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By Thomas H. Sheldon

IN the zeal for opening up new ore-bodies, or for. extracting the ore from attractive bodies gal ready opened up, we very often lose sight of the fact, that, after all, the operation of a mine is a business proposition, pure and simple; and for the best working-results should be treated upon a strict business basis. Of course, in every mine of consequence a record is kept of expenditures and receipts, and such glittering generalities as "gross receipts," " net receipts," " mining expenses," .and " per cent. profit," can be told to the cent; but does this . record show economy of management, either as compared with the same record of other months, or as compared to the record of other mines of the' same class ? Moreover, if such a record shows that the cost of mining is high, does it in any way en¬able the manager to put his finger on the leakage? Does it necessarily follow that a mine which makes a profit of, say, 40 per cent on 25-dollar ore, is doing less economical mining than one which saves 60 per cent on 80-dollar ore ? Of course the figures in the latter case look the more attractive, but when it comes to a point of saving everything which can be saved, and of cutting down expenses to the lowest possible cost of operation, the former mine is doubtless on the most firm and economical financial basis. But as the relative merits of the system of mining in the two cases, nothing could be decided without a basis of detailed comparison ; if one system is more economical than the other, why is it so, and wherein does the advantage lie ? This can be shown only by keeping accurately the cost of each mining operation. And no matter how dissimilar two mines may be in character and operation, yet there are a few general heads common to all mining operations. In the first place, it is necessary to break the ore from the solid ground ;

Nov 1, 1905

By Dan Witkowsky

In an increasingly environmentally conscious world, mining's importance to society has often been misunderstood and even maligned by the public. Extreme and impractical ideas have often been presented to children because of the lack of accurate, timely resource materials available to educators. In the late 1960s. two mining engineers, S.P. "Pi" Warren and C.L. "Lindy" Barker, became aware of this situation. They proposed to develop a summer field course to provide a factual overview of the minerals industry for teachers. The pair believed that teachers could become better informed to educate students, and future generations, about mining. These two Colorado Mining Association (CMA) members felt that such a course could reduce much of the misunderstanding about this vital industry. This could be done by providing a balanced perspective of mining, not only for kindergarten-through-grade-12 teachers, but also for the students they would be teaching during their careers. Students who better understood the minerals industry could better formulate an unbiased view of it. The course would seek recognized authorities from industry, academia and government who would lecture in their respective fields of expertise. The course would provide a total concept of the coal, aggregate, metals and industrial minerals industries. It would include geology, geophysics, exploration, mining, processing, marketing, product applications, economic, mining history, careers, and environmental responsiblity. When possible, site visits would permit educators to view operations and to meet the men and women who are industry leaders. Teachers would pay a small tuition fee. The balance of the program expenses for each teacher would be paid through scholarships provided by industry and individuals. The "total concept" idea obtained the support of the minerals industry. The support of CMA's Education Committee and the Colorado School of Mines (CSM) was obtained in 1968. Colorado's Commission on Higher Education approved teacher recertification credits through CSM's Office of Special Progams and Continuing Education for those successfully completing the program. The first six-week series of classes presenting the total concept of the indus¬try was held at CSM in 1969. In 1977, the CMA Education Foundation Inc. (CMAEF) was established as a Colorado nonprofit corporation. The "Total Concept of the Mining Industry" (Total Concept) course was placed under its sponsorship. CMAEF is dedicated toward this continuing education program (Table 1). In 1994, the course was streamlined to four-weeks for six hours recertification credit.

Jan 1, 1997

By P. K. N. Raghavan

This paper identifies potential technologies for Carbon dioxide abatement from the mining and metal industry with special reference to the Aluminium industry. Mine reclamation could contribute to this effort to successfully reach the greenhouse gas (GHG) emissions reduction commitments for a nation. An overview of GHG production by the mining and metal industry together with a review of principles used to set the context in which specific options for GHG reduction are described. Options for GHG reduction in the mining and metal industry include reforestation, Addition of soil amendments or neutralizing agents, CO2 capture and storage, initiatives towards energy reduction, waste heat recovery and alternative energy use. An analysis and quantification of the potential GHG reduction of potential carbon sinks and sequestration options for the mining and metal industry are provided. Cost estimates for different options are provided. The paper also identifies sources that could fund research regarding GHG reduction options. The paper concludes with recommendations.

