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By Gerald L. Colborne

The major role of financial institutions in the free world in the development of mineral resources is to provide the necessary capital in the form of loans to underwrite the development of these resources by the industry on a stable and continuous basis. This capital provided by the depositors to the bank must be invested in sound projects where the degree of risk is relatively small, the return on the investment is reasonable and the time to retire the loan is of short duration. Money is, therefore, one of the important ingredients along with technology, manpower and an exploitable resource that will provide a sound economic base in this region of development. Canadian banks are similar to banks of other western nations, although each country has some differences in their banking systems. The basic difference between the American and Canadian systems is that the former employs unit banking while the Canadian utilizes the more mobile branch system, which is prohibited or restricted in the United States and some other countries. Canadian banks are the subject of this paper, so, subsequent material will relate to Canadian banks unless indicated otherwise. It will be realized by everyone that the mineral industry is only one area of the economy in which the banks are interested and to cover the subject matter in the time allowed, the topic is restricted to mineral resource development. In Canada this is a vital sector of our economy and before we outline some of the details of financing and services involved in various aspects of mineral development, a review of the Canadian mineral industry is a necessary part of the sequence of presentation. The writer presents this material as a resource engineer advising a major bank in mineral matters, so the presentation may relate more to the financial problems of the developer

Jan 1, 1972

By William Bogan, Mark Vaivoda, Richard Daniele

Many factors must be considered when performing engineering and construction work for a major minerals project. Dravo's Afton copper smelter in British Columbia illustrates some of the E&C factors considered when setting up this new operation. In March 1978, Afton Mines Ltd., a Tech Corp. subsidiary, began blister copper production at the world's first integrated copper ore mining, milling, and smelting operation to use Top Blow Rotary Converter (TBRC) process smelting technology. This key TBRC smelting element is licensed by INCO Ltd. to Dravo Corp. The TBRC process uses a single vessel of modular design. It rotates for mixing and provides complete processing capability, from concentrate through blister copper. The Afton facility is about 16 km west of Kamloops, a town in south-central British Columbia. To make its operation as economic as possible, Afton officials considered several options for the copper smelter, the first in modern times in the province. Inability to extract precious metals-primarily gold-from the concentrates ruled out hydro-metallurgical processes. The final choice was between a conventional electric furnace/ Peirce-Smith converter combination and the TBRC process. The TBRC process was chosen for its versatility in processing the various Afton concentrates and grades and its 40% lower capital cost compared to the electric furnace converter system. The TBRC smelter -including concentrate slurry receiving, drying, storage, smelting, off-gas cleaning, and copper casting-had an installed cost of about $25 million. In December 1974, a pilot program was conducted by Teck, Dravo, and INCO at INCO's Port Colborne, Ontario, research facility. The pilot program demonstrated the TBRC's ability to smelt, convert, and clean copper slags. After the successful pilot effort, Dravo performed additional research to find an effective fixation system for high grade, intermittent SO2 gases. Once the go-ahead was given, design and procurement for the Afton copper smelter was provided by the Denver Division, Dravo Engineers and Constructors. Commonwealth Construction, Vancouver, constructed all Afton facilities. Afton's single furnace smelter is designed to produce 25-kt/a blister copper in 363-408 kg cake form. The product is sold to England for electrolytic refining. The TBRC process is only one of several innovations proposed by Dravo and chosen by Afton to insure the most modern smelter in North America and meet all British Columbia's environmental restrictions. Conventional smelting methods use a separate furnace for each process step. The TBRC process employs but one furnace. The Afton TBRC vessel measures 6.4 m in length and 4.3 m in diameter. The furnace is supported on a set of motor-driven rollers. These permit the vessel to rotate at variable speeds to 40 rpm. Rotation provides good mixing, high reaction rates, and effective heat transfer from the refractory sides to the molten bath resulting in a low thermal gradient. The furnace can tilt through a full 360° for charging, firing, and pouring. Smelting at Afton is accomplished in sequential fashion. Flotation concentrate and limestone flux are initially charged to the hot, empty vessel. Using the water-cooled, oxy-fuel lance, the initial charge is smelted. Once sufficient molten bath is obtained and slagging completed, the metallic concentrate is charged. Materials are charged through the water-cooled, variable position additive chute mounted on the TBRC

