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By Robert D. Brown

"On April 22, 1980, the Ontario government introduced a totally new incentive program for mineral exploration in the province to be effective September I, 1980. Replacing the former Mineral Exploration Assistance Program (MEAP) and also the assistance formerly provided to the mining sector under the Small Business Development Corporations Act, the new Ontario Mineral Exploration Program (OMEP) promises to offer a valuable benefit to certain eligible applicants.Unfortunately, the program is not without its shortcomings: the eligibility for grants or tax credits under the program is comparatively restrictive, and an October 1980 federal budget provision to amend income tax legislation would blunt some of the originally intended attractiveness of the grants and credits.IntroductionIn his budget of April 22, 1980, Ontario Treasurer Frank Miller introduced a new incentive program to encourage mineral exploration in the province.The Ontario Mineral Exploration Program (OMEP) replaces the Mineral Exploration Assistance Program (MEAP), which will be phased out by March 31, 1981. Exploration programs approved under MEAP will continue to qualify for incentives under that program, but will not qualify for OMEP."

Jan 1, 1981

By A. S. Robb

SAMPLING of an ore-body is one of the fundamentals in its exploration, development, and exploitation. It is carried out to determine the gold value per ton of an ore-shoot and the probable gold output of the refinery. Sampling also places any broken ground in one of two classes, ore or waste. The value and importance of correct sampling has been shown repeatedly in the past. On the other hand, instances could be given where those in charge of mines have not believed in sampling, and the result has been the same in every case-disaster. This has in all probability been due to assuming that good-looking, well-mineralized rock was ore. Sampling in some form might have averted this misfortune. In this essay, only the method of sampling and the estimation of ore reserves is treated. All titles, figures, and values are fictitious. None of the illustrations can be directly applied to any portion of the Hollinger mine, except Figures 1 and 2, which are included with the special permission of the Canadian Mining Journal. METHODS OF SAMPLING Hollinger Consolidated Gold Mines, Limited, has, from the very beginning of operations, carried out an extensive system of sampling, and the results of this sampling have completely governed the whole mining programme. The Hollinger discovery was made in 1909 and prospecting and exploration of 'the surface began at once. Four men were given jobs as samplers and they sampled thoroughly all the outcrops and all bed-rock which could be exposed to view by removing the overburden. When shaft sinking began, samples were taken at two-foot intervals. In 1912, an underground gang of six samplers was organized, and the number was increased at a rate of about two men per year as the size and extent of the workings grew. No permanent record of sampling was kept until 1919, in which year an average of 11.6 men took 28,458 samples, cutting 113,894 feet of sample. From that time until the end of 1934, the average number of samplers varied, but the total number of samples cut, and the total footage sampled, increased.

Jan 1, 1937

By Bo R. Arvidson

"New permanent magnetic alloys have recently opened up possibilities for development of unique mineral separators. These are now making several new applications feasible. In many cases where conventional electromagnetic-induced roll separators have traditionally been used, the new permanent magnetic roll separators may reduce both over-all capital costs and operation costs.The development of the next generation of extremely powerful permanent magnets, i.e. neodymium-iron alloys, is progressing rapidly and will affect the roll separator as well as another type of magnetic separator. Permanent Magnet Roll SeparatorDesign and FeaturesDiscs of permanent magnets interleaved with soft iron discs constitute the basic magnetic roll design (Fig. I). By enveloping the magnetic roll with a thin abrasive resistant belt (Fig. 2), even highly magnetic particles are removed.The first prototype roll utilizing the new magnets was shown to have approximately equal strength as induced magnetic roll (IMR) separators. Since the initial test roll, the new separator, called the PERMROLL® , has been made twice as strong with regard to magnetic force, that is, the magnetic flux density is determined to exceed 1.7 tesla (17 kilogauss), while the magnetic field gradient is more than twice the gradient than can be practically achieved with IMR."

Jan 1, 1985

Thermal barrier coating (TBC) systems provide thermal insulation to high temperature for aero¬propulsion. A fracture mechanical model developed earlier for multilayer systems is applied on TBC to realize superior performance by enhancement of fracture resistance. Functionally gradient materials (FGM) solution concept is the basis of approach followed here. A few realistic FGM TBCs are considered in the analysis in addition to a conventional TBC as the base case and a hypothetical worst case with YSZ-YSZ interface. Parameters like number, composition and thickness of graded layers and elastic modulus are considered for the analysis and quantitative improvement of fracture resistance of TBCs. The analysis is confined to deep crack with crack size to width ratio as 0.5.

