Search Documents

By William A. Griffith

The recent recession has severely impacted the performance and results of virtually all of our natural resource companies. The depressing climate continues to linger and recovery maybe sometime away. Problems remain for resource companies in the steel and petroleum industries as well as the mining business. In February, at the AIME Annual Meeting in New York, an All-Institute session presented a variety of views on the situation. A. T. Yu, chairman of ORBA Corp., Mountain Lakes, NJ, organized presentations by top management personnel of four natural resource companies. This well attended session heard management strategems for the present and views for the future. A compilation and synthesis of these presentations, gathered by Dr. Yu, are presented here for ME readers. Leading off will be William A. Griffith, president and chief executive officer of Hecla Mining Co., Wallace, ID. Other speakers presented here include Wilfred P. Schmoe, executive vice president of Du Pont Co., Wilmington, DE; Frank W. Luerssen, chairman and chief executive officer of Inland Steel Co., Chicago, IL; and Adam H. Zimmerman, president and chief operating officer of Noranda Mines Ltd., Toronto, Ontario. First, then Griffith's remarks. Introduction The key to successfully managing a natural resource company in austere times is good management in good times. In other words, position the company during prosperous times to survive the times when the well dries up. Although we know how to manage properly, for various reasons we sometimes do not do it. We forget the lessons of history. We allow ourselves to be carried away by our egos. We fail to position our companies properly in good times. As a result, in bad times we find ourselves in deep trouble. We need constant reeducation in the things we already know. In the natural resource industries, proper positioning in good times involves becoming a low-cost producer, retaining the flexibility to pull in our horns, developing a lean and effective organization, and maintaining a healthy balance sheet. Nothing improves the chance of survival during austere times as much as being able to produce at a lower cost than your competitors. In our business, that means having low-cost mines - low cost because the ore bodies are high grade or favorably located, and because they are efficiently operated. It also means recognizing the competition. The key numbers are the cost to produce an ounce of silver or gold. Nothing else really counts. And our competition is every other precious metal mine in the world. Flexibility is important when one gets stuck with a high-cost operation, often because things do not work out as we expect. It is important to be able to shut down an operation quickly and easily, without high holding costs, and without disrupting the corporate organization. A lean and mean, effective organization of competent people is vital during bad times. A company will not have that if it is not developed and maintained during good times. Finally, a natural resource company has to develop a healthy balance sheet during good times if it is to survive the bad. Money in the

Jan 6, 1985

By A. G. Naguib

In essence, any magnetic separator operates on the basis of imparting a preferential magnetic force on particles of higher magnetic susceptibility which are to be separated from particles of lower magnetic susceptibility. A certain amount of directional deviation to the particles takes place thus allowing for collecting each category of particles separately. The forces in action on particles in a wet magnetic separator of the established designs can be analyzed in a simple manner as shown in Figure 1.

