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By P Stoker

"An EXTENDED ABSTRACT is available for download. A full-length paper was not prepared for this presentation. Mining and exploration properties have a unique set of technical risks. Privately-owned companies considering investing in the resources sector can optimise their investment decisions by adopting a systematic technical assessment of acquisition assets, similar to the approach commonly adopted by public financial institutions and publicly-listed companies.Technical due diligence provides a process to identify key geological, mining, geotechnical, metallurgical, environmental and social risks and opportunities and determine the most likely business case and valuation of assets. Technical due diligence is commonly carried out in parallel with legal, commercial and financial due diligence, often involving the acquirer, to maximise the understanding of the investment.There are significant advantages in investors conducting a comprehensive technical due diligence, which typically involves site visits and project assessment to international standards by an independent, multidisciplinary team of experts. The outcomes provide the opportunity for the investor to make early, informed decisions and to understand and manage risks.Technical due diligence may be carried out at several stages: when considering and weighing up a number of investment options, prior to and during a transaction or immediately post-transaction. In the first stage, the outcomes will inform the choice of investment and, more particularly, whether there are any fundamental flaws in the projects being considered. In the second stage, due diligence outcomes can inform the level of investment and approach to risk management and planning. In the third stage, risks and opportunities can be investigated in more detail, allowing the investor to consider the best options to reduce risk and maximise the benefit of the investment.This paper presents a summary of the technical due diligence assessment process, its benefits to investors, common risks in mining and exploration projects known to cause mining asset write-downs and principal technical due diligence approaches.CITATION:Keogh, A, Stoker, P and Thomas, M, 2015. Benefits of due diligence in private equity mining investments – maximising value and unearthing common risks , in Proceedings PACRIM 2015 Congress, pp 115–126 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 18, 2015

"How Wall Street Darling Molycorp Undermined the U.S. Economy, Degraded our National Security and Distorted the Global Economic Balance and How These Falsehoods Continue to be Promoted Even Today INTRODUCTION & SUMMARY In 2007 the Molycorp Mountain Pass rare earth mine was resurrected from its desert-grave in California by its then-owner Chevron Mining. Responding to elevated rare earth prices Chevron began processing on-site rare earth concentrates left over from past mining operations that were terminated in 1998i. Chinese demand had sparked what was being described as a commodities super-cycleii. Commodity prices were on the move. Wall Street smelled opportunity. In 2008 Goldman Sachs, Pegasus Partners, Resource Capital Funds, Traxys North America LLC and Carint Group LLC acquired the mining assets from Chevron. In an environment of ever-declining ethical standards and regulatory consequences the private capital group and their investment bankers would bring Molycorp to market. Molycorp, with its high powered investment banking team of Morgan Stanley and J.P. Morganiii, easily dominated the contest. Molycorp promoted itself, largely based on its past operating history and proven reserves, as the best company to challenge China’s monopoly control over the production of rare earths: a group of elements critical to most advanced technologies and U.S. defense systemsiv. Most of Wall Street’s hottest investment sectors were dependent on these materials: alternative energy, green technologies, computing, personal communications, advanced electronics and defense systems. By late 2010 there were dozens of prospective rare earth start-up ‘mining companies’ seeking capital. Eventually the number of prospective rare earth mining companies seeking capital exceeded 400, despite the reality that supply requirements of this market were disproportionally small when compared to other natural resource sectorsv. In the world of finance ‘smart money’ picks the winners. Consequently just twovi projects attracted nearly all of the capital (Molycorp and Lynas). Wall street picked Molycorpvii. This paper will primarily focus on Molycorp. By early 2010 the words “Molycorp” and “Rare Earths” electrified many people in the mining industry, most non-Chinese manufacturing technology companies, U.S. & allied defense contractors, technocrats in the U.S. national security community and eager investors across most of the world’s stock markets. It was the hottest story of the yearviii. The financial, technology and defense press coverage verged on euphoric: heaping fuel on fuel until the highly combustible Molycorp-pyre cast a long shadow over all of its rivalsix. When the IPO match was lit the spectacular flaming pyre sucked all of the oxygen out of the rare earth spacex. Molycorp was ranked the most lucrative IPO of 2010, resulting in record breaking profits to its private investors and massive returns for its early stock holding investors."

