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By B. McHenry, A. E. Wraith, P. J. Mackey

The Wallaroo smelter on the Yorke Peninsula, South Australia commenced smelting operations in 1861 treating ores from the nearby Moonta and Kadina mines. The plant expanded and modernized on several occasions and was a leader in the successful introduction of new technology to improve operations. It operated continuously until 1923 when local mines became exhausted; in the closing stages of the 19th century it was the largest copper smelter in the world outside of those in Swansea, Wales. In 1892 a small electrolytic refinery was established at Wallaroo, the first in Australia, based on principles developed by Elkington at Pembrey, Wales in 1869. The Wallaroo refinery was specifically built to recover gold and silver from copper produced by smelting gold-containing feed materials shipped from Western Australia. This first venture into electrolytic refining was replaced in 1903 by a somewhat larger refinery which, although modest in size for its time, with a capacity of about 1000 tonnes of cathode copper per year, was very productive in precious metals. Anode copper was produced by an updated version of the reverberatory-based Welsh process until 1910 when barrel-type pneumatic converters were introduced based on American practice; subsequently, anodes were cast by tapping the precious-metals rich "bottoms" portion of converter copper as produced at about one-fifth into the copper blow. The present paper describes the Wallaroo refinery, its anode supply and products, supported by initial observations on a sample of a Wallaroo cathode held in the collection of the South Australia Museum, Adelaide SA, Australia. INTRODUCTION Australia ranked 6th in the world for copper mine production in 2018, with an output of 918,000 tonnes of mined copper, after Chile, Peru, Congo, China and the USA; about 40% of Australian mined copper was smelted in the country. Interestingly, the world ranking of Australia in mined copper has, with a few variations, remained about the same for more than 100 years – of interest, it was also the 6th largest country for copper production at 21,089 tonnes in 1899. At that time, all or most of the copper was smelted in the country (Mackey, 2016). Copper was first discovered in Australia in 1842 in South Australia not far from Adelaide; additional copper discoveries in the region soon followed. At first, copper ore was shipped to Swansea, Wales for smelting (Bampton, 2003). However, in addition to the long, 150 day one-way sea passage, it seems Welsh smelters preferred higher grade of ores – these aspects and likely a mood in the new colony to be independent of Swansea (Evans, 2014) evidently encouraged local smelting at the mine sites using small, Welsh-type reverberatory furnaces fired with hardwood as fuel and operated by Welsh and Cornish migrants. The first large copper smelter in Australia commenced in 1848 at Bremer, near Callington some 60 km east of Adelaide. With larger discoveries on Yorke Peninsula, the Wallaroo copper smelter at Wallaroo Bay on the west coast of the peninsula commenced operations in 1861 (Bell & McCarthy, 2008). Thus began one of the most successful, and in its day, one of the most advanced and innovative plants in Australia if not the world. In the late 1860s, it was considered one of the largest copper smelters in the world (Bell & McCarthy, 2008)

Jan 1, 2019

By Chuck Edwards

Whatever your opinion of the validity of the scientific case for global warming, or of the wisdom of the Kyoto Protocol, it would seem judicious to err on the side of caution and try to sensibly minimize global climate change. To this end, we should take prudent steps to minimize our emission of greenhouse gases. Cameco is the world's leading supplier of uranium for use as fuel in nuclear power plants. Cameco’s uranium production fuels nuclear power plants in 16 countries. Nuclear power plants generate clean electricity without greenhouse gas emissions. This presentation describes the role that uranium and nuclear power can have in meeting the growing demand for electricity and at the same time combating global climate change.

Jan 1, 2004

By L. Li

The rock quality designation (RQD) was initially introduced by Deere (1963) for civil engineering. But, its application has been largely extended to rock mechanics and has become a fundamental parameter in geotechnical engineering (e.g., Hoek & Brown 1980; Milne et al. 1998). The success of this definition is due, in great part, to its simplicity. However, this index includes a number of limitations. Among these limitations, a critical one is associated with the arbitrarily selected threshold value (e.g., Priest & Hudson 1976). Consequently, the RQD value would vary with different threshold length for the same core. Also, using the customarily and universally adopted but very arbitrarily selected threshold value of 10 cm (for NX cores) in the assessment of RQD, the RQD values usually tend to be either high or low in most rock engineering. Some intermediate values (50%) are less frequently encountered (Harrison 1999). The original definition of RQD does not well represent the actual quality of rock masses. In this paper, an improved definition of rock quality designation (RQDc) is given.

