Search Documents

By Karl J. C. Harries

"7.1. INTRODUCTIONThis chapter addresses the joint venture and examines a number of general concepts of the joint venture relationship. Chapter 8 looks at some specific concepts related to the provisions of a joint venture agreement, which are equally applicable to a shareholders’ agreement or other contractual relationship. The term “joint venture” is used because the author is a common law solicitor (a matter of convenience for which apologies are offered to civil law readers), but it should be noted that, in many aspects, the legal structure of an entity is irrelevant. It is the relationship of the parties, be they venturers or shareholders, that is important, and the areas of concern are surprisingly similar (except for terminology).The details of the joint venture relationship and agreement could fill several books. Accordingly, this chapter and the next focus on selected topics that appear to have caused problems or confusion or to be the basis for disputes. And remember that, although the following discussion is in the context of a joint venture, many of the comments apply, either directly or indirectly, to virtually any common undertaking and the agreement defining it.For interest’s sake, this chapter starts with a summary of some of the earlier types of agreements and arrangements that have evolved into the joint venture agreement of today in Canada, the philosophy of their format, and the reasons for their demise.7.2. EVOLUTION OF THE CANADIAN JOINT VENTUREThe Early DaysMuch of the opening up of Canada’s north is due to exploration for and development of mines. The early discoverers were relatively free to roam and explore at will and, if they were fortunate enough to find something, they dealt with the appropriate government to acquire exploitation rights. The early interests lay in gold or silver. Workings were small, usually worked by the owner alone or with only a couple of helpers to extract the native gold or silver. If the owner wanted to move on, he could sell his property outright and use his stake to look elsewhere.As logging and mining camps were opened, the development of better roads and railways made access easier. Entrepreneurs saw the opportunity to make money by assembling large parcels of land and working them as a single operation. In order to do this, some owners who were not ready to sell out had to be convinced to do so through more attractive offers"

Jan 1, 2003

By E. B. Spice

"IntroductionExperience at Eldorado has been gained with a variety of mill feeds. That is, the actual mode of occurrence of the pitchblende varies to such an extent that gravity concentration has at times been decidedly unattractive and at others highly successful. Because of this, the type of ore necessary for economic recovery of pitchblende have become well known. Also, those types which do not lend themselves to gravity concentration have become familiar. In general, it may be said that when the pitchblende occurs free, to a large extent, from sulphides or arsenides of high specific gravity, and when the bulk of the pitchblende is localized rather than disseminated, excellent recoveries, high ratios of concentration, and good grades of concentrates , will result from proper gravity concentration. On the other hand, if the ore contains pitchblende intimately or otherwise mixed with large quantities of arsenides or sulphides, or if the pitchblende is finely disseminated, gravity concentration alone will yield high recoveries only at the expense of very low-grade concentrates and low ratios of concentration.According to Taggart, the ease with which gravity separation may be effected is determined by the value of the following ratio: []It is stated that when the ratio is above 1.75, gravity separation can be expected to be easy. Thus with pure U308 (S.G. over 9) and gangue consisting chiefly of siliceous material, the process can he expected to be entirely successful even when carried on at very fine sizes. Unfortunately, the term pitchblende covers a great diversity of material. Although some of the mineral occurs pure enough to have a specific gravity of about 7, the average is much lower than this and is probably well under 5. Some of the pitchblende particles have a specific gravity so low that gravity concentration fails completely. It may also be said that no degree of grinding will produce free pitchblende of sufficient density from such particles. This, then, represents the most important limitation to the application of gravity separation to pitchblende ores."

