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By Henning E. Soderberg, Robert Brien, O&apos

Coal may be the answer to US energy problems, but it also has its drawbacks. If it is crushed, screened, dumped, or moved, the environmental engineer is faced with a dust problem. To control coal dust, at both minimum initial cost and reasonable operating cost, demands a working knowledge of dust control equipment design, as well as the coal handling operation. Here are some guidelines to reduce air volume requirements and cut overall system costs.

Jan 10, 1981

By L. Lariviere, M. Grenier, R. Khalili, D. Shook

A mineral processing facility near Montreal, CEZinc, Noranda Inc., has recently implemented a leading-edge intranet solution for monitoring the performance of plant operations, and providing condition-based maintenance. This innovative multi-faceted software implementation incorporates: web-delivered plant information systems; area-wide control loop performance assessment (using sophisticated algorithms to evaluate poorly performing controllers); and integrated alarm management functions.The system has enabled a project to improve plant operations through better process control. Maintenance technicians, engineers, supervisors and managers all can see the performance of the controllers, and the performance of the plant itself, through webdelivered graphics and reports. Information is combined from many sources, real-time, historical, relational and analytical, to provide a complete picture of plant operation.The web-based solution centralizes the administration of user access, and simplifies the deployment of several different kinds of information to many desktops. It is an extensible system that allows users to create and share their own web pages and data views.The paper will discuss the solution architecture and the improvements the IT, operations, maintenance, and engineering groups have experienced, and overall benefits to the facility.

Jan 1, 2003

By Andrew Chapman

The scope of the SA (Situational Awareness) working group is to analyze the effectiveness of information delivery systems in mining equipment and develop a unified display design, to mitigate against the proliferation of screens within equipment cabs. This working group comprises a variety of stakeholders representing a cross-section of relevant mining and mining-related organizations. This stakeholder network will help guide the direction of the working group towards a common, mutually beneficial end. For now, the focus is on shovel displays; however it should be noted that this work is expected to form the foundation for similar work with other equipment in the future.

Aug 1, 2013

By C. R. Whittemore

PROGRESSIVE industrial organizations have recognized the importance of maintaining an adequate reference library of volumes covering all phases of their particular branch of industry, but it has been the experience of the writer that few engineers know how to use to the best advantage this store of extremely -valuable information which has been accumulated for their service. Nor does the average engineer appreciate the fact that it is only through the current technical literature that he can keep abreast of the rapidly developing fields of engineering. The present-day ramifications of the engineering field are of such wide scope that the human mind is not capable of storing away more than a small fraction of the information available on any particular topie; yet, from time ? to time, such information would prove invaluable. An engineer can know intimately only a small part of his own branch of engineering; but he cannot afford to neglect to take the fullest possible advantage of all that is already known in his own particular field. Technical information may be obtained by one or more of the following methods: (1) by enquiring of the individual who knows; (2) by performing the experimental investigations necessary to ascertain the facts; (3) by consulting the technical literature, where a record may be found of the work of others. This last method is the one we wish to examine. Our main consideration is the question of how to use the library, but first it is necessary to give some attention to the kind of enquiries one takes to the library, and to the nature of the sources of information available.