Jan 1, 1972

By Keith P. Bingham

A total transportation system providing for delivery of finished products to customers and raw materials to the plant is one of the key elements contributing to Dravo Lime Co.'s success. Dravo Lime operates one of the largest noncaptive lime and limestone plants in the US at Maysville, KY, where products produced can cost as much to deliver as they do to manufacture, depending on the product itself, its destination, and mode of transportation. With delivery costs comprising a significant portion of total costs for its products, Dravo Lime has made total transportation services an integral part of its business strategy. Prices for most products produced at Maysville are quoted f.o.b. destination. In short, Dravo Lime's Distribution Department relies on the approach that says to customers: "Leave the delivery to us." The 0.9-Mt/a (1-million stpy) Maysville facility, located about 121 km (75 miles) east of Cincinnati, OH, on the Ohio River, primarily produces sulfur-absorbing Thiosorbic lime used by coal-fired electric utilities as a scrubber reagent to remove SO2 from stack gases. The product is currently supplied to eight power plants in the Ohio River valley region which extends through portions of Kentucky, Indiana, Ohio, West Virginia, and Pennsylvania. The plant ships approximately 907 kt (1 million st) of lime and a comparable amount of limestone fines each year. In addition, it arranges for delivery of about 181 kt (200,000 st) of coal to the plant. Lime is transported by covered hopper barges, covered rail cars, covered dump trucks, and pneumatic trucks. It is transferred from barges to storage silos and trucks at a terminal on the Ohio River near Marietta, OH. At another terminal near Aliquippa, PA, lime is transferred from barges to silos, trucks, and rail cars. Future plans call for rail-truck transfer terminals. To produce lime from limestone at the Maysville plant, about 181 kt (200,000 st) of coal is burned annually in three coal-fired kilns. In transporting this coal from the mine to Maysville, Dravo takes maximum advantage of opportunities for reloading carriers with limestone for outbound backhaul movement. Coal, shipped from southeastern Kentucky mines in rail cars, is transferred to barges at a river terminal in West Virginia. After it is unloaded at Maysville, the barges are cleaned with a front-end loader and then reloaded with limestone. Limestone also is backhauled in connection with truck deliveries of coal. The economics of using backhaul shipments has permitted Dravo to enter into markets in which Maysville limestone otherwise would not be competitive. The company plans to backhaul limestone in empty open hopper cars in the future. As part of its ongoing assessment of the distribution system that supports the Maysville operation, Dravo Lime recognizes that a new environment has developed between shippers and carriers because of regulatory changes in the railroad and trucking industries. Although dry bulk shipments by barge to and from Maysville have always been unregulated, other forms of transportation have not. With railroads and motor carriers now approaching varying degrees of deregulation, contracts and agreements are replacing tariffs, and rate negotiations are becoming a daily activity. Dravo Lime plans to take advantage of these transportation changes, all of which may be beneficial to both its plant and its customers.

Jan 10, 1982

By Raymond W. Peterson

The practice of Countertrade and all of its variations has increased dramatically during the last five years in great part due to the worsening world economic situation and the Third World's increasing debt problems. Conventional wisdom has held that the goods finding their way into countertrade will tend to be manufactured goods of ever increasing value added. It is my contention that this has not been the case. The continued depression of most metals and minerals prices has conspired to keep a great number of metals and raw materials in the forefront of countertrade negotiations. The concept that if a country needs hard currency it will simply sell metals into world markets for cash has been significantly modified by countertrade which encourages subsidies for raw materials which are in turn funded by higher prices for the manufactured goods which the country must import. Countertrade is a term that is relatively new to most of us who have been involved in the international trade of metals and minerals, but it is one that we will continue to hear more of in the future. Countertrade as it is generally known today had its beginnings after the Second World War in Eastern Europe. As the shattered economies of Europe struggled to right themselves, a "cashless" system of trade developed. This system included such ancient concepts as barter as well as more modern ones like bilateral clearing agreements. For over 30 years countertrade was confined mainly to the COMECON nations and their various trade protocols with Third World nations. If metals and minerals were involved, there was little disruption of world markets by such examples as Cuba shipping ferronickel and sugar cane to the U.S.S.R. for a host of manufactured goods and oil. As the world's economy began to slow in the late 70's and the debt crisis began in earnest in the early 801s, this all began to change. As more and more nations which had previously been almost totally dependent upon their mineral wealth over-extended themselves in an attempt to industralize, they concurrently found their income from minerals falling, due to the decreased demand and subsequently lower prices available in the marketplace. At first these nations attempted to balance their payments by promoting the sales of their high value-added manufactured goods. We have all heard numerous examples of U.S. companies going to sell their high technology products in Rumania or Yugoslavia and being confronted with counterpurchase requirements for machine tools, shoes or drill bits. When faced with these demands, a number of companies chose not to sell into those markets while others merrily signed up the obligations without much intent to carry them out. The Performance Bonds required were generally minimal, especially when considered in light of the high margin inherent in high tech items; and the penalty clauses were equally small or nonexistent. A third group of companies actually tried to buy the machine tools or drill bits either for their own internal use or resale but found that due to poor quality and high prices, they were faced with a difficult if not impossible task. This is not to say that no one was able to fulfill a countertrade requirement, but the success ratio on these transactions was incredibly low. This was one of the major contributing factors to the reputation that countertrade has gained as a discipline ... "that it is mostly talk and very little action." As this situation slowly evolved, both the countries imposing the countertrade obligation and the exporters assuming the obligation began to realize that something