Jan 1, 2017

By Mary Ellen Bruce Large, Antonio Marinucci, Silas C. Nichols

Tip post-grouting of bored pile (drilled shaft) foundations refers to a method where cementitious grout is injected beneath the tip of a shaft to improve the overall performance of the constructed foundation. This technique, when performed satisfactorily and in the appropriate ground conditions, enhances axial load-displacement performance by improving the mobilization of pile’s resistance. Potential benefits associated with tip post-grouting include reduced settlement under loading, better alignment of load transfer curves, and improved ground beneath the base of the bored pile. However, to be able to realize the benefits attributed to this method, the design, construction, of both the bored pile and the post-grouting system must meet a minimum level for quality assurance. The various factors affecting the successful installation and performance of a bored pile (e.g., workmanship, base cleanliness, borehole integrity, and concrete placement) have been discussed by numerous practitioners and researchers in the available technical literature. For a conventional (i.e., ungrouted) bored pile, acceptance is based on a combination of visual inspection, material testing, and the results of integrity and/or performance testing of the constructed pile. A properly executed tip post-grouting program can be a relatively comprehensive and complex process, which is typically evaluated throughout the construction process based on the results of prior projects and/or on test pile(s) at the particular site. For tip post- grouting programs, verification procedures and acceptance criteria should be established during and incorporated into the design process to ensure design intent and objectives are achieved. Project specifications should be produced to ensure performance requirements are achieved. This paper will present and discuss factors affecting the successful execution of tip post-grouting, including grouting criteria, instrumentation, reliability and uncertainty with the method and outcome, and verification and acceptance. INTRODUCTION Constructing bored piles (drilled shafts) is increasingly more challenging given the lack of ideal site locations, tight project site confines, difficult or restricted access, greater demands on drilling equipment, and close proximity to adjacent structures. To evaluate the feasibility of bored piles as an appropriate foundation system, a myriad of factors is evaluated during design, including site conditions and constraints, budgeting and scheduling, reliability and risk exposure, presence of and depth to adequate load bearing soils/rock, and the magnitude of the imposed loading. Moreover, updated design codes increased load demand per element, and improved material strengths have led to more complex foundation designs, larger foundation elements, and significant increases in load magnitude. Monopile (monoshaft) foundations have been utilized where one large bored pile is used in lieu of a group of piles connected via a pile cap. In addition, to accommodate the design criteria, site conditions, and imposed loading, the geometry of the bored piles being designed and installed have been as large as 13 feet (4 m) or greater in diameter and to depths in excess of 260 feet (80 m).

Jan 1, 2018

Effects of DA as a Grinding Aid on Selective Grinding of Low-Grade Bauxite Effects of DA (a copolymer of acrylic acid and acrylamide) as a grinding aid on selective grinding of low-grade bauxite were investigated in this study. The addition of DA into the grinding system enhanced the selectivity of grinding and increased the A/S ratio in the coarse fraction of ground product, leading to improved throughput of grinding mills and alumina recovery. The results showed that DA decreased the viscosity of slurry significantly and hence improved grinding efficiency due to low viscosity at a high slurry concentration. Both the hydrogen bond formation and chemical adsorption existed between DA and the surface of bauxite particles. The adsorption of DA on the surface of bauxite could decrease stress needed for crack initiation and extending during grinding, prevent new-born crack surfaces from rejoining, and promote the expansion of the cracks.

Sep 13, 2010

By G. Stecklein

This report summarizes the results of research into the areas of the fragmentation and entrainment of Airborne Respirable Dust (ARD). The objectives of this program were four-fold: first, to review the present state of knowledge regarding ARD; second, to expand this state of knowledge through the identification of hypothetical microscopic mechanisms by which the coal is fragmented and the dust becomes entrained; third, to specify the informational requirements to verify or nullify these hypotheses; and fourth, to relate experimental techniques that will produce that required information. Additionally, insights are provided regarding potential methods of extraction and/or treatment which may reduce the concentration of ARD.

