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By G. Le Bel

The paper proposes three methods to determine optimum lifetime of a mining project1. The conclusion is that the three methods arrive at the same optimum production rate (by coincidence). It is also stated that: "The stochastic and option pricing models, in addition to providing a more realistic optimum mine life than the traditional NPV (net present value) calculation, showed that the example project has the potential for substantially higher return. By explicitly considering a project's potential risks, the stochastic or option pricing techniques can more accurately describe its probable investment performance." This discussion is intended to demonstrate that: • It is no coincidence that the three methods arrive at the same optimum production rate. • The stochastic and option pricing models do not provide a more realistic optimum mine life than the traditional NPV calculation. • The potential for a substantially higher return is misrepresented. First, a review of investment decision theory in mining is needed. Net present value is the preferred performance measure because of the flexibility offered when comparing various alternatives. However, it presents the following disadvantages: • The discount rate selection is not straightforward. • The NPV obtained represents a deterministic characterization of the variables included in the cash flow calculations, i.e. a single-point estimate.

Jan 1, 1993

By P. Malozemoff

I have no objection to using mathematics in the value appraisal of properties. The factor that is not emphasized in the paper is that very few important properties have a lifetime that reflects the initial ore reserves of the property divided by the rate of production adopted. In the majority of cases, major properties mine out several times the initial reserves. How much more will be mined out is not known, and only exceptionally gifted geologists can predict that additional reserves will be found. There is the further factor of metals price, which, over the long term, is not predictable. Another factor vitiating making calculations on initially established ore reserves is the speculative nature of exploration success. In my judgment, the life of a property, in addition to an established ore reserve, should include ample time for exploration to find additional reserves. The likelihood of additional reserves is based on the geological promise of the general area where the mine is established. This is especially important because of various risk factors associated with small orebodies, the economic life of which is about five to seven years.

Jan 1, 1993

S. F. EMMONS, Washington, D. C.: Papers of Collins, Vogt, DeLaunay, etc.-Mr. Collins tells us about facts in the veins of Cornwall that suggest secondary sulphide-enrichment is highly interesting; and I am free to confess that I have not studied the literature of that region as fully as I should have done. Nevertheless, even if it had been as familiar to me as it is to Mr. Collins, I should probably have hesitated to draw theoretical conclusions without having seen the mines myself; for the personal equation and the point of view of the observer play, perhaps, a larger part in the study of ore-deposits than in that of any other natural phenomena. One important purpose of my paper, and its publication at the time of the Washington meeting, was to call forth remarks from other geologists upon deposits with which they were personally familiar, or to lead them to re-examine such deposits with the idea of secondary enrichment in mind. Mr. Collins's remarks on Rio Tinto, which he has the advantage of personally knowing, are also interesting. With regard, however, to his suggestion-advanced as an apparent argument against our theory-that the re-precipitation of copper from cupric sulphate solution by pyrite can hardly take place there, since it would upset the commercial process, I would remark that, while he is undoubtedly right as to the fact, it does not militate against the reduction and re-precipitation of cupric sulphate in veins; since on the surface, as at Rio Tinto, there is free access of air, and consequently an excess of ferric sulphate, whereas in depth the ferric sulphate would have been mostly reduced to ferrous sulphate, and (there being no excess of acid to hold it in solution) the small amount of copper in the presence of an excess of iron sulphide would be precipitated either as sulphide or as native copper. To Professor Vogt's analogous remarks, that in his experience sulphuric acid is formed only in subordinate amount in the attack of sulphides by ferric sulphate, I would say that Dr.