Jan 10, 1980

By R. Markovic

The objective of this research study was the investigation of heavy metal removal from wastewaters of the "SARAKA" stream by using low-cost materials. These wastewaters flow into Krivelj River and through the network of existing rivers into regional water reservoirs. Sawdust, cardboard and fly ash were used as reactive materials in laboratory studies. Sawdust was obtained from oak and fir-wood while fly ash from heating station Bor, bitter-oak and oak. Experiments were carried out using real Saraka stream wastewaters and the degree of removal for iron, copper, manganese and zinc was investigated. The content of these heavy metals in Saraka stream wastewaters was under the limit of III and IV class of water (Law on Water - Official Register of the Republic of Serbia). Parameters such as flow rate of water, pH and effluent volume, contact time between water and reactive material, etc, were monitored during the experiments. All used materials give satisfactory results for iron and other heavy metals removal; the highest degree of removal was obtained by using fly ash.

Jan 1, 2006

By K. G. Wallace

In 1982, the US Congress passed the Nuclear Waste Policy Act (NWPA) to provide for the development of an underground repository for spent nuclear fuel. This development will be managed by the US Department of Energy. In 1986, the President selected three areas for site characterization to determine their suitability for the development of an underground repository. Those sites were: (1) a site in volcanic tuff located at Yucca Mountain in Nevada, (2) a site in bedded salt located in Deaf Smith County in Texas, and (3) a site in basalt located in Hanford, WA. At present, conceptual repository designs are being developed for each site. A key element of a repository design is the underground ventilation system required to support construction, nuclear waste emplacement, and potential waste retrieval. This paper describes the preliminary ventilation system designed for the repository in tuff. The concept provides separate ventilation systems for the construction and waste emplacement activities. The paper further describes the means by which acceptable environmental conditions will be reestablished to allow reentry into previously closed rooms for the purpose of inspection, maintenance, or retrieval.

Jan 1, 1988

By Randall D. Peterson

Strip mining with draglines and other surface equipment has traditionally been the method of choice for mining shallow deposits. This is particularly true for soft deposits that require little or no blasting. High rates of productivity and low operating costs have set this standard. However, these methods can be improved. Strip mining methods are batch processes and difficult to accommodate in processing. Moreover, they are encumbered with overburden removal, reclamation expense, and human inefficiencies. This paper describes the invention of a novel shallow earth mining technique called the Softwall Mining Method. Softwall Mining is an adaptation of longwall mining for loose earth conditions. The method was specifically invented for recovering phosphatic clay ore from beds in North Central Florida, but is likely to be suitable for a number of other minerals as well. Potential deposits for which the method may be well suited include placers, disseminated deposits in soft host rocks, bauxite, soft coals and lignite deposits, and other deposits where overburden will subside readily and where the ore can be hydraulically broken and slurried. Unit operating cost advantages are expected over the current dragline systems used. The Softwall mining advantages are its high rates of productivity, control and automation of the mining process, reduction of dilution and waste, and elimination of the majority of stripping and reclamation.

Jan 1, 1998

By Robert E. Ennis

Several important economic variables must be studied when planning a major underground conveyor haulage system if the objective of tow cost haulage is to be met. The purpose of this paper is to call these economic factors to the attention of the mine planner and encourage their serious consideration. To illustrate, the importance that some of these variables hole for the mine operator who wishes to reduce costs and maintain sound belt haulage practice, these areas of discussion will be covered. 1. Selection of economical flite lengths. 2. Economics of wire rope frame vs. rigid frame conveyors. 3. How idler design affects conveyor costs. 4. Economies in drive design. 5. How speed affects conveyor cost. 6. P.V.C. vs. Neoprene belt - what savings? 7. Maintaining, conveyor investment through maintenance. 8. Miscellaneous factors affecting the cost of belt haulage.

