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By E. L. Day

"In the early 1930s during the course of test work with a simple gold ore, it was evident that the time required to dissolve the gold by cyanidation was very much longer than should have been needed theoretically for the maximum size gold particles in the ore, A similar conclusion appeared to be valid for other gold ores. In a cyanidation system there are many factors which can influence the dissolution rate of gold, and a decision was made to investigate the more obvious variables, because a literature survey at the time showed that with the exception of the work of Yamazarki on the dissolution of silver in cyanide solution, virtually no attention had been given to this subject, Our work was not reported because the intention was to do this on completion of the Study, but owing to the demands on the Section's personnel for other work the investigation was never completed. Although other investigators have since studied the problem, the methods which we adopted and some of the conclusions may be of interest to metallurgists concerned with gold ore treatment.Form of GoldExperiments with gold ores were not possible because of the number of uncontrollable variables present in a gold ore-cyanidation system, therefore pure metal and reagents were used. Initially some experiments were carried out with gold leaf, but it was soon apparent that metal in this form was unsuitable because the uneven thickness of the leaf caused it to break up into pieces and. there was difficulty in determining precisely when complete dissolution had taken place, Numerous factors both expected and unexpected were found to influence considerably the results and much experimental work was necessary to establish the procedures which were finally adopted, Experiments were carried out with gold in the form of foil, wire, rings and sols. Finally, gold foil in the form of cylinders was adopted for most of the experiments although some work with gold in the sol form was included in the programme. Also some experin1ents were carried out with a gold ore to see if effects which were obtained with sodium chloride on gold sols were applicable to gold ores."

Jan 1, 1967

By R. A. Walker, G. Scheltgen, T. Javorsky, G. Blackwell

"Recent engineering advances in open pit rock mechanics have resulted in improved pit wall slope design and improved operating procedures in the event of a major wall instability. At the other end of the spectrum, on the scale of single bench failures, considerable discretion is left to the mine operators as to how potential problems are handled. The usual alternatives are either to operate with caution beneath potential hazards, or try to bring the unstable rock down. In specific cases it may be advantageous to attempt to stabilize rock structures for reasons of access and operating safety.A t the Brenda Mines open pit a prominent structure on the north wall had caused recurring bench-scale wedge failures when exposed on each mining level. In spite of operating precautions a shovel was hit by a rockfall causing significant damage. The first section of this paper describes the investigative, design, and stabilization methods which permitted subsequent mining beneath the structure to proceed without incident. Emphasis is placed on the personnel and equipment resources available at the mine site which were used to minimize costs and which would be available at most operating mines.The second section describes an ongoing research project that utilizes radio telemetry to transmit slope monitoring data. As part of this project the wedge structure was instrumented so that it could be continuously monitored with the aid of a computer. The application demonstrated the potential of 'micro- chip' technology to remote data collection and processing as related to rock structure monitoring, slope stability and safety."

Jan 1, 1989

By N. Kacira

"Canada's largest known chromite deposit occurs in a layered intrusion in the Bird River area of Manitoba. However, numerically most of the chromite occurrences are in the Appalachians. Few, apparently minor, occurrences are also known in the Cordillera.In the Appalachians, chromite occurs as lenses and pods in dunite; they are of ""podiform"" type. The individual concentrations vary in size from a few pounds to tens of thousands of tons. Locally, chromite concentrations form discontinuous zones extending several hundred feet along strike and presumably down dip, therefore resembling boudinaged layers. Chromite layering and lineation are commonly concordant to those of the host rocks.The Appalachian chromite occurrences are thought to have been formed by fractional crystallization and perhaps also by liquid immiscibility. Their present shape and distribution are largely the result of deformation mostly prior to complete solidification of their host rocks. Therefore, the attitude of layering, foliation, lineation and other features related to deformation provide valuable guides in predicting the probable distribution of chromite, and hence are helpful in exploration.Chromites fulfilling the requirements for metallurgical, refractory and chemical grades occur in the Appalachians. Although the Appalachian deposits are similar in size and grade to some of the chromite deposits being mined elsewhere, they are unlikely to be economic, at present, in the higher wage Canadian environment. However, in case of shortages in chromite ore supply which may result, among other reasons, from increasing tendency to further processing in the producing countries, the Appalachian occurrences may become sources of ore. Such eventual shortages combined with relative abundance of electricity in Canada and recent innovations in oxide ore reduction technology may hasten the time when ferrochrome manufacture based on local chromite sources becomes economically viable."

