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By G. V. Campbell, O. T. Holdsworth, M. G. Nelson

A senior design project is required by all accredited mining engineering degree programs. Often referred to as the capstone of a student’s education, this project is expected to include all the important components of the preliminary economic assessment of a mineral prospect, including orebody modeling, grade and reserve estimation, selection of mining and processing methods, preliminary mine design, access and utilities, environmental compliance and reclamation, and financial analysis. Two of the authors (Campbell and Holdsworth) completed a senior project in 2021. They analyzed the Akie zinc deposit located in Canada. This paper summarizes the economic analysis portion of that project. The two primary objectives of this economic analysis were risk reduction and integration of economics and engineering. Addressing risk is important as risk is one of the primary concerns in mining investments. Risk reduction was the primary concern through the entirety of this economic analysis. Integration of financial analysis and engineering design was the first component of a risk reduction design. This allowed for financial and engineering design to be optimized in conjunction with one another. This produced benefits from both a financial and an engineering prospective. From a market, economic, and financial risk perspective, risk was reduced by forecasting multiple metal price scenarios, and then addressing the Akie project’s economic viability at each price point. Lastly, risk was address through consideration of nontraditional financing options. The project also sought to minimize financial and human capital risk, by proposing mutually beneficial cooperative social relationships and favorable work, schedules. Description of that work is not included in this paper.

Mar 2, 2022

Introduction Agrico Mining Co.'s Florida mining division has three surface mines and employs nearly 700 workers. The division produces some 6.3 Mt (7 million st) of phosphate rock annually. It is a good business. And Agrico has made it better by making it safer through a new approach to mine safety. In one year, Agrico - the second largest phosphate mining company in the US - recorded a stretch of one million manhours without an accident. That same year, the direct cost of accidents dropped to $9137 from a previous five-year average of about $50,000. Together with Don Roe, division manager of safety and security, Division General Manager Don Morrow made 1981 a watershed year for safety at Agrico. Morrow called on consultants from Safety Management Services of Du Pont's Specialty Services division to strengthen a safety program that was already better than average. From the late 1970s and into 1981, lost-workday cases (LWCs) were costing Agrico an estimated average of $22,000 each. And they were occurring with alarming frequency. In 1977, the company recorded six LWCs at an incidence rate of 0.64. This was followed by a jump to nine cases in 1978. In 1979, both occurrences and the rate increased - 10 LWCs at a 1.19 rate. The number of LWCs decreased to seven in 1980, with a rate of 0.71. Agrico instituted a far-reaching safety program in 1981, which began to take full effect in 1982. LWCs dropped from five in 1981, to three in 1982. And the direct cost plummeted from $110,346 to $28,828. In 1983, the mines recorded only one LWC. Its $9137 cost represented a reduction of $101,209 since the Safety Management Services of Du Pont had been called in. Through early 1984, the LWC incidence rate at the facility's three mines, phosphate drying plant, and transportation department was down to 0.26. This is 84% lower than the 1982 mining industry average, making it the safety leader among all Agrico companies, including its chemical plants. New Approach Agrico had the basics of a safety program in place when the Du Pont consultants arrived. But Du Pont suggested changes in responsibilities and company philosophy that formed the foundation of

Jan 1, 1985

By George E. Edwards

Pacific Rim markets for export coal already represent a larger market than the total tonnage imported into the European Community countries and they will continue to expand. The largest importers will continue to be in the sector comprising Japan, Korea, Hong Kong and Tai- wan. It is likely that the total Pacific Rim markets will reach 206 m.t.p.a. by 1990 and 290 m.t.p.a. by 2000, with the major growth in steam coal demand. Australia has an efficient coal industry, represents a stable long term source of supply and is favourably situated geographically to continue to be the largest single supply source.