Jan 1, 1967

In 1991, environmental issues related to coal mining continued to be an integral part of managing a cost-effective operation. Environmental regulations and their implementation can create considerable cost burdens on operating mines. Environmental responsibilities require management decisions to be made on a whole systems approach that is comprehensive in costs and consequences. Most of the regulatory activity in 1991 that affected coal was related to reauthorization or revision of several pieces of legislation. Issues related to the reauthorization of the Clean Water Act, the Resource Recovery and Conservation Act (RCRA) and Abandoned Mine Land. Clear Water Act considerations will encompass discharge standards, wetlands issues and proposals to regulate ground water quality at the federal level. Discussion regarding RCRA includes efforts to expand regulatory authority into the area of coal mine waste. That is currently regulated by the Office of Surface Mining (OSM). Another RCRA consideration will be the disposal of coal combustion byproducts. Abandoned Mine Land reauthorization continues the Abandoned Mine Land tax on coal operators. This tax has been in effect since 1977. Regulatory revisions were also proposed by the Department of Interior on valid existing rights, subsidence, federal coal leasing programs and OSM's troubled Applicant Violator System. Industry officials have been critical of the revisions. A federal appeals court found that evidence supported claims by Whitney Benefits, Inc. that the passage of the Surface Mining Control and Reclamation Act (SMCRA) deprived the owner of full economic use of its property. Before SMCRA's passage, Whitney established an operating agreement with Peter Kiewit Sons Co. to mine coal.

Jan 1, 1992

By J. L. Sloughfy

The size distribution and mechanical strength of the iron ore pellet burden are important parameters in determining the efficiency of the blast furnace. From the very outset, the guiding principle of our pellet quality improvement program was that these parameters are also the key to improving productivity and cost control at the pellet plant. Recognizing the need for improved blast furnace burdens and for higher productivity and lower costs at the pellet plant, Carol Lake operators, in conjunction with the IOC Pellet Quality Committee, established the following goals for the improvement of Carol pellets: [ ]

Jan 1, 1981

By Pedro D. Lasota

Chile leads the world in copper production with an annual capacity nearing 2 Mt (2.2 million st). Most of the country’s copper production, about 74%, is mined by open-pit mining methods. Open-pit mining also accounts for a major portion of Chile’s production of other commodities, including iron, gold, silver and coal (Table 1). Chile’s mining boom began 10 years ago and is expected to continue through the end of the decade. From 1980 to 1990, copper production in Chile increased 48.7%. During the same period, gold production increased 303%, silver production increased 119% and coal and iron ore production increased 163.7% and 6.6%, respectively (Table 2). It is estimated that copper production will be in the order of 2.3 Mt (2.5 million st) by 1996, when new projects now under construction come onstream. Gold production could reach 35 t (1.1 million oz) and coal production could increase another 1 Mt/a (1.1 million stpy). Open-pit mining has played a significant role in Chile’s minerals production growth. The expected increases in mine operations will come about mainly through new open pits or expansions of existing surface operations (Table 3). However, the number of open-pit copper mines will decrease from 74% to 66% of the total number of Chilean mines. Gold mines will increase from 63% to 69% of the total, while coal mines will go from 41% to 59%. Most all of the present iron ore production is from surface mines and will continue that way.

Jan 1, 1992

By Joseph M. Chelini

Today, the two major operating costs of rubber tired off-road equipment are diesel fuel and tires. Mine Management has minimal control over the ever accelerating diesel fuel costs. However, they can exercise control over abnormal tire costs. Fortunately, with available technology and cost analysis methods, experience shows us the outlook for controlling tire costs is encouraging. Most earthmoving operations using off-road, rubber tired haulage and support equipment have abnormally high total tire costs. These costs, utilizing Tire Information Management, have been reduced more than 30%; 20% can often be guaranteed. Management Apathy on the subject of tires in a complex mining operation perhaps can be understood, but management apathy applied to an abnormally high operating cost, of which tires are, begs for a solution.' Tires have been professionally neglected for many years in most mine operations. This is exemplified in the January, 1982 issue of Mining Engineering by Charlie Son in his article Reducing Earthmoving Tire Costs. He compared the efforts to improve diesel engine costs to the same efforts given to earthmover tires.