May 1, 2009

By Concentrator Staff

"IntroductionA brief literature search will reveal that the information available concerning rod mills and ball mills is quite extensive. This type of equipment is used to treat every element from antimony to zinc. The size and capacity of individual mills, the number of units employed, and the configuration of the equipment within a concentrator add another dimension to the possible scope of this discussion. It would be impossible to treat this volume of material with any degree of thoroughness.It is the intention in this paper to describe the simplest and generally the most typical circuit wherein a single rod mill and ball mill operate in parallel. Some of the subject matter will not be entirely applicable to every installation. However the principles should be generally relevant to most applications.Typical Circuit DescriptionFigure 1 illustrates the arrangement of the equipment associated with a rod-ball mill circuit.Ore is extracted from a fine ore storage bin (1) the capacity of which is large enough to allow .continuous mill operation independently of the mine and crushing plant production schedules. A number of feeders (2) may be employed to control the flow of ore to one or more feeder conveyor belts (3). In larger tonnage operations several such conveyors are employed at least one of which will be equipped with a variable speed control to allow adjusting of the amount of feed reporting to the rod mill. A rod mill feed conveyor (4) accepts all of the ore from these feeder belts for ultimate transfer to the rod mill. This conveyor is normally equipped with a weightometer (5) to monitor the flow rate of ore to the rod mill and ultimately to allow control of this flow. Typically these conveyor belts would be equipped with feed deficiency switches which would give a remote alarm of the fact that no ore is present on the conveyor. The conveyor belts are protected by underspeed monitors which will provide a remote alarm and automatic shutdown of the conveyor in the C'.'~nt that belt slippage occurs. Finally the belts are protected by monitors which will alarm and shut down a belt if it is not running straight in the idlers."

Jan 1, 1989

By I. M. Gordon, J. Blackshaw

"Run-of-mine ore is reduced to 4 per cent on 4 mesh (3/ 16 inch), using four stages of dry crushing. The mill feed is then reduced to 2 per cent on 48 mesh and 60 per cent through 200 mesh, using one stage of ball milling in cyanide solution. During the subsequent treatment about one-tenth of the tonnage is removed as a table concentrate and ground to 77 per cent through 325 mesh. The size of the mill tailing is 66 per cent through 200 mesh.Four stages of ore reduction began when the dry crushing plant at No. 26 Shaft came into operation at a maximum rate of 440 tons an hour on July 31, 1941. A detailed description of the crushing plant was published in C .I .M. Trans., Vol. LVI, 1953.One-stage ball milling in cyanide solution came into full operation on January 11, 1938. The ball milling plant had a capacity of 4800 tons daily when reducing mill feed at 2. 7 per cent on 1/ 4 inch to 54. 3 per cent through 200 mesh. Primary grinding to 60 per cent through 200 mesh commenced May 22, 1945, when the feed was 3 per cent on 4 mesh. Under these conditions the capacity of the ball milling plant is estimated at 4300 tons daily. A description of the 11 Hollinger Crushing and Grinding Plant"" by D. C. McLaren was published in the Canadian Mining Journal, June 1944.The concentrate grinding circuit using a 7 x 15 low discharge ball mill and a 19-foot diameter bowl classifier with a 6-inch centrifugal pump to close the circuit began operating in the ball milling plant on October 24, 1939."

