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By M. Lohk, Y. -. R. Pastarus

Oil shale industry of Estonia provides a significant contribution to the country’s economy, but causes a large number of different problems. In spite of high economical parameters of the current underground mining (room-and-pillar) technology it is not effective. Backfill technology will be applicable in condition of Estonian oil shale mines. Nowadays attention has been focused on the use of combustion and mining by-products as filling materials. Use of ash and limestone in mining industry is treated as a part of mining technology, not as a waste disposal. Underground utilization of wastes reduces the volume and area required for surface disposal, environmental taxes. It improves the quality of mining works. The use of backfill technology has great impact on mining practice in Estonian oil shale industry.

Jan 1, 2011

By V. Rajaram

The oil shales located in the Appalachian Basin cover an eight-state area of the eastern U. S., and are referred to as Devonian (black) shales. These shales have been exploited for their gas potential for several years. The Institute of Gas Technology (IGT) has conducted research since 1972 on the production of shale oil from the Devonian shales, and this resulted in the development of the HYTORT process. This process demonstrated that the yield from the Eastern oil shales can be greater than the value indicated by the Fischer assay method. IGT estimates that 423 billion barrels (67.3 x 109 m3) of oil could be recoverd by HYTORT processing of surface-minable eastern U. S. shales. Recently American Syncrude Corporation and Southern Pacific Petroleum N. L. have proposed oil shale projects in Kentucky. This paper will describe the surface mining and retorting techniques that have been studied for exploitation of the Devonian shales, and enumerate the problems that have to be overcome before commercial production can be realized from these shales.

Jan 1, 1983

By Rameshwar Sah, Somasekhar Pitchika, Akhil Singh, Seenivasan Rajiah, C. B. Dayanand, G. Balachandran

In the sintering of iron ores, the partial substitution of anthracite coal for coke breeze has been considered to be an effective way of reducing emissions and improvement in sintering properties. In the present study, the combustion characteristics of the anthracite coal and coke breeze were investigated and its influence on product sinter quality and sinter flue gases is being monitored. Pot trials are carried out with different coke breeze ratios, 0%, 40%, 50%, 60%, and 100%. It is found that as the percentage of anthracite coal is increased from 0 to 100%, the sintering time decreased from 24 to 20 min, and the productivity increased from 2.25 to 2.60 t/h/m2. Up to 60% anthracite coal substitution Tumbler index (+ 6.3 mm%), Product yield (+ 5 mm%), and fines generation (− 5 mm%) is found 62.29%, 85.17%, and 15.33%; moreover, hematite ( Fe2O3), magnetite ( Fe3O4), calcium ferrite phases ( CaFe2O4, CaFe3O5), and Silico ferrite of calcium and aluminum (SFCA) are major mineral phases found during microstructural analysis of product sinter. Keywords Sintering · Anthracite coal · Combustion rate · Productivity

Jun 2, 2022

"The profile of the respondents was that of a professional responsible for communications, community relations or corporate social responsibility programs. By targeting a consistent professional profile it was possible to ensure that most respondents had a similar degree of responsibility and/or decision-making ability related to the application of communication technologies. The research attempted to be inclusive and attention was paid to interview respondents from both genders and from indigenous groups.4, 5 A codebook of 80 themes was developed that highlighted recurring topics; for example, codes were created to identify risks, benefits, policies and learning process of using social media and included topics that were repeatedly emphasized by respondents (i.e. age, efficiency and language). Both manifest coding (i.e. coding of the visible content, such as specific words) and latent coding (i.e. coding of underlying meanings) was undertaken (Creswell [13]). The codes were used in the qualitative analysis using ATLAS.ti software and network views were created to illustrate the relationship between major themes of this research. There are limitations to this research, largely related to the changing nature of the Internet and communication technologies. There is also a geographic limitation to the application of this research because most of the data was gathered primarily from Canadian sources.6 Different levels of Internet penetration, or limited access to computers or mobile devices, and low literacy rates may reduce the applicability of the research in countries with low Internet penetration. A more systematic process to selecting candidates may have helped bring balance to the final list of interview respondents. For example, most of the corporate respondents were from medium and large companies and there was not adequate representation of small mineral exploration companies. The research did not probe into social media applications by different business groups within the mining sector, such as smelting and processing."