Jan 1, 1983

By Miche1 Dagbert

In most open pit operations mining porphyry type deposits, production planning rests on an are reserve inventory block file which is derived from diamond drill hole data. With such a practice, the way by which block values are generated is critical and in the recent years many studies deal with the comparison of different estimation methods for block grades (Mueller, E. (1), Knudsen et al (2) (3), Barnes, (4), Williamson and Mueller (5). Typically in such studies, one selects a bench or a group of benches where there is a "sufficient" number of blast holes (BH) with assay values in each of the blocks (generally 30.5 x 30.5 m (100 x 100 ft) or 15.2 x15.2 m (50 x50 ft). Then the arithmetic mean of the BH values in each block is computed and it is assumed to represent the real block grade against which different estimated values are compared. However it is sometimes observed that the variation of these BH values within a block is high and that their arithmetic average may significantly differ from the real average grade of the block (Barnes (4). The problem of the precision of the mean BH grade in a block has been examined by Williamson and Langlois (6) in an experimental way. They strove to find a better estimate of the average block grade than the mean BH grade but their results were not conclusive. The purpose of this study is to investigate the same problem within the frame of geostatistical models (David (7). Besides practical results obtained with these models, two general points are emphasized and illustrated in the text. First, "good results" are obtained if "good geostatistics" is done (David et al (8).

Jan 1, 1978

By H. V. Alminas

The U.S. Virgin Islands consist of three major islands (St. Thomas, St. John, and St. Croix) and some 50 smaller islands that are located primarily along the coasts of St. Thomas and St. John. St. Croix, the largest of the islands, is located approximately 160 km south-southeast of San Juan, Puerto Rico and is about 218 km in area (Fig. 1). St. Thomas, the second largest island is located 64 km east of Puerto Rico and incorporates approximately 77 km2. St. John is located immediately to the east of St. Thomas and incorporates approximately 49 km2. The climate in the U.S. Virgin Islands is maritime tropical. The average annual rainfall at higher elevations is 127-152 cm and at lower elevations 51-76 cm. There is no well-defined wet or dry season. Temperatures generally average in the 80's (F°) with only a 5°-7° F variation throughout the year.

Jan 1, 1987

By H. Cetin

The availability of coal resources of selected 7.5-minute quadrangles of southwest Indiana was examined in this study. Resources were defined as original coal in place, remaining after mining, and currently available considering land-use and technological restrictions. The amount of coal mined from each study area varies depending on the mining practices of the companies operating within the area. Of the three quadrangle investigations, the available resources range from 50 percent to 79 percent of the original resources. Most of the coal resources under deep-minable category were not available because of technologic restrictions, such as insufficient coal thickness.

