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By W. J. Kogelmann

Roadheaders, also called Boom Miners or Boom-type Tunneling Machines have been in North America since 1968, when first introduced by Willy Kogelmann, the founder of Alpine Equipment Corp. (?Alpine?). Roadheaders were invented in Europe in the late 1940s. Machines with in-line, axial cutter heads were developed in the former Soviet Union. The British Dosco DRCL is based on the Russian PK-3 roadheader. Roadheaders with transverse ?ripper? cutter heads were invented in Hungary (1). The Austrian-made Alpine Miners of VOEST-Alpine, purchased by Sandvik AB, are based on a 1965 Hungarian license. Roadheaders are widely used in the mining and tunneling industries because they can excavate drifts, entries and tunnels with cross sections of any shape and size, can handle mixed faces, work on steep grades, and negotiate tight curves and cross-cuts. A roadheader?s only major limitation is the strength and abrasiveness of rock and minerals to be excavated. This paper covers roadheader selection criteria, improvements in reliability, attachments for flexibility (Multi-Tool Miner), and automated support systems for increased cutting time for increased shift production.

Jan 1, 2008

By Alfred Petrick, Roger Dewey

INTRODUCTION Estimation of capital and operating costs for mines and mills has long been a necessary ingredient of feasibility studies, and though many practitioners have successfully used "rules of thumb" and factor estimating methods for many years, a great deal of work is usually required to prepare an initial estimate and/or to update or revise such an estimate. Development of comprehensive mining and milling cost models during the 1970's by the U.S. Bureau of Mines and by Canadian workers (O'Hara and Mullar) provided the basis for feasibility-level cost estimates, but the numerous equations and the apparent rigor and complexity involved in preparing a project estimate using these models has discouraged many, if not most, potential users. Their acceptance was also hindered by a broad misunderstanding by many engineers in the minerals industries who had little exposure to such procedures, and by a possibly inadequate level of explanation or documentation of the parametric approach to cost estimating. The preliminary nature of most databases, geologic/engineering/ and market, available to the engineer or analyst during the early stages of a mineral project is a universal problem. Basing corporate mega-investment decisions or even individual equipment selection decisions on the usual "SWAG’s has always been a risky practice, but in the current business environment, the "guesstimates" are almost 'verboten', and are certainly becoming antiquated with the advent of both the described models, the ubiquitous microcomputer, and the nearly-ubiquitous hybrid species known as the "computerized engineer". Engineers have almost always sought techniques of cost estimation that can be applied and justified when geologic and engineering information for a mining project is preliminary and incomplete. The answer, in some cases, is the "parametric" approach. Equations, based on actual, past experience are developed to relate capital and operating costs to major physical variables such as the rate of mining or milling, with modifiers for such details as mining method, process characteristics, methods of construction, or types of equipment . Cost Engineering Standards Five major types of fixed capital cost estimates have been defined by the American Association of Cost Engineers : 1. Order-of-Magnitude estimate based on previous cost data and minimal knowledge. usually a "ratio estimate" with no better than +/- 30% accuracy. 2. Factored or ratio estimate based on major equipment costs with probable accuracy in the 25 to 30% range. 3. Budget authorization or Preliminary estimate, based on sufficient project data to