Jan 1, 2011

By Donald W. Gentry

This section deals with one of the most fascinating aspects of mining the evaluation of mine investment opportunities. Be-fore proceeding further, it is important to clarify the meaning of some fundamental terms used frequently in the text. 6.0.1.1 Mine Valuation vs. Evaluation The words "valuation" and "evaluation" in a mining context are often used interchangeably. However, for the purposes of this section, a distinction is made between the two terms in accordance with commonly accepted practice. The word valuation in a mining project context has the rather narrow meaning of placing a dollar or other currency value on the worth of the project as a whole. In other words, the value of a mining project refers to a measure of the desirability of ownership of that property. As such, the major item of interest is, "what is the mine worth?," or `what is the value of the mine?" The value of a mining project may actually be determined in the marketplace at any specific point in time, or it may be estimated by one of several methods. The topic of mine valuation is discussed in more detail in Chapter 6.1. The word evaluation in a mining project context connotes the broader meaning of determining the numerical values of all

Jan 1, 2008

By E. D. Gardner

This is one of a series of papers written for the consideration of operators of small gold and silver mines in the West. The paper discusses smelting schedules, general smelting practices that have a bearing on rates, and the reasons for penalties or credits for certain constituents of ores. Crude gold and silver ores generally are shipped to smelters only when milling facilities are not available; however, high tailing losses in milling a high-grade or refractory ore or low smelting rates because of the fluxing value of an are may make direct smelting more economical.

Jan 1, 1936

By George W. Toth

Uranium in situ leach mining has recently emerged as a viable alternative to conventional miring techniques. The cost implications of in situ mining are therefore of increasing interest to mining paracticioners as well as public officials. This report presents the results of an assessment of uranium in situ leach mining costs through the application of process engineering and discounted cash flow analysis procedures. A computerized wasting technique, termed a cost model, was developed through this effort to facilitate rapid cost analyses. Application of this cost model will generate mine life capital and operating costs as well as solve for economic production cost/lb. U308. Conversely rate of return may be determined subject to a known selling price. The data bases of the cost made! have been designed to reflect variations in Texas vs. Wyoming site applications. The results If applying the model under numerous ore deposit, operating, wellfield and extraction plant conditions for Texas and Wyoming are summarized in the report. Sensitivity analysis of changes in key project parameters have also been tested and reported.

Jan 1, 1981

By George Pittman, Dan McCutchen

When an explosive manufacturer in the USA wants to put a new explosive formula or detonator design in the toughest proving ground in North American, it is Florida. Florida conditions have baffled many creditable blasting experts. This paper deals with some of the methods used to overcome these problems.

Jan 1, 1995

By Maurice E. Peloubet

This discussion of accounting will describe the statements and the information that the accounting system produces, from the point of view of those who use such systems rather than of those who prepare them and who do the detail and technical accounting work. In any well organized mine, quarry, or other enterprise exploiting a mineral deposit, no matter how small, some clerical and accounting work must be done. Miners and other employes must be paid, supplies must be purchased and issued, and various tax and information returns, which even the smallest enterprise must file, have to be prepared. In this chapter it is assumed that the enterprise has employes of this type and that they understand the fundamentals of record keeping and accounting. It would be impossible here to give sufficiently full explanations to enable a man with no previous clerical and accounting training to set up and operate an accounting and cost system for even the simplest extractive operation. Rather, we shall hope first, to tell the investor and the operator, from the chief engineer or president down to a subforeman, what to expect from the accounting statements and records and how to use this information in his daily work; and second, that it will enable the man with some knowledge of accounting or book- keeping, but with little or no experience in any extractive industry, to set up and operate a satisfactory system for a mine or other extractive enterprise. For readers who wish to go further, the bibliography at the end of this chapter contains many references. T he emphasis has, therefore, been placed on the statements to be produced and the purposes for which they are to be used rather than the underlying books and records. These are, with a few exceptions which will be described later, essentially what might be found in any industrial enterprise and would probably, in the extremely small enterprise, consist of handwritten journals, ledgers, analysis books, payroll books, and stores ledgers. In the larger enterprise, various types of mechanical accounting would be introduced in proportion to the complexity of the operation.