Jan 1, 2010

By Roger T. Laine

"The Carswell structure, located in the western part of the Athabasca Basin, northern Saskatchewan, has been extensively explored since 1967. This exploration has been successful and lead to the discovery, in 1970, of the D sandstone-hosted unconformity related deposit. By the end of 1984, five additional basement-hosted unconformity related deposits had been delineated: the OP and N discovered in 1970, the Claude in 1971, the Dominique-Peter in 1981, and the Dominique-Janine in 1984. The D deposit has been mined out; the Claude open-pit has already produced more than 500 tonnes of uranium, the development of the Dominique-Peter underground mine (first phase) has been completed, and production from the latter started in 1985.All six deposits are located in the southern part of the Aphebian metamorphic core, 18 km in diameter, which has intruded at least 1250 metres of Helikian Athabasca Group sediments during a cryptoexplosion event at 480 Ma, unrelated to the emplacement of uranium mineralization. The metamorphic rocks, affected by the Hudsonian Orogeny, are divided in two lithostratrigraphic units: the Peter River gneiss, aluminous gneiss series, and the Earl River complex, mixed quartzofeldspathic and mafic gneiss series. A well developed regolith profile is recognizable in the south along the contact with the sandstone and inside the metamorphic core sometimes associated with conformable sandstone beds.Basement and sandstone-hosted uranium deposits show many similarities:-linkage to unconformity;-mineralogy and geochronology with a first phase mineralization characterized by a polymetallic sulphide-uraninite-brannerite assemblage dated at 1150 to 1050 Ma, a second phase characterized by a simple sulphide-uraninite assemblage dated at 890 to 820 Ma, and a third phase characterized by a pitchblende-hematite dated at 380 Ma; and,-linkage to early Hudsonian structures with remobilization of these structures during intense hydrothermal alteration resulting in Mg chlorite-illite halos."

Jan 1, 1986

By M. S. Alam, Jae-Chun Lee, M. Tanaka, K. Koyama

Extensive research work is being carried out at AIST for developing energy saving green technology for base and precious metals recovery. In the present work, a new flowsheet is developed for copper recycling from waste electronic circuit board where copper was recovered by leaching followed by solution purification and direct electrowinning of Cu(I) from ammoniacal alkaline solution. In this new technology, power consumption in EW circuit was greatly reduced. This paper describes the overall process with an emphasis on different aspects of solution purification where impurities were selectively removed by cementation and solvent extraction techniques under nitrogen atmosphere.

Jan 1, 2004

By Lin Li, Ahmad Ghahremaninezhad

"In this paper, the electrochemical behavior of ferric and ferrous couple on the pyrite surface was studied by application of the chronoamperometry technique in an acidic solution at room temperatures and atmospheric pressure. The effects of the pyrite origin, ferric and ferrous ions concentration on the electron transfer kinetics of Fe3+/Fe2+ reaction were probed. Tafel behavior of all the test conditions were developed. The results showed that the ferric-ferrous reaction on pyrite electrodes with different origins have a common mechanism, despite different reaction kinetics. The exchange current densities of the redox reaction have the same magnitude of about 10-5 A·cm-2, which is far lower than the value reported for the gold and platinum electrodes, but larger than that of the chalcopyrite electrode. The cathodic transfer coefficients are between 0.4 and 0.5, while the anodic transfer coefficients appear unusual with the lowest value being 0.23. It was also demonstrated that an increase of one order of magnitude of iron concentration has no clear effect on the exchange current density and cathodic transfer coefficients of Fe3+/Fe2+ redox reaction.INTRODUCTIONPyrite, FeS2, is mostly considered as a gangue mineral which frequently coexists with valuable minerals and metals, such as gold, copper and nickel. Its separation from valuable minerals can be a costly process (Chandra & Gerson, 2010). In refractory gold ores, the fine gold particles are locked inside the pyrite structure. Oxidative leaching of pyrite is a hydrometallurgical method to destroy the structure of pyrite and expose the fine gold particles to the cyanide solution in the downstream cyanidation circuit. Pyrite oxidative leaching can be achieved by oxidation of pyrite via oxygen and ferric ion(McKibben & Barnes, 1986). In fact, pyrite oxidation by oxygen and ferric is a significant source of acid mine drainage(AMD), which adversely causes serious environmental problems(V. P. Evangelou, 1995).The pyrite oxidation mechanism is accomplished in three consecutive steps: (i) pyrite is oxidized by oxygen and ferrous ion formation (Eq. 1); (ii) ferrous oxidation by oxygen and ferric ion formation (Eq. 2); (iii) pyrite oxidation by means of ferric ions (Eq. 3). Hence, both oxygen and ferric participate in the pyrite oxidation process (Moses & Herman, 1991):"

