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By John J. Dran

[This paper summarizes the more popular mineral valuation techniques being used by the dining industry, and attempts to demonstrate how they are Interrelated and where some are in error when compared to modern methods of financial analysis. The academic community and the larger and more sophisticated raining companies, have largely rejected the older valuation methods such as the, Hoskold and Morkill concepts and replaced them with "discounted cash flow" (DCF) techniques. The relevancy and usefulness of the older methods have been questioned primarily on the basis of their underlying assumptions that mining companies do not have numerous alternative investments and must use sinking funds deposited at market or ?safe" rates of return to recover the purchase price of mineral reserves. The ability to reinvest In numerous (often non-mining} alternative business ventures, the changing purchasing power of the dollar, corporate income and other taxes, depreciation and depletion allowances, and modern financial management practice, all mitigate against the continued use of the older valuation methods, especially for the larger mining companies. Snail mining companies and Individuals still use these methods largely out of habit and familiarity. This paper attempts to point out the weaknesses and strengths of the valuation methods In current use in the hope that these techniques may be better understood and [rcrn] appropriately applied.]

Jan 1, 1973

By D. R. Spears

The U.S. Bureau of Mines has had an ongoing interest in developing new reagent schemes for floating Stillwater, MT, chromite ore. Previous reagent schemes have been unsuccessful in achieving complete separation, primarily because little is known about the surface chemistry of the minerals in this ore. In order to design a rational reagent scheme, a study of the binding of various functional groups (R = -H, -OH, -CO2H, -NH2) on the two components (chromite and forsterite) of the Stillwater chromite was undertaken. Electron Paramagnetic Resonance (EPR) Spectroscopy was used to determine the adsorption isotherm, from a cyclohexane solution, of spin-probes which contained the functional group of interest. This was complemented by studies of the saturation surface coverage of the spin probe on the two minerals. In each case, more sites existed on chromite than forsterite; however, the forsterite sites were more strongly binding for each functional group. The results are discussed in terms of their implications for flotation.

Jan 1, 1994

By R. Brantley Sudderth

There are three broad categories in which most solvent extraction technology can be distributed?: 1) reagents, 2) equipment, and 3) systems. Reagents which are now used in commercial solvent extraction plants are of many chemical types, and each possesses certain properties which make it more economically desirable than another alternative. The equipment which is' used in solvent extraction plants for contacting the organic and aqueous phases and separating the same is varied. Most common to the industry is the mixer-settler unit which in itself, can be of varied design; but many new innovations in contacting and separating equipment have been recently introduced or are :now being studied. Each specific solvent extraction application will often dictate the type of contacting and separating equipment used. Obviously, the trend is toward smaller less expensive equipment which reduces the often expensive organic inventories necessary for most solvent extraction plants. The current thrust of .investigations in ancillary equipment is usually aimed at recovering organic from solvent extraction sludges or from aqueous streams exiting the process.6 This type of equipment helps to reduce the total organic losses from solvent extraction plants and thus reduce the operating costs. The term "systems" in solvent extraction applies to the manner in which a solvent extraction process is carried out. This manner is usually dictated by the properties of the reagent which is used, and it involves a tailoring of the equipment or the process flowsheet. Some of the things which can be tailored are: 1) The aqueous media -whether acidic or basic and what type of acid or base 2) Counter-current or single stage (co-current) contacting 3) EMF or pH control 4) Organic "crowding" alternative 5) Heating or cooling process streams Regardless of the type or extent of tailoring, efforts to do this are usually a result of the low cost of solvent extraction as a unit process.

Jan 1, 1977

By J. A. Bradbury

N. A. Degerstrom, Inc. has constructed and operated a processing plant approximately five miles north of Soda Springs, Idaho for processing a byproduct phosphate treater dust from Monsanto's elemental phosphorus plant, also located in Soda Springs. The plant is designed to produce agricultural-grade phosphoric acid, gallium, and silver. The design capacity of the plant is 54.4t (60 st) of treater dust per day, which can produce 16,326t (18,000 st) of phosphoric acid, 6,600 kg of gallium, and 6,033 kg (194,000 oz.) of silver per year.

