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By Lawrence Devon Smith

"The concept of risk is well established in the mining industry. It is acknowledged when estimates of reserves are expressed as proven or probable, when mining and metallurgical recoveries are applied to the ore, and when contingencies are added to costs. However, it is difficult to provide a quantitative assessment of risk. The significant sources of risk in a mineral project and how these are addressed in project evaluations are discussed. The discount rate is examined as a fundamental means of reflecting risk in discounted cash flow evaluations. Current industry practice is discussed, and a methodology for the analysis of risk levels is proposed that assesses the constituent components of the discount rate: real interest, mineral project risks, and country risk.IntroductionThis paper examines the components of the discounted cash flow discount rate and proposes a method of estimating project-specific discount rates. The motivation for this work comes from experience of project evaluations in which owners and purchasers had agreed on virtually every aspect of the evaluation except how much the project was worth. Agreement was reached on reserves, grad~, recovery, capital costs, operating costs, taxes, and, by combining these components, even on the fmal cash flow values. The only difference in opinion concerned the discount rate to be used in the calculation of the net present value. Depending on the life of the project, such differences of opinion can cause a variation of more than 50% in the value placed on a project! This is illustrated in Figure 1."

Jan 1, 2003

By F. Hassani, D. O’Donnell, M. Momayez, P. Guevremont

Shotcrete is a practical and economical support system in many Canadian underground mines. Although shotcrete technology has gained acceptance in the mining industry, there are some problems that have emerged with respect to quality assessment and thickness measurement of the liner. This paper presents recent tests performed with miniature seismic reflection technology (MSR) developed and patented at McGill University primarily for thickness measurement of this heterogeneous liner. MSR is also capable of providing information regarding the quality of shotcrete in terms of its mechanical properties such as modulus of elasticity and Poisson’s ratio. Work was performed on site in an underground mine in Ontario, Canada. This paper also presents the results from laboratory tests performed on fiber-reinforced and non-reinforced shotcrete panels that were used to assess the P-wave velocity in both materials. The results of these tests were used in a second site investigation. The NDT thickness measurements showed good agreement with direct thickness measurement such as coring. In addition, the MSR technology has the advantage of being more accurate and more affordable compared to other non-destructive testing (NDT) systems in the market.

Jan 1, 2002

By D. Prince, G. Nollet

"Since 1994, Aur Ressources has operated Louvicourt mine, a zinc and copper mine close to Val d’Or, at a rate of 4300 t/d. Ever since the start-up of the plant, management has encouraged innovative approaches in reliability.The first of three papers will discuss the vibration monitoring program in place. The program will be described and two examples will be given: detection of a rolling bearing defect on a pinion driving the ball mill and identification of wear on the bearings of the flotation cells. Figures on the return on investment and the costs of a monitoring program will also be given.The second article will discuss the lubrication aspect. Since the establishment of a good monitoring and oil analyses, Louvicourt mine decreased its oil consumption by more than 38 000 L/yr. In addition, the company set up an oil regeneration system that restores the original properties of oil.The third article will cover the management aspect. Work organization as well as the management philosophy enabling the employees to push predictive technology to higher levels will be examined in detail. The key elements which made it possible for Louvicourt mine to position itself among world-class companies in the organization of maintenance will be discussed. IntroductionThis article is the second of three on predictive maintenance at the Louvicourt mine operated by Aur Resources Inc. The first article, published in the October 2002 issue, was about vibration analysis for rotating machines. This article describes how lubrication and oil analysis for stationary machines permitted Louvicourt to save more than $150,000 within two years and presents the evolution of the oil analysis program.Louvicourt mine, located near Val-d’Or, Quebec, is a copper and zinc mining and milling operation that processes 4300 t/d of ore and employs 289 people. Production began in 1994. Louvicourt mine is a partnership between Aur Ressources (30%), Teck Corp. (25%), and Novicourt (45%)."