Jan 1, 1938

By K. Perry, B. Lusk, Q. Huang, R. Honaker

"Rock dust is applied in underground coal mines to prevent the propagation of coal dust explosions. The application is conducted either dry or wet. Both methods have advantages and disadvantages however the formation of caked rock dust particles is cited as a significant concern for wet applications. A study was conducted to evaluate the effect of modifying the rock dust particle surfaces to repel water and each other by the addition of oleic acid (OA) and sodium oleate (NaOL). At a NaOL dosage of 2 lbs/ton, a contact angle of 112o was measured indicating strong surface hydrophobicity and ability to repel water. FTIR studies indicated a chemisorption mechanism which is necessary for long term stability of the surface modification. The dispersion rate of the modified rock dust samples was elevated by the application of both OA and NaOL thereby indicating a significant reduction or elimination of the detrimental effect of caking. Tests in an explosion chamber showed a 79% reduction in the dust explosion potential relative to untreated rock test applied by the wet technique. INTRODUCTION Mine explosions have been a long-time threat to underground coal miners attracting significant attention to the accumulations of combustible dusts and gasses. In the presence of sufficient oxygen and heat, the accumulations of combustible dust and gass can lead to large-scale underground coal mine explosions [Harris et al., 2010]. To alleviate the problem, rock dust such as limestone can serve both as a thermal inhibitor and a heat sink to inert the coal dust explosibility thereby prohibiting the occurrence of dust explosions [Richmond et al., 1975; Amyotte et al., 1995; Dastidar et al., 1997; Man et al., 2009]. The dispersibility of the rock dust is an important characteristic that determines the degree of explosion prevention [Greenwald et al., 1938; Mozumdar et al., 1974; Amyotte et al., 1995]. Unfortunately, the environmental conditions of an underground mine has the potential to cause caking of the rock dust which reduces the dispersive characteristics needed. The dispersive property of rock dust can be enhanced by modification of the particle surface properties by the application of chemical additives [Greenwald et al., 1938; Mozumdar et al., 1974; Spence, 2004; Vogt, 2011; Doidge et al. 2014]. The major mechanism for rock dust caking is the adsorption of water which forms liquid bridges at the particle-particle contact points where saturated solutions of soluble powder ingredients are present. Changes in temperature or relative humidity result in solvent (water) evaporation and the formation of dry bridges [Rumpf, 1958; Specht, 2006]. One method to prevent caking is creating hydrophobic rock dust to repel water from the solid surface thereby preventing the formation of liquid and solid bridges."

Jan 1, 2015

By David Sinclair, Philip B. Bucky

The dimensions and shapes of mine structures may at present be determined by (1) field experience, (2) structural calculations, and (3) barodynamic tests. § None of these, however, provide information as to the stresses, their direction and distribution in a mine structure. For the design of pillars, the placing of openings relative to working places such as gangways, haulage levels, etc., this information is desirable. Photoelastic methods provide this and, while relatively new, their application in all engineering fields is assuming increasing importance. This paper, therefore, will present the method with a few applications to mining, and with sufficient reference for further study by the reader. PART I The Photoelastic Method The photoelastic method of stress measurement determines the stress distribution in a two-dimensional model by optical means. It makes use of the fact that when a piece of isotropic transparent material, such as glass, celluloid, or Bakelite, is stressed and viewed in polarized** light a picture is seen which indicates by its color bands of light, or fringes, the magnitude of the stresses, their direction and their distribution. General Explanation The stress at any point 0 in a structure (Fig. I), may be resolved into two components, P and Q, each a pure tension or compression, at right angles to each other, called principal stresses.' To fully identify the stress, the values of P and Q and their directions or angle F must be known.

Jan 1, 1940

By David Sinclair, Philip B. Bucky

The dimensions and shapes of mine structures may at present be determined by (1) field experience, (2) structural calculations, and (3) barodynamic tests. § None of these, however, provide information as to the stresses, their direction and distribution in a mine structure. For the design of pillars, the placing of openings relative to working places such as gangways, haulage levels, etc., this information is desirable. Photoelastic methods provide this and, while relatively new, their application in all engineering fields is assuming increasing importance. This paper, therefore, will present the method with a few applications to mining, and with sufficient reference for further study by the reader. PART I The Photoelastic Method The photoelastic method of stress measurement determines the stress distribution in a two-dimensional model by optical means. It makes use of the fact that when a piece of isotropic transparent material, such as glass, celluloid, or Bakelite, is stressed and viewed in polarized** light a picture is seen which indicates by its color bands of light, or fringes, the magnitude of the stresses, their direction and their distribution. General Explanation The stress at any point 0 in a structure (Fig. I), may be resolved into two components, P and Q, each a pure tension or compression, at right angles to each other, called principal stresses.' To fully identify the stress, the values of P and Q and their directions or angle F must be known.

Jan 1, 1940

By Hideaki Tokuyama

Recovery of Ni from acidic wastewater of metal surface treatment has been investigated for reuse of the metal and water. Ion exchange equilibria between Ni ion and a strong acid cation resin, DIAION SKIB, and effective diffusivity in resin particle have been studied and they related to the concentration of HCI. The amount of adsorbed Ni for unit quantity of resin decreases with the increase in HCI concentration. This trend is remarkable for acid concentration above 0.1 kmol/m3,. The exchanging ratio of Ni2+ to H+ in resin particle is I/2 and the values of equilibrium coefficient K and maximum exchange capacity Q are I.62 and 3.16 keq/m3 -dry resin, respectively. Effective diffusivity D. determined from the observed breakthrough curve increases with increasing concentration of DC!. A prototype of moving bed has been developed and applied for the recovery of Ni from model solutions of wastewater prepared by mixing HCl and NiCl2. This apparatus allows us to control the resin flow rate by changing the cross sectional area of hole I the Teflon plate installed at the bottom of resin bed. Characteristics of Ni recovery have been clarified under various liquid flow rates. In any case for Q1, Ni ion has been effectively recovered on SKIB resin and the removed fraction was more than 99.5 %. Higher loading ratio of ion is attained at larger liquid flow rate.

