Search Documents

By R. G. Sandberg

The Bureau of Mines investigated a hydrometallurgical procedure to recover gold, silver, and byproduct lead from a complex lead-zinc sulfide ore. A ferric chloride (FeCI3) preleach, at 40° C in 6 h, extracted about 50 pct of the zinc and formed insoluble silver and lead chlorides. Subsequent acid thiourea leaching, for 1 to 3 h at 40° C, extracted about 85 pct of the gold and silver. Lead chloride was solubilized from the remaining residue with NaCI brine solution at 55° C in 1 h. Lead metal was recovered from the brine solution in an electrolytic cell with an anion perms elective membrane at a current efficiency of 95 pct and current density of 100 A/m2. Spent FeCl3 leach solution was reoxidized in the anode compartment at a current efficiency between 75 and 95 pct.

Jan 1, 1986

By KENNETH CITTISGHAM

During the year 1945, the total number of wells drilled in Ohio, including the. non¬productive wells, was 1034. For the 10-year period ending with 1945, the average completions per year were 1125, the least number being 910 in 1938, and the maximum 1561 in 1941. The proportion of dry holes in 1945 was 37 per cent?about the same as for the year 1944 but exceeding the 10-year average, which was 34 per cent. The number of oil wells completed exceeded the number drilled in 1944 by about 30 per cent, the average initial per well being the same in both years. Gas-well completions were approximately 10 per Cent less than in 1944, with the average initial per well about 5 per cent greater. The difference in number of oil and gas wells in the two years was in Berea and Clinton completions, as the number of oil wells increased about 30 per cent, owing to greater activity in the two sands named, while the number of gas wells decreased because of fewer completions therein.

Jan 1, 1946

By O. K. Mahabadi, A. Lisjak, B. S. A. Tatone, N. Vlachopoulos

"Numerical simulations are widely adopted in the design of several types of rock structures, including tunnels, caverns, rock cuts, and open pit and underground mines. In recent years, analyses based on the hybrid finite-discrete element method (FDEM) have been shown to provide a realistic representation of rock mass deformation and fracturing processes. To date, the FDEM approach has successfully yielded qualitative and quantitative results for several practical rock engineering applications, yet it has lacked the ability to consider the implementation of rock-reinforcement measures. Since rock reinforcement is often used in civil and mining applications to improve the strength and deformational behaviour of a rock mass, the ability to incorporate such features into FDEM analyses is essential to extend its applicability to a broader range of problems. The work presented in this paper represents an important first step towards developing a simulation tool that can be used for practical rock engineering applications, including the design of underground excavations and rock slopes.INTRODUCTIONRock support and reinforcement measures are often employed in civil and mining rock engineering projects in order to maintain or improve the strength and deformational behaviour of rock masses. The preferred type of reinforcement or support elements along with the preferred layout and timing of installation depend on the in-situ ground conditions, the nature of the rock mass and excavation method. Over the last two decades, numerical modelling has been increasingly used to design and attempt to optimize rock reinforcement and support systems. As such, most rock engineering-specific modelling software now offers various approaches for modelling different rock reinforcement and support elements."