Jan 1, 2016

By K Komori

Naoshima Smelter and Refinery has treated shredder residue and incinerator fly ash in Japan since 2003. As a highlight, a new incinerating and melting furnace, as well as fly ash washing treatment plant were newly constructed for pre-treatment of shredder residue and fly ash respectively, and the pre-treated materials are ultimately treated in the existing Mitsubishi continuous copper smelting and converting process line. Since wastes such as shredder residue tend to vary in size and in shape, and contain some chlorine, the installation of a new pre-treatment line was required. The combination of the new pre-treatment line with the existing Mitsubishi Continuous Copper Process line has created a highly efficient and environmentally friendly system for recovering and recycling of valuable metals that previously used to be sent to a landfill. This paper reviews the approach that Naoshima took to establish its current recycling business strategy.

Jan 1, 2007

By J. P. Weiler

The increasing use of high-pressure die-cast magnesium alloys in the automobile industry requires a better understanding of the mechanical properties, the microstructure, and particularly, the relationship between these two. The goal of this study is to first understand the microstructural features which control the mechanical properties observed from an AM6OB magnesium alloy, and second, to be able to predict the local mechanical properties based on microstructural features encountered in different areas of the die-cast component. The two main tools used in this study are spherical indentation testing, used on local areas of the die-cast magnesium alloy AM6OB to detect changes in microstructure and mechanical properties, and X-ray tomography, used to non-destructively investigate the internal porosity in a sample. The results from these tests are then used to predict the local mechanical properties such as the yield stress, the strain-hardening characteristics, and the fracture properties of the AM6OB component.

Jan 1, 2006

By J. F. Fiset, N. Bouzoubaâ, N. Reynier, C. Laviolette, Canadian Nuclear Laboratories

Canadian Nuclear Laboratories (CNL) is developing a disposal strategy for radioactive wastes, which contain significant amounts of uranium, cesium, and mercury. There are safety and economic incentives for the extraction of these elements before permanent storage in deep underground repositories. In addition, the actinide elements are also an important component in rare earth element (REE) ores and considered as impurities. Actinides separation from REE tailings is a significant concern in order to manage radioactive nuclides. Reprocessing mine wastes may present significant financial and environmental benefits. Experiments were carried out with radioactive cemented wastes (RCW) prepared at CanmetMINING. For all of the tested RCW batches, solubilisation yields are above 97% for Cs and 98% for U and Hg. Sulphuric acid leaching with potassium iodide improved the solubilisation of Hg by oxidation and formation of the tetraiodide complex (e.g. HgI4 2-, Kf = 2.1030). Cs and Hg were removed selectively by using potassium cobalt hexacyanoferrate (KCFC) and Lewatit TP214 ion-exchange resin respectively. U recovery using the chelating resin Lewatit TP260 was the most efficient. The presence of high iodine concentration improved the U uptake by the resin. The best U elution was obtained using 1 M Na2CO3, which resulted in 99% U recovery. U was then precipitated as sodium diuranate. A counter current effluent recirculation was performed successfully on RCW. The process was also applied to submerged tailings collected from two U mines and an REE ore. This paper presents an innovative process, using sulphuric acid and potassium iodide, for U, Cs, a