Jan 1, 2003

By N. A. Smith, R. J. Fowell, J. L. Hislam

Abstract: Data are presented from two sites in southeast England, where problems were encountered in tunnelling through ground containing flint. In response to the difficulties, substantial laboratory testing programmes were initiated to determine the strength of the flints.It is shown that the strength varies very considerably, even within a single flint particle and that the practice of estimating unconfined compressive strength by a single multiplier applied to the point load strength index (Is(50)) may give misleading results. The preparation of UCS specimens for testing was found to be very difficult and it is recommended that tunnel machine capacity is assessed relative to Is(50). Résumé: Des données sont presentées sur deux sites dans le sud-ouest de l’Angleterre,où le perçage d’un tunnel dans un sol contenant du silex a posé des problémes. En consequences de ces difficultés, des programmes substatiels de recherché en laboratoire ont été initiés afin de déterminer la resistance des silex. Il est demontré que la resistance varie considérablement, même au sein d’une particule de silex, et que la pratique de estimation de la résistance en compression non confinée, (UCS) par le biais d’un simple coefficient appliqué au ‘point load strength index (Is50)’ pourrait donner des resultants trompeurs. La préparation de specimens UCS destinés aux tests s’est avérée trés difficile et il est recommandé que la capacité de la machine de perçage de tunnels soit calculée relativement au Is50. Zusammenfassung: Daten von zwei Standorten in Südosten von England, wo Probleme beim Tunnelbau durch feuersteinhaltigen Grund antraffen, sind angegeben. Wegen diesen Schwierigkeiten wurden Laboratoriumsforschungsprogramme eingeleitet, um die Festigkeit von Feuersteinen zu bestimmen. Es wurde gefunden, dass die Festigkeit sehr unterschiedlich war, selbst bei einzelnen Feuersteinstücken, und dass die Praxis, die unbegrenzte Kompressionsfestigkeit (uKf) auf Grund eines einzigen Multiplikationsfaktors vom Punktladefestigkeitsindex (Is50) abzuschätzen, zu irreführenden Resultaten führt. Die Vorbereitung der uKf Prüfstücke war sehr schwierig und es wird vorgeschlagen, dass die Kapazität der Tunnelbaumaschine in Abhang der Is50 bestimmt wird.

Jan 1, 2003

By Joe Shoemaker

Automated Spot Generation ? No Operators below the Highwall ? No Operator Wear and Tear ? Reduced Swing Time ? Single and Double Sided Loading ? Minimized Bench Width

Aug 1, 2013

By M. Soleymani Shishvan

"Continuous mining systems containing multiple excavators producing multiple products of raw materials are highly complex, exhibiting strong interdependency between constituents. Furthermore, random variables govern the system, which causes uncertainty in the supply of raw materials: uncertainty in knowledge about the reserve, the quantity demanded by the customers, and the breakdown of equipment. This paper presents a stochastic-based mine process simulator capturing different sources of uncertainties. It aims to quantify the effect of geological uncertainty and its impacts on the ability to deliver contractually defined quantities and qualities of coal, and on the system efficiency in terms of utilization of major equipment. Two different areas of research are combined: geostatistical simulation for capturing geological uncertainty, and stochastic process simulation to predict the performance and reliability of a large continuous mining system.The process of modelling and simulation in this specific production environment is discussed in detail. Problem specification and a new integrated simulation approach are presented. A case study in a large coal mine is used to demonstrate the impacts and evaluate the results in terms of reaching optimal production control decisions to increase average equipment utilization and control coal quality and quantity. The new approach is expected to lead to more robust decisions, improved efficiencies, and better coal quality management.IntroductionContinuous coal mining systems containing multiple excavators producing multiple products of raw materials are highly complex and exhibit strong interdependencies between constituents. A network of conveyor belts is used for transportation of the extracted materials to different waste dumps or the coal stockpile.Optimal decision-making in short-term planning and production control are impacted mainly by geological uncertainty associated with incomplete knowledge of the coal deposit represented in the reserve block model. These uncertainties cause deviations from expected process performance. For more robust decision-making, understanding the impacts of these stochastic elements plays a key role."