Jan 1, 2003

By Keith Haddock

"The Sheerness Mine, a new surface coal mine located near Hanna, Alberta, went into full production in mid-1995. The mine, which is operated by Luscar’s subsidiary Forestburg Collieries (1984) Ltd., has the design capacity to supply up to 2.1 million tonnes of sub-bituminous coal per year to the adjacent Sheerness Generating station under a 30-year contract. This paper documents the construction phase of this project and highlights the major equipment purchases as well as the construction of the mine facilities. The paper also focuses on some of the areas where cost savings have been achieved that have allowed the mine to come on stream six months ahead of schedule, and under budget. Project ReviewMine DescriptionThe Sheerness Mine is located 25 km southeast of the town of Hanna in southeastern Alberta (Fig. 1). The mining property occupies the western portion of the Sheerness CoalField and borders the Montgomery Mine, operated by Manalta Coal Ltd. in the east, and Highway 36 in the west. The Montgomery Mine and the Sheerness Mine exclusively supply the total coal requirement of the adjacent Sheerness Generating Station. The station is owned jointly by Alberta Power Limited (APL) and TransAlta Utilities Corporation (TAU). APL is the operator. Manalta’s Montgomery Mine has supplied coal to the Sheerness Station since its opening in 1986. Coal is shipped by truck from the mines over a network of haul roads to the coal receiving hoppers located on the east side of Highway 36."

Jan 1, 1997

By J. Paraszczak

For mining companies facing strong international competition and unfavourable commodities’ prices, automation of underground operations has the potential to increase productivity and help cut costs. However, despite considerable technological progress in this field, there still remain many problems to overcome. Furthermore, successful implementation of automation depends also on numerous operational, organizational, and even human factors. In this context, this paper briefly reviews technological progress with regard to different underground operations. Following that, several issues related to implementation of automated equipment and systems are presented and discussed. Particular emphasis is put on the factors whose importance is often underestimated. Some recommendations in this respect are also given. It is stated that the success of an automation project is a function of many “winning conditions,” which may be created through very thorough planning and preparation. It is also underlined that despite achievements made, a vision of a man-less underground mine is not yet as much a matter of near future as it may seem.

Jan 1, 2004

By R Thomson

The use of uranium metal in non-ferrous metallurgical practice is dis-cussed with reference to its alloying behaviour and chemical activity. It is suggested that the more promising applications are in the treatment of molten metals to combine with impurities. Mines Branch work along these lines is described for copper, zinc, magnesium, aluminum and nickel alloys. It is shown that a cop-per-uranium master alloy (25 per cent U) successfully deoxidizes molten copper without detriment to the electrical or mechanical properties of the product at residual uranium levels of up to 0.8 wt. per cent. Additions of uranium to alpha brass in amounts greater than the lead impurity content were found to remove the deleterious effect of lead on hot-workability. Similar deoxidizing and malleableizing effects were found with uranium additions to nickel. It is thought that uranium forms stable intermetallic compounds with many impurity elements. A significant malleableizing effect can therefore be expected in the presence of other elements besides lead.

Jan 1, 1963

By Abdelkabir Maqsoud

Different management options and rehabilitation strategies are available for mine wastes that produce acid mine drainage (AMD). One of them consists in building a cover with capillary barrier effects (CCBE) on the tailings to limit the availability of oxygen, an essential component of the chemical reactions leading to the generation of AMD. Prior to cover construction, a monitoring strategy must be established to evaluate the response and performance of the cover system. The key parameters to monitor should include matric suction and volumetric water content in the CCBE, oxygen flux (and/or oxygen concentration) through and below the cover, and the main meteorological parameters for the impoundment. In this paper, different techniques available to measure the targeted parameters are described and their main properties are given. Recommendations (based on existing cases) on the location and the number of monitoring stations and on the measurement frequency for each monitored parameter are also proposed.