Jan 1, 1987

By A. D. S. Gillies

The provision of a suitable working environment in deep level mines requires the accurate prediction of the ventilation heat load. Mathematical models for predicting strata heat load have been under development since the 1930's and 1940's. Computer models for predicting this and other mine heat sources have been developed and refined over the last 20 years. Some empirical studies have occurred and there is an increased emphasis on the importance of underground studies. Any theoretically or empirically determined predictive method must of necessity make assumptions. Underground space with its irregular configurations and rough wall surfaces cannot be described by simple mathematical expressions. Some heat loads, such as machinery, may occur intermittently while others such as the influence of water evaporation are very difficult to quantify accurately. Current popular models for predicting mine heat load have been surveyed. In testing some of these it is often found that each estimates significantly different quantitative values for the expected load in a particular underground space under study. These differences are explained by the assumptions, simplifications and omissions implicit in each of these models. It would be easier to estimate conditions at any point if heat flow into mine air passageways could be described by simple equations with associated statistically-based confidence ranges. Use of probability distributions to indicate confidence ranges allows any heat level estimate to be expressed as a range of values with limits for maximum and minimum expected values. This approach allows many of the limitations of the popular predictive models to be overcome. A heat prediction method using this approach has been developed based on Monte Carlo simulation and tested on mine data from a number of operations. Heat flow levels which can be predicted by simple equations supported by probability distributions allow the engineer flexibility in adjusting a predictive model to the underground characteristics appropriate to the mine site under study. The influence of all heat sources present in the mine opening must be included. Prediction methods must be updated as mining systems and machinery change with time. Heat sources interact with one another and the system must therefore be understood in its entirety.

Jan 1, 1987

By James M. Reichman

Waterjet assist of mechanical cutters has been demonstrated in a variety of laboratory studies as well as on field equipment. As this technique becomes more widely accepted, it will be necessary to develop methods of minimizing the horsepower and water requirements. In machines such as roadheaders, continuous miners, and longwall shearers, the use of waterjet assist can be optimized through the development of phasing valves. Phasing valves will allow only the cutters in contact with the rock to be assisted. Since only 30 - 40% of the cutters are in contact with the rock, the saving power is significant. Flow Industries has developed a phasing system for use on roadheading machines. This system allows the operator extensive control of the angle of assist as well as the quadrant being assisted. This system could be greatly simplified for production machines and adapted for use in continuous miners and longwall machines.

Jan 1, 1985

By Jon C. Yingling

Techniques for optimization of mineral processing flowsheets are reviewed. Though not yet widely used in the minerals industry, approaches for chemical process optimization based on successive quadratic programming (SQP) algorithms may be employed to determine optimum unit design and control settings for a mineral processing flowsheet. Moreover, in certain mineral processing flowsheet applications, specialized techniques can be applied because of the nature of the system relations. These techniques offer advanta es in efficiency. Moreover, their capability exceeds that o f the SQP approaches since simultaneous optimization of circuit configuration and unit controls can be addressed.

Jan 1, 1990

By James J. Fallen

In this paper we are going to look at some things that may happen to the industrial minerals industry in the next decade. First, some concepts and definitions. What are industrial minerals? Not everyone agrees on an answer to this. So let's look at some of the opinions. Some say that industrial minerals are non-metallic minerals. As you well know, metallic minerals are used as a source material for metals. Copper, lead, and zinc are extracted from metallic minerals. But, some metallic minerals are also used for other reasons. Bauxite is used as a source of alumina and aluminum. It is also used as proppant in well drilling, as an abrasive, as a refractory material, and as a source of aluminum-based chemicals. So bauxite is both metallic and nonmetallic. There are other examples, too. Bastnasite is a source of rare earth metals and alloys but its concentrate is used in fluid cracking catalysts. Phosphate rock is an industrial mineral when used for fertilizer, but it is also the source of phosphorus. Ilmenite and rutile are sources for titanium dioxide pigments as well as titanium. So the nonmetallic designation is not adequate to define industrial minerals. Some say industrial minerals are called such because they are consumed in industry. How about your cat's litter box? Is that industry? Huge amounts of montmorillonite, attapulgite and other sorbtive minerals are pelletized and calcined to make animal litter. Doctors are trying to get people to cut down on their salt consumption. They are against people eating industrial minerals. When diamonds are a girl's best friend, they are not industrial minerals; when they are grinding and polishing media, they are. These examples show that industrial minerals are not exclusive to industry. Regardless, here is my list of industrial minerals: Abrasive Materials - Bentonite Antimony (Oxide) - Borates Asbestos - Calcium Carbonate Attapulgite - Diatomite Ball Clay - Dolomite Barite - Feldspar Bauxite (and Alumina) - Fire Clay Fluorspar - Pyrophyllite Fuller's Earth - Rare Earths Graphite - Salt Gypsum - Sand and Gravel Kaolin - Silica Sand Kyanite - Soda Ash Limestone - Sodium Sulfate Magnesite - Spodumene (Lithium) Magnetite - Sulfur Mica - Talc Nepheline Syenite - Titanium Dioxide Perlite - Vermiculite Phosphates - Wollastonite Potash - Zeolites Pumice There is some overlapping. Fuller's Earth takes in some attapulgite, bentonite, and other minerals, depending on the market. Some would like to distinguish industrial minerals by the market emphasis they receive compared to fuels, metallics, and precious metals. But even there, strict logic fails. Some industrial minerals are commodities. They are sold on a price basis against industry product specs, usually in large volumes. Phosphate rock, potash, sulfur, salt, soda ash, and other materials fit this category. Some are almost custom-designed for end-use and meet performance specs. These are sometimes called functional or specialty industrial minerals. Examples of these are ground calcium carbonate, water-washed kaolin, cosmetic grade talc, filtration grades of diatomite, perlite, and vermiculite. To determine prospects for the decade ahead, regardless of our