Jan 1, 2016

By R. W. Michelson

The Bureau of Mines developed computerized mathematical models to estimate the economic availability of Mesabi Range taconite concentrates; these are a quality model, a cost model, and an economic availability model. The quality model evaluates metallurgical test data; the cost model determines iron unit cost from mining and processing cost data; and the economic availability model determines quantity from geologic and ore quality data. By correlating all of the physical resource quality factors and dimensional characteristics with the economic cost factors associated with producing iron ore pellets, these three models combine to establish a final relation between iron ore reserve quantities and iron unit cost.

Jan 1, 1970

The mercury, gold, silver, copper, lead and zinc values of soils over altered and mineralised rock were determined to establish the potential use of mercury as an indicator element in geochemical prospecting. The results are presented to show that mercury can be used successfully in prospecting for precious metal mineralization in the Thames-Waihi area.

Jan 1, 1979

By George S. Austin

Perlite is rhyolitic glass with 2 to 5 percent by weight (wt.%) bound water held within the silicic-glass structure. It is often distinguished by vitreous, pearly luster and concentric perlitic fractures ("onionskin"). Occurrences worldwide are associated with Tertiary to middle Quaternary volcanic rocks. Perlite is in silicic domes, plugs, laccoliths, flows, vitric tephra, chill margins of dikes and sills, and welded ash-flow tuffs. It is a hydrated volcanic glass formed through secondary alteration of obsidian by the incorporation of water into the glass/silica structure. Post-emplacement hydration (weathering) of cooled glasses by meteoric water is the principal alteration process, but some hydration by magmatic or meteoric water during or shortly after emplacement, or hydration by water exsolved during cooling may occur. Commercial "perlite" is any volcanic glass that expands or "pops" when heated quickly to plasticity while evolving steam and thus forming a lightweight, frothy material. The expansion temperature typically ranges from 1,100 to 1,500°F. An expanded volume increase of 10 to 40 times the original volume yields expanded densities of 1.5 to 11 pounds per cubic foot (lbs/ft3). Perlite is mined by eight companies at 10 operations in six western states. New Mexico accounts for more than 80% of the total tonnage mined. The rest comes from Arizona, California, Colorado, Idaho, and Nevada. In 1992, domestic production was 571,000 short tons (st), domestic apparent consumption was 591,000 st, and the value of crude perlite was $15.3 million. In 1991, with about the same production and price of crude perlite, the gross value for expanded perlite was $101.7 million. Perlite exports in 1992, primarily to Canada, are estimated an 30,000 st; and imports, from Greece, are an estimated 50,000 st. In 1992, 70 plants in 33 states expanded crude perlite. Construction uses of expanded perlite accounted for 66% of total domestic sales. Expanded perlite used as filter aid accounted for 15%. All other markets, including use as a filler and in agriculture, accounted for 19%. Leading states for expanding perlite, ranked by order of sales, were Mississippi, Pennsylvania, California, Illinois, and Georgia. Domestic perlite encounters transportation disadvantages in some areas of the eastern United States compared to perlite imported from Greece. However, western U.S. perlite exports to Canada offset this in large part, and net import reliance for perlite is about 3% of domestic consumption. Perlite grab samples were tested at the New Mexico Bureau of Mines and Minerals Resources (NMBMMR) for their basic suitability in horticulture, construction, filter aids, and fillers/extenders using Perlite Institute techniques modified by the NMBMMR. Most commercial perlite ranged from 2.5 to 3.0 wt.% bound water for all major types (classical, granular, and pumiceous). Expanded density varied widely, but the lowest density of 1.9 lbs/ft3 was for granular. Average brightness of expanded perlite was 47.6 to 69.3%. Nonexpansibles, commonly obsidian or "dead" perlite, ranged from 18 wt.% to less than 1 wt.%, with granular perlte generally the lowest. Compacted density was not related to either perlite type or nonexpansibles present. Sieve analyses of the -50+100 mesh product showed that, in general, pumiceous perlite produces more fines and classical and granular perlite average 60 to 80% -30+100 mesh after expansion. Samples were tested for crystalline silica that ranged from below the detection limit of 0.5 wt.% to nearly 0.2 wt.%, but most tested below 0.5 wt.%. Although quartz content can be lowered in the expanded product by the expansion process, producers can further lower crystalline silica in the product by mixing low-quartz crude with high-quartz perlite before expansion. Chemical analysis by x-ray fluorescence confirms the rhyolitic composition of perlite, but indicates that surface weathering may increase the concentration of some elements, such as potassium and calcium, by infilling cracks or fissures developed during or after perlite emplacement.