Jan 1, 1993

And a new generation of safety culture experts are telling mining companies how to use it: It is a situation that is still too common in the mining industry: the latest personal protective gear is in place. The safety rules are known and followed. And then, in a moment of inattention or carelessness, a mistake is made and someone gets hurt or killed. Common wisdom claims that such accidents are impossible to eliminate entirely. Mining is dangerous, and some miners will always be hurt and killed. An increasing number of mine safety experts, however, reject the common wisdom. A year with zero mining deaths is possible, they say; with the use of one of the newest weapons to the mining industry in the safety war: the concept of safety culture. Safety culture refers to the set of attitudes, beliefs, perceptions and values that influence safety in the work environment. It is also sometimes called the way an organization behaves when no one is watching. Robert Peters, of the Office of Mine Safety and Health Research (OMSHR) at the National Institute for Occupational Safety and Health (NIOSH), describes safety culture this way: ?It?s what?s believed on a day-to-day basis. For example, if a miner sees a workplace hazard and he truly believes that his boss wants him to identify the hazard and bring it to the company?s attention, that would be an example of a positive safety culture.?

Jun 1, 2010

By R. W. Reisinger

An historic underground copper mine in Wyoming is discharging neutral but copper-laden water into a pristine creek. The EPA-deferred site qualifies for reclamation by the Wyoming Abandoned Mine Land (AML) program; restoring the discharge so that the creek can eventually support a trout fishery is the cleanup goal. Hydrological and geochemical investigations underground have suggested two sources of mine water: one clean and the other copper-containing. Results of bench-scale and pilot-scale tests support the viability of using low-cost passive treatment techniques to reduce copper concentrations in the near-freezing mine discharge.

Jan 1, 1998

By James G. Sack, Donald G. Wieland, James H. Meinholz

The paper will describe the $1.7 billion Milwaukee Program. Past contracting practices of the Milwaukee Metropolitan Sewerage District are discussed. To minimize costs and claims, the MMSD has implemented some recommendations from Better Contracting for Underground Construction. Currently implemented are: full disclosure of subsurface data including interpretations, the deletion of disclaimers relating to subsurface information, use of the federal Differing Site Condition clause, payment for mobilization. Also considered was the recommendation concerning Wrap Up Insurance. The MMSD shares and allocates certain designated risks through the Contract. A claims handling methodology has been developed and used on this major construction program.

Jan 1, 1983

Although there was a significant improvement in the world economy, recovery in the iron and steel industry followed its traditional pattern and lagged the general economic recovery in 1983. World crude steel production increased from 645 Mt (711 million st) in 1982 to 664 Mt (732 million st) in 1983, an increase of less than 3%. Domestic iron and steel production showed a modest increase over 1982. Weekly raw steel pro¬duction levels ranged between 1.5 and 1.75 Mt (1.6 and 1.9 million st) for the last 10 months of 1983, compared with less than 1.25 Mt (1.4 million st) for the last half of 1982. The peak was 2.5 Mt (2.7 million per st) per week in 1978-79. This how level of steel operations kept most pelletizing and sintering operations at curtailed production levels. Extended shut-downs of pellet plants were also common. Pressure by management to reduce operating costs has continued with an increasing emphasis on maintaining quality and efficient unit productivity. With the extended decline, there have been significant personnel reductions in both operating and headquarters staffs. Many companies are anticipating a long-term how growth period in the iron and steel sector. Pelletizing Domestic pellet production showed a slight increase last year to about 34 Mt (38 million st), less than 50% of total capacity. What is indicative of the inevitable is the announced intention to chose down facilities, such as US Steel Corp.'s Atlantic City ore operations pellet plant at Lander, WY, and the recent aborted move by US Steel to purchase National Steel with the apparent intent to chose the National pellet plant in Keewatin, MN. There is excess domestic pellet capacity that will not be needed. The question is what form attrition will take. South American pellets can be brought into the Chicago area at a cost competitive with Great Lakes plants. This raises the possibility that imported pellets can, in fact, displace domestic pellets at almost any US steel plant. The need to re duce total production costs at domestic pelletizing plants is crucial. Efforts to reduce fuel costs for pelletizing have focused on re placing natural gas or fuel oil with coal. More recently, petroleum coke has become available at an attractive cost, but systems must cope with its higher sulfur con tent, which limits its potential The direct firing of grate-kiln systems with pulverized coal hay been fully proven. The use of solic fuel in the straight-grate process however, is still being developer and no straight-grate system i running on solid fuel alone. The further development o coal-water slurry systems may provide a suitable fuel for both systems. It would appear, how ever, that the same ash quality restriction would hold for coal water systems as for direct-firin systems. So, the choice is based of the relative cost and convenience of a wet-grinding system with additives, compared with a dry-grind direct-fired unit. The high-temperature (two stage) heat recuperation system installed at US Steel's Minnta plant (Step III) has provided the fuel savings anticipated, any modification of additional in durating lines is planned. Other operators are hooking at similar heat recuperation improvement. Another area of potential cost savings has been in the reduction of bentonite requirements. A CCI's Tihden plant, major improvements have been made in this area. Progressive bentonit reductions were achieved over several years from the 8- to 9-kg (16- to 18-lb per st) range to the 5-k (12-1b) level by progressive moisture reductions and chose attention to operating practice. Further reductions were achieve by raising bentonite specifictions. In this instance, the wate plate absorption test specifia

