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By Trevor R. Ellis

In August 2011, the Southern African Institute of Mining and Metallurgy (SAIMM) contacted mining institutes and related societies internationally to assess their interest in participating in coordination of the review of the South African Code for Mineral Valuation (SAMVAL) with reviews of other mineral valuation standards. The main mineral valuation standards are the CIMVal Standard of The Canadian Institute of Mining, Metallurgy and Petroleum (CIM), the VALMIN Code of The Australasian Institute of Mining and Metallurgy (AusIMM), the SAMVAL Code, and the extractive industries? guidance note of the International Valuation Standards Council (IVSC), Valuation of Properties in the Extractive Industries, GN 14, designed for application within the full set of International Valuation Standards (IVSs). By January 2012, SAIMM had concluded that the level of respondent interest was adequate to organize a meeting. A meeting was scheduled for April 18, 2012 in Brisbane, Australia in conjunction with a VALMIN mineral valuation conference organized by the AusIMM. The stated purpose of the meeting was to develop an accord on terms of reference for pursuing harmonization of mineral asset valuation standards adopted by the participating mineral institutes. SME decided that, although it has not developed its own mineral valuation standard, it should participate in the Brisbane meeting and the harmonization process, as also did the American Institute of Minerals Appraisers (AIMA).

Jan 1, 2012

By Richard L. Sanford

This paper summarizes the results of the development of a Directory of Computer Programs Applicable to U.S. Mining Practices and Problems. The Directory is funded by the U.S. Bureau of Mines and includes a sampling of computer usage in operating and manufacturing companies, consulting firms, computer companies, research organizations, universities, and various U.S. government agencies. General references to computer applications throughout the mining industry are discussed as well as the availability of programs to interested organizations or individuals.

Jan 1, 1978

By Andrew J. Petruska, Austin F. Oltmanns

The paper proposes a capacitive load cell for detecting changes in material and tool wear conditions for conical picks used in underground mining. The current process is dangerous and subjective, relying on human operators near the cutting interface. The new sensor aims to improve worker safety by allowing operators to perform their functions from a greater distance.

Aug 1, 2023

By H. P. Hatch

Ash is a material that many people leave to nature to handle. Others sometimes sweep it under the rug to be disposed of by someone else. In our business we cannot do either. In fact the American Electric Power System spends many millions of dollars in plant investment costs to collect the material, and then many more millions to dispose it. In 1965 alone the coal fired steam generating plants in., the AEP System produced approximately 2,400,000 tons of ash, enough to fill 40,000 coal cars which would extend as a single train across the entire states of Ohio and Indiana. Even though our present ash production is large, this is only the beginning when we forecast the future growth of our system. By 1980 it is estimated that our generating capacity will expand to about three times its present size, and with coal as our primary source of fuel our ash production will increase proportionately to about 7 million tons a year.

Jan 1, 1966

By Kyle Amoroso, Aaron K. McCain

Frozen soil shoring has been used for decades in the tunneling industry to provide temporary support of excavation for shafts and cross-passage excavations. However, horizontal penetrations through the frozen soil can prove to be challenging. The key to creating a stable portal through frozen ground is managing and mitigating groundwater flow into the excavation through the annular space surrounding the drill stem or casing. This paper will review different approaches that have been successfully used to penetrate frozen soil shoring on multiple projects.

Jun 13, 2023

By Ted H. Eyde

Improving the mineral industry's tarnished image describes in a nut- shell the reason why the Speakers Bureau of the Tucson Subsection of the AIME was formed. Let's go back in time about 3 years to the fall of 1971. Literally thousands of bills detrimental to the mineral industry were being introduced into Congress and State Legislatures. Unfortunately, many were being passed and signed into law. Clean air and water, zero pollution, preserve the environment, ecology, biodegradeable, wilderness were the words that the self- styled ecologists and environmentalists were preaching. The mineral industry either sat mute or in place of acting, reacted in a way certain to attract a maximum amount of bad publicity with a minimum amount of rhetoric. A mining company president, for example, commenting on the primary air standards in Arizona was reported by the press as having said, "we'll shut all the smelters down and put thousands of Arizonans out of work if we have to meet the Arizona standards." Or another defending a poorly planned highly visible open pit nonmetallics operation, "we'll take the whole mountain down if we want to, and nobody can stop us" and still another manager of Operations, "the bottom line is all that counts, to hell with all of this environmental nonsense."