Jan 1, 1982

By Arash Habibi

The FMC Westvaco Trona Mine is located near Green River, Wyoming and has an annual production of 4.5 M tons. The underground mine has three active development panels and one longwall panel. The mining horizon is about 500 m below surface and strata liberate methane. Three surface-based blowing fans provide ventilation air. A ventilation survey and subsequent analysis was undertaken and a simulation model developed. Air heating during winter is essential to prevent freezing of pipelines and to lesser degree, for miner comfort. Air at all three intake shafts is heated using gas-fired heat exchangers. A strata heat study was conducted in one of the active panels to determine rock attributes. Tests included in-situ measurements of rock thermal conductivity and geothermal gradient. Continuously methane monitors have also been installed in an active development panel?s return drift. Ventsim ventilation software was used to aid the heat and contaminant simulation study. An exercise was also undertaken to gain some understanding of methane contaminant levels throughout the mine. It was further used to determine an adequate surface intake air heating rate and consequently the minimum natural gas consumption needed for winter intake air heating at the mine.

Aug 1, 2013

By Dennis V. Woods, J. Duncan Crone

"In order to determine its capabilities and to aid in the interpretation of fie ld results, a scale model study and field tests were carried out on the Crone borehole pulse electromagnetic (PEM) system. The model results indicate that if a borehole passes in the vicinity of a tabular conductive body, the system will not only detect the presence of the body, but will also return information as to its conductivity-thickness product, size, altitude and position.The effect of variation of these electromagnetic and geometric factors on the shape of the response curve from a borehole PEM survey is displayed by a number of suites of scale-model response curves. These model curves can be used directly as type curves in the interpretation of field results. Field tests of a prototype PEM system provide a check on the scale-model results and also summarize the procedure of interpreting field data using the model type curves.The borehole pulse EM system can be effectively used as a follow-up geophysical instrument for locating and delineating known conductive bodies. It can also be profitably utilized as a primary geophysical exploration tool in areas of deep mineralization below the depth limit of conventional airborne and ground geophysical systems. The probed area of a diamond drill hole in these cases is increased from a 1- inch drill core to a zone extending hundreds of feet from the hole."

Jan 1, 1980

By L. A. Homeniuk, R. Bonnar

"The Athabasca Basin has been the scene of an intense exploration effort since the late 1960s, resulting in the establishment of this area as one of the major uranium districts in the world.The A thabasca Group is of Helikian age and unconformably overlies metamorphic rocks of Aphebian and Archean age. Most of the known uranium deposits have a close spatial relationship with the unconformity, graphitic meta-sediments, major northeast-trending structures and the basin edge. It should be noted that, in regard to the latter, some of the Cluff Lake deposits are exceptions.The pre-Helikian rocks underlying the Athabasca Group have been divided into six Iithostructural domains. The known uranium deposits are concentrated in the Wollaston and Mudjatik domains in the southeastern portion of the basin.The orebodies typically have a narrow high-grade portion below the unconformity and a broader, lower-grade disseminated zone in the overlying sandstone. Over-all grades average over 1% U3O8 and our estimate of known reserves totals more than 400 million pounds of contained U3O8. Some of the deposits have high concentrations of other metals, including nickel, arsenic, cobalt and gold. Ubiquitous chlorite and clay alteration is characteristic of the orebodies.Other Proterozoic basins in Canada of similar ages and having analogous geological settings to the Athabasca have received far less attention. Although little of the known uranium mineralization in these basins is related to the Helikian unconformity, there may be an exploration potential for deposits similar to those of the Athabasca basin.IntroductionThe Athabasca sedimentary basin is located within the Churchill Structural Province of the Canadian Shield in Northern Saskatchewan. The basin is elliptically shaped and is approximately 800,000 square kilometres in area.The objective of this paper is to summarize the various elements in the genesis of the unconformity-type uranium deposits of the Athabasca Basin and to evaluate the comparative potential of other Proterozoic basins to host similar unconformity-type deposits."