Jan 8, 1984

By Charles R. Nelson

INTRODUCTION The support of openings in weak sandstones can be achieved by spraying on a liquid grout which will soak in and harden to form a shell. In the St. Peter sandstone of the Minneapolis-St. Paul area of Minnesota compressive strength is increased from about 0.7 MPa (100 psi) to over 7 MPa (1000 psi) to depths of 152 mm (6 in.). A shell of this strength and thickness can pro¬vide support much as shotcrete does but at lower cost. If the spray-grouted shell is inadequate for the support needed, it provides a good base for shotcrete application, which is often difficult in weak or friable sand¬stones because the fresh shotcrete peels off along with a thin layer of sandstone. The spray-grouted technique was initially developed at the Civil and Mineral Engineering Dept. of the University of Minnesota using funds provided by RANN Div. of the National Science Foundation. It was used as temporary support in a 3-m (10-ft) wide, 3700-m (12,000-ft) long storm water drain tunnel by the Minneapolis Sewer Construction Dept. Much of the field development at this construction project was carried out with the cooperation of the personnel of the city of Minneapolis. It also was used for temporary support in a 3.3-m (11-ft) wide, 1800-m (6000-ft) long storm water tunnel built in 1978-1980 for the Minnesota Dept. of Transportation in Minneapolis. In 1975, 2000 m (6500 ft) of 1.5-m (5-ft) wide utility tunnels were spray-grouted for final lining. A 50-m (150-ft) long, 1.2-m (4-ft) wide test tunnel built at the university in 1974 was sprayed for half its length and is being observed for long-term behavior which to date (1981) is good. GROUT MATERIALS The requirements for the liquid grout are more severe than those for injection grouting. Besides being able to penetrate the rock and develop sufficient strength, it must have the following properties: (1) be nontoxic, noncombustible, and have a low odor for spraying under¬ground; (2) have controllable viscosity and setting time for adjusting to the permeability of the sandstone and the required depth of penetration; and (3) must "wet" the sandstone and develop capillary "draw" to penetrate to the required depth. A sodium silicate-based grout with the proper setting agent meets these requirements in the local St. Peter sandstone which has a uniform grain size dis¬tribution curve with D,,, = 0.1 mm, permeability of about 10 to 20 darcys, a porosity of about 25%, and less than 5% of silt size or smaller. It is 97 to 99% pure SiO2. The grout mix consists of Philadelphia Quartz Co. Type N sodium silicate and Celtite 55 Terraset Spray Grade (SG) distributed by Celtite Inc., Cleveland, OH. A volume mix ratio of 100:9:125 for sodium silicate to setting agent to water produces a grout with two to four centipoise viscosity, and initial set at 20°C of 20 min. Setting time is temperature dependent, being longer at lower temperatures, but can be adjusted by varying the setting agent concentration a few percentage points. APPLICATION The application is simple. Spray the grout on the surface until the desired penetration is achieved. Penetration rates of about 5 mm (0.2 in.) per min. are realized in the St. Peter sandstone for up to 152 mm (6 in.) of penetration (30 min. of spraying). The set time must be longer than the spraying time. The spray nozzle should be moved back and forth at a rate that minimizes runoff due to surface buildup. Both a single large hand-propelled nozzle and multiple small machine propelled nozzles have been used successfully. The pumping and mixing equipment used consisted of: (1) a hand-held, hand-pumped, 11-L (3-gal) gar¬den sprayer for test patches (mix by shaking); (2) 76-L (20 gal) batch mixing in barrels with small electric pumps for spraying and mixing; (3) two component pumps consisting of Hypro Model 5300 piston pumps (Hypro Pump Co., St. Paul, MN) on a common shaft driven by an electric motor. The sodium silicate is premixed with a portion of the water and the setting agent is mixed with the rest of the water. The two components are combined and mixed just before the nozzle; and (4) a proportioner metering the setting agent just before the nozzle with the water and sodium silicate premixed and pumped from the surface. The proportioner permits the bulk of the grout to be pumped through a single pipe or hose with only the setting agent stored underground. This is efficient and low in cost. COST The grout mix costs about $0.20/L ($0.75 per gal) in 1978 dollars. Filling all the voids 100 mm (4 in.) deep (25% initial porosity) would have a materials cost of about $5.40/m2 ($0.50 per sq ft). The labor cost of application is usually less than the material cost for normal tunnel jobs. A pump and proportioner cost less than $1000. Sodium silicate storage tanks and pip¬ing costs would depend on the particular site conditions. REFERENCES AND BIBLIOGRAPHY Nelson, C. R., 1977, "Spray Grouting for Tunnel Support and Lining," Underground Space, Vol. 1, No. 3, pp. 241¬ 245. Yardley, D. H., Nelson, C. R., Stocker, T. H., 1974, "So¬dium Silicate Spray Impregnation of Tunnels in the St. Peter Sandstone," Research Report, University of Min¬nesota, 118 pp.

