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By Richard Simon

This paper presents an ongoing study on the use of borehole breakouts to estimate in situ stresses at depth in a Canadian underground mine. Breakouts were identified using an acoustic televiewer (ATV) probe. Rock samples were tested in a laboratory to determine their failure curve. Breakout analyses were performed using a 2D failure criterion and a multiaxial failure criterion. Analyses were carried out using both short-term (peak) and long-term strengths (the latter considered here as being represented by the damage initiation threshold DIT). The analyses have shown that the use of the longterm strength and a multiaxial failure criterion leads to results that are more consistent with stress measurements performed in the field, in the vicinity of the mine.

Jun 1, 2012

By Michael S. Moats, Prashant Bagri

"In recent years with increasing concerns about energy consumption in hydrometallurgical processing, there is an ongoing attempt to use Catalytic Titanium Anodes (CTAs) for copper electrowinning. For this work, anodes with IrO2 - Ta2O5 coatings were prepared in the laboratory with the same total coating loading but varying the number of layers by changing the speed of withdrawal in dip coating. A second set of CTAs were fabricated on niobium, Ti Grade 1, Ti Grade 7 and Ti Grade 36 metal substrates. All the anodes prepared in the laboratory were characterized using standard electrochemical techniques and subjected to accelerated life testing. It was found that the coating would not adhere to the niobium substrate, the grade of titanium had a minimal to no effect on the life of the anode, and it is observed that as the coating speed slows, there is an increase in the electrochemically active surface area of the coating which seems to directly contribute to an increase in the Tafel slope of the anodes. There was inconclusive evidence on the effect of coating speed on anode lifetime.INTRODUCTIONLarge scale hydrometallurgical extraction of copper has become widely practiced over the last 40+ years. The hydrometallurgical route entails leaching, solvent extraction and electrowinning. With the increasing desire to process refractory sulphides like enargite and chalcopyrite through the hydrometallurgical route, use of hydro-processing of copper is expected to remain high.In conventional electrowinning, copper is deposited on the cathode and an inert anode is used for oxygen evolution. Presently, the most common anode material is rolled lead-calcium-tin and the cathode is 316L stainless steel (Robinson et al., 2013). This lead alloy is fairly inexpensive and is robust, providing lifetimes typically of 4+ years. The main drawbacks of lead alloys are their relatively high oxygen evolution overpotential, the need for cobalt in the electrolyte to reduce their corrosion, the contamination of cathode product by lead, and the generation of harzardous by-products (Hiskey, 1999)."

Jan 1, 2016

By S. Pinard, J. MacLellan, G. Ehlert

"The Kidd Creek concentrator is looking actively for alternative technology as means of reducing operating costs in their concentrate handling section. The use of pressure and vacuum filters to eliminate the multiple hearth dryers would have the most beneficial effect. The dryers which constitute the greater portion of concentrate drying costs consume about 35,000 m3 per day of natural gas.After the evaluation of various filters by Kidd's technology group, it was clear that, because of the low final moisture requirements of 5.5 to 6% H20, few filters were able to achieve this target economically. Lately attention has focused on the Andritz hyperbaric filter. Testwork has shown that target moistures can be achieved with an appreciable reduction in operating cost.1.0 INTRODUCTIONThe Kidd Creek Concentrator is located 28 kilometers east of Timmins, Ontario. The ore is hauled by the Kidd Creek Railroad to the concentrator where it is milled to produce separate copper and zinc concentrates.Projected concentrator feed for 1991 is 3,750,000 tonnes of ore grading 3.3 % Cu and 4.7 % Zn. The concentrate production is expected to be 458,080 dry tonnes of copper concentrate at a grade of 25.7 % Cu and 265,020 dry tonnes of zinc concentrate at a grade of 54 % Zn.Currently, there is active investigation toward cost reduction through implementation of new technologies. One area which has been extensively evaluated is the concentrate dewatering and drying section. In that section, the multiple hearth concentrate dryers represent the largest source of operating costs, mainly through maintenance and energy costs (electricity and natural gas). The replacement of these dryers with filtration technology that could produce the required concentrate dryness would represent substantial savings.In September of 1990 filtration testwork carried out by Andritz Ruthner showed that Kidd Creek copper and zinc concentrates could be filtered to below 6 and 8 % moisture respectively. In late May 1991 the laboratory testwork was duplicated on siteand one month later a 5 m2 pilot filter was tested on site. Based on the pilot test results, an economic evaluation was performed. It indicated that a reasonable payback could be realized if hyperbaric filters were to replace the existing concentrate drying section."

