several of the more important Rocky Mountain oil and gas areas and the discovery of new oil and gas fields. As a further result of an active year, many oil fields had their productive limits greatly extended or responded to deeper drilling with oil production in lower horizons. In Colorado there was a substantial increase in refinery capacity, with three new units constructed. Its contribution to the crude-oil supply was an important extension of the producing area of a Western Slope field and a deeper oil-producing horizon in an old field east of the Front Range. Occurrences of gas were reported in two wells in northwestern Colorado, but severe winter weather prevented tests and the value of these discoveries cannot be determined at this time. Montana's northern fields were extended and a number of record wells were completed. The North Cut Bank area gives promise of wide expansion in 1940. The gas-producing area of Wyoming's Elk Basin field was extended into Montana on the north plunge of the anticline. The most important developments in Wyoming oil fields in 1939 were extensions to the producing area of Lance Creek and the discovery of a deeper pay in the Tensleep formation at Wertz dome. A new gas field at Horn Valley in the south central part of the state was the only new field discovered, but wildcatting was at low ebb in Wyoming in 1939. Colorado In Colorado, the year 1939 saw the completion of several interesting tests, but largely with negative results. Oil was discovered, however, in a deeper sand in the old Fort Collins field and the productive area of the Wilson Creek field was extended. Gas had been noted in two Western Slope wells, at Yellowjacket-Buford and at Trull, but their volumes had not been determined at the end of the year. Of principal interest, however, were the failures, descriptions of which will be given presently. One of these established a new depth record for Colorado.

Jan 1, 1940

By Carl L. Renzoni

INTRODUCTION This paper defines equity as the issuance of a permanent interest in the business on a broadly distributed basis. As such, it excludes the issuance of equity to either a merchant bank or to another corporation. Nearly twenty years ago the equity markets were very simple: The instruments used were primarily common shares, convertible debentures or convertible preferred shares. Another equity-type option often used, especially by junior companies, was the sale of joint venture interests. Issue sizes were generally in the order of $25 - $100 million and issues were syndicated primarily in North America and Europe by one or two investment dealers. Mining corporations today benefit from a market with much more depth. Issues are syndicated by dealers on a truly international basis, and issue sizes now often range up to $300 million. Moreover, dealers are now willing to take significant risk in buying the issues for redistribution. This discussion of trends in equity markets will encompass: 1) common shares 2) warrants to buy common shares 3) convertible debentures 4) commodity backed instruments A review follows of events that affect the mining industry and investment dealers as they have a bearing on the equity markets for the metal producers. FACTORS AFFECTING THE MINING INDUSTRY The current business cycle, up to October 1987, had been characterised by a buoyant stock market and depressed base metal prices. Mining companies entered this period with weak balance sheets and little prospect of cash flows meeting capital needs. The issuance of equity and the sale of assets were used extensively to reduce debt to manageable levels. During this period, the relative high price for gold, and more important, the very high earnings and cash flow multiples afforded to gold producers, caused companies to target gold as the only game in town. The need for capital to acquire and develop gold properties prompted an unprecedented volume of equity issues. (Burns Fry led or co-managed over $1 billion of mining equity issues per year during this period). This high demand for equity capital by the industry prompted an increase in the use of equity instruments, such as commodity backed instruments. In addition, government tax incentive programs in Canada, such as flow-through shares, allowed smaller companies to raise significantly more equity than would otherwise have been possible. Over $1 billion in flow-through equity was raised in 1987 alone. The abundance of flow-through capital in Canada made it easy to form a new company. One flow-through share fund developed a system of providing the working capital required for a company to be eligible to receive flow-through share capital so that an entrepreneur required only a mining property to get started. Many new companies were formed and several flourished in a buoyant stock market environment to the point that market capitalizations grew to $100 million or more. The current period is in stark contrast to that before October 1987. The equity markets are generally available to the resource industry only on a window basis and only for senior companies and for special situations. The industry is benefitting from buoyant metal prices, and bankers are anxious to provide debt capital. Investment dealers previously processing several equity issues

Jan 1, 1990

By S. L. Hoyt

IN technological studies on steel considerable emphasis has been placed on the identification of the foreign inclusions, testimony of which is adequately given in the metallographic literature covering methods for their identification. The outstanding accomplishment in this field is the scheme devised by Campbell, Comstock and Wohrman for identi-fying various oxides, sulfides, silicates and other constituents by syste-matic etching tests and microscopic examination.1 The time involved in carrying out this procedure has led to attempts to secure quicker methods, or at least to shorten the time required to secure essential information. An example of this is the use of dark field illumination, but when this was tried out by the authors it was found that cavities and pits on the polished surface appeared bright on a dark field and could not be distinguished from small glassy inclusions. Still another means is the Leitz Ultropak, an instrument equipped with optical units for the illumination of the specimen by reflected light to secure an effect similar to dark field illumination. The structures are made visible in exceedingly sharp details by utilizing the inherent properties of the samples, such as refractive index, absorption coefficients and reflection powers. We have had no experience, with the Ultropak, but a recent paper by Benedicks and Löfquist3 describes methods for

Jan 1, 1934

By Fred W. Gordon

Apart from the character of pig-iron to be manufactured, other than that it shall be well reduced and open-grained, the selection of the materials should be such as to produce it at the lowest cost. As a rule, the sources of fuels and limestones are not so extensively varied as those of the ores. Many Eastern furnaces are now using Lake Superior ores, and but recently a part of the supply came from foreign ports. It is, however, of the highest importance that the character of fuels and limestones, as well as ores, should be carefully considered in determining their value and making judicious selection among those available. The formulas here offered are based upon the assumption that the heat-requirements for a given mixture are measured by a constant required by the oxide of iron, added to that required for a unit of slag, multiplied by the weight of that slag per unit of iron. The heat-requirements for oxide of iron per unit of pig-iron made are assumed to be 2854 centigrade units. This is taken from the careful analysis of Sir Lowthian Bell, and, so far as the writer is able to determine, is very nearly correct. Dividing this by the quantity of heat that may be evolved and utilized within the furnace per unit of carbon, determines the quantity of carbon required per unit of pigiron ; and if to this be added the quantity of carbon absorbed by the pig-iron, the total requirements in carbon are determined, on the assumption that pure oxide of iron is reduced with pure carbon by the ordinary process of the blast-furnace. Calculating the quantity of slag that would be made from a given mixture of ores, smelted with a given impure fuel and fluxed with a given impure limestone, multiplying this weight of slag by the heat-requirements of its unit (taken at 1050 C. H. U.), and dividing the product by the heat-units evolved and utilized within the furnace per unit of carbon, will determine the quantity of carbon required per unit of pig-iron for the slag.

Jan 1, 1893

Jan 1, 1957