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By Roger Lacroix

Fuel cell application to mining has been indicated to be potentially beneficial to underground mine worker health and to energy efficiency. In order to define the economic advantages of using hydrogen fuel cell vehicles, a detailed study of operating and capital costs associated with underground loaders and power supply infrastructure has been carried out. The results show that for a typical medium-size mine, operating costs and infrastructure costs are less for the fuel cell option versus diesel. The reverse occurs for capital costs owing to the currently higher cost of fuels cells versus diesel engines. This disparity is expected to decrease given the decline in price associated with fuel cell technology advances. Related market issues for fuel cell manufacturers are also presented. Despite the difference in cost, the resources and mine infrastructure required to operate loaders, and base design of the mine loader, is similar for diesel and fuel call versions.

May 1, 2007

By Simón Díaz‑Quezada, Ernesto Arancibia, HUMBERTO ESTAY, Tomás Vargas

In situ leaching (ISL) is an attractive technique that enables copper recovery from copper oxide ores that are either low-grade or located at depths too great to be economically exploited through conventional methods. At present, in situ leaching (ISL) has been applied to intact copper oxide ores, in particular, those which (i) present a good natural permeability and (ii) do not require preconditioning. Many copper oxide ores present low natural permeability. These are located above the water table and need preconditioning for the ISL application. The present work shows an economic assessment of the application of ISL to this type of copper ores. The preconditioning technique considered here involves the application of partial mining by sublevel stoping by removing a small fraction of the ore. This technique results in forming an ore bed with good permeability and good solution collection at the stope base. The economic assessment of this approach suggests that it can be implemented with positive net present values to copper oxide ores located at depths in the 100–300 m range, with copper grades above 0.4%. The maximum acid consumption values are below 52.5 kg/t, with blasting procedures designed to produce an ore bed with an average particle size below 6″. The breakdown of operational costs indicates that the mining cost is still very high, accounting for up to 60% of the total operating costs. Therefore, optimizing mining procedures is still necessary for improving the economic outlook of this approach and thus expanding the application field of ISL.

Feb 4, 2023

By Chester O. Ensign

Many publications to date have advocated under- seas mining operations, optimistically overlooking the paucity of information on mineral distribution and the ocean environments in which minerals occur. Such articles (smattered with opinion, as is this article) are herein tempered by my more conservative views on the economics of mining under the seas. For purposes of this paper, underseas mining refers only to the deeper surficial deposits of the continental shelf and the deep sea floor, i.e., the deposits of phosphorite and manganese nodules.

Jan 9, 1966

By B. P. Sullivan

This paper describes how the author projected the economic benefits of a proposed coal liquefaction project based in Pennsylvania. These benefits were assessed in a successful effort to garner government support for the project. The projections considered such issues as increases in employment, wages, and tax receipts to state and local government, plus other less-obvious benefits, such as site remediation. The paper explains how sponsors of similar projects can use economic projections in making meaningful and compelling presentations to federal, state and local authorities.

Jan 1, 2000

By J. F. T. Agapito

Significant economic benefits can result when rock mechanics is applied within a practical framework and integrated within the other engineering functions of the mine organization. This requires management support and understanding of rock mechanics as a practical tool to help attain high standards of safety, productivity and resource recovery. For such an approach, a long-term geotechnical program is needed in most operations to build an adequate data base and to ensure that design and ground control issues are handled in a cost-effective manner. This paper presents a summary of four case studies where significant economic benefits were realized with the help of rock mechanics. Although cost savings were not computed, the economic benefits are obvious and clearly impacted the mine operations favorably.

Jan 1, 1990

By J. F. T. Agapito

Significant economic benefits can result when rock mechanics is applied within a practical framework and integrated within the other engineering functions of the mine organization. Such application and integration requires management support and understanding of rock mechanics as a practical tool to help attain high standards of safety, productivity and resource recovery. For such an approach, a long-term geotechnical program is needed in most operations to build an adequate data base and to ensure that design and ground control issues are handled in a cost-effective manner. Best usage of rock mechanics in mining occurs when management recognizes the application as a long-term investment, where time is needed to realize good returns. The need for this approach is due to the difficulty in accurately predicting ground conditions ahead of mining. The practical application of rock mechanics must follow an iterative process of design and verification based on site-specific experience to account for geologic and mining impacts. Ground conditions experienced during mining must be used to check the initial mine design and, if necessary, to provide a basis for design modification. Such a practical rock mechanics program includes comparative experience, in situ instrumentation and numerical modeling. The program begins with the geologic site investigation and continues throughout the life of the mine. It is an integral part of mine planning and operation.