Jan 1, 1996

By Andrew B. Allen, Charles W. Robinson, Robert L. Schneider

In April, the US Synthetic Fuels Corp. broke a three-year silence and made its first financial award by approving a $820,750 loan for the First Colony peat-to-methanol project in North Carolina (ME, May, page 403). Peat Methanol Associates (PMA), a partnership between Koppers Co., ETCO Methanol Inc., Transco, Peat Methanol Co., and l. B. Sunderland, broke ground at First Colony last year and plans to begin production in Dec. 1985. Although the award is only a small part of Synthetic Fuels Corp.'s $15-billion budget, it does signal the corporation's intention to move aggressively ahead. It also is a positive indication that First Colony will be completed and operated successfully. This article describes the methods and equipment that will be used to harvest peat at First Colony, as well as how the peat will be converted to methanol. Introduction Peat deposits found along North Carolina's coastal plain contain high-quality fuel-grade peat with an average heating value of more than 23.3 MJ/kg (10,000 Btu/lb) (dry), with a low sulfur and ash content. The deposits differ from other US peats in that they contain large, sound Atlantic White Cedar and Cypress logs, stumps, and roots that may extend throughout the full depth of the deposit. A second difference is that these deposits are much more highly decomposed and, in the raw state, have the appearance and feel of a heavy, reddish-brown grease. These factors make it impractical to use standard production equipment so a new line was developed. Also, because of these conditions, techniques were modified to facilitate production. First Colony Farms, located near Creswell, NC, developed and evaluated a milled peat program. Equipment for this production method was designed and built, production rates were established from field operations, drying rates were established, weather data were analyzed, and total operating and capital costs were estimated. The method depends on the sun and wind for drying peat to the desired moisture content, in this case around 40%. Therefore, field preparation is actually the construction of a large solar collector to dry the peat so it can be harvested and stockpiled. It is essential that this collector be properly profiled initially and maintained during production to prevent precipitation from ponding. Initial Field Preparation Initial field preparation includes cleaning existing canals and constructing ditches and water control structures for proper drainage of rainwater run-off, building adequate roads for site access, removing surface vegetation, and profiling and sloping the fields. At First Colony, the 60.7-km2 (15,000-acre) harvesting area was divided into 129.5-hm2 (320-acre) blocks about 1.6 km (1 mile) long and 805 m (0.5 mile) wide. This was accomplished by cleaning main outfall canals with adjacent roads built from canal spoil at 1.6-km (1-mile) intervals. Existing intermediate canals that feed into main outfall canals at 805-m (0.5-mile) intervals also are cleaned. Headland roads are constructed from canal spoil along each side of each intermediate canal. This 129.5-hm2 (320-acre) block is then divided into 32 harvest strips by small V-ditches constructed at 50-m (165-ft) intervals. At the end of the field with the lowest elevation, corrugated steel pipe culverts are installed under the headland road in each V-ditch to control rainwater runoff into intermediate canals. Runoff water from the fields is diverted to a holding pond to prevent any increase in peak water runoff rates and to allow for more uniform drainage rate than experienced to date. After the drainage system is installed, harvest strips are ready for grinding and sloping operations. Surface vegetation, made up of small, waxy-leafed shrubs such as Gallberry, Bayberry, Magnolia, and scattered pond pine, can be effectively ground and incorporated into the upper surface of the peat layer. Here, it will rapidly decompose and have little effect on overall peat quality, thus eliminating the standard practice of pushing the vegetation and upper wood layer into long windrows with bulldozers and hauling this debris from the fields. Incorporating vegetation into the upper surface is known as the initial 102-mm (4-in.) surface vegetation grind and is accomplished by using a modified Bros Rota Mixer. Following this operation, and by using the same unit, a sec¬ond grind with a depth of 200-255 mm (8-10 in.) is made. This reduces the debris to a finer consistency, mixes it with the upper peat layer, and grinds any wood found in the upper 200-255 mm (8-10 in.). After initial grinding operations are completed, the augering or sloping operations can be accomplished with little or no hin-

Jan 7, 1983

By R. Larry Grayson

A survey of 1250 surface and underground coal mines across the United States was made according to a stratified sampling technique based on national coal districts. A total of 171 responses (13.7% response rate) have been returned and summarized, giving a picture of computer usage in the coal industry. Overall, 63.5% of the respondents use computers, but the percent varied from 100% for large mines to only 44.1% for small mines. As expected, a proliferation of microcomputers has pervaded the industry. Importantly, in spite of the high usage of computers in the industry, sophisticated engineering applications have not yet burgeoned.

Jan 1, 1989

By D. T. Iseley, A. L. Atta-alla

INTRODUCTION The extension project of the East Line Subway of Atlanta's subway network includes the construction of two single track transit tunnels under Interstate Highway 285. The project will be in DeKalb County, Georgia. The length, width, and height of each tunnel are 54.25, 6.3, and 7.2 m (178, 21, and 23 ft) respectively. The ground cover above the tunnel crown ranges from 1.5 to 3.25 m (5 to 11 ft). A soil pillar about 5.5 m (18 ft) wide will remain between the tunnels. The construction of each tunnel includes (i) installation of 21 steel soil support pipes of 75 cm (30 in) diameter, (ii) jet grouting 15 soil cement shafts of 60 cm (24 in) diameter in the soil under the pipes, (iii) contact grouting behind the tunnel lining and between soil support pipes and pavement, (iv) excavation of soil inside the soil support arch, and (v) installation of steel pile foundation, steel sets, and permanent tunnel lining of cast-in-place concrete, all as shown on the cross section in Fig. 1. The soil profile can be described from top to bottom as cement/asphalt concrete pavement, a fill layer consisting mostly of stiff sandy silt/firm silty sand, a residual soil layer consisting mostly of silty sand/sandy silt, partially weathered rock, and solid rock.