Jan 1, 2011

By D. J. Carpenter

Safe and successful mine closure represents a fundamental work element that needs to accommodate the geochemical conditions existing at the completion of the mining and ore processing effort. Given the interests in limiting costs and time associated with mine closure efforts enhanced prior understanding of the geochemical conditions likely to exist upon exhaustion of the economic reserves can provide important benefits. The purpose of this paper is to document the benefits associated with geochemical modeling and understanding how the ore formation process may impact mine closure efforts, using one ore deposit type as an example. Specifically, this paper will emphasize the geochemical processes leading to the formation of sandstone-hosted uranium roll-type deposits and how the resultant concentrations and distributions of ore and gangue phases need to be incorporated into understanding the geochemical conditions projected to exist at the end of mineral recovery efforts. The paper will describe the evolution of geochemical conditions leading to ore body formation and the geochemical effects induced by open pit mining and how these may be used to understand both the geochemical controls and constraints on residual mine water. In addition, a discussion will be provided on how these conditions may be simulated by solution equilibria and kinetic modeling to develop optimum approaches to achieve applicable closure standards. This paper will also discuss specific augmentations to existing industry standard solution equilibria and kinetic models and associated thermodynamic databases to maximize the predictive accuracy of the geochemical modeling results. The benefits of understanding the electrochemically reactive behavior of uranium and associated gangue phases and incorporating this behavior into mine closure efforts will be presented. The culmination of the benefits of the geochemical modeling will ultimately be the development of a sustainable approach to uranium mine closure that is based upon an engineered environment designed to return the ore body to stable geochemical conditions.

Feb 27, 2013

By L Usoni

Collectors commonly used in flotation to date fall into two main classes: ionic and nonionic. The use of neutral or oily collectors is generally limited to the flotation of nonpolar minerals onto which they are adsorbed by forces of a physical or 'Van der Waals' type, while ionizable chemical collectors are utilized for all other types of minerals, adsorption in this case involving bonds essentially of a chemical nature. Though chemical adsorption is more selective than physical adsorption, even heteropolar collectors are active towards certain classes of minerals (sulphides for example) rather than towards one individual mineral. Thus, in order to float a given mineral from a mixture of minerals belonging to the same class, modifiers have to be used to render the action of the collector more specific. However, there are often considerable difficulties involved in this procedure and the desired results are not always attained, especially in the case of minerals of complex composition whose surface properties are not sufficiently well known. Hence the importance of seeking out collectors capable of linking selectively with given minerals. Selective linkage is possible if the collector structure incorporates active groups having specific affinity for certain cations characteristic of the mineral surface. The decision to investigate the possibility of utilizing chelate--forming reagents for flotation was based on the premise that phenomena which occur in solution and involve chemical reactions in the strict sense of the meaning and those which occur on the surface are closely correlated (1)

Jan 1, 1971

By W. L. Hollinshead, Alwin Poltinger

GENERAL Tunneling by hand digging is as old as the history of humans. Mechanized tunneling did not begin to replace manual methods until around the beginning of the 19th century(Brunel patent, 1818). It brought with it a higher degree of safety for the workers and a much higher rate of boring. But for any kind of tunneling, an accurate and feasible method of survey must be accomplished during mining. That means, that for each tunnel project the most efficient survey method must be devised. The method to be defined depends on the spatial curve, diameter, speed of tunneling method, purpose of tunnel and contractual accuracy. The final accuracy of a finished tunnel is heavily dependent upon three critical elements: 1. Quality of the above ground survey 2. Tunnel traverse and directional transfer from above ground 3. Guidance for the mining job. Combining The Survey And The Guidance System Since the guidance system (GS) is one of the critical factors in the determination of the tunnel final accuracy, it is necessary to analyze how the directional control and tunnel traverse measurements can be effectively integrated into a GS. Any guidance system, whether manual or high technology, must continually detect and compensate for movement of its theodoliteor laser station standpoint. Movement beyond a preset allowable amount must generate a warning or error message to the user. Additionally, optical refraction can interfere with the results. Refraction will have an effect on any kind of optical GS. Therefore, careful selection of target and standpoint locations can minimize, but not completely eliminate, the influence of refraction. Some GS technologies, such as Gyro-based systems, are immune to the effects of refraction, but have other, methodical errors which will be described later in this paper. GUIDANCE Overview Why is a guidance system necessary? A GS, whether manual or automatic, compares the design direction and slope of a tunnel with the current position of the mining