Jan 1, 1950

By H. R. Stoger

"In 1994 world trade grew by 9%, the fastest annual increase since 1976. Dry cargo shipping rates are at an all time high.Panamax size bulk carriers are receiving19 000 US dollars per day for trans Atlantic round trip voyages. This is good news for the ship owners but not such good news for the industrial users of ocean shipping.The main emphasis of this paper will be on bulk carriers, the charter market and what industrial companies can do to reduce their costs of ocean transportation which is critical to Canadian exporters. Let us look at the charter market in general.Bulk carriers come in four main sizes:1.The Capesize bulk carriers of 110 000 to160 000 tons that are primarily used to transport iron ore and coal;2.the Panamax bulk carriers of about 70 000tons dwt. This is the largest size (with a beam of 105 ft) that can transit the Panama Canal.3.the Handymax bulk carriers of 40/45 000tons dwt; and4.the Handysize bulk carriers of 20/35 000tons dwt.The handysize vessels are usually craned or geared and carry a variety of bulk cargoes including steel. Ship sizes have increased over the years and the mining industry now uses primarily capesize or Panamax bulk carriers.International chartering is conducted through an international network of shipbrokers. There is usually one broker representing the ship owner and another broker who represents the charterer. The major chartering centers are London and New York but a great deal of chartering activity is conducted in regional markets such as Hongkong, Oslo, Montreal and Hamburg.The Biffex Index or Baltic Freight Index is a good measure of dry bulk freight rates. The Biffex is composed of ten major routes. In May1995, the Biffex was at 2310 points. A year earlier it was at 1354, an increase of about 56%."

Jan 1, 1996

By P. V. Golde, R. A. Poole, G. R. Baiden

"INCO is committed to proceed into the next century using automation and robotics to achieve safety and productivity goals necessary to enhance its competitive position. Stobie Mine, decades old, is the first of its mines to change from labour-intensive to automationassisted techniques. This paper is a synopsis of the progress made during the transition period including overviews of some of the projects as well as some of the difficulties in the assimilation of the technology. BackgroundThe ObjectiveThis paper is an update on remote control and LHD automation installation at Stobie mine. The communications system installed at the mine and the ability to remotely control underground equipment from surface is reviewed (Poole et al., 1996, 1997). It discusses some of the experiences and processes required to further the concept to consolidate the operation of multiple machines under a single operator. It considers the communications systems requirements and their focuses, particularly on the development of systems for the tele-operation of LHDs and drilling machines from surface."

Jan 1, 1998

By L. B. Tsymbulov, N. A. Fedorova

The equilibrium of exchange reaction (Cu20)+[Ni]=(Ni0)+2[Cu] taking place in the course of interaction of metallic nickel-containing copper melts with different oxide melts (Cu20-NiO, Cu20-NiO-Si02, Cu20-NiO-FeO(Fe203)) in the area of their homogeneity has been studied. The studies, based on the known value of equilibrium constants and defined copper and nickel activity indices in metallic melts and equilibrium concentrations of Cu, Ni, Cu20 and NiO, determined the YNio/ycu2o ratios in the oxide melts of the above systems. For the equilibrium between nickel-containing copper and binary oxide melt Cu20-NiO, values of YNiO and Ycu2o were determined both by calculation and experimentally. Based of the data conclusions regarding oxide melts construction are presented.

Jan 1, 2007

By G. A. Young

THE Geological Survey was created in 1842 to aid the development of Canada's mineral resources. Although the institution has been in existence for nearly 100 years and has accomplished an immense amount of work, the need for its services remains as great as ever and, indeed, it is difficult to imagine a time when the country will no longer require a Geological Survey. This is so because of the tremendous effort required to make an adequate geological examination of so large an area as is embraced by Canada and partly because what today may seem an adequate geological examination proves, later on, to be inadequate. The ultimate objective of the Geological Survey is to complete the study of all phases of the geology of Canada, that is, to determine how and when the physical features originated, how and when the soils and other unconsolidated deposits were formed, and how and when the solid rocks and associated deposits were produced and assumed their present conditions. When the study has been completed, any only then, will it be possible to make a reliable estimate of the country's mineral resources. This appraisal embraces more than determining the value of already discovered deposits: it also involves attempting to establish what kinds of undiscovered deposits may be present and where they may occur. The estimating of the potential mineral wealth can be clone only after the geology of the country is known. Not until then will it be possible to forecast what types of valued deposits may occur in a district and what types will almost certainly be lacking. A thorough knowledge of the geology of the country is desirable not only to permit estimating the potential mineral resources but also as an aid in locating and developing mineral deposits whether these are of the nature of a bed of limestone, a seam of coal, a reservoir of petroleum, a vein, an irregular body of sulphides, or any other type of deposit.

