Documentos de Académico
Documentos de Profesional
Documentos de Cultura
CEOs 8 May 2013 Erik Westman Associate Professor Virginia Polytechnic Institute and State University 108A Holden Hall Blacksburg, VA 24060 Professor Westman, This report presents all the components needed for planning, starting, operating, and closing the Bass River Mine. This site will be an iron mine in south eastern New Jersey near the cities of Philadelphia and New York City. This report provides the basic information needed to start a mining project near Bass River New Jersey. The material is based off drill hole data provided to the company and this design has been underway for almost an entire year. There is information regarding the exploration of the site and the determination of its economic feasibility. The report also contains a mine site design, the equipment needed, and maps of surface/processing facilities needed. Included are all regulations presented by the state of New Jersey and the U.S. government. The report contains theoretical calculations for all the production needed to completely mine all ore economic at the site. Finally, the report contains the information for the closure and reclamation of the mine site. We are presenting the mine design with the hopes that all components are ready so the site can be purchased. Please contact us at your soonest convenience with all questions and comments so that we may continue toward our goal at the Bass River Mine site. Sincerely, REL Co. CEOs Lucas Carver, Evan Halleran, Annette Thomas, Ryan Ward Encl. 16 Chapter Reports, Appendixes, and Works Cited
TABLE OF CONTENTS
Table of Contents ......................................................................................................... i List of Figures ............................................................................................................... List of Tables ................................................................................................................ 1. General Mining Plan ................................................................................................ 1 1.1 Introduction ..................................................................................................2 1.2 Market Evaluation .........................................................................................2 1.3 Mine Selection ..............................................................................................3 1.4 Preliminary Pit Design ...................................................................................4 1.5 Starting Assumptions ....................................................................................5 1.6 Development of Mining Schedule.................................................................5 1.7 Extraction ......................................................................................................6 1.8 Mine Closure .................................................................................................6 1.9 Production Targets ........................................................................................7 2. Location of the Deposit ............................................................................................ 8 2.1 Location .........................................................................................................9 2.2 Utilities ..........................................................................................................11 2.3 Services .........................................................................................................12 2.4 Transportation ..............................................................................................14 2.5 Labor Study ...................................................................................................15 2.6 Political ..........................................................................................................16 3. Deposit Geology ...................................................................................................... 17 3.1 General Geology............................................................................................18 3.2 Geologic Maps...............................................................................................20
Table of Contents
Bass River Mine Site 3.3 Stratigraphic Data .........................................................................................20 3.4 Deposit Data..................................................................................................21 3.5 Property Cross-Sections ................................................................................22 4. Deposit Exploration ................................................................................................. 25 4.1 Exploration Program .....................................................................................26 4.2 Tabulated Drill Hole Data ..............................................................................28 4.3 Deposit and Seam Properties........................................................................28 4.4 Related Strata Properties ..............................................................................30 4.5 Exploration Maps ..........................................................................................30 5. Reserve Estimation .................................................................................................. 33 5.1 Overview .......................................................................................................34 5.2 Preliminary Estimation ..................................................................................34 5.3 Detailed Estimation .......................................................................................37 5.4 Reserve Summary .........................................................................................38 6. Mining Equipment ................................................................................................... 39 6.1 Drilling and Blasting .......................................................................................40 6.2 Excavation Equipment ..................................................................................40 6.3 Primary haulage Equipment..........................................................................42 6.4 Miscellaneous Production Equipment ..........................................................44 6.5 Equipment Performance ...............................................................................47 6.6 Mining and Ancillary Equipment Costs .........................................................48 7. Health and Safety .................................................................................................... 50 7.1 Pertinent Regulations ...................................................................................51 7.2 Potential Hazards ..........................................................................................53
Table of Contents
ii
Bass River Mine Site 7.3 Contact Personnel .........................................................................................54 7.4 Education and Training .................................................................................55 7.5 Inspecitons ....................................................................................................56 7.6 Emergency Response Plan (ERP) ...................................................................57 7.7 Hazard Identification and Controls ...............................................................59 8. Surface Facilities ...................................................................................................... 62 8.1 Introduction ..................................................................................................63 8.2 Surface Construction .....................................................................................63 8.3 Surface Structures .........................................................................................64 8.4 Surface Facilities............................................................................................66 8.5 Surface Facility Cost ......................................................................................67 9. Detailed Mine Design ............................................................................................... 69 9.1 Overview .......................................................................................................70 9.2 Development .................................................................................................72 9.3 Detailed Extraction Plan ................................................................................74 9.4 Closure ..........................................................................................................83 10. Processing Facilities ............................................................................................... 86 10.1 Site Description ...........................................................................................87 10.2 Beneficiation Studies ..................................................................................88 10.3 Processing Equipment Cost.........................................................................90 11. Materials Handling ................................................................................................. 92 11.1 Description ..................................................................................................93 11.2 Layout..........................................................................................................93 11.3 Handling Systems ........................................................................................94
Table of Contents
iii
Bass River Mine Site 11.4 Storage ........................................................................................................95 11.5 Equipment Specifications............................................................................96 11.6 Materials Handling Costs ............................................................................98 12. Personnel Requirements ........................................................................................ 102 12.1 Staffing Plan ................................................................................................103 12.2 Upper Management ....................................................................................103 12.3 Mining Operations ......................................................................................104 12.4 Processing Operations ................................................................................108 12.5 Other Personnel ..........................................................................................110 12.6 Personnel Costs ...........................................................................................113 13. Environmental Impacts and Sustainability .............................................................. 117 13.1 Land Surface Effects ....................................................................................118 13.2 Biological Effects .........................................................................................119 13.3 Hydrological Effects ....................................................................................119 13.4 Air Quality Effects........................................................................................120 13.5 Societal Effects ............................................................................................121 13.6 Miscellaneous Effects..................................................................................121 13.7 Mine Permits ...............................................................................................121 13.8 Reclamation ................................................................................................122 13.9 Sustainability Plan .......................................................................................124 13.10 Environmental Cost Summary ..................................................................125 14. Contractual Agreements ........................................................................................ 127 14.1 Ownership ...................................................................................................128 14.2 Mining Lease ...............................................................................................130
Table of Contents
iv
Bass River Mine Site 14.3 Market Evaluation .......................................................................................130 14.4 Sales Contract .............................................................................................131 15. Cost and Feasibility Analysis ................................................................................... 134 15.1 Estimated Capital Cost ................................................................................135 15.2 Estimated Operating Cost ...........................................................................136 15.3 Accounting Information ..............................................................................137 15.4 Feasibility Analysis ......................................................................................139 16. Summary and Conclusions...................................................................................... 144 16.1 Mine Description .........................................................................................145 16.2 Technical Issues and Concerns ....................................................................146 16.3 Financial Feasibility .....................................................................................147 16.4 Conclusion and Recommendation ..............................................................148 References ................................................................................................................... 149 Appendices .................................................................................................................. 154 Appendix B ...........................................................................................................B-1 Appendix C ...........................................................................................................C-1 Appendix D ...........................................................................................................D-1 Appendix E ...........................................................................................................E-1 Appendix F ...........................................................................................................F-1 Appendix H ...........................................................................................................H-1 Appendix I ............................................................................................................I-1 Appendix J ............................................................................................................J-1 Appendix K ...........................................................................................................K-1 Appendix L............................................................................................................L-1
Table of Contents
Table of Contents
vi
LIST OF FIGURES
Figure 1-1: Google Map Image of Bass River Property ..........................................................4 Figure 2-1: Location of West Tuckerton and Bass River Mine ...............................................9 Figure 2-2: Topography Map of the Bass River Mine Property .............................................10 Figure 2-3: Hammonton Airport and Atlantic City Expressway .............................................15 Figure 3-1: Geologic Regions of New Jersey ..........................................................................19 Figure 3-2: Drill Hole Positioning and Cross-Section Cut Lines ..............................................22 Figure 3-3: East-West and North-South Cross-Sections of Bass River Mine Site ..................23 Figure 3-4: Three Dimensional View of Geological Columns .................................................24 Figure 4-1: Block Site Model Using Carlson Mining Software ...............................................27 Figure 4-2: Composition of the Cohansey Formation............................................................29 Figure 4-3: Bass River Mine Drill Hole Depth Map ................................................................31 Figure 4-4: Bass River Mine Drill Hole Elevation Map ...........................................................32 Figure 5-1: Surface Borehole Location and Preliminary Estimation Triangles ......................36 Figure 6-1: CAT 6030-FS .........................................................................................................41 Figure 6-2: CAT 6018-FS .........................................................................................................42 Figure 6-3: CAT 789c Haul Truck ............................................................................................43 Figure 6-4: CAT 785D Haul Truck ...........................................................................................44 Figure 6-5: Sanho Hydraulic Rock Breaker .............................................................................45 Figure 6-6: CASE 1150K Crawler ............................................................................................46 Figure 6-7: Mack Granite Water Truck ..................................................................................47 Figure 9-1: Mining Operation Layout.....................................................................................71 Figure 9-2: Development Schedule........................................................................................74 Figure 9-3: Blast Design Layout ..............................................................................................77
List of Figures
vii
Bass River Mine Site Figure 9-4: Pit and Bench Layout ...........................................................................................78 Figure 9-5: Wedge Sliding ......................................................................................................79 Figure 9-6: Plane Sliding .........................................................................................................80 Figure 9-7: Toppling Failure ...................................................................................................80 Figure 9-8: Detailed Mine Closure Schedule .........................................................................84 Figure 11-1: Mine Layout .......................................................................................................94 Figure 14-1: Google Map of Bass River Mine Property .........................................................129 Figure 15-1: Capital Cost for Bass River Mine ........................................................................136 Figure 15-2: Annual Operating Cost for Bass River Mine ......................................................137 Figure 15-3: Cash Flow Diagram ............................................................................................140 Figure 15-4: Cumulative Net Present Value...........................................................................141 Figure 15-5: Net Present Value Sensitivity Analysis ..............................................................142 Figure 15-6: Rate of Return Sensitivity Analysis ....................................................................142 Figure B-1: Towns Near West Tuckerton and Bass River Mine .............................................B-1 Figure C-1: Detailed Geologic Map of New Jersey.................................................................C-1 Figure C-2: New Jersey Geological Survey .............................................................................C-2 Figure C-3: 7.5 Minute Quadrangle Map of Oswego Lake ....................................................C-3 Figure C-4: Topography Map of Southern Burlington County, New Jersey ..........................C-4 Figure F-1: 6018FS Full Simulation .........................................................................................F-1 Figure F-2: 6030FS Full Simulation .........................................................................................F-2 Figure H-1: Bass River Mine Surface Facility Layout ..............................................................H-4 Figure I-1: Bench Timeline Photo (Pit 1, Bench 2) .................................................................I-1 Figure I-2: Bench Timeline Photo (Pit 1, Bench 8) .................................................................I-1 Figure I-3: Bench Timeline Photo (Pit 2, Bench 2) .................................................................I-2
List of Figures
viii
Bass River Mine Site Figure I-4: Bench Timeline Photo (Pit 2, Bench 6) .................................................................I-2 Figure J-1: Aggflow Circuit .....................................................................................................J-1 Figure K-1: Conveyor System Layout .....................................................................................K-1 Figure O-1: Screenshot of DCF-ROR Analysis .........................................................................O-1
List of Figures
ix
LIST OF TABLES
Table 2-I: Temperature Information for West Tuckerton .....................................................11 Table 2-II: Gender and Ethnic Breakdown of Area 12th Graders ...........................................12 Table 5-I: Summary of Carlson Mining 2013 Surface Reserve Estimation ............................37 Table 5-II Summary of Reserve Estimation Using Triangular Method ..................................38 Table 6-I: Capital and O&M Cost Summary ...........................................................................49 Table 7-I: MSHA Northeastern District Contacts ...................................................................55 Table 8-I: Surface Facility Total Cost Summary......................................................................68 Table 9-I: Blast Design Characteristics ...................................................................................76 Table 9-II: Ash Ratios..............................................................................................................76 Table 10-I: Unit and Total Costs of Processing Equipment ....................................................90 Table 11-I: Belt Placement and Usage ...................................................................................97 Table 11-II: Annual Operating and Maintenance Costs .........................................................99 Table 11-III: Estimated Capital Cost for Conveyor .................................................................100 Table 11-IV: Cost Summary ....................................................................................................101 Table 12-I: Hourly Position Costs ...........................................................................................115 Table 12-II: Salaried Position Costs ........................................................................................115 Table 12-III: Total Personnel Cost ..........................................................................................116 Table 13-I: Contact Information for DEP, New Jersey ...........................................................122 Table 13-II: Initial Department of Environmental Protection Permits ..................................122 Table 13-III: Cost per Acre of Permitting, Reclamation and Bonding ....................................125 Table 13-IV: Environmental Unit and Total Costs ..................................................................126 Table 14-I: Pricing Structure ..................................................................................................133 Table 15-I: Capital Costs for Bass River Mine ........................................................................135
List of Tables
Bass River Mine Site Table 15-II: Annual Operating Cost for Bass River Mine .......................................................137 Table 15-III: Assumed Variables .............................................................................................140 Table B-I: Demographic of Bass River, NJ ..............................................................................B-2 Table D-I: Bass River Mine Drill Hole Location .......................................................................D-1 Table D-II: Bass River Mine Drill Hole Assays .........................................................................D-3 Table D-III: Bass River Mine Drilling Costs per Hole ..............................................................D-13 Table E-I: Preliminary Triangular Reserve Estimation............................................................E-1 Table F-I: Estimated Capital and O&M Costs .........................................................................F-3 Table F-II: Change in Number of Haul Trucks ........................................................................F-3 Table F-III: Change in Operating Costs ...................................................................................F-4 Table F-IV: Change in Price of Iron .........................................................................................F-4 Table H-I: Complete Cost Estimation Summary for Surface Facilities ...................................H-1 Table K-I: Conveyor Design Parameters (Belts 1 and 2) ........................................................K-2 Table K-II: Conveyor Design Parameters (Belts 3 and 4) .......................................................K-4 Table K-III: Conveyor Design Parameters (Belts 5 and 6) ......................................................K-6 Table K-IV: Conveyor Design Parameters (Belts 7 and 8) ......................................................K-8 Table K-V: Conveyor Design Parameters (Belts 9 and 10) .....................................................K-10 Table K-VI: Conveyor Design Parameters (Belts 10 and 11) ..................................................K-12 Table L-I: Short and Long Term Disability Information ..........................................................L-1 Table L-II: Basic PPO 90/70 Plan ............................................................................................L-2 Table L-III: Comprehensive PPO Plan .....................................................................................L-3 Table L-IV: BCBS HMO Plan ....................................................................................................L-4 Table L-V: Cost Structure for Health Plans, Dental HMO and Vision Plan .............................L-5 Table L-VI: Prescription Drug Coverage .................................................................................L-6
List of Tables
xi
Bass River Mine Site Table L-VII: 401(k) Plan ..........................................................................................................L-6 Table L-VIII: Vacation Day Allotment .....................................................................................L-6 Table L-IX: Sick Leave Allotment ............................................................................................L-7 Table L-X: Group Life Insurance Rates ...................................................................................L-7 Table N-I: Population Data New Jersey...............................................................................N-1 Table N-II: Iron Steel Mill, Ferroalloy Manufacturing ............................................................N-2
List of Tables
xii
REL Company
Chapter 1
Bass River Mine Project: General Mining Plan
1.1 Introduction
At Bass River Mine, magnesium iron silicate is surface mined and processed into magnesium and iron separately. The mine is located 30 minutes north of Galloway, New Jersey. The Bass River Mine consists of 2,500 acres of land with all mining rights and property rights belonging to REL Co. REL Co.s mission is to provide quality material for steel mills to propel the building of infrastructure. A key objective of REL Co. is to provide safe working conditions for all employees while minimizing mining effects on the environment. REL Co. promises to provide quality health care for employees and their families while giving back to the community through the establishment of special programs.
Bass River Mine Site alluvial in nature. Strip mining is essentially the same process of open pit mining but is more focused on the removal of coal (Greatmining). Therefore, the most effective method will be open pit.
Figure 1-1: Google Map Image of Bass River Mine Property (Bass River - Map)
Bass River Mine Site will be stored at a dump site on the mine property. The entire time from development until the pit is ready to begin temporary production is around six years. In year seven, pit one will begin production of material but will not be operating fully until year nine. After year nine the mine will be in full production in its primary pit.
1.7 Extraction
Mining is planned to commence in year seven of the project. The average iron magnesium content of the area being mined is 17.23% MgFe. The overburden that is removed from this area will be stored in the waste site mentioned in the development section. The ore that is taken from the pit will be hauled to primary crusher in the processing facility. Stock piles will be created for the material to be placed in so the crusher will always have a supply of material.
Bass River Mine Site reclamation, the company can receive some or all money back spent on an environmental bond.