May 1, 2007

By A. E. Hilder

Introductory The following pages present the results of field investigations, laboratory and commercial tests, drilling, surveying, and preliminary development of the refractory clays which have been discovered recently in the township of Kipling, at the foot of Long rapids on the west side of the Mattagami river about 57 miles north of Kapuskasing and approximately 7 miles north of Smoky Falls, the terminus of the privately owned railway operated by the Spruce Falls Power and Paper Company, Kapuskasing (see Figure 1). Investigations on the clays of northern Ontario have been carried on over a period of seven years by officers of the Ontario Department of Mines, and I am indebted to the information published by that Department in reports by W. S. Dyer and A. R. Crozier, as well as?by Professor R. J. Montgomery, of the Ceramic Department, University of Toronto. It was, in large measure, the data given in the 37th, 38th, and 42nd Annual Reports of the Ontario Department of Mines that led me to make a personal investigation of the Mattagami River clays, with the result that we now have a commercial undertaking that will develop eventually into an industry of considerable importance in supplying the central manufacturing districts of Canada with refractories that heretofore have been largely imported from the United States. An extract from the 42nd Annual Report of the Department, Part III, 1933, page 75, reads as follows: "As for the refractory clay, the deposits are undoubtedly very large, but what is urgently needed is a deposit near the railway under sufficiently shallow overburden for recovery by stripping'. Having previously made an investigation of the clays adjacent to the Temiskaming and Northern Ontario railway, and these clays proving unsuitable, I turned my attention to the outcrops of refractory clays on the Mattagami river, first reported by Keele in 1919. This area offered possibilities within the economically permissible distance from rail transportation.

Jan 1, 1935

By C. Díaz, M. Barati

Prof. Torstein Utigard's untimely death, in the spring of 2012, put an abrupt end to a meritorious career in the field of high temperature chemical process metallurgy. As an academic in the Department of Materials Science and Engineering of the University of Toronto, Torstein made solid contributions to the advancement of knowledge pertaining to production and refining of both nonferrous and light metals, and to the development of inquisitive and innovative young people in extractive metallurgy. In this profile, the authors highlight aspects of Torstein's rich personality and of his contributions to his field of expertise.

Jan 1, 2015

By D. D. Bell

This paper presents the history of uranium procurement and demand, and takes a look at future requirements. The three basic conclusions drawn are: (1) the productive capacity of former and existing producers whose operations may be profitably reactivated is insufficient to meet demand projected beyond 1975; (2) reserves in the $5 -$10 price range do not provide the flexibility to sustain production at the high rates required in the late 1970's; and (3) only higher prices can overcome these deficiencies, as this would provide sufficient inducement for the industry to explore for and develop new reserves and productive capacity.

Jan 1, 1967

By L. H. Michaud

"Albian Sands Energy (ASE), an oil sands surface mining and extraction operation, is currently undergoing start-up and is scheduled to ramp-up to full production by mid-2003. Startup includes the selection and implementation of over 75 IT systems or computer applications which include: engineering applications; systems required to control mining activities, maintenance, the processing plant and utilities; and also systems required to run the company, such as human resources, finances and inventory/ warehousing.This paper outlines the processes used for the selection, implementation and integration of these systems in order to optimize the use of information and to meet the technical, business and IT requirements of the company. The first step in ASE’s approach to identifying system requirements is the development of a business activity model, outlining all tasks involved in running the operations. The computer applications required to accomplish each task are then identified by having the IT team work closely with each technical and business unit. Historically, at some companies, the selection of systems has been led by the IT team or by consultants, with little input from the technical or business units. Typically, this results in products that do not meet the company’s expectations. To ensure a more positive outcome, ASE believes that it is imperative that the company’s technical and business people be closely involved in the selection process.Integration of the IT systems is also key, including linking all applications through a data warehouse and EDMS. Over 120 required integrations have been identified. This ensures the storage of all data in only one location, data security, and easy data and document retrieval for all requirements throughout the company"

Jan 1, 2003

Mining Subscribes to Murphy?s Law Personal observations on the past ?Perfect, benign deposit mines can be screwed up-spills and concentrate handling issues ?Long term contamination and water management assessments inadequate ?The ?permitting mentality? and its effects on the application of proponent and regulator resources ?Reliance on simple principles but nature and chemistry is more complex