Jan 1, 1902

By J. P. Zannaras

Referring to the article by R. J. Charles and P. L. de Bruyn, let us assume that W = weight of glass bar; P = weight of hammer; e = total deformation; E = unit of deformation; K = potential stress energy; E = modulus of elasticity; L = length of the bar; 7, = coefficient of inertia; h = height, ft; V = velocity, fps; and a = cross section area. The portion of kinetic energy which is effective in producing stress energy in a fixed bar struck horizontally is given by the formula [ ]

Nov 1, 1956

By S. Serata

Background Results of the above study in the August 1991 issue of Mining Engineering offer valuable lessons in the solution of cutter-roof problems. The original study plan was initiated by the discussion authors to solve the problems using the "stress control method" of mining (Serata 1976,1982; Serata, Carr and Martin, 1984; Serata and Gardner, 1986; Serata, Gardner and Preston, 1986; Serata, Gardner and Shrinivasan,1986; Serata and Kikuchi, 1986; Serata, Preston and Galagoda, 1987) However, the plan and the planner were changed to the arrangement reported in the paper. The change was considered reasonable at the time due to the mine engineers' uncertainties about the stress control method. Consequently, the basic principle of the study was shifted from the original stress control method to the method described in the paper, which will be called the "yield pillar method" for the purposes of this discussion. The paper convinces the reader that the yield pillar method fails to solve the cutter-roof problems. This doesn't mean that the stress control method also fails. Actually the contrary is true, as discussed below. Limitation of the yield pillar method The paper illustrates clearly how poorly the yield pillar method performs in solving the problem. The reason for this failure is the lack of the protective stress envelope needed to stabilize the cutter roof. Unfortunately, the protective envelope cannot be formed properly without utilizing the stress control method of mining. Changing the pillar size does not make much difference in the roof stability.

Jan 1, 1992

By P. Eadington

I feel sure that the apparent anomolies between his findings and ours arise as a result of the different experimental methods used. The modem oxygen electrode method he used is sensitive to nano moles of oxygen uptake whereas the method we used was only sensitive to micro moles at best. Furthermore, our experimental method did not permit measurements to be made in the first ten to fifteen minutes of reaction, the very time he is observing. Direct comparison of his data to ours is made difficult because of not knowing the specific area of the samples he used. However, we found that precipitation of PbS using sodium sulphide gave rise to samples of area approximately 30 m2 g - 1. Noticing the rapid decline in oxidation rate over ten minutes, as reported in Table 1, one can conclude that we could not measure the rate after ten minutes using our method. Taking the above area I estimate that at these rates only a small fraction of surface would be oxidised in a period of hours. I can only conclude that at some point a change in oxidation mechanisms occurs giving rise to a much faster rate such as we observed. Finally, I would like to comment on the apparent inertness of the homogeneously precipitated lead sulphide sample 11. This method of preparation we found to give specific areas of 20 to 30 times less than other methods and this would account for the very low oxidation rate.

Jan 1, 1982

By E. J. Garrison

A.C. Noble presents a clear and concise summary of the factors pertinent to a competent reserve evaluation of a mineral occurrence. However, I believe that he confuses the difference between a resource and a reserve. By definition, a reserve estimate includes all known economic, legal, mining, metallurgical and environmental factors impacting the recovery of the product(s) found in the deposit. A resource estimate, however, is an estimate of what is there - what is available for exploitation and should not include economic and other considerations. Only after defining the resource, its extent, location, physical and chemical properties, can an intelligent selection process begin of the extraction and processing technologies most appropriate to the circumstances encountered. The early and almost certainly inappropriate application of these often cookbook choices has probably lead many companies to walk away from good properties. (How many mines have been found in others rejects?) An example of the process is the early selection of metallurgical samples, after encouraging values are found in a few holes or surface samples, in an attempt to determine the economics of the prospect. Unfortunately, the sampler does not know how representative of the occurrence the sample is because he does not know what the deposit looks like. As a consequence, the property becomes saddled with a bad metallurgical sample that is often inappropriately used in evaluating the deposit which it does not represent.

Jan 1, 1994

By D. G. Krige

I read the paper “The jackknife approach” with interest. There appears to be a widespread misunderstanding of the kriging variance as a measure of the error variance of the kriged grade estimate of an ore block. Virtually all mineral deposits display skew frequency distributions and are subject to the well-known proportional effect. Thus, it is usual to find in an ore body, when subdivided a really into subpopulations, that the variances of the grades (or the total sills of the variograms) for the subpopulations will be correlated with the corresponding mean grades (usually linearly with the squares of the mean grades). Thus, the variogram will be stationary.

