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By Antoni Kalukiewicz

From 1997 through 2000, a team of Polish experts headed by the author studied the prospects of mining newly discovered emerald deposits in Afghanistan. This article describes the scheme for mechanization of the mining operations, along with improvements made to the ventilation facilities and lighting. The required equipment was flown to Afghanistan and the Afghan miners were trained in machine operation and maintenance.

Jan 1, 2005

By P. L. Crouse, S. J. Lubbe, M. J. Kabangu

A selective extraction and separation of zirconium by solvent extraction with 1-octanol is proposed. The process is based on the dissolution of the metal basic carbonates in hydrochloric acid in the presence of potassium fluoride, using 1-octanol as extractant. The effect of several process parameters, including hydrochloric acid and potassium fluoride concentrations, reaction time, and phase ratio between the aqueous and the organic phase was investigated. Zirconium is enriched in the organic phase. The best extraction and separation results were obtained with the basic carbonate dissolved in 10% hydrochloric acid and 1.5 M potassium fluoride. The optimum reaction time was 15 min with an organic to aqueous phase ratio of 2:1. Based on the selectivity of zirconium over hafnium in the organic phase, a McCabe-Thiele diagram was constructed. A near complete stripping of zirconium from the organic phase was achieved using a 3 M sulphuric acid solution. Additional studies are required in order to determine the reaction mechanism and the chemical speciation of the current investigation.

By J. Kretschmann, R. Amiri

"The Sangan iron ore mines (SIOM) in Iran are located in a remote area near the Afghanistan border. The SIOM deposit contains a geological resource of 1.1 Gt (1.2 billion st) of mostly magnetite with an iron (Fe) grade ranging from 27 to 61 percent. The Iranian government plans a stepwise development of SIOM in cooperation with private companies to satisfy the growing demand of the Iranian steel industry. Sustainable development is an influential ethical concept in mining all around the world. However, a successful realization of a sustainable development plan is not possible without a foundation on the core values and regarding the specific circumstances of the individual mining country. This paper introduces SIOM and describes sustainable development activities undertaken during its development. From the early stages, these activities have been realized to secure the acceptance of the stakeholders in the region. To evaluate their effects, indicators were filtered to the ones with the highest priority for the stakeholders. Moreover, Islamic values and Iranian regulations and their influences on SIOM were analyzed.Mining industry in Iran The Islamic Republic of Iran holds 68 types of minerals, including salt, sand and gravel, gypsum, chrome, lead, zinc, copper, coal, gold, iron, etc., with 33.5 Gt (37 billion st) of proven reserves and more than 51.7 Gt (57 billion st) of potential resources. Iran is ranked among the 15 major mineral rich countries (1). In accordance with the statistics published by Statistical Center of Iran (SCI), there were 5,316 active mines and 84,922 employees in the whole country in 2012-2013 (2) and, according to the statistics published by Central Bank of Iran (CBI) in 2011, the share of this sector in the gross domestic product (GDP) of the country was 1.2 percent (3)."

Jun 1, 2016

By D. Hopkins, D. Türler, R. D. Giauque, W. B. Davis, M. Karaca

In a highly collaborative research and development project with mining and university partners, sensors and data-analysis tools are being developed for rock-mass characterization and real-time measurement of mineral content. Determining mineralogy prior to mucking in an open-pit mine is important for routing the material to the appropriate processing stream. A possible alternative to lab assay of dust and cuttings obtained from drill holes is continuous on-line sampling and real-time x-ray fluorescence (XRF) spectroscopy. Results presented demonstrate that statistical analyses combined with XRF data can be employed to identify minerals and, possibly, different rock types. The objective is to create a detailed three-dimensional mineralogical map in real time that would improve downstream process efficiency.