Jan 1, 1997

By D. R. Nagaraj

Based on our finding that commercial copper chelating solvent extractants such as LIX65N® and LIX63® are excellent collectors for copper minerals, a detailed study was made using several water-soluble chelating agents belonging to the class of aromatic hydroxyoximes and having a gradual structural variation. A basic study of the system salicylaldoxime-tenorite was also carried out. Microflotation tests as a function of concentration of oxime, pH, addition of copper etc., using oxidic copper minerals such as chrysocolla and tenorite, and batch laboratory flotation tests using synthetic mixtures of quartz and oxidic copper minerals were carried out. The studies were aimed at an understanding of the collector function of the hydroxyoximes and of the general flotation behavior in these systems, in addition to studying the structural aspects of oximes vis-a-vis flotation. The results have demonstrated that all of the hydroxyoximes studied here have comparable collector property, and in all cases the oxime was found to be partitioned between the mineral surface and the copper in the bulk aqueous phase in the form of a bulk copper chelate. The occurrence of the latter could be accounted for by the formation in the bulk phase of a chelate between oxime and copper released from the mineral and/or by the detachment of the surface chelate. The role of surface and bulk chelates in flotation is discussed based on the results of partitioning of chelating agent into bulk and surface chelates in the system salicylaldoximetenorite. The effect of substitution of CH2 groups or benzene ring in the chelating agent molecule on its collector property is also discussed, in addition to the finding that only the anti-isomer has the ability to collect.

Jan 1, 1979

By H. D. Van Veldhuizen

The Multilateral Investment Guarantee Agency(MIGA) is part of the World Bank Group, and has as its mission the facilitation of foreign direct investment by providing political risk insurance (guarantees) to foreign investors and lenders. As a development institution, MIGA is required to ensure that the projects that it insures will bring development benefits to the host country. Demonstration of this includes review and analysis of the environmental and social soundness of a prospective investment. Environmental guidelines and policies developed by the World Bank Group are important components both in analyzing the environmental and social soundness of a prospective investment and in risk management. MIGA has recently formalized and adopted environmental assessment and disclosure policies. The approach taken by MIGA to environmental review of investments and implementation of these policies is described in this paper.

