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By F. Cadena

Hiwassee Darn, now under construction by the Tennessee Valley Authority on the Hiwassee River, a tributary of the Tennessee River, will require aggregate for approximately 800,000 cu. yd. of concrete. Near the damsite deposits of natural sand or gravel are not available and graywacke, a rock that is found in abundance, suggested itself as a likely source of manufactured aggregate. Graywacke is a metamorphosed sandstone composed principally of a mixture of quartz (65 per cent), mica (25 per cent), and feldspar (10 per cent). Other minerals are present in negligible amounts. The rock varies in different parts of the quarry from very fine to a coarse grain containing particles of about ¼ in. maximum size, although the bulk of the deposit is medium grain. Extensive tests showed that graywacke would be suitable as a source of both coarse and fine aggregates. The aggregate plant available for use at Hiwassee Dam consisted of the coarse-aggregate and sand plant used on the Norris project. The coarse-aggregate plant had also been used at Chickamauga Dam. Although most of this plant equipment is now in use at Hiwassee, the present flowsheet is not only different from that at Norris and Chickamauga but is also unique as compared to the flowsheet of the average crushed-stone aggregate plant. It is hoped that this paper will show the importance of proper arrangement of equipment if the optimum in flexibility and capacity is to be attained. Flowsheet Rock is ioaded by 3-yd. electric shovels into 12-yd. dump trucks, which carry the rock to the primary crusher, a 42-in. Superior McCully gyratory unit set at 4¾ in. (Fig. 1). The primary crusher discharges directly onto a 42-in. inclined belt conveyor, which carries the product to a surge storage pile with a maximum live storage capacity of approximately 3000 tons. A concrete tunnel under this storage pile houses the feed end of a 36-in. belt conveyor (conveyor B) fed by a 36 by 66-in.

Jan 1, 1942

By N H. Jansen, H L. Bridgwater

Field portable X-ray fluorescence (XRF) and near infrared (NIR) instruments are proven technologies in the minerals industry. The in-field results of these instruments can add value early in the project life, leading to cost-effective decision-making compared to their equivalent laboratory based techniques. However, in order to add value to a project, it is crucial that the instruments are employed correctly.Orientation studies should be carried out prior to initiating a sampling program to achieve the highest level of quality assurance and control for the results. Hence, an appropriate sampling workflow begins with considering what outcomes are required, including level of precision, accuracy, reliability for elements and minerals of interest, and sampling errors. The workflows proposed include soil sampling and reverse circulation and diamond drilling sampling techniques, and laboratory based techniques. They are practical and flexible workflows using available portable XRF and NIR technologies that can be applied to current sampling and drilling methods.The combined technologies have the ability to create large, integrated geochemical and mineralogical data sets that can provide cost savings for every stage of the mining chain from exploration to prefeasibility, mineral processing and environmental remediation.CITATION:Jansen, N H and Bridgwater, H L, 2017. Proposed workflows for portable X-ray fluorescence and near infrared instruments for soil and drill hole sampling, in Proceedings Eighth World Conference on Sampling and Blending , pp 219–228 (The Australasian Institute of Mining and Metallurgy: Melbourne).

May 9, 2017

By G. Hamel

The LCL&L process (Low Caustic Leaching & Liming) is a patented hydrometallurgical route developed by Rio Tinto Alcan (RTA) to economically process spent pot lining (SPL) generated by aluminum cells. The three resulting end-products (carbonaceous, fluorinated and caustic liquor) are inert and have valorization possibilities. An industrial size pilot plant located in Saguenay (Quebec) was inaugurated in mid-2008 to demonstrate and optimize the technology. This paper describes characteristics of the LCL&L process and the experience acquired by RTA since the plant's start-up, including ramp-up capacity and technology challenges that were overcome. Possible end-products valorization methods are also presented. The carbonaceous end-product can be separated into carbon and brick rich fractions and used as either alternative fuel, reducing agents, or as raw material for third party processes. The development of a conversion process for the fluorinated end-product would allow its reuse as a substitute to fluorspar mineral for aluminum fluoride production. Finally concentrated caustic liquor is already valorized at the nearby RTA Vaudreuil alumina refinery.

