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By D. J. Thorkelson

New data indicate Wernecke Breccia-associated iron oxide copper-gold (IOCG) deposits likely formed from moderate-temperature, high-salinity, non-magmatic brines. The breccias formed in an area underlain by a sedimentary sequence that locally contained evaporites (potential source of chloride and possibly sulfur) and was thick enough to produce elevated fluid temperatures. Metals (Fe, Cu, Co, U) were probably derived from host strata, transported as chloride complexes, and precipitated due to changes in fluid temperature and pressure during brecciation. These new data suggest that the spectrum of genetic models for IOCG deposits that typically invoke formation from magmatic or hybrid magmatic-non-magmatic fluids should be expanded to include those systems that formed in a non-magmatic environment. Modifications to the definition of IOCG systems are proposed that reflect the degree of involvement of magmatic and/or non-magmatic fluids and the nature of the mineralizing environment. A division into magmatic, non-magmatic, and hybrid magmatic-non-magmatic IOCG types is suggested. Typical magmatic end-member IOCG deposits include Lightning Creek and Eloise, Australia. Hybrid magmatic-nonmagmatic IOCG examples include Ernest Henry and Olympic Dam, Australia. The Wernecke Breccia and Redbank deposits are suggested as possible representatives of non-magmatic IOCG end members. Endmember magmatic IOCG deposits have similarities to some porphyry deposits, whereas non-magmatic IOCG end members share characteristic with some sediment-hosted Cu deposits, suggesting that the range of IOCG deposits may form a link between intrusive- and sediment-related deposits

Jan 1, 2007

"Many advances in glass technology and processing are being made and the possibilities for glass as a material in the future appear unlimited. Float glass, glass-ceramics, high-strength sheet and container glass, glass-reinforced plastics, glass for electronic equipment, aerospace glass, glass fibres, glass vehicles, glasses with selective-reflective coatings and glare-reducing glasses, to name a few, provide areas of significance at present and for the future. There appear to be great opportunities, in certain localities of Canada, to develop new sources of raw materials for an expanding Canadian glass industry.New developments in the structural clay products industry have centered around facing brick as a structural load-bearing material, prefabricated brick panels, large-sized units, isostatic pressing of sewer pipe and auto-matic settmg of brick. Fast-firing techniques, using prefired or calcined raw materials, and the development of high-strength products will result in the use of a wider range of raw materials in the whiteware and structural clay products industries.Porcelain enamel, a material used for many years in domestic appliances and for sanitary ware, now is used extensively in architecture, agriculture, water tanks, highway signs and reflectors, and in products where resistance to corrosion-plus-temperature is important. Exotic composites of ceramics and metals, and specialized ceramic coatings applied on metals by various techniques such as flame spray, plasma jet, or vapour and chemical deposition have proved useful in materials for aircraft power plants, rockets, missiles and nuclear applications."

Jan 1, 1967

By Marianne Snedeker

In January we published a questionnaire asking about the content of MINING ENGINEERING and about your interests. At the same time we hired an outside firm, READEX Inc., of St. Paul, MN, to send the same questionnaire to a sampling of about 1000 US members, selected on an nth name basis, so that we could have some preliminary numbers for the Annual Meeting in February. READEX sent us the final results of its survey in March. At that time, 525 responses of the 992 surveys sent out had been returned, for a 52.9% response, an extraordinarily high return for a low-key (no incentive for return) random sampling. On May 7, we cut off on tabulating returns from the magazine so that we could report the results to you in this issue. At that time, we had 594 questionnaires returned. Our 594 and READEX's 525 (we have assumed that relatively few people returned both), represent a 1119 return, about 3.5% of the approximately 32,000 who received the January issue of ME. About ME Through responses to the questionnaire, we were hoping to learn more about you, your interests, and how the magazine could better serve you. Those of you who responded, told us something positive-you look at or read the magazine. Of the 1119 respondents, 1068 or 95.4% indicated that they had read or looked through the November and/or December issues. Those of you who refer to the magazine once are 466 or 42.6%. Those of you who refer to the magazine two or three times are 559 or 51.1%. Those of you who refer to the magazine four or more times are 68 or 6.2%. How much time do you spend reading the magazine? Of those responding to this question: 186 spent up to 1/2 hr 16.6% 590 spent up to 1 hr 52.7% 292 spent 1-2 hr 26.1% 51 spent more than 2 hr 4.6% In an informal survey among our staff, we determined that most people spend 1/2 to 1 hr reading magazines to which they subscribe at home. Does that match your experience? Many of you, 764 or 69.4%, clip your magazine for further reference. Also, many of you, 513 or 64.2%, do not pass your copy on to another reader, indicating perhaps that you are clipping it or receiving the magazine at home. Those magazines that are passed on reach: 2 people - 159 - 20.0% 3-5 people - 95 - 11.9% 5 or more - 31 - 3.9% Answers to what portions of the magazine you find useful indicated that the top three were Industry News, feature articles, and Technical Papers; see Table 1. The "other" category included advertising-display, classified, and employment-Coming Events, product information, Washington Survey, new books, the reader service card, and Engineering Fundamentals. Of those responding, 797 or 75.3% indicated a preference for dual notation of SI (metric) with English units; 228 or 21.5% preferred all SI units; while 34 or 3.2% preferred SI with dual notation of other metric units. Based on the preliminary numbers reported by READEX for this question, the MINING ENGINEERING Committee in February voted to return to a policy of dual notation. This decision has been implemented. We asked for your appraisal of the technical level of the magazine. Of those responding, 78 or 7.4% indicated it is too technical, 147 or 13.8% indicated it is not technical enough, and 836 or 78.8% judged it to have the correct tech¬nical level. In response to the question about whether you like to read an occasional feature that is not technically oriented, 32 said no, but an overwhelming 97% (1024) said yes. Of the specific topics, 785 like history, 558 political or socioeconomic articles, 440 career development, and 373 human interest. Other topics suggested included new disciplines, mineral resources of the world by

