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By T. Tamagawa, I. Iwasaki, N. X. Fu, M. Kobayashi

A low-temperature-chlorination selective oxidation followed by aqueous chloride leaching and SX-EW for producing electrolytic copper, elemental sulfur and ferric oxide was investigated for hydrometallurgical processing of a chalcopyrite concentrate. In this article, the selective oxidation phase of the process is described. The selective oxidation requires a temperature well above the CuCl-FeCl3 eutectic points. The test procedure was developed with a batch reactor and then tested with a continuous reactor. The process was initiated by adding small amounts of chlorinated samples to a fluidizing bed of dead-roasted sulfide concentrate micropellets. The selectively oxidized samples thus prepared were shown to fully dissolve copper, while virtually all the iron remained undissolved.

Jan 1, 2000

By S. D. Thompson

Several discrete-event simulation models have been developed for designing the conveying system capacities of underground coal mines. Most of these models require the use of a step function approach to mimic the loading process at each conveyor loading point. Over the years, practitioners have generally employed one of three versions of the step function approach. An important issue is how these three versions compare to each; other in terms of simulated capacity requirements for belt conveyors. Another issue is how they compare to the peak capacity design. This paper addresses these issues by statistically and quantitatively comparing their simulation results. The consequences and problems associated with using each version are also discussed and summarized.

Jan 1, 1997

By Alberto Sarmentero

Venezuela, once a world's top gold producer until 1886 Witwatersrand discovery, did let fall its role then because of a serious lack of infrastructure and population, and lately (since World war II times), because of discouraging mining and taxation laws, laying upon an oil prizes bonanza. Recent research leading to estimates of about 5.000 mt. of gold, mainly related to the greenstone belts of the Guiana Precambrian shield outcropping in Venezuela, are opening the scope for both Government and international investing and mining companies, for gold exploration and development projects in the country. This paper overviews Venezuelan Gold mining industry, as seen from the point of view of a participating mining company.

Jan 1, 1989

By G. T. Adel

This paper presents the highlights of a general-purpose simulator for mineral processing plants that is being developed at the University of California, Berkeley. The state-of-the-art structured design methodogy based on a top-down design approach is being used to construct a modular and completely structured simulator such that it is independent of the unit operation models and routines. The simulator provides for two levels of operation allowing prebuilt or user-built simulation flowsheets depending upon the degree of computer knowledge expected of the user. The philosophy used in designing this simulator appears to be unique in the field of flowsheet simulation. The paper also includes a mini-example demonstrating the usage of the simulator.

Jan 1, 1982

By W. Lin, E. Heuze

This paper focuses on tests performed on sandstones and shales from four gas wells in the Mesaverde formation. A previous document showed a comparison of the static and dynamic laboratory moduli. This publication describes how field velocity logs were used to derive field dynamic moduli. A 3-way comparison was then performed for these stiffness properties; the results show no agreement between the three sets of values. Differences between dynamic stiffness coefficients from the field and the laboratory exceed 200%; differences between static and dynamic coefficients range up to 600%. In turn, this indicates that a reliable method of estimating mechanical rock properties for hydraulic fracturing design has not been established, and that such a task should be pursued.

Jan 1, 1986

Cost accounting information is used primarily for (1) planning, control, and performance evaluation; and (2) managerial decision-making. Incremental analysis is a tool for managerial decision-making. It is designed to estimate future financial performance, namely the benefits and costs associated with alternative courses of action. Decisions may be distinguished as pertaining to short-term or long-term activities. Long-term activities frequently focus on capacity decisions and the attendant capital budgeting processes used to quantify the financial effects of these decisions. Short-term decisions typically address short-range production quantity and pricing issues, outsourcing, selection of the optimal mix of products, inventory management, and the acceptance of special orders. This chapter addresses these short-term decisions.

