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By Kernaghan Webb

Organization of Presentation ?Genesis, Premise, Hypothesis ?Background ?Methodology ?Key research questions ?Research Team to Study Kinross Maricunga ?Research Milestones ?Chilean context ?Chilean Legal Framework ?Kinross Gold the basics, CR approach, Maricunga ?Issues, Perspectives ?Concluding remarks

May 1, 2010

By Z. M. Zavodni, C. D. Broadbent

"Major rock slides in open-pit mines are rare, but they can develop in spite of sophisticated slope engineering design practice. Experience has shown that, except under high seismic load conditions, the serious slope instability condition is almost always accompanied by the gradual development of one or more tension cracks behind the slope crest, allowing for time-displacement monitoring. Continuous surface displacement measurements with attendant prompt analyses are usually adequate for the prediction of slope behaviour.This paper describes efforts that have been made to quantify parameters associated with slide movement, and compares the displacement records of several large-scale open-pit porphyry copper mine slope failures. Two principal failure stages are recognized in the typical slope failure leading to total collapse: (a) REGRESSIVE STAGE, during which the failure will re-stabilize if some disturbance external to the rock and structure is removed; and (b) PROGRESSIVE STAGE. during which the failure will gradually displace at an accelerating rate to the point of total collapse unless active control measures are taken. Over-all displacement records in both failure stages are apparently of simple exponential form. with a definite break occurring at the onset-of-failure point.Certain common empirical relationships are suggested for the large-scale slope failures analyzed in this study. Based on plots of displacement rate vs time prior to collapse, a semi quantitative empirical relationship is presented for failure collapse prediction. The comparison of historical slide displacement records furnishes the operating engineer with practical guidelines to estimate the characteristics of future large-scale slope failures."

Jan 1, 1980

The mixer that is commonly encountered in hydro metallurgical operations consists of a single turbine and tank combination. However, it would be advantageous to examine some common solvent extraction mixing systems in the light of the fundamentals of chemical reactor design. The basic concepts of reactor design are commonly used in the chemical industry, and it should not be too difficult to apply them to solvent extraction. The factors that affect the engineering design of a reactor are: the reacting system; the type of reaction; and the configuration of the reactor. The reaction system in solvent extraction consists of a heterogeneous liquid phase, involving two immiscible liquids. It is essential f or the process that the reactor product can be separated efficiently in the subsequent settler. The type of reaction in solvent extraction system may be quite complex, and the picture is complicated by the presence of competing and side reactions. The reactors themselves have been generally continuous stirred tanks, and the nature of the mixer-settler makes it unlikely that the pumping mixer can be dispensed with. However, it appears that there should be some definite advantages to a system of stirred reactors in series. The kinetic experiments which are carried out should have the definition of optimum reaction conditions as one of their goals. The data obtained from these experiments must also be applicable to the design of reaction equipment. Reactor selection and design is often a unique problem for each chemical process, and does not lend itself to a systematic general approach. However, the application of chemical and physical principles to mixer design in solvent extraction should result in practical, more efficient plants.

Jan 1, 1979

By D. W. Euler, B. J. Clauzier

"Implementation of an effective energy management system will reduce energy costs without impacting negatively on production.The energy management system must be designed to complement the operation and be integrated with the organization. It must be reliable and easy to use but most important, it must have an accurate and timely feedback reporting system to allow the operation to take appropriate action.Falconbridge Limited was one of the first three companies to be awarded the energy monitoring demonstration program in May 1987. The program is sponsored jointly by the Ontario Ministry of Energy and Ontario Hydro.This paper describes the approach taken by Falconbridge Limited to implement the Onaping Area Energy Management System.IntroductionThe objective of the project was to implement an effective energy management system, capable of reducing energy costs without impacting negatively on production.Energy management systems must be designed to complement the operation and to be integrated with the organization. The system must be reliable and easy to use, but most importantly, it must have an accurate and timely feedback reporting system to allow the operation to take appropriate action."

