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By Paul D. Tomlingson

Part two of this two-part series covers the use of an integrated information system with administrative information, including error and absentee reports as well as open work files. Part one (ME, July, page 650) discussed conceptualizing and developing a maintenance information system. It explained what information is needed to manage such a system.

Jan 8, 1985

By Victor F. Hollister

Introduction Trends of successful discovery technology and psychology emerge from a thoughtful study of various companies' exploration programs. These subjective patterns can be generalized into groups of factors for discussion. Here, for convenience, factors that influence exploration success are separated into management and geologic concerns. Most successful discoveries have a demonstrably favorable management combined with a technically competent geologic input. Both are required. But the management input is decisive. Management factors include the correct definition of management's role; cost of exploration; time needed for exploration; commodity selection; and the fostering of autonomy, creativity, and confidence in the geology department. Geologic factors include imaginative technical competence (field as well as academic), correct development and use of empirical exploration or prospecting models, and dedication. Success comes to those entities that are properly managed and have technological competence. A management team that directs a company's business has been compared to a dynasty. The dynasty lays out policy and follows up with appropriate action. In that management's power is pervasive, the term is appropriate. Management's role is, however, more important. Many examples can be cited where the geologic input was impeccable. But management somehow snatched defeat from the jaws of victory, and the exploration success was turned to a third party's profit. Management Factors Management's role can be broadly generalized to four parts. These are to identify the commodities it seeks, define its part in the exploration process, develop a functioning exploration department, and have the desire to succeed. It must have confidence in its geologists and delegate to them the authority and responsibility they need to operate successfully. Head office management cannot do the thinking for a field staff thousands of kilometers away. There is no substitute for confidence and delegation of authority. Successes came to those who had the freedom to act. Motivation is a management requisite. Management's role is to prevent destructive, internecine political battles within the corporate structure. Most large US mining corporations have well known histories of political strife that have damaged their exploration efforts. Management's role must, above all, include the desire to succeed. There are cases where management has been confronted with a commercial exploration success, but their reaction is to request additional study or exploration. Perhaps the problem of bringing a commercial find into production is beyond their capabilities. But a bona fide discovery sent back for additional work commonly is lost due to that management. The cost of exploration is a factor that management must accept. A variety of studies made during the past 40 years shows the cost per discovery to be $25 million, $38 million, $200 million, or even $290 million. These figures are derived by dividing the total exploration expenditure by the number of discoveries. However, successful management dynasties have a much lower cost per discovery during their management regime. Asarco, from 1948 through 1963, had one of the lowest cost discovery rates in the world. Duval Corp., from 1948 through 1968, had comparably low discovery costs. Placer Development, from 1955, was equally successful. Western Mining in Australia has had one of the longest lived dynasties associated with exploration success. Time is vital in exploration success. Most successful exploration case histories stress sufficient time in project exploration so that the target is well tested. A large target cannot always be adequately evaluated by a few holes (strat or concept testing). Serendipity helps in exploring large targets, but it best operates in a lengthy program. Numerous case histories include pleasant surprises. But these came mostly after the 10th hole. Commodity markets are important factors governing exploration success. Management's decision to explore for a specific commodity can doom its effort if that product suffers from severe oversupply. Unquestionably, progressive copper price increases from 1948 through 1968 helped convert marginal porphyry copper discoveries

Jan 8, 1985

By Paul D. Tomlingson

Part one of this two-part series covers conceptualizing and developing a maintenance information system. It explains what information is necessary to manage such a system. Next month, part two will discuss using this type of system with administrative information, including error and absentee reports as well as open work files. Introduction There is no doubt that quality, timely, and accurate information can make a solid contribution to maintenance cost reduction objectives. Yet, despite obvious benefits, methods being used to acquire information systems are proving costly, frustrating, and often unsuccessful. Those needing the information are disappointed. Mine managers, hoping to reduce costs with quality information, are instead seeing no system, no savings, and massive spending on information endeavors of questionable benefit. Options Any software vendor will happily sell you his program. Numerous mining organizations, having "gone to the cleaners" themselves, will gladly make their programs available to help cover huge trial and error development costs. Any package can only be a generalization. Any program bought from some other organization must undergo numerous modifications to make it work properly. In the process the initial cost is doubled. Many mining maintenance organizations do not know how to go about the task of conceptualizing, developing, installing, and effectively using a maintenance management information system. Consequently, many have hedged their primary responsibility of specifying what information they want, how they will get it, and how they will use it effectively. Into this void have jumped many who claim they can help. But some may not understand the special information needs of maintenance in the mining industry. By default, the whole scene of maintenance information systems has become confused and in need of clarification. A Starting Point Four broad phases are used to organize the steps by which maintenance acquires an effective maintenance management information system and initiates its use. Conceptualization is an identification of needs, factors that influence development, and an assessment of support for the system. Development is a plan of action for bringing the conceptualized information system to life. Consideration is given to the practical aspects of collecting field data, processing it, and converting it into useful information. Implementation consists of those actions by which the newly developed system is integrated into the organization and put in the hands of its personnel so that its value can be derived. Use addresses the means by which personnel use the information to accomplish maintenance improvement objectives. These phases are preceded by establishing the need for the information system. They are followed by a requirement to measure its success (Fig. 1). Conceptualizing the Information System Responsibilities - The information system user must acquire the system best suited for its use. A step-by-step process is essential to avoid many serious problems than can easily occur. The most important step is to clearly identify its objectives and lay out a course of action to achieve those objectives. The major reason for the failure to achieve information objectives is not carrying out this responsibility. Maintenance cannot delegate the task to data processing. It can obtain technical assistance but it must retain responsibility. Nor can maintenance purchase

