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By Tim Gitzel

Thank you for your introduction, and thank you to the CIM for inviting me to make a presentation to you today. This is my first opportunity to report to you on the status of the Canadian uranium industry and I am pleased to tell you that the industry is in good shape, and well positioned for the future. As you will no doubt be aware, Saskatchewan benefits from the world?s largest known highgrade deposits of uranium as well as from a high level of provincial, public and northern community support. It is within this unique combination of geology and community that our industry operates. Uranium markets have been extremely competitive for a number of years for several reasons. First, deregulation in the nuclear electric power industry has tended to encourage fuel buyers to use up their large inventories built up at a time when rapidly increasing demand was anticipated. Second, alternate sources from surplus commercial stocks, military materials and reprocessed fuel have presented a major additional source of uranium supply. Today, these secondary supplies are meeting about half of uranium reactor feed requirements. Canada (that is, Saskatchewan) is the world?s largest ?natural? uranium producer with about a third of the global production. Saskatchewan?s mines produced more than 30 million pounds of yellowcake in 2002. Despite low prices, steady demand for uranium will continue. In fact, an increase in world uranium production in 2002 helped feed a more than 3 per cent increase in reactor fuel demand. Low cost production is important for surviving low market prices, but investments are based on longer-term strategies rather than simply responding to market cycles. Cost is not the only issue. In these times of increasing regulatory and public scrutiny we must continue to earn the trust of our stakeholders by adopting the highest standards and staying on the leading edge of technical, social and environmental developments. Managing these issues is as important as traditional concerns of ore grade and cost of production. The last two decades of the 20th century saw the Province of Saskatchewan rise to prominence as the leader in uranium production from facilities, which were at the time deemed world class. These facilities are now either at - or nearing - the end of their production years. We are now bringing on new facilities that will position Saskatchewan to remain the world leader in uranium production for many years to come.

May 1, 2003

By Chris Yellowega

The construction and startup of a new mine is a daunting task. To successfully locate, design, build and startup an immense human endeavour like a new mine, takes perseverance, planning, dedication and significant capital. The application of capital requires a thorough evaluation of risk and where that risk is most properly limited to create the risk/return profile. One area of significant capital and thus, significant risk is the selection and maintenance of the very machinery needed to deliver the creation of investor wealth. Albian Sands Energy is the operator of the new Muskeg River Mine located north of Fort McMurray in Alberta?s oilsands. The Muskeg River Mine is owned by a joint venture of three companies: Shell Canada, Chevron Canada Ltd.and Western Oil Sands. The mine is designed to run 400,000 tons per day, 365 days per year. The mine conditions vary from material as hard and of similar consistency to pavement to underfoot conditions as soft as saturated sands. Water cannot be drained below surface conditions, shovel teeth can disappear in less than 24 hours and the primary business is often constructing large civil structures that have little to do with the delivery of ore. The mine starts with the deposit (if it doesn?t exist, nothing else matters), moves into the design, the feasibility study and the approval. The evaluation of risk and the strategies surrounding the control of that risk truly lie after these stages are complete. The strategy and execution stage is where risk is eliminated or accommodated. The point at which the investors money is being spent is the point at which the decisions made cannot be reversed. It is of absolute importance that the execution of the decisions are consistent with the strategy agreed to, lest the investors need to be asked for more money. The key sources of risk identified for the Muskeg River Mine were recruitment of trained and experienced personnel and the delivery of ore to maximize early (<2yr) cash flow. The Muskeg River Mine personnel determined that to minimize risk, personnel would be recruited to operate the mine equipment yet, the requirements for maintaining the equipment would best be held by the manufacturer. The strategy was to obtain the correct equipment for the operation of the mine and leverage the supplier?s expertise to ensure the mine wasn?t training a maintenance organization at the same time as a mining organization. In essence the key strategy for the mine start up and early operation was to leverage the equipment suppliers to maintain and repair the equipment. Albian Sands would maximize the utilization of Maintain And Repair Contract?s.

May 1, 2003

By E. De Souza

Two comprehensive surveys, which focus upon backfill practices and the economics of backfilling in underground mines in Canada, have been conducted. The two surveys were designed to assess operational practices and costs associated with the wide scope of filling operations that must be met by individual mines, ranging from raw material feed to the preparation plant, through underground backfill transportation, to in-stope product placement. This paper presents the current state of backfill usage in Canada, identifies trends in minefill practices and provides mine operators with an updated database of information upon which they might compare their own practices and costs with present trends throughout the industry.