Jan 6, 1982

By B. K. Shibler

During a research program to develop improved methods for recovering elemental sulfur and useful sulfur compounds from secondary source materials, the technical literature was searched for pertinent articles on processing methods. This report summarizes results of the literature survey and describes the more important processes that have been used or suggested for recovering sulfur and sulfur compounds from all non-Frasch sources. The bibliography presented represents a survey of the available English language literature on the subject through 1958, with particular attention focused on the period 1950 through 1958. Engineering Index and Industrial Arts Index were the principal guides used in the survey of this period. Chemical Abstracts was used to a limited extent to identify a few key foreign articles and patents. The Sulfur Symposium (4)4 published in November 1950 by Industrial and Engineering Chemistry includes a broadly representative selection of the literature up to 1949. Therefore, this reference was used extensively to locate and list pertinent articles on processing methods reported in the period prior to 1950.

Jan 1, 1962

By Fabrice Mathieu

The Cutter Soil Mixing (CSM) provides a cost effective solution for the rapid construction of retaining and cut-off walls using new equipment developed from diaphragm wall cutter technology. CSM consists of cutting and mixing drums mounted on compact hydraulic motors. Soletanche Bachy CSM has been designed to leave the space above the tool free, thereby mixing the soil efficiently during all the phases of the wall construction, with high penetration rates. The precise positioning and verticality of the wall is achieved using a kelly bar and full monitoring. Soletanche Bachy CSM is a versatile equipment which can be mounted on various carriers: pile rigs, hydraulic crane, carrier equipped with telescopic mast. The major phases of Soletanche Bachy CSM development are presented, including the results of an extensive trial carried out in Le Havre (France). The soil consists of hydraulic fill with soft soil lenses overlying sandy deposits. 20m deep panels were constructed to support a rectangular shaft. During the construction, and after its completion, the shaft was subjected to an extensive series of tests followed by a partial excavation. The paper discusses also the future development of the technique and its potential applications.

Jan 1, 2006

By L. Bergkvist

"History can provide many answers with regard to what today’s mining industry looks like and how we got to where we are today. It has always been self-evident that safety has to be given the highest priority and, throughout history, many mine workers have been injured, become ill and have even sacrificed their lives due to the way in which attempts have been made to extract the ore, often due to ignorance of the dangers being faced. In more recent stages of history we have seen certain dangers being compensated by means of higher wages and bonus systems in order to have the work carried out: one example of this is when the rock heating method was employed and the men who first went underground to put out the fires that were burning, were paid extra. The working conditions, to which these people were exposed, with smoke-filled closed spaces, shortened their life expectancy considerably and today we can ask ourselves whether it is really possible to value these efforts just by higher wages. In all mines worldwide the working environment has been improved and many mining companies have a zero vision where work-related injuries and accidents are concerned. Despite this, incidents of varying severity still occur and a continuous improvement process and ongoing training is necessary in order to constantly minimise risks and improve the working environment. Atlas Copco takes this into account in all its development and we not only review our own production units but also the needs of our customers, with regard to the machinery that is produced in order to cater for customers’ safety and production objectives. Underground mining probably started at the beginning of the 11th century when people with modest tools tried to extract ores that were present in the bedrock. Methodology has developed enormously over the years with a strong focus on increased efficiency and higher production. In different parts of the world the development is driven forwards at different rates depending on which controlling factors are regarded as necessary. Political decisions, profit goals and productivity have partly controlled the development, but the greatest factor where improvement is concerned still remains with increased understanding of the totality. During more than 1000 years since underground mining has been conducted, all individuals at all levels have constantly improved their expertise and the human element has been of great importance with regard to the development that has been made, even though technology often occupies a leading role when we describe the improvements made."

