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By A. G. Roach

Introduction The plant described in this paper is located at Coniston, Ontario, the smelting centre of the former Mond Nickel Company. Coniston is situated some eight miles east of Sudbury on the main line of the Canadian Pacific railway and on the Toronto-Capreol branch of the Canadian National-railways. The plant is now under control of the International Nickel Company, as a result of the merger of the two companies in 1929. The smelter proper includes four 50-in. by 240-in. blast furnaces and five 13 ft. by 30 ft. converters, and has a capacity of about 65,000 tons of ore charge per month. As accessories to the smelter there are a mill, where some 10,000 tons per month of low-grade ores are concentrated, and the sintering plant, which is the subject of this paper. The present 6-unit sintering plant replaces a former 4-unit installation. Here, fine ores, concentrates, and flue-dust are sintered on Dwight-Lloyd machines, the sinter produced being charged into the blast furnaces. At the time of writing (1931), only the concentrator is operating at capacity, due to present world conditions.

Jan 1, 1932

By T. Holmes, S. Davison

"A surge bin at Agrium’s Vanscoy potash operations has been plagued with flow, wear, and corrosion issues since being built in 1967. The culprits? The bin’s carbon-steel construction, geometry, and the resultant funnel-flow pattern are the root causes. An investigation and cost analysis indicated that hopper redesign and retrofit would increase production and reduce maintenance and capital costs. The retrofitted bin provides safer, more reliable operation and has a much longer predicted working life. Using this example, the authors describe bulk-solids-flow theory and highlight the importance of customizing bulk-material-handling-system design using appropriate flow properties to improve reliability, safety, and cost effectiveness.RÉSUMÉ Depuis sa construction en 1967, un réservoir intermédiaire de l’exploitation de potasse Vanscoy d’Agrium connaît des problèmes de débit, d’usure et de corrosion. Les responsables ? La construction en acier ordinaire du réservoir, sa géométrie et la structure de débit en résultant au niveau de la carotte en sont les causes fondamentales. Une étude et une analyse des coûts indiquaient que la restructuration et la rénovation de la trémie permettraient d’augmenter la production et de réduire les coûts d’entretien et en capital. Un réservoir rénové permet de renforcer la sécurité ainsi que la fiabilité de l’exploitation, et sa durée d’activité prévue en est augmentée. En se fondant sur cet exemple, les auteurs de l’article décrivent la théorie du débit de matières solides en vrac et insistent sur l’importance de personnaliser la conception du système de manutention des matériaux en vrac à l’aide de propriétés rhéologiques adaptées afin d’améliorer la fiabilité, la sûreté et la rentabilité.INTRODUCTIONIn early 2013, Agrium’s Vanscoy Potash Operations (VPO) engaged Jenike & Johanson Ltd. (J&J) to provide testing, consulting, and structural engineering services related to proposed modifications to the 270 t special standard product surge bin, which Agrium planned to undertake during a two-week shutdown in August 2013. The bin, which had been plagued with flow, wear, and corrosion issues for its entire working life, was essential for the continuous operation of two of VPO’s compaction plants and for efficient dispatching to loadout. The bin often experienced product hang-ups, clumping on the walls, and plugging at the hopper outlet. Two recent unscheduled mill shutdowns had been partially attributed to flow issues in the bin due to clumping and product plugging up at the screws. These problems increased maintenance costs, limited production capacity, and degraded product quality. Holes and paper-thin sections in the bin walls discovered during a 2013 inspection revealed the potential for major hot material leaks or even structural failure. Either issue would stop plant operations until the bin could be repaired or bypassed. Clearly, the bin cone had reached the end of its life and required replacement."