Jan 1, 1965

By N. Coli

The exhausted Santa Barbara open pit mine (Tuscany, Italy), owned by the main electric power company in Italy (ENEL S.p.A,) extracted lignite as a fuel for the Santa Barbara thermoelectric power plant. The mining activity led to the excavation of a wide slope (with maximum height of 200 m and a planar extension of about 1300 m x 500 m) in the Shale Limestone Chaotic Complex (SLCC) (Figure 1). Since the beginning of its excavation the slope underwent rotational landslides and diffuse instability phenomena. From a geotechnical point of view the SLCC represents a typical bimrock (block-in-matrix rock) (Medley 1994, Medley 2002, Medley 2007) characterized by a mixture of a highly sheared, scaly-fabric, clayey matrix and calcareous blocks ranging from a few millimetres to tens of metres in size. Since the geometrical properties of blocks (grain-size distribution, shape, orientation and volumetric proportion) have been proved to influence the mechanical behaviour of bimrocks (Lindquist & Goodman 1994, Goodman & Ahlgren 2000, Kim et al. 2004, Sonmez et al. 2006), the aim of the present study is to investigate the geometrical properties of calcareous blocks in order to properly characterize the mechanical behaviour of the SLCC bimrock and to further assess the stability of the slope. Block size-distribution and shape were investigated by means of advanced image analysis techniques of SLCC pictures taken in the field. Geostatistical semivariograms and variographic maps were also used in order to investigate the anisotropy of block spatial distribution. Finally, in-situ large sized sieving tests were carried out to investigate the volumetric block proportion within the clayey matrix.

May 1, 2009

By M. P. Hay

"For a model to be successful it must address the concerns and needs of a target audience. Further, the model must demonstrate the same patterns of behaviour as the real system, and need only be complex enough to meet this objective. If the model is too complex it can become unusable to those who need it most.With this in mind, SUPASIM has been developed for the practical metallurgist requiring only laboratory flotation rate data as input. Some 35+ successful plant simulations have been completed since 1985. The approach of SUPASIM is to characterise an ore, organise information in an understandable way and add structure to the complex flotation situation and hence support the metallurgist to interpret the relationship between variables and optimise the flotation process.The paper describes the basis on which the model was developed and sets out to provide an insight into interpreting laboratory flotation kinetics and their physical meaning in a production plant and the influence floatable gangue has on float performance and plant design. A case study illustrates how the ratio of slow floating mineral to gangue can influence circuit design and improve recovery on a plant scale.INTRODUCTIONThere is an enormous amount of useful data in the results of a laboratory scale rate test. Each variable of fraction and rate, for mineral, metal and gangue has a physical meaning in the plant. The link between float kinetics and the plant in respect of recovery, grade, pulp density, pulp flowrate, residence time, number of stages of cleaning and circuit configuration has been established by the author in the process of developing SUPASIM."

Jan 1, 2005

By John J. Laffin

"Nova Scotia Department of Mines and Energy Throughout the history of Nova Scotia, trends in the production and use of its coal resources have resulted in major impacts on the economy and society of the province. Current trends in coal demand locally, nationally and internationally are having and will have an increasing positive effect on Nova Scotia over the next twenty years-in terms of energy supply, job creation and general economic development. Coal for electrical generation is an immediate and key objective of Nova Scotia's energy plan; and, in the long term, coal-derived fuels will meet the province's needs for transportation fuels. Demand for metallurgical coal is also expected to increase, especially if the merchant coke plant currently under investigation becomes a reality.Meeting these coal supply and utilization objectives in the face of increasing environmental, social and economic constraints poses a tremendous technical challenge. Work has begun on projects to expand coal production capacity and to adapt new technologies for coal preparation and utilization to the specific needs of Nova Scotia; much more work will be required in the coming decade in order to succesfully tap this resource.IntroductionThe energy problem facing Atlantic Canada has a few unique features not found in the rest of the country. Canada, as a whole, has access to a diverse mix of energy resources, including crude oil, natural gas, coal, hydro and uranium, with the result that crude oil supplies only about 40 per cent of Canada's primary demand. In contrast, foreign crude oil dominates Atlantic Canada's energy mix, supplying over 70 per cent of the primary energy demand.This results in important differences in various sectors. Nationally, about 5 per cent of the electricity is generated from oil whereas last year in Nova Scotia approximately 40 per cent of the electricity generated was from imported oil. Residential, commercial and industrial space heating, and industrial process heating in Atlantic Canada was almost 100 percent dependent on foreign oil. This is in sharp contrast to the situation in central and western Canada, which have access to secure domestic natural gas, oil and hydro electricity."