Jan 7, 1985

By Steve Karl, Rock Jenkins

Continuing its objective of sharing new ideas, methods, theory, and engineering developments, more than 550 members of the underground fraternity gathered in New York City for the 1985 Rapid Excavation and Tunneling Conference (RETC). Since the first meeting in 1972, RETC’S aim has been to lay a foundation of tunneling experience on which the industry could expand and develop over the years. The RETC is jointly sponsored by the American Institute of Mining, Metallurgical, and Petroleum Engineers (AIME), the American Society of Civil Engineers, in cooperation with the Canadian Institute of Mining and Metallurgy, and the Engineering Institute of Canada. The 17 sessions included 72 papers that explored up-to-date practices in the mining and civil engineering fields. Session topics ranged from geotechnical and seismic design, through design, construction, and support of underground openings, to ground water control in shafts and mine openings. Case histories of tunnel boring machines and large diameter tunnel and underground openings were also reviewed. All the papers presented at the three-day conference are valuable additions to improving the state of rapid excavation. A few sessions, however, are particularly noteworthy as they are geared to the mining industry. The two volume proceedings of the entire conference are available from SME. (See ad on page 1003).

Jan 7, 1985

By Tim Neil, O&apos

The coming years should see moderate growth in the US coal industry. That growth may come at the expense of the oil and natural gas industries. Conoco pegs coal growth at 2% a year, until the year 2000. During that same period, Conoco projects only 0.5% annual oil growth and "a flat or negative trendline" for natural gas. This is compounded by the fact that coal has a delivered cost per Btu that is only half as much as it is for natural gas and only a third as much as it is for oil. So said Ralph Bailey to many of the 2600 attending the opening session of the American Mining Congress Coal Convention, May 12-15, in Pittsburgh, PA. Bailey is chairman of the AMC. He is also chairman of Conoco. While coal's projected growth is not spectacular, "it is in fact almost an assured growth," Bailey said. Weak oil and gas prices will likely prevent faster growth for US coal. Most of coal's increased demand will come from the electric utility industry and expanded steam coal exports. Conoco's study projects that domestic coal demand will be strengthened in the 1990s. By then, the present surge of nuclear power plant constuction will be over. And there will be a lack of acceptably priced, large-scale generation alternatives for utilities. "It is not likely that any electric utility is going to be ordering new nuclear reactors," Bailey said. "And as oil and gas supplies become scarcer and more costly, it is only logical that coal is going to fill the gap." At the same time, Bailey believes the US coal industry must find ways to lower its costs. He said cost excesses can be found in "regulatory overkill, labor, and simply bad habits" hidden by years of high inflation. "Those costs have now been laid bare, because we are going through a pe¬riod of disinflation. We have to put our house in order, particularly if we are going to compete in world markets." Bailey also touched on coal research. "The industry certainly accepts the fact that we must find a way to burn coal as cleanly as possible. A lot of work in that regard is going on. I expect there will be some significant break-throughs." Bailey said the coal industry is being squeezed this year. Last year, coal customers accumulated inventories in anticipation of a major coal strike that never materialized. Now, many utility customers are working down these inventories. So they are not taking deliveries on their coal contracts. But coal use is up in 1985, compared with 1984, Bailey said. So increased coal use, along with supply drawdown, should strengthen the coal market before the year is out, he said. After Bailey's presentation, some 100 speakers addressed policy and technical topics at 15 sessions during the four-day meeting. It was the first time since 1977 that the AMC Coal Convention has been held in Pittsburgh. And this year's attendance was up 40% from the last AMC Coal Convention held two years ago in St. Louis, MO. This year's registrants included 228 companies, 225 manufacturers, and 106 associated members. The only negative was the David Lawrence Convention Center. It was less than ideal. By turns, meeting rooms were too small, too cramped, or too far from one another. The session on longwall mining was so crowded that the doors were propped open so conference delegates could peer in. A concurrent manufacturers' forum session needed 50 more chairs to accommodate those wanting to attend. However, on to summaries of some of the presentations. Coal transportation and export Since Congress approved the 1980 Staggers Rail Act, railroad rates for hauling coal have not been excessive. In fact, rail rates for coal have increased less than 0.5% a year, in real terms, since 1980. Moreover, the market oriented principles written into Staggers are contributing to the improved financial and operational health of the nation's railroads. But no railroad is earning excessive profits. That is the gist of a coal transportation study being completed by the US Department of Energy. William Vaughan is DOE's assistant secretary for fossil energy. He affirmed the thrust of the upcoming report. Vaughan did allow that Interstate Commerce Commission (ICC) regulations on rate reasonableness could permit the railroads to exploit their monopoly power on captive shippers. Luncheon comments later made by Don Hodel confirmed Vaughan's comments on railroad rate justification. Hodel is Secretary of the