Jan 1, 1982

By Kelly Sands

"Mitigation may be considered a hurdle when it comes to environmental permitting. For complex projects with site specific mitigation plans, the time to devise those plans and get them approved can be a long and costly endeavor. However, mitigation options are expanding and the mitigation banking industry has grown tremendously over the last two decades, helping projects move forward with less debate. Mining companies are recognizing the value that mitigation banks provide in helping to shore up project timelines and costs. Where possible, companies are taking advantage of the opportunities to buy credits from thirdparty providers offering mitigation bank credits. In some instances, mining companies are taking matters into their own hands by establishing mitigation banks to realize their own mitigation freedom. That can have its advantages and disadvantages, as discussed below. All in all, the expansion of mitigation options has streamlined the permitting process, introduced flexibility, improved project permitting timelines and loosened the permitting girdle.Compensatory mitigationCompensatory mitigation involves actions taken to offset unavoidable adverse impacts to wetlands, streams and other aquatic resources and authorized by Clean Water Act section 404 permits and other permits. As such, compensatory mitigation is a critical tool in helping the federal government meet the longstanding national goal of ‘‘no net loss’’ of Waters of the U.S., both in acreage and function.Section 314 of the National Defense Authorization Act for Fiscal Year 2004 required the Secretary of the Army, acting through the Chief of Engineers, to issue regulations “establishing performance standards and criteria for the use, consistent with Section 404 of the Clean Water Act, of on-site, offsite, and in-lieu fee mitigation and mitigation banking.” The provision also required that those regulations ‘‘maximize available credits and opportunities for mitigation, provide flexibility for regional variations in wetland conditions, functions and values, and apply equivalent standards and criteria to each type of compensatory mitigation’’ (73 FR 19595). The result was the Final Rule on Compensatory Mitigation for Losses of Aquatic Resources issued in 2008 (33 CFR Parts 325 and 332).”"

Jan 6, 2017

By R. L. Unger

Restricted fields of vision are a common problem with underground mining equipment. Also, when lighting systems are provided, they may be positioned where they cause glare. This restricts the visibility around the machines even further. To help address these problems, the U.S. Bureau of Mines has developed a PC based software package to aid in the analysis of certain human engineering aspects of mining equipment design. The software is available for use by equipment manufacturers and mining companies for design work on new machines, as well as for evaluating proposed modifications to existing machines.

Jan 1, 1994

By K. L. Boyd

"Can the ever-increasing tonnages of ore and waste being mined today be accommodated simply by using bigger and better crushers? This paper reviews the latest primary crushing and large cone crusher designs. It highlights how—in addition to using the larger crushers now available—maximizing the utilization percentages in each of the four stages of the rock size reduction circuit will assist in meeting the larger production requirements of existing and new mining operations. Its goal is to help consultants and operators select the optimal equipment and custom-designed items in the material handling flowsheet from the mine to the mill, maximizing operating hours per year. INTRODUCTION Are larger crushers the answer to meeting the demands of existing or new mining projects for increased tonnage? Boyd (2002) predicted that larger crushers for primary and fine crushing would be beneficial and contribute to the further development of mineral processing. Larger crushers for primary and fine crushing applications are now available. The rock size reduction process from the mine to the selected milling process facility has not changed since man first broke a rock to get at the interesting mineralization within. The rock size reduction process circuit from the mine to the mill can be summarized in four stages: • Stage 1: Mining (rock breakage and fragmentation) • Stage 2: Pre-screening (scalping) • Stage 3: Primary crushing • Stage 4: Fine crushing (secondary, tertiary and quaternary) Plant throughput and ore delivery schedule will form the basis for flowsheet design and equipment selection. Once the project design criteria and the mine plan have been established, the circuit’s utilization percentage (percentage of hours when the circuit is being utilized) can be optimized for each of the four stages. The mining and process departments are the key stakeholders in the selection of the final comminution circuit, and both departments should be familiar with and contribute to the design of the circuit. This paper focuses on the four stages of a rock size reduction circuit from the mine to the mill, equipment selection, various ore and waste handling flowsheets, and improvements in crusher station design, all with the purpose of maximizing availability and plant utilization percentages. What is a large tonnage? From 1907 to 1914, the American Panama Canal excavated 300 million tonnes of material in 7 years (History of the Panama Canal, Wikipedia). Today’s large mining operations can move the same material in 10 months, using large crushers or multiple crushers for ore processing and large crushers and a mixture of truck haulage and conveyors for handling the large waste tonnages. Some examples include:"