Jan 1, 2018

By Rene Cane, V. I. Lakshmanan, John Starkey, Richard May

"The Agrium Kapuskasing Phosphate Operation mines and processes up to 6,000 t/d of phosphate ore. Run-of-mine crushing to minus 6 inches is done in a toothed roll-crusher, while grinding is done in a SAG/ball mill circuit with no coarse recycle classification of the SAG mill discharge. The primary grinding mill is an 18 ft. diameter x 9 ft. EGL, 1500 HP variable speed SAG mill and the secondary mill is a 13 ft. diameter x 21 ft. long, 2000 HP fixed speed, ball mill. When hard ore was treated, the SAG mill restricted the tonnage that could be ground. When soft ore was treated, the ball mill and spiral classifier overloaded and restricted throughput.Recommendations from a plant benchmark and an ore hardness testing program, on how to better utilize installed energy in the Agrium SAG mill when treating soft ore, and how to obtain best results when treating hard ore, were checked in a pilot plant investigation in the 3 ft. diameter Starkey-PRO Pilot SAG Mill. Correlation between the ore hardness testing and the results from the 3’ Pilot SAG mill was very good. In addition, the work indicated the results that could be expected for the different ore types when using either smaller SAG discharge grates and/or a vibrating screen with 10 mesh square opening cloth.INTRODUCTIONAgrium Kapuskasing Phosphate Operation consists of a 6800 t/d open pit mine and a concentrator, near the Town of Kapuskasing in Northern Ontario. The two major ore types are sandy ore and cemented ore. Sandy ore is fine, soft and easy to grind in the SAG mill while cemented ore is harder, more blocky and difficult to grind in the SAG mill. The ratio of sandy to cemented ore in the deposit is thought to be in the order of 80:20 but can range as high as 5050, so it was important for the grinding circuit to have the ability to treat sandy ore alone."

Jan 1, 2002

By H. Groeneveld, C. A. Connally, P. J. Hoenmans, W. L. Mason, John J. Justen

"A miscible displacement pilot, using a slug of LPG driven by separator gas, was conducted in the Cardium Reservoir of the Pembina Field. The injection pattern was a 10-acre, inverted, isolated five-spot. Upon completion of the LPG-gas phase, an .experiment was conducted using a slug of water followed by gas. Calculated performance of the pilot is compared with actual performance. Equations are developed to cakulate the distribution of LPG into zones of varying permeability, to estimate the progress of the flood at different times in the various zones, and to estimate gas rates after breakthrough. The analysis indicates that permeability stratification was a dominant factor in con-trolling oil recovery and that oil was completely displaced from the swept pore volume. The results of the pilot indicated that miscible flooding is a practical means of pressure maintenance in this reservoir. The total recovery from the pilot area was good in spite of the early breakthrough of LPG. The effects of stratification were reduced by injecting a slug of water into the partially swept reservoir."

Jan 1, 1960

By G. Grassmück

The question of whether the air curtain principle could be used under conditions prevailing in Canadian metal mines was investigated. A vertical, portable BERRY air curtain was tested, at first in a wind tunnel built at Ecole Polytechnique at full scale (8-by 8-ft cross section) to simulate a drift and its lateral connections, and then in the haulage ways of a metal mine under actual conditions. The results permit us to predict under what conditions this type of air curtain is capable of acting as an air stopping or flow regulator and how it could be further developed.

Jan 1, 1969

By R. Elliott, C. A. Pickles, J. Peacey

As the nickel sulfide ore deposits become decreasingly viable as a source of nickel metal, increasing attention is being paid to the exploitation of the nickeliferous laterite ores. Attempts to produce a high grade ferronickel concentrate from these ores by pyrometallurgical methods face several challenges, in particular the selective recovery of the highly disseminated nickel from the reduced ore. The current work explores strategies for maximizing the size of ferronickel particles formed in order to improve the selective recovery of the ferronickel by magnetic separation. The effect of various coal, elemental sulphur, pyrite and sodium sulphate additions on ferronickel particle formation and size at 1000°C have been investigated. It has been observed that increased coal additions leads to a moderate improvement in the size of the ferronickel particles, while the presence of any sulphur bearing reagent leads to a significant increase in particle size. The retention of sulphur in the reduced material has also been studied, showing sodium sulphate has the highest retention, followed by pyrite and then elemental sulphur. An inverse trend was observed in the efficiency of sulphur retention on the basis of residual mass of sulphur per unit mass of reagent added.