Jan 7, 1985

By Maribeth Amyot, Y. J. Wang, S. S. Peng

Introduction The impact of computers on individuals and businesses increases each day. And the mining industry is no exception. The growing number of short courses, symposia, and feature articles in journals on the subject of computers is indicative of the developments and interest in their application to mining. Given this interest and the growing importance of computers, a legitimate concern is the computing background of graduating mining engineers. Based on a sample survey, this paper presents the current status of computer education in Accreditation Board for Engineering Technology (ABET)-accredited mining engineering programs in the US. Specific topics addressed include hardware and software available to students, integration of computers into curricula, concerns of mining educators, and historical and anticipated trends in computing education. Methodology Nine of the 19 ABET accredited mining engineering schools (as published in the SME-AIME Guide to Minerals Schools) were surveyed. Interviews consisting of open-ended questions were conducted with a knowledgeable faculty member from each of these schools. This was done to obtain an overall view of computing in mining engineering programs. The intent was not to evaluate nor compare individual schools, so a complete census was deemed unnecessary. The minimal deviations between the responses to the subjective questions reinforces the credibility of the sample as being representative. Results Hardware Most of the mining engineering schools polled had access to hardware on three scales - mainframe computers available university wide, minicomputers available in the college or department, and microcomputers available at all three levels. Without exception, each school had access to mainframe and microcomputers. Minicomputers, however, were not available at every school. The mainframe computers have been in place the longest. The predominant mainframe currently on campuses is the IBM model. Mainframes were once the essence of all applications. But the improved availability and capabilities of smaller machines have afforded users a viable alternative. The increasing practice in education of assessing charges for time used on the mainframe - as opposed to no charge for time on the mini- and microcomputers - makes use of the smaller machines attractive. Conversely, much of the mining engineering software is only operational on mainframes. Sometimes this restriction exists because the requisite speed or storage inherent in the software can only be met by the mainframe. More often, however, it is because the software was developed when mainframes were the only machines available, and it has not yet been adapted to run on a smaller machine. At the schools polled, many mining engineering problems that are well suited to microcomputers are being solved on mainframes simply because microcomputer software is not available. Minicomputers are available at the department or college level in many mining programs. DEC is the most popular make. Often, the minicomputers were installed to alleviate the inconveniences of attempting to access and use an overcrowded mainframe, to avoid being charged for time used on the mainframe, and to meet the needs of a specific research project. The minicomputers are currently used much more for research than for teaching applications. Therefore, minis are seldom used by undergraduate students. Microcomputers have become extremely popular at mining schools within the last five years. Generally, some form of computing policy or strategy was established near the time the first microcomputers were purchased. This was formulated in part to ensure consistency, or at least compatibility, in the type of machines acquired. Microcomputers were subsequently selected based on the established computing policies; ma-

Jan 7, 1985

By Adam H. Zimmerman

Introduction Noranda, like similar businesses, is suffering the pain of previously unheard of currency relationships, a cost structure built in better days, and conditions of gross oversupply possible in almost any commodity. Indeed, it does seem like the worst of all possible worlds is out there before us. To understand a Canadian natural resource company, you must know how the country is organized. So far as natural resources are concerned, Canada is not Canada. Canada is 10 provinces and each own the resources situated therein. Thus, the conditions of extraction, exploitation, and operation are all set by the province, while the conditions of trade and currency are set by the Federal government. This means that what may be the rule in Newfoundland may not be the rule in Manitoba or British Columbia. The second thing is that the Canadian currency has been a satellite of the US dollar for a long time. This means that we hold the unenviable and unjustified position of being the country with the second strongest currency in the world. What this has meant to us is what it has meant to an American operator. Since 1980, a pound of copper fetches 214% more for a Chilean than it does for us and a pound of zinc 115% more for a Belgian. From an American point of view, Canada is favored because its dollar is valued at 25% to 30% less than the U.S. However, because of industrial indiscretions in years past, Canada has a locked in labor cost disadvantage that is very hard to cope with. Canada has a unique situation with its labor unions. Many of the unions are, or have been, internationals and therefore gained undue strength in early days. Canada has a third political party of socialist persuasion. It is entirely funded by dues from laor union members. Thus, we have a politicized workforce. And finally, we have a public service that has the right to strike. This had made the public service unions by far the strongest now in Canada. What this means to the mining industry is that there is somebody out there blazing the trail. The unrelenting power of these public service unions probably creates a climate more conducive to excessive wage settlements in industry than would otherwise be the case. Study, Work, and Pray So what do we do when times get tough? In simple terms, we study a lot, we work harder, and we pray a great deal. We study a lot in terms of learning hitherto unknown strengths and weaknesses of our products, processes, and operations. We work hard in the sense that we do everything possible to improve our productivity. And we pray a lot because, so far, anything else we have done has not been enough. Some years ago, Noranda recognized that its principal base and precious metal operations were diminishing. To provide for the future, we should branch out into other resource type operations. These might be countercyclical and also perhaps a little more permanent. For this reason, Noranda entered the potash, aluminum, and forest products businesses. This, of course, was a 'brilliant' strategy that was much applauded in its early days. We built an excellent potash mine, the smallest inte-