Jan 1, 1992

By Amir Asadi

Various damage modes that evolve with time in polymer composite laminates, such as transverse cracking, vertical cracking, delamination, and fiber fracture, as well as the interaction among them, influence the time-dependent degradation in modulus (creep) and strength (creep rupture) of polymer composite laminates. This study is focused on modeling the time-dependent evolution of transverse cracking in [90] plies of a multidirectional polymer composite laminate [0m/190n]. This model uses a two-dimensional variational analysis to determine the stress state at any given creep time. The elastic stored energy, determined using this stress state, is compared with a critical energy for fracture to determine the crack evolution with creep time. Model predictions are compared with experimental results to validate the model.

Jan 1, 2010

By T. H. Peters

The historical development of this program, dating from the construction of Nickel Park at Copper Cliff in 1917 to the various current projects carried out in the Ontario Division's program, is reviewed. Practices used to grow vegetation on stressed areas, the beneficial aspect of the improved aesthetic appearance of company properties from the point of view of public relations and the improved approach to the workplace by the employee are discussed. The revegetation of the tailings area and its gradual transformation into a Wildlife Management Area is reviewed.

Jan 1, 1978

By Brian Hart, Roger St. C. Smart, James Francis, Mark Biesinger

"There are a number of challenges involved with the surface analyses of different mineral phases from process streams in a flotation facility. The first of course is to collect samples that are representative of the process and to ensure that they remain in a pristine condition prior to introduction into the instrument. In mineral processing, sample collection from the different streams is done on site and preservation involves simply removing oxygen from the sample by bubbling nitrogen or argon gas through the sample and snap freezing with dry ice.The second challenge in studying the surface chemistry of specific minerals is to find reliable methods of mineral phase recognition. In surface analysis of mineral particles confident mineral selection can be difficult with many multi-metal minerals (e.g. chalcopyrite, pyrite, sphalerite) and with precipitated, adsorbed, reacted and contaminant species in the outermost molecular layers.In this paper we show that principal components analysis (PCA) of ToF-SIMS data provides improvement in phase recognition, particle selection and associated variations in surface species. We will demonstrate, with specific examples, that this technique can be utilized to differentiate surface chemical factors promoting (hydrophobic species) or inhibiting (hydrophilic species) flotation.Species recognition based on the PCA method in a study of Cu transfer between chalcopyrite, pyrite and sphalerite mineral mixture clearly identified a statistical difference in copper intensities between the sphalerite and pyrite phases. A similar ToF-SIMS/PCA based study applied to concentrate and tails samples collected from the Inco Matte Concentrator demonstrated extensive CuOH and NiOH transfer between the chalcocite and heazlewoodite minerals. The statistical analysis has been able to confirm some mechanisms and deny others proposed to control recovery and selectivity giving more focus on the control factors.The ToF-SIMS PCA statistical analysis has elucidated differences in surface chemistries which illustrate the discriminating depressant action of adherent aluminosilicate (gangue) fine particles and adsorbed ions on the surface of sphalerite grains. In the flotation test concentrates, HIC conditioning resulted in the removal of these gangue fines thereby improving surface collector attachment efficiency, promoting a greater recovery of sphalerite."