Jan 1, 1990

By Y. Konishi

This paper reviews the mechanism and kinetics of bioleaching of chalcopyrite by the thermophilic archae Acidianus brierleyi in batch and continuous-flow reactors. Rate data for the batch bioleaching of chalcopyrite concentrate were collected to clarify mechanism of the chalcopyrite bioleaching with A. brierleyi. The chalcopyrite leaching was markedly accelerated in the presence of A. brierleyi, and greater than 90% copper leaching was achieved within 10 days. Chalcopyrite leaching took place predominantly as a result of direct attack by adsorbed bacteria on the sulfide surface, the chemical leaching with ferric iron being insignificant. Batch rate data collected under a variety of operating variables were analyzed with our batch bioleaching model, in order to estimate microbial kinetic and stoichiometric parameters for the microbial growth on chalcopyrite. The batch model and the estimated parameter values were used to find optimum operating conditions. Moreover, the batch model was extended to describe the bioleaching in continuous-flow stirred tank reactors. Simulations based on the continuous reactor model and the estimated parameter values were used to predict the leaching fraction as a function of the number of reactors connected in series.

Jan 1, 2007

"The gravimetric dust sampler is one of the tools now available to the industrial hygienists for determining the worker 's exposure to the numerous types of particulate matter that may be present in the workplace. The paper ' reviews the different sampling trains that can be used for the two major criteria for respirable dust and some of the sources of error in this dust assessment technique.IntroductionIt may be stated simply that the measurement of airborne dust in the working environment is done for one or two reasons: namely, for engineering control purposes and! or to evaluate the potential for toxicological insult arising from the inhalation of dust particles.This paper reviews the progress made in the development of dust-assessing instruments, particularly the gravimetric types designed to meet British and U.S. dust criteria , and discusses the limitations in their use for this purpose."

Jan 1, 1981

By J. A. E. Bell

"Inco has shifted part of its traditional extractive research effort at its J..Roy Gordon Research Laboratory in Mississauga toward new, value-added products. Most of the effort is being expended on new Ni powders for batteries and new Ni-coated products which will be produced in Inco's carbonyl nickel refineries. New products under development are Ni-coated powders, Ni-coated fibres and ultra-fine Ni powders. Other new products for advanced material applications include controlled expansion composites, NiGOLD strip, Thermal barrier coatings on Inco alloys, and plasma coatings.Research and Corporate Strategic ThrustsThe newest strategic thru st of the company is to increase the value of the primary metal products. These new products are to be in addition to any new alloys or downstream alloy fabrication.Historically Inco has had the highest research expenditures in the extractive metallurgy field in North America. This has resulted in many new processes including flash smelting , matte separation, fluid bed roasting, pressure carbonyl refining and cobalt electrowinning which have contributed to establishing Inco as the lowest cost nickel producer. The recession of the 1980s caused a restructuring of Inco research and corporate goals .As shown in Figure I, from 1975-1982, i.e. pre-recession, Inco spent around 33 million dollars per year on research. Some 48070 of that sum was spent in Corporate Laboratories in Sterling Forest in the United States and in the United Kingdom , mostly on alloy associated research. A further 10% was spent on alloy research at the alloy production facilities in Hunting- ton, West Virginia, and Birmingham and Hereford in the United Kingdom. On extractive research, 13% was spent by process technology groups at the plant s, 20% at the pilot plants in Port Colborne and 9% at the J. Roy Gordon Research laboratory.The relative research expenditures (Fig. 2) have decreased so that today they are at the same level as 1975-80. The research as a per cent of sales has been cut from 2.2% to 1.2% of normalized sales. A normalized sale price of $4.00/lb Ni was used in the 1988 figures. This was partly achieved by closing Corporate Laboratories. Most of the essential alloy research was moved to producing plants and total alloy research is now 27%.A new thrust initiated in the 80s was mining research which now accounts for 20% of research expenditures. Over a period of the past five years this research has doubled the mining productivity in Inco. The pilot plant expenditures have been cut in half. One entire research station at Port Colborne was converted into a platinum group metals intermediate refinery. The decrease in pilot plant expenditures has been compensated by full scale plant trials devoted to the S02 abatement program at Sudbury."