Jan 1, 1999

By Malcolm Scoble, Sean Dessureault, Scott Dunbar

Budgets are key financial and behavior drivers for most businesses, including mining. Budgets are used to link strategic objectives to tactical decisions, to measure performance, and to provide basic financial planning. More accurate and pertinent budgets should result in improved strategic decision making and performance measures. This paper discusses how a process based production and cost database, based on activity based costing models and the one year production plan, can be used to create the annual budget for an operating mine as an Activity Based Budget (ABB). A case study is used to compare budgets derived from traditional methods and an ABB approach. It is evident that the ABB method is more accurate.

Jan 1, 2002

By I. Iwasaki, K. A. Smith, X. Cheng

The reaction mechanism for the cathodic decomposition of pyrrhotite in deoxygenated solutions at natural, near neutral pH levels was studied using potential and cyclic voltammetric measurements. Reaction products on the pyrrhotite surfaces were examined by Auger Electron Spectroscopy (AES), by X-ray photoelectron spectroscopy (XPS) and by analyzing the voltammograms for the electron balance of the reactions. Surface properties of the pyrrhotite/solution interface were characterized using an ac impedance technique. The parameters of an equivalent circuit were determined by the nonlinear least-squares fit (NLLSF) technique. The effect of cathodic polarization on floatability was investigated by performing microflotation tests. Possible implications to the flotation separation of chalcopyrite-pyrrhotite ores are discussed.

Jan 1, 1995

By André G. Journel

As opposed to graphics applications in medical sciences and mechanical engineering, computer imaging of the subsurface faces a severe problem of data shortage. Most graphics softwares include an interpolation algorithm aimed at producing slick graphic output, irrespective of the attribute being interpolated, the quantity and quality of the data available, and what the map is intended for. It is suggested that the power of modern computers be also used in providing representations of the subsurface that accurately reflect actual spatial variability and the large variety of soft information available beyond hard data. Since any subsurface representation is uncertain, a measure of that uncertainty should be provided which can be used for risk analysis.

Jan 1, 1992

By Nico Bezuidenhout, André M. van Niekerk, Jan J. G. Vermaak

This paper documents empirical evaluations of geochemical data that was recorded during a seven year pilot scale experiment. The experiment was aimed at assessing the effectiveness of natural soil covers for rehabilitation of coal discard facilities. Ten test cells were constructed using different natural soil cover materials and configurations. Results of the evaluation indicate that, although a pH breakthrough was not recorded for the single layer soil cover cells as was the case with the uncovered cells, single soil covers were not effective in preventing ARD oxidation processes. Multi layered soil covers were found to be able to create anaerobic conditions leading to a reduction in ARD oxidation processes and an improvement in leachate quality.

Jan 1, 2000

By K. G. Sutterer, P. T. Wang, R. Sweigard

One possible alternative for the disposal of flue gas desulfurization (FGD) by-products is to use it as backfilling support material in highwall mine adits. The finite element method was used to analyze the variation in stresses and displacements within and around a highwall adit backfilled with FGD materials. The engineering properties of the rock material and the optimum mix of the FGD materials were obtained from laboratory tests. Finite element analyses show that, for the case in question, the roof displacement would decrease about 48% and the peak stress could be decreased by about 58%. The study indicates that fairly weak FGD materials can eventually lead to the stability of backfilled highwall adits.

Jan 1, 1998

By I. E. Zevgolis

A comprehensive critical review on the subject of sulfates-induced swelling behavior of lime-treated soils is presented in this study. Starting with the description of a well documented case study, the mechanisms behind the swelling behavior and the factors that affect this behavior are discussed. Then, the major experimental methods of sulfates content determination are briefly presented. Finally, an attempt is made to categorize sulfates level and equivalent risk for civil infrastructure. The paper indicates that limited work has been done, not only on identifying safe conditions for use of chemical stabilizers in presence of sulfate rich soils, but also on developing materials and methods to avoid, or at least mitigate, the problem.