Jan 1, 1982

By A. W. Stradling, M. J. Fairweather

"The selective flotation of lead, zinc and iron sulphide minerals is key to the economic performance of concentrators treating zinc-lead ores. Diagnostic metallurgy is a tool to quantify mineral behaviour as a function of particle size and liberation. The result of such analysis may be used to select preferred strategies to improve metallurgical performance. The zinc flotation circuits at three Teck Cominco operations: Sullivan, Polaris and Red Dog are compared here. This paper analyses operating data from each of these circuits. The effects of mineralogy and performance by particle size are emphasized. Metallurgical performance at these three concentrators varies substantially. Liberation size is the major factor in determining metallurgical performance. Complex mineralogy requires a fine grind to achieve effective liberation. Fine grinding results in offsetting decreases in concentrate grade through entrainment. The economic treatment of complex fine-grained deposits requires optimisation of regrind size for liberation without unduly compromising concentrate grade through gangue entrainment.INTRODUCTIONUntil recently Teck Cominco Metals Ltd. operated three mines treating zinc-lead ore. In order of increasing mineralogical complexity they are: the Polaris Mine on Little Cornwallis Island in Nunavut in the eastern Arctic, the Sullivan Mine in southeastern British Columbia and the Red Dog Mine in northwestern Alaska. Both the Polaris and Sullivan Mines have recently ceased to operate due to depletion of ore reserves.The ore type and associated gangue, mineralogy and iron solid solution vary significantly between these deposits. Table 1 summarizes some of the important differences"

Jan 1, 2003

By Maarten van de Vijfeijken, Marco Rufli

"By using the latest generation of medium voltage frequency converters, new possibilities have arisen to improve the grinding process. Beside all the direct and indirect advantages, several dedicated functions have now been implemented for ring geared grinding mills in the minerals industry. The advanced operational functions ensure a smooth, safe and reliable operation with minimum stress for the mechanical equipment and therefore highest availability of the mill. Several papers have already been presented concerning the benefits of using this state of the art technology for mill drives (Ravani von Ow and Bomvisinho, 2010; Ravani von Ow and Gerhard, 2010). However this paper will not only show and explain the operational benefit of these functions, but will focus on the experiences gained with this kind of sophisticated ring geared mill drive system. Several measurements of different operating conditions (starting, frozen charge remover, controlled roll back, backlash, etc.) made on an installed and commissioned 2 x 5 MW dual pinion ring geared mill drive system will be shown and discussed. Also the accuracy of the load sharing between the two 5 MW motors during starting, normal operation and stopping will be demonstrated using real measurements from an operating system. Finally the inherent features of these drive systems are briefly discussed.INTRODUCTIONLooking at the demands of grinding mills, we can split them into operational, maintenance and protective demands. For smooth and safe operation, it is important that critical situations are avoided as much as possible. Maintenance functionality must be quick and easy to execute, while protection of the system is important during all operating conditions. ABB has considered all these demands during development of their dedicated mill functions. By adding an additional controller (mill controller), not only a lot of application related functionality and protection is included, but also the interface between the mill drive system and the customer’s distributed control system (DCS) is simplified."

Jan 1, 2011

By W. A. MacDonald, C. M. McGibbon, J. H. Reynolds

This paper traces the development of the Seaboard Power Plant, which plays such an important role in the industrial life of Nova Scotia. It also shows the involvement of the plant in the siting of a heavy water production facility in Cape Breton. The paper concludes with an outline of the new installations which the Nova Scotia Power Commission has undertaken as an extension to the Seaboard Plant.

Jan 1, 1966

By A. J. Monhemius

"The paper reviews the history of modern iron control processes in hydrometallurgy. Particular attention is paid to the processes developed in the 1960s by the electrolytic zinc industry for the removal of iron from zinc sulphate leach liquors - namely the Jarosite, Goethite and Hematite processes. Problems faced by the industry in the safe disposal of the iron residues produced by these processes are discussed. The lessons learnt over the past half century by the zinc industry are projected on to the current efforts to develop hydrometallurgical processes for the treatment of copper sulphide concentrates. It is argued that any attempt to create a “hydrometallurgical copper smelter” is doomed to ultimate failure, unless and until methods are developed that can recover iron from solution in a form that can be directly utilised by the steel or pigment industries.INTRODUCTIONYou suddenly realise that age is catching up with you and that technology is moving on apace when you are asked to talk about the history of a process or a technology that you’ve grown up with. Such was my reaction when, out of the blue, I received an email last year from the chairman of the CIM’s Historical Metallurgy Committee, asking me if I would give a talk on the early developments of iron control in hydrometallurgy. Once I’d got over the initial shock of realising that I had now become living history, I was of course flattered that the invitation was to give a talk at the prestigious IMPC, a conference series that has been going for as long as I have been in the business. That this particular IMPC was to include the 4th Symposium on Iron Control in Hydrometallurgy, made the invitation even more appealing and appropriate, because I was the co-chairman of the First Symposium on Iron Control, together with my old friend, John Dutrizac (known by many as Dr Jarosite), which was held 30 years ago in Toronto.first became involved with iron at the very start of my career in hydrometallurgy – the research topic for my Masters degree thesis at UBC, back in the mid 1960s, was “Reductive leaching of Goethite with SO2”. My thesis supervisor was the late Professor Ian Warren, who himself was a protégé of Professor Frank Forward, one of the founding fathers of modern hydrometallurgy. Little did I realise at that time, now 50 years ago, that the problem of iron and how to deal with it in hydrometallurgical processes would be a theme that followed me throughout much of my 40-year career in academia."

