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By Richard P. Graff

Author?s note: Diversity in practice exists in the application of Generally Accepted Accounting Principles (GAAP) for purchase price allocations with respect to the recognition of Value Beyond Proven and Probable Reserves or VBPP, as defined by the Emerging Issues Task Force (EITF) in EITF 04-3: ?Mining Assets: Impairment and Business Combinations?. This diversity appears to arise from differing interpretations of what constitutes sufficient information to value components of VBPP in business combinations. Concerned with this diversity in practice, respected members of the mining community formed a working group which prepared an issues paper that discussed this diversity and provided recommendations for recognition and valuation of VBPP in business combinations. The working group then submitted this paper to the EITF, requesting further guidance be issued on the concept of VBPP. In conjunction with the submission to the EITF, the working group also provided this paper to the United States Securities and Exchange Commission (SEC) for review and comment. The EITF discussed this issue at its May, 2008 agenda committee meeting. However, it declined to add this topic to the EITF agenda for further consideration. Absent additional guidance on VBPP from the EITF, the working group submitted a proposed definition of VBPP to the U.S. Securities and Exchange Commission for its consideration. The following article, which is consistent with the issues paper that was submitted to the EITF and the SEC, discusses the components of and valuation techniques for VBPP. The correspondence with the U.S. Securities and Exchange Commission, which includes the proposed definition of VBPP by the working group, is attached as Appendix 1 to this article.

Jan 1, 2008

The OptiPit® software program is developed based on expertise gained at the Colorado School of Mines (CSM) using Mixed Integer Linear Programming (MILP) techniques. This program has been developed to satisfy the need in the mining industry for a multi-time period schedule and cutoff grade optimization tool that handles large scale open pit and underground mining operations involving many dumps, stockpiles, complex processing options and blending requirements. The current software (or earlier development versions) has been beta tested and used on various large scale projects within Placer Dome Inc., Newmont Mining Corporation, and Phelps Dodge Corporation since 2003. Through the use of this software, these companies experienced additional value creation by optimizing mine sequences, cutoff grades, material process flows and stockpiles under complex operational and processing constraints. This paper will present simple case study results to demonstrate the power of OptiPit® when used as a cutoff grade optimization tool. Furthermore, the paper will show, by example, how significant the difference in the Net Present Value (NPV) of a given project can be, depending on whether results are obtained by way of cutoff grade optimization using OptiPit®, or by using traditional breakeven cutoff grade approach.

Jan 1, 2007

By Aldino Campos, Frederico Carvalho Dias, Pedro Madureira, Patrícia Conceição, José Gomes-Pereira, Inês Tojeira, Andreia Afonso, António Calado, Luísa Pinto Ribeiro

Since 2008, the Portuguese Task Group for the Extension of the Continental Shelf has been operating the ROV "Luso" (rated for 6000m depth) for geological sampling of the deep North Atlantic seabed, performing surveys on, e.g., seamounts and hydrothermal vent fields. Amongst other sensors, the ROV is equipped with a full HD video camera with which still images of the deep ocean floor are recorded. Fixed on the ROV’s frame are two underwater "line" lasers, each generating a sharp green line (532nm) over the seabed. The two lasers are paralleled and calibrated at a set distance. Provided that the camera’s angle of view is known, numerical values for seabed surface area may be calculated using direct measurements taken from the pictures containing the laser lines. We present the corresponding main mathematical formulas, which are derived from simple geometrical considerations, and discuss how to generalize these results for an arbitrary camera tilt or pan. We present an example of application of our method by estimating values for percent coverage of rock substrate versus sediment. Our results are also relevant for determining seabed polymetallic nodule abundances from still images obtained during ROV surveys.

Sep 1, 2014

By R. C. Bratton, R. Q. Honaker

Hindered-bed separators are recognized as low-cost, high-capacity devices for both classification and density separation; however, since their inception, there have been few significant advances in the fundamental technology. Recently, Eriez has shown through modeling and pilot-scale testing that the innovative approach to feed presentation offered in the CrossFlow teeter-bed separator provides improved metallurgy when compared to traditional hindered-bed classifiers or single-stage coal spirals. This design feature prevents excess water from entering the separation chamber and disrupting the overall fluidization flow rate within the teeter zone. Most recently, a side-by-side industrial scale evaluation has verified that this technology improves overall efficiency and simultaneously reduces the separation cut-point. With regards to coal processing, data from full-scale units indicate that the CrossFlow offers good separation efficiency, high unit capacity, and metallurgical results consistent with laboratory- and pilot-scale separators.