Jan 1, 2002

By Chester M. F. Peters

INTRODUCTION There has been considerable discussion in recent years of the strained relations between owners, engineers and contractors caused by the rapid increase in costly litigation in underground excavation due to construction claims. These time consuming claims are not to the best interests of the industry. It has been a conclusion of some of the concerned parties that there could be a substantial reduction in these claims if a mutual respect for each other's roles could be maintained along with a practical contractual arrangement for sharing the risks of the unforeseen costs inherent in the business. This paper will touch on the overall problem of these relationships, but confine the major discussion to the role of geology in claims and, in particular, changed conditions claims, since they form the base for the bulk of those involving geology. Geologists can make a major contribution to the reduction of these claims if their particular abilities are recognized and used properly. CLAIMS AND GEOLOGICAL RISKS The tunnel contractor is strictly bound by the contract he signs, and the risks he assumes thereby must be priced. The most important variable factor on which he must base his price is the geologic data provided and his interpretation of it. If this data does not give a clear picture of the conditions, making it impossible to price

Jan 1, 1974

By Verya Nasri, Agustin Rey

Once completed, the Montreal Réseau Express Métropolitain (REM) will be the fourth largest automated transportation system in the world. The REM represents construction costs of approximately 7.0 billion Canadian dollars. The project consists of 67 km of twin tracks over four branches connected to downtown Montreal. The project includes 26 stations with 3 underground stations in downtown Montreal. One of the underground stations was built using the NATM method with thin permanent shotcrete initial and final liners separated by a sprayed on waterproofing membrane. The 2 other underground stations were built with the cut and cover approach including one using permanent secant pile wall with permanent walers and struts as the support of excavation and the final perimeter wall of the station. The project also includes the rehabilitation and enlargement of the Mont Royal Tunnel. This 100-year-old double track tunnel is about 5 km long. The REM also consists of 3.6 km new TBM tunnel connecting downtown to the Montreal International Airport through saturated soft ground and karstic rock. By the time of RETC, the construction of REM underground structures will be completed. This paper presents the design and construction aspects of the underground structures of this mega project.

Jun 13, 2023

By M. W. Smith

Pennsylvania has 2500 miles of streams that do not meet water quality standards due to acid mine discharge (AMD), making AMD the greatest cause of water pollution in the state. The problem is mainly caused by abandoned coal mines. Pennsylvania is using a watershed-based approach to abating AMD which includes remining as a key component of a comprehensive restoration strategy. The Tangascootack Creek Watershed was targeted for AMD restoration through remining. Geologic mapping and overburden data were analyzed using Earth Vision software to identify areas of coal reserves which could be remined to improve water quality. Incentives are offered to encourage mining in these designated areas.

Jan 1, 1999

By P. A. Hagerty

Biological treatment of metals-impacted water using sulfate reduction is a viable means of treatment that has been applied in pilot and full scale at numerous projects. One of the fundamental challenges with this type of treatment is the selection of an appropriate substrate to support the sulfate reduction process long-term. The substrate degradation products provide a carbon source and an electron donor for metabolism by sulfate-reducing bacteria and consequently organic characteristics are critical; however, the physical attributes of the substrate are equally critical to an efficient and optimized substrate mix. This paper explores the affect of particle size (a.k.a. grain size) of several substrate mixes on the treatment efficiency of sulfate reducing treatment systems. Substrate selection can be separated into two phases of evaluation, the primary selection phase and the secondary optimization phase. The primary selection phase considers such fundamental attributes as source availability, economics, bioavailability and longevity. These fundamental activities are conducted in order to identify potential candidate ingredients of the substrate mix which are regionally available, economically viable and consistent with the biogeochemical aspects of the project. Recent work has been conducted in the development of testing protocol for organic substrates to quantify bioavailability (Martinez Hernandez et al. 2010, Place et al. 2006) as part of the primary selection phase. Once the substrate ingredients have been selected based on the primary criteria, the mixture of these ingredients is then developed based on an optimization process, including consideration of the substrate ingredient?s particle size distribution.