Jan 1, 1990

By R. N. W. DiLabio

"In a continuing program of mapping glacial dispersal trains, near-surface till samples were collected down-ice from a copper-silver-gold prospect at Onaman River, Ontario, and down-ice from the past-producing gold district at Oldham, Nova Scotia. The program is designed to aid exploration by illustrating glacial dispersal from various types of known occurrences and by identifying postglacial processes that control drift composition at a detailed scale.Native gold was mined at Oldham from arsenopyrite-bearing saddle reef quartz veins in a dome in Early Paleozoic slates of the Meguma Group. Gold abundances greater than 10 ppb in till form a dispersal train at least 1900 m long. Gold abundances between 40 and 100 ppb occur in clusters up to 600 m down-ice from gold-bearing bedrock. Anomalous arsenic abundances in till form a broad train 1100 m long that is significantly different in shape from the gold train.At Onaman River, subeconomic amounts of Cu-Ag-Au occur in quartz lenses in Archean mafic volcanic rocks. A dispersal train defined by the distribution of mineralized boulders and increased abundances of Cu, Ag and Zn in till extends 600 m down-ice from mineralized bedrock. Gold abundances between 10 and 70 ppb do not define this dispersal train, but occur instead in clusters 300 to 600 m down-ice from mineralized bedrock. In vertical sections in the upper 2 m of copper-rich till, Au abundances vary sympathetically with Ag and Cu levels; however, there seems to be no preferential site of Au enrichment in the mineral portion of the soil profile.Several of the mineralized boulders at Onaman River are richer in Au and Ag than the mineralized bedrock from which they were derived. Although some of the high Au and Ag assays were caused by biased sampling of sulphide-rich portions of the boulders, many were caused by leaching of sulphide minerals from 'the boulders, which left a limonitic boxwork that is enriched in Au and Ag. A few of the Au-rich boulders may have been derived from an unknown bedrock source."

Jan 1, 1982

Presentation Agenda ?Background ?OEM Recommendations before RCM ?Operating Context ?OEM Recommendations after RCM ?Reality of Failure ?RCM Deliverables ?Maintenance program optimization ?Spare part optimization ?Implementation ?Further Considerations -Three scenarios ?Summary and Conclusion Background ?P&H Mining?s LCM division performed a RCM study on a ?generic 4100 XPB shovel?in Milwaukee. ?P&H soon realized that the analysis required context -The recommendations were manufacturer knowledge based. -The outcome based on manufacturer requirements. -The strategy was not applicable to all machines, etc. Operator experience and ?local knowledge? are key to the success of an RCM analysis. P&H approached Teck Coal?s Fording River Operation to assist with ?Operating Context?. Teck provided operator and maintainer experience.

May 1, 2010

By N. A. P. Kiran Kumar

The Zr-Nb alloys are reported to be showing superior resistance to corrosion and substantially lower hydrogen pickup when compared with zircaloys. In the present study zircaloy-4 and Zr-1Nb (E110) alloys were hydride using high pressure hydrogen gas furnace at a pressure of 20 MPa. Thermal cycling was done on the samples at a temperature of 3500C for 10 cycles with 5h soaking time at 3500C per each cycle. The Microstructural observations on zircaloy-4 samples show long and interlinked hydride like chain, oriented along the circumferential direction. Whereas in Zr-1Nb, short hydrides were observed with hydride platelets not showing interlinked chain like structure. The hydrides in Zr-1Nb were observed to be not showing particularly orientation along the circumferential directions. Electron backscatter diffraction was use to understand the hydride precipitation and their orientation in Zircaloy-4 and E110 alloy.

Aug 1, 2010

By Simon Houlding

"The objective of Part J of this paper is to identify the limitations of the traditional modelling methods and to illustrate, by example, the potential for error created by their application to complex deposits and mining situations. Part 2 describes the evolution of new, proven technology which eliminates these deficiencies and provides precise and practical alternatives. These promote the use of realistic geological and mining shapes and eliminate altogether the rectangular approximations of traditional methods.The Case for Precision ModellingIt is not the intent of this paper to promote the benefits of computer modelling per se. It is assumed that these are recognized by the mining industry in general. The concern of Part 1 is to identify, qualify and quantify (where possible) the limitations of the tractitional modelling methods. In many instances these methods continue to be applied to complex geological and mining situations for which they were never intended nor designed. The source and magnitude of the resulting errors, conflicts and inefficiencies are not always obvious, however, they can have far-reaching effects on the efficiency and profitability of mining operations.The conclusions support a rapidly growing demand by industry for practical, precise modelling technology which eliminates the deficiencies and can be applied with confidence to evaluation, design, planning and control of mine production in all situations. Part 2 describes new technology which has evolved in response to these industry pressures and has already been successfully applied to complex mining situations. This new technology can aptly be described as appropriate technology for the 1990s."