Jan 1, 2015

By Edward E. Hicke, Charles A. Stickels

The dihedral angle of liquid-lead inclusions in solid nickel has been measured as a function of temperature from 371 to 816 C at zero pressure. and as a function of pressure up to 50,000 psi at 317 and 593 C. Thermodynamic expressions are derived for the temperature and pressure coefficients of interfacial tensions in this system. A method is presented for obtaining relative tempmature and pressure coefficients from dihedral-angle data, and the resulting values are used in conjunction with the thermodynamic relations to calculate excess properties of the solid-liquid interface. Defining the position of the solid-liquid interface by the condition that the excess concentration of lead is zero, the excess concentration of nickel and the excess entropy at the solid-liquid interface are: where y(593) is the interfacial tension of the nickel grain boundary saturated with lead at 593C and zero pressure. These values are considered reliable to within a factor of two. While similar calculations are not possible for the nickel grain boundary, it is shown that the expwimental results imply that the excess concentration of nickel at the boundary and the excess entropy of the boundary are negative. THE temperature and composition dependencies of interfacial tensions in metal systems have been reported by several authors in the last 15 years.'-' No measurements of the effect of pressure on inter- facial tensions in metals have been reported, although measurements made on nonmetallic gas/liquid and liquid/liquid systems suggest that a measurable effect should exist.6-l2 The purpose of these experiments was to determine the influence of temperature and hydrostatic pressure on dihedral angles in the Pb-Ni system. The equilibrium dihedral angle is expressed as a ratio of interfacial tensions by2: where 8 is the dihedral angle, yGB is the Ni-Ni grain boundary tension, and SL is the solid Ni-liquid Pb interfacial tension. Three sets of ex- periments were run to determine: a) the effect of temperature from 371" to 816°C on the dihedral angle at zero pressure; b) the effect of pressure up to 50,000 psi on the dihedral angle at 371° and 593°C. THERMODYNAMICS The properties of interfaces of most direct concern are the interfacial tension, excess concentrations of various components at the interface and the excess entropy of the interface, S°. These quantities are defined following Gibbs. Consider an interface separating phases a and 0. Construct two surfaces C, and C such that all properties of phase a remain uniform up to C, and all properties of phase 0 remain uniform up to C. The region between C, and Cp is the interfacial region. Let a "dividing surface", D, be constructed in the interfacial region such that it passes through all points "similarly situated with respect to the condition of the adjacent matter."l3 Surface D divides the interfacial region into a portion a' adjacent to phase adjacent to phase . Let a closed curve, C, enclose an area A in D. Erect normal lines to D along C; these lines and the surfaces C,, Cp, and D then enclose volumes V and V' in the two halves of the portion of the

Jan 1, 1964

By Ronald T. Mayerle

In-1992, the U.S. Bureau of Mines conducted a mineral investigation of the Anderson Mountain study area, including RARE II area 4-942, in Lemhi County, Idaho. The 7,340-ha study area lies within the Salmon National Forest about one kilometer north of the old mining town of Gibbonsville (pop.: 100). The eastern boundary of the study area is formed by the crest of the Bitterroot Range. The crest also serves as the continental Divide, and as the border between Idaho and Montana. The study area lies within the Gibbonsville Mining District, an important past producer of gold from lode and placer deposits. Since the 1870's, several hundred claims for both types have been located in the study area. Thirty-six current (1992) lode claims and two patented claim groups (one lode and one placer) are wholly or partially in the study area. No placer claims are current. In all, twenty-seven lode and five placer properties in and adjacent to the study area were investigated. Workings on the properties included 2 caved shafts; 36 caved adits; 8 open adits; 120 small pits, cuts, and trenches; and 4 large dozed cuts.

Jan 1, 1993

By J. E. Schiller

The Bureau of Mines is investigating methods to treat waste water that contains cyanide. This report describes a new method that removes heavy metals and all forms of cyanide. In the first step, hydrogen peroxide and sodium thiosulfate are added at pH 7 to 9 in a 1:2 molar ratio to convert free and weakly complexed cyanide to nontoxic thiocyanate. Then steryldimethylbenzylammonium chloride is added to precipitate ferro-cyanide, and finally, ferric sulfate is added as a sweep floc and sequestrant for heavy metals. After the suspended solids settle, the water is polished by filtering. The water initially contained 1 to 5 mg/L Fe, 1 to 5 mg/L Cu, and 10 to 30 mg/L total cyanide; the level of each of these constituents was reduced to less than 0.02 mg/L.

Jan 1, 1983

By C. E. Golson

The preparation of aggregates is a form of mineral processing which has been taken for granted for many years, mostly because of its lack of glamour when compared to the winning of metallic minerals from their ores. Many of the processes and equipment now used in the metallic mineral processing industries originated in the more prosaic preparation of aggregates. 'Their adaptation to metallurgical processes has led to developments both in their design, and in their use. Modern practice, has been so exacting in its demands that, in many cases, this improved technology is finding new applications in the very industry in which it originated the mineral aggregate industry, The low cost requirements, large tonnage capacities and complex specifications which govern the acceptability of its products have node modern aggregate processing a much different art than it was one or two generations ago. The basic conditions which govern the type and quality of mineral aggregates were presented in an addendum to a paper given at the San Francisco Meeting in 1959 by one of the authors.