Jan 1, 2011

By Donald P. Richards

Is a shaft the same as a tunnel and can it be approached in the same manner for design and construction? The most obvious difference between a shaft and a tunnel is that of orientation; whereas a tunnel is commonly near horizontal or slightly dipping, a shaft is commonly vertical or steeply inclined. As a result, design and construction methods employed for tunneling, in general, cannot be directly applied to shafts, although some of the basic concepts of behavior are quite similar. Many of the shafts that have been sunk in various parts of the world are owned by private mining companies. Each company has generally accumulated years of experience in shaft sinking and mining techniques pertinent to its particular geographic location. When a new shaft is to be sunk or an existing shaft deepened, the tendency often seems to be to continue to use the methods that have been used successfully in the past.

Jan 1, 1979

By James J. Anthony

High-angle in-pit conveying is an idea that is being seriously studied by a number of important mining companies in North America. Its application in coal, iron ore, and copper mining is expected to reduce mine operating costs considerably compared with the conventional discontinuous methods, such as truck haulage, which are fuel, labor, and maintenance intensive. Therefore, a mine introducing high-angle in-pit conveyors will gain a competitive advantage over mines which continue to use conventional haulage. While the capital outlay for in-pit conveyor systems obviously varies depending on pit depth, the angle of incline, and the capacity required, it generally will not exceed that of truck haulage when all Factors are taken into consideration. These factors include the cost of excavation, as measured in relation to the volume of minerals mined, the cost of building truck ramps and roads, and the capital outlay for the trucks and maintenance facilities. In many cases, in Fact, the capital outlay will be less than for truck haulage. This cost advantage will best be realized by new mines, whereas in existing producing mines the switch from truck haulage may involve the abandonment of a substantial capital asset.

Jan 1, 1983

By John C. Stankus, Xiaoting Li

"Underground structures such as square/arch steel sets, king beam structure, etc. are widely used for the roof support in underground mines. In designing and calculating the required carrying capacities of these underground structures, how to identify the potential rock loads on the structures over long term is a challenging question for ground control engineers. Based on design practices of both surface and underground structures, the authors have designed and applied appropriate load factors in underground structural design projects to accommodate different rock types, entry/intersection dimensions, roof geologic conditions, availability of roof bolts and water, etc. Classification of load (reduction) factors for large-span underground intersections are presented for reference. Success of designed underground structures in effectively controlling roof stability over years indicates the applicability of the load factor concept for underground structural design, and its same significance as of the load factor specifications in ASCE/SEI 7-10, ANSI/AWC NDS (2015), and AASHTO LRFD Bridge Design Specifications (2012). The load factor concept will facilitate ground control engineers to appropriately utilize popular structural design software, such as RISA-3D or -2D to efficiently design and analyze underground structures.LOAD FACTORS IN STRUCTURE DESIGN APPLICATIONSIn structures, loads cause stresses, deformations, and displacements. Assessment of their effects is carried out by the methods of structural analysis with the help of load factors. Loads can be increased or decreased by load factors to meet the requirement that design strength be higher than maximum loads. For example, in designing a staircase, a dead load factor may be 1.2 times the weight of the structure, and a live load factor may be 1.6 times the maximum expected live load based on the Load and Resistance Factor Design (LRFD) method. These two “factored loads” are combined (added) to determine the “required strength” of the staircase. Some typical load (adjustment) factors used for structural design are as follows:"