Jan 1, 2011

Develop a method for mapping planar geologic features in deep underground mines where the presence of metal interferes with compass readings. Background A fundamental problem of mapping planar geologic features in deep underground mines is the presence of metal (water and air pipes, track, equipment, etc.), which affects the accuracy and consistency of compasses. Present geologic mapping methods include use of transits or theodolites, both of which are cumbersome and time consuming to use. To complicate the mapping, process each planar feature must be surveyed, and if that feature is not apparent on the opposite wall, it cannot be mapped. Another method of mapping is to stretch a tape measure between two survey spads and place a string along a planar feature on one wall and out into the opening until it intersects the tape measure. This method, in addition to being time consuming, is also inaccurate. Because detailed mapping of planar geologic features deep underground involves many repetitive measurements, a quick, accurate, and reliable method for making such measurements was necessary. The geolaser was developed to make such measurements in deep underground mines where metal interferes with conventionally used compasses.

Jan 1, 1990

By Artur Camposo Pereira

O presente trabalho buscou explorar a aplicação da ultramicrodureza instrumentada na caracterização microestrutural e mecânica de materiais metálicos aço inoxidável 304L e liga NiTi Rica em Ni, ambos no campo austenítico. Para isso foi utilizado um ultramicrodurômetro instrumentado (Shimadzu, modelo DUH–211S) com medidas a temperatura ambiente e distintas cargas máximas e tempos de permanência. De acordo com algumas das possibilidades apresentadas, pode-se concluir que a ultramicrodureza instrumentada é uma ferramenta poderosa para a caracterização mecânica correlacionada aos aspectos microestruturais de materiais metálicos.

Aug 17, 2017

By R. A. Greenkorn, R. C. Smith

Hele-Shaw cells are used to model creeping flow through porous media (where Darcy&apos;s law is valid). The effects of inertia on flow about obstructions in a Hele-Shaw cell can be calculated by a perturbation method if one can determine a solution to Laplace&apos;s equation. Results of a computer solution for flow about circular, square and elliptical obstructions are presented. These results show that or a modified Reynolds number of less than I, the inertia terms are small; and for values of less than 3, the average streamline predicts the ideal flow. Therefore, the analogy might be used for studying flow in porous media up to a modified Reynolds number of at least 3. INTRODUCTION The nature of fluid flow in porous media is of interest in the fields of soil mechanics, ground water flow, petroleum production, filtration and flow in packed beds. Because it is very difficult to study the phenomenological behavior of flow in porous media, homologs and analogs are used to study flow characteristics. A Hele-Shaw model, made of two closely spaced plates - usually glass — is often used as an analogy to two-dimensional flow in porous media. Hele-Shaw2 showed experimentally that the streamline configuration for creeping flow around an obstacle located between two closely spaced parallel plates is the same as for two-dimensional, ideal flow about the same obstacle. Stokes7 verified these observations mathematically. The usual equation of motion for flow in porous media is Darcy&apos;s law. The form of the mathematical statement of Darcy&apos;s law is identical, within a multiplicative constant, to the expression for the average velocity over the plate gap in the plane of a Hele-Shaw model. These models may be used to describe flow in both homogeneous and heterogeneous porous media. In the mathematical proof of the Hele-Shaw analogy it is assumed that the convective terms in the Navier-Stokes equations are negligible and that the equations of motion degenerate to Laplace&apos;s equation, with pressure the dependent variable. Whenever a Hele-Shaw model is used as an analogy to flow in porous media, .the validity of this assumption is in question. Riegels5 showed that if convection is not neglected, the velocity distribution around a cylindrical obstruction in the flow field depends on a Reynolds number, the plate spacing, and a dimension characteristic of the obstacle. Riegels&apos; solution, a perturbation solution, uses the boundary condition that the flow rate into the obstacle averaged over the plate gap at any point on the obstacle is zero. The method requires that a solution to Poisson&apos;s equation for the perturbation pressure be found. Riegels evaluated this solution for the case of the cylindrical obstruction. His method may be simplified by eliminating the need for solving Poisson&apos;s equation for the perturbation pressure. Instead, an analytic expression for the perturbation pressure gradient is obtained (valid for arbitrary shapes) and used to eliminate pressure from the equations for the perturbation velocities. The results show, for symmetrical shapes, that if NRe < 1, the convective acceleration terms are small, and that the average velocities represent ideal flow up to at least NRe = 3, where: L is a characteristic dimension of the obstacle perpendicular to flow, b is the plate spacing, u is viscosity, v, is velocity of approach and p is density. THEORY* Incompressible fluid flow through a Hele-Shaw model and a porous medium are analogous because the equations for the average velocity components in two-dimensional flow are identical if:

Jan 1, 1970

By Arnaldo León

El presente texto señala la problemática de Centromín Perú en el área metalúrgica, dado el potencial que esta ofrece para afrontar la crisis en que se encuentra la minería. Asimismo, se describe las metas, objetivos, proyecto e inversiones que se necesitan desarrollar para que Centromín se establezca como empresa económica

May 1, 1987

By A Rantala, J Timperi and J Kaartinen, T Maksimainen, O Haavisto

"X-ray fluorescence (XRF) is the most common technique used for online slurry assaying in base metal flotation applications. Typically, assays from feed, concentrate and tailings slurries are used to monitor and control the flotation circuit, with possible additional sampling locations in other main slurry flows inside the circuit. The elemental content detection from the XRF spectrum is relatively straightforward as the spectrum contains element-specific peaks whose height corresponds to the element concentration in the sample. However, centralised XRF analysers measure the elemental concentrations line-by-line, which may increase the sampling interval for an individual line and cause unnecessary response delays, especially in large flotation plants. Reflectance spectroscopy is an emerging technique that can be used to obtain more frequent measurements from slurries. The measurement is based on the mineral-specific absorbance of light in the visible and near-infrared (VNIR) wavelength range. Due to this relatively inexpensive and simple measurement system, it is possible to conduct the measurement simultaneously in several slurry lines. However, the information contained in the VNIR spectra is more difficult to interpret as concentrations of all the minerals in the sample contribute to the measured spectrum and changes in solids content, particle size and mineralogy disturb the elemental content estimation. Therefore, frequent calibration of the measurement is required. This study presents the application of combined reflectance spectrum and XRF measurements for rapid online slurry assaying in a copper-nickel flotation plant. The XRF assays are utilised as calibration samples for the reflectance spectrum measurement, keeping the calibration model up-to-date. The rapid reflectance spectrum analysis is then used to provide an almost continuous estimate of the slurry contents, enabling further improved process monitoring and control.Citation:Haavisto, O, Maksimainen, T, Rantala, A, Timperi, J and Kaartinen, J, 2016. Reflectance Spectroscopy with X-ray Fluorescence for Rapid Online Assaying in a Copper-nickel Flotation Plant, in Proceedings 13th AusIMM Mill Operators’ Conference 2016, pp 85&ndash;92 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Oct 10, 2016