Jan 1, 1975

By Naohiro Kurokawa

Isa Limestone Quarry with an annual production capacity of 18 million metric tons is known as the largest limestone deposit in Japan located in the mountainous region about 20 mile northwest of Ube City, Yamaguchi Prefecture, Japan adjacent to Isa Cement Factory to which it belongs, and which constitutes a mainstay of Ube Industries? cement operating division. Isa Cement Factory is equipped with a N.S.P. kiln of capacity of 3 million metric tons per year, which is the largest of its type in the world. Geographically, it is situated in the south- western tip of the Mainland of Japan (Mid City, Yamaguchi Prefecture) and is bordered by the scenic Akiyoshi Karstic Plateau which is world famous for its huge stalactite grotto.

Jan 1, 1982

By MAURICE SUNKPAL, Taghi Sherizadeh, Kutay E. Karadeniz, Dogukan Guner, Samuel Nowak

In this study, various rib bolting scenarios were investigated to better understand the effectiveness of the support systems. A coal mass constitutive model is implemented to a distinct element method (DEM) code, and rib factor-of-safety (RibFOS) analyses were performed by applying strength reduction for the coal matrix and explicitly modeled face cleats. Ribs with various overburden depths and mining heights composed of solid banded bright coal were considered. Different scenarios such as rib bolt length and number of bolts were studied to quantify the effect of primary rib support density on rib stability. As a result of the unsupported coal rib analyses, a decaying exponential relationship is proposed between the mining height-overburden depth and the RibFOS. The developed coal rib models clearly show the coal-rib bolt interaction and illustrate how the addition of rib bolts restricts the movement of the coal rib. The results reveal that the strength-reduction method in DEM code with the coal-mass model can aid in the development of practical primary sup- port charts, which can help in the rib support design process.

Feb 1, 2024

By Robert Smith

Deposits are global, said Barrick Gold's Smith. This means that the mineral industry, by necessity, is global. "Manufacturers have considerable freedom to decide exactly where they wish to produce whatever it is that they sell," he said. "What we sell, on the other hand, must be produced where nature chose to lay it down. The question is not so much, whether to go global, as when to do it and how to go about it." The timing of international expansion depends on external factors, often political, Smith said, and on internal ones that relate to the company's size and stage of development. "In deciding how to expand, a company is largely deciding how to adapt its existing business strategy to activity on the world stage," he said Barrick entered 1997 with 1.58 kt (51 million oz) of reserves, Smith said, annual production of 93.3 t (3 mil- lion oz) and cash flow of $463 million. Reserves in- creased 40% in 1996 and production will begin to rise again significantly in 1999. "We believe our fundamental strategy is responsible for our early development and subsequent success," he said. Barrick entered the gold-mining industry in 1983. Its corporate mandate was to create shareholder value, Smith said. From the beginning, the company took a different approach - businesslike, entrepreneurial, strategic and focused. "Many mining companies start out with a technical team and develop business and financial expertise thereafter," Smith said. "In 1983, Barrick had the business people, and then moved into mining." First, it acquired part interest in two small operations, one in Alaska and one in Ontario. Then, in 1984, it merged with Camflo Mines, which operated a low-cost underground operation in Quebec.

Jan 1, 1997

"Metallurgical process development in greenfield projects must define the comminution flowsheet and establish the equipment sizes that are required to deliver the project design criteria. These are critical steps that heavily influence the financial performance of the project, requiring a detailed understanding of the ore properties of the project resources and the best practice methods to size comminution machines. This paper reviews current practices for determining the ore characteristics relevant to comminution circuit design. Particular attention is given to the design of sampling and testing programs, and the methods commonly applied to size crushers and mills for conventional size reduction applications in mineral processing. IntroductionMetallurgical process development in greenfield projects requires the selection of a comminution flow sheet and must establish the equipment sizes required to deliver the project design criteria. This necessitates a detailed understanding of the ore properties that define the project resource. For brownfield projects the same objectives may apply for plant expansions, or the project objective may be simply to define the capacity and operating cost of an existing facility for a new ore source. The process development phase in either instance will typically comprise the following key activities:• Geometallurgical classification and sampling of the ore deposit or deposits.• Determination of comminution energy requirements.• Benchmarking similar projects.• Identification of flow sheet options.• Equipment selection and sizing.This paper is concerned specifically with process development testing and will as such focus on the first two activities on the list: sampling and testing of the deposit. The discussion will focus on testwork programs to support the design of comminution circuits commonly in use in mineral processing today, specifically crusher, tumbling mill and stirred mill technologies.It is important that any testwork program is designed giving consideration to the types of flow sheets that are viable for the project, and the data that will need to be generated to support the final equipment sizing. Designing a testwork program to only provide information about one particular type of flow sheet will not allow sufficient information to be generated for a rigorous trade-off analysis of options, and may therefore preclude financial optimization of the project. Testing programs should be designed to collect sufficient data to ensure that any backtracking at a later stage to fill in missing information is minimal."