REL Company
Chapter 2
Bass River Mine Project: Location of the Deposit
2.1 Location
The town of West Tuckerton is located in Little Egg Harbor Township, NJ. West Tuckerton is 60 miles southeast of Philadelphia and 95 miles south of New York City. Figure 2-1 shows the location of West Tuckerton (B) and the Bass River Mine (A) in relation to Philadelphia and New York City. Other towns near West Tuckerton are Eagleswood (3 mi.) and Galloway (7 mi.).
Figure 2-1: Location of West Tuckerton and Bass River Mine (West Tuckerton-Map).
The topography of the area around the Bass River Mine is shown in Figure 2-2. There are three rivers going through the permitted mining site of Bass River Mine. The Ives Branch River goes into Lake Absegami, south of the mine property. The West Branch Bass River and
Bass River Mine Site Dans Bridge Branch River are relatively close together. To protect the water it may be useful to combine two rivers in the future. There are a few small valleys at the northwest and southeast sections of the mine property. There are minor hills at the northern edge of the mine property that could affect pit design, haul road design, and how water will flow on the property. Almost all of the area is covered in trees so there will be extensive timbering ahead of mining but this can be used for profit.
Figure 2-2: Topography Map of the Bass River Mine Property (Bass River Topography) . The humidity of West Tuckerton ranges from 69-76% with an average precipitation of 3.8 inches per month ("Monthly Humidity Averages for New Jersey."). During the winter, the average high temperature is 44 degrees Fahrenheit while the average low temperature is 25 degrees Fahrenheit. During the summer the average high temperature is 80 degrees
10
Bass River Mine Site Fahrenheit while the average low temperature is 63 degrees Fahrenheit. Table 2-I shows the daily maximum and minimum temperatures and average temperature for each month in the town of West Tuckerton (atlanticcitynj). Table 2-I: Temperature Information for West Tuckerton West Tuckerton Average Daily Temperatures
Month January February March April May June July August September October November December Daily Max. Daily Min. Monthly Avg. 41 23 32 44 25 34 52 32 42 61 40 51 71 50 60 80 59 70 85 65 75 83 64 74 77 56 66 66 44 55 56 36 46 46 27 37
2.2 Utilities
Utilities are all easily and cheaply supplied from companies in the local area. New lines for electricity, phone and water will need to be connected from existing lines to the mine. The distance from existing lines at Warren Grove Range to the mine is 1.5 miles. Wells can be drilled or water from nearby river can be used for mine site supply. Fresh water can also be provided by the West Deptford Township Water Department which is located 20 miles northwest. Natural gas is provided by NJR energy services, with the closest location based out of New York City. Wireless communications are available through Verizon Wireless. Electrical
11
Bass River Mine Site service for the area is available from Warshauer Electric Supply, which has an office two miles southeast in Little Egg Harbor. Waste disposal services can be contracted from a local company.
2.3 Services
The Bass River Mine is located in an area with several school districts. According to the National Center for Educational Statistics, within 30 miles of the proposed site are more than 10 school districts that serve kindergarten through 12th grade. The closest high schools to the mine site include Hammonton High School, Seneca High School, Southern Regional High School and Pinelands Regional High School. Potential high school graduates can be inferred using the number of 2011 12th graders. The numbers for Hammonton High School, Seneca High School, Southern Regional High School and Pinelands Regional High school are 309, 304, 477 and 302 respectively. This information is useful in the search for unskilled labor. High school graduates can find jobs at local contracting firms and the mine itself that do not require a degree to complete successfully. A breakdown of area high school 12th graders can be found in Table 2-II. The ethnicity breakdown on the table is used to obtain a total student total. Table 2-II: Gender and Ethnic Breakdown of Area 12th Graders
National Center for Education Statistics
Common Core of Data (CCD), "Public Elementary/Secondary School Universe Survey" , 2010-11 v.2a
12
Bass River Mine Site Institutions for higher education in the region are mainly smaller, county or community colleges. Located within a 50 mile radius of the mine site, Atlantic Community College, Burlington County College, Camden County College, Ocean County College and Richard Stockton College have campuses. Larger Institutions such as universities are harder to find with the immediate area. Rowan University is located 60 miles away, Villanova University is 90 miles away and Drexel is 91 miles away. Each of these institutions, along with the smaller colleges, offers some math and engineering concentrations. The closest institutions that offer degrees in mining and minerals engineering are Pennsylvania State University and the University of Pittsburgh-Pittsburgh Campus. Distances from the mine site are 250 and 360 miles respectively. Finding qualified mining engineers for the mine is essential for smooth and efficient operation. The data shows that most graduates and experienced engineers will have to travel and relocate to accommodate the new mine site The Region around the Bass River Mine site is surrounded with advanced medical centers and hospitals. Southern Ocean County Hospital is located in Little Egg Harbor Township, just 10 miles from the mine. William Kessler Memorial Hospital in Hammonton is located only 20 miles away. The most advanced hospital in the area is Harrahs Regional Trauma Cent er. This facility is located only 28 miles away and has medevac capabilities. There are also numerous physicians and smaller surgery centers within the area for less urgent medical care. Heavy equipment will need to be hauled into the mine site. Unfortunately, there are no heavy equipment retailers in the immediate area. For most heavy equipment, Trico Equipment, located 50 miles away, would be utilized. The next closest retailer would be Rush and Parker
13
Bass River Mine Site Heavy Equipment located south east of Philadelphia. The delivery distance would be around 60 miles. The nearest shop that could service heavy equipment is located in Bridgeton about 70 miles away. The business does offer onsite repair along with several other businesses around the state.
2.4 Transportation
The Bass River Mine is located in a rural area of New Jersey and Country Rd 542 will be used to access the quarry. This road leads to the town of Hammonton, NJ which gives access to Atlantic City Expressway. The Expressway will allow materials to be hauled toward Philadelphia were both interstates 295 and 95 are located. These major interstates will allow for easy transport of material to wherever it needs to go in the United States. The town of Hammonton also has Hammonton Municipal Airport. Figure 2-3 shows the location of the airport. This airport can provide easy access to many international airports. Some of these include Douglas International Airport and Dulles International Airport in Washington D.C. Having the ability to fly workers in from around the country and world will help fill needed positions at the mine.
14
Figure 2-3: Hammonton Airport and Atlantic City Expressway (Hammonton Map)
Bass River Mine Site As previously explained, there are a lack of institutions around Bass River Township that offer a degree in mining and minerals engineering. Such is the case that most of the workforce requiring this degree will be from outside the regional area. People from accredited universities and colleges with a mining and minerals engineering program must be brought into the area. There is also a lack of major mining activity in the area. This means that experienced miners and mining engineers have to relocate in order for them to work at Bass River mine.
2.6 Political
The Bass River Mine is located in such a way as to prevent disturbances with local home owners and the wildlife in the area. There would be no serious issues inside the surrounding communities with starting a magnesium iron mine. When mining is completed in the area, a complete reclamation will be performed as per state and federal laws. This will return the mined area to its original state before mining.
16
REL Company
Chapter 3
Bass River Mine Project: Deposit Geology
Deposit Geology
17
Deposit Geology
18
Deposit Geology
19
Deposit Geology
20
Bass River Mine Site percentage of the sand minerals. The Lower Kirkwood Formation contains a large amount of clay and silt. There is also sand present in this layer. The two formations are combined with respect to the depth and this allows the total thickness to be approximately 300 feet. The geological age for both formations is between 5 and 25 million years (USGS).
Deposit Geology
22
Figure 3-3: East-West and North-South Cross-Sections of Bass River Mine Site
Deposit Geology
23
Bass River Mine Site Figure 3-4 is a three dimensional view of geological columns created in Carlson Mining 2013. The blue in Figure 3-4 is the overburden and the brown is the MgFe. The overburden is significantly less than the MgFe.
Deposit Geology
24
REL Company
Chapter 4
Bass River Mine Project: Deposit Exploration
Deposit Exploration
25
Deposit Exploration
26
Further exploration was done using a combination of both rotary and core hole drilling. Areas were selected using the data discovered from preliminary core hole drilling. The holes contained large amounts of ore and small amounts of overburden. Rotary drilling was chosen because the cost of core hole drilling was too expensive to justify using it. While rotary drilling does not provide the same precision as core hole drilling, it costs less, takes less time, and still allows for semi-accurate estimates for the thickness and value of the ore (Britannica). Taking the effectiveness and cost of both drilling techniques into account, rotary drilling was determined to be the drilling method used to drill the top of the ore seam. This was followed by core drilling through the seam and 15 feet below it. The drilling methods were switched based on the geologic maps created in Vulcan. These new combination holes were drilled in a grid with hole spacing being around 300 feet apart.
Deposit Exploration
27
Bass River Mine Site The cost of the provided drilling program was $378,400 dollars for 38 bore holes and a total distance of 15,200 feet. The combined cost of drilling for both the rotary method and core hole method was approximately $25 per foot drilled. This cost does not account for outside factors at the mine such as ground conditions, extra costs or driller error. This cost also ignores exploration costs to cover the geologic mapping of the area. While this process costs a large amount of capital, it supports information that is crucial to the effectiveness of the mine.
Deposit Exploration
28
Bass River Mine Site compressive strength for the deposit is 120,000 psi while the tensile strength is 1,000 psi (Momentive Performance Materials Quartz).
Deposit Exploration
29
Bass River Mine Site This deposit has an average range from 20 to 450 feet deep. The depth from the surface to the deposit varies from 50 feet at the left of the mine property to five feet at the right side of the mine property. The assay of magnesium iron for the deposit ranges from 10% at the top of the deposit to 30% at the deepest parts of the deposit. The chemical properties of the deposit are most similar to those of quartz and iron, as those are the two main minerals in the deposit. Quartz is a very stable element so there will be little chemical reaction from it. Due to the wet nature of the deposit the iron when exposed to air can combine with oxygen to form iron oxide.
Deposit Exploration
30
Deposit Exploration
31
Deposit Exploration
32
REL Company
Chapter 5
Bass River Mine Project: Reserve Estimation
Reserve Estimation
33
5.1 Overview
Reserve estimation is one of the key tasks in mine design. Reserve estimation is the process by which economically recoverable ore can be evaluated quantitatively. There are a variety of reserve estimation techniques that may be employed to find estimates for Bass River Mine. The methods for reserve estimation include polygonal estimation, contour estimation, triangular estimation and inverse distance estimation. An estimation of the reserve ore tonnage at Bass River Mine was done using the triangulation method. The triangulation method provides a preliminary reserve estimation while more accurate detail estimations can be provided using a computer program, such as Carlson Mining. The reason computer programs are more accurate is because the distribution variables, such as grade and ore body thicknesses can be skewed and difficult to use. The purpose of a preliminary reserve estimation is to provide a range of values the detailed estimations should resemble. Thirty-eight boreholes were used to calculate reserve estimation.
Reserve Estimation
34
Bass River Mine Site 1. The location of all of the boreholes was plotted on a Northing and Easting coordinate system. When this was completed lines were drawn between adjacent boreholes to form triangles. 2. The surface area of each triangle was then calculated using the distances between the boreholes. 3. The depth of each triangle was calculated using a weighted average of borehole depths and the distance from boreholes to the center of the triangles. 4. The overall average grade of each triangle was found using a weight average of the boreholes grades and the distance from the center of the triangle. When this calculation was completed the value was used as the uniform grade for the prism. 5. With the average depth and areas calculated, the volume of each prism can be found. 6. The vertical volume must be multiplied by the density of the rock to give the total rock weight. 7. The total rock weight must be multiplied by the average grade gave the reserve estimation. The Northing and Easting coordinate system for the Bass River Mine with the estimations from the triangular method are shown in Figure 5-1.
Reserve Estimation
35
Figure 5-1: Surface Borehole Location and Preliminary Estimation Triangles As shown above, the preliminary triangular method used 47 different triangles. The total magnesium iron tonnage was found to be 280,000,000 tons, and the average grade was found to be 17.5% MgFe. At this point it is assumed that the recoverable tonnage and the total tonnage are equal. This is because the cut-off grade has not been found, thus the entire deposit
Reserve Estimation
36
Bass River Mine Site is viewed as profitable. The area, average depth, overall ore grade and MgFe tonnage for each triangle is shown in Table E-I of the Appendix.
2,925,000,000
19,672,000,000
19,900,000
Reserve Estimation
37
Available Tons of MgFe Preliminary Estimate Area Within Boreholes Detailed Estimate Potential Mining Area
278,100,000 288,900,000
17.5 17.28
Reserve Estimation
38
REL Company
Chapter 6
Bass River Mine Project: Mining Equipment
Mining Equipment
39
Mining Equipment
40
Figure 6-1: The CAT 6030-FS shovel (Caterpillar). The medium shovel being used is the CAT 6018-FS, shown in Figure 6-2. The CAT 6018FS has a bucket capacity of 13.1 cubic yards and a dump height of 33 feet. The boom length is 21 feet and the swing speed is 4.7 revolutions per minute (Caterpillar). Using both the CAT 6030-FS and the CAT 6018-FS REL Co. will achieve a production of 4,300 cubic yards an hour. An additional CAT 6018-FS will be ordered once there are multiple benches in the mine. The additional CAT 6018-FS will increase production and fill in during maintenance and down time for either shovel. The first CAT 6018-FS will be ordered once the overburden is removed to work on haul roads and other small tasks until multiple faces are open in the mine. The second CAT 6018-FS will be ordered when there are at least three open benches. This way the second CAT 6018-FS can replace one of the other shovels if needed and can be given small tasks when all shovels are up. The current intended time to purchase the second CAT 6018-FS is three years after mining has begun.
Mining Equipment
41
Mining Equipment
42
Figure 6-3: CAT 789C Haul Truck (Caterpillar). Two CAT 789Cs will be purchased with the CAT 6030-FS because the haul distance will be shorter to start and production will not be as important during overburden removal. Once two benches are open, a third CAT 789C will be purchased. An extra CAT 789C will be purchased every time two more benches are opened until a fleet of five has been obtained. The purchase of the CAT 785Ds will follow the same method as the CAT 789Cs except it will be offset by the time between the purchase of the CAT 6030-FS and the CAT 6018-FS.
Mining Equipment
43
Mining Equipment
44
Bass River Mine Site break larger rocks from blast sites. Figure 6-5 shows an excavator with the rock breaker attached.
Figure 6-5: Sanho Hydraulic Rock Breaker (tjskl). A bulldozer will maintain different operations in the mine. A CASE 1150K crawler, as shown in Figure 6-6, has been chosen to operate in the Bass River Mine. The 1150K has a 120inch blade and a 118-HP engine. This crawler will create haul roads during the creation of the mine. The crawler will also work in overburden removal during production of the mine.
Mining Equipment
45
Figure 6-6: CASE 1150K Crawler (CASE Construction). To maintain the haul roads in the mine a motor grader and a water truck will be purchased. The CASE 865AWD motor grader has been chosen to work on the haul roads smoothness. The haul roads must be kept smooth to reduce the resistance created by the road on the haul trucks. This motor grader has an operating weight of 35,000lbs and a horsepower of 205. The mine has chosen a Mack Granite truck with a chassis capable of mounting a 5,000gallon water tank, shown in Figure 6-7. It was determined that 5,000 gallons will be a sufficient amount of water to maintain the haul roads at Bass River Mine.
Mining Equipment
46
Figure 6-7: Mack Granite Water Truck (Truck Works Inc.). There will be other machinery such as personnel trucks including Ford F-150s and F-250s used for transportation around the mine. The Fords will also transport smaller equipment including torches, welders and small cranes arms. All personnel units will be purchased before mine production starts and used through the entire life of the mine.
Mining Equipment
47
Bass River Mine Site 785D dump trucks. The production per year using this haulage system was estimated to be 18 million tons. The availability of both the shovels was 85% and 100% for the dump trucks. With production values from the simulation the mine life will be 10 years. A summary of TALPAC simulations of loading analysis and haul road analysis can be found in Appendix F as Figure F-1 and F-2. Sensitivity Analysis was done comparing change in net profit, shown in Appendix F as Tables F-II through F-IV. In these tables the number of haul trucks, operating and maintenance costs, or price of iron were changed to affect the analysis.
Mining Equipment
48
Bass River Mine Site determine if new equipment will be purchased. Salvage values from spent equipment will help offset the capital costs for replacements. Table 6-I: Capital and O&M Cost Summary
Cost Summary Total Capital Cost $ 40,451,000 Unit Capital Cost $ 4.84 Total O&M Cost $ 25,238,872 Unit O&M Cost $ 1.87
Mining Equipment
49
REL Company
Chapter 7
Bass River Mine Project: Health and Safety
50
51
Bass River Mine Site Mine safety is regulated Under the Department of Labor and Workforce Development (LWD) of New Jersey. The LWD helps to set standards in all mining industries in New Jersey and particularly defines mine safety by stating: The Mine Safety Act (N.J.S.A. 34:6-98.1 et seq.) along with the Pits and Quarries Regulations (N.J.A.C. 12:185) provides for the safety and health of workers and for the construction, operation, and maintenance of pits and quarries in the interest of the life, health and safety of employees, as well as protection of property. The Mine Safety Act also provides for the development of safety educational programs. (Mine Safety Act & Pits and Quarries Regulations). The Mine Safety Act 34:6-89.7 specifically addresses safety; however safety protocol and guidelines are outlined in other sections of the act. In chapter 185 of the administrative codes and statutes, mining operations are divided into separate sections. Subsections 1-31 cover areas such as accident reports, protective equipment, and dust control and all of the regulations set by the state are used in conjunction with the Code of Federal Regulations. While the vast majority of mine health and safety regulations are from MSHA and DLWD, regulations will be used from other agencies such as Federal Railroad Administration (FRA), Environmental Protection Agency (EPA), National Transportation Safety Board (NTSB) and Chemical Safety and Hazard Investigation Board (CSB) depending on operations and jurisdictions.