Jan 1, 2007

By R. C. Rowe

DR. W. F. GRAY (Contributed discussion, presented at meeting by Mr. S. C. Mifilen): Mr. Rowe's suggestion that the Institute should organize itself to interpret the needs of the mining industry to federal and provincial mines departments should commend itself to our membership as sensible and practical, and as one which these public administrative bodies may welcome. One has to start with the premise that those who head the departments of mines in question have the welfare of the industry at heart. Also, it must be postulated that the technical viewpoint of our membership is necessarily free of political considerations. With these reservations, one ventures to state that both Mr. Rowe in his communication to the present session of the Institute, and Professor M. Y. Williams in his earlier communication to the Western Meeting, on The Geological Survey and Mining Development (1), voice the regret general among our membership at the abandonment of the honoured name, and to some extent of the status, of the Geological Survey of Canada. The writer, in 1932, devoted his Presidential Address to the Institute to an appreciation of the value to Canadian mining of the Geological Survey of Canada (2), affirming the desire of the Institute "that the work of the Survey shall be maintained at the highest pitch of efficiency the resources of our country will permit, because, to scrimp expenses on the Survey, is 'to save at the spigot and lose at the bunghole'." He believes that is still the opinion of the Institute, and, if contraction of the usefulness of the Survey is feared by our members at this time, it is incumbent upon the Institute, in fairness to those who direct our government, to say so in precise and explicit terms. Mr. Rowe puts the situation pithily when he writes: "We have reached a stage in our development where a stock-taking and co-ordination of existing knowledge and data is essential. This is a part of that basic function of Dominion mineral technical services which is national and not provincial in its scope".

Jan 1, 1939

By G. Stokreef, B. R. Davis, M. Kadiyski, Alvear Montenegro, H-P. Loock, V. Montenegro

An optical probe for burner monitoring in copper flash smelting, first developed at the University of Concepcion, is being industrially tested in a collaboration between Kingston Process Metallurgy, Aurubis AG, and Queen’s University. The sensor uses fibre-optics and optical emission spectroscopy to analyze the light emitted from combusting particles in the furnace reaction shaft. Information that can be extracted from the emission spectrum includes the temperature and brightness of the flame, as well as emission lines or bands from excited atomic and/or molecular species. Laboratory proof of concept testing of the sensor was first completed in a continuously fed drop tube reactor using O2/S stoichiometric ratios between 0.8–4.0. These O2/S stoichiometries capture the industrial operating condition, which is typically less than 1. The results from lab testing justified a plant trial of the optical probe, which was done in the Aurubis Hamburg flash furnace in September 2018. From this trial, approximately 31 hours of spectral data were collected and synchronized with furnace operating data. The results from both drop tower test work and the plant trial are discussed with implications for process monitoring in the commercial furnace. INTRODUCTION Flash furnace smelting is a continuous feed, batch tap, pyrometallurgical process. It is used to treat copper sulphide concentrates and small amounts of secondary materials, such as dust generated by the process. O2 enriched air and the concentrate blend are fed into the furnace reaction shaft through the concentrate burner. As the particles fall through the reaction shaft, they heat up and ignite, causing rapid, exothermic reactions that oxidize the iron sulphide, some copper sulphide and impurities in the feed. Reacted particles fall into the settler of the furnace, melt and separate into a matte and slag, while the SO2 enriched off-gas is carried out of the furnace for heat recovery and H2SO4 production. Operation of the furnace is achieved by adjusting a limited number of control variables. The main variables are the blast feed rate, blast oxygen enrichment, SiO2 flux feed rate and CH4 combustion rate (CH4 is used when the chemical energy of the concentrate is low) all measured relative to a set feed throughput. (Davenport & Partelpoeg, 1987; Davenport, King, Schlesinger & Biswas, 2002) The batch tapping nature of flash furnaces makes operation difficult because these control variables impact each other, and product quality can only be measured when matte and slag are tapped from the furnace. This means that operation of a furnace is based on feedback control from matte and slag assays. Because of the time-delay associated with understanding product quality, there is interest in using technology to monitor the combustion reactions that happen in the furnace reaction shaft.