Jan 1, 2017

By William Gleason

"It has been more than 10 years since Montana Resources’ copper/molybdenum mine has had a lost-time injury at its site in Butte, MT. With more than 350 employees and an average production of about 15.5 Mt/a (17 million stpy), which includes 29.5 kt (65 million lbs) of copper and 4 kt (9 million lbs) of molybdenum, the mine’s journey to a decade of exemplary safety is an impressive feat that has required hard work, commitment and, most of all, leadership from every level of the operation.It has not always been an easy journey, nor has it been one without scrapes and bumps along the way, but it is one that has produced stellar results. Mike McGivern, vice president of human resources, and Pete Steilman, safety manager at the mine, spoke with Mining Engineering about how the operation transformed from a site that was accustomed to collecting citations for safety violations to one that is now collecting awards for its safety record.Simply put, Montana Resources has made safety a value and the people its top priority.The operations faced many predictable challenges in 2003, when the mine was being brought back online after three years of sitting in care-and-maintenance status. It had been shuttered in 2000 because of low commodity prices and high operating costs, and, in the three years that the mine was idled, the equipment became dilapidated, and some of it was no longer in compliance. Less than half of the workforce returned to the site for the restart, and the team was challenged with getting the gears turning again to produce copper and molybdenum. But the most daunting challenge of all of was keeping the workforce safe during the transition.In the first few years of operation the mine racked up citations from the U.S. Mine Safety and Health Administration (MSHA) at an alarming pace, so much so that in May 2006, Montana Resources received a letter from the MSHA District Office informing the company that the operation was being placed on the Potential Pattern of Violations list due to its excessive citation history and high rate of significant and substantial citations. It was clear that something significant had to be done to change the course of action at the mine."

Oct 1, 2019

By William C. Peters

The frustration encountered by exploration crews in connection with land acquisition could be graphed to show a correlation with the natural law that everything tends to become more so. Figure I shows a rather common, situation. The combinations of ingredients are almost limitless and the resulting brew is often poisonous to an exploration man. A single step, that of taking a series of deep soil samples is often delayed until some sense can be made from "floating" unpatented claims which are obscure in orientation as well as position, placer claims overlapping lode claims, location posts with empty Prince Albert cans, and claims with no apparent assessment work for ten years. Add to this some patented claims with¬out monuments, a state or federal withdrawal area which may or may not invalidate pre-existing claims, a loosely defined tunnel site, and some ranchers who understandably resent the separation of surface rights from mineral rights. The picture is familiar to exploration men. One approach to such problems is to ignore them until someone voices an objection -- but then an even more chaotic situation is likely to develop. Another practice is to stake new claims to cover all ground that is "open" at first glance and then find out if there are conflicts so that the new claims can be adjusted accordingly.

Jan 1, 1970

By L. H. Michaud

A mining company plans to extend its surface coal-mining operations in central Pennsylvania. Although the proposed site contains pyritic material, the results of the acid-base accountings for the site shows an overall Neutralization Potential to Maximum Potential Acidity Ratio (NP:MPA) of 4.26:1 for the entire site. The pyritic material is, however, associated with the lower of the three seams to be mined. If traditional dragline-mining methods are used, this would result in the acidic material being placed at the top of the spoil piles, exposing it to air and water, and therefore to the formation of acid mine drainage (AMD). Further concerns are associated with the fact that the alkaline material is not distributed evenly over the mine site. To prevent the formation of AMD, the company has proposed to mine the area using truck-shovel mining methods. This technique offers a more flexible alternative for cut sequencing and for the selective placement of waste material. Working with the Department of Mineral Engineering at The Pennsylvania State University, amine plan was developed for this site. This plan results in the layering of the alkaline and acidic spoil to achieve an overall net alkalinity in all spoil areas. Therefore, mining this site should not result in the formation of AMD.