Jan 1, 1940

By E. M. De Souza, A. M. Coode

"Since potash was discovered substantial rock mechanics research has been done to develop the technology needed to cope with the unique conditions in Saskatchewan mines, to assure general mine safety and to assess the problems associated with mining potash at depth.The practical result of this research was the development of multiple entry systems incorporating yielding pillars for access ways and the chevron type layouts for production panels. These developments proved the viability of extracting potash from between 950 m and 1100 m depth using a high degree of mechanization. High extraction ratios could not, however, be achieved using the developed technology.The presence of a competent salt back is critical to mining the potash, and underground practice is governed by the presence of anomalous geological zones. These factors may be associated with the occurrence of brine inflows. One potash mine in Saskatchewan ceased its underground operations and was closed due to flooding of the entire mine. Two other potash mines in Saskatchewan had significant brine inflows. The costs involved in brine pumping, equipment relocation, bulkhead construction, grouting, and in auxiliary operations can run into the tens of millions of dollars.At Central Canada Potash, the use of stress relief and yielding pillars in the design of the mining layouts has resulted in over-all stable underground excavations and safe mining practices. There are two types of production room s, the chevron and the hybrid, which result in a planned block average extraction ratio of 35010. Mining activity has resulted in brine ingresses in two areas, and additional operating costs have been incurred over the years. These mining areas have demonstrated abnormally high closure rates, and rapid back deterioration. A program was established in those two areas to ensure the practice of safe mining procedures.The short-term perspectives inherent in the program included the elimination of all uncertainties associated with the possibility of an increase in brine inflow leading to flooding, the elimination of the abnormal ground behaviour and ground deterioration in the inflow areas, and the reduction of the long-term adverse effects of mining on regional mine stability. The program was also designed to provide means for developing alternative safe mine layouts which would improve the exploitation of potash resources. Details of the extensive work performed during the program are found elsewhere (E. De Souza, 1988).Grouting and salt backfilling are viable techniques to control brine inflows in underground excavations in potash mines. Detailed instrumentation of the backfilled test areas provides information on the long-term behaviour and effectiveness of the grout/backfill system, allowing for rational decisions on the complete abandonment of these mined out areas, thus resulting in considerable operational cost savings.This paper is presented in two parts: the first addressed the problems of diamond drilling , grouting and backfilling in Panel 209 and the second, addresses the problems of instrumentation and rock mechanics."