Jan 1, 1982

By H. Chu

Selective Agglomeration experiments carried out to clean ultra-fine coal are examined. Effect of feed size, pulp density, coalescing agent dosage, and mixing intensity and duration on the kinetics of agglomeration are principally evaluated. A computer coded population balance model governing agglomerate size distribution and composition utilizing coalescence and breakage mechanisms is developed. Model calibration, verification and extension are analyzed.

Jan 1, 1987

By Sean E. Armstrong, Deepak Malhotra

Gold extraction from refractory ores as a percentage of total gold production is increasing. The processing technology options for treating difficult-to-process refractory ores are also increasing. The best processing option is dependent on many factors including feed grade and the cause for ore refractoriness. The causes for ore refractoriness are many foldCpreg-rob­bing, encapsulation in pyrite, arsenopyrite or silica, presence of cyanocides, presence of cyanide-insoluble gold compounds, etc.1. The first step in the process development of a refractory gold deposit is to determine the cause for ore refractoriness. The traditional approach of undertaking detailed mineralogical examination of ore types, major and minor mineral constituents and their association does not necessarily provide the metallur­gist all the information needed for characterization of gold-bear­ing ores. For process development programs it is desirable to complement traditional mineralogical methods with diagnostic leach testing, which attempts to quantify the deportation of gold in various mineral matrices. This paper briefly reviews the diagnostic leaching proce­dures and its applications for a wide range of gold-bearing refractory ores, both primary and by-product.