May 1, 2003

By Sunil S. Gandhi

Magmatic-hydrothermal deposits rich in magnetite and/or hematite form a broad group that includes monometallic Fe deposits and polymetallic (mainly Cu and Au) deposits. They show a considerable variation in deposit characteristics, but share the genetic processes of magmatic differentiation and related hydrothermal activity in intermediate to felsic melts, and in some cases involve brines and/or meteoric waters during mineralization. They include several world-class deposits. They range in age from Proterozoic to Recent, and form important metallogenic districts in Scandinavian, Canadian, Brazilian and Australian Shields, Circum-Pacific regions, and in China, Iran and Turkey. Monometallic deposits have been important sources of iron in the past and still contain significant resources of the metal, e.g., the Kiirunavaara deposit in Sweden. The giant Olympic Dam Cu-Au-Ag-U-REE deposit was discovered in 1975, and since then explorationists have focussed on search for analogues worldwide. This has brought to light a number of economically important new deposits and prospects, including examples in Canada. The discoveries have in turn prompted considerable research on individual deposits and the group as a whole. This short paper is an attempt to summarize the main aspects of the group from the literature cited in Gandhi and Bell (1996), and from the papers published recently in two milestone volumes on these deposits, edited by Porter (2000 and 2002).

May 1, 2003

Located in Timmins, Ontario the Porcupine Joint Venture, a pooling of assets between two existing operations (the Dome Operation of Placer Dome (CLA) and the Hoyle Pond Operation of Kinross Gold Corporation) came about on July 1st, 2002; Placer being the manager of the Joint Venture with 51% ownership and Kinross with 49%. The formation of the Joint Venture was the realization of the dream of many who could envision the benefits of the whole area being operated as one entity ? the combination of the majority of assets in the Porcupine Camp into one venture containing tremendous synergistic potential of manpower, infrastructure, land tenure and exploration development. The name Porcupine in the gold mining industry brings with it the legacy of world class gold mines; the Hollinger, McIntyre and Dome with a proud tradition of excellence. The name Porcupine brings with it the legacy of over twenty individual mining companies in operation at any one time, producing over 65 million ounces of gold.

May 1, 2003

? CONSTRUCTION AND MINING COSTS ARE HIGH IN THE ARCTIC ? VERTICAL KIMBERLITE PIPES WITH HIGH STRIP RATIOS ? SITE SPECIFIC GEOMETRIC CONSTRAINTS ? OPEN PIT FOLLOWED BY UNDERGROUND MINING ? HIGH KIMBERLITE UNIT COSTS TRACK INSTALLED ON PIT WALL ? INTENDED TO REPLACE MAIN HAUL RAMP ? 5 MIN HOIST CYCLE TIME ? KEY ADVANTAGES - REDUCED CYCLE AND STRIPPING RATIO ? TECHNOLOGY EXISTS IN OTHER APPLICATIONS

May 1, 2003

By Jonathan Matthews

Efficient and effective management of mine tailings is essential for continued successful development of Alberta?s vast oil sands resources. Syncrude Canada Ltd. continues to research novel tailings management techniques in an effort to improve production efficiency and environmental sustainability. During the summer months of 2001, Syncrude Canada Ltd., in collaboration with members of the Canadian Oil Sands Network for Research and Development (CONRAD), conducted field-scale trials of thickened tailings technology at Syncrude?s Aurora mine, north of Fort McMurray, Alberta. This paper provides an overview of the test program including discussion of objectives, test configuration, and program observations. 0Data collected during the field trial indicate that substantial swings in feed slurry composition challenge effective thickener operation. When coarse mineral solids dominated slurry composition, thickener rake torque rose to unmanageable levels. It was determined that the end-of-pipe depositional characteristics of thickened oil sands slurry were generally consistent with present understanding of oil sands tailings slurries. After shear, thickener underflow product exhibited very shallow beach angles and a limited capacity to keep coarser particles in suspension indicating that stacking of ?paste-like? thickener underflow product from a conventional thickener is not practical in an oil sands setting unless process adjustments can be made to increase the underflow density and/or preserve the initial high yield stress of the underflow during transport and deposition. These technical challenges notwithstanding, Thickened Tailings technology offers considerable promise for recovery of warm water from oil sands process tailings.