Jan 1, 1986

By B. Basim

Novel chemicals that can be used for increasing the efficiency of fine coal dewatering were developed at Virginia Tech. Reagent A was tested on three different coal samples in laboratory vacuum filtration tests. These included flotation products from Middle Fork plant, Elkview Mining Company, and CONSOL, Inc. The tests conducted with the Middle Fork coal sample (100 mesh x 0) showed that cake moisture can be reduced by more than 10% beyond what can be achieved without using dewatering aid. This improvement was achieved at 1 lb/ton of Reagent A and 0.1 inch cake thickness. At 0.5 inches of cake thickness, the improvement was limited to 8% at the same reagent dosage. The results obtained with the Elkview coal (28 mesh x 0) showed similar advantages in using the novel dewatering aid. Depending on the reagent dosage, cake thickness, drying cycle time and temperature, it was possible to reduce the cake moisture to 12 to 14% range. In addition to achieving lower cake moisture, the use of Reagent A substantially decreased the cake formation time, indicating that the reagent improves the kinetics of dewatering. The test results obtained with CON SOL coal were not as good as with the other coals tested in the present work, which may be attributed to possible oxidation and/or contamination.

Jan 1, 1998

By Richard J. Robbins

This paper is presented with particular reference to the findings of the OECD Advisory Conference on tunneling held last July in Washington D. C. A great deal has been said about the Conference in the past few months, but it may be appropriate to review briefly the background and objectives of the Conference to better understand how the mining community can relate its underground excavation problems to the results of the Conference. OBJECTIVES OF THE OECD CONFERENCE The world demand for tunneling (the term tunneling is used here loosely to include almost all forms of underground excavation) is expected to grow at an in- creasing rate. During the decade of the ?70's, the demand is expected to at least double by comparison with the previous decade. Much of this increase in demand will be due to the rapid growth of urbanization around the world. As urban populations grow larger and denser, the conservation of surface land and the quality of the environment become more important. This aspect of the increasing demand poses a difficult challenge to those who must plan and implement urban development.

Jan 1, 1970

By Keros Cartwright

Distribution of temperature within the lithosphere can be significantly affected by the movement of ground water. Stallman (1960) presented the basic equation for the simultaneous transfer of heat and fluid in a porous medium and first used earth temperatures to determine aquifer permeability. Subsequently, studies of rock and soil temperatures were used to determine the flow of water through clay layers separating aquifers (Bredehoeft and Papadopulos, 1965; and Sorey, 1971), and to locate shallow aquifers (Cartwright, 1968; Birman, 1969). Cartwright (1968) showed that shallow aquifers maintain a nearly constant temperature throughout the year and that heat is exchanged between the aquifer and land surface. These temperature data also suggest that shallow aquifers hydrologically connected to surface-water systems have significantly greater effect on temperature distribution than aquifers in the deep artesian basins. Water wells developed in the shallow glacial and dolomite aquifers to depths of over 122 meters (400 feet) in northern and central Illinois produce water at temperatures very close to the mean annual air temperature. An analysis of the character of the rocks and soils suggests that the tem¬perature gradient should, and does, vary according to changes in thermal conductivity due to changes in lithology. This is because, under conditions of steady and uniform flow of heat from the earth's interior to the surface, a greater temperature gradient is required in poorly conductive rocks than in highly conductive rocks to transmit the same quantity of heat. Based on estimated values of thermal conduc-