Jan 1, 2011

By N. W. Bliss

"Bauxite has been the almost universal ore of aluminum for about 100 years, with most of the world's reserves oc¬curring in the developing countries. As a result of fiscal and political activities prompted in part by the energy crisis, the formation of the IBA combined with increasing freight and labour costs, these reserves are no longer as competitive or as secure as they once were. This has given fresh impetus to the development of processes for alumina production that utilize raw material other than bauxite. Canada has no bauxite and it is prudent to look for alter¬native raw materials within our own boundaries suitable for one of these processes.Of the three igneous rocks that have been used as a source of alumina, only anorthosite is considered as a potential source in Canada. The Al content would be extracted by a sinter process, which currently requires a raw material with a. minimum of 28% Al2O2. Thus, about 4 tons of anorthosite and 10 to 12 tons of limestone are needed to produce one ton of alumina. There are two petrologically distinct types of anorthosite, one containing the plagioclase andesine-labradorite and around 26% Al2O3, and the other containing upwards of 30% Al2O3, in by¬townite-anorthite; for our purposes they may be con¬sidered as low- and high-alumina anorthosite respectively. The high-alumina anorthosites are somewhat rare; the low-alumina anorthosites are much more common, partic¬ularly in Eastern Canada. Geologically speaking, there is no shortage of anorthosite in Canada. The reserves are im¬mense, although their low Al2O3 content coupled with con¬siderations of location, access and proximity to limestone could be constraints to their development. Fly ash from coal-fired thermal power stations and nepheline syenite can also be used in a sinter process, but neither is likely to be utilized in Canada in the immediate future.The H+ process utilizes an acid attack to leach Al from a raw material with at least 20% Al2O3. One of the best raw materials is kaolinite-bearing clay; not only is it high in Al, but most of it can be extracted. With the possible exception of the Whitemud clay in Saskatchewan, Canada is apparently deficient in clays with sufficient reserves to support an alumina plant utilizing the H+ process. Low-alumina clays with illite and montmorillonite may also prove to be a suitable raw material if advantageously sited with respect to industrial centers. The average shale con¬tains only 15% Al2O33, much of which may be contained in minerals, such as feldspar, not amenable to acid leaching. If shale is used as a source of alumina, it will be because it contains some other valuable commodity, such as oil or uranium, the extraction of which leaves the spent shale upgraded in extractable Al2O3 and lowers the over-all costs to a point where it is economic, Thus, rejects from coal washing plants are most commonly considered as a source of alumina; they are already mined, are available in large and ever increasing amounts, and may contain significant amounts of combustible material which upgrades the Al2O3, content of the resulting ash. Coal rejects from existing and developing coalfields in Alberta and British Columbia are a possible source of raw material, but present data indicate they may contain insufficient Al2O3."

Jan 1, 1976

By A. Moergeli

The Swiss are currently building the world’s longest tunnel, the 35-mile long Gotthard Base Tunnel. At Sedrun, for the first time in tunneling, four Roadway Support Machines will drive through most difficult ground, supporting variable diameters of up to 13 m. The machines are prepared for their first deployment. At Amsteg, two Hard Rock TBMs have successfully crossed a known fault zone by applying full circle steel arches and shotcrete immediately behind the cutter head. Comparisons between Drill& Blast and Hard Rock TBM are shown.