Jan 1, 1995

By Lijun Xu, Jan M. Mutmansky

"Mutmansky, J.M. and· Lijun Xu, 1989. Some observations on particulates collected in underground coal mines using diesel and non-diesel equipment. Min. Sci. Technol., 9: 207-218.The results obtained when sampling twenty underground coal mine sections, each in a different mine, are outlined. The sampling effort was oriented toward a detailed characterization of coal mine dusts and thus eight-stage Anderson Model 298 impactors were used as the primary collection instrument. This instrument allowed a fairly detailed size distribution for each of the particulates sampled. Because four of the mines used diesel outby equipment and/or diesel shuttle cars at the face, it is possible to make some comparisons of the particulate distributions in diesel versus non-diesel mines.One of the more interesting results is the pattern that exists in mines lising diesels only for outby utility haulage. Particulates in these mines seem to be consistently heavy in the fine size ranges, perhaps being of significant concern to the industry. While no definite conclusions can be drawn from the limited data, a more detailed study of particulates may provide a better picture of particulate loadings.IntroductionThe subject of particulate emiss1ons from underground diesel equipment is currently a very important topic as health concerns and regulation of diesel particulate emissions have created new environmental problems for mine operators. The amount of particulate matter originating from diesels has not been extensively measured and problems of differentiating coal and mineral dust from diesel particulates make existing data questionable.However, it is necessary to make an assessment of the problem in order to solve it. It is known that particulates from diesel engines are solid aerosols formed in the combustion process. Technically, this places the particles in the category of fumes. It is also known from tests where no mineral dust could be a factor in the measurements that about 90% of diesel particles are less than 1 µm in aerodynamic diameter [3]. To measure the diesel component of a coal/diesel particulate to measure, Johnson et al. [2] have developed procedures for utilizing laser Raman spectroscopy. The determination of diesel content in a coal/diesel mixture is difficult due to the chemical similarity of the two organic materials. However, laser Raman spectroscopy, which is often used for identification of organic materials, has potential if the Raman spectra for the two materials are different and unique. The study concluded that an accuracy of ±~% could be achieved for mixtures containing up to 55% diesel particulate. The method is relatively complex and would need further development for routine application."

Jan 1, 1990

By M. Brozek

The particle settling velocity is the argument of separation in such processes as classification and enrichment in jigs. It characterizes material forwarded to the separation process and belongs to the so-called complex arguments because it is the function of particle density and size. i.e. the function of two simple arguments. The affiliation to a given subset is determined by the values of two mag-nitudes and the distribution of such argument in a sample is the function of distributions of particle density and size. The paper will present a method of determining the distribution of settling velocity in the sample of spherical particles for the turbulent particle motion in which the settling velocity is expressed by the Newton formula. Because it depends on density and size of particle which are random variable of certain distributions, the settling velocity is a random variable. Applying theorems of probability, concerning distributions of function of random variables, the authors will present general formula of probability density function of settling velocity for the turbulent motion and particularly calculate probability density function for Weibull?s forms of frequency functions of particle size and density. Distribution of settling velocity will calculate numerically and perform in graphical form.

Jan 1, 2014

By B. J. Zhao, F. L. Han, L. E. Wu, M. Chen, Y. H. Chen

Magnesium is the lightest structural metal with a density only two-thirds of aluminium and one-quarter of steel. It can be produced by electrolysis of fused magnesium chloride or high temperature reduction of the oxide. The predominant method for magnesium production is the Pidgeon process which is a batch process starting from calcined dolomite and ferrosilicon. CaF2 is commonly used in the process as the catalyst. Analyses of the slag samples and thermodynamic calculations indicated that liquid phase plays important role in the reduction process. Effects of chemistry, temperature and gas pressure on the production have been discussed and compared with the operating data. Understanding of the reaction mechanisms will provide a fundamental base for alternative processes of the magnesium production.

Mar 1, 2017

By H. R. Appell

The Bureau of Mines is experimentally converting cellulose, the chief constituent of organic solid waste, to a low-sulfur oil, All types of cellulosic wastes, including urban refuse, agricultural wastes, sewage sludge, wood, lignin, and bovine manure, have been converted to oil by reaction with carbon monoxide and water at temperatures of 350° to 400° C and pressures near 4,000 psig, and in the presence of various catalysts and solvents, Cellulose conversions of 90 percent and better (corresponding to oil yields of 40 to 50 percent) have been obtained. A continuous reactor for use at maximum conditions up to 500° C and 5,000 psig has been operated successfully, Using sucrose as a feedstock, operation in this system has permitted a simplified and preliminary chemical study of the conversion process. Oil yields of over 30 percent have been obtained with this unit.