Jan 1, 2019

By Glen D. Frank, Jeremy P. Theys, Mina M. Shinouda, Gary W. Gilbert

PURPOSE OF THE PROJECT The Big Walnut Augmentation Rickenbacker Interceptor project began in 1995with the preparation of the Scope of Services for the design of the Rickenbacker Interceptor, with service to and around the Rickenbacker Air Force base. The air base was soon to be placed under civilian control through a Port Authority, with an expected influx of businesses and services, requiring increased sanitary service capability. Due to political differences regarding annexation and other issues, the project was placed on hold. In mid 1996 the Scope of Services was rewritten with more emphasis on a tunneling option, but still only addressing the air base and surrounding tributary are a sanitary service requirements. The consultant selection process began in late 1996 with the Request for Statements of Qualifications issued in December. Three firms were selected to furnish proposals based on the revised Scope of Services that now included requirements for hydraulic modeling of the service areas and the Big Walnut Outfall (BWO) and an expanded soil investigation requirement. All three firms were requested to make presentations to the selection committee, with the committee selecting URS Greiner for further consideration and negotiation. A contract was entered into in August of 1997with URS Greiner. The major sub-consultants were Lachel and Associates, Inc., H.R.Gray and Associates and Solar Testing Laboratories, Inc. The project began with geological investigations, preliminary soil borings, well investigations, tributary area evaluations, hydraulic modeling of the BWO system and research into other projects planned for the Rickenbacker airport and surrounding area. The hydraulic modeling of the BWO and the proposed Rickenbacker Interceptor confirmed that the BWO suffered wet weather surcharging and would require augmentation to properly convey the future flows to the Southerly Wastewater Treatment Plant(SWWTP). The project scope expanded to include evaluation of both the Rickenbacker Interceptor and the Big Walnut Augmentation projects. Both projects previously identified in the Capital Improvements Program. The work on the expanded scope for the Big Walnut Augmentation and the Rickenbacker Interceptor began with the evaluation of a parallel 2.75 meter (108") diameter augmentation sewer from SWWTP to S.R. 317and Parsons Avenue, then continuing east along S.R. 317 as the Rickenbacker Interceptor. The parallel 2.75 meter (108") sewer had been planned for in the design of

Jan 1, 2007

By Syd S. Peng, C. Y. Chen

Introduction The Surface Mining Control and Reclamation Act was passed in 1977 to put an end to the uneven environmental standards and enforcement established by various coal mining states in the US. One year after passage, the Secretary of Interior was directed to promulgate permanent program regulations implementing Title V provisions of the Act. These regulations were to form the basis for state regulatory programs under the Act and to allow states to assume primary regulatory responsibility. To implement the underground mining provision of the Act, the Secretary is directed in section 516(a) of the Act to promulgate rules. But they must take into consideration the differences between surface and underground coal mining. The regulations developed by the Secretary in 1979, with respect to subsidence control, included: • a subsidence control plan as part of the permitting process; • substantive provisions establishing performance standards for subsidence control; and • provisions providing for the prohibition of mining under perennial streams, impoundments larger than 24.6 dam3 (20 acre ft), and certain public facilities and urban areas. Industry challenged the Secretary's regulations implementing the subsidence control provisions. The litigation was consolidated with all other challenges to the permanent program regulations. (Permanent Surface Mining Regulation Litigation, Civil Action No. 79-1144; D. D.C., May 16, 1980.) In two opinions dealing with the multitude of issues raised by both industry and environmental groups, the US District Court of the District of Columbia ruled against industry. It upheld the promulgated subsidence control provisions. The US Court of Appeals stayed the appeals pending the agency's review and revision of its regulations. The regulatory reform was conducted in accordance with the order from the Secretary of Interior and the President in 1981. As a result, the subsidence control regulation was revised, reproposed, and finalized in June 1983 (Federal Register). This regulation, along with others, was again challenged by environmental groups and industry. On Oct. 1, 1984, the court, after finding the Secretary's reading of the Act reasonable, upheld the 1983 subsidence regulation except for one section. On Feb. 21, 1985, in accordance with the court's ruling, the Office of Surface Mining (OSM) suspended a portion of 30 CFR 817.121 (c)(2) concerning the damage correction requirement for structures or facilities and reproposed it on July 8, 1985 (Federal Register). In conjunction with a request for public comments, OSM now also seeks comments on the omission from the 1983 rule of the requirement in the 1979 rule regarding a presubsidence survey and monitoring of damage to structures. Technical issues related to subsidence regulations The subsidence regulations of June 1, 1983, consist mainly of two parts: a subsidence control plan as part of the permitting process; and substantive provisions establishing performance standards. The latter also includes provisions for prohibiting mining under certain areas. Under subsidence control plan section 784.20, minimum require-