Jan 1, 1991

By R. Gordon Bloomquist

The economic benefits of the co-production of minerals from geothermal brines far exceeds the potential revenue stream from the sale of marketable by-products such as silica, zinc, manganese, lithium and a number of rare earths. Extraction of silica can avoid scaling problems often associated with many geothermal power projects and may allow for additional power production through the use of bottoming cycles or the use of the brine in direct use applications now impractical due to scaling problems. An additional benefit of silica removal is the opportunity to use the geothermal brine as a source of water for enhanced evaporative cooling ? a technique that can significantly improve the summer power output from binary power plants employing air cooling for condensing the working fluid.

Jan 1, 2006

By I. Filzwieser, S. Konetschnik, A. Filzwieser, A. Anzinger

Production in copper electrorefining tankhouses mainly depend on two factors: The deposition area, which is a result of the amount of installed cells and cathodes, as well as the current density - the amperage per square meter of deposition area. The present paper shows, that the most economical way of achieving a certain production is to maximize current density by using the METTOP-BRX-Technology - as building and infrastructure can be kept more compact. This industrial proven technology applies a parallel electrolyte flow in each electrolysis cell. In 2011, the first fully industrial applications started up: At the secondary smelter Montanwerke Brixlegg AG, 156 cells are equipped with the METTOP-BRX-Technology; this allows a current density of 390 A/m². Xiangguang Copper Co., Ltd. - a primary smelter and refinery - operates its new tankhouse (720 cells) at 420 A/m²; this stands for an production increase of 50% compared to the same sized ISA tankhouse which is limited to 280 A/m². The first part of the present paper gives a cost comparison between a conventional copper electrorefining tankhouse and a high current density tankhouse when assuming a Greenfield project. The second part describes the cost savings when installing the METTOP-BRXTechnology in an already operating tankhouse.

Jan 1, 2014

By Warren Blauvelt

IN VIEW of the enormous wastes of natural resources, of labor and of capital, due primarily to the economic environment, established by legislation, the general neglect of this phase of the problem of the elimination of waste is difficult to understand. In such a study, the engineering method of attacking a problem should be employed. The engineer does not try to solve his problem by disregarding natural laws, but by utilizing them. The successful engineer establishes an environ-ment in which forces, acting in harmony with natural laws upon an object or objects, will produce the desired results. The engineer who notices that the water level in a vessel, into which a gallon of water per minute is flowing, is two feet higher than the level in an adjacent vessel, connected therewith by a 6-in. pipe, does not assume that the law of gravity has ceased to work, or that water no longer seeks its level; he examines the connecting pipe for obstacles which prevent the free flow of water. Some editors, many reformers and most politicians tell us that the law of supply and demand no longer works; hence governmental control of commerce is necessary. Governmental control may temporarily-that is, until trial proves its futility- "insure domestic tranquility" and "promote the general welfare;" but it cannot "secure the blessings of liberty" which it cur-tails, nor can it "establish justice" which it violates.

Jan 9, 1922

By F. M. Benavides

The mining complex being analyzed consists of four mines and two processing plants located in an area where there are several existing modes of transportation. Figure 1 shows a map of the general layout of the four proposed mines and the two existing processing plants. The mines are identified by the numerals "I" through "IV" and the plants by the letters "A" and "B". A proposed overland conveyor would collect the product from all four mines and convey it to Processing Plant A. Alternate transportation systems are as follows: Railroad transport from Mines I and II to Plant B; Highway trucking from Mines I and II to Plant A; Off-the-road truck haulage from Mine III to Plant B and from Mine IV to Plant A. River transportation from the mines to the processing plants was not considered in this study under the assumption that the high capital investments for the loading and unloading facilities, in addition to difficult traffic problems, would make this mode of transportation unattractive.