Jan 1, 2016

By P. B. Demarsh

"Location: - On highway 59, 17 miles east of Val d 10r near junction of Montreal highway in Northwestern Quebec.Life; - Started production 1952, ceased 1965.Ore: - Pyrite, chalcopyrite and small amounts of free gold and goldsilver tellurides in narrow quartz-carbonate-tourmaline veins in granodiorite. Specific gravity 2, 70.Capacity: - 700 tons daily Bevcon ore supply, l 000 tons daily when custom ore available.Assay: - Heads 0 .140 oz. per ton; tails 0. 009 per ton; extraction 92.5%.Grind: - 75% minus 200 mesh at 700 tons; 68% minus 200 mesh at 1000 tons. Detention time 28 hours and 21 hours respectively.Treatment: - Cyanidation process.Reagents: - Per ton. Aero Cyanide (NaCn) 0, 50; crushed unslaked lime 1. 75; zinc 0. 03; litharge 0. 10; steel consumption 2. 25.Water: - Pumped from land-lock spring fed lake l 1/2 miles distant.Cost: - Per ton. Crushing 0. 13; grinding 0 .32; filtration 0. 07; cyanidation 0.14; miscellaneous 0.29; total 0.95.Power: - Hydro-electric, 25 cycle, 12, 000 volts reduced to 550 volts.Labour: - Predominantly French Canadian, nucleus English Canadians.Tailings: - Impounded low lying pond.Personnel: - 15 including supervision.Flow sheet: - Canadian Mining Manual l 9 5 6 .Building: - Wood truss construction: 3/ 4 in. siding, ten test and 1/ 4 in. transite outside. Corrugated galvanized iron roof. Ground level foundations. Internal self induced heating. Wood stave tank equipment."

Jan 1, 1966

By H. W. Hughes

"The Wasamac Gold Mines mill, situated 10 miles from Rouyn-Noranda on highway 59, commenced milling April 1st 1965 at a rate of 700 tons per day. This has gradually increased to over 1200 tons per day in December. The mill has done up to 1400 tons on occasion.The ore was formed in the Wasa shear zone by means of replacement. The minerals which replaced the original rocks were carbonates, quartz, pyrite, chlorite, gold and silver. Work index varies from 9. 6 on the chlorite to 11. 6 on the quartz. The gold is very finely disseminated throughout the gangue and while associated with the pyrite is not included in the pyrite. Very seldom is gold found or seen in the free state.Test work showed a medium fine grind of 85 to 90 per cent was necessary to achieve a 95.00 per cent extraction. Straight cyanidation time of 30 to 36 hours was indicated. This has been borne out by subsequent mill performance with a grind around 87 per cent minus 200 mesh and extraction ranging from 95 to 96 per cent.When it was decided to bring the Wasamac property into production, the Bicroft Uranium Mines Ltd. crushing and grinding units together with one pebble mill and the pachuca tanks from Dyno Uranium Mines Ltd. were purchased.Wasamac crusher house and mill buildings are of laminated wood construction, covered with 5/ 8th inch plywood and corrugated iron sheeting."

Jan 1, 1966

By R. D. H. Wigmore

"The title of this paper probably sounds quite simple and self-explanatory. The problem, however, was not a simple one, and proved somewhat baffling and expensive over a period of years. After outlining the problem, and the methods which were used to overcome it, we will present our solution, or perhaps it would be more accurate to say the partial solution which we reached.We have in the cyanide circuit at Upper Canada two Dorr Single Tray Thickeners with 30 ft. diameter wood stave tanks 12 ft 4 1/ 2 in. deep. In the years prior to 1948, when the tonnage was 250 to 280 tons per day, two stage thickening was practised. As the tonnage was increased to 450, 500, and finally 560-600 the thickeners were used in parallel.Some settling problems were encountered, and in those days the means to combat these problems were very few. The only remedy was to dump in pounds and pounds of lime. Then along came a few reagents, and the writer remembers one in particular, - 11 Carboxel11 (carboxymethlycellulose). When water or solution was added to this reagent, the result was a gooey mass somewhat resembling tapioca. One drawback was that it stayed in this state, and didn't go anywhere. A method was finally developed of containing the mass (or mess) on a fine screen, and dissolving some of it was a fine spray of solution. The only thing the writer recalls was that it was not a very effective settling agent.Shortly after this time, along came the new flocculents, first a few, and then many, and our settling problems were over.But when the settling problem was solved at Upper Canada, some other problems were creeping up on us."

Jan 1, 1965

By M. Fall

The progressive depletion of ore available at shallow depths in several underground mines around the world means that underground mining operations would increasingly be carried out at greater depths and therefore at higher temperatures. However, our understanding of the effect of hot temperatures on the response (mechanical, economical, environmental) of cemented paste backfill (CPB) is still limited. Hence, an extensive laboratory investigation was conducted to study the performance of young and aged CPB, in response to deep mine temperatures. Several CPB samples with different compositions, cured at different temperatures (20 to 50°C) and different times (7 to 160 days) were tested regarding their mechanical properties, economical performance (binder consumption) and microstructural properties. The results show that hot temperatures significantly affect the performance properties of CPB at young and advanced ages. An increase in the curing temperature leads to a considerable improvement of the rate of gain of CPB strength and also to a significant increase of the strength of CPBs studied. CBP samples cured at hot temperatures show lower binder consumption and finer pore structure. Results of this study could serve as background information for the development of optimal mine backfill design procedures.