Jan 1, 1982

By G. B. Hobbs, S. Saimoto, L. Collins

"Plastic yielding and flow in metals is dependent on the microscopic process of simple shear along crystallographic planes and directions known as slip. Thus, by altering the crystallographic direction of the stress axis or placing constraints in the direction of plastic flow, anisotropy of yield strength for the same material is observed. This phenomenon is called texture strengthening. The application of this concept to highly anisotropic crystal structures such as the hexagonal group of titanium and zirconium alloys, the former in missile casing and the latter in nuclear reactor fuel tubing, seems obvious. The outstanding example in cubic structures is the case of deep-drawing steel. The R value, the width strain over the thickness strain during a tensile test, is taken as a measure of texture strengthening. In face-centred cubic structures, texture strengthening has been completely ignored on the basis that materials with R less than one are not amenable to this beneficiation. This study will review two aspects of texture which will lead to strengthening, first the thermal stability of the deformed microstructure, which is dependent on the stress axis, and second, the texture strengthening aspect of fcc metals.A review of recovery and recrystallization in textured aluminum wires, copper and cupro-nickel sheet will be presented with the view of extending these concepts to the manufacture of heat-exchanger tubing. The superior creep properties of specially processed commercial products such as TD-Ni, TD-NiCr and MAR-M200 will be shown to be a manifestation of the same physical phenomena."

Jan 1, 1981

By E. V. Manlapig, U. Erol, V. Ross, K. Tshimanga

Lonmin RoM ball mills are treating two types of feed ore produced by conventional mining and mechanised mining methods. It was reported that reduction in mill throughput was observed when treating the mechanised mining ore. Detailed grinding surveys were conducted for troubleshooting. Ore samples were collected for breakage characterisation using a JKRBT based on different particle density components. XRD analysis was conducted to investigate the association of minerals with density components. The plant surveys and the breakage characterisation tests all suggested that the two mining methods did not significantly affect either the ore breakage properties or the RoM mill performance. Instead, the mill discharge open area exerted a remarkable influence on mill throughput. The RoM ball mill operated at Lonmin K4 Concentrator has been proven to be a versatile mill that performed stably with variations in feed size distribution and feed ore changes by different mining techniques. The reasons are elucidated by the multi-component breakage characterisation and the plant surveys data.

Jan 1, 2012

By Andrew L. Mular, Robert P. Edwards

"The operation of flotation circuits is often regarded as a combination of art and science. Expert systems offer a method by which the art may be captured and supervisory control of flotation circuits fully realized. Operating knowledge, the art, can be consistently employed to enhance regulatory control through the judicious application of an expert system. Using an expert system, a supervisory control routine was developed, and success- fully implemented, in the copper flotation circuit at Brenda Mines Ltd.The expert system ran in conjunction with regulatory PI controllers on a personal computer. The expert system received assays via an on-stream analyzer and adjusted regulatory loop set points as required in real-time. From its commissioning in November, 1989, to the end of the mine 's operation in June, 1990, it was enthusiastically embraced by the operators and attained operating levels superior to those achievable manually.IntroductionExpert system (ES) software springs from research into artificial intelligence and is currently making significant inroads into business and industry. ES proponents make many attractive claims; they are a means of capturing the knowledge of experts and they can be programmed by non-programmers. To date, most uses of this software in the process industry are in off-line applications, meaning that the applications are not tied directly to operating (on-line) environments. Moreover, in on-line environments, they are typically employed as advisors and only suggest changes. Human operators are required to close-the-loop to the process. Yet, an ES should be applicable to operating environments and, if the claims of the proponents are valid, should also be better than existing tools. As an intelligent controller an ES must use the knowledge of experienced operators, apply it directly to a process and do this without the intervention of human operators. On-line applications have been successfully employed in the closed loop control of SAG circuits (Herbst et al., 1989) and flotation circuits (Hales, 1989). Harris and Kosick (1988)detail an implementation for flotation control at the Polaris Mine."