Jan 1, 1990

By K. Woo

"With ever-increasing global demand for mineral resources, mining companies are considering developing deeper, more complex and lower grade ore bodies. Recent years have seen the transition from surface to underground mass mining operations to access deeper resources, with mass mining methods such as block and panel caving being favoured due to the tonnages and economics achievable when dealing with lower grade ore. However, the rock engineering interactions involved with such plans are complex and challenging given the significant disturbance caused to the surface environment. If not properly accounted for, the unexpected propagation of a cave breaking through to surface or the differential surface displacements otherwise produced may threaten the safety and integrity of overlying mine and civil infrastructure.This paper reports the findings of a comprehensive research programme focussed on investigating and integrating new developments in remote sensing characterization and monitoring technologies with state-of-the-art numerical modelling to better manage the challenges and geo-risk associated with the transitioning from open pit to underground mass mining. Procedures were developed to integrate discrete fracture networks (DFN) into finite-element/discrete-element analyses to simulate the influence of rock mass fabric on cave propagation and the evolution of caving-induced surface subsidence and step-path failure of large open pit slopes through the progressive failure of rock bridges. The results clearly showed that caving-induced surface deformations tend to be discontinuous and asymmetric due to large movements around the cave controlled by geologic structures, rock mass heterogeneity and topographic effects. Although parallel investigations of empirical design charts used to predict caving-induced deformations were found to be moderately sufficient for assessing the extent of macro deformations directly above the undercut (i.e. caving collapse features), numerical modelling was found to provide the only means to confidently estimate the lateral extent of smaller strain subsidence.These results were further supported by the use of high-resolution synthetic aperture radar (SAR) data to monitor the ground deformations associated with block caving production, and to use these to calibrate and constrain a series of predictive 3-D numerical models focussed on Rio Tinto's Palabora mine in South Africa. The InSAR data was obtained from Canada’s recently launched RADARSAT-2. The close fit achieved between the predictive 3-D numerical model and InSAR monitoring data demonstrates the significant value of InSAR calibrated 3-D numerical models applied to subsidence prediction.Collectively, the results from this research programme have helped to further the characterization, assessment and understanding of mass mining-induced subsidence, and its evolution, by addressing existing limitations in the use of empirical and numerical design methods. The limitations and uncertainty arising from mine site data were detailed, specifically the representation of mine geology, rock mass properties, in-situ stresses and cave propagation, together with means to constrain these inputs and calibrate sophisticated 3-D numerical models through back analysis and integration with high resolution monitoring data."

Jan 1, 2015

By A. A. Rafiei, J. A. Finch

A previous study comparing n-pentanol and the polyglycol Fl50 showed that the two reagents could give the same gas holdup but with different size bubbles. The finding implies that bubble rise velocity depends on the surfactant (frother) type. A study using bubble swarms supported the frother type effect but bubble interactions were a possible confounding factor. This study resolves the question by measuring the rise velocity of single bubbles of 0.8-2.5mm diameter over a distance :::: 300cm in n-pentanol and F 150. It is shown that at typical frother concentrations used in flotation that the rise velocity in n-pentanol remains comparable to that in water alone while in Fl50 the velocity is significantly reduced. The results confirm the suspected impact of frother type. It is illustrated that in n-pentanol the rise velocity does not reached terminal; while in Fl50 it does and this is the source of the velocity difference. Advances

Jan 1, 2009

By Yvon T. Maurice

Under the auspices of the Federal-Provincial Uranium Reconnaissance Program, a geochemical orientation survey was undertaken in an area of uraniferous Lower Proterozoic (Aphebian) rocks near Cape Dorset in southwest Baffin Island. The main objective of this study was to establish a methodology for a future reconnaissance geochemical program using lake samples over a 300-mile Lower Proterozoic rock belt that occurs along the southern coast of Baffin Island. Mineralogical and chemical studies of known radioactive occurrences, combined with detailed sampling of secondary environment media in the vicinity of the showings. indicate that uranium is the most significant pathfinder, despite considerable enrichment of other metals in the uraniferous rocks, Significant geochemical patterns produced by uranium in lake waters and uranium in lake sediments have been obtained, but their relative usefulness depends on the distribution of carbonate bedrock, which in turn affect the bicarbonate content of lake waters. In southern Baffin Island, because of erratic variation in lake-water alkalinity, it is recommended that both water s and sediments be sampled on a routine basis. The need for lake-water acidification to prevent depletion of soluble metal ions in samples resulting from adsorption on the walls of the containers and/or suspended solid matter is discussed briefly. The base metal potential of the area was examined in some detail and found to be significant, particularly for a Lower Proterozoic gossanous formation that occurs throughout southern Baffin Island.