Jan 5, 1984

By C. B. Kettering

In the early operations of the Inspiration Consolidated Copper Company, which extended from 1914 to 1926, the ore as mined contained principally sulphide copper minerals, manly chalcocite (Cu2S), This ore was milled in a 20,000-ton concentrator and the copper was recovered as a flotation concentrate which, was smelted at the nearby plant of the I ternational Smelting and Refining Company. In those days no attempt was made torecovercopper from any oxide minerals present. As mining operations progressed it soon became evident that the proportion of oxide minerals present would steadily increase, and. it was realized that some method of treatment would have to be developed whereby copper could' be recovered from both oxide and. sulphide minerals contained in the ore. A research program was instituted and after some years of experimental and, pilot plant work a new hydro-metallurgical process was developed whereby it became possible to extract copper from both the oxide and. sulphide minerals in a single leaching operation. The solvent adopted consisted of a mixture of sulphuric acid and ferric sulphate,' Following dissolution, the dissolved copper would be recovered by electrolysis. Also in the process of electrolyzing, spent solutions of sulphuric acid, H2SO4, and. ferric sulphate, Fe2(SOk)3, would be regeneratede and. somade available for continuous reuse. The process appeared to be a success and the decision was made to build a full-sized leaching plant for the future treatment of I spiration mixed ore. Construction was started and the leaching plant was completed in 1926, With the start of ferric-sulphate leaching the Inspiration Concentrator was shut down and, with the exception of a few short time runs has not operated since that time. The ferric sulphate leaching process served. Inspiration well for some 30 years and during that time won a name for itself as a classic example of hydro-metallurgical treatment of mixed sulphide oxide ores. Originally the plant was designed. to process some 7,500 tons per day of a mixed ore containing about 1,2% copper, of which 60% was present as oxide and. 40% as sulphide, Down through the years various improvements were made for the purpose of increasing plant capacity and as well to change the limiting 'factor of sulphide-oxide ratio, The final result was a leaching capacity of 9,600 tons per day when treating a 1% copper ore with a reversal of the sulphide-oxide ratio to 60% sulphide and 40% oxide.

Jan 1, 1958

By T. M. Gurr

In response to concerns voiced by local, state, and federal agencies and various environmental groups, the Central Florida Phosphate Industry and various governmental agencies have been investigating methods to accelerate the consolidation of waste clays generated during phosphate washing and beneficiation processes. The objectives of research efforts have been to reduce the storage volumes required for clay waste, accelerate reclamation and to return the land to approximate pre-mining topography. Government and industry research to accelerate waste clay consolidation has evolved two general methods: gravity thickening and chemical flocculation. Gardinier, Inc. one of the phosphate mining companies, evaluated the use of synthetic (polyacrylamide) flocculants as an alternate waste clay thickening method in response to mining conditions encountered at their Fort Meade Mine and the proposed North Hardee County extension of the Fort Meade mine (Figure 1). After considerable research and evaluation, the Alsthom-Atlantic Clariflux Super-flocculation method was chosen by Gardinier, Inc. as a method to seriously consider for use at their Fort Meade mine.

Jan 1, 1986

By L. B. Rothfeld

In anticipation of RCRA reauthorization and subsequent rulemakings, the Bureau of Mines is studying potential economic impacts of RCRA on mining. For U.S. copper heap and dump leaching operations in a variety of terrains, the cost of liners and closure caps to comply with RCRA Subtitle D ranges from $55 million to $158 million per site, or about $500,000 per hectare ($200,000 per acre). If RCRA technology requirements and financial assurance had been required on current operations, 27 to 100% of production from heap and dump leaching would have been non-competitive at market prices between $2,310 and $1,650 per metric ton ($1.047 and $0.75 per pound) copper. This result is based on an analysis that considers return on capital, corporate overhead, marketing, and freight costs as well as operating and maintenance costs at the mine. Over the same price range, economic analysis using the IMPLAN input-output model on one-or two-county regions indicates potential net job losses of about 570 to 2,700 jobs. Total economic output of those counties could be reduced by about $180 million to $360 million.