Jan 1, 1996

By Karl J. Ellefsen

A geophysical investigation can provide valuable geologic information needed to characterize sand-and- gravel deposits and can be an attractive complement to more common characterization methods such as drilling. Although such investigations have been conducted already, a comparison of the different geophysical methods used in these investigations apparently has never been done. For this reason, a study was initiated by the Mineral Resources Program of the U.S. Geological Survey to determine the advantages and the limitations of different geophysical methods when used to evaluate alluvial sand-and-gravel deposits. The study is focused on those geophysical methods that are commonly available, because these are most likely to be used by industry. Furthermore, the study is focused on surface geophysical methods. Heretofore, four different methods have been evaluated. Three of the four methods-time-domain electro-magnetic (TEM) soundings, frequency-domain electro-magnetic profiling, DC-resistivity soundings-are similar in that they all measure the electrical resistivity of the ground with depth. Ground-penetrating radar, however, maps changes in the dielectric permittivity and for the electrical resistivity with depth. For all, four methods, the objective is to relate the measured physical quantity to the stratigraphy of the alluvial sediments.

Jan 1, 1999

By Michael H. Leon, John A. Organiscak

Controlling worker dust exposure on longwall mining systems is difficult because the working face area serves as an immediate return during the mining cycle and the amount of airborne dust generated is directly related to production. Since improvements in longwall mining technology have significantly boosted production levels, additional technology is needed to control the airborne respirable dust generated at present and future production levels. One concept to reduce longwall worker's dust exposure is to maintain two splits of air at the face -- a clean intake split in the workers walkway, and a return (dusty) split over the face conveyor. The U. S. Bureau of Mines has recently investigated a concept to overcome the visibility handicap of face partitions by utilizing a permeable polyester mesh. The mesh material was anticipated to provide adequate air-splitting capabilities as long as the pressure differential between the face and worker walkway was minimal. Initial testing of this concept at the Bureau's Lake Lynn Laboratory showed that notable reductions could be achieved with a 1/8 in (3.18 mm) and 1/16 in (1.59 mm) mesh opening size. Dust reductions at 100 ft (30.5 m) and 200 ft (61.0 m) downstream of source were 58 and 36 pct, respectively, for the 1/8 in mesh and 79 and 55 pct, respectively for the 1/16 in mesh. Longwall application of the 1/8 in mesh showed similar results to the Lake Lynn Laboratory tests. A flame retardant mesh was used underground with portable lighting mounted on the shearing machine for face side lighting.

Jan 1, 1993

By Jaye Pickarts, Bret Boster, Jack McPartland

Pegasus Minera de Chile, Ltda. is completing three phases of metallurgical evaluation on the Pullalli project to develop a preliminary process flowsheet. A project feasibility study is in progress. The feasibility study includes a proposed process flowsheet designed based on results from the multiple stages of metallurgical evaluation. Phases I and II of metallurgical evaluation included laboratory scale heap leach and milling cyanidation testwork on multiple drill core composites and bulk ore samples from the Pullalli Project. Phase Ill included pilot scale milling/cyanidation testwork on Pullalli drill core composites. The proposed flowsheet includes selective mining and separate processing of low grade and high grade ores. Low grade ore will be crushed and heap leached. High grade ore will be milled leached for 12 hours in an agitated cyanidation circuit. After 12 hours of leaching, sands and slimes will be separated and the sands will be washed using a counter current cyclone (CCC) circuit. Partially leached and washed sands will be added to the crushed low grade ore for heap leaching treatment and permanent placement. Partially leached slimes will be thickened in a high capacity thickener and will be processed in a CIP circuit. Leached slimes will be placed in a tailings impoundment.

Jan 1, 1996

By A. Bumanis, K. S. Bawa

INTRODUCTION A rail rapid transit system called the "Metro" system is presently under construction in the Nation's Capital area. The agency responsible for the design and construction of the Metro system is the Washington Metropolitan Area Transit Authority, an independent tristate organization set up under an Act of Congress and financed by federal, state, and local public funds supplemented by revenue bonds. When completed, the Metro system will comprise nearly 100 route miles. About fifteen percent of this mileage is now under construction, while designs for the-remainder are in progress. The system is scheduled for completion in about eight years at a cost of approximately 3 billion dollars. The Metro system will involve nearly all types of construction generally used for rapid rail transit projects. About half of the mileage will be underground, comprising approximately 16 miles of rock tunnels, 10 miles of earth tunnels, and nearly 21 miles of cut-and-cover construction in earth (see Figure 1.). The remaining 51 miles of the system is planned to be constructed on the surface as at-grade or elevated structures. The system includes 86 passenger stations, 53 of which will be underground structures. Twelve of the underground stations will be large size chambers in rock while other underground stations will be constructed in earth as cut-and-cover structures. Thus, about one-fifth of the system will be designed as underground structures, namely tunnels and stations, in rock. Such designs in rock resulted from the existence of bedrock (schistose gneiss) at reasonable depths generally in the north and northwest