Jan 1, 2019

By W. A. Ahrens, J. H. McNamara, J. G. Franek

"An economical, pollution-free process has been developed for the hydrometallurgical extraction of copper from sulphide ores. The extracted copper, in the form of cuprous chloride (CuC/), is converted by reduction to copper metal. The metal is melted and fire -refined into wire bars which meet the standards of electrolytic tough pitch (ETP) copper wirebars. IntroductionThe successful development of the Cyprus Copper Process has been an evolutionary series of events covering a time span of some nine years. The original process, based on an electrolytic membrane cell principle , was abandoned in 1975 because of technical, economic and pollution problems. During the past four years, the pilot plant has been reconstructed based on a new flowsheet and operated successfully in several campaigns, some for as long as four months. The pilot-plant hydro section operates at a 225-lblhr copper rate. In October 1977, a feasibility study was completed by Jacobs Engineering, Pasadena, California. The study showed favourable economic and technical feasibility. Jacob's studies in 1978-79 revealed favourable comparative economics with other known pyrohydro processes and favourable economies of scale.The Cyprus Copper Process converts copper concentrates of varying composition into copper metal, which has been proven to be equivalent in every way to electrolytic tough pitch copper, suitable for electrical applications. This is accomplished at capital and operating costs which are estimated to be lower than those associated with any other known currently applicable technology. Also, the total energy requirement is equal to or less than any other known process and the process is essentially pollution free."

Jan 1, 1980

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

"Abstract -A test survey using the MEGATEMII airborne electromagnetic system was flown over the Iso and New Insco massive sulfide orebodies in the Rouyn-Noranda mining camp, Canada. The results were compared with data from historical systems (INPUT, DIGHEM) used to discover the deposits. The historical data show that the two deposits have comparable conductances. However, the modern MEGATEMII system reveals that the New Insco deposit has a much slower decay than the Iso deposit, and it is, therefore, interpreted to be more conductive. The MEGATEMII anomaly maps provide estimates of the location, depth, dip, and strike of the two deposits, information that was not available from the historical anomaly maps. The signal-to-noise ratio of the MEGATEMII data is greater than the historical data, yielding more sharply defined anomalies. The investigations also included a comparison between 90 Hz and 30 Hz MEGATEMII data. The 90 Hz data were found to be useful for mapping the less conductive parts of the Iso body, whereas the 30 Hz data demonstrated that the New Insco body is more conductive. Analysis of height attenuation data over the Iso body indicates that the body could be seen by the MEGATEMII system if it were buried an additional 230 m deeper (in highly resistive material). On the other hand, the INPUT system would detect the Iso body only if it were buried no deeper than an additional 60 m. Tests with the transmitter turned off showed that, for this flight, the MEGATEMII system noise levels on the processed data are about 300 pT/s. Sommaire - Dans le cadre d’un projet de recherche, un ensemble de levés d’essais électromagnétiques aéroportés employant le système de MEGATEMII a été effectué au dessus des dépôts d’Iso et de New Insco, Rouyn-Noranda, Canada. Les données ont été comparées avec les réponses des systèmes qui ont découvert ces deux dépôts (INPUT et DIGHEM). Les données antérieures montrent que le dépôt d’Iso a une conductance comparable à celle de New Insco. Cependant, les données de MEGATEMII démontrent que le dépôt de New Insco a une haute valeur de la constante de décroissance, ce qui reflète une plus forte conductivité. La carte d’anomalies de MEGATEMII indique la localisation, la profondeur, le pendage et l’orientation des deux dépôts, ce que la carte d’anomalies antérieure ne montrait pas. Le rapport de signal à bruit de MEGATEMII est plus grand que celui des données de INPUT et de DIGHEM; de plus, les pics sont mieux définis. Les tests ont également permis une comparaison entre les fréquences de base de 90 Hz et de 30 Hz. Les données de 90 Hz se sont montrées utiles pour cartographier la partie du dépôt Iso dont la conductivité est la plus faible, tandis que les données de 30 Hz montrent clairement que le dépôt de New Insco est plus conducteur. Les analyses de l’atténuation du signal avec la hauteur ont indiqué que le dépôt d’Iso pourrait être détecté par le système MEGATEMII s’il était enfoui à 230 m sous la surface (dans un milieu hautement résistant). D’autre part, le système INPUT pourrait seulement détecter le dépôt d’Iso s’l était situé à 60 m de profondeur. Les tests avec l’émetteur fermé démontrent que le niveau de bruit est des l’ordre de ±300 pT/s."