Jan 1, 1982

Some design and feasibility studies have been made into possible methods of economic recovery of sulphur from smelter gases emitted at Western Mining Corporation's Nickel smelter at KalgoorIie in Western Australia. The smelter discharges some 330 000 tonne/yr of sulphur dioxide in a stream of approximately 6 per cent by volume of S02.Three possible recovery methods have been considered:1. The manufacture of sulphuric acid using the contact process.2. The concentration of sulphur dioxide to a pure form using dimethyl aniline as an absorbing medium.3. The reduction to elemental sulphur using natural gas as the reducing agent.Design studies were carried out by final year chemical engineering undergraduate students at Royal Melbourne Institute of Technology (RMIT) in 1981 under the supervision of the author and other teaching staff of the chemical engineering department. These studies indicate that sulphuric acid manufacture is the economically preferred recovery route.Markets for sulphuric acid include several potential mineral processing applications and the established fertiliser industry.Sulphuric acid is currently manufactured in a number of plants located at coastal regions of Western Australia using imported sulphur. The sulphuric acid is then used for superphosphate or titanium dioxide pigment manufacture at adjacent plants.The possibility is considered of manufacturing superphosphate at Kalgoorlie from locally produced acid obtained from the smelter gases and from phosphate rock railed to the site from the coast. The advantages of such a scheme include improved scale and technology of operation compared with some existing coastal operations, use of a waste material to replace imported sulphur, and avoidance of costs and hazards associated with railing large quantities of sulphuric acid.

Jan 1, 1983

The analysis of in-mine grounding systems began with an extensive literature search which is still in progress. About a dozen articles have been found which deal directly with grounding problems on low voltage power systems or mine power systems. These systems have special grounding problems because normal load currents can be nearly as large as many types of fault currents. Information has been collected on the influence of cable spacing) conduit geometry, location of nearby conducting structures, etc., on the magnitude and path of fault current. Many other articles have been found which are less directly related to mine ground system analysis. The in-mine ground system analysis team has also inspected portions of two mine power systems to become familiar with the practices used in grounding. One electrical engineer and several other mine personnel have been interviewed concerning mine power system grounding practice. Already several aspects of the mine grounding system have been marked as requiring special attention.

Jan 1, 1975

By C. Kunze

ABSTRACT Although closure sureties cover works that are carried out during the existence of a mining company, certain liabilities are not known when the surety is established and become apparent only in a late stage of the closure phase, or even after the site has been relinquished. This paper supports the concept that these financial risks lend themselves to insurance solutions. Making insurance for unknown liabilities mandatory while defining unambiguous legal conditions could create a viable market for insurance products, provide a sufficient statistical basis for the calculation of premiums, and reduce costs.

Jan 1, 2013

By Ted Nye

This paper describes a number of aspects of the design and construction of a driven tunnel which forms part of the Boggo Road Busway project. The driven tunnel is 430m long with an excavated width of 15m and a full tunnel excavation height of 8m. The first section of driven tunnel was excavated under the heritage listed Boggo Road Jail for a length of 120m. The main jail buildings and perimeter walls were built in 1908 and are of brick construction. Ground cover over the tunnel beneath the jail site varied from 5.5m to 8m and as a consequence the predicted settlement values and their potential to cause damage to the buildings were critical to determining and obtaining approval for the selected tunnel alignment. The geology along the driven tunnel alignment was very variable, providing mixed face tunneling conditions and ranging from surface residual soils to high strength rock at depth. The maximum ground cover above the driven tunnel is 20m.