Jan 1, 1992

By J. D. Gillaspie, D. T. White

"Sulphuric acid atmospheric leaching of nickel saprolite / garnierite ores was proposed in the early twentieth century, prior to the development of the pressure acid leaching process for limonite ores. Sulphuric acid leaching with alkali addition for iron precipitation as jarosite has been considered periodically since the early 1970s, shortly after the development of the jarosite process for iron control in zinc refining. In the late 1990’s a series of flowsheets were proposed and tested involving simultaneous atmospheric leaching, iron precipitation and acid regeneration. These were considered particularly suited to sequential leaching of limonite and saprolite ores. A number of laterite sulphuric acid leaching processes utilising this chemistry have been put into commercial operation. Similar sequential leaching flow sheets involving precipitation of iron as goethite were also developed and piloted. This paper will firstly describe some of the important historical developments of both the jarosite and goethite processes. It will then provide descriptions of the commercialised processes involving alkali jarosite/alunite precipitation, with special emphasis on the downstream impurity removal requirements necessary for efficient recovery of nickel and cobalt from solution.INTRODUCTION This paper is a summary and extension of previous works with which the authors have been involved, on the subject of sulphuric acid leaching of nickel laterites (Adams, et al., 2004), (Liu H. , Gillaspie, Lewis, Neudorf, & Barnett, 2004), (White, Miller, & Napier, 2006), (White, 2009), (White & Gillaspie, 2013), (White & Gillaspie, 2015). Some of the historical developments of both the jarosite and goethite leaching-precipitation processes will be described, followed by a description of the commercialised sequential nickel laterite leaching processes, involving alkali jarosite/alunite precipitation and acid regeneration, with a comparison to the equivalent goethite based processes. These will include Jarosite Atmospheric Leaching (JAL), Goethite Atmospheric Leaching (GAL) and combined Pressure Acid Leaching – Atmospheric Leaching, termed EPAL®. There will also be an explanation of the downstream impurity removal requirements necessary for efficient recovery of nickel and cobalt from solution."

Jan 1, 2016

By A. David MacPhail

"Highland Valley Copper is a large volume producer of copper and molybdenum concentrates. Production is by conventional truck and shovel operation combined with an extensive ore handling in-pit crushing and conveying system.Grade of the two orebodies is low at 0.4% copper and 0.007% molybdenum and this demands a production rate in excess of 260 000 tpd at a stripping ratio of 1: 1. Mining cost has to be kept at minimum levels to keep the mine profitable and thus, it is necessary to keep in the forefront: of technology. As well as the in-pit crushing system, the mine has pioneered the use of shovel weighing coupled with a state-of-the-art dispatch system.Maintenance of the equipment is carried out at the on-site mine maintenance shop with assistance from local shops for engine and wheel motor rebuilds and other large jobs such as those requiring stress relieving. Shovel and truck rebuilds are undertaken by mine crews. Both long- and short-term planning is designed and scheduled in the mine engineering section. Outside consultants are used to assist in slope design, reclamation and blasting technology."