Jan 1, 2008

By A. Bruce Waugh, W. W. Wen, Kevin N. Clark, Neville C. Lockhart, Bruce A. Firth

Australia is the world's largest coal exporter, and technological advancement is a key element of the coal industry strategy. The issues include: increased recovery of saleable coal; enhanced quality, i.e. lower ash, moisture, fines, phosphorus (sulphur is a relatively minor problem for Australian coals); better quality control; higher throughputs/lower costs; improved handling and transport; and reduced environmental impacts. In process terms, many coal preparation operations, particularly fine coal circuits, are relatively inefficient, and all circuits must also be matched and integrated for optimum overall operation. A holistic approach to technological improvement is desirable. This paper summarises research and development efforts, within CSIRO and its collaborators, across the unit operations as outlined in the title.

Jan 1, 1995

By J. B. Knapp, J. W. G. Betts, Scott L. Burreill, J. H. Bassarear, E. A. Lowe, W. J. N. Davis, John L. Bolles, Gaylord P. Dopson, William H. Keener, N. S. L. Steenkamp

This chapter contains moderately detailed descriptions of some typical and well known mills that treat predominantly sulfide copper ores, some containing secondary values in gold, silver, and molybdenum. The descriptions are general in nature, because most of the specific data will be found in tabulations elsewhere in this section, covering a large number of mills in such matters as flotation reagents, crushing and grinding equipment and steel consumption, thickener and filter operating data, power consumption, and many others, in a manner that the reader will find convenient and comprehensive for reference and comparison. On the other hand, the plant descriptions selected for this chapter emphasize the kind of information that cannot be readily tabulated.

Jan 1, 1985

By Stephen P. E. Redmond

A 15 km water supply tunnel is being constructed in Buenos Aires, Argentinata expand the capacity of the existing system. Two 4.3 meter diameter Earth Pressure Balance (EPB) tunneling machines operating at times from the same shaft on a congested work site and advancing through sedimentary deposits underlying this wonderful city pose interesting challenges. As of January 1999approximately 50% of the tunnel has been excavated. Combined machine production rates of 1026 m/month have been achieved. Presentations made in prior proceedings can be referenced for details of the overall Project scope and for details of the tendering process. The purpose of this paper is to compliment those presentations by addressing now the execution of the work.

Jan 1, 1999

By J. H. Tu

The technical paper correctly points out that the kriging variance is not a good measure of the uncertainty of the estimated (i.e., kriged) value of individual blocks. The au thors claim that their proposed jackknife method, which is a rekriging of each block by eliminating, in turn, one sample from the original sample set and then taking the average of the rekriged estimates, not only gives good block estimates, but the resulting jackknife kriging standard deviation is a useful indicator of the "true uncertainty associated with block estimates." However, they immediately abandon the idea of using the block-by-block standard deviations, reasoning that these standard deviations are not independent and that there is no easy way to utilize them. There may be another reason for not using them. The jackknife standard deviations for individual blocks given in their example are mostly in the range of 0.004 to 0.005 oz/st (0.14 to 0.17 g/t) with only one block having a high value of 0.012 oz/st (0.41 g/ t). These individual block standard deviations are as low as the jackknife standard deviation for the mean grade of the entire shape, i.e., 0.0041 oz/st (0.14 g/t). Do they represent the "true uncertainty" of the individual block estimates? Could the authors explain this? In a global shape consisting of a large number of blocks, any given sample will affect the kriged estimate of only those few blocks within its vicinity. This is the rationale for the authors' selective rekriging, making the jackknife algorithm more efficient. On second thought, why not do away with jackknifing altogether? Just cumulate and normalize, if necessary, the kriging weights of each sample used during the ordinary block kriging process, and then compute the global variance from these kriging weights and their respective sample grades? After all, isn't the global mean grade nothing but the weighted average of the samples used in the estimation? Reply by G.S. Adisoma and M.G. Hester The jackknife is one of the many tools in a practitioner's toolbox to solve estimation problems. The strengths of the technique lies in its simplicity, i.e., it uses the concept of mean and standard deviation and the fact that it can be easily combined with other tools, in this case kriging. Because the jackknife kriging (JK) estimate is also the mean of the pseudovalues, the JK standard deviation is attractive just as the standard deviation of the mean explains the variability of the data. The difference is that the pseudovalue calculation in jackknife kriging uses the ordinary kriging (OK) weighting scheme instead of simple arithmetic averaging. The data used to illustrate the jackknife technique in the paper consist of high values that are roughly three times the low values. The resulting JK estimate of the block grades show that the highest estimate is roughly twice the grade of the lowest estimate. The contrast between the low and the high estimate is more evident in the JK estimate than in the OK estimate, even though the mean grades of the blocks for the two estimates are very similar. Nonetheless, in this paper, we are concentrating more on the need for a more realistic measure of uncertainty, or precision, for the estimate. Unlike its OK counterpart, the JK standard deviation of the blocks clearly reflects the original data variation. The highest JK standard deviation of the blocks is three times its lowest value. This follows our intuition that, when the samples used to estimate a block is more variable, the resulting estimation variance (or standard deviation) should be higher than the case where the samples are more uniformly valued. However, block-by-block standard deviation or variance is of little practical value in reserve estimation and classification, as well as in mine planning. One is usually more interested in quantifying not the variance of the individual block estimate, but the uncertainties associated with a much larger dimension, such as the minable reserve. Thus, the thrust of the paper is to find a simple way to obtain a single estimation variance or standard deviation associated with the reserve grade estimate. The discussion by J.H. Tu did not mention how one would obtain the global variance from the OK weights and the sample grades. As a technique that offers a data valuebased measure of uncertainty for its estimate, the "leave-one-out" jackknife fills this need nicely through the block kriging shortcut approach described in the paper. Note: The first column and the last two columns of Table 3 in the paper should have contained a single number each, namely, an OK estimate of 0.0317, a JK estimate of 0.0333 and a JK standard deviation of 0.0041 oz/st, respectively, for the shape, as are obvious from the text. ?