By Alexander N. Winchell

"Location. The copper mines of Michigan are all in the northern part of that state on the Keweenaw Peninsula, which extends from the (Michigan) mainland for about seventy miles northeasterly toward the middle of Lake Superior. The mines occur in a belt or zone occupying the central portion of the peninsula from end to end.. The most productive mines for many years past have been those located not far from the city of Houghton in' the central part of the zone, in a section extending about ten miles southwest of Houghton and fifteen miles northeast. The most important mines in order of location, from the northeast to south¬west, are the following: Mohawk, Ahmeek, Allouez, North Kearsarge, Wolverine, South Kearsarge, Centennial, Calumet. and Hecla, Osceola, Franklin, Quincy, Hancock, Isle Royale, Superior, Baltic, Trimountain, and Champion. The first three named are in Keweenaw county and all of the others are in Houghton county. Still farther to the southwest are the Lake, Mass, Adventure, Michigan, Victoria, and White Pine mines. These are in Ontonagon county.History. The exploitation of these copper mines extends back into prehistoric times. There is little evidence that the American Indians carried on mining operations in this region in the period shortly before the advent of white men, but there is abundant evidence that the ancestors of the Indians, •or some earlier inhabitants of the region, carried on primitive mining operations. For example, Mr. S. O. Knapp, Agent of the Minne¬sota Mining Company, in the winter of 1847-48, made the first discovery of prehistoric mining. This event is described as follows by Foster and Whitney :"

Jan 1, 1920

By Georgy Cherkashov, Svetlana Babaeva, Tamara Stepanova, Firstova. Anna

Seafloor massive sulfides (SMS) study in the Russian Exploration Area at the northern equatorial Mid Atlantic Ridge began after signing the contract with International Seabed Authority in 2012. In order to evaluate the SMS resources in the course of exploration the major and rare metals with economic value should be determined. The evaluation is based on geochemistry and mineralogy and particularly on the type of rare metals occurrence in the SMS. As a case study research of the Semyenov cluster of SMS deposits have been conducted.

Sep 1, 2014

By Anahita Modiriasari, Benjamin S. Rivers

Measurement while drilling (MWD) is a subsurface exploration technique associated with real-time and continuous monitoring and recording of drilling data during the drilling process. This technique can be used for underground investigations to differentiate ground strata, detect the presence of fractures and voids, and evaluate geological features and mechanical properties of geomaterial. When MWD is used for geotechnical investigations, it can improve site characterization, identify variable conditions, improve design and construction, lead to shorter project delivery times, reduce the cost and risks associated with limited subsurface data and geotechnical uncertainties, and maximum return-on-investment. Given these benefits, MWD is gaining attention among transportation agencies and the geotechnical industry. Federal Highway Administration’s (FHWA’s) innovation deployment program “Every Day Counts (EDC-5)” includes the implementation of Advanced Geotechnical Methods in Exploration (A-GaME), which aims to implement effective, underutilized subsurface exploration methods, including MWD, in U.S. practice. This paper provides an overview of the MWD technology for geotechnical site investigations and presents a case history where MWD was employed to design deep foundation for the construction of a building in Massachusetts. The advantages of this technology for risk reduction and project cost and time saving are also discussed.

Oct 1, 2022

By Leonard Obert

Between 1927 and 1957, sodium borate minerals were mined by underground methods in the Kramer District, Kern County, Calif. In 1957, surface mining methods were initiated, and during the next two or more decades it is probable that most of the production from the district will be obtained from open pits. However, part of this borate deposit is sufficiently deep that surface mining may not be economical and, hence, at some future date underground methods may again be employed. This report was prepared to document the underground mining methods employed in the district before 1957. The general geology of the district and the detailed geology of each of four mine sites are presented, together with a mineral and mechanical description of the ore and enveloping rock. The report also describes the stoping, extraction, pillar support, methods of artificial support, and other factors that affect the structural characteristics of these mines.

Jan 1, 1962

By T. Hudaverdi

Control of the particle size distribution of a muckpile after blasting is always an important subject for mining industry. Blasting has a significant impact on downstream processes such as loading, crushing and grinding. Improvement of blasting results provides increase in loader and excavator productivity due to increased diggability capacity, and increased bucket and truck fill factors. Suitable and uniform particle size distribution results increase in crusher and mill throughput and decrease in energy consumption in size reduction process. Digital image analysis technique has been used for many years in mining industry in order to determine blast fragmentation. The images of muckpile surface can be used to determine the mean fragment size (x50). The source of digital images can also be haul truck, leach pile, waste dump, stockpile, and conveyor belt. The screening that is conventional method to measure blast fragmentation is time consuming and expensive. Digital image analysis is a cost effective and faster method (1).