Jan 1, 1992

By C. Chongo, L. Little, Q. Mclennan

Since commissioning in 2005, First Quantum Minerals’ Kansanshi Mine in Zambia has produced over three million tons of copper and 1.8 million ounces of gold from a deposit with highly varied copper mineralization. The processing plant is complex with three independent flotation circuits, gold gravity concentration, atmospheric and high pressure leaching, solvent extraction, and electro-winning. For the first ten years of operating the plant, copper mineralogy was inferred from total copper and acid soluble copper assays, and various misconceptions developed about the mineralogy which impacted operational strategy and project decisions. In 2015, an on-site mineralogy section was set up with an Automated Scanning Electron Microscope, the Zeiss MinScan. This instrument has provided detailed mineralogical data that have debunked some of the mineralogy myths that had developed, highlighting the key underlying issues affecting processing performance. This has enabled the development of projects targeting losses of specific copper minerals in defined size classes, unlocking significant value. This paper describes some of the early misconceptions around mineralogy at Kansanshi processing plant, outlining projects that have benefitted from understanding copper mineral distribution. Learnings from Kansanshi are to be applied at other FQM sites, with a similar mineralogy program being set up at the Cobre Panama project. INTRODUCTION The deposit Kansanshi Mine is located in the North Western Province of Zambia, and it has been the largest copper producer in Africa for over a decade. The deposit occurs within a broad northwest trending antiform that can be traced for 12 km, hosted in a zone of complicated faulting, abundant vein injection, breccia development and down-dropped rock units that lies within Kansanshi’s mining license. The copper mineralization within the deposit is predominantly vein-hosted, although some is strata-bound, occurring in thin bands and veinlets parallel to foliation, and some is disseminated associated with albite-carbonate alteration (Gray, 2015). Supergene enrichment has led to significant variety in the copper mineral speciation. This alteration is complex, and has not followed the text-book principles with a neat layer of supergene mineralization overlying fresh hypogene ore. Rather, the occurrence and extent of oxidation and supergene enrichment is highly irregular throughout the deposit, sometimes occurring at significant depth in localized pockets and along fault lines. Gold mineralization tends to follow the copper within the deposit, but it is dominated by coarse-grained, free-milling native gold. The extent of copper oxidation – measured as the fraction of total copper that assays as acid soluble – is used to classify ore into three main ore types, named Sulphide, Mixed, and Oxide, which are then fed to three different primary crushers for processing in independent circuits.

Jan 1, 2019

By G. P. Demopoulos

"The recovery and separation of platinum-group metals (PGM) from primary and secondary materials currently attracts a lot of interest due to the high value of the metals and their increasing demand for high-tech applications. Thus, the traditional refining processes are gradually replaced by newer more efficient separation techniques such as solvent extraction and ion exchange. In this paper the classical and modern refining techniques are reviewed and the pertinent solution chemistry dictating proper processing strategies in each case is discussed. The technological advantages of the modern separation methods are emphasized and reference to the recovery of PGM from primary as well as secondary materials is given. INTRODUCTIONDue to their outstanding physicochemical properties, such as catalytic activity, conductivity and corrosion/oxidation resistance, precious metals now find extensive usage outside of the traditional jewellery and investment industries. The increasing use of precious metals in such areas as electronics and catalysis, as well as their increasing high value, has led to a growing interest in their recovery and separation from primary and secondary materials.Quantitatively the demand of platinum metals in the western world by area of application is described in Table I. Platinum and palladium represent 90% of the total demand, Rh and Ru 8% and the remaining is taken by Ir and Os. In terms of value the following were the average prices (US$/oz) of the metals in the second half of 1986: 500 Pt, 125 Pd, 1200 Rh, 650 Os, 400 Ir and 80 Ru. Due to these prices, exploration, mining, reclamation and refining activity were very high in South Africa, the biggest producer of Pt metals in the world, as well as in other areas: United States (Stilwater deposit), Canada (Sudbury, Marathon and Lac des Isles, Ontario; Kenly Lake, Quebec, etc.), Australia, Europe and elsewhere"