Jan 1, 2016

By M. Zhang, H. Ni, F. Zheng, M. Guo

"In the present work, we investigate the effects of roasting temperature and time on the transformation of the titanium (Ti)-bearing phase and magnesium aluminate spinel (MgAl2O4) phase in Ti-bearing electric arc furnace molten slag during the molten sodium hydroxide (NaOH) treatment process. With applied temperature of 700 °C for 60 min, and a mass ratio of Ti-bearing electric arc furnace slag to NaOH, or Rslag/NaOH, of 1:1.2, the conversion ratios of the Ti-bearing phase and the MgAl2O4 phase reached about 98.3 percent and 88.1 percent, respectively. Moreover, investigation of the reaction kinetics indicate that the conversion of these phases during the molten NaOH treatment process is a typical solid-liquid reaction, and it can be theoretically described by the unreacted shrinking core model. The conversion ratio of the Ti-bearing phase was found to be controlled by the chemical reaction step, with an apparent activation energy of 41.76 kJ/mol. The decomposition of the MgAl2O4 phase was found to be controlled by the surface chemical reaction in the early stage of 0 to 20 min from start of reaction, changing to diffusion control in the later stage of 20 to 60 min. The apparent activation energies of the process were determined as 55.88 and 22.72 kJ/mol, respectively.IntroductionChina has rich mineral resources of vanadium–titanium magnetite ore deposits, and the iron and steel industry in the country produces millions of tons of titanium (Ti)-bearing slag every year. The problem of how to dispose of the Ti-bearing slag has attracted much attention, and various approaches have been developed, including the acid process (Li et al., 2007; Zhang et al., 2011; Zhang and Nicol, 2010; Li et al., 2011), alkali fusion process (Han et al., 2012; Middlemas, Fang and Fan, 2013; Nayl, Awwad and Aly, 2009; Lasheen, 2008; Zhang, Qi and Zhang, 2009), carbonization and chlorination process (Liu et al., 2008; Tao et al., 2012; Fu et al., 2012; Liu, 2009), selective crystallization process (Lei and Xue, 2008; Li et al., 2011; Zhang et al., 2007a, 2007b). However, these processes have been beset by various functional, economical and ecological problems (Yu and Chen, 2010). With environmental protection regulations becoming increasingly rigorous, and demand growing for the comprehensive utilization of resources, the focus is on methods to treat Ti-bearing slag with high efficiency and mild reaction conditions (Nazari and Riahi, 2011; Wu et al., 2013)."

Jan 1, 2017

By Leo Gentile, David Selhorst

The $528 million Toledo Waterways Initiative (TWI) was implemented by the City of Toledo in 2002 and completed in August 2020. Toledo is one of many US cities required to implement a Long-Term Control Plan (LTCP) but one of few to have completed its plan. TWI consists of three storage and conveyance tunnels, four below grade storage basins ranging from 4 to 36 million gallons (MG), miles of sewer separation and interceptor improvements, green infrastructure and other appurtenant structures to dramatically reduce combined sewer overflows to the Maumee River, Ottawa River and Swan Creek. All three rivers flow into Lake Erie. The City’s 180-year history as a Midwest shipping, manufacturing and transportation hub provided design engineers and contractors no shortage of unknown underground challenges to complete the projects. The City will begin its 5-year Post-Construction Compliance Monitoring in 2021 to satisfy the final LTCP requirement. A program overview and experience from tunnel and underground basin construction in urban areas with buried active and legacy infrastructure will be discussed.