Jan 1, 2006

By L. S. Beck

"IntroductionThe Beaverlodge District is an important mineralogenic province of pitchblende and occupies about 1300 square kilometres centred on Beaverlodge Lake near the north shore of Lake Athabasca in northwest Saskatchewan (Fig. 1). Uranium City is the main settlement of the area and is serviced by scheduled aircraft from Edmonton, some 700 km to the southwest, and from Prince Albert which lies a similar distance to the south.During the summer, boats and barges supply the area from the railhead to Fort McMurray via the Athabasca River and Lake Athabasca, a distance of about 550 km. For the past few years a winter road has been maintained across Lake Athabasca to Cluff Lake to connect with Highway 155.The topography of the area is typical of the Precambrian Shield with generally low relief and a disorganized drainage of numerous lakes separated by hummocky rock ridges, muskeg and drift-covered areas. Local topography in the area is, however, extremely rugged, particularly south and east of Beaverlodge Lake, where resistant rocks form prominent hills and ridges extending as much as 180 m above lake level. Rock exposures are abundant and form over 50 per cent of the land area.History of Exploration and DevelopmentEconomic interest was first aroused by Tyrrell (1896) who described an occurrence of iron formation at Fish Hook Bay; however, subsequent evaluation of the deposit indicated it to be uneconomic."

Jan 1, 1986

By N. Mejia, Z. Xiao, D. Fragomini, A. R. Laplante

"The adaptation to platinum-group minerals (PGMs) of a protocol developed to predict gold recovery by gravity is presented. The protocol is based on three different data sets: ore characterization of gravity-recoverable minerals, description of their behaviour in cyclones and ball mills, and performance of recovery units. Examples of these are given. It is shown that the gravity-recoverable PGM (GRPGM) content can be very high. A case study at the Clarabelle mill is presented. Sperrylite is the dominant platinum mineral, and its partition curve is very similar to that of gold, despite its lower density. Its grinding kinetics is significantly higher than for gold. As a result, sperrylite accumulates in finer sizes than native gold, but can still be recovered by gravity or flash flotation. Recovery projections based on gravity recoverable data are presented.BACKGROUNDReliable modeling of gold recovery by gravity or flash flotation from a grinding circuit is based on the ability to describe the properties of gold-bearing particles in the ore, their behaviour in grinding and classification units and the performance of the equipment used for recovery, be it gravity or flotation. This is shown in Figure 1."

Jan 1, 2004

RÉSUMÉ L’estimation la plus précise possible des coûts de minage est d’extrême importance pour les études de préfaisabilité afin de diminuer les risques financiers des projets miniers. Les méthodologies existantes d’évaluation des coûts de minage ne permettent pas de les évaluer avec des marges d’erreur acceptables tout au long de l’évolution des projets miniers. Elles visent à évaluer les coûts unitaires de minage des études préliminaires de faisabilité, pour les principales méthodes d’exploitation, en prenant pour l’hypothèse que ces coûts dépendent principalement du taux d’extraction journalière. Si cette hypothèse peut être justifiée pour l’évaluation du coût d’opération, elle est fort discutable pour l’évaluation des coûts de minage. Pour démontrer que cette hypothèse est inadéquate nous avons analysé la méthode d’exploitation la plus populaire sur le continent nord-américain c’est à dire celle par chambres vides avec retrait horizontal (Hr – Horizontal retreat), ou « Longhole » et celle avec retrait vertical (VCr - Vertical Crater retreat). Il ressort de cette analyse que les coûts unitaires de minage dépendent principalement des conditions géotechniques du massif rocheux et de la largeur du gisement et non pas du taux d’extraction journalière du minerai.