Jan 1, 2000

For the third successive year it appears that demand for platinum will exceed supplies of newly-mined metal, forecasts Johnson Matthey in its "Platinum 1987 Interim Review." Based on data available at the end of August 1987, Johnson Matthey estimates that western world demand for platinum could exceed 93t (3 million oz) for the first time ever in 1987. Given a likely increase in demand of 4.3t to around 94t (140,000 oz to around 3.02 million oz), up by about 5% over 1986, there would be a 1.8- to 2.2-t (60,000- to 70,000-oz) shortfall in 1987 supply. South African mines enjoying undisrupted production last year after strikes affected Impala's output in 1986. The rate of increases in western world supplies, though, has probably not kept pace with the growth in demand. A downturn in US demand for platinum was counterbalanced by substantially increased purchases from Japanese and Western European consumers of the metal. Total imports of platinum into Japan in 1987 may have reached a record level of 45t (1.45 million oz). The largest source of demand for platinum remains its use in autocatalysts US and Japanese auto manufacturers reduced their platinum purchases in the wake of falling car production. Therefore, a small decline in overall 1987 sales of perhaps 780 kt (25,000 oz) was expected in 1987. Western European demand, however, rose strongly as a result of increased output. The spread of exhaust emission control regulations has sharply boosted the number of cars equipped with three-way catalysts containing platinum and rhodium. Western European auto makers probably needed 5.6t (180,000 oz) of platinum last year, a 50% increase over 1986. The jewelry industry, the second largest user of platinum, increased its offtake of platinum in 1987. Japan, the key to the jewelry industry's consumption of platinum, could absorb 24.8 to 26.4 (800,000 to 850,000 oz) in 1987, compared with 23t (740,000 oz) in 1986. Platinum has wide and diverse applications in industry. Other major users are the chemical, glass, electronics and petroleum industries. They were expected to increase their aggregate demand by about 1.8t (60,000 oz), or 11% in 1987. Investment demand for small platinum bars and coins of up to 311g (10 oz) dropped back in relatively inhospitable conditions. This, after rapid increases in recent years and a surge in US demand in 1986. However, Japanese investors purchasing bars weighing 500g or 1 kg (16 to 32 oz), and considered more speculative, recovered last year. Over the first eight months of 1987, platinum performed strongly on the open market with average prices well up from 1986 in dollar terms. But the increase was less marked where measured in sterling or yen. Platinum ad¬vanced by $3.70/g ($115 per oz) between Jan. 1 and mid-September with the average price having been surpassed only in the heady days of 1980. Johnson Matthey believes that supply and demand appear likely to keep more or less in step on a gently rising path. The recent open market volatility will continue with prices fluctuating widely over short periods. Writing in mid-September, and basing its view on the tangible evidence of platinum's price fall since the review was written, the company's assessment of price prospects is unchanged. Demand for platinum remains strong all-round. In October, imports of platinum into Japan were exceptionally high. And in the US and Japan there was a marked resurgence of demand from private investors. Although market sentiment may have been influenced in part by the news of several potential new platinum mines in South Africa, the full effects of these prospects on supply, even if they were all to materialize, would not be felt before the early-mid 1990s, Johnson Matthey said. According to the review, no radical change in platinum supplies is discernible in the near-term. Incremental growth from South Africa can be expected as the major producers continue to make the most of their existing resources. The Soviet Union may be keener to sell than it appeared earlier in 1987, especially if prices hold up, but a substantial increase is improbable. Canadian supplies are not capable of much variation from present levels. The palladium-rich Stillwater mine will make a modest contribution. Referring to the investment market, Johnson Matthey concluded that despite this year's reduction in sales of small-denomination investment products, platinum does appear to have established itself with private investors. Bearing in mind how business multiplied in comparatively unfavorable conditions before 1986, it is reasonable to look for a resumption of growth once the climate improves.

Jan 2, 1988

By John C. Draper

Little precise information is available on the effect of mining on the surface topography. It is often assumed that after mining the surface will simply sink. This is not an infallible conclusion as is well illustrated in two of the three examples herein. This paper describes the results of an attempt to precisely measure the surface movement in the area around coal pillars left in place for three oil wells in a completely mined and caved area at the Harwick Mine of the Duquesne Light Company. The dates when the various measurements were made are shown on the data sheets and indicate the rate of surface movement. These oil wells are identified as wells Nos. 2, 3, and 6. This mine property is located on the north side of the Allegheny River at Cheswick, Pennsylvania, and extends in a northerly and westerly direction about five miles. The three well pillars are situated on the westerly side of the Bessemer and Lake Erie Railroad some 2,000 feet from Rural Ridge, Pennsylvania (Fig, 1).

Jan 1, 1964

By William Connell

NFPA 502, Standard for Road Tunnels, Bridges and Other Limited Access Highways establishes minimum fire protection and fire life safety requirements for road tunnels, bridges and other roadways where access by emergency responders is physically limited. The 2008 edition of NFPA 502 represents the Technical Committee?s consensus of current best practice for fire protection and life safety requirements for road tunnels, bridges and similarly limited access highways. Research of national and international test programs, design guidelines and regulating standards was per-formed and considered in an effort to establish a singular, comprehensive document representing a recognized base threshold of fire safety in these type facilities. This paper provides an overview of the more significant revisions including the application of fixed fire suppression systems, guidance on tenable environment, protection of structure and dangerous goods transport.

Jan 1, 2008

By Joseph P. Gildner, Michael S. Kucker, Robert A. Robinson

Considerable controversy seems to exist over the extent and nature of information that should be provided in design-build type contracts. Much of this controversy may relate to the types of owners, ranging from private industry to state and federal agencies that are implementing design-build. Philosophies for the development of geotechnical information ranges from no information to a thorough investigation approaching that needed for final design. Several recent projects, such as the Channel Tunnel in Europe, Whittier Tunnel in Alaska, Tren Urbano in Puerto Rico, and Sound Transit in Seattle have taken varying approaches to providing and interpreting geotechnical information for bidders. The pros and cons of these various methods are discussed and assessed.