Jan 6, 1985

By R. A. Jankowsi, S. K. Ruggieri

Airborne respirable dust levels on longwalls can be reduced if operators approach the dust control problem in a logical and fundamental manner. This can be accomplished through the proper application and continued use of effective dust control techniques. The Bureau of Mines is currently assessing the effectiveness of longwall dust control techniques in use today to provide mine operators with guidelines for selecting the most appropriate control technology. This paper presents a fundamental approach to the problem of shearer dust control. Three dust control techniques to be discussed are: deep cutting/increased pick penetration for reducing the amount of respirable dust generated; drum water sprays/improved water supply system to suppress the amount of airborne respirable dust; and improved external water spray system, the "shearer-clearer," to push the dust close to the face. The techniques have been evaluated in field trials and have been shown to be both practical and effective in applications to control shearer generated dust.

Jan 6, 1985

By William A. Griffith

The recent recession has severely impacted the performance and results of virtually all of our natural resource companies. The depressing climate continues to linger and recovery maybe sometime away. Problems remain for resource companies in the steel and petroleum industries as well as the mining business. In February, at the AIME Annual Meeting in New York, an All-Institute session presented a variety of views on the situation. A. T. Yu, chairman of ORBA Corp., Mountain Lakes, NJ, organized presentations by top management personnel of four natural resource companies. This well attended session heard management strategems for the present and views for the future. A compilation and synthesis of these presentations, gathered by Dr. Yu, are presented here for ME readers. Leading off will be William A. Griffith, president and chief executive officer of Hecla Mining Co., Wallace, ID. Other speakers presented here include Wilfred P. Schmoe, executive vice president of Du Pont Co., Wilmington, DE; Frank W. Luerssen, chairman and chief executive officer of Inland Steel Co., Chicago, IL; and Adam H. Zimmerman, president and chief operating officer of Noranda Mines Ltd., Toronto, Ontario. First, then Griffith's remarks. Introduction The key to successfully managing a natural resource company in austere times is good management in good times. In other words, position the company during prosperous times to survive the times when the well dries up. Although we know how to manage properly, for various reasons we sometimes do not do it. We forget the lessons of history. We allow ourselves to be carried away by our egos. We fail to position our companies properly in good times. As a result, in bad times we find ourselves in deep trouble. We need constant reeducation in the things we already know. In the natural resource industries, proper positioning in good times involves becoming a low-cost producer, retaining the flexibility to pull in our horns, developing a lean and effective organization, and maintaining a healthy balance sheet. Nothing improves the chance of survival during austere times as much as being able to produce at a lower cost than your competitors. In our business, that means having low-cost mines - low cost because the ore bodies are high grade or favorably located, and because they are efficiently operated. It also means recognizing the competition. The key numbers are the cost to produce an ounce of silver or gold. Nothing else really counts. And our competition is every other precious metal mine in the world. Flexibility is important when one gets stuck with a high-cost operation, often because things do not work out as we expect. It is important to be able to shut down an operation quickly and easily, without high holding costs, and without disrupting the corporate organization. A lean and mean, effective organization of competent people is vital during bad times. A company will not have that if it is not developed and maintained during good times. Finally, a natural resource company has to develop a healthy balance sheet during good times if it is to survive the bad. Money in the

Jan 6, 1985

Diesel powered machines are doing some specific operations in the cyclic order required by the technical process. The dynamics of this process in certain conditions has an essential influence on environmental health conditions in the working area. The main purpose of this paper is to show, using computer simulation, how the movement (dynamic) of diesel vehicles effects environmental health standards and also how to determine the required air quantity for ventilation.

Jan 6, 1985

By Kim W. Wright

Introduction Mining operations require maps for each phase of project development. Engineering plans, cross-sections, and isometric drawings are also needed. Maps are used for geologic interpretation, reserve estimation, permitting, property acquisition, site studies, development work, and production. Maps and drawings are essential to mining. They provide needed information. Generating these products, however, requires many manhours. The filing and organization of maps and drawings is cumbersome, due to their size. Major map changes can necessitate the production of entirely new documents and, thus, additional manhours. The volume of maps and drawings generated in the life of a single project can be extensive. For example, some utility companies have data bases containing more than a million individual maps (one reported eight million). These problems were considered necessary evils in the past. Now, with the automation of map and drawing production, improvements can be realized. Computer-aided mapping and design offers a new approach for the production, management, and storage of drawings and maps. This approach promises benefits in time management, productivity, efficiency, and flexibility. In all economic projects, the bottom line is cost reduction. And implementing computer-based mapping and design techniques can lower costs and increase project profitability. AM/FM/CAD/CAM Automated Mapping/Facility Management (AM/FM) and Computer-Aided Design/Computer-Aided Manufacturing (CAD/CAM) are becoming buzz words in the engineering world. Most relevant to mining are the concepts of AM and CAD. These terms relate to the application of computers, specifically computer graphic technology, to mapping and design. CAD refers primarily to the design of components and structures in two and three dimensions. But it can apply to the three dimensional modeling of mine workings, ore bodies, and geologic structures AM refers to the automation of conventional map production. AM/CAD systems use computers to store, manipulate, produce, and update drawings and maps in two and three dimensions. Ideally, the calculating capabilities of computers are also used in conjunction with design and drawing generation, offering capabilities not available with conventional, manual mapping and design processes. To better understand concepts associated with AM and CAD applications, the understanding of a few computer-related terms is necessary. Table 1 explains some of these terms. System Features The capabilities of AM/CAD systems are based on viewing transformations. These are the basic, manipulative tools by which AM/CAD packages generate visual representations of data. Examples include the rotation of a three-dimensional object through space, the expansion or contraction of maps to fit a given scale, enlargements of small areas on maps or drawings for detailed viewing, and the generation of cross-sections from three dimensional data. AM/CAD systems incorporate data base management in their architecture. This allows a user to modify, move, delete, or manipu-