Jan 1, 2010

By Ryan W. Ulansky

This paper presents the conceptual design of a magnetically-levitated skip for use in an underground mine. A skip is used to move rock from an underground mine to its surface processing facility. Conventionally the skip is raised and lowered by cables, similar to an elevator. In a magnetically-levitated skip, the cable is replaced with a linear induction or synchronous motor to provide propulsion and levitation. Removal of the cables in a magnetically-levitated skip provides many advantages over a conventional system including the ability: to negotiate corners, to travel vertically in the shaft as well as horizontally to the mining face, and to move a very large volume of material using multiple skips in a small shaft. A magnetically-levitated skip is a safer, more environmentally-friendly, productive alternative to conventional skipping. It has the further advantage to decrease haulage distances for underground vehicles.

May 1, 2002

By Claude Dufresne

The technical development of the niobium-bearing products is to a great extent influenced by the striving of the respective industries to maintain or strengthen their positions in all fields of application against competing materials. South East Asia, China, Eastern Europe and CIS are slowly becoming significant consumers of ferroniobium. As a result, the world niobium market has been stable despite the slowdown in steel production in 2001. This paper will describe present producers, capacities and the current market conditions.

May 1, 2003

By W. D. Gould, A. Kapoor, K. Morin, P. Bédard

This paper presents the results of a research study that is being conducted by the Mine Effluents Program, Mining and Mineral Science Laboratory (MMSL), Natural Resources Canada aimed at evaluating biotechnology processes for the treatment of nitrogen compounds such as thiocyanide (CNS) and ammonia (NH4-N) which are present in gold mill effluents. A sequencing batch reactor (SBR) technology, commonly used for the biological treatment of municipal and industrial effluents, was used in this study. In the SBR process, the micro-organisms were able to degrade CNS to NH4-N and NH4-N to nitrate (NO3-N) at operating conditions of two 12 h treatment cycles per day, with pH maintained in the 7.4 to 7.6 range, and at room temperature (approximately 21°C) and also at 12 °C. The end products of CNS and NH4-N biological oxidation were NO3-N and sulphate (SO4) that are relatively non-toxic. Partial removal of NO3-N was achieved by biological denitrification reactions in the SBR process. The SBR process effluent was measured to be non-toxic to rainbow trout based on the 96 h acute toxicity test. The microbial consortium isolated from the SBR treating a simulated effluent was able to effectively oxidize CNS and NH4-N to NO3-N in water samples (under batch conditions) collected at three mine sites located in Quebec, the Northwest Territories, and Yukon.

Jan 1, 2004

By F. McGravie, S. T. Solinski, W. W. Robertson

During this, the Centennial year of the discovery of the Hall-Heroult process, it seems appropriate to review some of the developments which have taken place in Canada and to explain why it has become an important world centre for the production of primary aluminum. For many years after it was recognized that the element aluminum existed, scientists were frustrated in their efforts to isolate it. In the early 1800s H. C. Oersted and Frederick Woehler prepared small quantities sufficient to measure some of the physical properties. A quasi-commercial process involving reduction with metallic sodium was developed by the French scientist H. St. Claire Deville in 1855 but the cost was very high ($30. 00 per kg). It was not until 1886 that Charles Martin Hall in the United States and P.L.T. Heroult in France, more or less simultaneously but completely independently, discovered the process which is essentially that in use today. Some of the early pioneers in the industry quickly recognized the potential of the hydro-electric resources in Canada as economic energy suppliers for aluminum production. The first commercial production in Canada was in Shawinigan, Quebec in 1901, only 15 years after the process was discovered. Subsequently operating plants were established at nine different locations in Canada (Quebec and British Columbia) (Table 1). Operations continue today in all locations except one (La Tuque). The table shows present plant capacity which for the older plants was reached in an evolutionary manner including replacement of obsolete capacity or upgrading and modernization of existing designs.