By D. E. Trout, W. R. Hibbard

Previous investigations have shown that the cold rolling textures1n2 and the drawn wire textures3 of copper change their secondary components after the addition of about 1 pct aluminum and 5 pct zinc, but do not change after the addition of as much as 30 pct nickel. However, few data are available on compression textures. Barrett4 reports from unpublished work with E. L. Layland that compression rolled copper develops a texture which is predominately (110) in the compression plane with a secondary spread to (113) and weaker spread to (100) as shown in Fig 1. However, 70-30 alpha brass similarly treated develops a texture again predominately (110) in the compression plane and with a weak secondary spread to {113} but with moderate (111) secondary intensities illustrated in Fig 2. Experimental Procedure Specimens of the compositions shown in Table 1 remaining from a previous investigation3 were annealed to a grain size of 0.090 mm average diam and machined to cylinders 0.20 in. diam and 0.20 in. high. Cylinders were compressed 90 pct reduction in height between lubricated steel blocks in a tensile machine. Glancing X ray photo-grams using copper K-alpha radiation were taken at an angle of 0 degrees to the compression surface. (111), (002) and (220) rings were analyzed to define the textures shown in Table 1. The results are in agreement with Barrett4 as to types of textures and are essentially in agreement with previous work1,2,3 as to the effects of composition. In the wire study3 it was reported that the 4.99 pct zinc alloy had a brass-type texture, while the data in Table 1 indicate a copper-type texture for compression. The wire specimen of the 4.99 pct zinc alloy was re-examined by X rays and it was established that the [loo] component still exists in the wire axis. Therefore, Table 2 of Ref. 3 is in error and should indicate a double [ill], [loo] copper-type texture for this alloy. This correction results in complete consistency with regard to compositional effects, namely that copper and its alloys containing up to approximately 1 pet aluminum, 5 pct zinc and at least 30 pct nickels develop a copper-type texture and more concentrated copper-aluminum and copper-zinc solid solution alloys will form a brass-type texture. Summary Compression textures developed in copper and its alpha solid solution alloys of aluminum, nickel and zinc are essentially the same types as those re- ported by Barrett4 with compositional effects occurring at approximately the same percent additions as previously reported for rolled sheet182 and drawn wire.3 The Scovill Manufacturing Co., Waterbury, Conn., furnished the copper and brass alloys, performed certain chemical analyses and supplied laboratory facilities where needed. References 1. Brick, Martin and Angier: Tram. A.S.M. (1943) 31, 675. 2. Dahl and Pawlek: Zlsch. Melall. (1936) 28, 266. 3. Hibbard and Yen: Trans. AIME 175, 126. Melals Tech.. Feb. 1948, TP 2334. 4. Barrett: Structure of Metals, mc- Graw-Hill (19421, 386.

Jan 1, 1950

By D Johns, L Murray

This paper discusses pore pressures in the embankments of tailings dams by comparing real world data with common design assumptions. Assessment of pore pressures has implications on material behaviour interpretation from CPT investigations and, therefore, on the design. For example, the assumption of hydrostatic pressure is conservative for limit equilibrium stability analyses but may be un-conservative in assessing the potential for contractive behaviour and strength loss during shearing. This paper presents some real world data, the investigation methods to determine the pore pressures, and subsequent interpretation of CPT data and material parameters such as the state parameter. It also examines the design implications of assuming a hydrostatic pressure distribution, by comparing results from that assumption with those obtained using the real pore pressures.CITATION:Johns, D and Murray, L, 2018. Characterisation of pore pressure in tailings dams and the implications for design, in Proceedings Mine Waste and Tailings Stewardship Conference 2018, pp 239–249 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 23, 2018

Physical and chemical methods were investigated to tower thorium levels in Eneabba Ilmenite from the natural levels of 180-500 ppm to give Becher Process synthetic rutile with less than 100 ppm thorium. Chemlcal treatments, but not physical separations were successful. A pilot plant trial of a sodium hydroxide leach (25M NaOH at 75°C and 40 wt% solids for Ih) followed by a sulphuric acid leach (3M H2S04 at 90°C and 60 wt% solids for 211) confirmed that thorium could be removed to below 100 ppm. However, the activity of the ilmenite was not lowered to the same extent