Jan 6, 1985

By Frank W. Luerssen

Introduction "Austerity" is perhaps an overly generous description of the past three years in the American steel industry. Steel plants operated at an average of only 57% of their capability in 1982-84. The dismal losses for last year are still being totaled. But during the two years before this period, American steelmakers recorded an aggregate net loss of a staggering $6.8 billion. Steelmakers responded by closing numerous marginal facilities. And production capability was cut by 13.6 Mt (15 million st). Capital expenditures still averaged $2 billion annually. But this was inadequate to maintain the existing base of steelmaking facilities. The general economy experienced a satisfactory recovery during this period. American steel, however, continued to suffer from a lagging recovery in the capital goods sector. This was due to record penetration of its domestic market by imports and from very weak realizing prices on the volume that was available. In addition to the direct influx of offshore steel products - which itself depressed prices - the industry also became painfully aware of the growing importance of "indirect" imports. These came in the form of steel-containing producer and consumer durables. Industrial equipment and autos fabricated from foreign steel accounted for the equivalent of 6 Mt (6.5 million st) of lost market opportunity for domestic steel-makers last year. That is over and above the 23.5 Mt (26 million st) of direct steel imports. Given these factors, Inland Steel was not spared from the threeyear downpour of red ink. Despite its record of continuing modernization in steel, our single-plant location in the world's best steel-consuming market, and the high proportion of consumer durables related products, such as cold rolled and coated sheet in our mix, Inland suffered aggregate losses of $277 million during the 1982-84 period. Strategic Planning The foregoing establishes a perspective - a base from which we have restructured our view of the steel industry, and of our own role within that picture. Until possibly two years ago, this present weakness in steel demand was viewed around the world as an aberration, eventually to pass. By contrast, it is now recognized that austere times are the normal steel environment. The topic here is management of resources. This implies an emphasis on strategic planning. It is worthwhile to examine some of the more critical assumptions that were driving strategies among a number of steel companies just before the 1980s. Those projected characteristics of the future steel environment were arrived at through painstaking analysis. They were carefully and heavily quantified and were generally shared by outside observers and our peers within the steel industry. • First, the assumption was made that domestic steel demand would continue to grow at an average rate of 2% per year. • Second, it was assumed that this growth in the American market would continue to be filled predominantly by US mills. It was believed that increases in steel and steel-related demand overseas would absorb much of the ominously growing capacity of third

Jan 6, 1985

By Wilfred P. Schmoe

Introduction An integrated oil company has two options in approaching strategic planning. It has to decide whether it is in business for the long-term. I state this in all seriousness. Those who help manage public companies have the responsibility of good stewardship of other people's money. We must decide whether continued investment in our basic business will generate a reasonable rate of return. With a world surplus of petroleum production capacity, and continuing downward pressure on prices, this question should be addressed by all oil companies. And a positive answer is not necessarily a foregone conclusion in all cases. The decision should be made based on proven competence in finding and developing petroleum reserves on a cost-competitive basis with other producers, and on a frank analysis of future prospects. This should include a realistic assessment of the projected rate of return on specific investment projects. If a company did not pass these tests, its strategy could take one of four paths. Diversification First, it could diversify. But recent history suggests that oil companies are not good at managing other businesses. Second, it could seek a buyer for its business at the optimum return for its owners. Third, it could sell its assets on a piecemeal basis. And, fourth, it could adopt a longer-range plan of self-liquidation by living off current recoverable reserves. In other words, by not investing in exploration and development, it could maximize short-term profit and pass the money back to shareholders in the form of dividends. The Conoco component of DuPont has a below-average cost of finding petroleum, a good track record of efficient production, and a full plate of projects that pass the test of return-on-investment. In short, Conoco is in business for the long-term. That fact, in itself, determines at least one key element in strategy. This is to extend the life of the petroleum reserve base while at the same time maintaining maximum efficient rates of production to provide a strong cash flow. A company that is able to maintain a strong reserve base will ultimately see the value of those reserves escalate as world oil supplies tighten. Our planners expect this tightening to occur within the next decade as demand grows and production in non-OPEC areas of the world begins to decline. An exploration program tailored to meet the requirements of reserve replacement and current production should have two basic parts. The first is relatively low-risk exploration in proven oil provinces. This is augmented by