Jan 1, 2016

By Greg Yuriy

Over the past two decades, Vale Canada has used discrete-event simulation in a key role to support many underground mining studies. Traditionally, general purpose simulation software was developed for manufacturing and service applications. Not until recently have Mine Designers and Simulation Specialists been able to model the dynamics of underground mining scenarios without extensive manipulation of the inherent tools and entities contained within these simulation environments. This paper discusses Vale Canada?s past experiences with a variety of simulation software, describing model development methods and highlighting some of the lessons learned. The paper concludes with a review of recently considered software and provides a framework of desired attributes/functions for modeling mining scenarios.

Aug 1, 2013

By Luis A. Tondo

The Paracatu Expansion Project III in Brazil was implemented between 2006 and 2008 to increase the existing capacity from 20 to 61 Million tons per year of gold ore treatment. This expansion led the Brazilian subsidiary of the Canadian Kinross Gold Corporation to become the single largest gold producer in Brazil and the largest single gold concentrator in the world, with a nominal capacity to treat around 167,000 tons per day of ore. This paper describes the Project Development areas for the Paracatu Expansion, using the approach proposed by the Project Management Institute (PMI) and the methodology included in the PMBOK (Project Management Book of Knowledge). The author has more than 20 years of experience in the gold mining industry, having worked as a plant metallurgist, mill superintendent and development manager for RPM until he took the position as the Project Manager of the Paracatu Expansion III in 2005. Luis Tondo has a BSc in Mining Engineering from UFRGS-Brazil, an MScEng from the University of Queensland - Australia and an MBA degree from FDC-Brazil. Luis is currently based in Santiago-Chile, acting as the Project Director for developing projects in Latin America for the Kinross Gold Corporation.

May 1, 2009

By B. R. Johnston, K. D. Streeter

"ABSTRACTCoal Mountain Operations is the newest of Fording Coal’s operations although it is the oldest in terms of its historical production. In October, 1994, Fording purchased the former Corbin Creek/Byron Creek Mine. The mine is located in southeastern British Columbia, approximately 150 air kilometers from Calgary, Alberta. It was first developed in 1905 and has gone through a variety of owners in its 90-year history.This paper will deal with the remobilization strategy and the mining plans for the operation which are being implemented to make this operation competitive in the world export coal market. IntroductionIn October 1994, following a due diligence process, Fording Coal Limited purchased Coal Mountain Operations from Corbin Creek Resources, an employee group which had previously owned the mine. The purchase awarded Fording Coal Limited with 100% of the assets, and control of all the coal leases at Coal Mountain.The mine is located in southeastern British Columbia, southeast of Sparwood at the hamlet of Corbin, (Fig. 1).Rehiring of laid-off employees started in November 1994, with mining activities also recommencing in November. The coal preparation plant was restarted in December with one shift, went to two shifts in January 1995, and had four-shift, full-time operation in April 1996."