Jan 1, 1996

By James C. Fulton

Since publication of the First Edition of "Basic Open Hearth Steelmaking," in 1944, this book has been a major reference on the subject of steelmaking. The Second Edition of 1951 was so fundamental that it has retained its general usefulness to the present date. However, recently some of the material has been updated in connection with the writing of a companion book, "Electric Furnace Steelmaking." The sponsor of these two books, the Physical Chemistry of Steelmaking Committee, has felt that the new material should be made equally available to purchasers of either book. Accordingly the subject matter of Chapters 14, 15, and 16 of this new edition is duplicated by corresponding chapters in "Electric Furnace Steelmaking." It was also recognized that the use of oxygen in the open hearth and in the new basic oxygen processes represents a major development that should not be omitted from any basic reference. Thus the major new feature of this Third Edition is the supplement on "Oxygen in Steelmaking." The cooperation of the Iron and Steel Division&apos;s Acid Converter and Basic Oxygen Steel Committee (now merged to form the National Open Hearth and Basic Oxygen Steel Committee) is specifically recognized. In addition to the authors of chapters listed elsewhere, it should be noted that Arthur B. Wilder was the Committee Chairman. Although the changes in the Third Edition are important, the Committee cannot overlook the classic character of the Second Edition. This edition was edited by W. O. Philbrook and M. B. Bever in collaboration with H. B. Emerick and B. M. Larsen. It is anticipated that the Third Edition will maintain the value of the book until the current rapid changes in all basic steelmaking processes stabilize themselves sufficiently to justify a complete revision of the entire text in Part I. The experienced service of Wesley Burr in incorporating the new material in the index is also recognized.

Jan 1, 1964

By J. O. Claassen

"A study conducted at 22 operating mines in the southern African region indicated that each mine employs about five management and improvement methods with roots in the manufacturing industry. All respondents reported the implementation of cost-saving initiatives, whereas 80% of the mines are affected by restructuring. TQM, Six Sigma, BPM, and TOC were found to be the most prevalent manufacturing management and improvement methods used. A mechanistic vs systemic evaluation of the suitability of these methods to bring about positive change in the industry suggested that complex, ever-changing mining systems are better served by a systemic flow-based approach, which is embedded in methods such as TOC, JIT, TPS, and Lean Production. These methods, however, lack industry presence, possibly because they do not effectively deal with the unique challenges associated with the mining environment. It is argued that successful mining business management and improvement depends on management’s ability to deal effectively with mining industry-specific requirements, the integration of the geologymining- plant system, and the implementation of systemic flow-based principles in all aspects of mining. IntroductionThe study aims to explore the use of manufacturing management and improvement methodologies in the southern African mining industry. Considering the unique challenges associated with mining operations, attention is given to the applicability of the most commonly used manufacturing methodologies in the tactical, operational, and strategic environments. The article endeavours to stimulate more research and debate in an unexplored field of study."

Jan 1, 2016

By David J. Raden

INTRODUCTION Economic deposits of phosphate are found at shallow depths (80 ft.) in central and northern Florida (Figure 1) where they have been mined since the late19th century(l).The present (1978) mining rate is approximately 40 million short tons per year of product (called “phosphate rock1”), which represents approximately 80% of the total U.S. production and 30% of the world production. The principal use of Florida phosphate is for the manufacture of fertilizer. There are 10 major mining companies and 20 active mines in Florida at the present time, strip mining approximately 5000 acres per year. The ore, known as "matrix," consists of gravelly clayey sands containing phosphate minerals (principally carbonate fluorapatite), quartz, and clay minerals. The clay to phosphate ratio is generally about 1:1 by weight and the sand to phosphate ratio ranges from, 1:1 to about 3:1. Mining is done by large electric draglines, which strip and cast the sandy overburden soils, generally 10 to 40 feet deep, and remove the matrix, generally 10 to 25 feet deep. Dragline bucket capacities are generally 20 to 45 cubic yards, but range up to 65 cubic yards. Mining cuts are usually 300 to 500 feet wide and up to several thousand feet long. The ore is cast into an earthen sump where high pressure water guns are used to slurrify it. Centrifugal pumps move the slurry through a pipeline to a beneficiation plant where the phosphate rock is separated from the waste sand and clays.

Jan 1, 1979

By Raymond M. Stateham

Climatic conditions are compared with roof fall occurrence from April 1, 1972, to December 31, 1975, by the Bureau of Mines. These comparisons indicate that humidity has a strong influence on roof fall occurrence rates. Cubic regression techniques are used to develop best fit curves. Statistical analysis of these curves indicate that both are sinusoidal and exhibit positive correlation with each other. The sine waves have a period of 1 year with maximum and minimum inflection points in August and February.