Jan 1, 1994

By C. W. Baxter

Eveleth taconite company was formed in 1963 to mine and beneficiate taconite on the Mesabi range of Minnesota. Its thunderbird mine is located midway between the cities of Eveleth and Virginia, Minnesota, and the crude ore is transported by rail to its Fairlane plant approximately ten miles to the south of the mine, "figure 1". As is implied by the names of the mine and plant, the ford motor company is the principal owner of Eveleth taconite company, with an 85% interest, Oglebay Norton company holds the remaining 15% interest and also is the managing agent.

Jan 1, 1972

By B. Berhe, R. D. Lawrence, J. Hinzer

"The fortunes of mining companies and their implied value are tied to cycles - both economic and commodity – within which they operate. Hence the determination of appropriate future metal prices is one of the most critical factors faced by mineral valuators especially for advanced projects. Price, and hence revenue, is usually the most sensitive input to the valuation model. Empirical studies of past forecasts show that the success rate for commodity price forecasting is very poor. This paper explores various approaches and comments on their strengths and weaknesses. We conclude that careful evaluation of long-term metal prices is a key element and is hardly a luxury that can be left to simple averages or rules of thumb. INTRODUCTION Discounted Cash Flow (""DCF"") analysis, is well suited for the valuation of advanced mineral development assets, for which there are identified mineral resources and some form of economic assessment (Pre-Feasibility or Feasibility Study). The DCF method is also the most commonly used method for determining value for such assets. It provides a means of relating the magnitude of expected future cash flows from profits (or losses) to the magnitude of the initial cash flow (investment) needed for capital expenditures to purchase or to develop an asset for commercial production. The method proves useful in making investment decisions as it allows for the quantification of the Net Present Value (“NPV”), as well as the Internal Rate of Return (IRR) and Payback Period on initial investment capital. Valuation by its very nature is a forward-looking exercise. The DCF method attempts to estimate the NPV of expected future cash flows, by selecting factors that will likely affect future cash flow based on informed analysis. One of the most critical and sensitive factors is the determination of appropriate future commodity prices. “The variables that have the greatest impact on a DCF evaluation are the reserves, the metal prices, and the discount rate.”1 The determination of future commodity prices for valuation purpose or during M&A negotiations is a hotly contested issue. There are a number of analysts, institutions and specialized commercial data suppliers that provide both short and long-term commodities price forecasts. Also, the use of an aggregated mean for all available forecasts, or consensus forecasted prices for valuation purposes is not uncommon. The methods used in making forecasts for each forecaster may vary and in many cases may not be publically disclosed. Nonetheless, the aggregated mean of all forecasted commodity prices of reputed institutions is usually taken to “represent the market’s view of likely future commodity prices.”"

Jan 1, 2016

By Dirk van Zyl

Pad construction costs can impact the overall economics of heap leach projects. Pad construction costs for single-and double-lined pads, using various designs, are listed for a typical small and large project. Double-lined pads are now more often required by regulatory agencies. Unless such designs reduce the risk of site specific contamination significantly, the extra costs cannot be justified from an economical viewpoint. Specific attention is given to the short project life (typically five years) of heap leach projects. A few numerical examples are presented to demonstrate the overall economic impacts of these costs on economic parameters.

Jan 1, 1990

By C. A. Summers

The U.S. Bureau of Mines applied process mineralogy to investigate a lead and zinc deposit located near Story Creek, Colville Mining District, Alaska. Mineralization is hosted by the Kayak Shale in veins, veinlets, and breccia. Sphalerite and galena, with supergene anglesite, occur in symmetrical quartz veins and between breccia clasts. The study sample analyzed 2.11 percent Pb, 5.37 percent Zn, 0.014 percent Cu, and 1.2 oz/ton Ag. Analyses of crushed products showed that 33 percent of the sample weight, and more than 50 percent of the Pb and 65 percent of the Zn, are in the minus 850 µ m fraction. Liberated grains of sphalerite and galena were found in crushed products finer than 300 µ m. Beneficiation tests indicate the material is amenable to processing by traditional gravity and flotation techniques.

Jan 1, 1993

By R. K. Steinhorst

Multivariate cluster analysis, MANOVA, canonical analysis, and discriminant analysis of hydrochemistry data were used to investigate the directions of ground water movement in basalts in the vicinity of the Hanford Reservation, Washington. The statistical analyses indicate that the hydrochemistry of the ground waters in these basalt formations is distinctly different on each side of the Columbia River. This suggests that the river is a ground water divide or that the river is roughly coincident with a hydrogeologic barrier boundary. The statistical procedures used in this study constitute a quantitative means for differentiating ground waters according to hydrochemistry.