Jan 1, 1997

By J. F. Wright

INTRODUCTION Eighteen years ago about half a dozen experienced prospectors moved from northern Ontario to northwest Manitoba to prospect 'greenstone' areas shown on geological maps of .parts of northern Manitoba prepared by J. B. Tyrrell, D. B. Dowling, and Wm. Mclnnes. Gold-bearing quartz was soon discovered by these men in this new field, and in succeeding years many more prospectors entered the district. A number of the pioneers are still prospecting, and since 1913 mineral deposits have been discovered each year in widely separated areas of the large district extending 150 miles eastward from the 102nd meridian and 60 miles north of latitude 54°30'. The majority of the discoveries, however, have been made near Schist, Elbow, Wekusko, and Kississing lakes. One hundred or more mineral occurrences of some merit are known, the main types being sulphide replacement bodies containing nickel-copper or copper-zinc and gold-bearing quartz veins. Some underground exploration or diamond drilling has been completed on 25 or more of the prospects. Up to the present, three ore-bodies, namely, Flin Flon, Sherritt-Gordon, and Mandy, have been proved. Of these, Flin Flon, the largest, is estimated to contain from 16,000,000 o 19,000,000 tons of copper-zinc ore carrying some gold, silver, and lead. Next in importance in regard to tonnage is Sherritt-Gordon, with a calculated reserve of nearly 5,250,000 tons of copper-zinc ore carrying less than $1.00 combined gold and silver.

Jan 1, 1931

By Monique Pharand, Jeet Basi, Simon Hille

"High quality activated carbon is essential in the recovery of gold in Carbon-in-Leach (CIL), Carbon-in-Pulp (CIP), and Carbon-in-Column (CIC) circuits. Goldcorp’s Campbell complex at Red Lake Gold Mines (RLGM) experienced a period of low soluble gold (Au) recoveries during Q3 2013, during which time the processing plant saw higher than typical Au grades in the CIP tails solution stream. A technical review identified that the CIP circuit may be experiencing a carbon-fouling issue. To further understand the degree of fouling, and to troubleshoot the low recovery problem, samples of carbon were collected from the CIP, elution, acid wash, and regeneration circuits, and submitted for characterization test work. This paper summarizes the steps taken to remedy the carbon-fouling problem at RLGM resulting in increased overall Au recovery.Overview of Red Lake Gold MinesRed Lake Gold Mines is located approximately 450 kilometres northeast of Winnipeg, Manitoba, in Ontario’s western boundary region.All mining is carried out through underground operations, utilizing overhand cut and fill, underhand cut and fill, and long-hole mining methods. Ore types include: silica-replaced carbonate veins with free milling gold, siliceous replacement-type mineralization (rich with arsenopyrite) marginal to veins, broad disseminated sulphide mineralization along major shears, and some minor sulphidized chemical sediment-hosted ore. The operation is supported by two milling complexes: Red Lake, and Campbell.Process DescriptionThe Campbell processing plant's main unit operations consist of grinding, gravity concentrating, flotation, autoclaving, leaching, carbon-in-pulp (CIP), carbon elution and reactivation, electro-winning, bullion smelting/refining and cyanide destruction, and concentrate handling. A schematic of the plant flowsheet is shown in the figure below.BackgroundHigh quality activated carbon is essential in the recovery of gold at many CIP/CIL/CIC processing plants. At RLGM, gold-bearing ore is milled and cyanide is added to leach the gold from the solids into solution. The dissolved gold then comes into contact with activated carbon, and adsorbs onto its highly porous surfaces. Gold is then recovered by separating the activated carbon from the main slurry for further refining. As such, the characteristics and quality of the activated carbon have a significant and direct impact on overall gold recovery."

Jan 1, 2016

By W. Dietzel

Fracture mechanics based techniques are used to gain insight into the phenomenon of stress corrosion cracking (SCC) and to develop guidance for avoiding or controlling SCC. From constant extension rate experiments under rising load or rising displacement conditions the susceptibility of high strength steels, aluminum, magnesium and titanium alloys to SCC and hydrogen embrittlement can be assessed. Such tests on pre-cracked specimens are also well suited for studying the mechanisms leading to SCC by employing appropriate models for the degradation of metallic materials which take into account the uptake of atomic hydrogen from the corrosive environment. Measurements of crack growth resistance curves using the crack tip opening displacement as fracture parameter can be compared with simulated R-curves obtained from modeling of the mechanism of hydrogen embrittlement. The materials investigated are a high strength steel and a magnesium alloy both exposed to environmental conditions which fostered the uptake of hydrogen.