Jan 1, 1989

By John H. Fowler

"Barytes is one of the major components of drilling fluids used in oil and gas well-drilling. This mineral's close association with the petroleum industry bestows it with a commodity status not enjoyed by many other industrial minerals. Approximately 85% of world barytes production is used as a weighting agent in oil and gas well drilling while the remaining 15% is consumed mainly in the manufacture of barium chemicals, glass and as a pigment, filler or extender.Barytes mining began in Nova Scotia around 1865 and has continued until the present. Currently there are three barytes producers in the province one exporting pharmaceutical-grade barium sulphate and the other two supplying drilling mud-grade barytes to the offshore. Several barytes exploration and development programs are underway with excellent possibilities that Nova Scotia deposits will supply a significantly larger share of the drilling mud-grade barytes used in east coast drilling programs.Currently there is renewed interest in barytes activities in Nova Scotia because of its use as a weighting agent in drilling flu ids used in offshore oil and gas drilling programs.This paper reviews the use of barytes by the well drilling industry; outlines the history of barytes mining in the province, progressing to present-day exploration, development and production activities underway in Nova Scotia; and concludes with the market potential for Nova Scotia barytes."

Jan 1, 1986

By Lesley Hymers

First Nations Natural Resources Youth Employment Program PDAC Mining Matters ? Charitable organization ? Provide education to students, teachers, and the public about rocks, minerals, metals, and mining ? Provide current information and offer exceptional educational resources that meet provincial Earth science and geography curriculum expectations First Nations Natural Resources Youth Employment Program ? Provide instructional development workshops for educators who are teaching Earth science and geography ? Since 1994, reached more than 400,000 students, teachers, industry representatives, and members of the public

May 1, 2009

By C. F. Harris

Following the initial development of the zinc-lead blast furnace, efforts have been directed both at increasing the scope of the process and increasing the cash return. The paper reviews the process developments which enable the process to smelt efficiently a range of material which encompasses high-grade zinc sulphide concentrates. mixed concentrates, Waelz oxide, zinc ashes and other materials blended to give a furnace feed ranging from 25 to 65% zinc and from 1 to 25% lead, with a copper-lead ratio exceeding 1 to 8. The paper also reviews the process developments which have enabled the capacity of a furnace and condenser system of standard size to be boosted from 30,000 to 80,000 tonnes/annum. The benefits achieved are used as a justification for continuation of the development of the zinc-lead blast furnace. Predictions are made of the benefits expected from further developments.

Jan 1, 1979

By Steven Chung

Decision Network Modelling in a mining operation represents a complex process environment that is inherently more variable than a processing plant or factory. The uncertain availability of loading locations, haulage paths, loading and hauling equipment, along with inconsistent operator behaviour, cause a relatively large number of upset events that must be recognized, communicated and dealt with by the appropriate management authority. Traditional process maps that represent a deterministic model of the mining process can quickly break down in the face of such a volatile environment. An alternate modelling strategy, composed of decision networks, focuses on the interactions between goal-oriented entities and their environment, allowing system integrators to explicitly determine the information to be exchanged while providing feedback mechanisms that improve system flexibility and decision quality. This ensures a consistent framework for incrementally increasing system automation.

May 1, 2010

By Ward E. Kilby, Bruce I. Mcclymont

"Data from the South Fork Pit Area of the Bullmoose deposit in northeastern British Columbia are used to demonstrate the usefulness of microcomputers to the on-site geologist. The technique utilizes a series of digital surf aces in the form of a network of points to define various geologic parameters such as seam positions, topography and coal quality characteristics. Manual digitizing, kriging and combinations of these techniques are used to calculate these digital surfaces, the best method depending upon the type and quality of the data in question. Digital surfaces, each modelling a specific feature when combined and manipulated with the computer form a powerful tool, the deposit model. The resultant model, containing all the surfaces, is used to examine seam and inter-seam thicknesses, deposit volumetrics, seam quality characteristics and the adequacy of sampling.IntroductionCoal deposit modelling using computer-based techniques has become routine. However, a geologist working in the field, without access to mainframe or minicomputer, ha s considerable difficulty implementing these procedures. However, microcomputers, which are portable and inexpensive can handle exploration data, perform various geological analyses, and produce deposit models virtually at the same time as the data is being collected. For the on-site geologist this means that quick access to the results of such modelling could point out inadequacies in deposit definition and trends in coal quality deserving investigation."