Jan 1, 1964

By E. P. Dowding, J. Schlocker, C. H. Fuchsman, R. R. Lloyd, Mahan. W. M., O. C. Garst, W. T. Rawles

"INTRODUCTION The United States, although the leading consumer of chromite, depends almost entirely on imports for its supply. For instance, the consumption during. 1941 amounted to 714,645 long tons, whereas the domestic chromite production, although the highest since 1918, was 12,731 long tons or only 1.78 percent of the domestic consumption. 9/ Domestic production was tremendously, accelerated,after 1941 by war demands; however, only a small proportion of this domestic product was of sufficient quality to be substituted for the high-grade imported chromite demanded for metallurgical purpose. Chromite is used largely for making ferrochromium, an alloy containing 60 to 70 percent chromium which is used in making alloy steels. Peacetime specification for ferrochromium required that it should contain 68 to 69 percent chromium. These specification were lowered to between 60 and 63 percent, chromium in 1941 to permit the use of lower-grade ores. The specifications for metallurgical chromite, used for making ferrochromium, were established first by the Metals Reserve Company at 48 percent Cr203 and a Cr. Fe. ratio of 3 : 1 but later were lowered to 45 percent Cr203 and a Cr : Fe ratio of 2.5 : 1. The ratio of chromium to iron in chromite is important, because the contained iron enters the alloy in making ferrochromium and, although an ore may contain the required 45 percent Cr203, it may contain too much to be suitable for ferrochromium production. The principal sources of domestic chromite are California, Oregon, Montana, and Alaska minor, small, and widely scattered deposits in another dozen States. Without exception, these deposits are low-grade, require beneficiation to produce a commercial product, and are not competitive with imported high-grade ore in normal times. Nevertheless, these deposits form strategic reserve, which must be utilized in periods of national emergency. Recognizing this fact; the Bureau of Mines for many years has undertaken investigations to develop methods of utilizing domestic chromite ores. The problem has been approached from three angles: (1) Mechanical methods of concentration; (2) beneficiation by chemical or metal¬lurgical methods; and (3) production of metallic chromium by electrolysis of solutions prepared from ore or concentrate."

Feb 1, 1946

By John W. Frey

Although there are certain general uniform provisions in the laws ... of the several Provinces of Canada the differences are so great that it is considered advisable to present digests of separate mining laws rather than a digest of Canadian mining law as an entity . This analysis , accordingly , has been divided as follows : Nova Scotia , New Brunswick , Quebec , Ontario , British Columbia , and a group of Provinces under Dominion Law .

Sep 1, 1930

By C. O. Bounds

Management of emission control dust from electric? arc furnace (EAF) steelmaking as an RCRA-EPA listed hazardous waste places economic and environmental pressures on the steelmaking industry. Horsehead Resource Development Company, Inc. (HRD) serves the industry by recovering nonferrous metals from the dust in rotary kiln plants in Palmerton, PA and Chicago, IL, and has demonstrated the commercial viability of its patented coal-fired FLAME REACTOR Process. However, because of location and/or regulation, many steelmakers could be more economically served via on-site processing of its dust. Therefore, in 198-7, through a contract with the Gas Research Institute, HRD embarked on a program to develop a gas-fired reactor and test a prototype unit. The development program has successfully proven the environmental, technical and economic performance of the concept. Consistently high zinc, lead and cadmium recovery to an oxide concentrate as well as production of a nonhazardous, delistable slag have routinely been achieved. The gas-fired FLAME REACTOR field experiment results and the economic performance of on-site or smaller regional plants will be highlighted.