May 1, 2010

By H. E. Pawson

"COMMON METHODS OF ELIMINATION: The four methods most frequently used to dispose of cyanide wastes are:1. Oxidation2. Dilution with water or with cyanide free wastes3. Acidification and dilution of resulting gas with air4. Alkaline ChlorinationMost operators practice a combination of the first two methods, allowing oxidation and dilution of cyanide waste in tailings ponds. Then, pond effluent is introduced to a stream for further dilution andoxidation which is expected to take care of the cyanide. This method oftreatment does work to a certain degree. Atmospheric oxidation in tailings ponds and in receiving streams chemically breaks down the cyanide radical to form carbon dioxide and nitrogen.2(CN) + 202 2 CO2 + N2The monetary advantage to this method is obvious to the operator but too frequently though, climatic conditions are ignored. Length of winter, and reduced flow of the receiving stream in summer, adversely restricts the result of this combined method. For those of us who rely mainly on dilution it would be wise to remember that 70 million pounds of water are required to dispose of one pound of sodium cyanide (1).The third method outlined involves addition of acid in a closed vessel and venting resulting gas to atmosphere with or without air dilution by mechanical means. Cost, safety and some form of secondary treatment to complete destruction of cyanide remaining in the solution usually make this method prohibitive.The alkaline chlorination method is the one most commonly accepted for treating cyanide bearing wastes since it is felt that cyanide is completely eliminated in this manner."

Jan 1, 1973

By Milton C. Graves, Marcos Zentilli

"Gold has been reported from most geological environments in Nova Scotia; however, virtually all production (circa 2,000, 000 troy ounces; circa 60 tonnes) has come from that part of the province to the south of the Glooscap Fault which is underlain by Lower Paleozoic rocks of the Meguma Group. Over fifty concordant sets of quartz-carbonate-arsenopyrite veins have seen production. The host rocks are greenschist-grade equivalents of Cambro-Ordovician flyschoid quartz wackes and shales folded and metamorphosed during the Devonian Acadian Orogeny. The veins were emplaced under conditions of greenschist-grade regional metamorphism and under the same conditions of tectonic stress that later resulted in the regional folds and penetrative, axial-plane slaty cleavage. Rapid filling of hydraulic fractures caused by excess metamorphic pore fluid pressure under Acadian tectonic stress conditions can account for the geometry and paragenesis of these veins.The ultimate source for gold deposits in most greenschist-grade domains remains in doubt, but these domains seem to have had ample gold within them available for mobilization. The work done, to date, on the gold geology of Nova Scotia suggests that regional greenschist metamorphism was an effective mobilizer and a potential concentrator of Au, As, W, Fe and S from these vast reservoirs.In rocks of pre-Acadian age north of the Glooscap Fault, gold occurs as an important accessory in volcanogenic massive sulphide ore, as a minor constituent in other types of basemetal concentrations and in one small concordant group of quartz veins.The post-Acadian metallogenetic domain, which overlies and overprints the two older domains, contains small amounts of gold in many mineralizing environments. Veins, with stibnite and gold, cross-cut crystalline rocks. Disseminated gold is present in basal conglomerates of post-tectonic molasse. Gold has been a by-product of Mississippi Valley-type Pb-Zn-Ba-Sr deposits in Lower Carboniferous sedimentary rocks and has been reported with Pb-Zn-Ba-F in veins which cross-cut Lower Carboniferous and older rocks. Small post-glacial placers have also seen minor production."

Jan 1, 1982

By N. C. Clarke, T. Wu, M. le Page, K. J. Henley

In 1994, Gold Mines of Australia acquired the rights to the historic Mt. Lyell copper mine, and commenced a feasibility study into expanding production. The ore was shown in laboratory tests to be amenable to single-stage, fully autogenous grinding (FAG) of underground primary crushed ore, and this route offered the maximum cost savings. Flotation performance was expected to be enhanced. However, batch flotation tests done on pilot-scale autogenously ground ore showed an unexplainable recovery loss of between 1% and 3% Cu. A second pilot plant trial was set up, with the ground product feeding banks of continuous flotation cells. Single-stage FAG, FAG/pebble and FAG/ball circuits were tested. Results confirmed a loss of about 3% recovery with single-stage FAG milling. The FAG/ball circuit eliminated the loss. Analyses showed that autogenous milling probably produced more chalcopyrite/pyrite composites and that recovery of these composites was lower than with ball milling. In size fractions below about 53 microns, where chalcopyrite is well liberated, copper recovery was less affected by milling method and flotation selectivity. It was concluded that for the Mt. Lyell situation, a FAG/ball circuit was preferable to single-stage FAG.