Jan 1, 2015

By J. P. Grau, J. Z. Lu

"Thickeners/clarifiers are widely used in coal preparation plants, potash processing and other mineral processing facilities. Thickeners play a very important role in slurry treatment systems to accomplish solid/liquid separation. The demand for larger plants and the increased thickener handling capacities sometime require thickener diameters as large as 200m. The development and use of high capacity thickeners makes it possible to increase the handling capacity of these thickeners by several to more than 10 times compared to conventional thickeners. Hence, for a given slurry rate, selection of a high capacity thickener will significantly reduce the footprint of the thickener. Much higher handling rate, higher concentration of underflow, clearer overflow and lower capital cost are obvious advantages of high capacity thickeners; however, some process requirements and the concerns of operational cost, especially the flocculant cost of a high capacity thickener operation, keep some engineers selecting conventional thickeners and staying away from the high capacity thickeners. Forty years after the first high capacity thickener was developed, there are still arguments in the selection of conventional thickeners or high capacity thickeners in mineral processing. The arguments will continue unless there is a clear picture of capital cost vs. operational cost for each of the thickener types. The purpose of this paper is to analyze these costs and to provide guidelines for selection of thickeners. INTRODUCTIONThickeners/clarifiers are widely used in various slurry treatment systems. For mining and mineral processing, thickeners are an integral part of the solid/liquid separation system. The feed to the thickeners are processing slurries. The fundamental mechanism for the solids/liquid separation is for the solid particles in the slurry to gravity settle inside the thickener tank. The clear water overflows from the top of the thickener tank and is typically reused in the processing circuit, and the concentrated underflow is discharged to different downstream process systems depending on the application of the thickeners. The general requirements for a thickener operation include high density of underflow and clear overflow. Since thickener operation consists of continuous feeding, overflow and discharge of underflow, the solid particles will gravity settle against an upward flow with its velocity dependent on the feed rate and the underflow discharge rate. Higher feed rates to a given thickener produce higher upward velocities. Underflow discharge is typically relatively small compared to the amount of overflow. The upward flow tends to take particles up to the overflow. Only those particles having a settling velocity greater than the upward flow velocity will possibly settle out. Hence, thickener feed rate has to be controlled so that the required overflow water clarity can be achieved."

Jan 1, 2012

By N. Campbell, W. T. Orvine

The metalliferous deposits of British Columbia are largely confined to that portion of the Cordilleran province lying west of the Rocky Mountain trench. Massive sulphides in the coastal area carry important copper •values together with lead and zinc and are composed mainly of pyrite which replaces schists or shear zones. The massive sulphide ore of the interior, on the other hand, contains lead and zinc with little copper. Pyrrhotite rather than pyrite is... the dominant metallic and deposition took place through selective replacement of sedimentary beds.

Jan 1, 1960

By W. J. Wolfe

"Quartz Hill is a large, low- to moderate-grade quartz vein stockwork porphyry molybdenum deposit, discovered in 1974 during a regional stream sediment geochemical reconnaissance survey of southeast Alaska conducted by United States Borax and Chemical Corporation. Mineralization is localized in the upper parts of an Upper Oligocene (30 Ma) composite quartz monzonite stock which is emplaced discordantly into older Cretaceous to Early Tertiary terrain of the Coast Range igneous metamorphic complex of the northwest North American Cordillera. Subsequent fault-controlled, complex multi-stage intrusion, concentrated in the core of the Quartz Hill stock, produced successive pulses of hydrothermal alteration and molybdenum mineralization at about 27 Ma. Overall, the deposit is tabular and flat-lying and well suited to open pit mining. The 0.05% MoS2 grade limit covers an area of approximately 1500 m by 2750 m and extends to a maximum depth of 520 m below surface. Details of grade distribution show two separate lobes of higher grade material within the larger low-grade deposit.A ten year program of exploration drilling, underground development, sampling and metallurgical testwork led to a 1983 feasibility study based on a resource of 1600 million tonnes grading 0.127% MoS2 at a 0.08% MoS2 cutoff The large size of the deposit and its homogeneous grade distribution, typically showing gradual outward decrease of grade, makes in pit grade selection practical at several cutoff levels. Cominco Ltd. now reports a Probable Resource of 210 million tonnes averaging 0.22% MoS2 with a further Possible Resource of 1100 million tonnes averaging 0.12% MoS:z. At low molybdenum metal prices which have persisted for 10 years since the molybdenum price spike of the late 1970s and early 1980s, the Quartz Hill deposit is sub-economic."