Jan 1, 1996

By R. E. Gundersen

I have to express my surprise and must send a note of warning concerning the use of polyurethane foam as described in a paper by R.N. Torbin and R.F. Kovar, entitled "Innovative Shaft Lining Method," published in your February 1989 edition. In September, 1986, 177 miners lost their lives when they were exposed to fumes downwind from a fire in a tunnel lined with polyurethane foam. Whilst polyurethane exhibits reasonable fire retardent properties in small-scale tests, mass use in a tubular configuration, exacerbated by the furnace effect of cross-radiation, can lead to a rapid, uncontrollable conflagration.

Jan 1, 1990

By C. J. Pritchard

I commend the authors on examining an interesting method of shaft lining and attempting to improve safety in a dangerous environment by remotely installing the shaft lining. It is important, though, to not trade off shaft lining safety for long-term mine safety by lining an intake shaft with combustible material. In many operations, the mine utilities are installed next to the lining of the intake shaft, supplying a possible ignition source if damaged or overloaded. Although the polyurethane studied in the paper is of relatively high density, no mention is made of the flame retardency of the samples. When exposed to heat, small amounts of polyure¬thane will melt and bum but are extinguished when the heat source is removed. If large surface areas of combustible polyurethane - a tunnel or mine shaft - are exposed to ignition heat sources that are not removed or extinguished early, an uncontrollable, fuel rich fire may result with high carbon monoxide levels, low oxygen concentrations, and greatly increased burning rates that can have devastating effects on the ventilation system and miners' safety.

Jan 1, 1990

By G. Sanders

The studies reported on in this paper were initiated to draw attention to the severe contamination problem in the Section 30 drilling program at Chimney Creek. The lithologic-subset sampling study reached a different conclusion from that presented in your paper, and I wish to comment on your subsequent analysis of the data and your conclusions. Request for more complete data In the section on subsampling, you mention that the subordinate lithologies were separated and sampled, yet only the dominant-lithology gold value is plotted in Fig. 4. In a contamination study, the reader is interested in the assay values for the individual subsets. Please include a table of the subsample assay data in your reply. Also, please indicate which analytical methods were used to arrive at the gold values in the subsampling study. Turning barren rock into low-grade ore Figure 5 is very revealing and typical of all of the cross sections in Section 30. Note the long strings of low-grade mineralization spread out for hundreds of feet below the ore zones. There were some very high gold values found in certain contaminated fractions during the subset sampling. The conclusion, here, was that the distinctive, strongly-mineralized dolomite layer was probably loose and crumbly and continued to disintegrate during drilling. This caused salting of the unmineralized rock samples below.

Jan 1, 1993

By B. Beatty

This is a response to M. J. Hrebar's paper, which tracks in detail the highly productive stripping capabilities of modern large bulldozers at two separate installations. It proves the old adage "economies of scale" and quantifies the advantage of being able to move large loads of dirt over comparatively short haul distances by sliding rather than carrying the load. This discussion examines whether a bulldozer is the most efficient way of using this geotechnical principle.