Jan 1, 1997

By J. A. Herbst, Y. C. Lo

An attempt has been made to parameterize the population balance model for a ball mill based on measurements of the elementary breakage process obtained using an ultrafast load cell device. Detailed insight obtained concerning the fragmentation of particle assemblies with the ultrafast load cell leads to a better understanding of ball mill grinding. The ball mill breakage function and specific selection function are derived from an average single event representing the multiple breakage events which occur in ball mill grinding. Since both the breakage function and the specific selection function depend on the loading mode in the mill, predictions of breakage mechanisms in ball mills are possible by using data obtained in various elementary loading modes. The application of this model to the description of batch ball milling behavior has resulted in reasonably accurate predictions of product size distributions for various energy inputs.

Jan 1, 1992

By Charles D. Litton

This report describes a smoke particle detector which utilizes a novel three electrode configuration and 5.0 [] source of Americium 241. The detector operates on the principle of diffusional charging by a region of unipolar molecular ions. The detector is sensitive to particle concentrations in the range of 10 to 5 20 ug/m3. The detector is intended for use primarily as an early warning fire detector but has the potential for other applications of particulate monitoring. In particular, this report adresses the potential use of the detector for monitoring diesel particulate matter (DPM). To assess the viability of this application, particle size data obtained from in-mine sampling of both DPM and dust were used to derive detector sensitivity functions for DPM and dust as a function of their mass concentrations only. These sensitivity functions are dependent upon the average diameters and size distributions of the DPM and dust. Using the derived sensitivity function for DPM, experiments were conducted in a ventilated tunnel where the true DPM mass concentrations, measured using a Tapered Element Oscillating Microbalance (TEOM) were compared to the mass concentrations calculated using the detector sensitivity function. The agreement between the two measurements was good, indicating that with additional experiments, coupled with in-mine evaluation of the detector, refinement of the device for use as a continuous monitor for DPM appears feasible.

Jan 1, 1989

By Frederick P. Schwarz

Sample preparation and analysis can impose devastating errors on assay data. Minimizing these errors by testing and procedural redesign may be critical to assure representative assays and project success. Replicate samples, taken at any volume-reduction and/or analytical step in a sampling procedure, generate replicate assay values whose relative differences constitute a set of data. Variance of this data judges the addition to total sampling error imposed by the step generating the replicates. A variance more than (11.5%)' is excessive for a single step. Sample volume increase and/or comminution at a step will reduce variance for that step. Rejects from well mineralized intercepts can provide bulk samples for testing.

Jan 1, 1989

By T. W. Camm

In this US Bureau of Mines report, mine and mill cost models are presented to make estimates of the cost to develop mineral deposits in the desert region of the southwest United States. Regression analysis was used to generate capital and operating cost equations for each model based on daily production capacity. These models are used for Potential Supply Analysis (PSA) studies by the Bureau, which analyzes the economic benefits of minerals in a region.

Jan 1, 1995

By Aarne Visnapuu

Unmodified pneumatic rock drills may have noise levels of 115 to 130 dB at the operator's position. Experimental modifications have been made to a standard drill to suppress the noise from the three main sources: the air exhaust noise, the noise radiated from the drill, and the resonance noise of the steel drill rods. A prototype model developed at the Bureau of Mines, Rolla Metallurgy Research Center, operates at a noise level below 100 dB. A close-fitting case and muffler unit, consisting of a metallic skeleton filled with viscoelastic absorber and having a durable cover, provided both muffling and noise absorption. Damping alloys were used at strategic points in the drill. Drill steel resonance noise was reduced by a constrained-layer treatment on the outside of the drill rod. The singular and combined effects of the treatments are presented in detail.