Jun 13, 2021

My "outside exploration" began in November 1908, only 16 months after I had come to Bisbee as a raw engineer. The well publicized reputations of eminent engineers up to that time, including John Hayes Hammond, Herbert Hoover, James Douglas, D.C. Jack- ling, J. Park Channing, and a few others had been due to new mines they had found or brought to successful operation. And here was I, a mere youngster, given a chance to join the group. I knew there would be disappointments but I had no idea how many of them. In spite of the many prospects that turned out to be worthless I never looked at a new one without the feeling that this one might turn out to be the big success. This confidence, blind as it was, gave every arduous examination a zest and it made me climb every mountain on which the owner said there was something worth seeing, or on which T could see a distant staining that might mean ore. If I looked at every showing the owner suggested he at least would think I was honest and would bring other properties to our attention. This reputation of never refusing to go to see an outcrop, no matter how hot the desert sun or how rough the terrain, was probably one of my best assets. High as my hopes were at the start, they proved not to be exaggerated and if I were given a chance to do it again I would not hesitate, in spite of the jaundice, rheumatic fever, and other maladies that beset some of the expeditions. On the whole the results have equaled all my hopes. Toward the end of my years of active exploration I totaled up the score. Out of the prospects submitted to us about two out of three were eliminated after questioning the owner or prospector, without an examination. This left about a 1000 mines or prospects that seemed worth at least a preliminary look. One out of seven of these was worth a little development and a seventh of this seventh turned out to be a modest success or better. And nine or ten in all, or one out of 1000

Jan 1, 1976

By Jamal Rostami, Tom Iseley, Saleh Behbahani

Tunnels and underground infrastructures assets, like all assets, deteriorate with time. At some point, they reach the end of their useful life. Therefore, frequent inspections, higher levels of maintenance, and rehabilitation are needed to address loss of life and safety concerns. The repair cost of tunnels will increase if maintenance of tunnels is not satisfactory and timely. Historically, tunnel inspections have primarily relied on visual and manual procedures. Due to their time-consuming nature and susceptibility to human error, there is a demand for alternative automated techniques that can enhance efficiency and reliability in tunnel inspection. By utilizing a tunnel scanning system, such as laser scanner and thermography, or photogrammetry system, tunnel inspection cost, time, and personnel can be reduced. The goal of this study is to utilize deep convolutional neural networks (CNNs) for automated identification of defects in tunnel lining inspection. This paper presents a framework to classify two types of defects in tunnel lining (water leakages and cracks) using CNNs. The CNNs were trained and tested using 4,608 images. The Precision, Recall, and F1 Score were each 99.6%, confirming the viability of this approach in the automated defect identification in tunnel lining.

Jun 23, 2024

By Jerome F. Sheldon

The earliest recorded history in the use of belt conveyors in the United States is in O. Evans' "Miller's Guide" published in Philadelphia in 1795. Evans defines a conveyor as a "broad endless strap of thin pliant leather or canvas revolving over two pulleys in a case or trough." (Ref. 1) In this definition, pulleys are being used in a bulk material belt conveyor application. Pulleys used in belt drives can trace their origin back to 1200 A.D. In fact, Engineers had considerable experience designing them into drives transmitting greater horsepower than those used in the early belt conveyors. In belt conveyor application, a pulley's purpose is primarily three-fold, 1) support the belt in directional changes, as designed in the conveyor, 2) transmit driving power to the belt, and 3) guide or train the belt. There are various types of pulleys used in belt conveyor systems and these are thoroughly covered in "Belt Conveyors For Bulk Materials" prepared by CEMA, 1966. For our discussion, however, the most common used in belt conveyors are drive pulleys, snub pulleys, head pulleys, tail pulleys, takeup pulleys and bend pulleys. The drive pulley imparts the driving force to the belt and may be located at the head or discharge end of the conveyor, in return strand, or at the tailor loading end of the conveyor. A snub pulley is located near the drive pulley to provide more arc of contact between the belt and pulley for maximum

Jan 1, 1971

By Thomas R. Doyle

When you think of the state of Maine, you probably think of lobsters or lighthouses. The last thing you would think of is metallic mineral mining, and that is for good reason. According to the Maine Geological Survey?s website, ?no metals have been mined in Maine since 1977.? Moreover, Maine?s metallic mineral mining laws and rules, which were last rewritten in 1991, have effectively made mining in the Pine Tree State impossible. Statutory changes enacted in 2012, however, put Maine on a path to make metallic mineral mining part of the local economy in the near future. History of metallic mineral mining in Maine Currently, Maine is not a metallic mineral mining state, though that has not always been the case. The 1800s saw various mining operations in Maine, including what the Maine Geological Survey calls a ?mining boom? from 1879 to 1882, where mining of iron, silver, copper, lead and zinc expanded rapidly. Mining and mining activity in the more recent past, however, drove the debate before the state legislature when this issue was debated in 2012.