Jan 1, 1972

By Jake Beale, Joe Wickline, M. Van Dyke, Ted M. Klemetti

A longwall coal mine in southwestern Virginia mining the Pocahontas #3 Coal Seam experienced a history of mining-related seismic events. The events were never large enough to cause concern until three major events occurred recording 3.4, 4.3, and 3.4 ML in 2005, 2006, and 2007 respectively. Two of the seismic events generated an air blast which damaged stoppings which fueled a mine fire in 2005 and 2007. The mine responded to the events by narrowing the longwall widths, changing ventilation controls, installing a 7-sensor seismic system around the active panel, and creating a mining hazard map to avoid similar geology in the future. All of the actions taken have prevented seismic activity from impacting mining operations, but it did not prevent other large seismic events from occurring (Van Dyke et al., 2018). In 2016, another large seismic event, measured at 3.7 ML, occurred in the gob that was reported by the local media and recorded by the United States Geological Survey (USGS). While the event did not directly impact mining operations, mine management wanted to know where and under what conditions could large seismic events occur in the future. The National Institute for Occupational Safety and Health (NIOSH) became involved to help understand what conditions precipitated these events so that future mine design could more accurately assess seismic hazards and reduce the risk to mine worker safety. Researchers at NIOSH and mine management created a seismic forecasting map that combined three factors: (1) overburden thickness, (2) sandstone thickness, and (3) the expected caving height of the gob. The criteria were developed based on the geologic data the mine collected from core drilling, e-log analysis, and fiberscope observations. The forecast map was able to provide an accuracy of 72%–85% of events 1.5 ML or greater and 100% accuracy of events that were 3.0 ML or greater based on historical data. The seismic forecasting map was applied to the entire future mining area to show areas where seismic potential could be the greatest based on current mine design planning, ultimately improving the ability of the mine operator to assess the seismic hazards surrounding active and future mining areas (Van Dyke et al. 2018). Following this research, the seismic forecasting map was implemented into the mine’s hazard recognition program and is continuously updated and evaluated prior to mining each longwall panel. This paper will cover in more detail how the seismic and lithologic data was processed and how the mine implemented a new seismic mitigation program based on the forecasting results.

Apr 26, 2022

By M. E. Rossi

Reconciliation of production information is critical to evaluating the effectiveness of the predictive models, and to allow for optimization of mining operations. Whether mining open pit or underground, mine-to-mill reconciliations can be one of management's better tools to perform proper accounting, and a very useful evaluation and optimization tool. This paper proposes a set of criteria and objectives for a typical reconciliation program; also presents a stepwise, logic approach to performing reconciliations, and discusses the benefits and costs associated with the up-keeping of the information. It also highlights some of the potential pitfalls involved, and methods used to avoid collecting misleading information. These issues are illustrated with an example of a model-to-mine-to-mill reconciliation program being implemented at an operating mine; the program involves multiple predictive models (Long-term and Short-term block models), different open pit and underground mines, stockpiling, and at least 23 different mill streams. This paper presents the initial results of the program implemented at Minera Michilla S.A.

Jan 1, 1999

Mill #4 processes mildly refractory ore from Carlin Trend deposits. Diagnostic analysis of plant operating data was used to generate a mathematical model containing the key parameters influencing the gold recovery. The model was used to direct modifications to plant operating practice. The cyanide dosing strategy was changed to reduce preg-rob gold masses and cut reagent consumption A finer grind was achieved without capital investment. The density in CIL was lowered, and tighter control was exercised over plant throughput. These changes resulted in a recovery increase of at least 2%, worth $111,000/month at $300/oz, and concomitant reagent cost savings of $55,000/month.

Jan 1, 1999

By William E. Spence

Gold was discovered at the Haile mine in Lancaster County, South Carolina in 1827 or 1828, and since that time the mine has been worked intermittently by both open pit and underground methods until its forced closure in 1942 by World War II. Production figures are incomplete, especially for the early years, but the total gold produced is estimated to have been greater than 200,000 ounces. Thus, the Haile mine has been the most productive gold mine in the eastern United States. The upper, residually enriched ores were relatively rich, but the bulk of the production has come from the mining of lower grade ores.

Jan 1, 1978

By A. M. Raichur

The selective adhesion of hydrophobic Mycobacterium phlei to coal particles is responsible for flocculation of fine coal from associated ash forming minerals. The driving force for the differential adhesion is the hydrophobic interactions between the fatty acid surface of the organism and hydrophobic nature of coal. The effect of Mycobacterium phlei on surface hydrophobicity, surface charge and mechanism of adhesion on coal and associated minerals are controlled by several factors including hydrophobicity and surface and solution chemistry of the system. Adhesion measurements indicate that maximum adhesion occurs below the isoelectric point (IEP) of the coal particles. While massive adhesion of Mycobacterium phlei is observed on coal, however, negligible amount of Mycobacterium phlei attaches to mineral pyrite and quartz.