Jan 2, 1986

By Micah Nehring, MEHMET KIZIL, Farzad Sotoudeh, Amin Mousavi, PETER KNIGHTS

Production scheduling in underground mines is one of the most important and complex processes in maximising the economic value of an operation over the life of the mine. Due to increasing energy, transportation, processing and smelting costs and reducing water availability, the extraction of ore deposits through underground operations has become more expensive and challenging. A potential productive and efficient solution to mitigate these issues is to integrate pre-concentration systems into the existing mining system to increase ore grades through a preliminary process of rejecting some waste before sending the ore to the energy intensive mineral processing plant. Further benefit of such systems includes the utilisation of the waste and low-grade material in backfilling of open stopes to reduce the transportation costs and surface environmental impact such as reduction of CO2 emissions and waste transportation. The objective of this paper is to present a new mathematical model to optimise the production schedule of underground metalliferous mining operations in the presence of a pre-concentration system. The proposed model optimises the production schedule and sequencing of stopes within a sublevel stoping operation. The results of this study illustrate the potential economic benefits of using a pre-concentration system prior to a mineral processing operation as a result of increased net present value.

Nov 16, 2023

Introduction Some people say it is almost impossible to get mining permits in California. Some say the day of the lone mining entrepreneur is past. And some say you cannot make money mining gold where old-timers have already mined it, especially in Tertiary gravels. But a young mining operator and SME member, Tim Callaway, is proving these ideas wrong. Callaway's company, Brush Creek Mining and Development Inc., has the necessary permits for its Gardner's Point gold mine in Sierra County, CA. And, Callaway has secured funds for the 7.7 km'/d (10,000 cypd) Tertiary gravel operation. The company's initial goal is to produce 373 to 466 kg/a (12,000 to 15,000 oz per year) of gold at Gardner's Point mine at a cost of less than $6.43/g ($200 per oz). Feasibility studies are currently being conducted to consider product levels up to the 1555 kg/a (50,000 oz per year) involving additional plants and infrastructure. While exploring for other hard-rock properties, the Brush Creek company already operates the Brush Creek lode gold mine. The mine sits high on a ridge south of Goodyear's Bar, which is located on the North Yuba river. It might be noted that the Brush Creek mine has been the subject of media stories recounting how a mine can operate with sensitivity to the environment. Gardner's Point project In 1983, Callaway negotiated with the Gardners Point Ltd. Partnership for control of the Gardner's Point property. The Partnership had been engaged for three years in securing permits, mapping and drilling, and test mining. The Partnership actually mined about 43.5 dam3 (57,000 cu yd) of gravel, which yielded 25.2 kg (810 oz) of free gold. Later, the Brush Creek company acquired ownership of the property. The company then began its own exploration and development program. As underground development proceeded at the Brush Creek mine, plans matured for a high-volume operation at Gardner's Point. Australian and English investors contacted Callaway. A joint venture was negotiated. The Australian owners became majority participants; the Brush Creek company, a minority participant and the operator. The Australian investors agreed to contribute $3.5 million (60%) to the Brush Creek Joint Ventures. The Brush Creek company will contribute its expertise as well as assets and liabilities valued at $2.3 million (40%). About $2 million has been allocated to the Gardner's Point project. Later, Brush Creek Mining and Development Inc. sold 50.4% of the company's common stock to English investors for $5.4 million. Callaway negotiated this private placement, which permits further exploration of projects being investigated. Geography and history The Gardner's Point mine is located in the northern Sierra Nevada of California, about 9.6 km (6 miles) east of the little town of La Porte in Plumas County. The mine lies high on a ridge above Slate Creek, which divides Plumas and Sierra Counties. La Porte is accessible from the Sacramento area by a winding, paved, two-lane highway. But the mine is reached only by two different unpaved county and Forest Service roads. Both roads include steep grades in and out of the Slate Creek canyon. Mine elevation is about 1.4 km (4600 ft) above sea level. The area is thus threatened by occasional heavy winter snows, though it

Jan 3, 1987

By H. Sevim

Three transportation and handling alternatives for delivering dry coal combustion residues from power plants to underground coal mines were evaluated technically and economically. The objective was to transport, handle, and inject the residues into the old workings of the mine at a minimum cost. This objective was accomplished in two steps: I) Simulation models were developed and utilized in identifying technically feasible designs in each alternative, 2) Technically feasible designs were economically evaluated to obtain the cost-per-ton of material transported. The designs that provided the minimum cost-per-ton were declared optimal An analysis was conducted for varying distances and tonnages to reveal favorable operating ranges of each alternative.