Jan 1, 1973

By Dwane K. Johnson

INTRODUCTION The small mining company faces the dilemma of how to finance the development of its properties because it doesn't have the financial resources to pay for the development costs from its own funds and doesn't have the financial strength which will enable it to borrow the money needed for development. However, with a little imagination and the right set of circumstances, a financing can be arranged for the small mining company. This paper is an attempt to describe the fundamental steps on how such financing can be obtained --in other words--what is required to provide ad- equate capital at a low cost for developing and bringing a mining property into production. Innovative financing follows from this. The basic keys for building and maintaining a successful mining company are "the four M's": Management, Market, Mine, and Money. The writer believes their order of importance is as presented and each is a building block required in order to obtain the type of financing that best suits the borrower and lender. MANAGEMENT Management must be experienced, highly organized, realistic, able to take advantage of opportunities and fulfill promises. Mine financing requires a variety of skills and concentration on the part of management. Management should have a thorough understanding derived from experience in geology, construction, mining and metallurgy and environment, marketing, and financial matters. Management must realistically visualize what will be produced at what cost and truly evaluate the risks associated so the proper security can be correctly designed. Since risk cannot be eliminated, the objective of management is to identify the risk which will be present in a given venture and assess the level of that risk which will be acceptable to the firm. Generally the risk which is present is subject to little or no modification. After management identifies and measures the acceptable risk the firm will proceed in a way that it will be least exposed. Management must determine its long-term objectives and strategies within the context of a constantly changing world. This question must be addressed before examining the sorts of risk which affect the development and operation of a specific property. The compilation and interpretation of "hard data" by competent people is good to a point but the experience and instinct of seasoned individuals are the important factors in management choosing a long-term direction for the corporation. The attitude towards risk greatly affects the goals of the corporation. Major risks in a mining project can be placed in four categories: 1. Market - Price, demand, substitution. 2. Costs - Capital, operating, financial. 3. Regulation. 4. Taxation. The feasibility study for a project is the fundamental tool used in the management of risk. Management should employ an experienced team with an established and well-understood set of ground rules for the preparation and assembly of a feasibility study. The necessary degree of realism is built into all levels of the study and if the project is technically feasible, the company's hurdle rate is then used to discount the base-case project cash flow in order to determine its financial viability. Understanding the geological significance of the mineral deposit is critical. There should be strong interplay among the pure regional geologist, the detailed mine geologist, the mining engineer, and the metallurgical engineer. The collaboration among these different disciplines will yield a feasibility study that is more reliable. The essence of this work must be appreciated and understood by the executives planning the financing. It is vital that they thoroughly understand the risks and make the proper risk assessments to cope with our rapidly changing market environment. Projecting future revenue values is paramount and is subject to much estimation. One way to mitigate fluctuations and the risk of falling prices is by selling production for future delivery. MARKET Since mining is a worldwide industry it is mandatory that bankers be aware of what is occurring in the marketplace, both foreign and domestic. The marketing of the production is a very important facet when considering financing for the small

Jan 1, 1987

By Hans von Michaelis

This paper examines the process options available for treatment of "refractory" gold ores. As more and more of the easily leached oxidized gold ore zones are exhausted, the pressure is on to find more economical ways of treating refractory gold ore deposits. Historically, refractory ores were generally concentrated, e.g. to make a flotation concentrate that could be roasted. A major development is taking place in the USA in which ores from which gold cannot be concentrated well by flotation are being treated using whole ore oxidation processes prior to cyanidation. Refractory gold ore treatment processes are generally expensive to install and operate. Thus, for a refractory gold ore project to be economically viable, the grade must generally be higher than for free milling gold ores.

Jan 1, 1993