May 1, 2003

By Marc C. Bétournay

Over the last four years, an international initiative, championed by Vehicle Projects LLC, the Fuelcell Propulsion Institute and Natural Resources Canada, has been active in carrying out research projects to prove out the concept of applying fuelcell technology to underground mining vehicles. These have been carried out by a consortium consisting of mining companies, equipment manufacturers, technology developers, national laboratories and consultants, with the participation of Canadian and U.S. mine regulatory agencies. This clean technology, which produces only water and electricity, would allow several advantages to be obtained, in the health area (by eliminating diesel emissions and reducing noise generation), in lowering production costs (such as reducing ventilation required) and lowering green house gas emissions. This article outlines the results obtained in several key areas, such as the operation of fuelcells in underground conditions, risk issues related to underground and surface operation of hydrogen vehicles and hydrogen production and delivery systems, and the design and mining performance of the world?s first hydrogen mining vehicle, a mine production locomotive. The work to date on the fuelcell loader, designing the power plant and power transmission systems, operational requirements, and operating cost reductions, is also presented. There is also an evaluation of the overall mining applications and advantages this technology can bring to underground mining, including the facilitation of automation and tele-remote operation.

May 1, 2003

By D. Marcotte

The Rock Quality Designation (RQD) is a standard scalar measure of rock quality used in common rock mass classification systems (e.g. RMR, Q system). RQD is measured along diamond drill holes. RQD interpolation between holes is nontrivial. Despite the inherent limitations of drill hole data and the local complexities of structural geology, it is often the only information available for mining and major civil engineering projects. Therefore, maximizing the usefulness of this data is warranted. We derive a correction for directional effects that help reduce the bias and improve the accuracy of the estimations. The correction is derived with the aid of numerous simulations. It relies on simple information, the angle between the joint normals and the borehole axis (JO). A reference direction is identified as the borehole direction with smallest JO. A multiple linear regression model based on JO statistics in the various boreholes defines the correction model. The corrected RQD values are then interpolated. It is shown the method enables reducing the bias on RQD estimation by 50% and improves the accuracy of the estimates by 30%. The corrected RQD values show stronger spatial continuity than the raw values. The benefits of estimating the RQD indirectly by using joint frequency measures are also assessed.

May 1, 2003

By Mohsen Amir-Rahmat

The ore of Sarcheshmeh copper deposit that has been located in the south ?east of Iran, contains four type of rock that they have their specific hardness and strength according to their alteration type and mineralization. Blasting of these various types of mine rocks prepares various types of size for the product of mine as the feed of concentration. Along the crushing of this feed a few factors effect on the efficiency of the crushing unit. The aim of this project has been the consideration of the effect of ore size on the efficiency of crushing unit. For this investigation along the year 2000 A.D., six sample from feed and six sample from product of crushing unit have been prepared. The results of the screen analyze of these samples has shown that the size of feed has been lesser than the primary plan and the size rate of the product has been bigger than the primary plan. Also in this research the effect of feed size on the quality of product size has been considered.

May 1, 2003

By Véronique Falmagne

The mining sequence at Noranda?s Bell-Allard mine calls for two mining fronts retreating toward a central pillar known as the Retreat Zone between pyramids A and C. It is clear from numerical modeling and rock mass characterization that the induced stress level in the pillar will exceed the rock mass capacity. A mining plan was developed including the re-dimensioniong of stopes in the Retreat Zone, additional ground support and instrumentation in order to ensure the safety of the workforce and to maximize ore recovery while minimizing production delays. The mining strategy consists in allowing the rock mass to fracture and fail progressively while maintaining control of the existing openings with the appropriate support. A systematic analysis of rockbursting and caving hazards was conducted for all accesses and stopes in order to plan ground support and instrumentation needs.

May 1, 2003

By David Penswick

Despite anecdotal evidence to the contrary, the mining industry is not in decline. Rather, the world?s largest mining companies are among the most consistently profitable companies in any industry. In many cases, profitable mining companies have been built around a few large scale, long life mines. These criteria for success ? size and long life ? have led to the current preference for deposits that can be exploited using open pit methods. However, developments in the science of block caving have resulted in this mining method achieving costs and productivities that are competitive with the largest open pits, while achieving widespread applicability. One implication of the low costs and widespread applicability of block caving is that some current open pits are possibly too deep.

May 1, 2003

By Marc C. Bétournay

A mine production locomotive, the world?s first applied industrial fuelcell vehicle, has been designed and tested in the context of a number of proof-of-concept projects supported by the Fuelcell Propulsion Institute, an international consortium of stakeholders dedicated to facilitate the commercialization of fuelcell vehicles. The locomotive?s simple electric-powered motor and controller system was ideal to study a number of requirements related to fuelcell power application: hydrogen power plant operation, underground hydrogen use, risk and regulatory requirements, production performance versus the conventional battery-powered locomotive version under measured duty cycles and production requirements, power plant design improvements for other fuelcell vehicles, and cost-benefit aspects. This article will focus on the design and testing aspects of this project which has led to successful performance demonstrations of the vehicle under surface and underground conditions at two mines. It will also present information on the creation of a safe, reliable and efficient power plant which fulfilled its design objectives, including longer productivity time for a given vehicle fill-up.