Jan 1, 1990

CVRD was established on June 01, 1942, during the Second World War, through an agreement between Brazil, the United States and the United Kingdom, to produce 1.500.000 tons/year of iron ore from Itabira mines in the State of Minas Gerais. As a result of several circumstances and political problems (the end of the 2nd World War reduced the Anglo-American support to its development and implementation), the venture just reached the originally targeted production 10 years after its establishment, operating within a mine, railway and port integrated system. Currently, this operational system from the South of Brazil owns mines in the State of Minas Gerais with an annual capacity of approximately 65 million tons, 900 km of railways, of which more than 500 km is a double line railway, six pelletizing units and the Port of Tubarao for ships with large carrying capacity.

Jan 1, 1994

By V. E. Housman

EPA's Mining Waste Section within the Office of Solid Waste is continuing to collect and analyze information on mining waste management practices. Starting in 1991, the Mining Waste Section has continued to conduct site visits and prepare case study reports on the waste generation and management practices of operating mines. In choosing sites to study, a reasonable attempt was made to provide diversity in mining commodity types, geographic regions, geology, climate, and environment. To date, EPA has visited the following mines: Asarco Troy (copper) in Montana, Newmont Rain in Nevada (gold), Cyprus Thompson Creek (molybdenum) in Idaho, LTV Steel (iron) in Minnesota, Phelps Dodge Morenci (copper) in Arizona, Doe Run Fletcher (lead) in Missouri, Brewer (gold) in South Carolina, IMC Four Corners (phosphate) .in Florida, Pennzoil Culberson (sulfur) in Texas, Nerco Cripple Creek (gold) in Colorado, Copper Range White Pine (copper) in Michigan, Magma San Manuel (copper) in Arizona, Colosseum (gold) in California, and several gold placer mines in Alaska, including the Valdez Creek Mine. EPA has prepared a case study report on each facility. The mine operators were provided an opportunity to comment on their respective site visit report and their comments have been included in' each respective report. These site visit reports have in turn been incorporated into technical resource documents which provide a detailed description of each mining sector. EPA is currently reviewing the technical resource documents and plans to release the documents in the Spring of 1994.

Jan 1, 1994

By James G. Mock

The choice of equipment to be applied to a given installation by the Application Engineer begins with the data as presented to him by the user. This point in the relationship establishes a communication link, which will decide whether or not the correct piece of Overhead Equipment is applied at the most economic advantage to the user. The role played by the user cannot be minimized. No one knows better than he, just what work he expects to accomplish with this piece of machinery. However, all too often, he oversimplifies the requirements, and along with minimal crane and building parameters, merely refers to one of the following crane classifications as defined by The Crane Manufacturing Association of America, as shown in Figures 1, 2, 3, 4, 5, 6 and 7. This approach places the ultimate user in an unfair position, since he has then assumed the status of the machinery designer and must, therefore, assume the responsibility of the success or failure of the operation of that piece of machinery. If the user selects a Class "C" crane for his job requirement, when actually a Class "B" crane can adequately handle the work load, he is not offering the most economic solution to his company and added little to the cranes service capabilities.

Jan 1, 1973

By W. G. Pariseau

A study of coal pillar strength was done at the Beehive Mine during a three year period, 1974?1977, in a cooperative effort involving the University of Utah, RE/SPEC, Inc., and the American Coal Company (Pariseau et al, 1977). The Beehive Mine is located in the Wasatch Plateau coal field in central Utah near Orangeville, Utah, where mines are developed from outcrops between steep canyon walls with topographic relief of a kilometer or so (3,600 ft). Coal is found in Cretaceous sediments that dip gently to the west. Detailed geology of the Wasatch Plateau is described by Doelling (1972). Mining was done in the Blind Canyon seam. An earlier Deseret Mine worked the Hiawatha seam that is lower in the stratigraphic column by about 36 m (120 ft). Mining progress and ownership changes occurred in time with mine mergers and name changes eventually to the collective Des-Bee-Dove label. At the Beehive Mine, depth varied with topography but was approximately 360 m (1200 ft) on average; seam thickness varied from 1.5 to 6 m (5 to 20 ft) and usually required two passes of the miner. The mine was eventually closed and finally reclaimed in 2003. Semborski and Oakley (2006) present a brief history of the mine and describe the reclamation work in some detail. Figure 1 shows the surface topography in the vicinity of the mine that is in the center of the figure.

Feb 23, 2014