Jan 1, 1990

By Michael Rieber

Mineral economics interfaces the mineral sciences and engineering with finance and economics in the analysis of appropriate questions facing the minerals and energy industries. Its practitioners include those trained in the earth sciences; mining, petroleum, and geological engineering; metallurgy and mineral preparation; as well as finance, information systems, economics, and statistics-most usefully in one or more combinations. Allowing for some overlap, three general areas may be identified: evaluation, economic analysis, and resource appraisal. Evaluation begins with mine investment analysis (exemplified by Gentry and O'Neil, 1984) and process costing, for which the STRAMM Handbook (Anon., 1977) provides a well-known basis for mining and beneficiation. But it extends from property appraisal, often used for the determination of taxes and royalties, through the determination and comparison of transport costs (e.g., Richer and Soo, 1977), and to benefit/cost analyses of externalities. Economic analysis, the subject of this section, is displayed in rigor and extent both theoretically and as applied to commodity classes in Vogely (1985), but it is implicit though apparent throughout Lefond (1983). The text edited by Vogely places minerals in their aggregative context with economic growth and trade, proceeds to the theoretical analysis of minerals and their markets, analyzes the structure and performance of the major mineral sectors, and concludes with policy issues: fuel, nonfuel, and environmental. Resource appraisal employs quantitative methods for the estimation of mineral and energy resources. It moves through geologic, geophysical, and geochemical properties to the identification of estimation procedures for mineral endowment and for the economic measure of stocks and flows of specific minerals (Harris, 1984). It can be used to estimate the probable amount of a specific resource remaining in a given region and has been used to project sites in a specific

Jan 1, 2008

By J. W. Thompson

AN ACT prescribing the mode of maintaining and defending possessory actions on lands belonging to the United States. The People, etc. SEC. 1. Any person now occupying and settled upon, or who may hereafter occupy and settle upon any of the public lands belonging to the United States, unoccupied, except upon lands containing mines of any of the precious metals, may commence and maintain any action for interference with, or injuries done to his possession of said land, against any person or persons so interfering with or injuring such land or such possession. SEC. 2. On the trial of any such cause, the possession or possessory right of the plaintiff shall be considered as extending to the boundaries embraced by the claim of such plaintiff, so as to enable him to have and maintain any action as aforesaid, without being compelled to prove an actual inclosure; provided, that such "claim" shall not exceed in any case one hundred and sixty acres of land. SEC. 3. Every such claim, to entitle the holder to maintain any action as aforesaid, shall be marked out, so that the boundaries thereof may be readily traced, and the extent of such "claim" easily known, and no person shall be entitled to maintain any such action for possession of, or injury to, any claim, unless he occupy the same, or shall have made improvements thereon to the value of $100. SEC. 4. A neglect to occupy or cultivate such "claim," for the period of three months, shall be considered such an abandonment as to preclude the claimant from maintaining any action as hereinbefore mentioned. Sec. 5. Any person or persons claiming the right of possession to land under this act shall have the right to defend said possession and the claim thereto, and all the rights and privileges given them by this act.

Jan 1, 1918

By Sidney Katell

This study estimates capital investment, operating costs, and selling prices for four underground bituminous mines producing coal with annual production ranging from 1.06 to 4.99 million tons. It is assumed that the mines have a 20-year life. Wages and union welfare payments are considered as of December 6, 1974, under the Bituminous Wage Agreement of 1974, and costs for material and equipment are based on 1975 indexes. Initial capital investment ranges from $23,629,500 for the 1; 06- million-ton-per-year (MM tpy) mine to $79,907,500 for the 4.99-MM-tpy mine. Total capital investment ranges from $35,336,500 to $1 18,863,500 for the same mines. Corresponding selling prices for the coal range from $13.57 to $11.36 per ton, assuming a 15-percent discounted cash flow rate of return after Federal income taxes.