Jan 1, 1994

By R. C. Kirkman

Your interesting and well-written paper brings up the issue of the purpose or use of a mineral property appraisal, specifically the value of these evaluations when the quality and quantity of the mineral resource to be exploited have not been thoroughly investigated. I am not a practicing professional in regards to valuation of limestone investment opportunities. I simply wish to make a few generic observations about the appraisal process in order to stimulate meaningful thinking by appraisal professionals whose reports may be reviewed by professional investors and "laypersons" alike. It is my contention that the analysis given in your paper is very thorough, considering the data that was made available to you. But I would not like to be the person responsible for investment decision making without having a feel for the risk involved. Therefore, the reviewer must classify this type of analysis as relatively "subjective" because they have not received an indication of the inherent risk involved in exploiting a mineral resource. This risk can best be quantified by using probabilistic methods in conjunction with the quality and quantity of the mineral to be produced. Most appraisals passively ignore this problem. Specifically, you have accurately identified the various costs and values entering the economic appraisal process. These can usually be quantified with a great deal more certainty than the capability of the resource to provide 25 years of quality material. Also, in Cases A (West Virginia) and B (Alabama), you are fortunate enough to have previous operations data. What if there had never been production from these properties? How does a potential mineral property investor evaluate the resource capability to meet various projected financial outcomes without spending a good deal of up-front capital to drill and delineate enough quality resources for a 20-plus year operation.

Jan 1, 1990

By Eldred D. Wilson

Apropos of metals low in the series illustrated by Dr. Butler's Table II, it is interesting to note that Cress and Feldman reported traces of platinum metals in several samples of alunite. They found, chemically and spectrographically, several traces of platinum, palladium, and rhodium in alunite from Sugar Loaf Peak, near Quartzite, Ariz.; silver, platinum, and rhodium in alunite from Rio Grande County, Colorado; and traces of rubidium and gallium in various samples of alunite. These authors stated that the platinum metals appear to be present as oxides and suggested deposition by hydrothermal solutions under near-surface conditions.

Dec 1, 1956

By G. E. Agar

In the April issue of Mining Engineering there is a technical note "New size laboratory ball mill for Bond Work Index determination" written by M. Nematollahi which is very confusing. My recollection is that a description of an experimental procedure should be such that someone skilled in the art should be able to reproduce the results. Applying this test to this particular article would according to me cause a failure to be registered. There are apparently three batch laboratory test procedures referred to in the article. One of these is the traditional Bond test with all its limitations such as dry grinding followed by exclusively dry screening, two attributes which fail to simulate conventional industrial grinding. There is a second procedure (NSBM) which the author is advocating as an improvement of the Bond procedure but from the description I doubt that anyone would be able to repeat the procedure. For instance, is the grinding to be done wet or dry, if wet at what pulp density, and how is the screening to be done, wet or dry or a combination?

Jan 1, 1995

By L. Adler

The paper under discussion provides an excellent and concise study of compartment ergonomics for thin seam equipment. However, in accomplishing this, some very important operational aspects were ignored. Since these are likely to be determinant, the authors' response is solicited. The novel shuttle car with its cross-car, end-mounted compartment is operationally very different from the current one. The latter can be considered a highly mobile extension of the continuous miner or loader, with a pass-through conveyor, dump boom, and extra storage. As such, the vehicle's kinematics are the simple "I," or shuttle pattern, bent for going around pillars, with an intermediate stop at the "change-out point" (Adler, 1986). The action of the cable reel adjusts well to this pattern. The proposed shuttle car's motion either superimposes a "Y," time is lost (5 seconds) for each cycle, space is needed, line of sight is compromised, and a cable anchor is probably required at the dump. A chute is almost prohibitive in construction time and cost. The lack of a dump boom further curtails flexibility in the proposal. The value of a standard hand and opposite standard hand configuration also needs consideration. Many front-end loaders have a rocker (overshot) capability that is designed to achieve an "I" pattern. And crawler loaders sometimes use a side dumping bucket variant for the same purpose. These examples indicate the pattern's importance. For underground, thin seam application, the ram car has become popular. This is an articulated truck, battery-powered, and with an ejector dump. Its operational patterns would be similar to the novel shuttle car, except without the loading flexibility provided by a conveyor. Since the cab location of the proposed shuttle car largely obviates some of the major advantages of the present shuttle car, the question arises whether this configuration could be adapted to the current ram car and scoop.