Jan 1, 1961

By F. I. Grace, L. E. Murr

The mechanical responses and residual defect structures in 70/30 brass and type 304 stainless steel following explosive shock loading and cold reduction by rolling have been studied. A distinct relationship was observed to exist between the residual mechanical properties and micro structures observed by transmission electron microscopy. Shock-loaded brass deformed primarily by the formation of coplanar arrays of dislocations and stacking faults at lower pressures, and twin-faults (deformation twins and €-martensite bundles) at higher pressures (> 200 kbar). The micro -structures of cold-rolled brass were characterized by dense dislocation fields elongated in the rolling direction. Stainless steel was observed to deform by the formation of dense arrays of stacking faults at lower shock pressures and twin-faults at high shock pressures (>200 kbar). Lightly cold-rolled stainless steel deformed similar to low Pressure shock-loaded stainless steel, but transformed to a' martensite in heavily cold-rolled stainless steel. Discontinuous yielding was observed for the heavily cold-rolled stainless steel, and stress reluxution in the weyield region for cold-rolled and shock -loaded stainless steel was interpreted as an indication of the ability of twin-faults and stacking faults to act as effective barriers to dislocation motion. A simple model for the formation of the planar defects and a' martetnsite is presented based on the propagating of Shochley partial and half-partial dislocations. A considerable effort has been expended over the past decade in an attempt to elucidate the response of metallic-crystalline solids to the passage of a high velocity shock wave (e.g., smith,' Dieter,2 and zukas3). While it has been possible to obtain relevant information pertaining to the residual defect structures and mechanical properties, there have been few rigorous attempts to draw a direct comparison between these structures and properties. In addition, numerous investigators have recently observed the occurrence of deformation twinning in shock deformed fcc metals (e.g., Nolder and Thomas,4 and Johari and Thomas5), but little attempt has been made to elucidate the mechanisms of formation of these defects. Comparative data for metals deformed by shock-loading and the same metals deformed by more conventional modes of deformation such as cold-reduction by rolling is also generally lacking. The present investigation therefore has the following objectives: 1) to examine the mechanical properties of some explosively shock loaded and cold-rolled fcc metals of low stacking-fault energy as a function of their residual substructures; 2) to present a simple model for the formation twin-faults and related defect structures in the low stack-ing-fault energy materials of interest (70/30 brass, ySFg= 14 ergs per sq cm; and 304 stainless steel, ySF = 21 ergs per sq cm); 3) to make some deductions with regard to the residual characteristics of dislocation and planar defect substructures in cold rolled and shock loaded 70/30 brass and type 304 stainless steel. In particular, it was desirable to characterize the residual hardening effects of particular deformation substructures. I) EXPERIMENTAL PROCEDURE Sheet samples of 70/30 brass (0.005 and 0.15 in. thick; annealed at 659°C for 2 hr) and type 304 stainless steel (0.007 in. thick; annealed 0.25 hr at 1060°C) of nominal compositions shown in Table I were cold-rolled in one direction only to produce reductions in thickness of 15, 30, 45, 60, and 75 pct in the brass; and 5, 15, 25, 35, and 45 pct in the stainless steel. Identical sheet samples in the annealed (unrolled) state were subjected to plane compressive shock waves to various peak pressures ranging from 0 to 400 kbar in the brass and 0 to 425 kbar in the stainless steel; and with a constant peak pressure duration of approximately 2 microseconds. A detailed description of the shock loading technique has been given previously.6 Tensile specimens 1.0 in. in length and 0.125 in. in width were cut from the cold-rolled sheets (tensile axis parallel to the rolling direction), and the shock-loaded sheet specimens. Stress (load)-strain (elongation) measurements on the tensile specimens were made on a Tinius-Olsen load-compensating tensile tester using a strain rate of 2.7 x 10-3 sec-1. Tensile tests were repeated at least twice, giving essentially the same results. Stress relaxation measurements in the preyield region were also made using an initial strain rate of 5.4 x 10-4 sec-1. In addition to tensile and stress relaxation measurements, Vickers microhardness measurements were made on all samples. A total of 100 microhard-ness readings were obtained for each specimen following a light electropolish to ensure uniform surface conditions for all tests. The hardness averages ob-