Jan 1, 1996

By D. M. Abbott

The requirements of the International Mineral Property Valuation Standards Template (IMVAL Template) (includes Petroleum), 4th edition of April 14, 2021, are based on six principles: 2.1.1 competence, 2.1.2 materiality, 2.1.3 transparency, 2.1.4 objectivity, 2.1.5 independence, and 2.1.6 reasonableness. The IMVAL Template describes “reasonableness” as, “The Valuer must ensure the Reasonableness of the Valuation. Any Valuation, assumptions applied, and any method relied upon should be reasonable within the context of the purpose of the Valuation and the Basis of Value. A method applied to the subject Mineral Property should be within the expected capability and consideration of an assumed likely buyer or lessee of the property.” The IMVAL Template’s Guidance 3.6 on Reasonableness states, “The test of Reasonableness is to consider what appropriately qualified and experienced Valuers, acting reasonably, would conclude in the circumstances. The Valuer must form an opinion that is reasonable in the circumstances, that is, what a Valuer believes is rational and plausible in the circumstances and would be viewed as such if considered by other appropriately qualified and experienced Valuers with the same information and at the same time.” Finally, the IMVAL Template’s Definition 4.26 states Reasonableness “[m]eans that other qualified and experienced Valuers with access to the same information for the same Valuation Date and Basis of Value would consider the Valuer's estimate of Value to be within a reasonable range.”

Mar 2, 2022

By T. R. Ellis

Regulation of mineral property valuation methodology by governments and others is due to frauds, condemnation and takings, banking industry problems, and litigation. Definitions of "reserves," "resources," and "qualified person" continue to evolve, along with guidelines to the data and disclosure required to support valuations. A less recognized but vital issue relates to the regulatory acceptability of alternatives to the comparable sales method. Comparable sales generally work well for surface real estate, and sometimes for precious metal deposits, but not at all for most industrial mineral properties. Alternative methods, such as net present value, or a geoscience rating system, often provide better valuations. Yet US regulations dictate comparable sales as the preferred method. The task of convincing regulators of the inapplicability of comparable sales to mineral properties, particularly those lacking reserves, may be as important as the valuation itself.

Jan 1, 1999

By N. W. Johnson

The behavior of non-sulphide gangue in chaloopyrite flotation circuits has been investigated. Plant and laboratory tests were carried out on five different ores, and linear relationships were found to exist between the rates of recovery of water and free nonsulphide gangue in the concentrates although there was evidence from pilot plant tests that these were linear approximations to parabolic curves over the limited regions which were observed. There was evidence that the free non-sulphide gangue enters the concentrate by hydraulic classification and a classification function has been proposed to define this behavior. This function is suitable for inclusion in a mathematical model of the process.

Jan 1, 1972

By J. Hupka

Some aspects of kerosene penetration into tar sand have been investigated. The natural tar sand porosity was measured and used to analyze the performance of the hot water process. Subsequently, pretreatment experiments, using 20 kg tar sand samples (Asphalt Ridge and Whiterocks, Utah), and kerosene as a diluent were carried out at the expected summer temperature (26°C) and the expected winter temperature (-14°C). The natural tar sand porosity accessible by diluent has a crucial impact on the reduction of bitumen viscosity, and influences the penetration time required for successful bitumen separation from tar sand by hot water processing. Thus the tar sand porosity is an important variable which determines appropriate operating conditions. Experimental results indicate that diluent penetration into the Asphalt Ridge tar sand (high porosity) is almost complete after 30 min, whereas for the Whiterocks tar sand (low porosity) the penetration process is much slower, and still not complete after 15 hours regardless of the ambient temperature.