Jan 1, 2001

By Jack T. Work

Spiraling costs in every segment of the open-pit mining cycle is a fact of life that every operator must reckon with. The introduction of various shock absorbing devices for rotary drilling is one recent innovation that may significantly reduce overall drilling cost, increase drill availability, and lower maintenance requirements. In a recent all-inclusive test in taconite ores, shock absorbers on Bucyrus-Erie BE 60R and Gardner¬Denver GD 120 rotary drills were directly responsible for overall savings of up to $41.06 per hour. What is It? A shock absorber is simply a device installed between the rotary drive head and drill steel that cushions the two. It functions in the same manner as springs and shocks on an automobile. Some benefits associated with use of the tool are readily apparent on a daily basis; other benefits are realized over longer time intervals and through continued use. A properly designed shock absorber will: •protect the drill from severe vi¬brations, improve rock bit performance, allow application of the best weight-on-bit and rotating speed under all drilling conditions, •function effectively over a wide range of applied bit weights, • have a spring rate soft enough to perform its primary function of absorbing both rotary and vertical vibrational forces generated by rough drilling, •be reliable and subject to as little maintenance as possible, •be easy to install and remove, and • be of such an economic benefit so as to offset the added expense of its application. A shock absorbing tool developed by BJ-Hughes Inc. was used in a recent test. The "Smoothdrill" is just one of the products currently available. This unit absorbs both rotary and vertical shock loads and has no mechanical parts so lubrication is unnecessary. A rebuild of the unit consists of removing the worn rubber element and inserting a new element, an operation taking less than one hour. Minimizing Vibrations Severe vibrations on a blasthole drill operating in broken and discontinuous formations have visible effects. These vibrations often cause structural damage when allowed to' continue, resulting in fatigue cracks in the mast and related structural components in the drill. When rough running formations are encountered, drilling must be interrupted and possibly shut down. Usually, the drill operator resumes drilling using less down pressures and various rotational speeds until firmer drilling is encountered. An effective shock absorber can substantially reduce these vibrational forces so more down pressure can be applied in bad ground. It is generally accepted that longitudinal vibrations and cyclic forces are more effectively reduced if a tool is designed to incorporate a relatively "soft" shock absorber. The softness of any shock absorbing tool is best judged by its spring rate-the weight required to produce a given amount of deflection, commonly expressed in units of kg per mm or pounds per inch of deflection. All shock tools use a resilient member such as rubber springs, steel springs, fluid, or gas springs to absorb

Jan 4, 1980

By S. Agarwal

The mining industry collects a significant amount of operational data. However, gleaning useful information from the terabytes of data is difficult, and not just because of the sheer volume of the data. Therefore, an automated tool was developed at the University of Alaska Fairbanks to go through data and apply very sophisticated statistical and neural network techniques, to identify the data streams that are important to a process. This paper presents results from the tool as applied to SAG mill data from a gold mine. The results were benched against commercial tool. Results indicate that there was little or no loss in performance by automating the very complicated process of neural network modeling. Therefore, the intent of the exercise, to examine if complicated modeling tasks can be automated, was realized.

Jan 1, 2011

By William M. Gray

[The products of mites hive historically beet a very large and important segment of total shipment transported by American Railroads. Much as the Mining transportation Executives right have wished for coal and other mineral deposits to be found along navigable rivers, where railroads have for years been competing with the very aggressive Army Corps of Engineers and the inland waterway operators, the mineable reserves are more often that not located in the arid west far from these "free" waterways. The rivers cannot go to the mines but the railroads could, did, and continue to invest it new lines to reach new mines. The mining industry and the railroad industry have good reason to rely upon each other. The former Northern Pacific Railway, the Great Northern Railway, the Chicago, Burlington and Quincy Railroad and the Spokane, Portland and Seattle Railway merged in 1970 to form the Burlington Northern Railroad, with Lou Menk as its first President. As unofficial spokesman for the industry, be had, for years, conducted a tireless effort to educate shippers, lawmakers and the general public of the single most critical problem confronting the railroad industry, the strangle bold of government regulator.]