Jan 1, 2012

By D. C. McLean

Early studies in the carbonate leaching of uranium ores led to the investigation of pressure leaching as a method to enhance the dissolution of the metal values in this system. The initial investigations conducted at the University of British Columbia supplemented by the work done by the group at the A.E.C. Grand Junction pilot plant, all established the higher efficiency and better economics of the alkaline pressure leaching system. This work was conducted either in laboratory autoclaves using oxygen overpressures, or in pilot plant sized horizontal autoclaves with air as an oxidant. Both of these testing vehicles utilized agitation provided by relatively high speed impellers (300 to 700 rpm), which apparently enhanced the oxidation of the uranium to the hexavalent state. The installation of vertical autoclaves on a production scale, which through design considerations require relatively slow agitator speeds (68 rpm), led to the studies of the utilization efficiency of the air addition and the use of catalytic type oxidants to effect a greater usage of the oxygen added through the aeration system. In addition to investigating the effects of the chemical additives, studies were also conducted on the effect of different impeller configurations on the extraction of uranium, which in itself is a measure of oxidation efficiency. The material presented in this paper was compiled in the Ambrosia Lake district of New Mexico, and the majority of the data was obtained in the Homestake- Sapin Partners mill, located at Grants, New Mexico.

Jan 1, 1960

By C. Rodriguez, T. BoBo

Comminution, being the energy intensive part of a mining operation receives much scrutiny by cost controllers, CEO’s, investors and others as the mining industry goes “back to basics” to reverse the decline in productivity which occurred during the mining super cycle. Blasting is the first and lowest cost per ton stage in the comminution value chain. The basic principle that effective blast design can optimize fragmentation from the Run of Mine (ROM) ore muck pile to improve productivity through digging, loading and crushing to grinding and increase mine site profits has been well documented. Benefits of controlling fragmentation in the blast include reduced wear on equipment, faster loading, increased truck loads while detecting oversize rocks at the muck pile can reduce the frequency of a blocked primary crusher. A second basic principle is a measure of particle size distribution (PSD) at each unit operation in the comminution cycle allows engineers to manage blast design to produce fragmentation in the ROM ore most suitable to optimize downstream unit processes to improve mine site productivity and profits. Split-Online® systems have measured PSD of rocks on conveyors from the primary crusher to the SAG mill for over 20 years. Split-Engineering partnered with various mining companies to develop Split-ShovelCam® to automatically measure fragmentation from shovels and excavators working the ROM muck pile. This paper takes the reader “Back to Basics” by discussing the use of real time fragmentation analysis at the muck pile as an important parameter to optimize energy factors required for each blast. Case studies are given. INTRODUCTION The basics of mining are: • Explore for and find economic resources of valuable minerals • Mine rocks containing valuable minerals using blasting • Crush and grind rocks to liberate valuable minerals (comminution) • Recover valuable minerals for sale Comminution is an energy intensive process which accounts for a major proportion of mine site costs. Effective blasting can improve comminution and deliver significant reductions to mine site unit costs, (CEEC, 2016). Engineers, scientists, builders and even philosophers have long promoted the phrase “measure to manage”; the premise being “you can’t improve what you don’t measure”. Blast Engineers measure fragmentation in ROM ore for feedback to manage energy input in the design of blast patterns to optimize the ROM product size for downstream operations, whether they be for ROM Leach or feed into the primary crusher.

Jan 1, 2019

By Brett Schug, Caelen Anderson, Sohail Nazari, Carlos Cristoffanini

"The Haile gold mine in South Carolina is increasing the automation level of its processing plant in order to improve operational stability. One step toward this goal is the application of a digital twin concept to provide virtual instruments. Haile has engaged Andritz to implement virtual instruments at its grinding area hydrocyclones and at its tailing thickener underflow pump. These virtual instruments provide density values in a traditionally difficult location for reliable slurry density measurement. The digital twin is a first-principles integrated design engineering with advanced simulation (IDEAS) simulation model, connected in real time to the control system. Results have been promising, with the virtual instrument values matching the physical instrument under normal operating conditions and showing better prediction under upset conditions. Haile plans to use the virtual instruments as optional process control parameters.OceanaGold’s Haile gold mine is located near Kershaw, SC, about 80 km (50 miles) southeast of Charlotte, NC. This location was first mined in 1827 and has produced gold through several operating periods since then, including a heap leaching operation from 1985 through 1992. In October 2015, OceanaGold acquired Romarco Minerals, the previous owner of the Haile operation.The current operation began in 2017 as an openpit mine with additional underground resources. The nameplate throughput is 5,760 t/d (6,350 stpd) ore, and 2017 production was 3,345 kg (118,000 oz) gold, with 3,968 to 4,384 kg (140,000 to 155,000 oz) gold expected in 2018. Proven and probable reserves exceed 85 t (3 million oz) gold at a grade of 2 g/t (0.06 oz/st) gold. The process, as shown in Fig. 1, includes a primary jaw crusher, comminution with a semiautogonous grinding (SAG) mill and ball mill circuit, flash flotation, rougher flotation, regrinding, pre-aeration, carbon-inleach leaching, carbon elution and regeneration, cyanide recovery, electrowinning and refining. The Haile operation’s inaugural gold pour took place Jan. 20, 2017. Mine life is expected through the year 2030."