Jan 1, 1995

By Michael Robert Hodson

I. Introduction The free market cash price of aluminium in the third quarter of 1985 is approximately $1000/tonne, well below the short as well as the long run marginal costs of production. The current disparity between marginal costs and price, as well as the pattern of prices since their high level in 1980, has led many economists to question whether prices are governed by the 'fundamentals'. Prices, some would argue, are the result of speculation; and speculation is irrational, little influenced by the fundamentals of the industry. The object of this paper is first to examine the relation between the fundamentals and price. A number of simple models are formulated and some empirical evidence is given to show that prices are not very different from costs. There are good reasons why costs and prices have fallen since 1980. Second, the connection is drawn between the fundamentals and speculation. To do this the concept of 'rational expectations' is defined and applied to a model of the aluminium industry. Then speculation is introduced into the model and the characteristics of the solution are examined. The object is to discover the new factors that determine prices and the basic change in the nature of the solution that is caused by speculation. 2. Prices and the Simple Supply-Demand Model Consider a simple model of the aluminium industry. Demand, D, is determined by economic activity, A, given exogenously, and inversely by the price, P. Supply, Q, is determined by the inverse of the rnarginal cost curve, and so varies inversely with exogenous factor costs, C, and directly with price. Price is determined by the equality of supply and demand. Given the equilibrium level of demand, price in this model is equal to the rnarginal cost of producing the required level of demand, P = MC (Dl. Algebraically, [ ] How well does this simple model explain the change in prices during the last five years? Table I shows the LME cash price and the estimated marginal cost of producing consumption during the second quarters of 1980 through 1985. The figures in the table show that price and the marginal cost of supplying demand both fell between 1980 and 1982, rose in 1983 and by 1985 had fallen again. Only in 1984 is the direction of change different. And during the 1980 to 1985 period, marginal costs fell by approximately $560/tonne while the LME cash price fell by $678/tonne. There is a correspondence between the fundamentals of cost and price over most of the individual years and the period as a whole.

Jan 1, 1986

By P. Somasundaran, D. R. Nagaraj, Tarun Bhambani, P. Patra

Flotation separation and recovery of value minerals from ores containing fibrous silicate minerals are known to be quite challenging. Earlier studies have established that the metallurgical challenges (poor selectivity and recovery, high energy consumption, etc.) arise from the impact of the fibrous minerals (with high aspect ratio) on pulp rheology, which was found be rather complex. The complex rheological behavior of ore suspensions containing particles with high aspect ratio and its influence on flotation outcome are investigated in this study. Flotation tests and rheological measurements were carried out with both ores (containing fibrous minerals) and a model system comprising nylon fibers (chemically inert) added to a copper ore that had no fibrous mineral. These studies allowed the determination of contributions of physical properties of the fiber to pulp rheological behavior. Optical microscopy images of the fiber pulp indicated that the fibers entangled to form two levels of microstructures: two-dimensional (2D) aggregates under semi-dilute (< 20% solids) conditions and three-dimensional (3D) microstructures at concentrations > 30% solids. The yield stress (σ) values determined for the fiber pulp were logarithmically related to the volume fraction of the 2D/3D structures. The relationships developed here for different ARs showed that the yield stress of a flotation pulp changes with respect to shape, size, and the concentrations of the microstructures. Implications to the effects of such entangle networks on selectivity of flotation separation are discussed.

By W. F. McDermott

One of the major improvements in ore grinding economics in North America has been the introduction of autogenous grinding. The history of this has been well documented in previous AIME presentations and in the literature. Pickands Mather & Co. has been very active in the development of autogenous grinding since 1957. This early work led to the application of autogenous grinding to the Wabush Mines ore in 1965, with the installation of 6-24 ft. diameter by 8 ft. long - 1,750 HP mills. Development work recently completed in 1971 on another ore has led to the decision to install 5-36 ft. diameter by 15 ft. long - 12,000 HP mills when this project goes ahead. Between these two decisions lies a tremendous amount of research, development, and application of autogenous grinding to a variety of ores. The Pickands Mather Metallurgical and Research Laboratory in Hibbing, Minnesota has tested, in its pilot plant facility, ores from 9 different deposits. Some of these deposits have as much difference within their own ore types as there is between the various deposits. Therefore, it is safe to say that over 20 different ore types have been tested and flowsheets developed for commercial applications. Of the 9 projects, 3 are in operation. These are Wabush Mines in Labrador, Canada, (1) Savage River Mines in Tasmania, (2) and The Griffith Mine in Red Lake, Ontario, Canada. (3) Pilot plant work has encompassed over 300 individual tests. These tests were carried out in mills that were 5-1/2, 8, and 12 ft. in diameter. Grinding power requirements for the primary autogenous milling has varied from 2 to 30 KWH/Lt of crude ore.