Jan 1, 1978

By K H. Esbensen

During the next five years Denmark will implement a significant reduction in the national CO2 emissions to fulfil the Kyoto Protocol. The energy sector is central for achieving this goal and extensive use of renewable energy is the most important single factor contributing to reduce emissions of greenhouse gases. DenmarkÆs renewable energy sources comprise wind energy and biomass. Wood chips and straw are the dominant type of biomass in Denmark. More than 500 000 tons of wood chips are used annually, currently with rapidly growth prospects. This contribution focuses on sampling of wood chips.

Jan 1, 2005

By F. Urekar, R. B. Pankhurst

"Air spaces and air gaps in an explosives column are known to allow greater distribution and cushioning of explosive energy from the rock mass. This energy distribution is enhanced if the explosives &apos; gases can be confined in the borehole for as long as possible by plugging and stemming above the air space.Power Plug is an inflatable plug which can seal a borehole at any point to separate the stemming from an air gap and explosive toe load.IntroductionThis paper will discussion-going work by C-I -L Inc. and operators of two open pit mines to study the results of using Power Plugs:I. Pit wall stability - the authors have found the Power Plug effective for wall control blasting in open pit mines.2. Selective mining of coal seams - the authors work shows the Power Plug allows mining selective coal seams by predrilling underseam waste wedges.Pit Wall StabilityWall stability in an open pit mine is essential for safety. Good wall stability can be achieved with wall control blasting techniques which cushion the effect s of the explosives charge by decoupling the charges from the borehole wall. The usual method of decoupling a charge in a large-diameter rotary borehole is to load the explosives in tubes (Fig .I) . We now believe the air deck system is effective in sea ling a borehole above the explosive charge to create an air deck within the borehole which will cushion the blast.In a linear decoupled charge, an air annulus surrounds the explosives charge and cushions the effects of detonation genera ted gases on the pit wall. In an air deck, i.e. with the hole plugged at the collar, the gases genera ted by an explosive toe load are sealed in the empty borehole column. After a period of time, these trapped gases produce radial cracking between holes along the entire length of the borehole.It is common practice to employ de coupled explosive charge columns in the borehole to limit blast damage to surrounding rock. The exact mechanism of energy transfer in such blasts, however, is not well understood. Interruption of the continuous explosive column in a borehole by means of stemming, or air decks, may also be viewed as another form of decoupled blast. Decoupling of the explosive charge from the borehole wall affects both explosive energy release and explosion pressure developed in the borehole."

Jan 1, 1988

By Graham Daws

State of the Art Room and Pillar mining techniques have been employed at two coal mines in the UK in the last two years. This paper describes the design of pillars and rockbolted support systems for Room and Pillar mining operations in these collieres. Within the last year, rock mass classification systems have been used in the design process of a room and pillar mining layout at one of these collieries. In particular, the roofbolt support system was detailed using these techniques and the support system was linked with operational aspects such as depth of cut. The depth of cut was initially estimated using rock mass classification systems and then verified by a stand up trial which was monitored remotely. The stand up time has a direct influence on the operational aspects of the mine and this is described. The design was verified by performance monitoring and the results are discussed. The importance of understanding the role of rockbolting is emphasised along with some examples of accurately determining in-situ bolt performance. The paper also recommends some modifications to rock mass classification systems when applied to underground coal mining operations.