Jan 1, 1970

By Aldo L. Furno

Sufficient quantities of combustible vapors are released by some sulfurs to produce flammable atmospheres under prolonged storage. Hydrogen sulfide and carbon disulfide appear to be the principal flammable constituents in the vapor space above molten sulfur. If sufficient carbon disulfide is present, ignition of the vapor-air mixtures can occur spontaneously on contact with the heated surfaces found within storage tanks.

Jan 1, 1963

By A. R. Miller, R. A. Stanton, M. J. Male, G. R. Cluff

"The Dubawnt Group consists of continental sedimentary and volcanic rocks which fill structural depressions - Baker Lake Basin, Yathkyed Lake and Angikuni Lake subbasins- whose evolution was controlled by late Aphebian extension, between 1.9-1.8 Ga. Structurally controlled uranium mineralization having the signature U + Mo + Ag + Pb + Cu ± Zn is spatially related to (i) intersecting fault systems that record multiple movements, (ii) chemically reactive lithologies containing sulphide, chlorite or graphite/ carbonaceous matter in the Archean and Aphebian basement complex and as alkaline volcanics of the overlying Dubawnt Group and (iii) areas containing thick successions of basal Dubawnt Group red clastic sediments.The most significant uranium occurrence found to date is the Lac Cinquante deposit, which contains 14 million pounds U3O8 of drill-indicated reserves. Mineralization is hosted in Archean meta-volcanic and metasedimentary rocks of the Henik Group adjacent to the basal Dubawnt unconformity in the northeastern A ngikuni Lake subbasin and occurs as plunging pods in and peripheral to a fractured and brecciated tuffaceous meta-sediment- sulphide+ carbonaceous exhalite. This deposit exhibits many features typified by the classical vein deposit at Beaverlodge, northern Saskatchewan.Epigenetic stratabound U + Cu + Ag ± Mo mineralization, typified by the 74-1E prospect in the eastern Baker Lake Basin, is hosted in thermally altered Kazan redbeds adjacent to alkaline dykes.At the eastern end of the Baker Lake Basin, small prospects having an elemental signature U + Se + Cu + Ag +Au are interpreted as unconformity-related mineralization associated with the Helikian The/on Basin.The Dubawnt Group rocks of the Baker Lake Basin, subbasins and adjacent basement complex contain uranium mineralization of two eras- Late Aphebian and Helikian."

Jan 1, 1986

By S. A., Taylor

IT is very difficult to arrive at exact figures for the cost of maintaining excess capacity of coal mines, but we can approximate the various items. To do this, I will take the Pittsburgh district of Pennsylvania and the other districts can be compared to this one. I believe we can take the depreciation item of plant ac- count as a whole and discount it over a period of 20 years; while this is high for some items it is low for others and I believe it is not far from a safe basis. This equals 5 per cent per year, and this depreciation will take place about as rapidly when not in use as when in operation. A fair value in the Pittsburgh district to- day for plant and houses is close to $4 per ton per annum. At 5 per cent this will equal 20 cents per ton per year. The item of keeping the mine in condition, free from water, etc., will be close to an average of 2y2 cents per ton per annum.