Jan 1, 1999

By J. R. Goode

"Coarse ore sorting is here defined as the physical separation of a mixture of coarse (+3/8 inch) ore particles into two or more separate groups of total value greater than that of the unsorted ore. An ore will probably be sortable if the geology of the orebody and the mining practices employed meet conditions outlined in this paper.The paper points out how sorting can substantially reduce tonnage variable operating costs because sorting can double the mill head grade of amenable ores by rejecting waste rock from the mine output. The effect of sorting on ore reserves is outlined. It is also suggested that sorting is a low cost alternative to conventional expansion.The mode of operation of the Ore Sorters Kadel 13 Photometric and MK VI A Radiometric sorters is detailed. The report concludes with detailed descriptions of the photometric sorting plant operated by the Doornfontein Gold Mining Company is South Africa and the Radiometric Sorting Plant presently under construction at the Schwartzwalder mine of Cotter Corporation in Colorado."

Jan 1, 1975

By P. G. Roden, G. A. Maki, P. J. Fullmann

"In October 1984, Rocanville Division began using a stacking system to handle potash mill tailings. Previous to this date, mill tailings were slurried to the top of the tailings pile and allowed to debrine while flowing mobile stackers. The stackers consist of cyclone packs to debrine the tailings and drag conveyors with screw discharges to deposit the tailings onto the existing pile. The paper will deal with the various aspects of the project from conception to its present state. Key Words: stacking, mobile stackers, Linatex Separators, potash mill tailings, reclaim brine ponds, settling ponds, tailings pile. IntroductionPrevious to 1984, when the stacking project was first implemented, potash mill tailings were handled as follows. Mill tailings were first debrined to approximately 65% solids using a cyclone cluster. The cyclone underflows were then introduced onto a vacuum scroll filter table. Here the tailings were further debrined and discharged into the disposal tank where the tailings were reslurried with reclaim brine and pumped to the tailings disposal site. At the disposal site the slurry was discharged onto the tailings pile and by a natural settling process the tailings were debrined with the brine ultimately collected in the reclaim brine ponds. The shape and profile of the tailings pile was controlled by building salt dikes to control the flow of the discharged tailings slurry. As the tailings pile grew in height, booster pumps were added to the disposal system."

Jan 1, 1986

By Emmanuel Henry

Few industries are more challenged by technical, political and market uncertainty than the mineral industry. Technical uncertainty in mining projects concerns the volume and quality of the resource, the processing and metallurgical parameters, the production efficiency, etc. Political uncertainty can take diverse forms and includes possibilities of change in the taxation system, risk of expropriation and risk of social instability or war. Market uncertainty depends on the market structure of the commodity; price and demand volatilities are the most common sources of market uncertainty. Intensive feasibility studies including these uncertainties and risks are required before investing up to billions of dollars in the development of a new mine. Current feasibility studies are often based on a single (or very few) mean geological scenario and simplified price profiles along the life of the project. Yet, strategic decisions, for example, the level of investment in exploration and metallurgical studies, adoption of a flexible, but more costly, mine design and risk-sharing strategies are made at an early stage. Over the last twenty years, Real Option theory has emerged as a unifying framework enabling strategic planning under uncertainty (technical, political and market). Geological and market variances (second order statistics) are pivotal for proper uncertainty quantification. The present study explores the possible benefits of combining modern geostatistical tools and financial techniques for project management. More precisely, the following questions are examined: Is geological uncertainty really an issue? Can we combine geological and price uncertainties in a unifying Real Option framework? A simple example aimed at illustrating the concepts involved is presented.

May 1, 2003