May 1, 2003

By S. Goodman

Successful exploration for and exploitation of a mineral deposit requires an accurate understanding of the deposit architecture in 3D, and of the development of the mineralizing system through time, which requires a thorough comprehension of the structural framework of the deposit. The integration of geological, geophysical and geochemical datasets to arrive at a 4D structural framework is well-established and has been successfully applied by SRK Consulting in projects from deposit to regional scale. In some cases, we can go beyond this, applying the SEEBASETM technique, which utilizes a ?bottom-up? approach to basin analysis. SRK?s approach primarily relies on the interpretation of magnetic and gravity data, calibrated with many other datasets including mapped geology, topography, event histories, wells/drillholes and seismic data. The SEEBASETM model is a culmination of this data integration and is produced through an iterative process of structural interpretation and geophysical modeling, where an interpretation of basement composition and 4D structure is used to constrain depth-to-basement geophysical modeling, and the modeled depths are then used in conjunction with the structural interpretation to constrain contouring of the basement topography. The result is a rigorously calibrated, 3D view of the basement surface, which can be used to understand the basement and basin architecture, and thus serves as a predictive exploration model. This technique, which was developed for use in the petroleum industry, is now finding success as a predictive tool in mineral exploration.

May 1, 2003

By Bruno Bussière

Acid Mine Drainage (AMD) from mine wastes is one of the most environmental challenge currently facing the mining industry. AMD is the result of the natural oxidation of sulphides exposed to air and water. When mining wastes have the potential to produce AMD, these reactive wastes have to be managed to meet existing environmental regulations. The LTA site (property of Barrick Gold Corp.) contains sulphide tailings that have the potential to generate AMD. The closure option Barrick selected was to construct a multilayered cover with capillary barrier effects (CCBE). The main objective of this CCBE is to prevent the production of Acid Mine Drainage (AMD) from the tailings stack covering an area of approximately 60 ha. Since its construction in 1996, the cover has been monitored to evaluate its performance. Two of the measured parameters are volumetric water content and matrix suction. This paper presents some of the main results from the monitoring program that started seven years ago. The results show that the cover is largely able to maintain a high degree of saturation (greater than 85%) in the moisture-retaining layer. The actual performance of the CCBE on the flat surface of the 60 ha site is even better than expected at the design stage. The area that requires more specific attention with the LTA cover is the influence of slopes that can reduce the performance of the CCBE during dry periods. However, these effects seems to be local and do not significantly affect the overall performance of the CCBE to mitigate the production of AMD at the LTA site.

May 1, 2003

By Ross Dimmock

The productivity of a mine has the same goals as the quest to complete a tunnel project both safely and within time. A key aspect to achieving this goal is to excavate and support the working face as quickly as possible, allowing early re-entry to start construction of the next advance in safety. As with tunnels, the use of high performance wet-mix sprayed concrete has increased in mines dramatically over the last few years, and year on year has seen a stepwise increase in shotcrete performance, particularly in the first few hours. Shotcrete early age strength development clearly offers mining teams enormous advantages by allowing early, safe re-entry to the face. This paper illustrates that in the hard rock tunnelling field, modern shotcrete approaches do not cause delays in re-entry, but allow a continuous construction cycle. Furthermore, the paper identifies the most suitable, up-to-date shotcrete admixture and equipment technology available to the mining community to permit early re-entry.