Jan 1, 2012

Senior staff representatives of the Bureau of Mines and the National Institute for Occupational Safety and Health (NIOSH) met in Washington on September 6, 1972, to review and evaluate their cooperative accomplishments to date and to consider the planning and conduct of future coordinated activities. The six presentations given at this joint staff seminar are published here for the benefit of those concerned with the problems of coal mine health, and especially those with responsibilities in administering the Coal Mine Health and Safety Act of 1969.

Jan 1, 1972

By S. K. Murphy, S. M. Spottiswoode, A. M. Milev, D. Geyser

A portable, stand-alone instrument especially designed for recording strong ground motion was used in this study to create a large database of peak particle velocities measured underground. A total number of 39 sites located in stopes mining Carbon Leader and Ventersdorp Contact Reefs were investigated. Peak particle velocities whith values up to 3 m/s were recorded at some sites. The data recorded on the skin of the excavations were compared to the data recorded by the mine seismic networks to determine the site response. The maximum site response was obtained for source radii of between 5 m and 30 m and events locating within 200 m of the site. The extreme values of peak particle velocities were obtained in cases were the face-area lay within the source radius. Un instrument portable unique spécifiquement conçu pour enregistrer les mouvements dynamiques des terrains, a été utilisé dans cette étude pour créer une base de données importante sur la vélocité maximum des particules, mesurée en souterrain. Un nombre total de 39 sites situés dans les excavations exploitant les récifs appelés ‘Carbon Leader et Ventersdorp Contact Reefs’, a été investigué. Une vélocité maximale avec des valeurs allant jusqu’ à 3 m/s a été enregistrée sur certains sites. Les données enregistrées sur le bord de l’excavation ont été comparées aux données enregistrées par les réseaux séismiques de la mine pour déterminer la réponse du site. La réponse maximum du site a été obtenue pour des sources de rayons entre 5 m et 30 m et des évènements situés dans les 200 m du site. Les valeurs extrêmes de vélocités maximales ont été obtenues pour les cas où la zone de face se trouve à l’intérieur du rayon de la source. Ein mobiles, alleinstehendes Instrument, speziell entworfen um starke Formationsbewegungen aufzuzeichnen, wurde in dieser Studie verwendet um eine große Datenbank von Partikelspitzengeschwindigkeiten, die Untertage gemessen wurden, aufzuzeichnen. Eine Gesamtanzahl von 39 Aufstellungsorten in den Schichtabbauorten vom Carbon Leader und Ventersdorp Contact Reef wurden untersucht. Partikelspitzengeschwindigkeiten mit Werten bis zu 3 m/s wurden an einigen Standorten aufgezeichnet Die an der Oberfläche des Grubenraumes aufgezeichneten Daten wurden mit jenen Daten verglichen, die vom seismischen Netzwerk der Grube notiert wurden, um die örtliche Reaktion des Standortes zu bestimmen. Die maximale Standortreaktion wurde für Ursprungsradien von zwischen 5 m und 30 m erhalten und Ereignissen die sich innerhalb von 200 m vom Standort befanden. Die extremen Werte der Partikelhöchstgeschwindigkeiten wurdenin jenen Fällen erreicht wo sich der Abbaubereich innerhalb des Ursprungsradiuses befand.

Jan 1, 2003

By A. Yu. Lein, V. V. Maslennikov, S. P. Maslennikova, I. Y. u. Melekestseva, Yu. A. Bogdanov

Tellurium is a high-tech and also toxic element. This element shows sufficient contents in Fe-Mn crusts and nodules in the modern ocean to be involved in future industrial processes [Hein et al., 2003]. Tellurium minerals and contents are not well recorded in modern and ancient black smoker systems. Tellurides are rarely found in sulfides from the modern oceans [Iizasa et al. 1992; Maslennikov et al., 2010]. The previous common opinion that tellurium is scarce in active seafloor hydrothermal systems can be revised due to the recent discovery of abundant tellurides in chimneys from Brothers Volcano vent site [Berkenbosch et al., 2012]. We found abundant tellurobismuthite, hessite, and native tellurium in chimneys from Su Su Knoll vents sites (West Pacific). So, tellurides can be found in some chimneys but absent in others. The causes of this are poorly understood. These conflicting data create numerous questions and require an explanation. The problem can be resolved by research at different scales including analysis of relevant genetic features of host sequences, systematic textural and paragenetic studies of different types of chimneys, and their rare mineral assemblages. Paragenetic models, compositional analyses and ranges of tellurium-bearing minerals and the physicochemical interpretation of chimney diversity in different types of VMS deposits are the main subjects of our research. The data on tellurides in chimneys from ancient VMS deposits should also be useful to resolve this problem.