Jan 1, 1992

By J. Noll, D. Yantek, J. Organiscak

The Office of Mine Safety and Health Research of the U.S. National Institute for Occupational Safety and Health (NIOSH OMSHR) conducted laboratory testing of a self-tramming, remotely controlled mobile Dry Scrubber (DS) that J.H. Fletcher and Co. developed under a contract with NIOSH OMSHR to reduce the exposure of miners to airborne dust. The scrubber was found to average greater than 95 percent dust removal efficiency with disposable filters, and 88 and 90 percent, respectively, with optional washable filters in their prewash and post-wash test conditions. Although the washable filters can be reused, washing them generated personal and downstream respirable dust concentrations of 1.2 and 8.3 mg/m3, respectively, for a 10-min washing period. The scrubber’s velocity-pressure-regulated variablefrequency- drive fan maintained relatively consistent airflow near the targeted 1.42 and 4.25 m3/s (3,000 and 9,000 ft3/min) airflow rates during most of the laboratory dust testing until reaching its maximum 60-Hz fan motor frequency or horsepower rating at 2,610 Pa (10.5 in. w.g.) of filter differential pressure and 3.97 m3/s (8,420 ft3/min) of scrubber airflow quantity. Laboratory sound level measurements of the scrubber showed that the outlet side of the scrubber was noisier, and the loaded filters increased sound levels compared with clean filters at the same airflow quantities. With loaded filters, the scrubber reached a 90 dB(A) sound level at 2.83 m3/s (6,000 ft3/min) of scrubber airflow, indicating that miners should not be overexposed in relation to MSHA’s permissible exposure level — under Title 30 Code of Federal Regulations Part 62.101— of 90 dB(A) at or below this airflow quantity. The scrubber’s washable filters were not used during field-testing because of their lower respirable dust removal efficiency and the airborne dust generated by filter washing. Field-testing the scrubber with disposable filters at two underground coal mine sections showed that it could clean a portion of the section return air and provide dust reduction of about 50 percent at the face area downstream of the continuous-miner operation.

Jan 1, 2016

Within the research project "Mine Development" funded by the "Austrian Fonds zur Forderung der wissenschaftlichen Forschung (FWF) " (funds for scientific research) between 1991 and 1993 150 underground hardrock mines in Europe, Northern America, Australia and Japan have been visited to analyze their general design and layout. The main aim of the project was to develop strategies for accessing new underground hardrock mines and to establish a mine planning database. The investigation included mines in high developed countries only, with a comparable labor cost situation. This paper presents the results of one part of the project, which deals with investigations into the influence of different parameters on the design of the primary access for a mine.

Jan 1, 1995

By James K. Wright

This chapter will discuss the use of financial models as an evaluation tool for various phases of decision making from exploration strategy to the analysis of a producing mine. The text of this chapter was not received in time for printing.

Jan 1, 1979

By Kenneth F. Wyman

The following report details the successful construction of Contract 2A of the Three Rivers Water Quality Management Program, Intrenchment Creek Combined Sewer Overflow Conveyance System, in DeKalb County for the City of Atlanta, Georgia. The contract required construction of approximately 2878 m (9443 ft) of tunnel bored to an initial diameter of 7.95 m (26 ft 1 in), with provisions to concrete line those portions designated by the engineer to a finished internal diameter of 6.91 m (22 ft 8 in). Flanking the tunnel are two shafts. The upstream shaft was excavated to a nominal diameter of 4.87 m (16 ft) to accommodate a finished internal diameter of 3.66 m (12 ft). This shaft required a transition boot fully concrete lined to final dimensions of 6.91 m (22 ft 8 in) wide, 13.72 m (45 ft) long, and varying in height from 6.91 m (22 ft 8 in) to 12.80 m (42 ft). Associated work necessary to complete the contractual obligations included installation of 22.86 m (75 ft) of cut-and-cover box culvert, 484 m (1589 ft) of open-cut sewer installation in sizes ranging from 0.30 m (12 in) to 1.68 m (5 ft 6 in), one river crossing, 137.46 m (451 ft) of monolithic concrete trapezoidal channel, and installation of 19125 cu m (25000 cu yd) of select fill material compacted and graded to finished contours. The downstream shaft was excavated to a minimum diameter of 12.04 m (39 ft 6 in) and concrete lined to a finished internal diameter of 10.67 m (35 ft). Requirements here included installation of a complete pumping station with all mechanical, electrical, and structural elements necessary for dewatering the tunnel through the controlled use of four 250 hp submersible pumps discharging into the facilities of the Intrenchment Creek Water Pollution Plant. The objective of this project was to collect combined storm runoff and sanitary flows currently coursing through Intrenchment Creek