Jan 1, 1985

By Tim J. Carew, Dennis C. Martin

"One approach to stabilization of rock slopes is to place a buttress at the toe of the slope to provide additional resisting forces and increase the length and strength properties along the failure surface. This paper describes the rock mechanics and mine planning aspects of incorporating a buttress of intact rock in the lower part of the slope as part of the slope design for the south wall of the final pit at Cassiar Mine. Stability analysis techniques and results are described. Analyses results have indicated that, in order to maintain steep over-all slopes in the final pit, a buttress of intact rock shoud be incorporated into the lower section of the slope until late in mine life. The effect of the buttress is to flatten the slope and reduce the slope height thereby improving slope stability. The mining plans would be such that the buttress would be mined out during the last four months of mining when the consequences of instability would be least severe.IntroductionThe concept of using a buttress to stabilize slopes has been used in mining and civil engineering construction in may locations (Richards and Stimpson, 1977). Most buttresses involve placement of coarse rock fill timber cribs or other material as a load at the toe of an already unstable slope to provide forces which resist failure by counteracting driving forces and increasing the length and strength of the failure path.This paper describes the geotechnical and mine planning aspects of incorporating a buttress of intact rock in the design of the south wall of Cassiar Mine. The effect of an intact rock buttress is to flatten the slope and reduce the slope height, thereby improving slope stability. No actual construction is required other than normal excavation of the slope. The ""mine plans would be such that the buttress would be mined out at the end of mine life when the impact of instability would be less severe and additional ore might possibly be recovered from the slopes. Mining of the buttress could induce instability at the very end of mine life at a time when maximum ore extraction has been achieved."

Jan 1, 1986

By Jorgen Elbrond, Yve Lizotte

"A mine evaluation method based on the use of a computer program that models mining with an open-ended dynamic program is presented in this paper. It is demonstrated with an example how the method is applied, how some of the decision variables are related in the particular industrial environment and how these decision variables affect the economic benefits of mining.IntroductionTwo distinguishing characteristics make mining a particular industrial environment: exhaustible resources of a given ore deposit and heterogeneousness of the ore grade spatial distribution in the ore deposit. These characteristics, inflation, uncertainty and cyclical price variations which greatly affect estimated cash flows also contribute in rendering difficult the evaluation of the economic outcome of mining at the preliminary planning stage.Decision variables and their ranges are associated with the mine plan; basically, they include choices of the mine's nominal capacity (mining and milling), the sequencing of mining through the deposit, the ranges of possible production rates and cutoff grades, and the stockpiling policies. The mine's nominal capacity must be decided at the planning stage, but this capacity choice must take into account flexibility to modify other decision variables as mining commences and uncertainty resolves.Although it is generally accepted in discounted cash flow analysis that the sequence of mining must proceed from the richest to the lowest-grade stopes (with correspondingly ajusted cutoff grades), this may not produce optimum benefits when cyclical price variations are considered.Mining rates and cutoff grades can also be adjusted to changing economic conditions, taking into account the limited resources of the ore deposit. Thus, when prices are thought to be in the trough of a cycle, production can decrease to preserve ore for expected greater future profits. When prices rise, mining rates can increase possibly even over the mine's nominal capacity. In both cases, the machinery's effectiveness shall not be-optimally utilized; this will be reflected particularly by the variations in the concentrator's metal recovery and the concentrate grade output."

Jan 1, 1982