Jan 1, 1990

By J. A. Richardson

J. A. RICHARDSON[t]-Mr. Stuckey's account of the geology of the kaolins of North Carolina suggests that they exhibit some features similar to those of the Malay Peninsula. About one half of British Malaya (some 26,000 square miles) is occupied at the surface by igneous rocks, of which granite and its associated derivatives constitute fully 90 pct. The average granite is a biotic variety. It is predominantly potassic but carries, in addition, notable amounts of soda and lime so that albite and albiteoligoclase are generally common constituents of the rock. The minor derivatives from granite "magma" likewise include potassic and sodi-potassic members. Decomposition of the granitic rocks has led to the formation of kaolin in many localities, but, in general, the deposits are rather small and, at present, none is exploited commercially. True primary or residual kaolins (as defined by Stuckey; p. 48 Vol. 173, p. 2 TP 2219) have been developed from feldspar veins, pegmatites and from other granitic differentiates which cut through the larger masses of granite; they are usually small and narrow. Kaolin has been derived from aplite, quartz porphyry, quartz micro-porphyry, felsites and microgranites belonging to a complex known as the Chegar Perah-Pulai intrusion in northwest Pahang and southwest Kelantan. The bulk of the component rocks has been more or less strongly sheared. Kaolin-like end products have been formed from both sheared and nonsheared varieties. Kaolin has been formed also by the complete breakdown of trondjemite flanking the northwestern and western margins of the complex Bukit Ranjut syenite intrusion in northwest Pahang. These trondjemites range in composition from essentially quartz-free albiteplagioclasites to quartz-free microcline rocks; they are, in effect, the syenitic homologues of white sodic and potassic granite-aplites. The granites in Malaya have generally undergone more or less severe surficial weathering leading to the production of a spongy and rather cellular or a soft "mealy" material (sandy clay) down to depths of about 100 ft; in places the granite is strongly decomposed down to 150 ft. There has occurred, therefore, widespread partial kaolinization, but, in general, no extensive deposits of good quality kaolin seem to have been formed by these processes of decay. Frequently, the katamorphic processes of desilicification have advanced beyond the production of kaolin towards the formation of lateritic end products. The more important Malayan kaoiins seem to be confined to the western alluvial plains, particularly in areas either where granite crops out at surface, or where it forms the bedrock of the alluvium. There are numerous excellent examples around Gopeng and elsewhere in the Kinta Valley of Perak. Such kaolins belong to Stuckey's groups of secondary deposits, and, like them, these also may be bedded. Field observations have established the existence of what for want of a better name is referred to by the Malayan Geological Survey as "granite wash." It is believed that granite, undergoing extensive deeply penetrative and probably rather rapid destruction under humid tropical weathering (temperature around 90°F; rainfall about 100 in. per annum; high humidity) "flowed," was moved by "creep" and, in addition, probably slumped in large waterlogged masses of sandy clay from topographic salients onto the adjacent flats. Either during this period of transmigration or later when the sludged granite detritus, after having more or less come to rest, was attacked by flowing water, differential sorting and erosion took place with the result that the resorted debris was moved and later deposited as bedded alluvium. In this way, banded "granite wash" was produced comprising alternating bands of clayey sand (resorted granite sludge) and white

Jan 1, 1947

By E. S. Cheney

Minter (1990) has provided an excellent summary of the sedimentology and theories of origin of the Witwatersrand paleoplacer Au/U deposits. However, recent stratigraphic, metamorphic and structural-tectonic research is radically changing the concepts about the Witwatersrand that now occur in most textbooks, review articles and North American minds. Presently, these concepts are biased by the past sedimentological research so well described by Minter. Specifically, the Witwatersrand Supergroup is Archean, does not occupy a depositional basin and is significantly metamorphosed and deformed. Thus, many of its sedimentary features, including the mineralogy of its ores, have been modified. The importance of the Witwatersrand ores cannot be overestimated. Since their discovery in 1886, they have produced 52% of the gold mined in all of human history (Pretorius, 1989).