Jan 1, 2005

By Rameshwar Sah, Bharath Kumar Shanmugam, Govinda Raj Mandela, Marutiram Kaza, Harsha Vardhan, Harish Hanumanthappa

Iron ores obtained from different sources differ in their chemical and physical properties. These variations make the process of grinding a difficult task. The work carried out in this context focuses on three different samples of iron ore, viz., high silica high alumina, low silica high alumina, and low silica low alumina. The grinding process for all the three iron ores is carried out individually in Bond’s ball mill and the total retention time taken by each iron ore sample is calculated. The present investigation focuses on utilizing the calculated retention time of the iron ore as a standard grinding reference time to the laboratory ball mill for optimizing the grinding time of each ore. The desired P80 (150 μm) with an acceptable range of hematite liberation (> 75%) was obtained in the laboratory ball mill after reducing 6 min from the total retention time taken in the Bond ball mill.

A localized nonlinear recoverable resource estimate technique has been applied using typical feasibility or new mining drilling data configurations drawn from a massive database from a mined-out area on a hydrothermal gold deposit. The results were then compared with the corresponding 8 m x 5 m grid grade-control data in order to determine the efficiency of the approach and the validity of the recoverable resource estimates for mine planning and financial forecasts.

Jan 1, 2014

By Lei Pan, Venkata Atluri, Xuming Wang, Yuesheng Gao, Jan D. Miller

The wetting characteristics and water film stability at the talc surface have been studied, particularly the effect of polysaccharides such as guar gum, starch, and dextrin. Talc is a gangue mineral in the flotation of base metal sulfide ores, precious metal sulfide ores, and platinum group metal (PGM) sulfide ores. Talc surfaces were investigated using surface analysis techniques including atomic force microscopy, high-speed video bubble attachment measurements, and wetting film stability measurements using a synchronized tri-wavelength reflection interferometry microscope (STRIM). In the presence of polysaccharides, there is a significant increase in bubble attachment time at the talc surface, but only a slight change in contact angle, which suggests that polysaccharide depression of talc is due primarily to the slow rate of bubble attachment and not due to a change in contact angle. The critical rupture thickness (hc) for a hydrophobic talc surface was found to be 56 nm, while the hydrophilic phlogopite surface of similar structure has an equilibrium film thickness (he) of 25 nm. At low polysaccharide concentrations, the wetting films formed on the talc surfaces were unstable, but at high concentrations the wetting films became stable with similar thickness values as the critical rupture thickness, and bubble attachment did not occur. However, it was found that the critical and equilibrium film thickness values do not change significantly with the polysaccharide type or concentration. The results from this research help us understand further details of film rupture and displacement during bubble attachment.

G. R. Compton (Gold Mines of Kalgoorlie (Australia) Ltd., Fimiston, W. A.) : In congratulating Mr. Hooker upon his resume of Mr Parry's paper I have in mind the fact that he carried out the research into pipe pressures. Hydraulic filling as practised in Kalgoorlie has created world wide interest, with these pressures and percolation being vital points.Early in the 1950s, representatives of the Kolar field were conduGted over the local mines where stopes at depths below 2,000 ft were being filled. The problems of pipe pressures were their main consideration since depths of up to 10,000 ft were envisaged.Mr Krishnaiah and Mr Murthy from the same field are with us today and perhaps we may hear of their experiences with depths of 6,000 ft and long lateral lines.J. Holly (Lake View and Star Ltd., Fimiston, W.A.): There is one phase, which I would like to mention myself, that has been very evident in Kalgoorlie operations. That is, we do not get the percolation properties that are obtained on many other fields in the world, and our tendency here has been to assess the quality of our fill more by its settling rate, i.e. the rate at which we can draw off clear water at the surface of the filling levels, rather than the rate that this water percolates down through the fill before it consolidates.We are tending now to measure the quality of our fill as a settling rate rather than as a percolation rate.Americans talk about percolation rates being the important property: If anyone has any experience on operating with fills with different percolation rates, I think their views would be very interesting to the meeting art this stage. Mr ...

Jan 1, 1965

By D. Bois, P. Keating, J. Lemieux, M. A. Vallée, M. Allard, R. S. Smith, L. Z. Cheng, M. Chouteau, D. K. Fountain

"As part of a larger research program, a number of MEGATEM airborne electromagnetic (EM) test flights were flown over the Gallen massive sulfide deposit in northwest Québec. A particularity of this test site is that a major part of the ore body was extracted before the MEGATEM survey. Therefore one of the purposes of this study was to verify the ability of the system to detect the remaining massive sulfides below the water in the open pit. The open pit is also surrounded by a metallic fence, and a power line is present in the vicinity. A large part of the case study involved accounting for the impact of infrastructure and acidic water on the survey, which will help in the interpretation of airborne EM responses in complex exploration situations.The Gallen deposit was also previously flown with the INPUT and GEOTEM airborne EM systems before the major exploitation period. A comparison between the results from the different survey results allows estimation of the physical properties of the Gallen deposit, which is a relatively poor conductor.A new method for removing the power line signal shows amplitudes with a smaller residual associated with the emanating fields, and more compact, cleaner responses associated with induced currents. This will make it easier to identify bedrock conductors close to power lines"