Jan 6, 1985

By E. D. Attanasi, J. H. DeYoung

Mineral exploration activity in the US suffered through another depressed year in 1984. And continued strength in precious metals (and possibly industrial minerals) exploration failed to make up for declines in other minerals. 1984 offered little solace for the explorationist. But some new data on mineral exploration provided better statistics for analysts of US mineral exploration trends. The Society of Economic Geologists (SEG) published data from its survey of 1980,1981, and 1982 exploration by US and Canadian companies - 96 companies responded (Barber and Muessig, 1984). In addition, a Mining Engineering (April 1984 p. 345) article by Emerson and Ivosevic presented their data on annual exploration expenditures in the US for gold and for all minerals from 1961 through 1983. A review of 1984 domestic exploration and development activities reported in several industry journals indicates that almost 90% of those projects were directed at gold and silver deposits. Statistics on 1984 exploration expenditures are not available. But some industry observers believe that precious metals accounted for an even larger share of industry's exploration budget in 1984 than in 1983. According to the data of Emerson and Ivosevic (ME, April 1984, p. 349), gold exploration expendi-

Jan 5, 1985

By Stanley Lefond

The health of the industrial minerals industry appears to be improving year by year. In fact, preliminary information suggests that only three commodities (asbestos, bromine, and sulfur-other) failed to show a production gain in 1984 over 1983. In 1983, 10 commodities failed to post gains and six remained constant. The total value of industrial mineral production in 1984 was $16.7 billion, up $1.4 billion from 1983. Cement, clays, gypsum, and crushed stone production increased. Since these are used in housing and construction, this suggests these industries are moving out of their recent doldrums. Barite and clay production also improved in 1984. Local US barite production, however, still has a long way to go to attain the 1981 high of 2.6 Mt (2.9 million st). Barite imports remain high. But they are not as high as the 1982 importation of 2 Mt (2.3 million st). Bentonite production in 1984 increased 20% in volume and 25% in value over the previous year. This suggests improvement in the drilling industry and an increase in demand for iron ore pelletizing grades. All in all, the industrial mineral industry is alive and well. And it shows signs of great improvement in the next few years. Many thanks to those industrial mineral technical committee members for their assistance in assembling this industrial minerals review: M. F. Dibble, H. W. Allen, G. H. Gallup, S. G. Ampian, D. W. L. Spry, H. G. Fleshman, and L. J. Czel.

Jan 5, 1985

By J. Hoover

Real growth in the economy, increasing demand for electricity, and consumer stockpiling for a possible United Mineworkers of America (UMW) strike in October made 1984 a banner year for coal. Production and consumption climbed to record heights. Precautionary purchases brought inventories close to the peak levels of early 1981 when coal miners walked out for 72 days. Production slowed in the fourth quarter after labor and management concluded negotiations without a walkout. But output in every major coal producing state showed significant gains during the year US coal production totaled 807 Mt (890 million st) in 1984. This is a 13.8% increase over 1983 output. Lower production rates, principally in Appalachia, and sustained demand in the final quarter put downward pressure on coal stocks by the end of the year. Demand All market sectors experienced greater requirements for coal in 1984. Electric utility coal consumption increased 6.3%; exports climbed 4.8%; coke plants consumed 18.9% more coal; coal requirements in the other industrial sector expanded by 11.8%; and consumption in the residential/commercial sector rose 8.1%. Domestic consumption of coal reached a record 718 Mt (791 million st) in 1984. This is a 7.4% gain over the previous consumption high of 668 Mt (737 million st) in 1983. Electric Utilities The 4.6% increase in electric power generation in 1984 was coupled with expanding coal use relative to other energy sources. This resulted in a 6.3% rise in coal consumption, totaling 603 Mt (664 million st) for the year. Thirty-eight of 45 states where coal-fired electric power plants were operating shared in the 36-Mt (39 million-st) increase in electric utility coal consumption