52
53
Bass River Mine Site o The danger level can be both high and low depending on the situation. Death can result from large equipment accidents or slow damage to operators due to continued operation.
After identifying hazards they must be classified by severity and the frequency of the hazard. After classification, resources can be allocated based on the need to control the hazard. Classification can also take into account the property damage severity rate. MSHA can use these rates to determine a pattern of violations. If a pattern is found, hefty fines or closure orders can be established (Karmis 2012).
54
Table 7-I: MSHA Northeastern District contacts (MSHA) Contacts Donald J. Foster, Jr., District Manager Kevin Abel Assistant District Manager Dennis Yesko Assistant District Manager Joseph M. Denk, Staff Assistant Louise Santoro, Supervisory Management/Program Analyst Victor Lescznske, Supervisory Special Investigator Brian T. Yesko, Conference Litigation Representative Telephone (724) 7722334 (724) 7722334 (724) 7722334 (724) 7722334 (724) 7722334 Fax Number (724) 7720260 (724) 7720260 (724) 7720260 (724) 7720260 (724) 7720260 E-Mail Address Foster.Donald@dol.gov
Abel.Kevin@dol.gov
Yesko.Dennis@dol.gov
Denk.Joseph@dol.gov
Santoro.Louise@dol.gov
Lescznske.Victor@dol.gov
Yesko.Brian@dol.gov
55
Bass River Mine Site Safety Training program include new miner hire, experienced miner hire, task training, annual refresher training and site hazard awareness training. All training will be recorded and certified by MSHA and all records will be kept on site in the office. All training occurs during normal shift hours and miners are paid for their time during training. The Standard of Mining Safety Training program consists of 24 hours of training that focus on helping miners understand rules and regulations as well as the importance of them. Avoidance and prevention of hazards at the mine site will be covered to reduce incidents at the mine. Health and Safety standards will be covered so miners understand their rights to a safe work environment. The emergency response plan for Bass River Mine will be reviewed during the training program. A review of miners rights and representatives will be given. Respiratory device use will be covered to help prevent serious harm the miners in case of a serious incident. Finally a first aid course will be given to all miners within four months of their employment. Experienced miners will be given 10 hours of training covering all topics listed by MSHA for newly hired experienced miners. Every 12 months each miner will go through an eight-hour annual refresher course that will review miner health and safety issues as well as any new hazards at the mine site. If a miner is assigned a new task he or she will go through new task training by a qualified experienced miner or the mine foreman if he is capable of such training (MSHA).
7.5 Inspections
The Mine Safety and Health Administration will be responsible for all inspections conducted at the mine site. Since the mine is a surface mine, there will be a minimum of two
Health and Safety 56
Bass River Mine Site unannounced inspections per year conducted by MSHA. Mine personnel may accompany the MSHA officer during these inspections. The MSHA officer may also choose to attend any safety meeting during the course of the inspection. The MSHA officer may also converse with mine employees as part of the inspection. Complaints from the neighborhood surrounding the mine property as well as internal complaints, warrants an inspection at any time in addition to the two mandatory inspections per year. The evaluation criteria during inspections are noise, dust control and electrical compliance issues. Other than these issues, the mine is evaluated as a whole for any compliance issues. Volume IV of the program policy manual at the MSHA website lists laws that need to be followed for metal/nonmetal mines. A camera might be used during the inspection to gather evidence in case of an accident. As part of the inspection, dust and mist surveys may be conducted to evaluate control measures. The maximum values permissible for noise and dust can be found in 30 CFR, Parts 56 and 57. In cases where dust or noise values exceed the accepted limit, a citation may be issued. In extreme cases, especially when a violation results in a serious hazard, citations may contain legal penalties, including jail time. Violations leading to serious hazards are termed significant and substantial.
Bass River Mine Site training, install lifelines for emergency evacuation, and require immediate notification of MSHA in the event of an accident (Mine Safety and Health Administration (MSHA) Home Page). This Act caused Bass River Mine to make a revised version of their Emergency Response Plan. The devised emergency response plan was also a result of risk assessment of all the potential dangers and emergency situations that might arise at the Bass River Mine. Mandatory training will be provided to every employee at the mine. In case of an emergency at Bass River Mine, a siren will be sounded throughout the mine and the nature of the emergency will be broadcast on all radio frequencies. The first step in any emergency is to evacuate from the location. The response plan must consulted during an emergency to develop an appropriate response depending on the nature of the accident. The foreman at the site determines the nature of the situation after consulting with the health and safety director. MSHA must be contacted regardless of the nature of the emergency. An adequate number of communications and tracking devices will be provided throughout the mine to ensure speedy emergency response. All the equipment including communication devices at the mine needs to be in compliance with the plan at all times. Audits will be conducted on a yearly basis to include improvements to the ERP at Bass River Mine. A Mine rescue team will be formed, consisting of some of well trained employees. Additional information for all employees on the ERP is provided on the MSHA website. All employees at Bass River Mine will also be encouraged to keep up with the incident and fatality reports on
58
Bass River Mine Site MSHAs website to increase awareness of potentially dangerous situations that might arise at a surface mine.
59
Bass River Mine Site must work in areas where dust is a problem, they will be required to wear respirator masks and to keep the area ventilated with a fan to circulate fresh air. Electrical hazards are common in mines, predominantly including exposed wires and hazards caused by working on equipment. If working areas are not maintained, wires can be cut, exposing employees to high voltages that can be lethal. Working on equipment that has not been properly locked out can be equally deadly. To help to control the hazards REL Co. will maintain high standards among workers that will keep work areas safe and clean. If an exposed wire is discovered, it will be fixed by covering the wire with electric tape or replacing the wire. REL Co. will have a training course that explains the procedure of locking out equipment to prevent injury and they will also have posters in areas and locks that will easily educate employees to promote a safe environment. A major concern for an above ground mine is noise pollution because the noise effects the employees at the mine and the surrounding community. Noises can come from many different pieces and can range from the noise a motor makes to the sound of material being loaded into haul trucks. Equipment operators and plant workers are the most likely to suffer from noise pollution and will be provided adequate hearing protection such as ear plugs or ear muffs. The noise that travels outside the quarry should dissipate before it reaches the surrounding community because of the location of Bass River mine. The final consideration for REL Co. is the danger of powered equipment. This equipment can cause a serious threat to the workers in the vehicles and the workers around the vehicles. Drivers can lose control of their vehicles if haul roads are designed poorly causing crashes that
60
Bass River Mine Site injure both the driver and the surrounding equipment. Workers around trucks are also at risk of being hit by vehicles because a driver cannot see them. To help control these hazards, cameras will be installed on large vehicles such as loaders and haul trucks. This will allow drivers to observe the area behind their truck that is normally a blind spot. Haul roads will also be designed to help prevent accidents. Berms will also be put into place along haul roads to prevent trucks that veer off of the road.
61
REL Company
Chapter 8
Bass River Mine Project: Surface Facilities
Surface Facilities
62
8.1 Introduction
The chapter will cover all the surface facility requirements for the Bass River Mine. The surface facility requirements include the layout, structure description and the cost associated with the construction and maintenance of the facilities. The surface facilities constructed at Bass River Mine will be responsible for meeting the electrical, mechanical, maintenance and storage needs of the mine. The surface facility layout will also house the administrative department for Bass River Mine.
Surface Facilities
63
Bass River Mine Site administrative office. There will be a building for storage of explosives at the southwest corner of the smaller parking lot. The building will be built at the considerable distance from all the other surface facilities to ensure safety of the mine and its employees. A power distribution building and a kVA substation responsible for providing power to the surface facilities at Bass River Mine will be built. The building will be located behind the auxiliary storage building and will have power lines running throughout all of the surface facilities. The surface facilities will be fenced in at the southwest corner of the warehouse. Apart from power lines and fencing, roadways will be built to simplify access. A basic design of the surface facility layout is provided in the Appendix H as Figure H-I.
Surface Facilities
64
Bass River Mine Site be surveillance equipment to monitor the activities of the people who come in and out of the mine. This building will also take care of the check-ins of vehicles and deliveries. Assistance with mechanical needs and fabrication will be provided by a 5,625 squarefoot shop. It will contain all of the tools that are need for the repair of all equipment on the site and have a full fabrication area to assist with random needs of the mine. A 1,750 square-foot light vehicle garage and a 9,000 square-foot heavy vehicle garage will be used for everyday upkeep of the vehicles and storage during non-working hours. A 40,000 square-foot warehouse will be built with receiving docks on each side and provide storage for all the extra parts for the processing plant and mine. The warehouse will house all mining tools that are not stored in the employee storage in the bath house. A 5,625 square-foot auxiliary storage shed will be built to house extra equipment and material that is not being kept in the garages or the warehouse. Things such as oil and lubrication for the nonvehicular equipment will be stored in the auxiliary shed. There will be two specific reinforced buildings that will be built to store all explosives on site. One will be 900 square-feet and the other will be 2,500 square-feet. There will be two onsite lots for parking and storing vehicles. The parking lot is 15,000 square-feet and will be used for employee and guest parking with a capacity of around 70 vehicles. The storage lot will be 90,000 square feet and used to store extra equipment that is not being used and for spent mechanical items that will soon be removed from the site. Finally, a power distribution building will be built to supply the rest of the mine with power that is created at the substation. The distribution building will contain all of the switches that are run to the equipment in the plant. It will have a lock out station with locks and tags for
Surface Facilities
65
Bass River Mine Site safely shutting off equipment during maintenance. The building will be 1,200 square-feet and will have rubber floor mats to protect employees that go inside to lock out equipment. There will also be a small computer system in the building that will monitor the activity of the different pieces of equipment in the mine. The computer will provide the ability to shut down different components of the mine in case of an emergency.
Surface Facilities
66
Bass River Mine Site A weigh station will be located just before the entrance requiring the weight leaving to be recorded allowing for better efficiency. A chain link fence ten feet high will run around the entire property of the mine site to prevent civilian accidents and to prevent theft. A small auxiliary storage building will be located near the front of the property next to the fabrication shop.
Surface Facilities
67
Bass River Mine Site figures are shown in Table 8-I. The entire summary of costs for the surface facilities can be found in table H-I in Appendix H. Table 8-I: Surface Facility Total Cost Summary
Capital Cost Replacement Cost (annual) Operating Cost (annual) Maintenance Cost (annual) Unit Capital Cost ($/ton) Unit O&M Cost ($/ton) $ 1,929,264.88 $ 77,095.75 $ 136,527.75 $ 54,658.00 $ 0.49 $ 0.05
Surface Facilities
68
REL Company
Chapter 9
Bass River Mine Project: Detailed Mine Design
69
9.1 Overview
REL Co. will extract iron magnesium from the Cohansey Formation in Bass River, New Jersey, and sell the product to steel manufacturers. Bass River Mine is an open pit mining operation that will produce 7.1 million tons of iron magnesium ore per year, at close to 100% iron. The exploration results show that the mine pit will be approximately 1400 acres, placed in the middle of the mining property. The higher grade ore is found at very shallow depths between five and 50 feet below the surface. The mining property extends to double the size of the pit, leaving room for stockpiles, overburden and distance to nearby structures to lower values of noise and dust. The processing plant and other surface facilities are located to the north of the pit on level ground. Preliminary excavation of the overburden is done by one CAT 3060-FS and one CAT 3018-FS. Haul trucks will transport the excavated overburden to the southern part of the mine property and a muck pile will be created. After the overburden is removed, blasting will be used to fracture the ore before excavation. Material will be hauled to the crusher using Caterpillar haul trucks. Afterwards the material will be loaded into the crusher using a small Caterpillar front shovel. Pit design is based on the exploration program that has been conducted. The largest depth for the pit will be 500 feet, below which the iron magnesium is unprofitable. The pit angle is 60 degrees from horizontal; the benches will be 95 feet wide with a height of 42 feet. The haul route will follow the benches for transportation of ore and personnel between the surface facilities and the pit. The general layout for Bass River Mine is shown in Figure 9-1.
70
71
9.2 Development
After the exploration program is completed and studies are determined, the first step is to obtain permits for mining and purchase the land. Local special use, environmental, reclamation, industrial storm water, construction and general permits will be obtained to start the mining process. A community gather will be held and the board will vote for the acceptance of the permit. The reclamation permit is obtained by designing and submitting an appropriate reclamation plan and paying a bond in case the REL Co is unable to fulfill the reclamation plan. The industrial storm water and construction general permits are submitted to the New Jersey Department of Environmental Protection (NJDEP). REL Co. will buy the land instead of leasing the land and paying royalties. All permitting will be handled by the REL Co. legal team. The land purchase and permitting is to be completed between February 2015 and July 2015 to keep to the schedule. After land purchase and permitting is completed, roads and surface facilities will be constructed to support further activities. As the surface facilities are completed, utilities will be connected from the surrounding areas. After the surface facilities are built the processing plant will be constructed. Haul roads will be graded and constructed while the processing plant is under construction. All construction before mining will be contracted to a local company. General roads and parking lots are to be completed no later than October 2015. The storage lot and auxiliary storage will be completed during October and November of 2015. The vehicle garages, kVa substation and power distribution buildings will be constructed between December 2015 and January 2016. The administrative buildings and warehouse will be
72
Bass River Mine Site constructed between February and April of 2016. Electricity connection as well as the construction of the kVa substation and power distribution building is to be completed by January 2016. The sewage and water systems as well as construction of surface facilities will be completed by April 2016. Fencing will be constructed around the entire property between October of 2015 and January 2016 to prevent people from entering the property as the first surface facilities are finished. The processing plant will be constructed between April 2016 and July 2016. Haul roads will be graded and paved during the processing plant construction to be complete before July 2016. The hiring of employees will begin as the processing plant and haul roads are finished. Hiring will take place from July 2016 to September 2016. Some types of employees that will be hired miners, mechanics, electricians, engineers, office staff and project managers. Hiring for the Bass Rive Mine site will be advertised in local newspaper, billboards and other media sources during the hiring process. The development steps are shown on a Gantt chart in Figure 9-2. The Gantt chart starts with the permitting process in February 2015 and ends with the hiring process completed on September 2016.
73
74
Bass River Mine Site characteristics, certain values have to be calculated. Ashs ratios will be used as the mathematical formula to produce the following values (TCMRC): De = Diameter of the explosive in the borehole (in). B = Burden, distance from the charge measured perpendicularly to the nearest free face and in the direction that displacement will most likely occur at the time of charge firing (ft). S = Spacing, distance between two holes such that the spacing is all measured perpendicular to its corresponding burden (ft). H = Hole length (ft). J = Subdrilling length, depth hole is drilled below the established floor (ft). T = Collar distance, the portion of the borehole not containing explosive (ft). Ash ratios are shown as equations solving for the unknown: B = KBDe/12; S = Ks B; H = KH B; J = KJ B; T = KT B; KB = Burden ratio Ks = Spacing ratio KH = Hole length ratio KJ = Subdrilling ratio KT = Collar distance ratio
In addition to the above values, other critical information is shown in Tables 9-I and 9-II. The blast design will produce 80,000 tons per shot. This means that in order to meet the 8,000 tons per hour production, a blast will occur every shift.
75
Detonation will occur by an electronic initiation system. Electronic blasting caps capable of initiating the explosive will be connected to a power source and circuit wiring. The delay between each row will be 74 milliseconds. The delay between each column will be 66 milliseconds. These values already incorporate the distance between the holes. These delays
76
Bass River Mine Site will ensure proper fragmentation and placement of extractable materials. The blast design layout for Bass River Mine can be seen in Figure 9-3.
Figure 9-3: Blast design layout The initial data that was collected from the Bass River Mine does not reveal any significant data that show any issues with slope stability in the pit. Therefore, there is no reason to warrant a detailed analysis on slope stability. Figure 9-4 shows a basic pit and bench design for Bass River Mine.
77
Figure 9-4: Pit and bench layout The geologic composition of the highwall was examined so potential slope stability issues could be analyzed. The highwall of Bass River Mine is an alluvium deposit that is a very dense rock. This rock has a compressive strength of 120,000 pounds per square inch but a tensile strength of only 1,000 pounds per square inch. Based on the geologic composition of the rock at Bass River Mine three types of slope failure are examined. These different failures in slope stability are wedge sliding, plane sliding, and toppling.