Jan 1, 1977

"Mining with blast holes drilled upwards may be done to recover sill pillars, or for economic reasons when the distance between the levels is relatively large. If the rock is sufficiently competent to accommodate large stope size, the distance between sublevels could be increased to as much as drilling accuracy allows. The same drill drift can be used for the drilling of both down holes and up holes. In the case of down holes, the initial opening of the stope (drop raise) is not as much a problem as for the inverse drop raise for mining with up holes. This is because, with a drop raise, a lot of space is available at the toe for the blasted rock to expand. In addition, the raise can be blasted in many shots, thus allowing smaller blasts each time. Inverse drop raises are generally much more difficult to blast because of the limited space for muck flow, and must, therefore, be taken down in a single blast, requiring special considerations in order to ensure a success. A case study of a 29 m (95 ft) inverse drop raise successfully blasted in a single shot at Heath Steele Mines is described. The paper covers technical considerations such as drilling accuracy, hole deviation survey, delay extension and protection, initiation methods and initiation sequence. Finally, a novel method for creating the initial opening called ’slot drilling’ is presented. This method, inspired from LKAB in Sweden, consists of drilling a row of interconnected holes using a special guide mounted on a regular production drill hammer.With a case study of blasting an inverse drop raise of 29 m (95 ft) in one blast, this paper further discusses some technical issues that are critical for the development of inverse drop raises. A novel method for creating the initial opening with a slot of interconnected holes is also presented with the experience acquired at different mine sites across the Noranda group."

Jan 1, 2000

By S. Mathieu, R. Mennillod-Blondin, P. Cousin, N. Valle, H. Bouzahzah, P. Marion

The gold deposit of the Lapa mine has a complex mineralogical gold state with coarse and fine native gold, aurostibite and submicroscopic gold within arsenopyrite. A specific mineralogical characterization of the refractory fraction was conducted combining various techniques such as optical microscopy, electron microscopy, electron microprobe and secondary ion mass spectrometry. In parallel, the mineral processing behaviour and the recovery of the refractory gold were studied by pressure oxidation and cyanide leaching. This paper presents the mineralogical methodology developed to characterize the refractory gold distribution within arsenopyrite. These results are presented and interpreted in order to plot gold recovery versus sulphide oxidation. The comparison of the metallurgical behaviour yields predicted from the mineralogical data and the one calculated from leaching tests shows a good agreement and allows mineralogical explanations of the gold metallurgical behaviour.

Jan 1, 2011

By B. Surender Mohan

Mining lignite pollutes the environment and causes ecological damage if unattended. Being conscious of the importance of environmental resources for the well-being of the living system, the Neyveli Lignite Corporation (NLC) adopts the policy of environmental regeneration as the foundation on which productivity is built. NLC started investing on Eco Care and Environment Protection long ago and it continues. Early investment in environmental protection has resulted in steady growth of the Company along with a healthy environment. The future vision of NLC is to be in the vanguard among the contributors to the community, environment and the nation by developing and utilizing industrial and human resources to the optimum. Untiring efforts are being put in mines (NLC as a whole) to maintain and sustain the ecological balance arising due to continuous mining activity. NLC?s Environmental Management System is becoming a symbolic role model for many of the opencast mines in Southeast Asia. NLC has been bestowed with number of prestigious Environment and Sustainability awards in recognition of the mammoth contribution in maintaining a clean and green environment.

Aug 1, 2013

By R. Matusewicz, A. Kaye

Ausmelt Top Submerged Lancing (TSL) Technology has gained widespread commercial acceptance in non-ferrous applications, including the processing of lead and zinc primary concentrates and secondary (post-consumer) materials. TSL is highly flexible and efficient, and is one of the few technologies which can process primary and secondary feeds, and use varying fuels, to deliver high recoveries and excellent environmental performance. With the recent high value of both lead and zinc, and an escalating awareness of the sustainable use of resources, focus on the processing of secondary feed material sources has surged. Ausmelt Technology has proven to be well suited to the economic recovery of values, with twenty-two (22) Ausmelt furnaces processing lead and zinc bearing feed sources now in operation, under design or construction. This paper describes Ausmelt's progress in the fields of lead and zinc processing, and developments in new processing areas such as EAF dust processing and linking to innovative hydrometallurgical technology. Ausmelt has recently committed to the Whyalla Zinc project as the owner/operator of a facility for the treatment of zinc bearing secondary feeds. This project is due for start up in the first quarter of 2008.