Jan 1, 1998

By Richard N. Spencer

"El surgimiento de los laboratorios combinados del Banco Minero del Perú en la industria minera facilitó las investigaciones y tratamientos en la composición de los minerales. Por tal motivo, el objeto del presente texto es remarcar la función del laboratorio químico del Banco Minero del Perú, en tanto le suministre información analítica y compleja sobre el campo mineral inorgánico, asi como garantice los resultados analíticos uniformes con la más alta calidad. Asimismo la disposición de dicha entidad química, abarca las compras del Banco Minero, plantas de beneficio del Banco Minero y el control químico requerido por las nuevas unidades de los laboratorios Metalúrgico y Petrográfico que son parte integrante de este Laboratorio Central. En este punto,el laboratorio petrográfico, como fuente permanente de información básica ayuda al geólogo o metalurgista y planifica mejor la función del laboratorio central, mientras que el metalúrgico, desarrolla pruebas de molienda de minerales, flotación mecánica y no mecánica, y pruebas de concentración por gravedad. Posteriormente están las secciones de recepción, trituración y muestreo del laboratorio, las cuales se componen del departamento de trituración, departamento de muestreo y departamento de archivo, respectivamente. Finalmente, este equipo de laboratorio, cuenta con un laboratorio de Microscopia, de preparación de muestras para el examen microscópico yde ensayos especiales, que en conjunto permiten un mejor tratamiento y descripción sobre los minerales a investigar."

Jul 20, 1956

By B. Thomas Mansbach

INTRODUCTION The Overseas Private Investment Corporation ("OPIC") is a U.S. Government agency mandated to promote the economic development of the less developed countries ("LDCs") by assisting U.S. private investment in the Third World. Generally, investment decisions turn on the optimism or pessimism of the private sector&apos;s financial analysis of a project, with market price of product a major unknown in a very chancy set of projections. Discussions with American mineral companies, however, show that, more often than not, in developing country projects it is the political risks of investing in mineral exploration and extraction that pose the most serious deterrent to investment. In several of the projects described here, investments would not have been made if OPIC had not been involved providing support to the project sponsors and their funding sources. Clearly it is not OPIC&apos;s business to promote U.S. investment in a project which is not commercially viable, but OPIC&apos;s programs can neutralize the political uncertainties which act as disincentives to investment in otherwise commercially viable projects. That is to say, OPIC&apos;s programs are designed to reinforce market decisions and not distort them. Although OPIC is an independent agency of the U.S. Government, it is managed by a Board of Directors, the majority of whom come from the private sector. This, coupled with the statutory requirement that it be self-sustaining and operate with due regard for the principles of prudent risk management, requires that it operate on a business-like basis. Although established as a development agency, to the business public OPIC is both an insurance company and a lending institution, with two major programs which are available to U.S. investors in the minerals sector: its political risk insurance program and its finance program. Each has been specially tailored to the meet needs of the mining industry. The insurance program provides coverage against four basic types of political risk: Currency Inconvertibility, Expropriation, loss caused by War, Revolution and Insurrection and Interference with Operations as a result of an act of War, Revolution or Insurrection. Coverage against the risks of Civil Strife can be added to both War, Revolution and Insurrection coverage and Interference with Operations. Inconvertibility coverage provides protection against a deterioration in an investor&apos;s ability to convert local currency into U.S. dollars. This deterioration can be the result of either active or passive delays. Active delays consist of a change in exchange laws or regulations that leads to inconvertibility delays of 30 days or more. For example, if the exchange regulations at the time of contract execution allow an investor to transfer earnings equal to 18% of its registered capital per annum and the government of the host country later changes the law to allow conversion of only 12%, the insured would convert the 12% transferable under the new exchange regulations with the government foreign exchange authorities, delivering the remaining 6% to OPIC for conversion at 99% of the then prevailing rate of exchange. (OPIC does not cover devaluation risks.) Upon delivery of the local currency to OPIC, normally at the U.S. Embassy in the project country, the insured&apos;s account in the U.S. would be credited with dollars. Delays can also result from what is termed passive blockage, which includes administrative delays of more than 60 days (sometimes longer) caused by the bureaucratic tie-ups or pigeonholding of transfer requests, as well as delays suffered simply because the government of the host country does not have sufficient foreign exchange. The transfer procedure is the same as with active blockage - the local currency is delivered to OPIC in the project country and OPIC provides dollars in the United States at the then prevailing rate of exchange. The second coverage -- Expropriation -protects not only against the loss of the investment due to the well-known risks of expropriation, nationalization or confiscation by the host government, but also against

Jan 1, 1985