Jan 1, 1996

By D. Caiden, C. S. Covil, P. J. Chamley

The paper describes the background to alternative delivery models, drawing on international experience, and introduces Project Alliancing/Contract Partnering, common risks and risk sharing on tunnel projects. A plea for early contractor involvement in design is made before describing some whole life design implications for tunnels. The paper concludes with four short case studies; Channel Tunnel Rail Link in the UK, Hull Waste Water Tunnel in the UK; Island West Sewage Transfer Station in Hong Kong, and the New Southern Railway in Australia.

Jan 1, 2005

By D. Shin

The gold leaching using cyanide from ore or waste has been almost universally in use [1]. Recently, biological gold bioleaching using cyanide producing bacteria, e.g. Chromobacterium violaceum, Pseudomonas fluorescens, or P. aeruginosa, has been investigated as environmental friendly and cost effective method. Among them, C. violaceum has been reported as effective cyanide producing bacterium on gold leaching [2, 3]. C. violaceum produces cyanide using glycine as a direct precursor and subsequently detoxify the cyanide by ß-cyanoalanine synthase [4]. However, until today only 0.026 ? 16.9 mg/L of cyanide production in YP medium has been reported in the literatures by C. violaceum [4-6]. Comparing with adding cyanide chemical, biogenic cyanide concentration is lower than the cyanide concentration added in traditional cyanidation. Since cyanide also forms complexes with a number of other elements such as iron, nickel, zinc, silver, copper, and platinum, it is very important for gold recovery to investigate the enhancement of biological cyanide production and set optimal experimental condition. Most of early studies on gold bioleaching by C. violaceum have been performed to investigate gold leaching mechanism using gold powder, and recently various resources such as ores, electronic scrap, and printed circuit boards of waste electronics [7]. Few studies have dealt with gold bioleaching from low-grade ore. In this research the feasibility of gold bioleaching by C. violaceum from low-grade ores containing gold was evaluated and fundamental study was performed for further scale-up study. The aim of this study was to improve the potential of gold bioleaching by C. violaceum from gold-containing ore; in particular, enhancement of biological cyanide production.