Jan 1, 1975

By J. Mackintosh Bell

External trade strongly influences the well being of all nations. In the modern economic mechanism, no country is so well endowed that it has not to import commodities from others and to export its products in turn to make good its deficiencies, to rectify or improve its financial structure. From the standpoint of international commerce, Canada is strategically well placed. On the south she is bounded by the richest country in the world. On the east she faces the Atlantic, on the west the Pacific. On both coasts there are fine harbours to which lead great lines of railway that span the continent. Canada is now fifth among the exporting nations of the world. For disposal abroad, she has enormous quantities of primary commodities and substantial amounts of manufactured goods as well. But she is far from being self-sustaining. She is unusually dependent on foreign trade, not only because of the commodities she has to sell but because of the lack of many essential articles she does not or cannot produce. To Canada, external commerce is vastly more important than internal trade. The wealth of nations is decided by their ability to produce more than they need, to sell more than they buy, and to build up favourable balances resulting from trade or services. With few countries, however, are returns perennially satisfactory. Fruitful periods are followed by leaner years. In times of prosperity foreign credits are increased, monetary systems strengthened, reserves accumulated to withstand recurring days of strain. Today, the foundations of financial systems are being re-examined, "dogmas hitherto accepted as canonical are being questioned" . It is not only in Europe and America that men search for illumination in problems arising from monetary restrictions.

Jan 1, 1933

By P. A. Riveros, R. Molnar, F. J. Baša

"An acidification circuit was installed and operated at the Agnico-Eagle Silver Division refinery in Cobalt, Ontario, for treating ~300 m3 of a concentrated cyanide waste solution with the purpose of recovering its cyanide and metal values. The acidification circuit was designed from parameters determined experimentally at CANMET. Available refinery equipment was assembled according to a flowsheet developed by Agnico-Eagle Mines. The process produced a regenerated cyanide solution containing >15 g/L of free cyanide, which was used for leaching gold ore at another Agnico- Eagle operation. It was estimated that the value of the recovered cyanide offset the treatment cost. BackgroundThe Silver Division of Agnico-Eagle Mines needed an economic and effective method for disposing of ~300 m3 of a concentrated cyanide waste solution that had remained in the plant after the operation was shut down in 1989. As a result of extensive recycling and evaporation, the solution had become practically saturated with metals, cyanide, thiocyanate, sulphate and other components, and was, therefore, an environmental liability for the company. A partial analysis of the solution is presented in Table 1. Initially, the use of cyanide destruction methods was considered by Agnico-Eagle, but the estimates indicated a considerable cost with no credits to be gained. A research project carried out by CANMET showed that a simple procedure consisting of acidification, filtration and reneutralization was the most attractive option, because it enabled the recovery of a substantial portion of the cyanide. Furthermore, the metals would be recovered in the form of a solid precipitate. The research showed that conventional AVR was not applicable because of excessive cyanide degradation and low HCN volatilization obtained with this particular solution (Riveros et al., 1996). This paper describes the procedure used to treat the concentrated cyanide waste solution and the operating practices of the large-scale acidification circuit run at the Agnico-Eagle refinery."