Jan 1, 1991

By William R. Nash

The scope of work for the fast track construction of the Weeks Island Replacement Facility, Weeks Island, Louisiana included the design and construction of two salt mines. Mine #1 - An interim underground mining level consisting of a 975 m (3200 ft) incline and 3520 m of 5.5 m x 7.3 m (11560 ft of 18 ft x 24 ft) drill and blast excavation; raise boring; core drilling; roadheader excavation; complete bulk material handling facilities utilizing an existing production shaft. Mine #2 - Simultaneous with the interim mine construction a new one million ton per year underground salt mine was constructed consisting of: two 5.5 m diameter x 381 m (18 ft diameter x 1250 ft) deep shafts; 76450 cu m (100,000 cu yd) of drill and blast bottom excavation; surface and undergound bulk material handling systems (conveyors, skip loaders, shaft equipment, hoisting); ground freezing for water control for both the production and service shafts; the design of the first underground doublewall slipform installation of a dynamic bitumen shaft lining system; the emergency grouting of both the existing production shaft and the interim mining level in the salt dome; 227 mt x 64 m (250 ton x 210 ft) high structural steel production headframe; 2.2 MW (3000 hp) double drum mine hoist; service shaft headframe; and service buildings.

Jan 1, 1987

In 1993, the United States' economy grew at a rate of about 3%. The Gross Domestic Product rose to $6.4 trillion. With more than 258 million people - 599,000 in mining including petroleum - the United States has more than 100 million dwelling units and more than 190 million licensed motor vehicles. New private housing starts rose 7% to 1.3 million units, new car production fell 3% to 5.5 million units and truck and bus production rose 21 % to 4.9 million units. The rate of inflation was under 3% and the prime rate of interest 6%. The Producer Price Index (1982 = 100) was unchanged from 1992 for fuels and re¬lated products and power at 80 and met¬als and metal products at 119, while chemicals and allied products rose 2% to 128 and non-metallic mineral prod¬ucts rose 2% to 120. The merchandise trade deficit rose 27% to $116 billion.

Jan 1, 1994

Several major impediments threaten the successful delivery of tunnel and under-ground construction projects. In addition to technical design and construction risks associated with tunnel projects, many of which are well understood, budgetary pressures, funding constraints and the complexity of procuring, administering and executing multiple concur-rent projects in a large program could also have a catastrophic impact on the program?s objectives. Contributing factors often include poorly managed design, procurement, construction, managerial, organizational, market and stake-holder risks, as well as nonconforming inputs or outputs to the costs and schedule, or any other potential inabilities to deliver the required or desired results. A strategy to prevent ?failure? of a project requires a proactive and holistic approach to risk management. Through planning, identification, analysis, management, monitoring and control of the project?s risks (both threats and opportunities), attention to management of risk will in-crease the probability and impact of positive events and decrease the probability and impact of events adverse to a project?s objectives.

By G. M. Bernard

Cerro Colorado lies on the eastern edge of the Atacama Desert in the foothills of the Andean Cordillera of northern Chile. Compañía Minera Cerro Colorado SA (CMCC) operates Cerro Colorado. CMCC, headquartered in Santiago, Chile, is wholly owned by Rio Algom Ltd., of Toronto, Ontario. Cerro Colorado is located 120 km (75 miles)east of the port city of Iquique. Access is by 30 km (19 miles) of paved highway and 70 km (43 miles) of upgraded road. The mine site is located at an altitude of 2600 m (8531 ft) on a gentle west-sloping plateau adjacent to a deep canyon (Quebrada de Parca) to the north. Temperatures are moderate, ranging from 5° to 30° C (41° to 86° F) with an average annual rainfall of 20 mm (0.8 in.). The plateau is generally covered with 20 to 30 m (65 to 100 ft) of Quatemary sand and gravel overlaying bedrock. In the immediate vicinity of the Cerro Colorado deposit, a semicircular embayment has been eroded into a steep canyon wall that cuts through the surface gravels to expose a considerable section of the underlying bedrock.

Jan 1, 1995