Jan 1, 2002

By J. S. Stickling, P. J. Whittaker, N. O. Lotter

"Assessment of opportunities to improve mineral processing performance in existing concentrators and in describing undeveloped orebodies is key to improving the business case of a mining company. This assessment has traditionally been performed using the distinct and separate inputs from mineral processing and mineral science.More recently, process mineralogy has been used to integrate these two disciplines. This trend has been driven by the need to develop and process more challenging ore deposits, and has been assisted by the availability of modern automated instruments. Together with the acquisition of a QemSCAN (quantitative evaluation of materials by scanning electron microscope) from CSIRO in Australia, and with the use of a supporting SEM with EDX/WDX capabilities and an XRD, the development of process mineralogy at Falconbridge commenced in 1997.The sampling challenges in presenting a QemSCAN with representative sample material at the polished section level are significant, but have been effectively addressed. The full description of this aspect is beyond the scope of this paper.It is shown that, by use of this approach, the set nature of an orebody can be best exploited with selected flowsheet changes in a concentrator which address the generic characteristics of the orebody. In this way, the flowsheet provides a process that more effectively fits the mineral processing requirements of the ore. This leads to clear and tangible improvements in grade and recovery."

Jan 1, 2002

By F. J. MacPherson, A. C. Caron

"Cassiar Asbestos Corporation Limited is at present B,C.'s only asbestos mining company, and has been actively engaged in the management and operation of the Cassiar Mine since the early 1950's. The Cassiar operations are located between 3,500' and 6,600' elevation in a secluded mountainous area of northern B.C., approximately 100 miles by road southwest of Watson Lake in the Yukon Territory. Climatic conditions in this area range from mild warm in the summer, to extremely cold during the long winter period.The minesite itself is located over a mile above sea level at the top of McDame Mountain, where year round 24 hours per day miners extract the chrysotile ore from the surrounding waste by standard open pit techniques. The ore body dips into the mountain at about a 45° angle, and as the mining progresses, larger stripping ratios are required. Waste to ore ratio this year will be more than 10 to l whereas only a few years ago ratios of 3 or 4 to l were possible. After drilling, blasting, and loading by shovel onto trucks, the asbestos ore is transported to the Primary Crushing Plant for crushing prior to transport by aerial tramway more than three miles to the Concentrator and Mill in the valley below, where the fibre is extracted from the barren host rock serpentine and milled into numerous grades for shipment to asbestos users round the world. The major air usage is associated with the milling process, presently requiring over 500,000 CFM, with future requirements expected to exceed 840,000 CFM by the end of the decade."

Jan 1, 1976

By H. G. Rushton, A. S. Romaniuk

"The opening chapter of this volume, by A. Ignatieff, places in perspective Canada's coal resource base as part of the world scene. This chapter will focus on the Canadian scene.Units of measurement in this report are in the International System of Units (SI) as approved for official use by the Canadian Standards Association and Metric Commission Canada. These units have been adopted by the Mining Association of Canada and the Coal Association of Canada. To assist with the shift to metric units these two associations have published ""Metric Practice Guide for the Canadian Mining and Metallurgical Industries"", 1978(1J, Appendix ""A"" lists some useful conversion factors along with SI prefixes. The last official assessment of Canada's coal resources and reserves was done by the Department of Energy, Mines and Resources and presented in Report ER 79-9 ""Coal Resources and Reserves of Canada"", published in December 1979 and authored by H.U. Bielenstein, L.P. Chrismas, B.A. Latour and T.E. Tibbetts(2). The Geological Survey of Canada has a continuing project concerned with coal resource assessment as does CANMET, whose concern is with coal reserve assessment and coal quality. As well, Alberta's Energy Resources Conservation Board (ERCB) has a continuing assessment program for coal in Alberta and publishes an annual reserves report, the current issue of which is cited as reference No. (3). The difference in resource and reserve terminology as used by EMR and ERCB has a major effect on derived tonnages for Alberta. This difference will be discussed later. In 1982 the Department of Energy, Mines and Resources produced a map titled ""Canada-Coal""<4J which outlines coalfields and illustrates coal import and export movements for the years 1981and1980. A copy of this map is contained in the map pocket of this publication. Two other resource assessment reports are noteworthy, the first is ""Coal Resources of Southern Saskatchewan: A Model for Evaluation Methodology"", by J.A. Irvine, S.H. Whitaker and P.L. Broughton<SJ which is one of the major outputs of a joint federal-government study of southern Saskatchewan's lignite deposits. (Another output from this same study' is the Geological Survey of Canada's SASCO file, a computer processable file holding borehole and coal quality data.) The second is ""Deep Coal Resources of the Interior Plains, Estimated from Petroleum Borehole Data"", by G.D. Williams and M.C. Murphy(6) which identifies coal resources from nearly 4,000 petroleum exploration boreholes distributed uniformly over an area spanning Manitoba, Saskatchewan, Alberta and British Columbia."