Jan 5, 1985

By P. Rosten

US mine production of iron ore in 1984 showed some improvements compared to 1983. But reduced demand from the iron and steel industry caused temporary shutdowns of many iron ore mines and pelletizing plants. US raw steel production in 1984 was slightly above 1983, but still at a depressed level. Production was 83 Mt (92 million st), compared with 77 Mt (85 million st) in 1983 and 68 Mt (75 million st) in 1982. Two major production trends continued in 1984. They were the increased production from electric furnaces and the growing use of continuous casters. Electric furnace production included 33.2% of the steel poured in 1984, compared with 31.5% in 1983. Continuous casting was used for 39% of 1984 steel production, compared with 32.1% in 1983. Statistical Process Control Statistical Process Control (SPC) has taken on new proportions in the iron ore and steelmaking industries within the last year. This mathematical technique is used to monitor, control, evaluate, and analyze a manufacturing process. The technique charts variability of important quality parameters. Training and adaptation of SPC techniaues for process control have been initiated at Inland, Steel's Minorca, Pickands-Mather's Hibtac, Cleveland-Cliff's Empire and Sherman operations, and at Reserve Mining. One of these operations has requested its bentonite supplier provide SPC charts on quality specifications. Some of the steelmaking operations (Inland Steel, Bethlehem Steel, Dofasco, LTV Steel, National Steel, Stelco, Weirton Steel, and Wheeling-Pittsburgh) have set up SPC programs within their operations. And they also have insisted that some of their suppliers use SPC. Plant Shutdowns The permanent closure of Stelco's Griffith mine at Red Lake, Ontario, has been delayed by one year. This gives employees more time to adjust. The mine is now set to close in April 1986, instead of April 1985. Sidbec (Canadian government) and its other partners (including British Steel Corp., Quebec Cartier Mining, and US Steel) closed its iron mining operations at Gagnon, Quebec. The pellet plant has been leased to Quebec Cartier. New Iron Ore Operations The massive Carajas iron ore project in Brazil is scheduled to come onstream in Jan. 1986. It is to achieve full-scale commercial shipments by July of that year. The 66% iron crude ore requires only crushing and screening before shipment. The product consists of 83% sinter feed and 17% coarse ore. Annual production capacity will be 32 Mt (35 million st) when the project is completed. Principal customer for the ore is Nippon Carajas Iron Ore Co., a consortium of Japanese steel mills. The Arab Iron & Steel Co. (AISCO) has started up a $US300 million, 3.6 Mt/a (4 million stpy) iron ore pelletizing plant built by Kobe Steel Ltd., at Al Hidd-hide in Bahrain. By 1986, this grate-kiln-cooler plant will supply high quality iron ore pellets to feed direct reduction plants in the immediate Gulf area and Far East markets. Iron ore supplied from Brazil, Peru, India, and Mauritania provides the feed to the pellet plant. Hydrated lime (2%) is used as a burden.

Jan 5, 1985

By J. D. Morgan

Demand for nonfuel minerals depends on the overall state of the economy, which steadily improved each quarter in 1984. New housing starts rose to 1.8 million units. Automakers turned out about 15% more cars (7.8 million) and 30% more trucks (3.1 million) than in 1983. Nevertheless, many domestic mineral operations experienced difficulties in 1984. This resulted from import competition greater use of newer engineered materials, emphasis on multi-unit housing and downsizing of motor vehicles. About 15% of our energy was imported. This in cluded $36 billion worth of crude oil and $22 billion in refined products This added significantly to the overall merchandise trade deficit of $12; billion. On the bright side for mining, coal production rose 14% to 810 Mt (890 mil lion st). Three-fourths o: the coal was burned to generate electricity and more than half of our electricity was derived from coal-burning plants. With the exception of a few large-bulk, low-value raw minerals, most minerals move relatively freely in world trade. The strong dollar encouraged imports and made exporting more difficult. Consequently, our nonfuel minerals trade deficit rose 60% to $19 billion, reflecting imports of $39 billion and exports of $20 billion. There were increased pressures from some major segments of the minerals industry for some form of import protection. But President Reagan said, "Our goal is a system of free and fair trade in goods, services, and capital. We will work toward this goal through both bilateral and multilateral trading agreements." The US minerals industry consists of domestic mines, concentrators, smelters, refineries, mineral manufacturing plants, and recyclers. It also includes many wholly- or partially-owned operations in many parts of the world, providing employment and income for US citizens and others as well. Compared with 1983, the value of US raw nonfuel mineral output rose 8%, to $23 billion. The $253 billion worth of goods processed from this crude mineral output was a 14% increase. Major Metals Raw steel production - a major indicator of both material use and mineral production-rose 10%, to 84 Mt (93 million st). This stimulated a 36% rise in domestic iron ore production, to 52 Mt (57 million st), about 98% pelletized. Iron ore imports rose 44%, to 14 Mt (15 million st). Despite the increase of steel production, output remained well below levels of just a few years ago. For example, 1984 production was still 23% less than in 1981. Raw steelmaking capacity remained steady at 122 Mt (135 million st). The industry continued to cite steel imports as a major reason for low domestic capacity. In December, pacts with seven leading steel exporting nations were announced. This is an effort to reduce import penetration to about 18.5% of the domestic market. Domestic producers of bulk ferroalloys of chromium, manganese, and silicon operated at about 50% capacity. The US mined no manganese or chromium. Only a small quantity of ferronickel was produced from domestic laterite mining in Oregon. Molybdenum production, at 45 kt (49,500 st), rose threefold. Mine shipments of tungsten, another mineral tied to steel