78
Bass River Mine Site The first type of failure is wedge sliding. Wedge sliding needs two intersecting planes of weakness that break and slide down the highwall. The two planes connect in such a way as to make a wedge. The second type of failure examined is called plane sliding, where a single plane breaks and slides down the face. Simple visual diagrams of both wedge sliding and plane sliding are shown in Figures 9-5 and 9-6.
79
Figure 9-6: Plane Sliding (Science Direct) The final type of failure is called toppling slope stability failure. Toppling happens when columns move away from the highwall, especially when the base is over excavated. A basic diagram of toppling failure is shown in Figure 9 -7 below.
80
Bass River Mine Site All forms of slope stability can be prompted by vibrations that are caused by blasting, increased water pressure, having too much weight on the crest of the highwall and incorrect loading on the toe of the slope. Discontinuities in the highwall can also affect slope stability. Water can seep into these discontinuities which will freeze and cause slope instability and ultimately deteriorate the highwall. The bench dimensions at Bass River Mine will be in compliance with the equipment used in daily operations given the minimal slope stability issues. The primary hydraulic excavators used at the mine site will be the Caterpillar 6030-FS and the Caterpillar 6018-FS. The maximum reach available with the 6030-FS and 6018-FS are approximately 45 feet and 42 feet, respectively. In order for the bench to be effective, the maximum height can be no higher than the smallest excavators maximum reach. This means that the bench height will be 42 feet. A good safety practice to follow on haul roads is requiring one-half the largest vehicles width on both sides of the travel lanes. For Bass River Mine, two travel lanes will be required on the bench meaning a minimum width of three and a half times the width of the widest vehicle (MSHA). The two largest vehicles on the haul roads will be the Caterpillar 789C and Caterpillar 785C. The vehicle widths are 26.2 feet and 22.1 feet, respectively. Using the largest vehicle width with the recommended bench width guidelines, and taking into consideration extra berm space, the bench width will be 95 feet. The two travel lanes on the haul road will be left handed in order to give the vehicle operators a clear view of the berm and reduce the risk of injury in the event of an accident. Around curves, bench widths will be increased because the ability for the operator to maneuver
81
Bass River Mine Site the vehicle is impaired. In order to prevent water problems, haul roads will be crowned. A cross-slope of two percent will be utilized. Around curves, the bench will not be crowned. Instead, it will be banked downwards 4% to promote drainage and prevent steering problems. The grade of the haul roads will be no greater than 9% to prevent stop/start concerns and ensure vehicle fuel efficiency. Water runoff from crowned and banked roads will flow into roadside ditches. These ditches will ultimately flow to a sedimentation pond. Timeline photos for Pit 1 and Pit 2 showing progression in terms of benches can found in Figures I-1, I-2, I-3 and I-4 of Appendix I. The detailed extraction schedule for the Bass River Mine has been created to ensure the mine reaches its goal of 41,000,000 tons of rock per year. The large amount of overburden removed will be placed in overburden storage areas. The overburden storage area will be in the northwest sector of the mine behind the pit. The location of the storage area will provide quick and easy access from the pit to the overburden disposal area. The area will be capable of holding millions of tons of overburden. The removal of overburden will begin at the end of the sixth year of development so that production can begin in the seventh year. The extraction goal of 41,000,000 tons will most likely not be met until Year 3 because of continued development of the pit until the end of Year 2. The top soil removal and the overburden stripping will commence at the end of Year 2. The pit will be fully developed by Year 9 of the project and the primary pit will be in full operation. After this point, extra overburden and waste rock will be removed with the purpose of expanding the pit to maintain production rates. The pit schedule can be modified to adjust to the fluctuating market. If the
82
Bass River Mine Site 41,000,000 tons of ore are not being sold then production will be decreased to meet the demands of the market. The development of the mine will be completed by Year 7 and overburden removal and extraction of targeted ore will commence in Year 9. In Year 33 of the mine, the primary pit will be expanded to maintain the amount of ore needed to be removed from the mine. The second and last pit expansion will last the mine for the rest of the 50 year mine life. The development of the pit will be close to the processing plant to reduce haulage costs and increase efficiency of production.
9.4 Closure
The closure of a mine is an extremely important aspect of mine design and requires detailed planning. In the case of Bass River Mine, the necessary environmental permits will be acquired before the extraction phase. Closure at the mine site will start with scaled production and proceed into Year 50 of the mine site. Closure will take a total of 2 years and will commence with the decommissioning of the CAT 3018-FS in January of 2064 and CAT 3060-FS April of 2064. The in-pit conveyor will be decommissioned and the explosive magazine will be deconstructed in April, 2064. The deconstruction of surface facilities will include breaking down the bath house, ware house, garages and maintenance and the auxiliary shops and the storage lot and will commence in January, 2065. The pit closure activities and the waste management will commence in January, 2065. The environmental and reclamation activities related to closure will start in January, 2065 and will conclude by December. These activities include covering the mine area with topsoil, reDetailed Mining Plan 83
Bass River Mine Site vegetation and proper disposal of waste water. The treatment of surface water will be an ongoing process during the mine cycle and therefore is not included in the closure activities. Environmental assessments will be conducted at intervals in the year 2065 to ensure environmental laws are upheld. The detailed schedule of mine closure is shown in Figure 9-8.
Figure 9-8: Detailed Mine Closure Schedule REL Co believes in maximizing benefits and minimizing concerns in terms of closure. Keeping this objective in mind, risk management, relieving or eliminating environmental damage and sustainable development are devised as the three main pillars on which the closure plan is based. Based on these three pillars Failure Modes and Effects Analysis (FMEA) is chosen for the analysis of risk. FMEA uses the likelihood and consequences of failure to evaluate risk. During the extraction phase, environmental engineers will examine the impacts of closure on the environment using FMEA and devise alternate closure options as back-up. REL
84
Bass River Mine Site Co will take any steps necessary to minimize or eliminate environmental damage during closure. The three closure milestones are the decommissioning of the equipment, deconstruction of the surface facilities and reclamation of the mined area as well as the surrounding area. These milestones will occur in Year 49 and Year 50 of the mine cycle. The transfer of employees to another mine facility is another REL Co priority during the closure phase. All employees are guaranteed a position with the company after the mine closes. An alternative to this plan is to start decommissioning and deconstruction during Year 49 and perform the environmental and reclamation activities during Year 50. However, this option does not save any time. Deconstruction and decommissioning can be a tedious process and they require more labor compared to with the environmental and reclamation aspects of closure. Hence, decommissioning and deconstruction are spaced over a period of 2 years.
85
REL Company
Chapter 10
Bass River Mine Project: Processing Facilities
Processing Facilities
86
Processing Facilities
87
Processing Facilities
88
Bass River Mine Site used. The custom built jaw crusher has a 150 HP capacity and will be used to fracture 285 tons per hour of incoming rock. Raw material with sizes up to 24 inches is crushed to a size no larger than 5 inches. Power usage by each of the units is approximately 660 kW. The secondary crushing unit on site, with 4 units, is custom built. These units are used to further fracture the material coming from the original screening unit and jaw crushers at a rate of 390 and 461 tons per hour, respectively. Material with sizes from 5 inches to .625 inch is crushed to a size no larger than 1 inch. Power usage by each of these units is 930 kW. Two different types of screens are used to size material prior to and post crushing. The primary screen to sort the raw material is a two-deck inclined unit. All material larger than 5.5 inches is separated by bars and continues to the primary jaw crushers. Material smaller than 5.5 inches but larger than .625 inch is separated by a screen and sent to secondary crushing. Any undersized material to make it through both decks is already sized small enough and sent to the stockpile to prevent entering the crushers. The five primary screens each process 2000 tons per hour. The secondary screen, located after the primary crushing units, is a one deck inclined unit, where each deck is sized at .625 inch. Any material larger than .625 inch is sent to secondary crushing units. Material that makes it through the screen is sent to the stockpile. The five secondary screens each process 1140 tons per hour. The remaining equipment used at the processing facility are stream splitters. These units are used to separate the flow of material into two streams of 50%. Splitters following deck one of the primary screen separate 1140 tons per hour into four 285 tons per hour streams. Splitters following deck two of the primary screen separate 780 tons per hour into two 390 tons
Processing Facilities
89
Bass River Mine Site per hour streams. Finally, splitters following the deck of the secondary screen separate 922 tons per hour into two 461 tons per hour streams. The flowchart created using Aggflow is seen in Figure H-1 of the appendix.
1 1 4 4
Cost
per Annual
The capital cost per annual ton is only during the first year, with the assumption that the costs will be completely paid off by the end of that year. The reason of the low cost/ton ratio is the high annual production and the custom built crushers which gives more flexibility in
Processing Facilities
90
Bass River Mine Site dimension of equipment. The unit operation and maintenance cost were multiplied by the number of hours the equipment would run during a year. The sum of the operation and maintenance costs was divided by the total annual production of 48.8 million tons. The resulting operation and maintenance cost is $.61 per ton of processes ore and capital cost is $0.79/ton.
Processing Facilities
91
REL Company
Chapter 11
Bass River Mine Project: Materials Handling
Materials Handling
92
11.1 Description
In order to have a successful operation, a detailed description of the materials handling process and the store of all products after processing is required. Examples of such material would be tailings, concentrate, ore and waste material. The cost for the design and the construction of the different processing systems are also required for a mining operation. The processing plant has the capacity for handling 42 million tons of material a year. Of the 42 million tons, 7.1 million tons of iron ore will be produced a year.
11.2 Layout
When working on a mine design, primary consideration is placed on how materials will be handled during processing. The ore has to be monitored as it changes sizes; the different equipment inside the plant has to be monitored to make sure it is preforming at peak efficiency; and the equipment outside the plant has to be designed to meet production. In the beginning of the process, ore is hauled from the pit to the processing plant on trucks. Figure 11-1 shows that the plant is on the southeast side of pit number one. The pit will be built in this spot so that as the pit is expanded, hauling distance for the trucks does not dramatically increase. Once the material goes through the primary crusher it will be moved to different stock piles and secondary crushers on conveyor belts. It will also be moved to the separate stock piles and tailing piles via conveyor belts. Once the material has been completely processed, a combination of front end loaders and conveyor belts will move the material. These
Materials Handling
93
Bass River Mine Site two different units will place the processed material on rail cars that will transport it to a point of sale.
Materials Handling
94
Bass River Mine Site facility. The conveyor belt system layout can be seen in Figure K-1 of the appendix. Sizing of the crushing and separating equipment are not to scale. Conveyor length and width are to scale and positioned correctly. 11.4 Storage For production demands to be met, multiple stockpiles will be needed. They include one for primary crusher feed, two for secondary crusher feed, one for primary crusher product, four for magnetic separator feed, one for separated iron and one for waste. The plant feed stockpiles will be located close to the screen decks, while the magnetic separator feed stockpiles will be located between the crushers and the magnetic separators. The waste stockpile will be located at the back of the processing plant. The primary crusher feed stockpile is designed to hold 80,000 tons of ore. This stockpile will be 40,000 square feet with an ultimate height of 45 feet. The primary crusher product stockpile is to hold 50,000 tons and have an area of 25,000 square feet. The magnetic separator feed stockpiles are designed to be half the size of a primary crusher feed stockpile. The separated iron stockpile is designed to hold 30,000 tons of product and be 15,000 square feet with a max height of 20 feet. The secondary crusher feed piles are to hold 50,000 tons and have an area of 25,000 square feet. The waste stockpile is designed to hold 65,000 tons and have an area of 33,000 square feet with a max height of 38 feet. Figure K-1 shows the pile location and usage. All the stockpiles were designed to hold enough ore to compensate for non-working days. Since there are two shovels always working and one backup, the stockpiles are designed well above what is needed. All stockpiles except the waste stockpiles will be located under roofed structures with
Materials Handling
95
Bass River Mine Site a small concrete wall around to keep water out. With the structures for the ore, there will be no contamination of water. The waste stockpiles will have less iron than the ground the water usually flows through, so these stockpiles dont require any cover. The rock from the waste stockpiles will be transported by conveyor to large dump piles. The dump piles will have a total area of 200 acres with a max height of 50 feet, providing piles large enough for one year of production before the backfill begins. Product will be shipped from the property on a daily basis. Due to the large amount of product and the proximity of the railway, railway cars was selected as the most cost efficient method to transport the product. The Tuckerton Railway is located five miles away, so a connecting rail line will need to be added. The main station of this railway, located in Tuckerton, is only seven miles away, so the product can be sent anywhere desired. The rail line construction will be contracted out at approximately $14,000 per miles for a total cost of $70,000. Two 1,700 ton loadout bins will be used to fill thirty-two 100 ton freight cars every two hours. The loadout bins will be fed from the product stockpiles at the rate of 850 tons per hour. Each bin will cost approximately $800,000 each.
Materials Handling
96
Bass River Mine Site Given the size of the operation, multiple conveyors will need to be employed. In order to easily display the belt usage, Table 11-I shows the related information for belt design.
6 7 8 9 10 11
Designing a belt system as complicated as the one at Bass River Mine requires computer assistance to ensure consistency and accuracy. Microsoft Excel 2010 was used to compile all the
Materials Handling
97
Bass River Mine Site information and execute the calculations. On the spreadsheet, all the calculated values are colored black, while the variable inputs are colored in red. Some notable variables include belt width, belt speed, idler spacing, length of belt, ore density and friction coefficients. The excel file also has the belts split into sections in order to correctly calculate the required power for each run. Operation costs are available based on an electricity cost of $.07 per kW-hr. A complete account of the belt calculations can be seen in Tables K-I through K-VI in the appendix. In addition to the original calculations and assumptions for the conveyor belt system, another option was considered. The second option taken was to increase the speed of the belt while decreasing the overall width. The only drawback is that the maximum belt speed is 800 feet per minute so there is not much room for increase . The belt sizes are also at the high end of possible use. Based on the results, decreasing the belt size and increasing the belt speed has a higher operating cost. This is because belt sizes come in certain intervals and the jumps between these sizes cause an issue.
Materials Handling
98
Materials Handling
99
Detailed Conveyor Costs Belt Drive Head & Tail Assemblies Belt Drive Components $192,300 $123,500 $82,100 $407,100 $210,440 $298,500 $445,300 $222,900 $454,200 $407,100 $210,440 $472,500 $212,200 $148,310 $368,200 $596,300 $210,440 $116,000 $596,300 $210,440 $514,700 $473,600 $198,000 $408,600 $251,900 $160,800 $139,500 $407,100 $210,440 $350,300 $407,100 $210,440 $350,300
10
11
Materials Handling
100
The cost summary for all the conveyor equipment can be seen in Table 11-IV.
Table 11-IV: Cost Summary
Cost Summary - Conveyor Total Capital Cost Unit Capital Cost Total O&M Cost (yearly) Unit O&M cost $10,067,350 $0.30/ton $1,769,400 $0.05/ton
Materials Handling
101
REL Company
Chapter 12
Bass River Mine Project: Personnel Requirements
Personnel Requirements
102
Personnel Requirements
103
Bass River Mine Site Sale of ore will include developing relationships with buyers seeing as how the company will most likely consistently sell to the same companies. In this sense, the mine manager will work very much like a public relations officer to the community and to the buyers. The mine manager will work closely with the health and safety department as well by relaying the regulations and updates to workers as well as lower management. Finally, the mine manager will work in the mining and processing department to make sure everything is being processed to state and federal specifications. The superintendent holds a significant position in the organization and operation of the everyday mining. He will work very closely with the basic labor force that extracts and processes the ore. The position of superintendent will help the health and safety department and the mine manager to organize safety meetings. Other responsibilities include enforcing rules and regulations laid down by the mine manager. The superintendent will cooperate with the engineering department to develop the design and progression of the pit. Finally, the job entails participating in the processing facilities to make sure that rules set by the mine manager are flowed during the processing phase.