Jan 1, 1928

By NORA Mining Sector Council

The National Occupational Research Agenda (NORA) is a partnership program to stimulate innovative research and workplace interventions. In combination with other initiatives, the products of this program are expected to reduce the occurrence of injuries and illnesses at work. Unveiled in 1996, NORA has become a research framework for the National Institute for Occupational Safety and Health (NIOSH) and the United States. Diverse parties collaborate to identify the most critical issues in workplace safety and health and develop research objectives for addressing those issues. NORA entered its third decade in 2016 with an enhanced structure. The 10 sectors formed for the second decade will continue to prioritize occupational safety and health research by major areas of the U.S. economy. In addition, NORA’s seven cross-sectors will continue to focus on the major health and safety issues affecting the U.S. working population. While NIOSH serves as the steward to move this effort forward, it is truly a national effort. NORA is carried out through councils comprised of members with many diverse interests that are developing and implementing research agendas for the occupational safety and health community over the third decade (2016-2026) of NORA. Councils address objectives through information exchange, partnership building, and enhanced dissemination and implementation of evidenced-based solutions. NORA groups industries into 10 sectors using North American Industry Classification System (NAICS) codes. The Mining Sector encompasses NAICS code grouping 21xxxx where “xxxx” represents the different subcodes of the mining “21” classification. Mining encompasses the extraction of solid mineral and mineral-like substances from their place in the Earth’s crust and supplies them to processing industries that produce economically valuable materials. It does not include oil and gas extraction. The Mine Safety and Health Administration, MSHA separates mining into coal, underground and surface, and metal and nonmetal, underground and surface.

Feb 1, 2024

By David P. Lindroth

The objective of this research by the Bureau of Mines was to determine the technical feasibility and associated pilot data for drying minus 1/4-in coal with microwave energy at a frequency of 2.45 GHz. The drying data were obtained experimentally on three coal types: bituminous, subbituminous, and lignite. The experiments were performed with a custom-designed conveyorized microwave oven having a continuous power capability of 12 kW. Drying efficiencies near the theoretical maximum of 1.54 kg of water per kilowatt hour of energy input were achieved for two coals and two sizes; overall drying efficiencies averaged 77 pct.

Jan 1, 1986

By X. Cao, A. Birur, R. R. Chromik, J. Cuddy, P. Wanjara, J. Gholipour Baradari, T. Shariff

In this study, 3.1 mm thick Ti-5553 (Ti-5Al-5V-5Mo-3Cr) butt joints were autogenously welded using a 4 kW continuous wave Nd:YAG laser. The effect of welding speed and defocusing distance on the weld quality was investigated in terms of the surface morphology, welding defects, microstructure and hardness. Welds with full penetration were achieved at a defocusing distance ranging from -1 mm to 0 mm and welding speeds from 2.25 to 6.0 m/min. Underfill and porosity were the two main defects most frequently observed but within the optimum process window these defects could be maintained to meet aerospace specification tolerances. The fusion zone (FZ) consisted entirely of retained beta with a refined dendritic morphology. Compared to the bimodal alpha (a) + beta (ß) microstructure of the base metal (BM), the dissolution of the a phase was observed in the heat affected zone (HAZ), which led to an 11 % decrease in hardness from the BM to the FZ. To determine the tensile properties of the welded samples, an automated 3D deformation measurement system was used to measure the local strain in the weld region. The yield strength (YS) and ultimate tensile strength (UTS) increased with increasing welding speed with a highest joint efficiency of 75 % being achieved, albeit with a concomitant reduction in the ductility.

Jan 1, 2010

By J. Mikhael Erekson, Connie Campbell Brashear, Brent Meins

Christmas morning 2020, an IED in an RV was detonated along an evacuated section of downtown Nashville, Tennessee. The blast damaged over 40 buildings, including AT&T’s Main Central Office and caused internet and cell outages across 1,200 zip codes for three days including the airport and EMS services. Published investigations by the ATF and FBI were inconclusive in determining the explosive composition and size. Video captured a large fireball that may indicate a fuel-air-mixture explosion which would create lower peak pressures than high explosives, but longer pressure duration and significant impulsive loading. Blast pressures were amplified by reflections in the urban environment bordered by the 8-story AT&T building and a row of multi-story historic buildings. Some structures had little damage as they were shielded from the blast pressure by closer buildings, and seemingly far-field structures contained damage from the pressure wave after multiple reflections and propagation through porous parking garages. Damage to the reinforced concrete frame AT&T building included snapped masonry ties, cracking and spall to the closest column, and vertical displacement of the elevator, even with the brakes applied. The historic structures directly across the street from the blast partially collapsed. Initial damage included complete failures of unreinforced masonry façades, broken timber beams, and uplifted roofs. Secondary, progressive collapse took place over months as the brick walls and weakened historic mortar could not resist typical wind and environment loads. One of the close historic structures was renovated in the 1990’s and structural retrofits to comply with building codes were required. The addition of steel columns and façade tie-ins improved survivability and it remained standing with a high percentage of the front brick intact. Generally, the observed blast damage was related to a structural component’s mass and flexibility. Internal timber framing was unscathed, but many steel studs required replacement. Glazing damage was observed several blocks away and many roof membranes were punctured by falling debris. Secondary damage from broken sprinkler lines and loss of environmental control often led to more costly repairs than the initial blast pressure damage. The proliferation of bomb-making knowledge leads to hundreds of bombings each year in the US. Building risk considerations should include explosive threats along with other hazards. ASCE structural standards and design manuals have been published to address these risks and may be useful guides for building construction.