Jan 1, 1991

By K. Robertson, K. A. Scalise, K. C. Kocsis, M. B. Teixeira

"Many deep and highly mechanized underground metal mines require cooling. In many cases, appropriate working conditions might be fulfilled by ventilation alone, but some require the implementation of cooling systems. The most common cooling systems are bulk air cooling and localized cooling. These systems are effective, but they use considerable amounts of electricity. Ground source heat pumps (GSHP) can supplement existing cooling and heating systems, while geothermal systems can cool the mines in their entirety if there are significant sources of geothermal energy are present. A major advantage of geothermal and GSHP systems are their renewability, which reduces the carbon footprint of the mine.INTRODUCTIONThe western United States has abundant alternative energy sources including a high potential for geothermal energy. Geothermal utilization is a viable energy alternative that many areas throughout the world have access to because high geothermal potentials are located near areas of volcanic activity such as along plate boundaries, mid-oceanic ridges, rift valleys and hot spots (IRENA, 2017). There is significant potential to use geothermal energy for many applications. With constantly evolving and innovative technologies being developed, an increasing number of geothermal applications are becoming feasible. The western United States is an ideal candidate for alternative energy applications due to the geothermal availability and the emergence of modern technology. This paper investigates the incorporation of renewable methods and the alternative energy possibilities of Barrick Goldstrike, located in northern Eureka County, NV and Rio Tinto/BHP Billiton’s Resolution Copper mine located in Superior, AZ.RENEWABLE SYSTEMSGeothermal SystemsGeothermal temperatures are typically defined as either high or low temperature systems(Shengjun, Huaixian, & Tao, 2011). The high-temperature reservoirs (>220°C / 428°F) are feasible forlarge, commercial production of electricity with dry stream and flash stream systems (Shengjun, Huaixian, & Tao, 2011). Low temperature systems, below 220°C (428°F) (Shengjun, Huaixian, & Tao, 2011), aremuch more difficult to use for energy production. Low-temperature reservoir heat can be harnessedthrough the implementation of a binary cycle plant. The working fluid for a binary cycle plant is eitherorganic (Organic Rankine Cycle (ORC)) or an ammonia-water mixture (Kalina cycle). Organic fluids andammonia-water mixtures have low boiling points that allow for the recovery of heat from low-temperaturesources (Eymel Campos Rodriguez, et al., 2013). The efficiency of the binary cycle plant varies depending upon the fluid, thus the proper selection of the fluid is critical for maximum energy output"

Jan 1, 2019

By D. W. Smith, J. J. Koskinen, T. A. Enwald, M. E. Ball

"A full-scale demonstration unit of Tampella's LIFAC desulphurization process was tested at SaskPower's Poplar River Power Station Unit No. I. The test program included a series of parametric tests, followed by a 1500 hour operational evaluation. This paper summarizes the results of the test program, and SaskPower's economic evaluation which led to selection of the LlFAC process for SaskPower's 300 MW Shand power station. IntroductionOne of the major influences on the coal mining industry today is public and legislative response to acid rain. When sulphur-bearing fuels such as coal are burned, the sulphur oxidizes to sulphur dioxid e (S00 which, if uncontrolled, enters the atmosphere as one of the by-products of combustion. S02 then combines with water in the air to form an acid and acid rain results. Combustion also produces nitrogen oxides (N0J which can combine with water in the air forming nitrogen based acid , also contributing to acid rain.Acid rain has become a significant international concern. Newspapers have reported on dying forests, dead lakes and crumbling statues. Papers also include articles professing that the physical results of acid rain are vastly overstated. In the United States, a IO-year, Y2-billion dollar study called the National Acid Precipitation Assessment Program (NAPAP) was commissioned to evaluate the effects of acid rain. Even this extensive scientific study did not resolve the controversy. Despite disagreement over the quantitative effects of acid rain, there is no doubt that public concern over the issue is widespread and deeply felt.In response to this concern, legislators throughout the world have reacted with programs that restrict the emission s o f SO, and NO,. To industries involved in the supply and use of coal, the impact of these legislative programs has been extensive. United States power plants will be spending 10 billion dollars in the next decade for flue gas clean-up equipment. Even all this new equipment will not stem the tide of change to low sulphur coals and to “clean “natural gas. The following summarizes legislative actions taken for Canada and the United States."