Jan 1, 2007

By William Reisz

Over the years as surface mining operations have become more sophisticated, angle drilling has become a more popular blast design technique, especially in areas where overburden and stripping ratios have increased. Another method of blast design is the staggered pattern, which greatly improves explosives distribution within the blast. While both methods present some engineering challenges, this paper will discuss how the two methods can be combined to enhance fragmentation, improve cast percentage, drill production ratios and highwall control. A practical engineering approach will be presented as well as a discussion on the discipline required to maintain a quality blasting plan.

Jan 1, 2002

By D Craw

Bulk ore tailings from the Macraes gold mine gold extraction process are stored in a large (ca 0.6 km2, 80 m deep) mixed tailings impoundment whose pH is maintained near 8 by natural rock neutralizing capacity. The mixed tailings will be stored in this impoundment in perpetuity after mining ceases. Confidence in the long term environmental stability of these tailings can be gained from examination of mineralogically and chemically similar geological situations in the immediate vicinity. A sequence, typically about 5 m thick, of sands and gravels derived from the Macraes mineralized zone 12 000 to 28 000 years ago contains rounded detrital sulphide mineral grains which are unoxidized despite close proximity to the surface and occasional incursion of oxygenated waters. Saturating water pH is currently 7-8. Sands with 0.2 to 0.8 wt % organic carbon host sulphate-reducing bacteria (SRB), and localized cementation by authigenic framboidal pyrite has occurred. Comparison of the 28 000 year-old sediments with the modem tailings suggests that similar chemistry will prevail, possibly with deposition of authigenic pyrite in the tailings, in the long term. As long as the present slightly anoxic and circumneutral pH environmental conditions are maintained in the mixed tailings dam, sulphide decomposition and acidification are unlikely. These sediments provide a plausible geological analogue for long-term benign storage of the mixed tailings impoundment.

Jan 1, 2000

By I. W. van der Merwe

Recently, a new kind of filtration has emerged, namely nano-filtration (NF). It is a membrane-based process which exhibits totally unique separation characteristics for dissolved salts as well as for many non-charged species. By exploiting the particular separation characteristics of this new membrane type, many unique and novel separations have been made possible. The basis for separation by nanofiltration is the negative surface charge of the membrane. This results in rejection of multivalent anions, whilst associated cations are also rejected to maintain electro-neutrality. This peculiar property enables separation of dissolved ions such as sulphate and copper from acid, whilst the acid may be purified for reuse. This paper aims at providing an overview of the principles of nanofiltration, illustrated by particular examples.

Jan 1, 1998

By Michael G. Rulff, Tracy M. Holmes

"Vast amounts of time and money are spent fighting flow problems in plants that involve the handling or processing of industrial minerals. Because these types of projects tend to be capitalintensive, the right decisions, made at the design stage, can have a substantial positive effect on the economics of the project.Some of the problems related to solids flow in mineral processing plants include:•,Flow stoppages•,Uncontrolled flow•,Segregation of blended materials•,Build-up and dead material resulting in loss of live capacityUnfortunately few Universities in North America provide courses in the design or selection of bulk solids handling equipment, let alone the theory of bulk solids flow, with the result that engineers do not fully appreciate the effects of bulk solids handling on their process. The usual method of selecting “standard” equipment, all too often, leaves plant operators hammering on hoppers to promote flow, a technique that is not only usually ineffective but also unsafe and often causes damage to equipment. In short, too little consideration is given, at the design stage of projects, to the particular material and operating environment involved and how these will affect handling between process steps.This paper seeks to give a general understanding of bulk solids flow theory including flow patterns and flow property tests, and presents functional design guidelines to ensure reliable flow. As well, a case history will be presented. Our message is clear: To ensure uniform, reliable flow, a plant design must take into account the specific flow characteristics of the bulk solid to be handled or processed."

Jan 1, 2008

By Jonathan Taylor, Irwan Halim, Frederick (Rick) Vincent

The new underground facilities for the LINAC Coherent Light Source project at the Stanford Linear Accelerator Center in Menlo Park, CA, are constructed in very weak sedimentary rock interspersed with uncemented zones. In addition to several 21-footwide (excavated) tunnels, the NATM excavations include a large, 49-foot wide (excavated) cavern, an unprecedented size in this geology. The critical design issues include characterization of the weak rock, some shallow rock cover areas, and very stringent criteria for final invert slab movements within the tunnel. The design also incorporated severe seismic criteria, since the site is in close proximity to the San Andreas Fault.