Jan 1, 1995

By H. Ranjbar

The Darrehzar porphyry Cu deposit is situated in the Urumieh-Dokhtar magmatic suite of Central Iran. The REE and trace element data suggest that the deposit lies within a continental margin setting. Phyllic and propylitic alteration are pervasive in the area but potassic and argillicalteration are not readily recognized on the surface. This is possibly the result of super gene weathering of the surface rocks or because of an intense phyllic overprint. Poor soil development and abundant outcrop make the area suitable for a case study of lithogeochemical exploration technique for Cu deposits. A total of 262 rock samples was collected over the area and analyzed for 15 elements. The geochemical data cor-relate with the mineralogical composition of the rocks with the phyllic zone being marked by high-er concentrations of Si, Al, K, and by a high sericitization index while Ca, Mg, Sr, total Fe and Mn are more abundant in the propylitic zone. The lithogeochemical study indicates a metal zonation from a Cu + Mo-rich core to a Zn + Pb ± Ag-rich outer zone. Principal component analysis is useful for separating element associations, which in turn reflect the alteration halos. Principal components 1 and 2 depict alteration zoning, where-as 3 shows an association of Cu and Mo, that roughly defines the mineralized area.

Jan 1, 1997

By D. J. Hains

IN this paper we shall examine the Why, Where and How concerning the agglomeration of iron ores and concentrates. Fig. l answers the questions @f why there is so much interest at the present time in the art of agglomeration. The use of sinter or pellets in the blast furnace has materially increased their rated •capacity. ':'President Hains Company Ltd. Engineering J. S. McMahon ( 1) reports an increase from 653 tons of .pig iron per day to 1140 tons of pig iron per day with the use of a 100 per cent sinter burden on one of his blast furnaces. In the United States the use of 100 per cent pellets has increased pig iron production from approximately 1800 tons per day to over 3000 tons pig iron per day (2). In our economic system the general objective is to produce more and better commodities cheaper. Fig. 2 shows the decrease in coke consumption with increased tonnages from the furnaces when using -

Jan 1, 1961

By A. Eslami

When producing high grade mattes in smelter plants, copper losses in the slag are inevitable. Hence, the recovery of copper from slag has been the focus of many research projects, copper flotation being a widely used process. In the Khatoonabad converter, 200 t/d of slag are presently produced with a grade of 2.3% Cu. Assuming a 85% recovery by flotation, about 3.9 t/d copper could be produced, which is of prime importance economically. In the present work, a sample of this slag was crushed and ground in the laboratory to liberate the copper-bearing minerals. Following mineralogical studies, optimum laboratory flotation parameters were obtained, resulting in 90.27 % recovery and 9.42% of copper grade for the rougher stage. At pilot scale, a pulp of 28% solids was floated at ph 10.5 using 40 git of Z6, 25 git of R407 and 20 git of MIBC and A65. A recovery of 83.52% was obtained for a concentrate grade of 28.36% Cu. In the rougher cells, the feed consisted of particles 94% finer than 74 microns whereas in the cleaning stage, particles were 95% finer than 44 microns. Based on the obtained results, the Sarcheshmeh Khatoonabad converter slag is presently being fed to the Chargonbad flotation plant, where a concentrate of 32% copper at 86% recovery is being produced.

Jan 1, 2007

By Staff

"The Weyburn Oil Field, located 80 miles southeast of Regina, Saskatchewan, was discovered by Central-Del Rio Oils Limited, in January, 1955. As of January 1st, 1959, the field had 357 wells capable of producing an estimated total of 45,100 barrels of oil per day.Highly portable, economical, drilling rigs are used to penetrate the pay at a depth of 4,400 to 5,100 feet. Presently, the complete drilling operation for an average field well, including drilling, coring, testing, and running casing, requires 12 days. Drilling procedures are conventional for a field of this depth and no serious problems exist. Central-Del Rio core the productive section of all their wells, which provides valuable information for well completions and reservoir studies. Production casing procedure is to set through the zone and perforate the productive inter-val. This was found advisable due to the lensing nature of the porosity and permeability throughout the reservoir, and to the high connate water saturation encountered in the tighter sections of the reservoir in the north and northeast areas of the field.Although a few wells in the field have produced naturally by flowing or pumping without acid treatment, it has generally been necessary to acidize the wells to make them commercial producers. To date, acid treatments appear to effect better stimulation of the limestone reservoir than fracturing treatments. Perforation sealing balls have been used as an aid in selectively treating all of the perforated interval.The majority of the field is on pump, producing at a low gas-oil ratio. The main part of the field has water-free production, with most of the water being produced in the north and northeastern area. Salt-water disposal is now available in the field through two disposal wells completed in the Basal Blairmore sand.The Midale Beds ""Marly"" and ""Vuggy"" zones form the principal reservoir, which is a stratigraphic trap, with the north and northeast edges terminated by a porosity and permeability pinch-out and the south-west and west edges bounded by water-laden porosity. There is no evidence to date of a gas cap. The reservoir apparently is producing on a fluid-expansion-type mechanism. The increasing water production in wells on the southwest and west edges of the field indicated water encroachment from these directions, and suggests some recovery energy may be available from this source.The total probable ultimate remaining recoverable reserves have been estimated at° 332,469,000 barrels of oil. Markets have not been able to keep up with the rate of development of the medium crude re-serves. However, it is felt strongly that substantial additional markets for Weyburn medium crude will be developed by the producers in the near future at realistic wellhead prices."