Jan 1, 1985

By R. D. H. Bedd

GEOLOGICAL NOTES The area under discussion is situated approximately 150 m north of Loraine No. 3 shaft at ± 1500 m below surface. The block being mined extends from about halfway between 50 and 52 levels to just below 48 level (see Fig. 1). The EB reefs form the lower portion of the EB zone of the Elsburg series and in the 81 line area the various conglomerate bands show the best development. Up to 18 separate reef bands are developed and the distance from the bottom conglomerate band to the top is ± 26 m. The thickness of the quartzite which forms the middling between the various reef bands varies from 0.1 to 2 m. The strike is roughly north-¬south. The reef bands are payable individually. However, owing to the steepness of the reefs and their close prox¬imity, conventional mining would prove very difficult. The nonpayable reef bands all carry varying amounts of gold and the whole area is a massive payable reef body approximately 26 m wide and 60 m high at 300 to 400 m on strike. The major structure of the area consists of a north¬-south trending syncline. The western flank of the syncline has a steep easterly dip, in places approaching the vertical. This flank cuts out against the overlying rocks of the EA zone. The latter forms a noncon¬formity with the underlying EB zone. The eastern flank of the syncline dips to the west at an average dip of 0.17 rad (10°). The 0.1 rad (6°) north-plunging syncline was sub¬jected to severe faulting. The most important are the Nos. 4 and 10 faults, both of which have a roughly north-south strike. The No. 4 fault dips to the west at an angle of 1.04 rad (60°) with a downthrow of approximately 150 m to the west. The dip of the No. 10 fault is 0.69 to 0.81 rad (40° to 50°) west, with the western block having moved 150 m updip relative to the eastern block. The EB reefs are being mined by the sublevel stoping method down from the sub-outcrop position to the cutoff against the No. 4 fault. On the downthrow side of the No. 10 fault, that is just above the 54 level, two reef bands are payable and will be mined conven¬tionally. ROCK MECHANICS From the section in Fig. 1, it can be seen that the area under consideration is surrounded by stoped-out areas. This will naturally change the stress distribution extensively. The only way to calculate the stress field for such a geometry is to use the finite element method. It was established that this method worked for the present geometry and so the method was applied to predict the stress behavior of the final geometry. From the results, it appeared that the effect of the old stopes was to destress the area. There are, however, some areas-such as the 50 and 48 north footwall haulages-which will require continuous attention. In these two footwall haulages, deterioration can take place due to tensile stress which

Jan 1, 1982

By R. L. Bullock

For the past 30 years there has been a gradual evolution of mechanical excavating systems in underground hard rock mining applications. This paper traces many of the tests of various tools and methods to break hard rock, up to the present. The tools include impact hammers, boring machines, disc on boom mining machines, disc on revolving wheels and drums, picks and drag bits on revolving hubs, rock splitters, slot cutting systems, and with customized explosives/powder mini-blasting. While the progress has been slow, successes are being achieved in hard rock and more opportunities exist today than ever before.

Jan 1, 1995

By George M. Potter

Under contractural arrangements with the Bureau of Mines, Mountain States Research and Development, Inc. (MSRD) completed a technological investigation to determine the feasibility of in situ mining of metal commodities other than copper and uranium, The study was based upon available literature and experience. The selection of potential candidates for in situ mining was influenced by economic importance, probable amenability to in situ methods, and environmental considerations. Four metals (or metal pairs) were chosen for feasibility studies: aluminum (with a copper byproduct), gold-silver, and manganese were recommended for further study and action; cobalt-nickel was also recommended contingent upon preliminary laboratory leaching and recovery investigations and field geohydrological work. Mining and recovery plans and an economic evaluation are included. Other metals with potential for in situ leaching are lead/ zinc, molybdenum, and vanadium.

Jan 1, 1981