Jan 1, 2006

By T. Mudder, R. Cellan, R. Waterland, J. Whitlock, B. N. Nelson

The effectiveness of anaerobic in-situ biological treatment for the immobilization of selenium, molybdenum, and uranium in an alluvial aquifer was examined using long-term column tests. A series of organic substrate and nutrient combinations were tested to determine removal effectiveness, optimum supplement concentrations and ratios. Final column testing was conducted to determine the chemical stability of the treatment by-products/treatment compounds by dosing the columns continuously with elevated redox untreated alluvial groundwater.

Jan 1, 2002

By Peter J. Tarkoy

The use of personal computers (PCs) is increasing in underground construction applications, specifically, for estimating, record keeping, construction performance analysis, project cost reporting, and the effective application of construction experience for estimating and aggressive bidding. Applications particularly suited to the PC are analyses of construction performance and differing site condition claims. The advantages of using a PC in the analysis of differing site conditions claims is that the PC: requires quantitative and factual data, allows vast data manipulations, calculations, and sorting, and provides a simple graphic representation of complex data and issues. The restrictions imposed by a PC are conducive to the focus on essential facts, issues, quantitative analyses, and inherently, the truth. As computer thinking is established, a clearer, more precise and accurate focus on the elements of a differing site condition is essential for successful evaluation and presentation.

Jan 1, 1987

By Timothy D. Arnold

Barrick Gold’s Bullfrog underground mine, near Beatty, NV, was established as an after-thought to the main open pit. As open pit ore dwindles, the underground mining became increasingly more important as an ore source, and to the overall economics of the project. This situation is similar to many other mines. Today, there is a move towards underground mining in the United States. There are inherent problems in starting and operating underground mines in the shadow of any open-pit operation. Several attempts were made at the Bullfrog Mine for productive increases. Some were successful, while others were not.

Jan 1, 1996

By Stephen Phillips, Luigi P. Gonano

Vertical circular shafts have been proposed for multiple access to high level nuclear waste deep geologic repositories. Shaft construction is a critical path item in the commissioning of a repository. Other constraints on the shaft design and construction criteria include the lack of design precedence for long term performance and the importance of minimizing rock and groundwater disturbance. A comparative evaluation of conventional and mechanized shaft sinking techniques is presented in the context of the particular geologic and design constraints. Technical and non-technical factors for blind drilling, blind boring, raise-reaming, drill-and-blast and ream-and slash methods are reviewed for typically "hard rock" and "salt" type repository sites. Appropriate shaft designs are developed, the suitability of each method to the particular requirements evaluated and construction costs and schedules determined. The explicit appraisal of the significant design factors for each method serves as a rational basis for the preliminary selection of the most suitable sinking technique for a particular set of site/design conditions.

Jan 1, 1983

By R. Oler

The need for yieldable ground support, particularly in high stress or deep mining conditions, has grown in recent years. This paper highlights some of the current industry limitations and provides selection criteria for a new yielding ground support system, DSI?s Dynatork Bolt. This bolt distinguishes itself by withstanding 16 ? 30 kJ of energy deflecting loads anywhere from 7 ? 20 tons (depending on the energy). A summary of the laboratory test results and case studies will also be presented as a measure of the performance of this dynamic product.

Jan 1, 2012

The reduced need for traditionally trained and educated personnel in the mining industry is systemic to the changing mining industry. Our universities and other training institutions are doing just fine meeting the traditional skill needs required by the industry. But are the skill needs going to be the same in the near future? The answer may be NO!! Mining is changing: increased liabilities and costs of environmental and safety issues; lower grades of minerals in traditional mining activities; the advent of new bio-chemical processes and robotic equipment as more productive and economic alternatives; and, larger more sophisticated and automatic equipment. Engineering is more specific, accurate, precise and expensive. Measurement is more thorough and timely of progress, production, costs, and productivity. And we will be engaging in more undersea mining, possibly space bases processing, less human interaction, and more remote control of events than was ever thought possible in the past. This paper presents several of the systemic changes that are presently and will continue to change the face of mining. It will identify area where education and management will have to address these changes.