Feb 6, 2023

The panic bars (and associated linkages and electrical circuitry) that are defined in this document are a machine operator-actuated control for the emergency deenergization of the tram motors on self-propelled, electric and diesel face equipment; including haulage equipment such as shuttle cars. There are nine basic types of panic bars (and several variations) that are recommended in this document, but all of the panic bars arc characteristically of the 'fire door" type that is frequently encountered on outside exit doors of many public, and some commercial buildings. It is also the intent of the following panic bar designs that, when emergency brakes arc added to the face equipment machinery for which they arty required, that they be designed and hooked up so that actuation of the panic bar will result in automatic application of the emergency brakes (immediately following the deenergization of the tram motors). The following panic bar design requirements are a restatement of the proposed requirements defined in the Federal Register, requirements cited in "Guidelines for the Design and Installation of Devices for Deenergization of Self-Propelled Electric Face Equipment/Automatic Emergency Brakes" by C. E. Lester and J. D. Greenhalgh of MESA, and Bendix recommendations that were formulated as a result of discussions with personnel at the various machine manufacturers and underground coal mines that we surveyed, discussions with G. I. Judy (our consultant), etc:

Jan 1, 1974

By M. S. Safarzadeh

Over the last fifty years, the treatment of enargite concentrates has not received much attention primarily because of the availability of other clean concentrates suitable for processing with existing smelting and/or leaching technologies. As traditional copper ores have become scarcer, copper-arsenic ore deposits have garnered more interest. Arsenic release is a significant concern during the treatment of enargite by pyro or hydrometallurgical methods. Enargite is also very refractive in standard leaching procedures. Thus, economical treatment options for enargite concentrates are needed. Preliminary experiments have shown that the acid-bake leach process could be adapted and used for the treatment of enargite concentrates. In this study, low-temperature (100-400 ºC) sulfuric acid baking of an enargite concentrate followed by water-leaching has been evaluated. The results indicate the thermal transformation of enargite to copper sulfate during sulfuric acid baking, with most of the arsenic being released from the concentrate into the gas phase for baking at 400 ºC. The condition for maximum copper extraction (~100%) from the concentrate was found to be 400 ºC, sulfuric acid amount of 0.5 mL/g of concentrate, and 2 h baking time. Part of the arsenic was captured in the form of arsenopyrite (FeAsS). XRD analysis proved the presence of some arsenic in the form of claudetite (As2O3) in the baked concentrate. Acid baking of pure enargite behaved in similar fashion.

Jan 1, 2012

By R. J. Kuczynski

The U.S. Bureau of Mines Reno Research Center operated a batch pilot plant to demonstrate high-temperature cyanide leaching for recovering platinum group metals (PGM) from automobile catalysts. Approximately 1,600 kg of used pellet, monolith, and metal support catalyst containing 1,680 g (54 tr oz) of PGM were processed. Forty-five-kilogram batches of used catalyst were leached with sodium cyanide solution at 160° C for 1 h under basic conditions in a countercurrent processing sequence to dissolve the PGM. Extractions from the used pellet catalyst ranged from 94 to 95 pct for Pd, 95 to 97 pct for Pt, and 64 to 81 pct for Rh. Extractions from the used monolith catalyst ranged from 7B to BB pct for Pd, 75 to 90 pct for Pt, and 43 to 71 pct for Rh. Heating the pregnant leach solutions to 275' C for 4 h destroyed the PGM-cyanide complexes, resulting in over 99.7 pct of the PGM precipitating from solution. The PGM precipitate was predominantly a powder metallic concentrate, typically analyzing greater than 50 pct PGM. Heating destroyed cyanide to less than 0.2 mg/L. Both the pellet and monolith residues were evaluated for disposal using the EPA Toxicity Characteristic Leaching Procedure.