Jan 1, 1998

By J. H. Tu

The technical paper correctly points out that the kriging variance is not a good measure of the uncertainty of the estimated (i.e., kriged) value of individual blocks. The authors claim that their proposed jack-knife method, which is a rekriging of each block by eliminating, in turn, one sample from m the original sample set and then taking the average of the rekriged estimates, not only gives good block estimates, but the resulting jackknife kriging standard deviation is a useful indicator of the "true uncertainty associated with block estimates." However, they immediately abandon the idea of using the block-by-block standard deviations, reasoning that these standard deviations are not independent and that there is no easy way to utilize them. There may be another reason for not using them. The jackknife standard deviations for individual blocks given in their example are mostly in the range of 0.004 to 0.005 oz/st (0.14 to 0.17 g/t) with only one block having a high value of 0.012 oz/st (0.41 g/ t). These individual block standard deviations are as low as the jackknife standard deviation for the mean grade of the entire shape, i.e., 0.0041 oz/st (0.14 g/t). Do they represent the "true uncertainty" .of the individual block estimates? Could the authors explain this? In a global shape consisting of a large number of blocks, any given sample will affect the kriged estimate of only those few blocks within its vicinity. This is the rationale for the authors' selective rekriging, making the jackknife algorithm more efficient. On second thought, why not do away with jackknifing altogether? Just cumulate and normalize, if necessary, the kriging weights of each sample used during the ordinary block kriging process, and then compute the global variance from these kriging weights and their respective sample grades? After all, isn't the global mean grade nothing but the weighted average of the samples used in the estimation? Reply by G.S. Adisoma and M.G. Hester The jackknife is one of the many tools in a practitioner's toolbox to solve estimation problems. The strengths of the technique lies in its simplicity, i.e., it uses the concept of mean and standard deviation and the fact that it can be easily combined with other tools, in this case kriging. Because the jackknife kriging (JK) estimate is also the mean of the pseudovalues, the JK standard deviation is attractive just as the standard deviation of the mean explains the variability of the data. The difference is that the pseudovalue calculation in jackknife kriging uses the ordinary kriging (OK) weighting scheme instead of simple arithmetic averaging. The data used to illustrate the jackknife technique in the paper con¬sist of high values that are roughly three times the low values. The resulting JK estimate of the block grades show that the highest estimate is roughly twice the grade of the lowest estimate. The contrast between the low and the high estimate is more evident in the JK estimate than in the OK estimate, even though the mean grades of the blocks for the two estimates are very similar. Nonetheless, in this paper, we are concentrating more on the need for a more realistic measure of uncertainty, or precision, for the estimate. Unlike its OK counterpart, the JK standard deviation of the blocks clearly reflects the original data variation. The highest JK standard deviation of the blocks is three times its lowest value. This follows our intuition that, when the samples used to estimate a block is more variable, the resulting estimation variance (or standard deviation) should be higher than the case where the samples are more uniformly valued. However, block-by-block standard deviation or variance is of little practical value in reserve estimation and classification, as well as in mine planning. One is usually more interested in quantifying not the variance of the individual block estimate, but the uncertainties associated with a much larger dimension, such as the minable reserve. Thus, the thrust of the paper is to find a simple way to obtain a single estimation variance or standard deviation associated with the reserve grade estimate. The discussion by J.H. Tu did not mention how one would obtain the global variance from the OK weights and the sample grades. As a technique that offers a data value-based measure of uncertainty for its estimate, the "leave-one-out" jackknife fills this need nicely through the block kriging shortcut approach described in the paper. Note: The first column and the last two columns of Table 3 in the paper should have contained a single number each, namely, an OK estimate of 0.0317, a JK estimate of 0.0333 and a JK standard deviation of 0.0041 oz/st, respectively, for the shape, as are obvious from the text.