Jan 1, 2011

By R. L. Grayson

Focusing on relationships between severity measure versus productivity and other factors, this paper presents a comprehensive study of injuries for U.S. underground coal mines in 1996 by mine size. Based on analyses of data, generally the larger the mine, the more productive it is (in tons per employee-hour), but the more severe is its injury experience (r = 0.65). Within very large, large, and medium mine sizes, however, the more productive the mine, the less severe is its injury experience (r =-0.43, -0.36, and -0.26, respectively). For small and very small mines, a more deeply nested analysis is required to understand relationships. Other interesting relationships and comparisons are presented.

Jan 1, 2000

By B. A. Slaker

The ability to detect and quantify ground movements in underground mine workings is of the utmost importance to the safety of miners and continuity of operations. Rib sloughage is one of the most common forms of underground deformation. Remote sensing techniques, such as laser scanning, can be used to quantify this rib sloughage, by recording precise, timelapse point clouds of mine workings. In order to determine sloughage volumes and locations, two sets of laser scans were performed 42 days apart at a working section of an underground limestone mine. During this period, significant sloughing and scaling occurred, allowing for differentiation between the initial and final point clouds. Volumetric changes of 2.3-2.6 m3 were detected on rib faces during the time-lapse study. In addition, displacement in the mine roof was, as expected, not detected, suggesting well surveyed scans and an appropriate scan resolution.

Nov 1, 2013

By T. R. Ellis

Australia’s mineral valuation code continues to evolve, while mineral valuation standards are also being written for Canada and Southern Africa. The author is leading a task force for writing the extractive industries addition to the International Valuation Standards. Meanwhile, the International Accounting Standards Board is continuing the development of an extractive industries addition to its International Financial Reporting Standards, with an emphasis on valuation reporting. This paper analyzes the need, content and ownership for a U.S. minerals appraisal standard in the context of both these developing international standards and also existing U.S. regulations and appraisal standards. The author provides many questions for research and debate.

Jan 1, 2003

By Setareh Afrouz, Emily Sarver, Cigdem Keles

The resurgence of severe lung disease among US coal miners since the mid-1990s has led to efforts to better characterize and monitor respirable dust exposures, particularly focusing on mineral constituents from rock strata surrounding the coal. A rapid analysis method for silica (quartz) mass using direct-on-filter Fourier transform infrared (FTIR) spectroscopy has been developed, which can also estimate kaolinite, a primary silicate mineral in many coal mines.

Feb 24, 2022

By George A. Lawrence

A new super-large 100 m3 (3500 A3) pneumatic mechanical flotation cell is now available to meet future mineral processing challenges. Several innovative design concepts represent a marked departure from conventional flotation cell designs. The radial discharge from the pump action rotor and the overhung vane type stator is contained in a conical bottom cylindrical tank with no dead comers. Peripheral launders collect froth overflowing the entire circumference of the tank and these launders are of a hexagonal design permitting cells to be nested together in a honeycomb fashion. This new flotation cell is powered by a custom designed hydraulic motor package that provides infinite speed control in individual cells and a soft start under load

Jan 1, 1993

Coal that meets customer specifications is often stored in silos before being loaded into cars. It is often found that coal in a particular car does not meet customer specifications due to the mixing of coal inside the silo. Some new contracts require meeting specifications on a per car basis. Silo flow models are used to predict quality in such cases. However, coming up with an accurate silo flow model for each case is very difficult and time consuming. This paper examines the viability of using an online analyzer at the loading end of the silo in conjunction with a feedback circuit, to optimize the quality of the coal being loaded into trains, so that each car meets quality specifications.