Personnel Requirements
104
Bass River Mine Site for their section, along with all standard section workers including shovel operators, haul truck operators, water truck operators, maintenance crew, mechanics and electricians. Shift foreman: Work will require great communication and leadership skills as well as good organization and time management. Shift foreman responsibilities will include all sectional foremen responsibilities, and the responsibilities stated below. The shift foreman will be required to perform included duties but will not be limited to: Have open communication lines between the mine superintendent and section foremen Coordinate the tasks of all general workers, electricians, mechanics, maintenance crew and all workers not under the supervision of a sectional foreman
Sectional Foreman: Work will require good communication, leadership, organizational and time management skills. Sectional foreman will be required to perform included duties but will not be limited to: Direct workers in production and safety Inspect all work areas and equipment pre-shift Maintain and distribute records of production, safety and violations Know and achieve all mining regulatory standards and laws
Personnel Requirements
105
Bass River Mine Site General Workers: Work is physically challenging and will require team work to achieve production standards. The general worker will be required to perform included duties but will not be limited to: Transport equipment from the surface facilities to the mining area Maintain benches properly Manage and handle supplies Maintain all roadways Inspect work areas and equipment pre-shift Assist others including the foreman, electricians, shovel operators, mine operator and haul truck operators Operate machinery including the front shovels, water trucks and haul trucks
Shovel Operator: Work is physically challenging and will require team work to achieve production standards. Shovel operator duties will include but not be limited to those of the general worker and the responsibilities listed below: Operation of a front shovel on benches Operate the shovel in a safe and efficient manner at all times Assist the mechanics and electricians with repairs made on the shovel and other equipment
Personnel Requirements
106
Bass River Mine Site Haul Truck Operator: Work is physically challenging and will require team work to achieve production standards. Haul truck operator duties will include but not be limited to those of the general worker and the responsibilities listed below: Operate a haul truck on benches Operate a haul truck in a safe and efficient manner at all times Assist the mechanics and electricians with repairs made on the haul truck and other equipment
Electrician: Work is physically challenging and will require good communication and leadership skills. Electrician duties will include but not be limited to the responsibilities listed below: Have open lines of communication between the shift foreman, sectional foremen and any others with electrical work Coordinate and manage all electrical work for the property Know and achieve all mining regulatory standards and laws Maintain and distribute records of performance, safety and violations Select and obtain electrical equipment for the surface facilities
Mechanic: Work is physically challenging and will require good communication and leadership skills. Mechanic duties will include but not be limited to the responsibilities list below: Have open lines of communication between the shift foreman, section foremen and any others with mechanic work Coordinate and manage all electrical work for the property Select and obtain mechanical equipment for the surface facilities Maintain and distribute records of performance, safety and violations Know and achieve all mining regulatory standards and laws
107
Personnel Requirements
Junior Processing Engineer: Report to the Senior Processing Engineer twice a day Assume responsibilities of complete control of the processing facility when senior processing engineer is absent Make sure shipping details are handled efficiently by the facility manager
Personnel Requirements
108
Bass River Mine Site Facility Manager: Reports to the junior processing engineer daily about the activities at the processing facility In charge of preparing a maintenance and electrical report once a week for all the equipment at the facility Ensure production requirements for the processing facility are met daily Communicates with the shift foreman daily to resolve any management issues In charge of the shipping details at Bass River Mine. Works towards resolving any issues with shipment and makes sure shipment is carried out in an orderly fashion
Plant Foreman: Establishes a good line of communication with the facility manager In charge of all the personnel requirements at the facility including hiring additional crew and resolving any day to day issues In charge of calling maintenance in case of an issue with the equipment
Plant Electrician: Establish a good line of communication with the shift foreman Inspect electrical equipment at the facility once a day Prepare a weekly report to be handed in to the facility manager about the electrical state of the equipment present at the facility Work with the maintenance personnel to resolve any electrical issues at the facility
Maintenance Personnel: Work with the foreman on any maintenance at the plant Inspect the equipment once a week if not sooner for maintenance Establish communication with the electrician to work on equipment as a team
Personnel Requirements
109
Environmental Engineer: In charge of permitting at the mine Work with the environmental specialists to make sure all environmental activities are monitored regularly In charge of all reclamation activities and sustainable development at the mine Work with EPA and local environmental agencies to ensure all environmental laws are upheld Hold sessions once every 3 months to update the mine personnel on current environmental laws and regulations.
Personnel Requirements
110
Bass River Mine Site Environmental specialist: Report to the environmental engineer Responsible for tasks to ensure above and beyond compliance for every facet of environmental issues are met at the mine site Prepare a weekly report of the environmental activities to be submitted to the environmental engineer
Health and Safety Director: Handle all issues with health and safety at the mine site Inspect and monitor the operation and processing departments to ensure safe working conditions are met Report to the Mine Engineer once a week on all health and safety issues at the mine In the case of an incident at the mine, health and safety director assumes command until the emergency is over Report all incidents to MHSA and work with the MHSA inspector to make sure safe working environment is maintained
Project Engineer:
Handle all the papers and design with operations Work with mine engineer for scheduling twice a week Work with environmental engineer and health and safety director and establish communication between them Work with the Human Resources department to establish good rapport with the local community Hold monthly sessions with the human resources department to provide a platform for the local community to express their issues Monitor social license and work towards making sure the license is upheld at all times
Personnel Requirements
111
Bass River Mine Site Human Resource Representative: In charge of all clearance, hiring and insurance information for all personnel hired Work with the project engineer on upholding social license and maintaining a good relationship between the industry and general public In charge of all payment information for all mine personnel Any issues to the human resources will be redirected to REL Co. In communication with REL Co HR department to handle issues at the mine site
Accountant: Responsible for accounts at the mine site Work with the HR department and the project engineer to make sure all accounts are up to date and monitored on a regular basis
Secretary: Work with the mine engineer to prepare documents for all the departments, the president of the mine and REL Co.
Security guard: In charge of security at the gates Will work 8 hour shifts contracted from private security agency
Personnel Requirements
112
Personnel Requirements
113
Bass River Mine Site are broken down in Table L-II, L-III and L-IV of the appendix. Optional dental and vision coverage is available to all full time employees. The cost structure for the health plans, dental insurance and vision coverage is shown in Table L-V of the appendix. In addition to health insurance, employees are provided prescription drug coverage at no extra cost. Drug costs based on type are outlined in Table L-VI in the appendix. Retirement saving is crucial, and REL Co. encourages employees to plan for the future. To help facilitate investments in retirement, a 401(k) program will be created. Based on employment length with REL Co., the company will provide additional funds to the 401(k) account. The guidelines are shown in Table L-VII of the appendix. Paid vacation and sick leave days are also based on an employment history. Tables L-VIII and L-IX outline the vacation and sick days that will be earned by employees. REL Co. also takes part in a group life insurance program that offers discounted coverage to its employees. The monthly price per unit can be seen in Table L-X of the appendix. One unit of coverage constitutes as $1,000. An overall cost for each of the individual hourly positions is compiled into Table 12-I. Overall cost for each of the individual salaried positions is compiled into Table 12-II.
Personnel Requirements
114
$ 95,650.00 $ 117,884.00
$ 235,768.00 $ 1,947,098.00
Personnel Requirements
115
Bass River Mine Site The total cost off all personnel can be seen in Table 12-III. The unit cost is the cost per ton annually. Table 12-III: Total Personnel Cost
Total Annual Cost $ 8,751,388.88 Unit Cost ($/ton) $ 0.21
Personnel Requirements
116
REL Company
Chapter 13
Bass River Mine Project: Environmental Impacts and Sustainability
117
118
Bass River Mine Site source of erosion becomes a concern, natural or artificial erosion controls will be utilized to minimize the issue.
119
Bass River Mine Site prevent any ground contamination if the water contains contaminants. Water quality levels will be measured prior to development to ensure minimal deviation during operations. Monitoring will take place throughout the entire mining process with particular emphasis on discharge points. Clean Water Act regulations will dictate all appropriate water quality levels. Acid mine drainage will be minimal at Bass River Mine because of the low water inflow. Water that must be pumped out will be monitored for any extreme variations in pH levels and addressed with remediation techniques when ranges are unacceptable. No chemical leaching processes are used on site so this is also of little concern to hydrological integrity.
120
121
Bass River Mine Site the area around Bass River Mine. Department of Environmental Protection of New Jersey regulates water quality and air monitoring as well as permitting for mining. Contact information for the Department of Environmental Protection New Jersey may be found in Table 13-I.
Table 13-I: Contact Information for Department of Environmental Protection, New Jersey
New Jersey Department of Environmental Protection 401 East State Street Trenton, NJ 08625 (724) 772-2334 (609) 777-3373
The permits required by the Department of Environmental Protection to begin mining operation are listed in Table 13-II. Yearly permitting requires renewal permit for mining is 5G6 License Renewal Application (New Jersey Department of Environmental Protection). Table 13-II: Initial Department of Environmental Protection Permits
NJG0141950 NJ0107671 RA13 5G3 Mining and Quarrying General Permit Industrial Stormwater General Permits Air Quality Permit License Application
13.8 Reclamation
Bass River Mine will follow all legislative laws and regulations to devise a practical and sustainable plan for reclamation of the mine site after operations cease. The Environmental
122
Bass River Mine Site Impact Statement (EIS) will be submitted to Environmental Protection Agency (EPA) before operations commence and will be rectified if need be. As per the reclamation plan, all decommissioned equipment will be moved away from the mine site. After deconstruction of the administrative offices, reclamation activities will begin. All water resources will be cleaned of any point source discharge according to the 402 permit established by the Clean Water Act (CWA). All water resources will be cleaned of fill materials according to the 404 permit established by CWA. Waste facilities will be contoured in order to prepare and stabilize the rocks for the topsoil cover. All waste material will be disposed of in preparation for overburden replacement. The overburden will be replaced in all areas excluding the pit. Remaining overburden will be used to fill the pit up. The pit will then be converted into a pond. The water will be maintained in order to cultivate a fish population. Chemicals will be monitored in the pond to ensure safe growth of fish and other organisms. The mine site will be covered with topsoil and a vegetative growth will be established. The first stage of plants that are planted helps stabilize the ground and provide a better support for the trees that are planted in the second stage of reclamation. The plant and animal life that is reestablished will be similar to the flora and fauna that is found around Bass River, New Jersey.
Environmental Impacts and Sustainability 123
Bass River Mine Site The long-term reclamation plan will continue for 10 years with the main responsibility of monitoring the reclamation plan in effect. Monitoring will be done monthly the first two years, bi-monthly the next two years, and then once every six months for the next six years. If any discrepancies are found the responsible authorities will be notified. In addition to the current reclamation plan, new activities will be added or rectified according to the federal and state reclamation laws. The Corporate Social Responsibility Committee (CSR) will play a huge part providing a medium for communication between the locals and the Bass River Mine Environmental Specialist. This will provide a platform for the community to voice their opinions about the reclamation plan and bring their concerns to the table as well. In addition to the reclamation plan, sustainable development will also play a huge role in the mine closure activities.
124
Bass River Mine Site close to the pond at the mine site where people can buy fishing supplies and small boats for fishing. All profit from any activities at the mine site will go to the community.
125
Bass River Mine Site This permitting cost includes all permits needed to make the mine function on average. The amount of reclamation will be combined with the bonding cost to get a total cost for the project but it is planned that the bonding costs will be returned after the reclamation process is complete. This total capital combined with the reclamation and the returned bonding cost combined with the unit cost using Bass River Mines 8.8M tons of production is shown below in Table 13-IV. Table 13-IV: Environmental Unit and Total Costs Permitting and Bonding Reclamation Total Cost After Reclamation Total Cost $1,031,000 $1,100,000 $2,131,000 $1,031,000 Unit Cost $0.117 $0.125 $0.242 $0.117
Table 13-IV shows that the total environmental cost would be $2,131,000 for permitting, bonding, and reclamation. There is $1,100,000 set aside for reclamation and the company will get their money back from bonding when reclamation complete. This will mean that a total of $1,031,000 will be spent on the reclamation process.
126
REL Company
Chapter 14
Bass River Mine Project: Contractual Agreements
Contractual Agreements
127
14.1 Ownership
Bass River Mine will be located on land purchased by REL Co. from the state of New Jersey. This piece of land is located in Bass River inside the boundaries of Burlington County. When development of the mine commences, a permanent address of 1200 Chatsworth Road, Bass River, New Jersey 08224 will be established. The sales contract between REL Co. and New Jersey will state a transactional area of 2500 acres. Based on 2012 statistics, the average price of wooded area in the region is approximately $2,100 per acre (USDA). REL Co. and the state of New Jersey will agree to a purchase price based on average market value. At 2500 acres, the total purchase price will be $5,250,000. As seen in Figure 14-1, the only permanent, paved road on the mine site is Chatsworth Road. The road was created and is maintained by Burlington County. Under the sale contract, the road will continue to be maintained by the county. If any damage occurs due to mining activity or equipment, REL Co. will have to pay for repair. All other roads traversing the property are comprised of compressed dirt. In some sections, gravel is added to the dirt to shore up the roadbed. During the development and operation of the mine, all dirt and gravel roads will be under REL Co. control. Roads may be created or eliminated based on operational discretion. When mining is completed and reclamation begins, comparable access to varying parts of the property will have to be built. Before resale to the state, dirt roads will be built in the approximate areas of previous access ways. Roads will ensure that state and local officials can travel the property if any emergency situations arise. The public may also use the roadways after New Jersey reclaims property rights.
Contractual Agreements
128
Figure 14-1: Google Map of Bass River Mine Property REL Co. will retain all mineral rights on the property through the contract terms. Although the land will be a previous state preserve, New Jersey officials will have no access rights to the land. The property will be considered private commercial property and only be subject to regulations relevant to a mining operation. Special consideration will be taken in relation to the reclamation process. After initial reclamation is completed, the resale will take place. Under the sales contract, REL Co. will still monitor the site continue reclamation activities. A specific date will be negotiated when REL Co. will relinquish monitoring activities in full. At that point, the state will resume the responsibilities as before the mining purchase.
Contractual Agreements
129
Contractual Agreements
130
Bass River Mine Site The population for Ocean County, the largest county in the state of New Jersey, grew 17.9% from 1990-2000 and grew 12.8% from 2000-2010. In 2010, according to the US Census Bureau, the population in Ocean County was 576,567 with a projected growth of 0.01% in the year 2012. Table N-1 of the appendix shows the increase in population in Ocean County along with a distribution of the population in Beach Haven Borough, Eagleswood, Little Egg Township, Tuckerton Borough and the entire state of New Jersey from the year 2000-2010. According to the US Census Bureau, New Jersey accounted for 0.72% of all value of iron and steel mill manufacturing shipment in the US. New Jersey ranked 16 in the nation in the production of iron and steel. In the appendix, Table N-2 shows the ranking of iron and steel in New Jersey in comparison with other states.
Bass River Mine Site 5% of any remaining unpaid balanced for the contract. If any REL Co. customer does not pay the amount agreed upon each month then a fee of 5% will be added to the total unpaid amount. If a customer fails to pay for three consecutive terms REL Co. is able to terminate any sales contract and seek legal action to collect any unpaid dues. On the other hand, if REL Co. is unable to supply the customer with the agreed upon iron ore in the specifications arranged, then the customer is able to cancel the sales contract. If the iron ore product supplied by REL Co. fails to meet agreed upon specifications, then a fee of 2.5% per ton will be paid back to the customer. If the iron ore product supplied by REL Co. fails to meet the tonnage agreed upon, then a fee of 2% per ton will be paid back to the customer. Any discrepancies in product specifications or tonnage are to be determined by the customer and relayed to REL Co. with fourteen days of received shipment. If an event occurs that are unpredicted, REL Co. and the customer can meet to change the sales contract or terminate it. The pricing structure for iron ore products supplied by REL Co. is shown in Table 14-I. Contract pricing is based on two categories of contracts, small and large. Large contracts consist of a purchase of more than 400,000 tons per year. Large contracts give a 10% discount over small contracts to encourage large purchases. High grade iron ore is 65% grade or higher, medium grade iron ore is between 60% and 65% grade iron. Prices are negotiable between the customer and the one presiding over the sales contract.
Contractual Agreements
132
Product Grade
$178.25 $155
$160.43 $139.50
Contractual Agreements
133
REL Company
Chapter 15
Bass River Mine Project: Cost and Feasibility Analysis
134
135
Capital Cost
1% 3% 11% Materials Handling Mining Equipment 37% Surface Facilities Processing 46% Permitting and Bonding Reclamation and After 2%
136
Bass River Mine Site Table 15-II: Annual Operating Cost for Bass River Mine
Item Materials Handling Mining Equipment Surface Facilities Processing Personnel Costs Total Operational Costs Cost (US dollars/year) 1,769,400 25,238,872 136,528 25,272,765 8,751,389 61,168,954
0%
137
Bass River Mine Site However, instead of paying tax on a base amount the company will pay tax on 35% of the taxable income taken in per year (marielandel.com). New Jersey has specific rules for corporations based on the Corporation Business Tax Act. The Division of taxation in New Jerseys Department of the Treasury indicates Bass River Mine will pay a 9% flat tax on all taxable income. No base payment is required (NJ.gov). As discussed before, the company will not pay any royalty fees. Therefore, the accounting department will not be concerned with any royalty contracts. The operational costs of the mine have been calculated in previous reports by the company. The accounting department of Bass River Mine will constantly be recalculating operation and maintenance costs to make sure that the company is following the predicted track. If operational fees begin to stray outside of predetermined values, the fees will be brought before the company to evaluate what has changed and what improvements can be made to help the companys business model. The depreciation of the facility and the equipment used by the Bass River Mine will be filed as deductions for tax purposes. The rate of deprecation was determined by using the straight line method. The depreciation value that was used after calculations for the Bass River Mine was 15%. The buildings will not have to be replaced on site because the expected life is 75 years. However, we will be replacing some equipment on site after the first 30 years of mining. The salvage rate will not be taken into account when selling old equipment and when mining is complete because the value after 30 years is below 10%.