May 1, 2007

By A. F. Beck

Abstract Canada has opened up a geological province in ?Western Canada which offers a new .stimulus to oil exploration geophysics. The problems of instrumental technique, interpretation, and logistics involved in the exploration of this new territory are presented in this paper and some of the efforts being undertaken to overcome them are discussed. The scope of this programme, its possible trend and extent, especially when viewed .against the background of the exploration effort in the United States, is touched upon. Introduction The science of earth physics was first applied to the search for oil on this continent some twenty-five years ago when torsion balance and refraction seismic methods were initiated in the Gulf Coast area of the United States. Since that time advances in the various branches of the science have been sporadic as new fields for their use opened up in the search for deep salt domes as well as less well-defined geological structures; in the application to well logging as part of the exploitation of petroleum; and in underwater surveys, aerial surveys, etc. In the present paper, attention has been concentrated only on the Western Canada plains area because of the recent remarkable growth of geophysics as an oil finding technique in this region. The other prospective oil areas of the West Coast and the Eastern Provinces of Canada are at present of minor importance, although they will undoubtedly receive increasing consideration in the future as accessibility to markets becomes a major factor and more improved geophysical and geological techniques are developed. A vast province in Canada, covering some 655,000 square miles of prospective oil territory (approximately one-half of the prospective oil area in the United States), has provided the new sphere of activity for geophysics (see Figures 1 and 2). Included in this area are immense inaccessible, uninhabited frozen regions which pose a new problem in logistics and operational techniques.

Jan 1, 1950

By W. G. McBride

THE present demand for men with engineering training exceeds anything in the history of the profession. Recent estimates indicate that mechanization of war has reached such a stage that at least twelve horsepower is required now for every one horsepower needed to run the machines of the first Great War. The scale of operations exceeds anything in the past, while more territory and people are involved than ever before. Many of our allies have inadequate or no facilities for producing the thousand and one articles absolutely necessary to the conduct of modern warfare. Lack of preparedness has made it necessary to produce at an unparalleled rate to gain parity with the enemy, while our losses have been so heavy that replacement, in itself, presents a task which might well stagger less courageous peoples. This means that not only is there an unprecedented demand for engineers to produce the machines, munitions, and supplies of war, but there is a correspondingly large need for men with engineering skill in the uniformed forces to operate and maintain the vast numbers of ships, 'planes, tanks, trucks, radios, and a myriad of other devices to carry on the varied activities of war. This abnormal demand came upon us after almost ten years of stagnation in the engineering industries. During this time many trained engineers drifted into other callings, while the lack of jobs for graduates caused a falling off in the number of men training for this profession. Consequently, the supply of well trained engineers was below normal when the madman of Germany precipitated us into the present turmoil. Added to all this, we in Canada are still suffering from governmental inefficiency in the utilization of the available supply of engineers. In the armed forces, engineers have been assigned to office and other work where their engineering training is not only wasted but for which men with more suitable training could be found. Mining engineers are debarred from service as aeronautical engineers, and students in mining engineering are denied the bursaries provided for aiding students in engineering. Mining and metallurgical engineers are both barred from the Ordnance department of the army. This arises from a misunderstanding in relation to engineering training. In Canadian engineering schools, all engineers are given a sound training in the branches of human knowledge which are fundamental to engineering: mathematics, physics, and chemistry. The basic difference between the several categories of engineers lies in the fact that training in the application of this fundamental knowledge to the solution of engineering problems is given in different subjects.