Jan 1, 1980

By James H. Owen

Because of price structure, ANFO is normally considered to be the most cost effective explosive used in quarry blasting. Results indicate that bulk smulsion can be more cost effective in applications where hole sizes range up to 6.5 inches in diameter while providing the simplicity of single product loading and storage. This can be accomplished without any fragmentation and/or movement loss usually in patterns which are about twice the size of ANFO patterns, allowing the combined drilling and blasting cost to be less when using bulk emulsions. Examples are presented supporting this concept using actual field results along with some simple calculations which take into account differences in the products such as density, matrix and detonation velocity.

Jan 1, 1998

By R. L. Robinson

An analytical framework is formulated to assist mining companies in assessing the relative merits of mineral exploration and acquisition strategies. The anticipated costs, risks, and returns of each strategy are conceptualised using decision trees. Economic criteria - expected net present value, expected return per unit of investment, and the probability of success - for each strategy are derived(from the appropriate decision tree network. Application of the analytical framework is illustrated using the example of a medium-size company in the Canadian base metal sector.

Jan 1, 1987

By Helmut Goehring

Surface mining has been used primarily where deposits of minerals were exposed or close to the surface. Surface mining can, therefore, be considered the oldest branch of mining. As the most accessible deposits became uneconomical because of the lack of suitable high capacity conveying systems, deep mining took its place. Only in the twentieth century was this trend reversed as high capacity production and conveying systems were developed. This rapid development was triggered by the steadily increasing demand for raw materials and fossil fuels, as well as by the ever increasing ratio between overburden and deposits.

Jan 1, 1982

By William R. Yernberg

What a difference a year makes. One year ago, the iron mining industry and the steelmaking industry in the United States were in trouble. Many companies were in bankruptcy, and talk of plant and mine shutdowns was rampant. At that time, it seemed difficult, if not impossible, to remain competitive with imported steel. In addition, the World Trade Organization declared as illegal the tariffs placed on imported steel. And many questioned the viability of the ironmining and steel industry in the United States. At that time, global economic conditions were the main contributors to the industry’s problems. However, since last year’s meeting, changes in global economics have actually helped the steel industry in the United States. Heavy global demand for steel has caused raw-material shortages worldwide. Much of the increased demand is a result of the economic boom in China. In addition, because of a weak U.S. dollar and higher international freight rates, steel imports into the United States have been reduced to about 50 percent of recent levels. These factors have contributed to a rebirth of the U.S. iron mining and steel industries.

Jan 1, 2004

By J. Girard-Dwyer, T. Camm

Direct costs such as medical, legal, administrative, and worker’s compensation costs, property damage, lost earnings, and lost benefits are typically used to compute the economic impacts of occupational injuries. However, there are also a number of less obvious, indirect costs that substantially contribute to the overall loss costs. In fact, for every $1 of direct costs an estimated $3 to $5 of indirect costs are also incurred. This paper presents a systems approach that incorporates engineering, economics, psychology, and sociology in order to evaluate the total value of investments in safety. By studying the interrelated system comprised of the injured worker, their family and coworkers, as well as the organizational structure that was the setting for the incident, a methodology can be developed that will more accurately capture the true costs of mine injuries.

By J. Girard-Dwyer, T. Camm

Direct costs such as medical, legal, administrative, and worker’s compensation costs, property damage, lost earnings, and lost benefits are typically used to compute the economic impacts of occupational injuries. However, there are also a number of less obvious, indirect costs that substantially contribute to the overall loss costs. In fact, for every $1 of direct costs an estimated $3 to $5 of indirect costs are also incurred. This paper presents a systems approach that incorporates engineering, economics, psychology, and sociology in order to evaluate the total value of investments in safety. By studying the interrelated system comprised of the injured worker, their family and coworkers, as well as the organizational structure that was the setting for the incident, a methodology can be developed that will more accurately capture the true costs of mine injuries.