Jan 1, 1997

By Jon C. Volkwein

The U. S. Bureau of Mines investigated a method of using inert gas to prevent the formation of explosive gas mixtures in auger highwall mining of coal. A combination of gasoline and diesel engine exhaust gases was introduced into the auger drill hole using a short section of pipe located at the collar. Gas samples were taken and analyzed on site with infrared detectors for oxygen, carbon dioxide, methane, and carbon monoxide. Evacuated bottle samples were also taken and analyzed by gas chromatography at the Pittsburgh Research Center. These gas results were analyzed for explosibility. Personal exposure to carbon monoxide was also monitored. The highest methane level observed was 9.55 pct. The Inert gas levels, (carbon dioxide and nitrogen) were sufficiently high to prevent any ignition of the methane. Results showed that for all conditions during mining, gas concentrations were non-explosive. The maximum personal time weighted average sample for carbon monoxide was 20 ppm. This system provides a safe, inexpensive, simple method for preventing explosions during auger mining. INTRODUCTION The auger highwall mining method is an effective method to recover coal from a reserve when removal of the overburden by surface mining equipment becomes uneconomical. In this method of mining, a horizontal auger enters the coal seam from the surface mine bench under the highwall and the coal is drilled in a series of parallel holes. Historically, coal mined from the surface is relatively shallow, and over time, methane associated with the coal has dissipated through the surface. In most circumstances, little methane has been found associated with auger mining. However, mining technology has enabled surface mining of deeper reserves of coal. Furthermore, environmental constraints have forced the highwall extraction method to be used to remove coal under wetlands, further increasing the chances of encountering methane. Recently incidents of methane explosions at a few auger mining operations have resulted in injuries and increased testing for methane at the collars of auger holes. The fuel source of the reported explosions was not necessarily limited to methane, but may also have involved coal dust. The Mine Safety and Health Administration (MSHA) met with the Bureau to discuss what technology might be available to enable the safe resumption of mining. The discussion included the difficulty of ventilating through the solid shafts of the augers, that steel bits probably created the ignition source, and that perhaps inerting the holes with low oxygen and high carbon dioxide concentrations from the machine's diesel exhaust was a potential solution. Considering the ventilation aspects of the problem, it was not clear If ventilation could be reliably established. If some degree of ventilation to the front of the mining head is achieved, it may combine with methane to bring the hole atmosphere from a rich, nonexplosive mixture to an explosive mixture. Furthermore, it may not prevent a dust explosion in such a mining configuration. Lack of access through the shafts of auger type mining machines further limits the ability to add water or air to cool bits to prevent an ignition source from developing. Either of these approaches would also be expensive. The process of mining coal In an inert atmosphere has been considered in the past, but to our knowledge, never implemented (Department of Interior, 1970). Clearly, implementation in underground mining would be more complicated. On a mine bench open to the atmosphere, however, adding inert gas to the mining head could provide a quick, feasible method to prevent explosions at auger highwall mining operations. Also the problem of how to move the inert gas to the cutting head of the machine had to be considered. Preventing explosions on auger mining machines using inert gas requires three primary considerations: first is the source of inert gas; second, placing the inert gas at the cutter head; and third, monitoring the hole atmosphere. Any gas source having an effective inert gas concentration of 34 volume pct or greater will prevent methane from Igniting (Zabetakis, 1965). Sources of inert gas considered for this application included liquid nitrogen, modified shipboard inert gas generators (for hydrocarbon shipping and transfer), jet turbine engine (Paczkowski, et. al., 1982), the auger's diesel engine and a gasoline engine. Operation cost, purchase cost and availability limited our testing to the diesel and gasoline engines. This work tested each engine, separately and combined. To ensure effectiveness, both company and enforcement personnel need to know how to monitor the condition of the inerted hole. Measurements at depth inside the hole are possible by remote sampling through rigid tubing, but this method is Impractical for routine monitoring. Continuous monitoring of the exhaust gas stream is an alternative. The U. S. Bureau of Mines evaluated an inert gas system at an auger mining operation at a surface mine near Owensboro, KY. Coal was mined from the Number 9 Coalbed in Henderson Co. KY. Tests were conducted in January and March of 1992.