Jan 1, 2000

By E. Arioglu

Discussion by E. Arioglu Y. Luo and S.S. Peng are to be congratulated for their outstanding paper providing new results from surface subsidence monitoring over longwall panels under different conditions. This writer found the authors' paper very interesting. In reference to this paper, the following contributions are offered: • In the paper, the maximum possible subsidence [(ASmax)] induced by chain pillar convergence has been related to a parameter (h/1- p) by linear regression. (Notations are expressed in this discussion's Fig. 1 (b).) It is a well-known fact that in a goaf the roof lowers onto broken material that gradually compacts. Then the physical behavior of goat may closely follow the compaction characteristics of broken materials. In light of this assumption, a mathematical means (Fig. 1(a)) of defining the expected compaction (i.e. surface subsidence) represents an exponential expression between [ASmax/m vs. h/1-p]. This is based on Luo and Peng's field observations from the Appalachian, Illinois and Alabama coal fields. (The coefficient of regression "r" under consideration was computed to be 0.883). • According to Wardell's (1969) findings for board and pillar mining, the maximum possible subsidence can be expressed in terms of maximum pillar loading (depth, ratio of extraction) and the height-to-width ratio of the pillars left. Using Luo and Peng's 1991 results, this writer discovered a regression equation between the above-mentioned factors. As displayed in Fig. 1(b), the functional expression approximates as closely as possible the observed subsidence data. It may be noted here that Wardell's approach (1969) can be successfully utilized for longwall panels having chain pillars. Reference Wardell, K., 1969, "Ground surface and control," Mining Congress Journal, January, pp. 1-7.

Jan 1, 1993

By Ma. X.

Passive seismic imaging is applied in underground mining to analyze the stress redistribution after the occurrence of a major seismic event. The velocity model is established to be utilized in velocity inversion. By comparing the images from velocity tomography on two different time scales, the average velocity of a mining area decreases significantly after the major event. It is highly likely that the stored energy level drops due to the occurrence of a major event. Also, total energy stored in micro-seismic events for each day is summed up and the energy change trend is plotted to illustrate the correlation of energy with a major event.

Feb 27, 2013

By William Gleason

"It is the largest mining exhibition in the world that attracts thousands of attendees from around the world to Las Vegas, NV once every four years. Despite the recent struggles in the mining industry, MINExpo International 2016 promises to be as big as ever. In the following pages, Mining Engineering takes a look what some of the more than 1,800 companies plan to showcase during the three-day exhibition.CaterpillarCaterpillar will support MINExpo 2016 with an exhibit showcasing machines, technology, expertise and practical knowledge that miners can apply to help address their cost, productivity and efficiency challenges in today’s mining environment.Caterpillar will once again occupy the largest space at the event and will showcase both surface and underground machines, but the talk at the booth will focus on how Cat technology and know-how combines to help mining operations address and solve the issues that are most important to them. The main stage in the exhibit will feature presentations describing how mining companies, Cat dealers and Caterpillar work together to improve operations.“The challenge for all in the mining industry now is to optimize operations — to drive costs down while creating sustainable businesses that can weather downturns,” said Caterpillar Resource Industries group president Denise Johnson. “We believe that through our expertise and the knowledge of our dealers —combined with innovative technologies and our growing data analysis capabilities — we can help them not only survive, but thrive in these challenging times.” Johnson was selected by the National Mining Association (NMA) to chair MINExpo 2016. “Chairing this show is a great honor, and it’s a testament to Caterpillar’s partnership with this critical industry,” she said. “We’re proud to be a long-time supporter of the NMA, and we are excited to participate in another MINExpo. It’s an opportunity for us all to learn from each other how to increase productivity, control costs and improve overall operations.”Surface mining displays. The surface mining section of the Caterpillar exhibit will showcase the new MD6420C rotary drill. This is autonomy ready and optionally equipped to leverage the safety and productivity benefits of Cat MineStar Terrain. This high-precision drill management system optimizes utilization and improves drilling and blasting operations by accurately guiding the operator and improving precision of hole placement and drilling depth — and the next step is fully autonomous operation, Command for drilling. The third-generation drill incorporates proven Cat components throughout for superior reliability and durability."

Sep 1, 2016

By L. Lacerda, C. Rose, E. Zellers

Approximately six hundred air sample measurements were taken at several U.S. underground metal/nonmetal mines in 1998 and 1999. This air sampling effort was organized by the Nevada Mining Association to evaluate mining conditions and to evaluate the Mine Safety and Health Administration’s (MSHA) Proposed Rule on Diesel Particulate Matter Exposure of Underground Metal and Non-metal Miners. MSHA’s proposed air sampling method, NIOSH Method 5040, was tested under controlled conditions and under normal mining conditions. Unfortunately, NvMA sampling results have indicated that carbonaceous rock dust, oil mists and even cigarette smoking create severe sampling interference problems for NIOSH 5040.The main conclusion was that NIOSH 5040 did not distinguish between DPM and other airborne carbon particulate. Thus, it is not a reliable method of accurately and unequivocally measuring DPM in underground metal/nonmetal mines.

Jan 1, 2000