Jan 1, 1991

Minter's excellent recent paper (1990) on the great paleoplacer gold deposits of the Witwatersrand and its subsequent discussion (Cheney, 1991) and reply (Minter, 1991) provide an informative, interesting and up-to-date review of the geology of these unique ores and some long enigmatic questions regarding their origin. Clearly summarized by Minter (1990) are the compelling sedimentologic and stratigraphic relationships indicating that the Central Rand Group conglomerates are ancient placers and documenting the fluvio-deltaic conditions of their transport and deposition. As Minter (1991) indicates, Cheney's discussion broadens Minter's 1990 coverage of the subject by considering higher and lower stratigraphic units and by adding detailed comments concerning recently published information about metamorphic and age relationships. Cheney's discussion and Minter's reply also readdress the old controversy of epigenetic hydrothermal vs. syndepositional placer origin for these deposits. This controversy has been resurrected by: • recent recognition of hydrothermally-altered granites (HAGS) in the older Archean basement rocks that lie unconformably beneath the Dominion Group rocks north and west of the Witwatersrand depository; • recognition of greenschist metamorphic assemblages in the Witwatersrand strata; and • the presence of interpreted epigenetic mineral assemblages and textures in some of the deposits. These relationships are briefly discussed by Cheney who suggests they may result from later, superimposed metamorphism and deformation and do not prove that the gold was introduced by epigenetic/metamorphogenic processes. In his paper, Minter (1990) cited the 1986 abstract of a subsequently published paper by Hutchinson and Viljoen (1988) who also considered many of these aspects and attempted to integrate them all in a broad genetic hypothesis. In addition, they emphasized the additional important problem of determining the source for the Witwatersrand gold. Although this issue was partially addressed by Reimer (1984), Mossman and Dyer (1985) and Reimer and Mossman (1990), the question has been generally under emphasized in earlier work and was, therefore, not stressed by Minter and Cheney. Reimer (1985) also emphasized the importance of weathering of the basin's Archean hinterland and its affects on Witwatersrand sedimentation.

Jan 1, 1992

By D. Leppert

Mr. Garrett brings up several interesting points with respect to the proposed API specification for "nontreated bentonite." However, although not explicitly stated, these specifications are being written based strictly on bentonites from the Wyoming/South Dakota area. Other sodium bentonites may be suitable for use as drill mud but will be unacceptable since the specifications are designed for Wyoming bentonites. Regardless of the API's intent that its specifications are intended only as guidelines, they are generally adhered to on an international basis and, for practical purposes, might as well be chiseled in stone. Estes (1986) notes that the quality of bentonite available from Wyoming producers has steadily declined since the early 1960's. The plastic viscosity: yield point (PV:YP) ratio was included in the current API 13A specification primarily to prevent excessive polymer treatment of lower quality bentonites to make drill mud. However, with development of polymers designed to control YP, this specification cannot ensure that only high-quality bentonites are used for drill mud. Nor will the new specifications for untreated bentonites. Other sodium bentonites are available. Bentonite produced in southeast Oregon demonstrates superior performance characteristics without addition of polymer or other chemicals. However, the exceptionally high purity of these deposits leads to a relatively high YP:PV ratio since the naturally high YP probably results from the higher purity and smaller particle size of this bentonite (Rath, 1986 and personal communication). These bentonites typically have a smectite component exceeding 90% (Rath, 1985), compared with 70% to 75% smectite for typical Wyoming bentonites, as determined by X¬ray diffraction and tests for colloid content. As evident from the accompanying table, the untreated Oregon bentonite has excellent rheological properties, though different from Wyoming bentonites due to the high purity. Additionally, this bentonite reacts well with polymers typically used in the oil industry, making it eminently suitable for use in a low-solids mud system. The extremely low grit content, less that 0.5% on a 75 mm (200-mesh) wet sieve, greatly exceeds the standards set for Wyoming bentonite. Optimum rheological properties are obtained at a higher moisture content than Wyoming bentonites. At 10% moisture, API 13A maximum, the clay is overdried, again reflecting the high smectite content. In summary, the specifications proposed by the API Task Group will ensure that only Wyoming producers can supply "nontreated" bentonite to the oilfield since specifications are

Jan 1, 1989