138
139
Bass River Mine Site Table 15-III: Assumed Variable Assumption Average Sale Price Depletion Rate NJ Tax Rate Federal Tax Rate Discount Rate Operating Cost Salvage Value Value $158.30 15% 6% 35% 11% $2.93 N/A
Figure 15-3: Cash Flow Diagram Using the cash flow analysis for Bass River Mine, several indicators for economic feasibility were determined. The net present value for Bass River Mine was determined using an inflation rate of 3% and a discount rate of 11%. The cumulative net present value for the first 20 years of the mine life is shown below in Figure 15-4.
140
Cumulative NPV
$15,000,000,000.00 Running NPV ($) $10,000,000,000.00 $5,000,000,000.00 $0.00 -$5,000,000,000.00 0 5 10 Year 15 20 25
Figure 15-4: Cumulative Net Present Value Figure 15-4 shows information regarding the payback period and net present value for Bass River Mine. Bass River Mines net present value is estimated at $5,360,000,000 with a payback period of around two and a half years. The payback period for the large capital is short and the net present value is high making Bass River Mine a safe and very profitable project. Another indicator for economic feasibility for Bass River Mine is the rate of return on the investment. The rate of return is the average annual yield gained by the investment during the project. The rate of return was determined by calculating the discount rate when the net present value is equal to zero. For a project to even be considered, it usually requires a rate of return of greater than 15%. With such a large project as Bass River Mine, a rate of return of at least 20% is desired. The calculated rate of return, for the first 20 years, for Bass River Mine is 280% while the initial capital investment is $86.5 million. Sensitivity analyses were performed for both the net present value and the rate of return to show fluctuation based off changes in sales price, operating cost and capital investment. The sensitivity analyses are shown below in Figure 15-5 and Figure 15-6. For both
141
Bass River Mine Site graphs, the change in operating cost has almost no effect on the net present value or the rate of return. Change in capital cost for the net present value analysis shows almost no change while change in sales price shows an almost $4 billion difference. Capital investment and sales price both show large effect on rate of return. The sales price has slightly more effect on rate of return when both sales price and capital cost increases but has less effect on rate of return when both sales price and capital cost decrease.
Change in NPV
Net Present Value (billions) $8.00 $7.00 $6.00
Sales Price
$5.00 $4.00 $3.00 30 20 10 0 -10 -20 -30 Change (%) Operating Cost Capital Investment
Change in ROR
400.00 Rate of Return (%) 350.00 300.00 250.00 200.00 30 20 10 0 -10 -20 -30 Change (%) Sales Price Operating Cost Capital Investment
Bass River Mine Site The economic feasibility of Bass River Mine is very favorable based on the indicators calculated from the cash flow analysis. The expected rate of return of 280% is so large that even with a 200% change in sales price the project would prove economic. The required capital is large at $86.5 million, but with such great indicators, backing should be found easily. The payback period of just two and a half years is short for such a large project, so most of the life is large profit. The net present value of $5.3 billion is large especially since this analysis is done for only 20 years. The economic indicators show that even with huge market fluctuations, Bass River Mine will be very profitable.
143
REL Company
Chapter 16
Bass River Mine Project: Summary and Conclusions
144
145
146
Bass River Mine Site devised for Bass River Mine. Just as for health and safety an above and beyond approach will be taken for all environmental impacts of mining.
147
148
References
2010 US Census Data. Population Search, Bass River Township, NJ. <http://2010.census.gov/2010census/popmap/ipmtext.php> 401(k) Plans for Small Businesses. United States Department of Lab or. 19 Jan. 2013. <http://www.dol.gov/ebsa/publications/401kplans.html> "About Us." Atlantic City New Jersey. Atlantic City Convention & Visitors Authority, n.d. Web. 19 Sept. 2012. <http://www.atlanticcitynj.com/about/weather.aspx> Benchmarking Your Maintenance Costs. FMLink. Jan. 2010. <http://www.fmlink.com/article.cgi?type=Benchmarking&title=Benchmarking%20Your %20Maintenance%20Costs&pub=Facility%20Issues&id=40555&mode=source> Blastland, Michael. "Go Figure: Why Does Every Person Need 200kg of Steel a Year?" BBC News. BBC, 24 Nov. 2011. Web. 13 Sept. 2012. <http://www.bbc.co.uk/news/magazine15863049> Bureau of Labor Statistics. Labor force data by county, not seasonally adjusted, June 2011 -July 2012. <http://www.bls.gov/lau/laucntycur14.txt> Case 1150K. Case Construction. November 2012. <http://www.casece.com/en_us/Equipment/Crawler-Dozers/Pages/1150K.aspx> "Census Bureau Homepage." Census Bureau Homepage. N.p., n.d. Web. 21 Mar. 2013. <http://www.census.gov/#> Cohansey Formation. Ocean Drilling Program. September 2002. <http://wwwodp.tamu.edu/publications/174AXSIR/chap_05/c5_f2.htm> "Corporation Business Tax Overview." State of New Jersey Department of the Treasury. State of New Jersey, 23 Sept 2010. Web. 27 Mar 2013. <http://nj.gov/treasury/taxation/corp_over.shtml> Costs of Chain Link Fencing. HomeWyse Design Systems. 2 Nov. 2012. <http://www.homewyse.com/costs/cost_of_chain_link_fencing.html> Demirmen, Ferruh. "JPT Online Headlines." JPT Online. Distinguished Author Series, May 2007. Web. 18 Oct. 2012. <http://www.spe.org/jpt/print/archives/2007/05/JPT2007_05_DA_series> Designing Blasting Patterns Using Empirical Formulas. Twin Cities Mining Research Center (TCMRC). January 31 2013. <http://arblast.osmre.gov/downloads/USBM/IC%208550%20Blast%20Patterns%20Usin g%20Emperical%20Formula.pdf>
References
149
Bass River Mine Site Drysdale, Estelle. (2009). Chapter 2: Surface Mining Methods. <http://blogs.up.ac.za/weblog/media/file/estelle/adobe%20files/ch2_before.pdf> Encyclopedia Britannica. Core Drilling and Rotary Drilling. <http://www.britannica.com/EBchecked/topic/122975/coal-mining/81654/Coredrilling-and rotary-drilling> "Federal Corporate Tax Rates." Marie Landel & Associates. United States IRS. Web. 27 Mar 2013. <http://www.marielandel.com/federal-corporate-taxe-rates.html> Formation of Bog Iron. How Bog Iron Forms. < http://www.mcvsd.org/mccs/geohths/bogiron.htm> Fused Quartz Properties and Usage Guide. Momentive Performance Materials Quartz. Feb 1996. <http://www.quartz.com/gedata.html> Geology of National Parks. Tertiary Stratigraphic Units of the Coastal Plain. < http://3dparks.wr.usgs.gov/nyc/coastalplain/tertiary.htm> Google Maps, 2012. Bass River, NJ [Terrain Map]. Online: <http://maps.google.com/maps?hl=en&tab=wl> Google Maps, 2012. Bass River, NJ [Satellite Map]. Online: <http://maps.google.com/maps?hl=en&tab=wl> Gravel Pricing Guide Per Ton. Gravel Tech. 14 Sept. 2012. <http://www.graveltech.com/priceguide.html> Group Health Insurance Plans. State of Delaware. 17 Jan. 2013. <http://ben.omb.delaware.gov/medical/documents/fy13_published_rates_010113.pdf> Haul Road Inspection Handbook. MSHA Handbook Series. June 1999. <http://www.msha.gov/READROOM/HANDBOOK/PH99-I-4.pdf> Hydraulic Rock Breaker. Sanha Equipment. November 2012. <http://www.tjskl.org.cn/products-search/cz5099566/hydraulic_rock_breakerpz53701e8.html> "Iron Ore Monthly Price - US Dollars per Dry Metric Ton." Index Mundi. N.p., Feb. 2013. Web. 20 Mar. 2013. <http://www.indexmundi.com/commodities/?commodity=iron-ore> Karmis, M., 2012a. H-S Measurements [PowerPoint slides]. MinE 4514 Health, Safety and Risk Management. <https://scholar.vt.edu/portal/site/b6b5801f-e26b-4866-bac03b40ab739d22/page/f2c48809-5975-4031-a94a-d02020d64497> Land Values-2012 Statistics. National Agriculture Statistics Service-United States Department of Agriculture, USDA. Aug 2012. Web. 19 Mar. 2013. <http://www.nass.usda.gov/Publications/Todays_Reports/reports/land0812.pdf>
References
150
Bass River Mine Site Luttrell, Prof. Gerald H. "Materials Handling: Conveyor Design." Virginia Tech, Blacksburg. Fall 2007. "Magnesium and Magnesia from Brines." Epa. Environmental Protection Agency, 1992. Web. 7 Feb. 2013. <http://www.epa.gov/osw/nonhaz/industrial/special/mining/minedock/id/id4-msi.pdf>
Maps, Google. Bass River, NJ. N.d. Map. ww.google.com, Bass River, NJ. Web. 4 May 2013. <https://maps.google.com/maps?q=google maps bass river mine&aq=f&um=1&ie=UTF-8&hl=en&sa=N&tab=wl> Maps, Google. 75 Academy Drive, Hammonton, NJ. N.d. Map. google.com, Hammonton, NJ. Web. 4 May 2013. <https://maps.google.com/maps?hl=en&tab=wl>
"Matches Provides Conveyor Capital Cost - Apron, Belt, Pneumatic, Roller, Screw, vibrating." Conveyor Capital Cost. Matche, n.d. Web. 12 Feb. 2013. Mass, Weight, Density and Specific Gravity of Bulk Materials. Density of Materials. <http://www.simetric.co.uk/si_materials.htm> May 2011 National Industry-Specific Occupational Employment and Wage Estimates. Bureau of Labor Statitics. 19 Jan. 2013. <http://www.bls.gov/oes/current/naics4_212200.htm> Mine & Mill Costs Estimators Guide, 2012. Capital and Operating Costs. <http://costs.infomine.com/> Mine Safety Act & Pits and Quarries Regulations. New Jersey Department of Labor and Workforce Development (LWD). Web. 7 Nov. 2012. <http://lwd.dol.state.nj.us/labor/lsse/laws/Mine_Safety_Act.html> "Mine Safety and Health Administration (MSHA) - Home Page." Mine Safety and Health Administration (MSHA) - Home Page. N.p., n.d. Web. 09 Nov. 2012. <http://www.msha.gov/> Mineral Resources. Find the Data. September 2012. <http://mineralresources.findthedata.org/d/d/United-States/New-Jersey> Mineral Resources On-Line Spatial Data. Cohansey Formation. <http://tin.er.usgs.gov/geology/state/sgmc-unit.php?unit=NJTch%3B0> Mineral Resources On-Line Spatial Data. Lower Kirkwood Formation. <http://mrdata.usgs.gov/geology/state/sgmc-unit.php?unit=NJTkl%3B0>
Mining and Quarrying Activity. New Jersey Department of Environmental Protection. January 23, 2013. < http://www.nj.gov/dep/dwq/r13.htm>
References
151
Bass River Mine Site Modular Office Designs. Modular Technologies Inc. 6 Nov. 2012. <http://www.mtimodtech.com/office.html> "Monthly Humidity Averages for New Jersey." - Current Results. Current Results Nexus, n.d. Web. 19 Sept. 2012. <http://www.currentresults.com/Weather/New-Jersey/humidityby-month.php> National Center for Educational Statistics, 2012. Bass River, NJ [School District Demographic Map]. Online: <http://nces.ed.gov/surveys/sdds/ed/index.asp> New Jersey Department of Environmental Protection (NJDEP) Home Page. New Jersey Department of Environmental Protection. Web. 5 March 2013. <http://www.state.nj.us/dep/> Pole Barn Pricing. Hansen Pole Buildings. 8 Nov. 2012. <http://www.hansenpolebuildings.com/pole-barn-prices.php> Robertson, A., Dr., and S. Shaw. "Mine Closure." Infomine. Infomine, n.d. Web. 1 Feb. 2013. <http://www.infomine.com/library/publications/docs/EBook%2002%20Mine%20Closure.pdf>
Rock Ware. N.p.. Web. 31 Jan 2013. <http://www.rockware.com/assets/products/119/overview/lobby/rkpkdemo2b.jpg> Science Direct. N.p.. Web. 31 Jan 2013. <http://www.sciencedirect.com/science?_ob=MiamiCaptionURL&_method=retrieve&_eid=1s2.0-S0266352X07000663&_image=1-s2.0-S0266352X07000663gr5.jpg&_ba=&_fmt=full&_orig=na&_issn=0266352X&_pii=S0266352X07000663&_acct=C00003 8698&_version=1&_urlVersion=0&_userid=691352&md5=3f415d9fabdefa4b977768328470ff8>
Sinclair, Alastair J., Dr. "Mineral Resource Estimation." EduMine. N.p., n.d. Web. 18 Oct. 2012. <http://www.edumine.com/courses/short-courses/mineral-resource-estimation-spok/> Smart Tank Two. Fittzsimmons Technologies. 12 Nov. 2012. <http://www.fueltanks.com/Downloads/PDF/SmartTank2.pdf> State of New Jersey. New Jersey Geological and Water Survey. September 2012. <http://www.state.nj.us/dep/njgs/pricelst/ofmap/ofm60.pdf> Steel Buildings FAQ. Armstrong Steel Buildings. 11 Nov. 2012. <http://www.armstrongsteelbuildings.com/steel-buildings-faqs/steel-building-cost-persquare-foot.php> Surface Mining Equipment. Caterpillar Mining. November 2012. <https://mining.cat.com/cda/layout?m=435115> Surplus Mining Equipment-Electrical-Substations. Mining Surplus. 13 Nov. 2012. <http://www.miningsurplus.com/equipment/substations>
References
152
Bass River Mine Site Tandem Water Trucks. Truck Works Incorporated. November 2012. <http://www.truckworksinc.com/skin1/images/equipimages/Tandem_Axle_Water_Trucks_18.jpg> The Blasters Guide. Austin Explosives. January 2013. <http://www.austinpowder.com/blastersguide/>
"Virginia Requirements of New Permits."DMME.virginia.gov. N.p.. Web. 7 Mar 2013. <http://www.dmme.virginia.gov/dmm/pdf/permitting/newpermitbrochure.pdf>
Wang, Quinfie, Jun Deng, Huan Lui, Liquiang Yang, Li Wan, and Ruichang Zhang. "Ore Geology Reviews." ScienceDirect.com. N.p., Feb. 2010. Web. 18 Oct. 2012. <http://www.sciencedirect.com/science/article/pii/S0169136809000985>
References
153
Appendices
Appendices
154
Appendix B
Figure B-1: Towns near West Tuckerton and the Bass River Mine.