Jan 1, 1971

By Douglas C. Brunot

Mabey Inc. is providing for the shoring design for the Naples bay Center project, located in Naples, FL. The excavation is approximately 374' long by 164' wide and is 27'-8" deep at the shoring line with a groundwater level six feet below present grade. The project Excavation is for a multi-use facility for residential and retail with underground parking. The shoring design will be incorporated into the foundation walls for the building. Mabey is using its pre-engineered Super Powerbrace Plus (SPP) wales and Mega Struts to support the excavation in two phases. The system design and the design of all the pre-engineered components are by Mabey. The foundation is supported on drilled shafts arranged with the building column grid. The excavation will be completed in two phases to allow for equipment mobilization and operation on a site with limited access. The construction sequence will begin with placement of the drilled shafts. The drilled shafts will also serve as the building columns. After the drilled shafts have cured, 630 AZ24-700 x 45 ft. long sheet piles will be installed. The sheets will be arranged in two phases, divided by a center row of piles. Since de-watering in south Florida is very expensive and often downright impossible prior to placing the seal slab, all the initial foundation and excavation bracing work will be completed with groundwater in situ. The entire excavation will be excavated to 5 ft. below ground surface to allow for the installation of the wale support brackets at 12 ft. on center, welded to the sheet piles. After the support brackets are installed, the SPP hydraulic wales and the Mega Strut hydraulic braces may be installed for both phases. Once the frames and struts are in place, Phase 1 excavation is completed, followed by Phase 2 excavation. The 4-ft. thick seal slab is then placed and cured in the wet. De-watering is now possible with the seal slab in place. Once the excavation is de-watered the leveling slab is placed and cured. The center row of sheet piles is then cut off at the top of leveling slab. With the leveling slab cured, the sheet piles have enough strength to support the excavation without the frames and struts near the ground surface. The permanent sheet piles are then seal welded for water proofing and the foundation walls are cast with the sheet piles. The design is modelled in 3D using REVIT to ensure accuracy of the design. The earth pressures are developed using Coulomb theory as there is a top frame and the frame and sheet pile are flexible and move to develop an active pressure wedge. Earth pressure uniform loads and loads from predicted surcharge are modeled in STAAD to determine load effects on the SPP frames and Mega Struts. Coulomb theory and Mabey’s structural model will be tested through monitoring with Mabey’s LIVEPin system. LIVEPin will be placed in struts for each phase of construction. The LIVEPin results will be calibrated with the structural model to determine actual frames forces and will also determine the actual earth pressures applied to the system from surrounding soil. Mabey has used the LIVEPin system in similar applications and this has helped us determine modelling accuracy.

Jan 1, 2018

By Richard P. Graff

Author?s note: Diversity in practice exists in the application of Generally Accepted Accounting Principles (GAAP) for purchase price allocations with respect to the recognition of Value Beyond Proven and Probable Reserves or VBPP, as defined by the Emerging Issues Task Force (EITF) in EITF 04-3: ?Mining Assets: Impairment and Business Combinations?. This diversity appears to arise from differing interpretations of what constitutes sufficient information to value components of VBPP in business combinations. Concerned with this diversity in practice, respected members of the mining community formed a working group which prepared an issues paper that discussed this diversity and provided recommendations for recognition and valuation of VBPP in business combinations. The working group then submitted this paper to the EITF, requesting further guidance be issued on the concept of VBPP. In conjunction with the submission to the EITF, the working group also provided this paper to the United States Securities and Exchange Commission (SEC) for review and comment. The EITF discussed this issue at its May, 2008 agenda committee meeting. However, it declined to add this topic to the EITF agenda for further consideration. Absent additional guidance on VBPP from the EITF, the working group submitted a proposed definition of VBPP to the U.S. Securities and Exchange Commission for its consideration. The following article, which is consistent with the issues paper that was submitted to the EITF and the SEC, discusses the components of and valuation techniques for VBPP. The correspondence with the U.S. Securities and Exchange Commission, which includes the proposed definition of VBPP by the working group, is attached as Appendix 1 to this article.

Jan 1, 2008