Jan 1, 2004

By Gerald Blackmore

"This paper suggests that with the settlement of long-term contracts of fifteen years' duration, with prospects of extension, the coal mining industry has, for the first time, a complete commercial justification for large-scale planning.The labour costs of coal production over past years are analyzed and, with the acceptance of the premise that the basic shift rates are certain to rise in the years to come, the paper suggests that forward planning should provide &r capital investment to make a traditionally labour-dense industry into a capital-dense industry.Automated methods of manpower deployment and timekeeping and the monitoring of all equipment back to a central control point are discussed as ail-important means of obtaining maximum utilization of high-cost capital investment.Principles of payment of the work-force, and the utilization of equipment 24 hours a day, seven days a week and the maximum number of days a year, are dealt with as means of achieving maximum capital utilization. Some of the new technical underground and coal preparation problems which will undoubtedly result from the concentration of workings and maximum machine utilization are discussed, and the author makes suggestions as to how these might be solved.In short, the author predicts that if the coal mining industry is prepared to recognize the problems and invest in modern equipment backed by highly trained staff. then the outcome will justify the high capital investment involved. He stresses the importance of human communications in achieving this end."

Jan 1, 1970

By R. H. C. Andrew

With the advent in recent years qf mechanization in deep-level gold and platinum mines, large quantities of rubber was are being used on both production and support vehicles. Conditions in these types of mines are extremely harsh and, as a result, we performance is significantly lower than in other types of mining such as open-cast base metal mining, where more favourable conditions prevail. Various options are available to the user to reduce tyre costs, including the use of retreads, the filing of tyres, and the repair of damaged tyres. While these methods may be generally successful in open-cast conditions, their use in deep-level mining needs to be carefully evaluated for each particular set of conditions. A basic requirement for any evaluation of we costs is the availability of reliable data on tyre performance and, for this reason, it is essential that proper tyre records are maintained This paper reviews the performance of tyres in deep-level gold and platinum mines in Johannesburg Consolidated Investment Company, Limited (JCI) over a period of about 8 years, and shows how the costs of retreading and tyre filing can be evaluated in practice. It also discusses the cost implications of repairing damaged tyres.

Jan 1, 1994

By Robert W. Bartlett

"Bioheap pretreatment of sulfidic refractory gold ore prior to cyanide leaching is a promising new technology, especially for low-grade ores that cannot afford to be oxidized by pressure leaching or roasting. When an ore contains both refractory and non-refractory (oxidized) gold, an economic decision must be made whether, or not, to pretreat before cyanide leaching. This choice is more complex than the familiar ore/waste cut-off grade decision. Pretreatment usually increases recovery but delays receiving revenue. Based on choosing the processing route that maximizes the present value of the ore, an equation is developed that computes a ""critical cyanide leachable gold grade"" for determining whether pretreating will be profitable. If the ore's actual cyanide leachable grade, without pretreatment, is above this ""critical grade,"" it will not pay to pretreat. The waste/ore cut-off grade, pretreatment yield (leachable grade after pretreatment), total gold grade, pretreatment operating cost and the project's financial discount rate are parameters in the equation. Results of example calculations are provided. This equation can be used for mine development planning and, when bioheap pretreatment is an available option, for daily operating decisions on individual ore blocks.IntroductionOres that are refractory because of sulfide mineral encapsulation of microscopic gold are becoming important. These ores must be pretreated to oxidize the sulfides to liberate the gold prior to cyanide leaching. The conventional pretreatment process technologies are pressure leaching with oxygen and two-stage fluid bed roasting. However, low-grade refractory ores cannot afford the high operating costs of these processes. And, small mines with limited reserves cannot justify the high capital costs of these processes."

Jan 1, 1997

By Alfred Jr. Petrick

Modelling of cash flows and calculation of net present value of rate of return over the expected life of a mine/processing unit continues to be the accepted basis for mineral investment decision-making. The computer and spreadsheet programs have greatly improved ability to perform sensitivity and risk analysis, hence our ability to deal with key analytical problems. These problems of cash flow analysis result from the necessity of forecasting an uncertain and risky future. Cash flow models begin with the critical assumption of a "design basis", then integrate all of the variables relevant to the investment decision including forecasts of price, cost, taxation, financial conditions, and company strategy. Alternate "scenarios" portray possible future outcome of the investment decision. The potential for straying from reality is enormous. The computer has eliminated the time consuming hand calculations from the cash flow analysis, but the analyst still struggles with the risk of trying to predict "how the project will really turn out".

Jan 1, 1991