Dec 1, 2018

By Simon D. Strauss

The recession that began in late 1980 has proved to be not only prolonged and severe, but in certain ways unique in its effect on the mineral industries among the periods of economic slowdown experienced in the Western world since the end of World War II. This time almost all minerals have been affected. In previous business turndowns, by contrast, some mineral sectors have with-stood economic adversity well. They experienced little or no adverse effect-thanks either to a strong secular expansion in the markets for their particular product or to specific factors that caused demand to be well maintained. For example, aluminum, molybdenum, and nickel are three metals that enjoyed extraordinary growth in applications during the years 1946-1973. These metals were little affected during the recessions that occurred in that era. Similarly, coal did not suffer a pronounced drop in sales in the 1974-75 turndown because, with the price of oil rising sharply, a switch away from oil and back to coal was clearly indicated for some energy-intensive applications. Oil itself was largely impervious to the ups and downs of the business cycle until very recently. And the precious metals, gold and silver, have often been regarded as benefiting from reduced economic activity because labor becomes more available, productivity rises, and operating costs diminish. In the current recession, however, no major mineral has escaped the broad trend. The secular growth factors that were previously so evident for aluminum, molybdenum, and nickel have disappeared, at least temporarily. The stable pricing behavior that previously characterized all three of these commodities has been replaced by extreme price weakness and apparent inability of the major producers to continue their roles as market leaders. Coal and oil both have suffered from a sharp drop in energy requirements. There are those who now anticipate a collapse of the market control over oil prices so clearly exercised by OPEC since 1973. If oil prices are no longer effectively controlled by the governments of the exporting countries, then coal prices are also certain to be affected. And the combination of high interest rates, tight money, and a change in public perceptions of precious metals put the skid under gold and silver quotations in 1981 and early 1982. Although inflation has been viewed as the scourge of most Western countries ever since the oil crises of 1973-74, prices-in constant dollars-of most minerals have not risen. On the contrary, with the exception of the precious metals and oil, for most minerals the prices that prevailed at the end of 1982 were close to the levels of the Great Depression of the 1930s in constant dollar terms. Table 1 compares prices for copper, lead, zinc, and aluminum at the end of 1982 with the average prices in 1934, stated in constant 1967 dollars. This emphasis on prices for mineral commodities reflects the fact that profits of mining enterprises vary directly with the level of prices. Manufacturing and retailing enterprises march to a different tune. They establish sales prices based on costs. Their profits tend to vary with volume. Commodities are for all practical purposes fungible, that is the advantages of known brands in marketing manufactured goods have little application in a commodity market. Thus the individual seller of minerals is unable to establish his sales prices. Except where a monopoly is present, he must sell at the going market. His option is to abstain from selling if he finds the price unremunerative. In past recessions, some mineral producers chose to do precisely that-either accumulating a substantial share of their output in inventory or, in prolonged downturns, abstaining from production. During the current recession, however, private-sector mining companies did not have the option of accumulating inventories to any great extent. Capital costs for new mineral projects or for expansion of existing facilities have escalated at an alarming rate since the early 1970s. Added to this has been the heavy cost of installing pollution control or safety equipment to comply with the regulations adopted in most industrialized countries (and particularly the United States) since 1968. The consequence has been that the financial position of most major mineral enterprises in mid-1980 was already strained. To finance increased inventories meant incurring additional funded debt at high interest costs, thus impairing the concern's credit rating. Management Choices Private-sector managements have had to face up to the alternative of either continuing to produce at an unchanged rate and marketing output at unremunerative prices or reducing output. The latter has meant either operating at a curtailed rate, with con-

Jan 3, 1983