Appendix B
B-1
Population by Ethnicity Hispanic or Latino Non-Hispanic or Latino Population by Race White African American Asian American Indian Native Hawaiian and Pacific Islander Other Identified by two or more
45 1398
1405 4 11 2 0 5 16
Appendix B
B-2
Appendix C
*Red dots on all maps indicate Bass River Mine location
Appendix C
C-1
Appendix C
C-2
Appendix C
C-3
Figure C-4: Topography Map of Southern Burlington County, New Jersey (NJGWS)
Appendix C C-4
Appendix D
Table D-I: Bass River Mine Drill Hole Location
Hole BD1 BD2 BD3 BD4 BD5 BD6 BD7 BD8 BD9 BD10 BD11 BD12 BD13 BD14 BD15 BD16 BD17 BD18 BD19 BD20 BD21 BD22 BD23 BD24 BD25 BD26 BD27 BD28 BD29 BD30 BD31 BD32 BD33 BD34 BD35 Northing (ft) 2139422 2137045 2136258 2136814 2135180 2136415 2135619 2135826 2134996 2134979 2135241 2135048 2135745 2135261 2134625 2134066 2133931 2134511 2134257 2135494 2134331 2135512 2133480 2135032 2134056 2136530 2135039 2134173 2135621 2134918 2133211 2135036 2134284 2136449 2135057 Easting (ft) 362491 361924 361729 361307 362694 361169 361972 361369 362227 362215 361467 361010 359809 360451 360244 360462 359729 359619 358948 358960 358592 358060 358060 357762 357460 357059 357185 356558 355692 355965 356277 355318 355529 354258 355034 Elevation (ft) 1641.3 1570.4 1511.5 1580 1433 1551.3 1461.6 1490.7 1435.9 1436 1465 1470.9 1552 1502 1478 1486 1492 1497 1487 1562.5 1493 1573.9 1465.4 1560.3 1462.2 1616 1563.3 1517.2 1591.4 1557.2 1430.2 1496.6 1523.3 1532.9 1391.5
Appendix D
D-1
Bass River Mine Site Table D-I: Bass River Mine Drill Hole Location
Hole BD36 BD37 BD38 Northing (ft) 2136550 2135659 2135211 Easting (ft) 353912 354122 353561 Elevation (ft) 1574.3 1413.9 1357.6
Appendix D
D-2
Bass River Mine Site Table D-II: Bass River Mine Drill Hole Assays
Hole BD1 BD1 BD1 BD1 BD1 BD1 BD1 BD1 BD1 BD2 BD2 BD2 BD2 BD2 BD2 BD2 BD2 BD2 BD3 BD3 BD3 BD3 BD3 BD3 BD3 BD3 BD3 BD3 BD4 BD4 BD4 BD4 BD4 BD4 BD4 BD4 BD5 From (ft) 0 20 70 120 170 220 270 320 370 0 20 70 120 170 220 270 320 370 0 5 55 105 155 205 255 305 355 405 0 13 63 113 163 213 263 313 0 To (ft) 20 70 120 170 220 270 320 370 395 20 70 120 170 220 270 320 370 390 5 55 105 155 205 255 305 355 405 410 13 63 113 163 213 263 313 330 51 MgFe (%) 0 16.38 23.87 20.5 21.21 19.54 26.21 22.69 17.35 0 20.16 20.46 16.108 11.55 20.37 22.21 20.17 14.46 0 19.44 10.62 20.1 19.1 17.23 25.8 27.41 21.88 17.54 0 18.22 20.51 19.52 23.63 29.17 25.08 23.05 0
Appendix D
D-3
Bass River Mine Site Table D-II: Bass River Mine Drill Hole Assays
Hole BD5 BD5 BD5 BD5 BD5 BD5 BD5 BD5 BD5 BD5 BD5 BD6 BD6 BD6 BD6 BD6 BD6 BD6 BD6 BD6 BD7 BD7 BD7 BD7 BD7 BD7 BD7 BD7 BD7 BD7 BD7 BD8 BD8 BD8 BD8 BD8 BD8 From (ft) 51 101 151 201 251 301 351 401 451 501 551 0 20 70 120 170 220 270 320 370 0 20 70 120 170 220 270 320 370 420 470 0 16 66 116 166 216 To (ft) 101 151 201 251 301 351 401 451 501 551 580 20 70 120 170 220 270 320 370 372.5 20 70 120 170 220 270 320 370 420 470 494 16 66 116 166 216 266 MgFe (%) 15.26 19.39 23.9 20.68 19.31 25.44 18.68 18.2 23.39 22.2 19.77 0 10.42 21.21 11.23 15.57 27.46 26.31 16.79 9.58 0 26.65 15.34 10.2 20.28 16.31 14.85 26.74 29.37 21.55 17.14 0 13.21 11.28 15.9 13.2 9.76
Appendix D
D-4
Bass River Mine Site Table D-II: Bass River Mine Drill Hole Assays
Hole BD8 BD8 BD8 BD8 BD9 BD9 BD9 BD9 BD9 BD9 BD9 BD9 BD9 BD9 BD9 BD9 BD10 BD10 BD10 BD10 BD10 BD10 BD10 BD10 BD10 BD10 BD10 BD10 BD11 BD11 BD11 BD11 BD11 BD11 BD11 BD11 BD11 From (ft) 266 316 366 416 0 52 102 152 202 252 302 352 402 452 502 552 0 52 102 152 202 252 302 352 402 452 502 552 0 28 78 128 178 228 278 328 378 To (ft) 316 366 416 420 52 102 152 202 252 302 352 402 452 502 552 570 52 102 152 202 252 302 352 402 452 502 552 570 28 78 128 178 228 278 328 378 428 MgFe (%) 27.37 25.84 18.54 13.1 0 18.65 16.4 16.94 14.69 19.02 18.79 22.44 21.68 27.5 16.71 12.19 0 19.15 17.1 27.87 26.45 26.33 22.51 15.39 26.63 27.8 19.47 12.09 0 18.78 17.29 12.7 16.74 19.46 24.38 27.43 27.79
Appendix D
D-5
Bass River Mine Site Table D-II: Bass River Mine Drill Hole Assays
Hole BD11 BD12 BD12 BD12 BD12 BD12 BD12 BD12 BD12 BD12 BD12 BD12 BD13 BD13 BD13 BD13 BD13 BD13 BD13 BD13 BD14 BD14 BD14 BD14 BD14 BD14 BD14 BD14 BD14 BD14 BD15 BD15 BD15 BD15 BD15 BD15 BD15 From (ft) 428 0 20 70 120 170 220 270 320 370 420 470 0 9 59 109 159 209 259 309 0 6 56 106 156 206 256 306 356 406 0 15 65 115 165 215 265 To (ft) 475 20 70 120 170 220 270 320 370 420 470 480 9 59 109 159 209 259 309 332 6 56 106 156 206 256 306 356 406 420 15 65 115 165 215 265 315 MgFe (%) 16.13 0 21.04 15.4 17.66 22.96 18.37 17.98 26.1 25.41 18.45 9.47 0 21.03 21.57 20.57 23.06 26.35 22.97 16.98 0 14.41 16.79 19.16 14.88 17,12 24.31 25.17 18.21 10.65 0 25.13 23.49 26.21 13.18 16.57 19.69
Appendix D
D-6
Bass River Mine Site Table D-II: Bass River Mine Drill Hole Assays
Hole BD15 BD15 BD15 BD16 BD16 BD16 BD16 BD16 BD16 BD16 BD16 BD16 BD16 BD16 BD16 BD17 BD17 BD17 BD17 BD17 BD17 BD17 BD17 BD17 BD17 BD17 BD18 BD18 BD18 BD18 BD18 BD18 BD18 BD18 BD18 BD18 BD19 From (ft) 315 365 415 0 44 94 144 194 244 294 344 394 444 494 544 0 50 100 150 200 250 300 350 400 450 500 0 23 73 123 173 223 273 323 373 423 0 To (ft) 365 415 435 44 94 144 194 244 294 344 394 444 494 544 550 50 100 150 200 250 300 350 400 450 500 515 23 73 123 173 223 273 323 373 423 450 20 MgFe (%) 21.62 24.4 14.91 0 12.64 17.01 21.36 15.95 20.2 21.26 12.78 26.47 21.6 20.61 12.28 12.71 16.19 19.7 13.66 23.23 21.15 15.57 17.8 22.65 22.31 10.94 0 26.11 26.02 12.09 20.41 19.48 16.51 22.3 24.35 15.86 0
Appendix D
D-7
Bass River Mine Site Table D-II: Bass River Mine Drill Hole Assays
Hole BD19 BD19 BD19 BD19 BD19 BD19 BD19 BD19 BD20 BD20 BD20 BD20 BD20 BD20 BD20 BD20 BD21 BD21 BD21 BD21 BD21 BD21 BD21 BD21 BD21 BD21 BD22 BD22 BD22 BD22 BD22 BD22 BD22 BD22 BD22 BD23 BD23 From (ft) 20 70 120 170 220 270 320 370 0 25 75 125 175 225 275 325 0 31 81 131 181 231 281 331 381 431 0 23 73 123 173 223 273 323 373 0 53 To (ft) 70 120 170 220 270 320 370 420 25 75 125 175 225 275 325 345 31 81 131 181 231 281 331 381 431 439 23 73 123 173 223 273 323 373 391 53 103 MgFe (%) 25.72 17.07 20.61 23.05 22.57 21.07 22.11 19.37 5.09 14.63 19.18 8.57 22.69 23.28 21.29 15.84 0 21.99 13.92 23.11 18.15 16.58 21.12 25.84 14.71 9.43 0 17.84 16.08 20.9 20.57 21.16 26.63 21.13 16.5 0 16.15
Appendix D
D-8
Bass River Mine Site Table D-II: Bass River Mine Drill Hole Assays
Hole BD23 BD23 BD23 BD23 BD23 BD23 BD23 BD23 BD24 BD24 BD24 BD24 BD24 BD24 BD24 BD24 BD24 BD25 BD25 BD25 BD25 BD25 BD25 BD25 BD25 BD25 BD25 BD26 BD26 BD26 BD26 BD26 BD27 BD27 BD27 BD27 BD27 From (ft) 103 153 203 253 303 353 403 453 0 43 93 143 193 243 293 343 393 0 7 57 107 157 207 257 307 357 407 0 101 151 201 251 0 95 145 195 245 To (ft) 153 203 253 303 353 403 453 503 43 93 143 193 243 293 343 393 444 7 57 107 157 207 257 307 357 407 455 101 151 201 251 260 95 145 195 245 295 MgFe (%) 25.63 16.59 20.46 20.91 26.57 20.23 23.52 17.77 0 16.13 15.64 22.17 19.42 11.57 21.86 24.79 16.81 0 8.95 17.14 13.51 19.84 17.67 11.57 17.46 23.79 21.19 0 22.11 27.94 20.24 23.12 0 17.16 24.28 19.04 18.2
Appendix D
D-9
Bass River Mine Site Table D-II: Bass River Mine Drill Hole Assays
Hole BD27 BD27 BD27 BD28 BD28 BD28 BD28 BD28 BD28 BD28 BD28 BD28 BD28 BD28 BD29 BD29 BD29 BD29 BD29 BD29 BD29 BD30 BD30 BD30 BD30 BD30 BD30 BD30 BD30 BD31 BD31 BD31 BD31 BD31 BD31 BD31 BD31 From (ft) 295 345 395 0 31 81 131 181 231 281 331 381 431 481 0 43 93 143 193 243 293 0 89 139 189 239 289 339 389 0 64 114 164 214 264 314 364 To (ft) 345 395 429 31 81 131 181 231 281 331 381 431 481 484 43 93 143 193 243 293 314 89 139 189 239 289 339 389 410 64 114 164 214 264 314 364 414 MgFe (%) 21.69 26.05 13.81 0 14.54 11.88 13.31 21.07 15.52 14.42 15.48 22.7 14.01 15.1 0 23.42 19.12 23.28 21.76 18.33 19.18 0 17.72 20.57 16.12 15.81 12.63 15.46 19.96 13.62 21.8 16.3 22.53 23.2 16.64 16.45 17.79
Appendix D
D-10
Bass River Mine Site Table D-II: Bass River Mine Drill Hole Assays
Hole BD31 BD31 BD32 BD32 BD32 BD32 BD32 BD32 BD32 BD33 BD33 BD33 BD33 BD33 BD33 BD33 BD33 BD33 BD33 BD34 BD34 BD34 BD34 BD35 BD35 BD35 BD35 BD35 BD36 BD36 BD36 BD36 BD36 BD37 BD37 BD37 BD37 From (ft) 414 464 0 20 70 120 170 220 270 0 30 80 130 180 230 280 330 380 430 0 8 58 108 0 6 56 106 156 0 20 70 120 170 0 40 90 140 To (ft) 464 508 20 70 120 170 220 270 309 30 80 130 180 230 280 330 380 430 441 8 58 108 157 6 56 106 156 179 20 70 120 170 180 40 90 140 142 MgFe (%) 18 13.8 8.43 25.15 10.42 26.93 20.61 24.16 18.3 12.72 14.26 13.87 18.33 16.01 19.21 17.12 21.08 16.94 14.19 0 22.73 24.74 11.59 3.77 11.96 21.54 17.82 16.46 0 21.26 28.06 19.93 16.25 8.96 26.62 15.85 13.89
Appendix D
D-11
Bass River Mine Site Table D-II: Bass River Mine Drill Hole Assays
Hole BD38 BD38 BD38 BD38 From (ft) 0 23 73 123 To (ft) 23 73 123 135 MgFe (%) 2.43 25 10.73 13.6
Appendix D
D-12
Bass River Mine Site Table D-III: Bass River Mine Drilling Costs per Hole
Hole BD1 BD2 BD3 BD4 BD5 BD6 BD7 BD8 BD9 BD10 BD11 BD12 BD13 BD14 BD15 BD16 BD17 BD18 BD19 BD20 BD21 BD22 BD23 BD24 BD25 BD26 BD27 BD28 BD29 BD30 BD31 BD32 BD33 BD34 BD35 BD36 BD37 Length (ft) 395 390 410 330 580 372.5 494 420 570 570 475 480 332 420 435 550 515 450 420 345 439 391 503 444 455 260 429 484 314 410 508 309 441 157 179 180 142 Cost ($) 9875 9750 10250 8250 14500 9312.5 12350 10500 14250 14250 11875 12000 8300 10500 10875 13750 12875 11250 10500 8625 10975 9775 12575 11100 11375 6500 10725 12100 7850 10250 12700 7725 11025 3925 4475 4500 3550
Appendix D
D-13
Bass River Mine Site Table D-III: Bass River Mine Drilling Costs per Hole
Hole BD38 Length (ft) 135 Cost ($) 3375
Appendix D
D-14
Appendix E
Table E-I: Preliminary Triangular Reserve Estimation
Included Triangle Boreholes 1 5 9 7 2 7 10 11 3 7 8 11 4 3 7 8 5 3 6 8 6 3 4 6 7 2 3 4 8 6 8 13 9 8 13 14 10 8 11 14 11 11 12 Average Hole MgFe (%) 18.79 17.30 19.18 19.18 20.44 18.92 19.18 15.83 18.92 19.92 19.18 15.83 19.92 17.38 15.83 19.92 21.81 17.38 17.54 19.92 21.81 17.38 15.83 21.59 15.83 21.59 18.22 15.83 18.92 18.22 18.92 19.30 18.81 102614 17.66 296200 18.55 403521 18.27 467520 19.76 220267 19.70 122553 17.71 149220 18.31 167508 17.98 166235 19.51 207527 Average Triangle MgFe (%) 18.42 Area ft^2 168931 Hole Total Depth (ft) 580 570 494 494 570 475 494 420 475 410 494 420 410 372.5 420 410 330 372.5 390 410 330 372.5 420 332 420 332 420 420 475 420 475 480 458.33 47031416.67 1833642 438.33 129834333.3 4750945 390.67 157642204 6059417 374.83 175242080 6634260 376.67 82967236.67 3397263 370.83 45446737.5 1855836 400.83 59812350 2195282 441.33 73926864 2805432 463 76966573.5 2867635 513 106461351 4305759 Average Depth of Triangle (ft) 548 Triangle Volume (ft^3) 92573914 MgFe Tonnage (t) 3534486
Appendix E
E-1
Bass River Mine Site Table E-I: Preliminary Triangular Reserve Estimation
Triangle Included Boreholes 14 12 10 11 12 13 10 12 16 12 15 16 12 14 15 14 15 20 13 14 20 15 18 20 15 17 18 15 16 17 17 18 21 17 21 23 18 Average Hole MgFe (%) 18.22 20.44 18.92 19.30 20.44 19.30 17.40 19.30 20.26 17.40 19.30 20.44 20.26 18.22 20.26 17.18 21.59 18.22 17.18 20.26 19.54 17.18 20.26 18.28 19.54 20.26 17.40 18.28 18.28 19.54 17.87 18.28 17.87 18.67 19.54 19.05 610561 19.55 132049 Average Triangle MgFe (%) Area ft^2 Hole Total Depth (ft) 420 570 475 480 570 480 550 480 435 550 480 420 435 420 435 345 332 420 345 435 450 345 435 515 450 435 550 515 515 450 439 515 439 503 450 533.33 325632533.3 12853484 508.33 67124908.33 2720222 Average Depth of Triangle (ft) Triangle Volume (ft^3) MgFe Tonnage (t)
14
18.98
260204
488.33
127066286.7
4999444
15
20.00
199808
445.00
88914337.5
3685537
16
18.55
498254
400.00
199301400
7662686
17
19.00
286029
365.67
104591271
4117498
18
18.99
344751
410.00
141347705
5563302
19
19.36
187520
466.67
87509333.33
3510774
20
18.64
219589
500.00
109794250
4242397
21
18.56
307730
468.00
144017640
5540470
22
18.27
590194
485.67
286637309.8
10855639
23
18.05
434664
444.33
193135481.8
7226139
Appendix E
E-2
Bass River Mine Site Table E-I: Preliminary Triangular Reserve Estimation
Included Triangle Boreholes 21 24 18 22 24 18 20 22 13 20 22 13 22 26 22 26 29 22 27 29 22 24 27 21 24 25 21 23 25 23 25 31 25 28 31 25 Average Hole MgFe (%) 17.87 16.75 19.54 19.21 16.75 19.54 17.18 19.21 21.59 17.18 19.21 21.59 19.21 14.32 19.21 14.32 18.15 19.21 15.83 18.15 19.21 16.75 15.83 17.87 16.75 16.51 17.87 18.67 16.51 18.67 16.51 17.94 16.51 14.86 17.94 16.51 Average Triangle MgFe (%) Area ft^2 Hole Total Depth (ft) 439 444 450 391 444 450 345 391 332 345 391 332 391 260 391 260 314 391 429 314 391 444 429 439 444 455 439 503 455 503 455 508 455 484 508 455 Average Depth of Triangle (ft) Triangle Volume (ft^3) MgFe Tonnage (t)
24
18.50
523309
428.33
224150688.3
8594087
25
18.64
436419
395.33
172530978
6666027
26
19.33
120591
356.00
42930396
1719586
27
18.37
1006858
327.67
329913640.8
12563070
28
17.23
1150758
321.67
370160329.2
13215194
29
17.73
607720
378.00
229717971
8441038
30
17.26
139523
421.33
58785690.67
2103281
31
17.05
510891
446.00
227857386
8049289
32
17.69
408516
465.67
190232284
6972801
33
17.71
594204
488.67
290367688
10656870
34
16.44
450301
482.33
217194941.2
7399379
35
14.79
301305
449.67
135486590.2
4154274
Appendix E
E-3
Bass River Mine Site Table E-I: Preliminary Triangular Reserve Estimation
Included Boreholes 28 30 25 27 30 27 29 30 26 27 36 29 36 37 29 35 37 29 30 32 35 37 38 33 35 38 30 33 35 28 30 33 28 31 33 Average Hole MgFe (%) 14.86 13.01 16.51 15.83 13.01 14.32 18.15 13.01 14.32 15.83 20.14 18.15 20.14 17.67 18.15 16.58 17.67 18.15 13.01 20.21 16.58 17.67 14.86 16.73 16.58 14.86 13.01 16.73 16.58 14.86 13.01 16.73 14.86 17.94 16.73 Average Triangle MgFe (%) Area ft^2 Hole Total Depth (ft) 484 410 455 429 410 260 314 410 260 429 180 314 180 142 314 179 142 314 410 309 179 142 135 441 179 135 410 441 179 135 410 441 484 508 441 Average Depth of Triangle (ft) Triangle Volume (ft^3) MgFe Tonnage (t)
Triangle
36
15.12
616268
431.33
265816715
8328507
37
15.16
445347
328.00
146073652
4589136
38
16.76
2344829
289.67
679218655.5
23595200
39
18.65
695445
212.00
147434340
5699677
40
17.47
455242
211.67
96359556.67
3488033
41
17.12
211314
344.33
72762281.83
2582281
42
16.37
373149
152.00
56718648
1924149
43
16.05
531200
251.67
133685207.5
4448192
44
15.44
325429
343.33
111730623.3
3575284
45
14.87
350391
328.67
115161842
3548216
46
16.51
510545
477.67
243870089.5
8344919
Appendix E
E-4
Bass River Mine Site Table E-I: Preliminary Triangular Reserve Estimation
Included Triangle Boreholes 47 24 25 27 Average Hole MgFe (%) 16.75 16.51 15.83 Average Triangle MgFe (%) 16.36 Area ft^2 282633 Hole Total Depth (ft) 444 455 429 Average Depth of Triangle (ft) 442.67 Triangle Volume (ft^3) 125112208 MgFe Tonnage (t) 4242988
Sum
7606249920
278119027
Appendix E
E-5
Appendix F
Production Summary - Full Simulation
Haulage System: Haulage System-1 Material: [PRJ] ORE Loader Availability Bucket Fill Factor Average Bucket Load Volume Average Payload Operating Hours per Year Average Operating Shifts per Year Average Bucket Cycle Time Production per Operating Hour Production per Loader Operating Shift Production per Year Wait Time per Operating Hour Truck Availability Payload in Template Operating Hours per Year Average Payload Production per Operating Hour Production per Loader Operating Shift Production per Year Queue Time at Loader Spot Time at loader Average Loading Time Travel Time Spot Time at Dump Average Dump Time Average Cycle Time Fleet Size Average No. of Bucket Passes Haulage System Production per Year Discounted Capital Cost Discounted Operating Cost Discounted Average Cost Excavation Target Time to move Excavation Target Loader Hrs to move Target Total Truck Hrs to move Target Total cost to move Target bcy/Year $/bcy $/bcy $/bcy bcy Years Op. Hours. Op. Hours. $ 5,626,741 0.00 0.00 0.00 122,000,000.00 21.68 124,297 621,487 0 Loading Methodology Single Sided Full Truck Average for 150 Shifts % cu.yards bcy OpHr/Year shifts/Year min bcy bcy bcy min % bcy OpHr/Year bcy bcy bcy bcy min/ Cycle min/ Cycle min/ Cycle min/ Cycle min/ Cycle min/ Cycle min/ Cycle Haul Cycle: [PRJ] Haul Cycle Roster: [PRJ] Roster-1 [PRJ] CATERPILLAR 6018fs-1 85.00 0.91 11.73 9.77 5,732.70 Op. hrs factored by availability 582.00 Shifts factored by availability 0.50 981.52 9,668 Max. prod. based on 100% avail. 5,626,741 Avg. production factored by avail. 1.39 [PRJ] CATERPILLAR 785D (Dual Slope - LAA) 100.00 81.62 5,732.70 81.08 196.30 1,934 1,125,348 2.94 0.40 3.65 14.89 0.30 0.20 22.38 5 8.30
Productivity estimates allow for insufficient time at the end of the shift to complete another cycle. Time for the first bucket pass coincides with the truck queuing and maneuvering times. This simulation is based on data provided by the equipment manufacturer. Equipment data should be checked to ensure it is valid for this site.