Jan 1, 1993

By M. Fig, J. Brune, C. Strebinger, G. Bogin, J. Grubb

"Although it is known that explosive gas zones can form and sustain combustion in a longwall coal mine gob, a complete account of the interaction of the methane flame and gob remains obscure. The goal of this study is to examine the impact of several gob parameters such as packing orientation and void spacing. The impact of ignition location is also detailed. A series of experiments with methane flames were performed in a horizontal cylindrical quartz reactor. The reactor was tested both empty and packed with an obstacle wall consisting of spherical glass beads to investigate the impact of various gob parameters. Results demonstrate that methane burning velocity is sensitive to all parameters investigated, and most sensitive to packing density and ignition location. INTRODUCTION The explosion at the Upper Big Branch Mine in 2010 and several other underground longwall coal mine fires and explosions show that explosive gases can mix with fresh ventilation air creating explosive gas zones (EGZs). Investigative reports of these fires have found that EGZs are able to move from the gob and into the active longwall face, endangering workers and equipment [1]. Currently, researchers at the Colorado School of Mines are using computation fluid dynamics (CFD) modeling to predict the location and movement of EGZs in the gob and along the longwall face [2,3]. It is the goal of this work to validate combustion models [4] that include interactions of the flame and the gob for future incorporation into ongoing CFD modeling of EGZs [2,3]. Throughout the years, there has been significant research investigating how flames interact with obstacles and propagate through porous media [4,5,7-11]. Since there is limited access to the gob in a longwall coal mine (Figure 1), the orientation and size of rocks and void spaces within the gob is unknown. Experiments of a simulated gob have been performed in a large scale flame tube in order to investigate the effect of scale (Figure 2) [4,5]. However, the variation in rock spacing, rock orientation, and void location makes it difficult to determine the impact of each of these parameters on methane flame dynamics. This study aims at gaining a stronger fundamental understanding of gob parameters such as spacing, orientation, and ignition location on methane flame propagation. The results from this study will provide a basis for experimentation in larger explosion vessels and will be used to validate methane combustion models for incorporation into longwall ventilation models of EGZ movement [2,3,4]. BACKGROUND Researchers have been studying flame propagation across obstacles and porous media for many years using various fuels and experimental setups [4,5,7-11]. Experiments have been performed in horizontal chambers with both ends open [7], horizontal chambers that are semi-open [4,11], horizontal chambers with both ends closed [8], and vertical arrangements [9,10]. Due to the variation in experimental setups and methods of characterizing flame dynamics such as flame speed, peak overpressure, or burning velocity it becomes difficult to directly compare results. Flame speed is a property of the mixture and refers to the speed of the unstretched flame front normal to the direction of propagation. This study characterizes the flame by its burning velocity, which is the difference between the flame speed and the speed of the unburned gases just ahead of the flame front. However, some references use the terms flame speed and burning velocity interchangeably. In this study, a semi-open quartz cylindrical reactor was used to determine methane burning velocity, which was used as a basis for comparison to determine the impact of obstacle configuration on methane flame dynamics. The quartz reactor also has the unique ability to allow for flame visualization. These features allow for faster combustion model validation [4]."