Jan 1, 2012

By Maurice Grieves

GC. Waterman Mr. Grieves' paper on "Shaft Sinking Today--A Boring Business Tomorrow" in the Dec. 1981 issue of MINING ENGINEERING is an excellent description of recent improvements in speed and costs of shaft sinking. However, shaft boring techniques are not a recent development. In 1935-36, the Idaho Maryland Co. (gold), Grass Valley, CA, bored the vertical 1.5-m-diam Idaho No. 2 ventilation and supply shaft to a depth of 346 m. The equipment was designed and perfected by Branner Newsome and was, I believe, described in "Transactions." Pickands Mather later bored a 1.8-m-diam shaft to a depth of about 305 m using Newsome's design. The Idaho No. 2 shaft cut through hard gabbro, diabase dikes, soft serpentine, very incompetent ankeritized serpentine and a strong fault zone. The completed shaft did not require timber support; the fault zone was cemented. Equipment consisted of a rotating 1.5-m or 3-m core barrel with a slotted bottom which cut a 76-mm kerf. The cutting agent was chilled steel shot introduced into the slot as needed. The driving mechanism and core barrel were lowered into the shaft, the former secured to the wall and the inshaft "engineer" operated the motors which controlled core barrel rpm and advance. After an advance of 1.5-3 m the equipment was lifted out of the shaft, a half(?) stick of powder cut off the drilled core, and it was hoisted to the surface with a cable attached to an eye bolt at the tope of the core. A "shift" consisted of three men: hoistman, equipment operator (down the shaft), and a surface laborer. Advance was variable as equipment and techniques were perfected. Near the end of the job advance was, as I remember, 1.5-3 m per shift. Costs were, as I recall, about $115/m. Up to 4 m cores were lifted out in one piece and swung to the dump by a stiff leg derrick. The Newsome equipment was relatively inexpensive to build and operate and his method should be (more than?) competetive with the methods described by Grieves. W.E. Hawes The author, in mentioning the South African developments of the cactus grab, ignores the parallel development of the Cryderman mucker in this hemisphere. Perhaps a slightly longer history of blind hold drilling would have been in order. Blind shaft boring got a major boost at the Nevada Test Site, as part of the nuclear weapons development, when it was essential to be able to quickly assess depth for weapons testing. One of the early civilian attempts to utilize this technology occurred when Kerr McGee drilled the shaft at the Section 19 Mine at Ambrosia Lake, NM. This twin masted drill rig belonged to a subsidiary of Kerr McGee, not Shaft Drillers. This was a difficult hole, due to bentonitic shales that decomposed. Later advances in drilling fluids eliminated this problem. The Conoco project referred to is not entirely correct, and needs minor amplification: The depth of the development (not pilot) shaft drilled was 684 m, at a diameter of 3.05 m, with a 2.16 m ID hydratatic casing being installed to a depth of 669 m. Conoco Inc., not Challenger, executed the drilling, however Conoco did use Challenger Drilling Company's Rig 14-S. Rig 14-S is unique in that it is specifically designed for shaft drilling, rather than being an oil field rig used for this service. All work was planned and directed by Conoco personnel. Deviation of the aforementioned shaft from vertical was 31 cm. Two smaller shafts (pilot shafts) were drilled with the same rig. These smaller ones were drilled 1.8 m in diameter, to depth of 665 m and cased with .91-m-diam casing, to depth of 650 m to be used as pilot holes for 5.5 m diameter shafts. The total elapsed time for all drilling, casing, cementing, and rig moves was 50 weeks. The constraints mentioned of vertical accuracy, torque, wall collapse, rig set up time, lining time etc., pumping out, etc., may not be as serious as the author implies. First, vertical accuracy: The record achieved by Conoco indicates that with reasonable care, good accuracy can be obtained, primarily by having a fair amount of weight in tension, rather than on the drill bit. Second, the amount of torque that can be applied to the drill stem has been greatly increased by the introduction of larger diameter drill stems, such as the new Hughes rig uses. Third, risk of collapse of shaft walls is minimal with the proper mud program. Basically, the walls are supported by the weight of the mud and it is not removed until some type of casing is installed and grouted in. Here in the real challenge of blind drilling shafts to devise a more economical method of lining bored shafts than using steel casing. The remaining issues were minor at Conoco, provided adequate planning and scheduling takes place. An excellent paper, "Shaft Drilling--Crownpoint Project" by Hassell H. Hunter, presented at the Fifth Uranium Symposium in Albuquerque in Sept. 1981 contains details of this project. A combination of blind boring, with enlargement by either mechanical means (boring machine, or tunneling type shield) or slabbing down, with muck removal through a larger bored shaft would seem to be the future trend in shaft development. The economics, especially for wet conditions, favor this concept over conventional sinking, as has been demonstrated at Kerr McGee --Churchrock, UNC--Churchrock and Conoco at Crownpoint.

Jan 3, 1983

By J. A. Botín

NPV is a static measure of project value which does not discriminate between levels of internal and external risk in project valuation. Due to current investment project?s characteristics, a much more complex model is needed: one that includes the value of flexibility and the different risk levels associated with variables subject to uncertainty (price, costs, exchange rates, grade and tonnage of the deposits, cut off grade, among many others). Few of these variables present any correlation or can be treated uniformly. In this context, Real Option Valuation (ROV) arose more than a decade ago, as a mainly theoretical model with the potential for simultaneous calculation of the risk associated with such variables. This paper reviews the literature regarding the application of Real Options Valuation in mining, noting the prior focus on external risks, and presents a case study where ROV is applied to quantify risk associated to mine planning.

Jan 1, 2012