Jan 1, 1985

By C. R. Julian

MECHANIZATION During the last fifteen years, numerous attempts have been made to mechanize the operations of loading ore and placing till. It is to be regretted that, to date, little progress has been made in this direction. The comparative efficiency of manual labour in Spain is the factor largely responsible for the failure to cheapen costs by mechanization. The necessity for careful classification of the ore and the need for keeping all openings small also makes the problem one of difficulty. It may be of interest to describe the various attempts at mechanization that have so far been made. CONVEYORS: (1) When stoping by layout III in San Dionisio, a trial was made of transporting the filling by jigging conveyors. This method proved un-economical, as the wall building and spreading of the till could not keep pace with the delivery, with the result that the machinery was idle a great part of the shift. (2) The transport of ore from the working places to the ore-passes by jigging conveyors and belts was also tried. Although more successful than in the case of the fill, the method could not compete with that of hand tramming, principally due to the high cost of (a) maintenance caused by the abrasiveness of pyrites, and (b) labour constantly employed on re-aligning the conveyors owing to the constant settlement of the floor. In a few cases, where a sill floor was being blocked out in virgin ground, the method showed a saving. SCRAPERS: Frequent attempts at loading by scrapers have been made, but again the only success obtained has been in the blocking-out of sill floors. The principal obstacle to the successful application of scraping, other than on the sill floor, has been that the openings, which have to be small, call for a light scraper outfit, whereas, in practice, a heavy scraper and at least a 25 h.p. winch are necessary for handling satisfactorily the ore, which is heavy and which breaks somewhat blockily.

Jan 1, 1940

By T. H. Janes

THE POSSIBILITY of producing pig iron from iron ores of British Columbia for a west coast primary iron and steel industry has been investigated by the provincial government and by commercial interests on sever.al -occasions. The latest study is that currently under way by The Consolidated Mining and Smelting Company of Canada, Limited. The Company is studying the possibility of making pig iron from the oxide calcine resulting from the roasting of pyrrhotite. tailings used in making sulphuric acid for fertilizer production at Kimberley. A comprehensive report on the subject .of establishing a primary iron and steel works in the Province, based on local iron ores, was prepared by Arthur G. Mc-Kee and Company of Cleveland, Ohio, in 1942 for the B.C. Minister of Mines and is available to interested parties. A detailed survey on the subject was also pre-pared in 1954 by Dr. G. P. Con-tractor, then .of the British Columbia Research Council. Considerable information is there-fore available on most aspects of an integrated primary iron and steel industry in British Columbia to supply the needs of the western provinces. To date, however, no basic iron industry has been established despite the .occurrence of high-grade iron ore deposits on the offshore islands and the high freight charges on iron and steel products brought into the area from Eastern Canada and overseas producers. The chief deterrent has always been the relatively small and highly diversified market available to a local steel producer. Other major fact-ors have been the lack of sufficient proven reserves of iron ore, and the difficulty of making pig iron, suit-able for steel manufacture, economically on a small scale. Technical and economic conditions have changed considerably since World War II and the establishment of a primary industry based on electric furnace production of pig iron or on one of the direct reduction processes, coupled with electric furnace steel production, may now be economically feasible.

Jan 1, 1958