Jan 1, 1993

By A. L. Mackie

Mine water from base metal mines is generally characterized as having high concentrations of heavy metals and low pH, resulting in the need for treatment prior to discharge to receiving waters. In this study, two high-rate clarification processes were evaluated at bench-scale: the high density sludge (HDS) process and sand-ballasted flocculation. High-rate clarification processes generate larger, denser flocs which settle more quickly than those formed in conventional flocculation processes. The HDS process uses recirculated sludge in order to seed floc formation, whereas ballasted flocculation uses microsand. Both of these high-rate processes require the addition of quicklime or hydrated lime to increase pH and allow for the formation of insoluble metal hydroxides, which can then be removed in the clarification stage. Previous research has shown that cement kiln dust (CKD) can effectively replace quicklime in conventional sedimentation processes for metals and acidity reduction to meet discharge guidelines (Mackie & Walsh 2012). CKD is an alkaline by-product of cement manufacture that has fine particle sizes and varying free lime concentrations depending on the manufacturing process. The lower solubility (i.e., free lime content) of CKD requires larger doses of material to be added to reach treatment pH targets for metals precipitation. The purpose of this study was to evaluate the treatment efficacy of high-rate clarification processes for mine water treatment, compared with conventional sedimentation, at bench-scale with conventional (i.e., lime) and novel (i.e., CKD) pH adjustment additives. Results of the study showed that all treatment processes (i.e., HDS, ballasted flocculation, and conventional sedimentation) were able to reduce target metal concentrations to well below Canadian guidelines (i.e., total zinc and total nickel < 0.5 mg/L, total copper < 0.3 mg/L) using either CKD or lime. Additionally, mine water samples treated with CKD generated lower sludge volumes than those treated with lime (i.e., 50 versus 100 mL for conventional sedimentation and 100 versus 200 mL for HDS) even with increased concentrations of solids introduced during treatment. This is most likely due to slower neutralization rates when using CKD, due to its lower solubility, as well as finer particle size. The sand-ballasted flocculation process was able to reduce final turbidity in CKD-treated samples while the HDS process did not when compared to conventional sedimentation, making the ballasted flocculation process preferable for reducing final solids concentrations in CKD-treated mine water.

Aug 1, 2013

By Nichols. R. S.

"Surface coal mining production from Elk Valley and area in southeastern British Columbia began in 1913. Since 1970, five open-pit mines have been put into production: Westar Mining&apos;s Hanner and Greenhills Operations; Fording Coal&apos;s Fording River Operation; Byron Creek Collieries&apos; Coal Mountain Mine and Crows Nest Resources&apos; Line Creek Operation.ln 1983 these mines produced 14.9 million tonnes of raw coal at an average strip ratio of 4.9 bank cubic metres of waste to 1.0 tonne of raw coal. This is 70% of the estimated 21.1 M tonnes annual capacity .Multiple seams are recovered with truck/shovel and dragline equipment. There is a wide range of equipment types in use with a recent trend toward larger and more mobile equipment.Coal mining in Elk Valley involves advancing along strike in four steps: hangingwall waste removal; seam cleaning; coal recovery; and foot wall waste removal. Each mine is unique in its approach to these four steps but the truck/shovel methods can be categorized into three main groups: seam dips < 35 degrees as at Harmer, Fording and Greenhills; seam dips 35 to 50 degrees as at Line Creek; and seam dips >50 degrees as at Byron Creek. Dragline mining at Fording involves bath waste and coal removal by draglines."

Jan 1, 1984

By R. Chen, K. Xia

In deep mining activities, blasting induced compressive stress wave would be reflected as tensile wave at a free surface around the openings, which would facilitate the tensile failure of the deep rock since it is much weaker in tension than in compression. It is thus critical to understand the dynamic tensile failure of rocks subjected to static tension for deep rock engineering applications. A modified split Hopkinson pressure bar (SHPB) system is adopted to load Brazilian disc (BD) samples statically, and then exert dynamic load to the sample through stress wave generated by impact. The pulse shaper technique is used to generate a slowly rising stress wave and thus to facilitate the stress equilibrium of samples during each test. Five groups of Laurentian granite (with tensile strength of 12.8 MPa) BD samples under the pretension stress of 0 MPa, 2 MPa, 4 MPa, 8 MPa, and 10 MPa are tested under different loading rates. The result shows that the dynamic tensile strength of the rock decreases with the increase of pre-tension stress, which is easy to understand because pre-tension stress weakens the rock sample. It is also observed that under the same pre-tension stress, the dynamic tensile strength increases with the loading rate, revealing the so-called rate dependency that is common for engineering materials. Furthermore, it is found that the loading rate sensitivity of the rock increases with the increase of pre-tension stress. A qualitative explanation for this phenomenon is that more microcracks are generated and activated under higher pretension stress, resulting in a more viscous material. Based on the results, an empirical equation is proposed to fit the data and explain the dynamic tensile behaviour of rock under pre-tension stress. A physical model is used to simulate the dependency of the dynamic tensile strength of rock on the pre-tension stress and the loading rate, which is shown to be in good agreement with the experimental results.