Jan 1, 2010

By Karl J. C. Harries

"11.1. INTRODUCTIONA royalty is the most common form of interest retained by an owner who is disposing of his property or by a joint venturer who ceases, voluntarily or otherwise, to participate in the joint venture.1 Rarely does a non-participating party have a direct interest in the property and/or assets of a project, except during the period when a non-participating joint venturer may be having his interest diluted.2 In fact, it is most unwise to permit a non-participating party to have such an interest. It may give rise to significant problems that could prevent or substantially delay the development of an orebody and require a considerable amount of time, effort, and money to correct.3In negotiating a royalty, it is important to be aware that there is no law or convention that says, “You just don’t do that in a royalty agreement.” As with any agreement, inventiveness and flexibility on the part of the negotiator are not just assets, but virtual necessities. It is also for this reason that it is essential to read the royalty provisions, particularly the definitions, fully and carefully, especially if you are the recipient. On the other hand, if your inventiveness and flexibility cause your accountant to question the advisability of one of your ideas, pay close attention to him.4 He will, no doubt, have had experience with many royalties, and no competent professional adviser disparages a client’s ideas without good reason. Besides, he will probably be the person who will be determining the royalty or certifying the determination of it. At the very least, he will be auditing your general financial statements, which must, of course, reflect the royalty determination. Heeding his advice not only may make the determination easier but also will probably save you money in professional fees later on. Nevertheless, do not simply accept his comments or recommendations without understanding what they mean, why they have been made with respect to your royalty agreement (sometimes professionals have comments that they make as a matter of course and, even though they may be valid, you should require them to be justified to you), and how they will affect your royalty determination.It is surprising how many corporate payors insist that their standard royalty provisions5 be used as a matter of policy, thereby effectively tying the negotiator’s hands. It is even more surprising, and to professional advisers frightening, how many of the senior employees who insist that such a policy be adhered to, virtually without variation, do not know what is in the standard provisions and would be hard-pressed to explain them to a property owner. If standard provisions are appropriate, by all means use them, but do allow experienced and sensible negotiators some flexibility and make sure that everyone within the corporation who may have to use such provisions – negotiator and supervisor alike – knows what they contain and why they are as they are. For example, there are often good and convincing reasons to describe a deduction in a certain way or to include a certain specific type of deduction. On the other hand, quite often the answer to the question “why?” is that “it has always been there”; this is, or should be, an unacceptable answer. In any event, if you, as the negotiator, appear to know what you are talking about, are familiar and comfortable with your royalty provisions, and are backed up by your boss with the same words or reasoning, a property owner cannot help but be satisfied that you are knowledgeable, even if he still does not agree with your provisions. Finally, if you do use standard provisions, make sure that they are reviewed and updated regularly."

Jan 1, 2003

By J. M. Simard, S. Morissette, P. Coursol, P. Mackey

A new, powerful model is presented that focuses on plant logistics and scheduling aspects of the smelting, converting, fire refining and casting operations at the Horne smelter. This plant complex is the largest custom copper smelter in North America. It handles a wide range of feeds and utilizes a number of proprietary continuous and batch technologies that require good scheduling in order to maximize plant capacity and efficiency. The present model was developed by Xstrata Process Support, in collaboration with the Horne smelter, and uses the Arena® software to evaluate the impact of a number of plant variables on the annual copper capacity of the plant. Model development was carried out by Xstrata Process Support, in collaboration with the Horne smelter, through the effective combination of process chemistry knowledge and detailed knowledge of the plant operation (including all material flows and transfers, as well as information such as operating on-line times, plant stoppages and also scheduled and unscheduled maintenance activities). A number of case studies were then examined, including the impact of anode furnace and casting cycle times on annual copper capacity and the impact of a one-crane mode of operation in the converter aisle, which normally operates with two cranes in service. The model predictions were found to match actual plant results very well. The present modelling of plant logistics and the scheduling aspects were found to add important dimensions at the plant with regard to projections of the real-life plant capacity. As demonstrated in the present case, this type of model and application can have a significant impact on optimizing operations at a given plant. This impact is particularly important in the current market environment, where emphasis is on maximizing plant output and lowering costs. These models can help yield the easily obtained gains that are clearly desirable in these times. Xstrata Process Support has developed Arena models for other operations and is available to explore new applications for a win-win situation at other plants, including mines and concentrator operations.

Jan 1, 2009