Jan 1, 1972

When I wrote the Railroad portion of "Mining Engineering" magazines 94 Powder River Basin (PRB) Coal Article I described to you some definite destinations the Railroads had in mind. As with many destinations, the ones I wrote of turned out to be merely stops on the way to places that we have yet to reach. Somewhere along the way we discovered that making it better is a continuous process not just something that you can do in phases I, II, III, & IV. We always knew this I suspect, but perhaps not at the awareness level that exists in RR environments in 1997. The purpose of this article is to update the 94 article, which I could do very quickly. Everything I told you we were going to do in 94 is done, end of story! But in addition to making it a very short article it would not be telling you the things RR has done beyond what we were planning in 94 and for the future.

Jan 1, 1998

By Duluth Engineers' Club, Engineers' Club of Northern Minnesota

The Mesabi Range extends continuously from near Grand Rapids, on the Mississippi River, E.N.E. for a distance of about 1120 miles to near Birch Lake, where it is covered by the large gabbro flow which forms the base of the Keweenawan series. The same formation (Mesabi) appears again near Gunflint Lake on the international boundary, and shows as far east as Thunder Bay on the north shore of Lake Superior. Between Mesabi station, on the Duluth and Iron Range Railway, and Birch Lake, although considerable exploration work has been done, there is no evidence of concentration of ore in workable bodies. The Gunflint beds are thin alternating layers of chert and hematite. Alt the workable deposits at present known, on the Mesabi, lie between Mesabi station and Grand Rapids, the greater number being St. Louis County simplified geologic column is given herewith instead of the complete correlation table given by the United States Geological survey.

Jan 1, 1920

Eldorado Resources Ltd.(ERL) uses a solvent extraction process for the processing of uranium ores. The solvent extraction plant consists of 4 extraction and 5 stripping stages with regeneration carried out as required (Wyper, 1982). Extraction is carried out with a solvent consisting of 4.5 vol % Alamine 336, 4.5 vol % Isodecanol and 91 vol % kerosene. The extraction step can be represented as In equation (1).

Jan 1, 1988

By M. C. Roberts

In assessing the future markets for a mineral from a producing district, three key aspects must be considered: 1) the future growth in markets, 2) the competitiveness of the district in terms of production costs and reserve adequacy, and 3) the competition from alternative sources of supply. This paper will focus on the first issue by developing a method of predicting the demand for phosphate from the trends in the major markets for phosphate products, primarily the fertilizer and agricultural markets. The paper will show how broad changes in the final end use markets for phosphate products have evolved over time and how this has affected the needs for phosphate rock. These trends are then projected into the future to make an assessment of future phosphate requirements.

Jan 1, 1998

By A. I. Kogut

Impurity minerals in fluorspar ores and concentrates from a deposit in Southern Africa have been studied by reflected light, transmitted light, and cathodoluminescence microscopy. The principal impurities are quartz, calcite, aegirine, apatite, ankerite, magnetite, goethite, and synchysite [Ca(La,Ce,Nd)(CO3)2F]. Cathodoluminescence microscopy was found to be very useful in studying the character of the fluorite and especially for recognizing the presence of apatite and calcite impurities. Fluorite exhibits blue, calcite shows yellow, and apatite has white, light purple, and pink cathodoluminescence. The cathodoluminescent character of apatite varies with its geological environment and position in the orebody. The results of this microscopic study show that phosphorus present in fluorite concentrates occurs principally in binary locked apatite-fluorite particles. Successive fluorite cleaner concentrates contain progressively smaller amounts of locked apatite-fluorite particles. Free apatite has been effectively partitioned to the final tailings.

Jan 1, 1995