Jan 1, 1985

By D. M. Jepsen

One of the first things we tell a potential new client is that they have only one chance to make a first impression with an Aboriginal community; all future communications and engagement will be predicated on that first impression. The key components of this most critical meeting are not your power point, your maps, or your draft plan for development ? they are instead a genuine, evident and clear demonstration of a sincere desire to develop a positive relationship that is based upon respect, and consideration and understanding of local communities and their interests, needs and desires. Relationship building is the foundation of proactive and positive consultation and accommodation with Aboriginal communities and the tone is set with the first meeting. C3 has refused more clients than we have accepted due most often to the fact that relationships between the company and the Aboriginal community have already devolved into a tense and toxic scenario. Land access and tenure certainty for exploration and mine development is critical to the foundation of a healthy, sustainable and environmentally and economically sound mineral exploration and mining sector. Without certainty confidence to invest in mineral exploration will be severely eroded. We all understand that substantive investments in exploration are required to increase the possibility of discovering, defining and developing new mines. The development of positive relationships based on a shared commitment of understanding, mutual respect and trust by Aboriginal Peoples and the mineral sector can provide the required business certainty and deliver social and economic benefits for local Aboriginal communities.

Jan 1, 2012

By W. W. Edgerton

Construction projects may be delivered under one contract package or multiple packages divided by discipline, geographic location, or other characteristics. Dividing the construction into contract bid packages is called contract packaging, and is a vital and strategic aspect of effectively delivering tunneling projects. The process of contract packaging considers many factors, including the type of project, location, and owner?s priorities. This paper describes the key facets of the contract packaging process used recently on several tunnel projects, reports, where possible, on the success of the process, and concludes with recommendations for applying this process to achieve the right contract package.