Jan 1, 1959

By H. Memarian

In the last few decades, many developing countries have tried to expand and improve upon higher education, which is acknowledged to be the leading factor for development. In this respect, develiping countries have significantly increased the number of tertiary institutions and their students. These rapid expansions, along with all the benefits, have drawbacks as well. An example is the status of mining engineering education in Iran. Presently, the number of active mining engineering departments in Iran (27) is more than the sum of similar departments in Canada, Australia, the United Kingdom, and South Africa (23 altogether). Also, the number of annual mining graduates in Iran (645) is more than the cumulative graduates of the United States, Canada, the United Kingdom, and Australia (613). The expansion of mining engineering education in Iran has coincided with the closing or merging of similar mining departments, as well as a decline in the number of interested students in the industrialized world. The present study shows that the need for development and the excessive number of high school graduates, resulting from high population growth in the early 1980s, are the two primary factors influencing the significant expansion of mining engineering education in Iran.

Jan 1, 2007

By P. D. R. Maltby

This paper describes the background and markets for calcium carbonate and silica sand in Canada, as well as the results of recent test work carried out at the Ontario Research Foundation. Tests on sericite, tremolite, vermiculite, barite and graphite are also mentioned.

Jan 1, 1979

By L. Kilburn

A survey of 281 mineral exploration agreements examines the ratios among three ways that may be used to purchase an interest in a mineral property, viz: pay cash, pay shams and make future expenditures on the property. The dollar value of the future expenditures exceeds that of cash or shams by about nine times in most of the 110 agreements that contain cash-expenditure or share-expenditure components. Results suggest that cash and shams are treated about the same in terms of value. Buyers and sellers haw opposing priorities for the way that they prefer to purchase a mineral property. These opposing priorities should give rise to a perceived 50:50 balance between cash/share payment and future expenditures to satisfy the idealized situation described by most definitions of fair market value (FMV). This balance between cash/share payments and future expenditures appears to be rationalized in negotiations to a FMV when expenditures are nine times greater than cash and/or payments. On this basis, it is proposed that the FMV of a property may be determined by aggregating the dollar amount of the cash/share payments plus one-ninth the dollar value of future expenditures, as set forth in the respective purchase agreement, and proportionately applying such aggregate to full property value.

Nov 1, 2005

By R. M. Kleine

In the fall of 1968, Sheridan Geophysics leased the Renzy Mine property 50 miles northwest of the town of Maniwaki, Quebec. A 500-tpd flotation mill was dismantled at Belleterre, Quebec, trucked into the mine over a winter road and re-erected during extreme winter conditions. Approximately one billion gallons of water were removed from Renzy lake to expose the orebody. A 3,000-hp diesel generating plant and a self-supporting community were set up during the early part of 1969. This was a remark-able achievement considering that most of the work, including the pouring of foundations and the draining of the lake, had to be done during the winter months. Despite this, the project was completed ahead of schedule and one million dollars below budget. The mill is now treating an average of 800 tpd.