Jan 1, 2007

By G. van Hout, D. Rahal

Caving is a mass mining method that is normally applied to large, low grade orebodies because of its low production cost and high capacity. However, equipment breakdown and poor draw management can cause mining costs to exceed that of all other mining methods. One way to minimize the effect of disruptions in the mining cycle is to use Mixed Integer Linear Programming (MILP) for long-term scheduling. This paper describes a MILP goal program which has the dual objectives of minimizing deviation from the ideal draw profile while achieving a production target. Schedule optimization is performed using a life of mine approach in which all production periods are optimized simultaneously. The underlying assumption being that material mixing in the short-term (between monthly optimization cycles) has a minimal effect on the long-term state of the panel. Schedule optimization is carried out using six general constraint types to model and control production. The constraint types define: deviation from ideal practice, panel state, material flow conservation, production quality, material flow capacity and production control. These constraints define production targets and drive production toward the ideal profile while maintaining correct mining practice. Application of the model using production scheduling data for a De Beers kimberlite mine. It is shown how different production control constraints regulate production from individual drawpoints as well as recovery of the ideal panel profile by implementing an optimised draw schedule.

Jan 1, 2003

By Franklin J. Stermole

L. Alan Weakly, member SME, is a senior staff engineer, Exxon Co. Weakly chaired a Mining Engineering committee formed to solicit materials for six planned "personal skills" articles, to be used in ME this year. What follows are Weakly's introductory comments to the series. Upon graduation from college several years ago, I thought that I was sufficiently prepared to embark in my chosen profession. A short time later I realized that several years of on-the-job training was going to be required before I could use my technical training effectively. It never occurred to me that, professionally, I was seriously lacking in any other skills. My spelling could use a little upgrading, but this was not a serious deficiency. I have been very fortunate to have had two employers that recognized that their engineering professionals did lack other skills and made every effort to give them training to correct these deficiencies. The skills I am referring to are those in administration and interpersonal relationships. Most mining engineers and geologists receive very little, if any, college training in these areas. In addition, many companies do not provide this training and many mining engineers and geologists are unaware of their deficiencies. It is for this reason the subject of personal skills development is being introduced in Mining Engineering. The mining engineer or geologist can pursue one of two basic career directions, managerial or technical. In today's technically sophisticated society and highly competitive business climate, both orientations require administrative and interpersonal skills. Most of us are technically qualified and we continue to upgrade our technical skills. But many studies indicate that we, as a group, are significantly weaker in administrative and interpersonal skills than other professional groups. In addition, these studies indicate that engineers, in general, take longer to reach managerial levels and fewer do so. This series in Mining Engineering, then, should help readers strengthen and broaden their professional capabilities. In all industries, including mining and petroleum, economic analysis of potential investment projects is done to select the projects that will give maximum future value from the investment of available capital. Rather than looking directly at the future values to be generated by investing capital in alternate ways for economic decisions, evaluators usually use either rate of return, present value, annual value, a profit to investment ratio, or various break even analysis results to reach economic analysis decisions in evaluating alternative investments. Alternative economic evaluation techniques are used in industry to properly analyze the economic potential of various investment projects. "Discounted Cash Flow" analysis is the phrase commonly used to describe these techniques. Whether you want to analyze projects in mineral, petroleum, real estate, refining, pipe-line transportation, or any other industry, proper application of discounted cash flow analysis techniques enables you to fairly compare the economic potential of alternative projects as well or better than you can using any other project evaluation approaches. It should be pointed out that investment analysis generally involves more than economic analysis. Financial and intangible considerations sometimes are as important or more important to investment decision-making than economic considerations. Economic analysis refers to evaluation of the profit generating potential of projects, that is selecting which alternative projects will generate maximum future value possible from available investment capital. Financial analysis, on the other hand, relates to analysis of where money is going to come from to finance various projects. Regardless of the economic potential of a project, if financial analysis indicates that we cannot finance the project, it likely will be shelved for financial reasons even though it may be economically satisfactory. Many evaluators use the terms "economic analysis" and "financial analysis" interchangeably, but this author considers that to be undesirable. Intangible analysis relates to project factors that are difficult to quantify in

Jan 2, 1984