Jan 1, 1942

By Q. J. Xu

In blasting sensitive areas, the use of traditional blasting for rock fracture is restricted. Soundless cracking technology has been presented to achieve rock fracture instead of blasting. However, when the diameter of a borehole is larger than 50 mm, it is very dangerous that the soundless cracking agent (SCA) will have a tendency to gush from the borehole, which also leads to cracking failure. In this paper, a new large scale borehole soundless cracking technology is presented, using a new enlarged drill bit and mechanical plugging, which could solve the hole gush problem. Experiments were made to measure the expansive pressure of the SCA working in boreholes of F40 mm and F100 mm. The difference between two sizes of cracking phenomenon was compared and analyzed to show that large scale borehole soundless cracking has larger expansion pressure and faster reaction speed than traditional soundless cracking. Based on the experimental data, finite element analysis was utilized to study the stress concentration and stress distribution between two neighboring large boreholes in several media during the cracking process. Using the data from experiments with finite element numerical simulation, the brittle material fracture condition was analyzed to design the parameters of the borehole mesh. With the theoretical analysis, the technological process and reference parameters of large scale borehole soundless cracking were proposed, including the borehole spacing, burden distance, depth of the borehole and so on. Then a single rock was cracked with the new enlarged drill bit and new plugging, and the results proved the feasibility of the new large scale borehole soundless cracking technology, which achieved the expected goal of improving the cracking ability and reducing the cracking time. This paper presents a new efficient rock cracking method for blasting sensitive areas, and which could apply to mining engineering, demolition engineering, excavation engineering and other engineering applications where there is a demand soundless and non-vibration fracturing of rock.

Aug 1, 2013

By K. Ogawa, T. Yokoyama

Hydraulic fracturing technique, an applied technique to cause tensile fractures to rock by injecting water pressure to a certain closed section of the borehole, is a measurement method of in-situ rock stress. This technique has the highest track record for techniques used in sub 1000 meter. A feature of this technique is comparatively simple and easy for in-situ stress measurement, because the measurement is applicable when a drilled borehole is available. The predominant advantage of this method is that elastic constants such as Young’s modulus and Poisson’s ratio are not required for determining the value and direction of initial stress. The factors to determine the stress state are the water pressures of re-opening and shut-in of fractures around the borehole wall and its directions. With conventional methods, however, the accuracy of the derived stress states from the observation equations was often adversely affected by the lack of consideration of the remaining water pressure in fractures and insufficient stiffness of the pressurization system. We have developed a new hydraulic fracturing system based on a new test method concept overcoming these defects, and applied to a 300 meter deep borehole in granite. The most important improvement of the new system is an employment of a syringe pump which enables an accurate flow control of fluid with less than 1ml/min in the pressure of 30MPa. Therefore the new test system has a quick response for pressurising in the interval zone, and the measured data was confirmed extremely accurate.

Jan 1, 2015

By E. R. Rivenbark

"The coal handling plant represents an investment of about $100 million in coal handling and storage equipment. The coal receiving is done by a continuous ship unloader that can handle ships in the 60 000 T range at Q rate of 1750 /ph. A unique feature in the system is a stacker/reclaimer unit which will work inside a dome storage structure. The coal for the unit will include any low sulphur coal that can be delivered by sea at an economical price blended with New Brunswick high sulphur coal.ThE flue gas scrubber is a wet limestone system capable of 95% SO2 removal. The scrubber will utilize about 150 000 tonnes of limestone per year and will produce commercial grade gypsum by the forced oxidization method.IntroductionWith the need for new generating capacity being required, New Brunswick Power reviewed, in 1985, its options for the next unit. The study indicated that the most attractive option for New Brunswick Power would be a coal-fired unit capable of receiving imported coal at a sea port. The site selection process resulted in three site options being considered.The existing Coleson Cove and Dalhousie sites, and the Belledune site were considered. To meet load distribution needs, it was then decided that the unit had to be located in the northern section of the province, thus eliminating the Coleson Cove site. The Belledune site was selected because it had the capacity to have additional units added where as the Dalhousie site would have only been able to accommodate one unit"

Jan 1, 1994

By Robert B. Parsons

"It is quite likely that more than a handful of junior exploration companies will receive some startling news from their accountants this spring when 1989s tax returns are being prepared. These companies could find that, for the first time ever, they will have to write a cheque to the federal government on account of a new federal capital tax which became effective July I, 1989IntroductionMany mining companies which have never had to pay a federal income tax are finding that they indeed have a tax liability for 1989. Non-producing companies, such as junior exploration companies, almost automatically assume that they don't have to pay any income tax. But, a new tax imposed under the Income Tax Act catches especially the company that has no income.Effective July 1, 1989, a federal capital tax (some call it a corporation minimum tax) is payable by any corporate carrying on business in Canada where the corporation has ""taxable capital"" exceeding $10 million. As a result of the popular use of flow-through shares in recent years, many junior exploration companies are finding that their balance sheets show capital stock over $10 million, and that they are consequently caught by the new tax. Further, some of these companies are finding, to their chagrin, that the tax for 1989 was due on February 28, 1990, and that non-deductible interest is ticking away on unpaid taxes."

Jan 1, 1990