Jan 1, 2008

By W. J. Miles

At the beginning of the 20th century, barite was a mineral of minor importance in the USA. Its primary use was to extend lead oxide in white paint. Barite also added the special qualities of hiding power and flatness to paint. Because white lead sometimes turns black or yellow and barite does not, ground barite became a pigment on its own merit. Barium chloride was added to bricks before firing to stop efflorescence when exposed to weather. Barium carbonate or nitrate added luster and brilliance to glass. Barium chemicals were added to refining sugar, enameling iron, making oilcloths and paper collars, and in the manufacture of paper, artificial ivory, rubber and lithopone. Lithopone became a major paint ingredient in the 1920s; its use lasted until the 1950s, peaking at 150,000 metric tons of barite in both 1937 and 1947 for the manufacture of lithopone. Later in the 20th century, titanium dioxide replaced lead oxide, barite and zinc oxide in the coatings industry. In the 21st century, barite is used as a filler, extender, or weighting agent in products such as paints, plastics, and rubber. Some specific uses include its use in brake and clutch pads for automobiles, automobile paint primer for metal protection and gloss, add weight to rubber mud flaps on trucks, and add weight to the cement jacket around petroleum pipelines under water. In the metals casting industry, barite is part of mold release compounds. Because barite significantly blocks X-ray and gamma ray emissions, it is used as aggregate in high density concrete for radiation shielding around x-ray units in hospitals, nuclear power plants, and university nuclear research facilities. Ultra-pure barite consumed as liquid is used as a contrast medium in medical X-ray examinations. Barite is the raw material for barium chemicals, such as barium carbonate, which is an ingredient in faceplate glass in the cathode-ray tubes of televisions and computer monitors. In the 21st century, barite industrial uses account for an estimated 78,000 tons per year in the United States. Another barite use was patented in 1926 by the oil industry. In this patent, barite is primarily used as a non-abrasive weighting agent for drilling for oil and gas exploration and production. As a weighting agent, it provides the downward force in a water based or oil based drilling fluid for cutting through rock with a tri-cone diamond drill bit. In order to minimize the wear on the drill bit and drill stem, minimum abrasion of the weighting agent is preferred. In recent years in the USA, 95% of the barite produced and about 80% on a world basis are used as a fluid weighting material during the search for oil and gas. During the latter part of the 20th century, barite was used in the drilling mud of oil and gas wells, particularly for wells deeper than 2000 meters, and petroleum well drilling demand for barite became the mineral?s major end use during economic expansions after World War II and subsequent increased use of oil and gas in the USA. The profitability of oil and gas production had a strong effect on the number of drill rigs and consumption of barite. The United States was the leading petroleum well drilling country starting in 1970, reaching 4,530 drill rigs in December 1981, and was the largest consumer of barite. In the USA, record highs of about 2.6 million tons of barite produced and 4.3 million tons consumed were reported in 1981. From 1997 to 2006, barite production declined from 662,000 to 589,000 metric tons. However, USA imports increased from 1,470,000 to 2,530,000 metric tons for lump barite. World production of barite increased from 6,780,000 to 7,960,000 metric tons during the same period. Table 1 (see Appendix) lists USA production, imports and exports and world production from 1997 to 2006. Major sources of imported barite include China, India and Morocco. Table 2 (see Appendix) lists the USA imports and price of barite by country. China, India and Morocco are the three largest exporters of barite to the USA and the world. Vietnam is a new producer, beginning in 2006. IMPACT OF CHINA ON DRILLING GRADE BARITE In the 1970s or before, China began supplying barite to the world drilling market in order to help develop their economy. When China first entered the barite export market, their high production volume, low pricing and low ocean transport expenses to the Gulf Coast forced barite producers in the USA to supply only regional markets, such as Battle Mountain Nevada barite for the western and Rocky Mountain states and Canada. Until recently, it was China?s government policy for domestic consumers to use barite below the API 4.20 specific gravity specification, leaving higher grades for export, but this is no longer the case. In recent years the internal demand for barite in China increased tremendously as their economy rapidly developed. China reduced their former 15% VAT tax rebates to 5% for Chinese barite producers, and then eliminated all VAT tax rebates on December 15, 2006. On the supply side, some high-grade barite deposits in China have been depleted. In particular, the low heavy metals sources are less plentiful. Additional mine capacity is being developed, but the new mines are underground and therefore costs will be higher. China?s appetite for other raw materials has tied up a large portion of the world?s bulk vessel fleet, including Panamax vessels (preferred for barite ore transport). Ocean transport freight rates have increased in recent years, and receiving ports in the USA are congested with imports of higher-added-value products. The Panamax Index, which tracks maritime shipping rates, more than doubled in 2006. China has also devalued its currency from RMB8.30 to RMB7.80 per dollar. These factors are driving up the import price of crude and ground barite for drilling. In addition, in the USA, rail congestion and high fuel prices led to higher trucking rates, increasing the delivered cost of ground barite to oil customers. India is the second largest supplier of crude barite to the USA and world drilling market. It produces all of its barite from a single deposit in the Cuddapah region of Andhra Pradesh State. More than 90% of production comes from the State-owned Andhra Pradesh Mineral Development Corp., and the government continues to closely control production, export volumes, and prices. India saw a dramatic increase in barite prices as a result of its last 3-year tender in 2004. However, in 2004 and 2005 their shipments of crude barite to the USA were not significant. In 2005, India began supplying barite pulverized to meet API specifications to the Gulf Coast. In 2006, Indian production was reduced owing to severe flooding in November 2005 that curtailed mining until mid-April 2006. Morocco has been the third largest supplier of crude barite to the USA and world drilling market. In 2003 and 2004 their shipments of crude barite to the USA were not significant. In 2005, Morocco resumed shipment of crude barite to the Gulf Coast and began supplying barite ground to meet API specifications to the Gulf Coast.

Jan 1, 2009

By J. R. Shultz, R. J. Lambert

One of the present trends in the mining industry is the increased use of mining contractors. In the past, many project owners have utilized mining contractors for topsoil stripping or overburden removal, usually on a short-term or periodic basis. In recent years, mining contractors have not only removed the overburden, but mined the product as well. Why is this change occurring? A prevalent trend in the mining industry appears to be the outsourcing of non-core and non-strategic functions, allowing producers to focus more on areas of technical expertise where higher incremental value is added—that is the processing, refining, and marketing of the product. As capital allocation becomes more critical, this trend is likely to continue.

Jan 1, 2002