May 1, 2003

By Paul Harvey

Following initial discovery in 1991, BHP Billiton Diamonds Inc opened Canada?s first diamond mine, the Ekati Diamond Mine TM (Ekati) in the Northwest Territories on October 14th, 1998. Four short years later on November 29th, 2002, saw the opening of North America?s first underground diamond mine - the Koala North mine. Nestled between the original Panda open pit and the new Koala pit which is in the early stages of production, Koala North represents the only underground kimberlite mining venture in arctic conditions outside the new underground mines being developed by ALROSA in the Yakutsk region of eastern Russia. Extensive underground kimberlite mining has been practiced in the Republic of South Africa for much of the 20th century and continues today. Underground mining represents a key component of the long term business plan for the Ekati. As various open pits reach their economic limit, continued recovery of high value ore at depth is dependent upon the ability to productively mine the kimberlite pipes by underground methods. As a function of its location, size, and value, the Koala North pipe is ideally positioned to host the first underground mine at Ekati . In addition to being a production source for the operation, Koala North is designed as a learning mine, from which to gain valuable experience in preparation for the potential mining of other larger, higher value pipes by underground methods in the future. Fortuitously Koala North was available for development so the learnings could be integrated into the Panda mine design prior to completion of the Panda pit. Establishing our first underground diamond mine, and applying the open benching mining method in arctic conditions brings a unique combination of mining challenges together in a harsh climate and remote environment. This paper examines the design and establishment of the Koala North mine. Discussion includes experiences gained from the first year of development, production start-up, and provides a brief overview of our potential underground future at Ekati .

May 1, 2003

By Marc C. Bétournay

Hydrogen fuelcells are a known technology, having been applied to stationary (e.g equipment, buildings, power plants) and vehicle applications (e.g transit buses, space shuttles). There is currently a growing need to provide alternate power systems to diesel fuel for underground mining vehicles to improve underground air quality and reduce production costs and green house gas emissions. To date, however, fuelcells have not been exposed to underground mine air and physical conditions. A testing program was carried out to provide information on the vulnerabilities of fuelcells as part of a number of proof-of-concept projects to apply hydrogen power to underground mining vehicles. The fuelcell type of choice for the industry, the Proton Exchange Membrane, would function at the range of temperatures encountered in underground and surface operations, and use hydrogen that is stored under low pressure and risk. A small fuelcell stack was tested in a cooperative project between CANMET, the Fuelcell Propulsion Institute, INCO, the Ontario Ministry of Labour, Sandia National laboratories and H-Power. This article will review the tests carried out to measure the effects from high humidity, mineral dust, diesel emission gasses and diesel particulate matter as well as from shock and vibration provided to the unit in underground conditions, at INCO?s 175 Orebody minesite and INCO?s Stobie Mine. The test results provided will show that the unit was not affected by the underground conditions: physically and electrically the unit performed without any reduction in operation or adverse effects imposed.

May 1, 2003

By Marcel M. Djivre

The paper will outline historically the different materials used for pouring sockets and illustrate the current trend due to inherent advantages. A section will be devoted to engineering stress analysis showing the criteria necessary for the wires not to slip inside the poured socket material. The Ontario Mining Regulations pertaining to poured sockets will be reviewed with emphasis on the acceptable type of sockets depending on usage. In addition the paper will review the proper socket preparation techniques and explain the destructive testing conducted at the Materials Testing Lab essential for the certification requirements. In conclusion the paper will show the importance of the Certification Program for the safety of Miners working in Ontario, Canada and the World. The paper is also intended to inform the Mine Operators and Consultants that to-date the .Wirelock. sockets have been used safely for hoist ropes of locked coil and non-rotating construction and for the termination of balance ropes, and that further research is required on the construction of a socket approved for rotating type mine hoist ropes.

May 1, 2003

The following guidelines have been recommended by the Diamond Exploration Best Practices Committee established by the Canadian Institute of Mining, Metallurgy and Petroleum. These guidelines are applicable to public companies and their consultants reporting diamond exploration results. In respect of these guidelines, Diamond Exploration Results are results derived from the initial activities undertaken to investigate a diamond bearing prospect or deposit, to generate tonnage, grade and value estimates that cannot be classified as a Mineral Resource or Mineral Reserve. They do not address the earlier stage reporting of geophysical, geochemical or kimberlite indicator mineral results. Public reports of Diamond Exploration Results relating to mineralization not classified as Mineral Resource or Mineral Reserve must address the confidence limits of the result and contain sufficient information to allow a considered and balanced judgement of the significance of the results. The objective of these guidelines is to assist public companies and consultants in making appropriate disclosure of diamond exploration results by reporting in a manner which is: ??Uniform within the diamond exploration industry; ??Consistent with reporting from other industry sectors; ??Comprehensive; ??Unambiguous. The guidelines are not prescriptive. Materiality is the overriding principle that determines the information that should be disclosed. However, where a company or consultant deviates from the guidelines, the disclosure or technical report should state the extent to which the guidelines have not been followed, and the reasons for the deviation. The guidelines do not in any way replace jurisdictional reporting requirements (For example, the requirement for Canadian reporting issuers to comply with Canadian Securities Administrators National Instrument 43-101 by having technical disclosure endorsed by a Qualified Person as defined in that legislation).

May 1, 2003