Jan 1, 1995

By W. N. Wallinger

The mine and concentrator of Cyprus Anvil Mining Corporation are situated in south-central Yukon, some 120 miles north of Whitehorse. The large lead-zinc concentrator employs conventional crushing and grinding , followed by differential flotation, to produce selective lead and zinc concentrates, as well as a mixed lead-zinc (bulk) concentrate. Since the commencement of operations in 1969, the concentrator has undergone expansions and modifications which have increased the capacity to 10,000 tons per day, and afforded some metallurgical improvements.

Jan 1, 1978

By Robert T. DeGavre

INTRODUCTION The $645 million financing for Inco Ltd's Soroako nickel project in Indonesia not only represents a significant human achievement but also there are certain important lessons that can be derived from Inco's experience in financing the project. The paper will not present a technical assessment of the project since Inco Ltd. submitted a series of papers on this subject at the international Laterite Symposium as part of the 108th Annual Meeting of the AIME in February 1979. BRIEF HISTORY OF THE SOROAKO PROJECT Table 1 summarizes the milestones achieved in the Soroako project and its financing. Exploration Phase A contract of Work was signed on July 27, 1968 by the Republic of Indonesia and F.T. International Nickel Indonesia (P.T. Inco) covering an extensive area of over 25,000 square miles on the two southeastern arms of the island of Sulawesi. The Contract provides that P.T. Inco has the sole responsibility for financing the project and determining the terms on which the financing should be obtained, that P.T. Inco has the right to receive and hold outside of Indonesia foreign exchange revenues and to freely dispose of such revenues, and that Indonesians have the right to purchase up to 20% of the equity of P.T. Inco over a period following start of production. P.T. Inco began field investigations in the Contract Area in August 1968. Preliminary reconnaissance sampling with portable drills broadly outlined areas of favorable laterite terrain which were then systematically sampled on surveyed grids. By early 1971 sufficient exploration work had been completed to indicate that the laterite deposits near Soroako could sustain a major nickel-producing plant (figure 1). Pilot plant studies in 1970 and 1971 at Inco's research station in Port Colborne, Ontario, using two bulk samples of Soroako ore material, also confirmed that the ore could be upgraded and treated for the recovery of its metal values. Feasibility Phase Encouraged by the results of its exploration program and pilot-plant work, Inco Ltd. commissioned Toyo Engineering Company of Japan in August 1971 to prepare a capital cost estimate for a relatively small nickel project called "Stage I". Stage I was to be a single-line pyrometallurqical process plant with an annual capacity of approximately 15,000 metric tons of nickel contained in 75% nickel sulphide matte (see Figure 2). Electric power was to be supplied by a thermal power station. It is important to recognize that Inco's strategy was to develop the Soroako ore deposits in several stages: first, construct a small project to gain experience and to reduce the initial capital outlay and then later expand in one or more steps to a much larger project to achieve maximum economies. The strategy reflected both Inco's financial position in 1971 as its sales and earning dropped sharply and the difficulties previously experienced by Inco in trying to launch in the late 1960's very large "greenfield" nickel projects in New Caledonia and Guatemala. Toyo's Project Development Study was completed. in January 1972. Based upon Toyo's cost estimate for physical facilities, Inco estimated the total capital cost of Stage I to be $115 million. For the next several months, Inco ran numerous in-house financial feasibility studies, using as inputs Toyo's cost estimate and the results of its exploration and pilot plant programs. In September 1972, Inco completed a project feasibility study which was based upon a capital cost estimate of $135 million. The feasibility study was immediately made available to potential partners and lenders. Partner Negotiations The Japanese nickel market had from the outset been central to Inco's planning for the Soroako project. That market had been growing dramatically at rates in excess of 20% per annum during the 1950's and 1960's. Japan had established, for rational security and other reasons, a domestic

Jan 1, 1985