Jan 1, 1998

By S. Zekovic

"The paper gives an overview of the economics condition and strategic business challanges of the mining&metallurgy sector and their possible impact on the future development of the Bor basin of copper in Serbian part of Danube Region. Economics and strategic challanges in the mining& metallurgy complex are emphasized by world economic and financial crisis. An analysis of strategic challanges is undertaken by application of a comprehensive development framework approach. Paper indicates that an economics and evaluation of possible impacts of constraints and challenges for the development of Bor basin shows that it must be included in corporative decision, local and regional plans.INTRODUCTIONRisks are characteristic of every strategic development and business decision-making, so their successful management should be a part of the development strategy of the corporation, especially longterm. Due to the growing uncertainty in the general socio-economic environment, “risk management”, risk insurance, risk control, risk culture, risk optimization are frequently talked about. Among the key risks at a corporate level are the financial risks and risks of the regulative framework, especially in the field of environment and land use. In both cases, it is a question of external risks, which the companies need to relativize and successfully manage. Some companies pay more attention to production risks and search for better solutions in that domain which is not enough (Ernst&Young, 2008). Strategic business risks appear mostly on the macro-economic level, from where they should be” transferred” onto the level of sector economics and action level in corporations. Risk management include transferring the risk to other parts, avoiding the risk, preventing hazard, reducing the negative effect or probability of the risk, accepting some or all of the consequences of a particular risk.The research has included perspective and the general market trend and market positioning of the production and copper processing complex in the world; the impact of the requirements and strategic goals of the EU Directive and Kyoto Protocol on the institutional and other adjustments important for business in this sector; the impact assessment of the regulations important for business in the mining and metals sector, and case study of economics and challenges for the development of mining and metallurgy sector in the Bor basin of copper in Serbian part of Danube region. The analysis has included the identification and assessment of the global challenges on the future development of the copper complex in the miningsmelting basin Bor. Presented results in the paper are part of the research project “Sustainable spatial development of the Danube area in Serbia"" (No. 036036), financed by Ministry of Education and science of Republic Serbia."

Jan 1, 2012

By W. L. Dare

This information circular is one of a series the Bureau of Mines plans to publish describing the methods and costs of mining uranium on the Colorado Plateau. The Big Buck mine is one of the larger underground uranium-vanadium ore mines on the plateau. The mine is about 39 miles southeast of Moab in the Big Indian mining district, San Juan County, Utah. The Big Buck claims were located late in 1947, when uranium mineralization was discovered in the Cutler formation at its outcrop along the escarpment that forms the west side of Big Indian Wash. Charles A. Steen made the first major discovery of uranium ore in the Chinle formation in the Big Indian mining district on July 6, 1952, when 14 feet of high-grade uranium ore was encountered in a diamond-drill hole drilled on his Mi Vida claim. The Big Buck ore body now being mined by Standard Uranium Corp. is a southeast extension of Steen's original discovery.

Jan 1, 1956

By Alexander Sutulov

It is calculated that since the beginning of last century, which practically coincides with the beginning of the Industrial Revolution, our civilization has consumed around 239.5 million tons of copper (see: Table 1). According to the most pessimistic projections of today, with only a 2.5% annual growth rate in demand, we are bound until the end of this century to consume another 200 million tons of copper in remaining 17 years. A recent study made by US Bureau of Mines (1) indicates that the proven ore reserves of 150 major operating mines and about 120 deposits sufficiently explored for development and feasibility studies accumulate a total mass of 49.3 billion tons of ore, assaying an average of 0.82% Cu and containing around 324 million tons of recoverable copper. Consequently, there is a high grade of probability that the bulk of our future ore supplies, for our demand of, say, next 25 years will cane precisely from these mines. The interesting point in USBM study is that it indicates the recoverable byproduct content of these ores and which is: 118.2 million troy ounces of gold 2277.4 million troy ounces of silver 7.1 million tons of lead 24.7 million tons of zinc 1.3 million tons of nickel 3.1 million tons of molybdenum 765 thousand tons of cobalt, and 720 thousand troy ounces of platinum. This information gives us a relatively reliable profile of our future ores for next 25 years, and thus makes possible evaluation of byproduct credits in our future copper mining and producing activities.

Jan 1, 1983

By Oliver Bowles

[Simple systematic accounting that adequately records all transactions has long been regarded as essential to the welfare of any business enterprise. Some of the defects that detract from the prosperity of the slate industry are attributable to a lack of effectiveness in cost keeping. This condition has promoted the United States Bureau of Mines to make a detailed study of accounting methods for the slate industry, and to present for consideration a system of accounts, which it is believe would enable the industry to attain more economical management and operation if accepted by a fair proportion of its important units. The method of accounting presented herein has been worked out with the assistance of leading slate producers and the recommendations are tentative and are submitted in this form as a means of developing constructive criticism. Believing that cooperative effort in this, as in many ether problems will bring the most enduring benefits to the industry as a whole, the writer urges that the cost earnest consideration be given to this vital problem now facing the slate industry.]

Jan 1, 1929