Sep 1, 2014

By Mark J. Zdunczyk

"Frac sand is industrial silica sand much like glass, foundry, filtration and blast sand. The sand must meet certain specifications set forth by the industry that consumes the product. The production and consumption of frac sand has experienced record growth in the last 10 years because of new oil and gas drilling, new horizontal well drilling, multi-stage fracturing and the stimulation of older wells that have little or no production. Frac sand is needed to “prop open” the fractures in the rock reservoirs to allow oil and gas to flow out more freely.According to the U.S. Geological Survey (USGS), the estimated production of frac sand in 2015 was 71 percent of the total production of industrial silica sand or 67.4 Mt (74.3 million st). This is a decrease of about 12 percent from 2014. However, the silica sand industry and other industry sources estimate only 50 Mt (55 million st) of frac sand were produced in 2015. In recent years both the USGS and industry studies have been very close in estimating the production of frac sand but with the recent downturn in frac sand production, perhaps, reporting to the USGS was not as accurate. These discrepancies may be that the USGS statistics are based on voluntary reporting by the industry and some companies report their approximate production, others may not. It is always difficult to obtain accurate production figures of any industrial mineral or construction aggregate operation as most companies tend to keep those figures somewhat confidential. It is certainly accurate to report that the production of frac sand had decreased since the last quarter of 2014 and through 2015. The oversupply of oil and natural gas has led to this decline in frac sand usage. Oversupply has idled drilling rigs and well completion activities. World Oil Magazine reports that 2015 was the worst year for rigs in a quarter century. The only wells being completed are those that have contract agreements to do so, others have been capped. Very few new wells are being drilled. Since about 98 percent of well completion is sand and water, the sand supply has caught up with the demand. There are some bright spots in the “oil patch” as the Permian Basin in Texas and the Woodford Shale in Oklahoma have kept pace somewhat with drilling and completion. It has been reported that the frac sand producers in the Brady-Voca, TX area are producing to nearly capacity. The northern frac sand producers like those in Wisconsin, Illinois and Minnesota are feeling the downturn because of the cost of shipping sand to these moderately active basins and plays. The “rule of thumb” is that freight is 2/3 and sand is 1/3 the cost."

Jul 1, 2016

By Joseph Sabatini

This report, covering the period January through December 1975, contains abstracts of articles concerning all phases of cost engineering and economics for chemicals processing, raining, and other mineral industries. The abstracts are collected from the following sources: 1. Chemical Engineering 2. Chemical Engineering Progress 3. Chemtech 4. Coal Arse 5. Coal Mining and Processing 6. Combustion 7. Drilling 8. Electrical World 9. Engineering and Mining Journal

Jan 1, 1976

By R. F. Chaiken

The Bureau of Mines has conducted a study of mine fires in the Anthracite Region of Pennsylvania to determine the most effective approaches to fire control in this area. The problems involved in controlling an anthracite fire include the geological and mining conditions in this area, the propagation characteristics of anthracite, the fire control methods available, the hazards associated with these fires, and the mar-ginal effectiveness of past fire control projects. From this genecal background, fire control options were discussed as they apply in ISBO to the Centralia mine fire. Probable effectiveness, feasibility, and costs were assessedv The options evaluated include four excavation plans, flooding, hydraulic flushing, water curtain isolation, mining to construct an underground carrier, burnout control, and relocation of the community. The most advantageous from a technical viewpoint is an excavation method combining complete excavation of the fire zone within the borough with trenching to confine the remaining fire. It appears that for many anthracite fires, as for the Centralia mine fire, there are no available control measures that have a moderate cost, are proven effective, and produce minimal disruption on the surface.

Jan 1, 1983