Jan 1, 2015

By L. Voisin, K. Mühlenbrock

A new pyrometallurgical process is proposed for cleaning complex copper matte and for recovering copper from copper scrap containing lead. In the process, a given amount of pig iron is added to the complex material under a reducing condition to produce two or three liquid phases at the equilibrium, depending on the content of sulfur in system, of copper-rich and iron-rich alloys, and matte, respectively. The novel process is proposed based on the experimental results obtained by performing laboratory scale tests in an electrical furnace at 1473 K followed by a quenching method on the final stage. The samples obtained from the experiments were analyzed by using Atomic Absorption Spectroscopy (AAS), Inductively Couple Plasma (ICP) and Carbon Infrared Spectrometry (CIS) techniques. The results were discussed on the basis of the distribution of lead as impurity in the miscibility gap where equilibrated phases coexist. According to the mass balance calculations, the elimination of lead into the iron-rich alloy phase as a harmless and smaller deposit might be feasible and the process proposed for cleaning the complex matte would be promising.

Jan 1, 2014

By W. Beres, R. E. Miller, B. Shiari, L. R. Zhao

A dynamic multiscale (MD/FE) method has been used to study dislocation generation and plastic deformation during a nanoindentation process which is physically associated with the generation of heat within the specimen and as a consequence with a temperature rise. Two different techniques are applied to study the temperature effect on the nanoindention process. In the first technique, a global Nose-Hoover thermostat is applied to the entire atomistic region to keep temperature constant during simulation (finite temperature approach). In the second method, the thermostat is applied only on a damping region along the MD/FE interface. Both techniques are able to effectively and efficiently absorb high frequency reflected waves from atomistic/continuum interface. The temperature profile of the atomistic region beneath the indenter is reported and discussed at four different initial substrate temperatures for both techniques. The loaddisplacement (load/unload) curves for different temperature-controlling techniques are compared and discussed. The nucleation and propagation of dislocations in the atomistic region are investigated for both techniques. Correlations between the observed features in the load-displacement curves with the motion and pile-up of dislocations are reported as a function of temperature.

Jan 1, 2006

By C. Groccia

As the search for new ore bodies drives mines to be developed at greater depths, the associated high stress environments present challenges for rock support design. Excavations in highly stressed brittle rock are often subject to large volume increases due to rock failure, a phenomenon known as rock mass bulking, which can result in significant wall convergence. Support systems need to be designed to minimize the amount of bulking and to accommodate large wall convergences. In order to design such a support system, empirical guidelines are often used to predict the amount of bulking. However, the empirical guidelines that are currently available are based on a limited number of case studies and consider few input parameters, which may result in an inaccurate bulking assessment. This paper describes methods of collecting quantitative field data at Creighton mine in Canada to better understand rock mass bulking and to further develop the empirical guidelines for bulking assessment for tunnels in highly stressed grounds. Measuring

Aug 1, 2013

By Michael K. O’Leary, William D. Coplin

"Risks from political instability and government policies restricting equity ownership, local operations and transfers of payments affect the profitability of foreign mining ventures. More than seat-of-the-pants judgments and old-boy networks are required to anticipate these risks and to take actions appropriate to offsetting them. A system for making political forecasts, called the Prince System, and a series of charts relaying risk s to a production of key minerals will be presented.IntroductionFirm s with extractive operations outside their home country do not have to be told that political stability and government decisions play a big role in the success o f their operations. The takeover of copper firm s in Chile during the Allende administration in 1971 and the recent decision by Venezuela to reduce Reynolds Metals equity share in a smelting operation from 50% to 28% are two examples of hundreds of events that have determined the profitability of extractive operations over the past decade. Both risks and opportunities for international firms seeking to produce and market raw materials are heavily affected by political conditions. While news of political events travel much faster than in the past and host governments are more clever in shaping the risks as well as the opportunities, politics has always been part of the mining business.What has changed is the need to be more systematic in approaching the assessment of political conditions and how it affects business. The increasing costs of extractive operations, the need for long-range planning, the importance of financial arrangements and the world-wide scope of man y firm s&apos; activities require that the assessment be updated continuously and be comparable across different countries and different types of investments. Political risk analysis, the assessment o f macro-political changes and specific governmental decision s on the operations of extractive industries needs to become as systematic and integrated into corporate decision -making as economic analysis has become over the past two decade s."

Jan 1, 1983