Jan 1, 2008

By M. R. Coffin

Since the plant startup in 1972, the leaching and jarosite precipitation circuits at the zinc plant of the Kidd Metallurgical Division have been reconfigured several times to improve overall performance, and/or to respond to market conditions. For the most part, the circuit changes have been driven by two market factors: the price of zinc and the price of silver. Until recently, circuit modifications undertaken to improve zinc extraction and recovery came at the expense of silver recovery, and vice versa. In 2004, the plant was modified once again to produce a precious metals-bearing residue, but additional leaching circuits were added to ensure that zinc extraction and recovery did not suffer as a consequence. The development of the zinc plant of the Kidd Metallurgical Division is updated in this paper, with a focus on the recent circuit modifications and associated control strategies that were implemented to maximize zinc and precious metals recoveries, and control the quality of the jarosite residue.

Jan 1, 2006

In 2009 Newmont Mining Corporation?s annual global spend on grinding media reached $94M USD, having doubled in the five years since 2004. The major contributing factor to the spend escalation during this period was unit consumable price, with total media consumption also rising as a function of annual ore tonnes milled. In an effort to better understand and manage the growth of this expenditure a significant supply chain management program was implemented. This was complemented by a series of technical initiatives focussed on grinding media specifications, quality management and the prediction of grinding media wear rate as a function of physical ore characteristics. This paper discusses the methodology and outcomes of these activities.

Jan 1, 2012

By A. Desbiens, R. del Villar

"This two-part paper summarizes the design and implementation of a distributed PIbased control strategy installed at the B grinding circuit, at the Kidd Creek Division of Falconbridge Ltd. Part I details the design of the control strategy using a grinding circuit dynamic simulator (DYNAFRAG). The first step consisted of sampling campaigns and data processing to calibrate DYNAFRAG. Then, several control alternatives were designed and tested with the simulator. The main feature of these strategies is their ability to regulate or keep within an upper and lower limit five output variables (circulating load, rod mill density, cyclone feed and overflow densities and pump box level) with only three manipulated variables (rod mill water, pump box water and rod mill tonnage). By simulation on DYNAFRAG, it was possible to discriminate among several control structures. The preferred control strategy uses a saturation algorithm, which allows the adequate regulation of two measured variables with only one actuator. Controllers located in interacting loops are appropriately tuned, taking into account the existing process coupling. Part II will present the implementation of the selected control strategy.IntroductionSteady state simulators are used to predict the stationary state of a given process under specific operating conditions. Tradi - tionally, steady state simulation has been applied for process flowsheet design, for evaluating process modification benefits or for determining key operating parameters in process operation optimization. Dynamic simulators add a new dimension to process simulation since they allow the prediction of the process transient behaviour, resulting from the application of a different set of operating conditions and/or from natural disturbances or equipment failure. Dynamic simulators can also be used for the training of new operators or for the design of control strategies."