Jan 1, 2017

By Victor F. Hollister

Introduction Trends of successful discovery technology and psychology emerge from a thoughtful study of various companies' exploration programs. These subjective patterns can be generalized into groups of factors for discussion. Here, for convenience, factors that influence exploration success are separated into management and geologic concerns. Most successful discoveries have a demonstrably favorable management combined with a technically competent geologic input. Both are required. But the management input is decisive. Management factors include the correct definition of management's role; cost of exploration; time needed for exploration; commodity selection; and the fostering of autonomy, creativity, and confidence in the geology department. Geologic factors include imaginative technical competence (field as well as academic), correct development and use of empirical exploration or prospecting models, and dedication. Success comes to those entities that are properly managed and have technological competence. A management team that directs a company's business has been compared to a dynasty. The dynasty lays out policy and follows up with appropriate action. In that management's power is pervasive, the term is appropriate. Management's role is, however, more important. Many examples can be cited where the geologic input was impeccable. But management somehow snatched defeat from the jaws of victory, and the exploration success was turned to a third party's profit. Management Factors Management's role can be broadly generalized to four parts. These are to identify the commodities it seeks, define its part in the exploration process, develop a functioning exploration department, and have the desire to succeed. It must have confidence in its geologists and delegate to them the authority and responsibility they need to operate successfully. Head office management cannot do the thinking for a field staff thousands of kilometers away. There is no substitute for confidence and delegation of authority. Successes came to those who had the freedom to act. Motivation is a management requisite. Management's role is to prevent destructive, internecine political battles within the corporate structure. Most large US mining corporations have well known histories of political strife that have damaged their exploration efforts. Management's role must, above all, include the desire to succeed. There are cases where management has been confronted with a commercial exploration success, but their reaction is to request additional study or exploration. Perhaps the problem of bringing a commercial find into production is beyond their capabilities. But a bona fide discovery sent back for additional work commonly is lost due to that management. The cost of exploration is a factor that management must accept. A variety of studies made during the past 40 years shows the cost per discovery to be $25 million, $38 million, $200 million, or even $290 million. These figures are derived by dividing the total exploration expenditure by the number of discoveries. However, successful management dynasties have a much lower cost per discovery during their management regime. Asarco, from 1948 through 1963, had one of the lowest cost discovery rates in the world. Duval Corp., from 1948 through 1968, had comparably low discovery costs. Placer Development, from 1955, was equally successful. Western Mining in Australia has had one of the longest lived dynasties associated with exploration success. Time is vital in exploration success. Most successful exploration case histories stress sufficient time in project exploration so that the target is well tested. A large target cannot always be adequately evaluated by a few holes (strat or concept testing). Serendipity helps in exploring large targets, but it best operates in a lengthy program. Numerous case histories include pleasant surprises. But these came mostly after the 10th hole. Commodity markets are important factors governing exploration success. Management's decision to explore for a specific commodity can doom its effort if that product suffers from severe oversupply. Unquestionably, progressive copper price increases from 1948 through 1968 helped convert marginal porphyry copper discoveries

Jan 8, 1985