Jan 5, 1985

By William R. Bond, Jim V. Rouse

Introduction The pressure/vacuum (p/v) lysimeter or soil water sampler has become useful for monitoring vadose zone or unsaturated zone water conditions. The soil water sampler was first introduced around 1961. It was used as a monitoring and research device for studies in agriculture and soil contamination around landfills. Since then, it has been used for many purposes. The use of p/v lysimeters at mining facilities to monitor for solution loss is a relatively new idea. The primary purpose of the lysimeter here is to function as an early warning system. It detects leakage through liners of tailings ponds, heap leach pads, and leachate holding ponds. Their use has proven valuable for collecting baseline data and detecting loss of precious leachate fluid. Different lysimeter designs are capable of vadose moisture sampling from near the surface and down to 90 m (300 ft). They are also capable of sampling soil moisture or saturation plume contaminants from areas not accessible by conventional water well installations. The most common installations are usually simple and cost-effective. In many cases, they can be installed without the use of heavy drilling equipment. A properly placed and installed lysimeter can detect solution leaks in several days or weeks. A conventional perimeter monitor well may take months or years to detect a leak of the same magnitude. A discussion on the general design and installation of p/v lysimeters will give an understanding of its versatility. Three case studies of lysimeter installations at mining sites will be examined in detail. Design, Installation, and Sampling Design The basic design of a p/v lysimeter chamber consists of a porous material through which the soil is drawn into a collection chamber. Access tubes run from the unit to the sample station at the ground surface. Most units currently available range from 25 to 76 mm-diam (1 to 3 in.-diam). The sample collection chamber, or body, can vary from 0.6 to 1.8 m (2 to 6 ft) in length. The body can be constructed of PVC casing or Teflon, depending on the installation desired. The collection chamber functions as a holding reservoir for the collected soil moisture. The intake, or porous material, on the lysimeter is the most complex and vulnerable portion of the unit. The pore size selection varies based on the needs of the installation, type of fluid to be sampled, and type of soil material surrounding the unit. Teflon (PTFE) and porous ceramic are used in fabrication of the porous inlet portion. When using a Teflon material, which is hydrophobic, a larger pore size of 70 µm is needed to overcome surface tension and draw water into the collection chamber. It is typically used at sites involving organic contamination, because of its inert properties. Ceramic material is generally hydrophilic, having less surface tension. Therefore, it has a smaller porosity range to conduct the moisture through the porous medium while under vacuum. Pore sizes may be selected from 0.16 to 6 µm, and can be manufactured for the specific needs of the installation. The final major design component of the p/v lysimeter is the access or sampling tubes. The tubes are usually of 6.3-mm-outside-diam. (0.25-in.-outside-diam). They are made of rigid polyethylene or flexible Tygon with a wall thickness of 1.5 mm (0.06 in.). The con-

Jan 4, 1985

By Gene Mattila, Ron Boyd

Introduction Rock bolting is a general term that encompasses pinning, roof bolting, rib bolting, and cable bolting. Rock bolting contributes the highest nonproductive cost and is the most significant safety risk in mining today. Total installed bolt costs are now more than $20 per bolt. Rebolting or repair work doubles this. And bolting accidents account for about 30% of all fatal and nonfatal lost time accidents. It is only logical, then, for the mine operator to install the highest quality anchors possible. Every bolt on the market - tensioned, untensioned, full contact, or point anchor - has designed capabilities in axial, shear, and fluctuating ground conditions. Bolts will provide a designed support if material specifications and installation procedures fall within the manufacturer's recommendations. This also assumes that there are no unexpected geological or operational changes. Proper material specifications and installation procedures should guarantee the mine operator a quality anchor. To help assure this, the Mine Safety and Health Administration (MSHA), the US Bureau of Mines (USBM), and the AMC Manufacturers group developed stringent ASTM materials standards. These govern mechanical point anchor bolts and bolts using threaded and nonthreaded rebar. There are also minimum standards that suppliers must comply with in the manufacture of frictional bolts. However, most frictional bolt standards are based on the manufacturer's own specifications. It would be impossible to set uniform regulations on frictional bolts. Each bolt provides support in a slightly different manner and thereby requires different material needs. Quality Control In any case, material quality can generally be assured through tight order specifications and periodic quality control checks. The problem with installing quality anchors does not solely lie with the material. It includes all the events that occur from the time a bolt leaves a manufacturer to the time it is installed. The anchoring ability of any major type bolt can be affected by transportation, storage, mechanical performance of installation equipment, installation demands of the operator, proper drilling accessories, and local geology. Table 1 and Fig. 1 document the negative events that can affect each bolt and the degree to which it can be affected. Drilling a hole of oversized diameter, for example, is an operator controlled factor. It will adversely affect most bolts. An over-sized diameter reduces, or even eliminates, the anchorage capability of a mechanical shell. It will reduce the support capacity of a split set to nearly nothing. And it will cause a partial or incomplete grouting around the resin bolt. Frequently, due to bit wear, holes are drilled undersized in diameter and may not be properly cleaned out. In this case, it will be difficult for the operator to push the mechanical shell into the hole, thereby causing him to drill another hole. In cases where the bolt is obviously not providing anchorage, operators will probably drill another hole and place another bolt. Rock Bolt Regulations It is the situations where a bolt is improperly installed in the hole, but gives the appearance of a good bolt, that are frightening. In fact, some safety officials and engineers believe that only 50% to 60% of installed bolts are working. These bolts cause irregular ground load transfers in other bolts and overload them. This causes hazardous situations and overstressing. It is these bolts that fail prematurely 200 to 255 mm (8 to 10 in.) behind the face and possibly contribute to the high accident rate. The government and several manufacturers recognized the need to check the integrity of rock bolts. These programs are in different stages today. Tight torque regulations have been established for mechanical

Jan 4, 1985