Jan 1, 1997

By Ajit K. Sinha

"Abstract - Electromagnetic surveys were conducted over the Yava sandstone-hosted lead deposit in Nova Scotia to evaluate the usefulness of such surveys for detecting and mapping sedimentary­ hosted metallic ore deposits. Both transient and multifrequency systems were used for that purpose. The deposit consists of three zones of disseminated galena which also contain minor amounts of pyrite and sphalerite filling the interstices of the sandstone grains. Each zone overlies a basement depression and is separated from the adjacent zone by an intervening basement high. A conductive shale layer underlies the galena-rich sandstone formation at all three zones.Because the concentration of galena (3% to 4% ) and other sulfides is too low to affect the resistivity of the sandstone formations for detection by ground electromagnetic (EM) methods, the strategy for our survey was to look for areas of basement depressions and the presence of conductive shale in those depressions by EM depth soundings. The presence of the galena-rich sandstone formations could be inferred because of the close association of these two features with the deposits in the Yava area. Both transient and multifrequency EM systems were successful in mapping the basement depressions and detecting conductive shale at the three known mineralized zones. The technique, therefore, seems to offer good prospects for mapping similar stratabound sedimentary-hosted sulfide deposits."

Jan 1, 1993

By Robert B. Parsons

"Starting January 1, 1987 employers, employees, and other taxpayers are confronted with a new set of rules dealing with the taxation of travel and housing benefits relating to isolated posts in Canada, and tax deductions relating thereto. The new rules may not be the simplest in the world, but they are reasonably fair and at least offer a hitherto unknown degree of certainty as to how such allowances are to be treated. IntroductionThe first shoe fell on February 26, 1986 when Finance Minister Michael Wilson' s first budget presented the framework for the future tax treatment of travel and housing benefits (so-called ""northern allowances"") provided to residents in remote regions of Canada. The second shoe fell some ten months later on December 22, 1986 when the Minister of Finance filled in the earlier announced framework with detailed rules. We now have a complete picture of the tax treatment of northern allowances. Here is what the picture looks like with effect from January 1, 1987.According to Revenue Canada, the net housing benefit to employees will be equal to the value of the accommodation provided, less any rent they have paid. In major centres such as Yellowknife and Whitehorse, having a developed rental housing market, the benefit amount will be based on the fair market value of the rental accommodation in that location. In other areas, employers will be required to value the housing benefits and, to assist employers, Revenue Canada has provided the following guidelines: Common shelter- $100 per month including the value of subsidized utilities Apartment! duplex-$270 per month excluding the value of subsidized utilities, or $400 per month including the value of subsidized utilities House-$450 per month excluding the value of subsidized utilities, or $650 per month in- c1uding the value of subsidized utilities.The amounts established as the values of accommodation will be adjusted annually after 1987 based on the housing component of the Consumer Price Index."

Jan 1, 1987

By W. R. Hargrave

"Mining OperationsOre will be mined by open pit techniques. Because of the high grade of the deposit and the low strip ratio, mining rates are small relative to most other open pit operations.The ore deposit is located in the valley of the main fork of Red Dog Creek. The bulk of the deposit is located on the southwestern flank of the creek, but mineralization does traverse the creek in both the north and east directions.Erosion has exposed the orebody in a number of locations, and has resulted in oxidation of the mineralization closer to the surface. Although much of this oxide material is very high grade, it leaches readily and, at least in the initial phases of the operation, will be stockpiled and not treated in the concentrator.During construction, 2.3 million mt. (2.5 million st.) of overburden and waste will be stripped from the orebody to expose ore for initial operations. Competent non-mineralized waste will be used to build roads and waste dumps, but the bulk of material removed consists of oxide or ice-rich soils and weathered rock which is not suitable for construction.The annual ore mining rate will be 1.9 million mt. (21. million st.). The strip ratio will start off at 1.2 to 1, falling to 1.0 to 1 by year 5 and ultimately to 0.8 to 1.Bench heights are set at 7.6 m (25 ft). Pit slopes will vary depending on the material present in the wall. The slope, through competent waste and the sulphide package, was set at 45 degrees. This is flattened to 26 degrees (i.e. 2: 1) through overburden and Upper Kivalina shales. The Kivalina Shales are an ice-rich shale whose carbonate matrix has been leached out and which exhibits little or no strength as it thaws. In addition, a 100 ft containment berm will be left in the wall below overburden and Kivalina."

Jan 1, 1989