Jan 1, 1970

By B. C. Tripathy, S. K. Padhy, R. K. Paramguru, Pinak Patnaik

"Cobalt is regarded as technology enabling metal among the less abundant metals found in the earth crust. Electrodeposition of the metal from aqueous sulphate solutions is the preferred technology for its commercial production. Certain additives are added in the electrolytic bath during electrodeposition for the production of uniform, smooth and bright deposits of cobalt metal with higher current efficiencies and lower energy consumptions. A detailed investigation has been carried out to determine the effect of additive Sodium octyl sulphate (SOS) on the electrodeposition of cobalt. The results indicated that the additive apart from increasing the current efficiency enhanced the quality of cobalt electrodeposits. A maximum current efficiency of 98.4% was achieved at 10 mg/L SOS. The presence of SOS in the electrolytic bath did not result in any noticeable change in the crystal orientation of the cobalt electrodeposits except at higher concentrations (50 g/L) of the additive. Scanning electron micrographs indicate that smooth, compact and uniform deposits of cobalt were obtained at 10 mg/L of the additive beyond which there is detoriation in the quality of deposits. Polarisation of the cathode was seen in the presence of SOS. The effect of SOS on the electro kinetic parameters: Tafel slope (b), transfer coefficient (a) and exchange current density (I0) has also been investigated.INTRODUCTIONCobalt is recognised to be a strategic metal among the various base metals, owing to its numerous applications in various industries. Cobalt as a metal finds its use in the preparation of rechargeable batteries, as an alloying component in the manufacture of space craft and jet engines, as a drying agent for paint varnishes, ground coats for porcelain enamels and in the manufacture of the catalysts for the petroleum and chemical industries (Davis, 2000). Although there is a huge demand of the metal the supply of the metal is limited due to its scarcity in the earth crust. The metal comprises of only 0.02% of the earth’s crust for which the metal is recovered from various ores of nickel and copper as a byproduct (Hawkins, 1998). The present day techniques for cobalt production includes mostly hydrometallurgical methods which are preferred over the earlier used pryometallurgcial methods carried out for the metal production. Almost 70% of the world’s cobalt produced currently is from hydrometallurgical techniques in which electrodeposition of the metal from aqueous solutions is the final step for metal production (Verney, 1988). The most preferred route for electrodeposition of cobalt metal involves a sulphate medium (Das and Subbaiah, 1984; Lenthall and Bryson, 1997; Sharma et al., 2005)."

Jan 1, 2016

By S. V. Ulianov, A. Y. Senchenko, E. M. Kurchevskaya

"A process sample of old copper-containing tailings (-2.0+0 mm) from an iron-ore plant was tested in TOMS institute in order to develop a process for copper concentrate production. The study of tailings material composition indicated that -0.2+0 mm fraction was efficient and contained 97.26% of copper. Copper is predominantly concentrated in chalcopyrite which is present both in free form and in intergrowth with ore and rock-forming minerals. Study of chalcopyrite using an optical microscope and Qemscan SEM determined that the most grains surface was covered with oxide films. Additionally, a lot of grains had micropores on their surfaces that indicated a partial mineral leaching. The oxide films did not make it possible to float copper minerals from head material. It was recommended to apply an attrition operation to restore chalcopyrite floatability. In order to increase selectivity a regrinding stage for a primary copper concentrate was introduced to obtain P80 26 um. Taking these recommendations into account a flotation flowsheet was developed to process the old Cu-containing tailings. The flowsheet allowed us to obtain a concentrate with 23.5% Cu content at 71.5% recovery.INTRODUCTIONStudy of material composition is an important prerequisite for development of a minerals processing technology. Mineralogical study contributes to search for an efficient technology to recover valuables and for prospective methods of minerals processing.The use of such up-to-date analysis methods and equipment as Qemscan and Mineral-C7 allows one to determine minerals size, liberation degree, and mineral associations. Mineralogical data can reveal reasons for hard processing of minerals prior to development of the process.The advanced process mineralogical methods used to study Cu-bearing pond tailings indicated several factors that influenced development of the process. The first one is a barren size fraction which is to be removed from the process in order to considerably reduce the costs connected with grinding. The second is the presence of films on chalcopyrite surface; in this context, a preliminary attrition of the material was recommended. The third factor is finely disseminated Cu minerals in sulphide and in the rock, which predetermined selection of particle size for flotation. All these data led to significant decrease in time required to develop the process technology. The developed process flowsheet based on the obtained mineralogical data is present in Figure 1."

Jan 1, 2016

By W. E. Roscoe

"Mineral exploration properties are those on which an economically viable mineral deposit has not yet been discovered. Such properties are bought, sold, optioned and joint ventured on the basis of their perceived potential for the existence and discovery of a viable mineral deposit. The intrinsic value of an exploration property is therefore based on the exploration potential. One measure of the exploration potential is the amount that can be justified to spend on exploration for a viable deposit.The appraised value method uses a cost approach to value exploration properties. It is based on the premise that an exploration property is worth the meaningful past exploration expenditures plus warranted future costs to test remaining exploration potential. Results of past exploration work are analyzed in order to retain only those past expenditures that are productive in terms of identifying remaining potential. Warranted future costs comprise a reasonable exploration budget to test that potential."

Jan 1, 2002