Productivity estimates allow for insufficient time at the end of the shift to complete another cycle. Time for the first bucket pass coincides with the truck queuing and maneuvering times. This simulation is based on data provided by the equipment manufacturer. Equipment data should be checked to ensure it is valid for this site.
Appendix F
F-2
Bass River Mine Site Table F-I: Estimated Capital and O&M Costs
Hourly O&M Cost per Unit $ 148 $ 113 $ 84 $ 82 $ 89 $ 31 $ 49 $ 37 $ 13 $ 14 Total O&M Cost per Hour $ 148 $ 226 $ 418 $ 408 $ 89 $ 31 $ 49 $ 74 $ 39 $ 14 $ 1,494 Unit Capital Cost per Ton $ 1.88 $ 1.51 $ 0.51 $ 0.47 $ 0.21 $ 0.07 $ 0.10 $ 0.06 $ 0.01 $ 0.01 $ 4.84 Unit O&M Cost per Ton $ 0.18 $ 0.28 $ 0.52 $ 0.51 $ 0.11 $ 0.04 $ 0.06 $ 0.09 $ 0.05 $ 0.02 $ 1.87
Equipment
Number of Units
Total Capital Cost $ 7,350,000 $ 11,750,000 $ 10,000,000 $ 9,250,000 $ 812,000 $ 277,000 $ 400,000 $ 506,000 $ 75,000 $ 31,000 $ 40,451,000
Unit O&M Cost per Year $ 720,434 $ 1,100,733 $ 2,037,644 $ 1,988,844 $ 436,662 $ 153,037 $ 237,217 $ 362,584 $ 188,270 $ 67,637
Total O&M Cost per Year $ 720,434 $ 2,201,466 $ 10,188,220 $ 9,944,220 $ 436,662 $ 153,037 $ 237,217 $ 725,168 $ 564,811 $ 67,637 $ 25,238,872
CAT 6030B-FS CAT 6018FS CAT 789C CAT 785D CASE CX470C CASE 1150K CASE 865AWD Mack Granite Truck Ford F150 Ford F250 Total
1 2 5 5 1 1 1 2 3 1
$ 7,350,000 $ 5,875,000 $ 2,000,000 $ 1,850,000 $ $ $ $ $ $ 812,000 277,000 400,000 253,000 25,000 31,000
Equipment
Appendix F
F-3
Appendix F
F-4
Appendix H
Table H-I: Complete Cost Estimation Summary for Surface Facilities
Square Footage Replacement Costs Maintenance Cost Unit Capital Cost ($/ton) $ 0.04 Unit O&M Cost ($/ton) $ -
Building Description Receives high-voltage power and transforms to a more manageable voltage. Supplies power distribution building. Receives power from kVa substation and distributes it to buildings and areas around the site. Large storage building for incoming parts, equipment, material and other deliveries. Has receiving docks on side. Shower and personal item storage facility for employee use. Houses the administrative personnel as well as all computer and data equipment. Also used for meetings and conferences. Service area for light duty vehicles such as work trucks. Service area for large, heavy duty vehicles such as rock trucks.
Building Type
Dimensions
Capital Cost
Operating Cost
50' x 50'
2500
$ 150,000.00
$ -
Mobile Steel Enclosure PreEngineered Steel PreEngineered Steel PreEngineered Steel Enclosed Pole Barn PreEngineered Steel
30' x 40'
1200
200' x 200'
40000
100' x 50'
5000
100' x 50'
5000
1750 9000
$ $
Appendix H
H-1
Bass River Mine Site Table H-I: Complete Cost Estimation Summary for Surface Facilities
Unit Capital Cost ($/ton) $ 0.04 $ 0.04 $ 0.02 Unit O&M Cost ($/ton) $ 0.006 $ 0.002 $ 0.002
Building Description Facility for parts fabrication and maintenance of vehicle equipment that cannot be completed in garage. Storage area for miscellaneous items, equipment and material Located at entry point of mine road. Vehicle and delivery check-in takes place at this location. Surveillance equipment is centered here. Secure reinforced building created to safely store explosives or blasting caps. Placed by drilling and blasting company Open area for placement of extra/spent equipment or anything not weather dependent Diesel storage tank Chain-link barrier protection All roads laid by REL Co. Parking area for employees and visitors. Can hold approx. 70 vehicles
Dimensions
Square Footage
Capital Cost
Replacement Costs
Operating Cost
75' x 75'
5625
75' x 75'
5625
55' x 40'
2200
20' x 20'
400
$ $ -
$ $ -
90000
$ 17,500.00 $ -
2588 143400
Fuel Dependent $ -
100' x 150'
15000
$ 53,595.75 $ 6,000.00
$ -
$ $ 0.002 $ 0.000
Appendix H
H-2
Bass River Mine Site Table H-I: Complete Cost Estimation Summary for Surface Facilities
Unit Capital Cost ($/ton) $ 0.00 $ 0.49 Unit O&M Cost ($/ton) $ $ 0.05
Building Description Provide electricity from power distribution building to necessary areas
Building Type
Dimensions
Square Footage
Capital Cost
Replacement Costs
Operating Cost
Buried Lines
1043'
1043
$ $ 136,527.75
Appendix H
H-3
Appendix H
H-4
Appendix I
Appendix I
I-1
Appendix I
I-2
Appendix J
Appendix J
J-1
Appendix K
Appendix K
K-1
Bass River Mine Site Table K-I: Conveyor Design Parameters (Belts 1 and 2)
ORIGINAL ASSUMPTIONS Belt Width, BW (in) Belt Speed, V (fpm) Belt Loading (%) Belt Tension Ratio Belt Rating, PIW (lb/ft) Effective Tension (lbs) Return Idler Spacing (ft) Troughing Idler Spacing (ft) Recommended Belt Thickness (in) Total Horsepower (HP) Counterweight (lbs) Annual Operating Cost ($/yr) Belt1-Sec1 24.00 700.00 71.55 4.33 58.30 1076.44 8.00 4.00 0.32 28.28 0.00 $ 6,158.07 Belt1-Sec2 24.00 700.00 75.80 4.33 63.86 1179.02 8.00 4.00 0.32 30.97 0.00 $ 6,744.93 Belt2-Sec1 60.00 700.00 87.30 4.33 42.29 1952.09 8.00 4.00 0.32 51.28 0.00 $ 11,167.52 Belt2-Sec2 66.00 700.00 84.00 4.33 237.84 12075.56 8.00 4.00 0.32 317.21 0.00 $ 69,081.80
Horizontal Length, l (ft) Rise (ft) Total Length, L (ft) Theoretical belt Width, w (in) Friction Coefficient, Carry Idler Weight, wc (lbs) Return Idler Weight, wr (lbs) Return Idler Spacing (ft) Troughing Idler Spacing (ft) Mass Carrying Idlers, mc (lb/ft) Mass Return Idlers, mr (lb/ft) Mass of Carcass, mcar (lb/ft) Mass of Cover per 1/32 in, mcv (lb/ft) Thickness of Cover (in) Mass of Belt, mb (lb/ft) Incline Angle, () Belt Frictional Resistance, FFB (lbs) Load Frictional Resistance, FLB (lbs) Main Resistance, Fm (lbs) Load Slope Resistance, FLS (lbs)
Belt1-Sec1 500.00 0.00 500.00 16.50 0.03 132.00 54.00 8.00 4.00 6.75 33.00 2.08 0.19 0.20 6.55 0.00 660.73 236.30 897.03 0.00
Belt1-Sec2 144.20 41.33 150.00 17.60 0.03 132.00 54.00 8.00 4.00 6.75 33.00 2.08 0.19 0.20 6.55 16.00 196.32 68.23 264.55 782.20
Belt2-Sec1 200.00 0.00 200.00 52.00 0.03 132.00 54.00 8.00 4.00 6.75 33.00 2.08 0.19 0.20 16.39 0.00 362.60 938.80 1301.40 0.00
Belt2-Sec2 192.26 55.10 200.00 55.00 0.03 132.00 54.00 8.00 4.00 6.75 33.00 2.08 0.19 0.20 18.02 16.00 372.01 888.45 1260.46 10184.88
Appendix K
K-2
Bass River Mine Site Table K-I: Conveyor Design Parameters (Belts 1 and 2)
Belt1-Sec1 Secondary Resistance Coefficient, ks Secondary Resistance, FS (lbs) Total Resistance, FT (lbs) Ore Density, (lb/ft^3) Ore Density, (t/m^3) Capacity, C (tons/hr) Tension 1, T1 (lbs) Tension 2, T2 (lbs) Belt Rating, PIW (lb/ft) Lagged Pulley Coefficient, LP Arc of Contact (radian) Drive Factor, Kd Tension Ratio Effective Tension (lbs) Belt Weight Tension, TBW (lbs) Drive Efficiency, D Motor Efficiency, M Shaft/Brake Power, PB (HP) Drive Power, PD (HP) Motor Power, PM (HP) Electricity Cost, E ($/kW-hr) Hours per Shift Shifts per day Days of Operation Yearly Belt Costs ($) Slope Factor, k Shape Factor, U 0.20 179.41 1076.44 165.00 2.65 396.99 1399.30 322.86 58.30 0.35 4.19 0.30 4.33 1076.44 3277.00 0.85 0.95 22.83 26.86 28.28 $ 0.07 8.00 2.00 261.00 $ 6,158.07 1.00 0.06 Belt1-Sec2 0.50 132.27 1179.02 165.00 2.65 397.49 1532.65 353.63 63.86 0.35 4.19 0.30 4.33 1179.02 983.10 0.85 0.95 25.01 29.42 30.97 $ 0.07 8.00 2.00 261.00 $ 6,744.93 0.88 0.06 Belt2-Sec1 0.50 650.70 1952.09 165.00 2.65 3942.94 2537.60 585.50 42.29 0.35 4.19 0.30 4.33 1952.09 3277.00 0.85 0.95 41.41 48.72 51.28 $ 0.07 8.00 2.00 261.00 $ 11,167.52 1.00 0.06 Belt2-Sec2 0.50 630.23 12075.56 165.00 2.65 3881.70 15697.46 3621.90 237.84 0.35 4.19 0.30 4.33 12075.56 3604.70 0.85 0.95 256.15 301.35 317.21 $ 0.07 8.00 2.00 261.00 $ 69,081.80 0.88 0.06
Appendix K
K-3
Bass River Mine Site Table K-II: Conveyor Design Parameters (Belts 3 and 4)
ORIGINAL ASSUMPTIONS Belt Width, BW (in) Belt Speed, V (fpm) Belt Loading (%) Belt Tension Ratio Belt Rating, PIW (lb/ft) Effective Tension (lbs) Return Idler Spacing (ft) Troughing Idler Spacing (ft) Recommended Belt Thickness (in) Total Horsepower (HP) Counterweight (lbs) Annual Operating Cost ($/yr) Belt3-Sec1 72.00 700.00 86.65 4.33 46.85 2594.94 8.00 4.00 0.32 68.17 0.00 $ 14,845.11 Belt3-Sec2 72.00 700.00 90.72 4.33 300.94 16668.13 8.00 4.00 0.32 437.85 0.00 $ 95,354.96 Belt4-Sec1 72.00 700.00 86.65 4.33 46.85 2594.94 8.00 4.00 0.32 68.17 0.00 $ 14,845.11 Belt4-Sec2 72.00 700.00 92.07 4.33 309.94 17166.91 8.00 4.00 0.32 450.96 0.00 $ 98,208.35
Horizontal Length, l (ft) Rise (ft) Total Length, L (ft) Theoretical belt Width, w (in) Friction Coefficient, Carry Idler Weight, wc (lbs) Return Idler Weight, wr (lbs) Return Idler Spacing (ft) Troughing Idler Spacing (ft) Mass Carrying Idlers, mc (lb/ft) Mass Return Idlers, mr (lb/ft) Mass of Carcass, mcar (lb/ft) Mass of Cover per 1/32 in, mcv (lb/ft) Thickness of Cover (in) Mass of Belt, mb (lb/ft) Incline Angle, () Belt Frictional Resistance, FFB (lbs) Load Frictional Resistance, FLB (lbs) Main Resistance, Fm (lbs) Load Slope Resistance, FLS (lbs)
Belt3-Sec1 200.00 0.00 200.00 62.00 0.03 132.00 54.00 8.00 4.00 6.75 33.00 2.08 0.19 0.20 19.66 0.00 395.37 1334.59 1729.96 0.00
Belt3-Sec2 192.26 55.10 200.00 65.00 0.03 132.00 54.00 8.00 4.00 6.75 33.00 2.08 0.19 0.20 19.66 16.00 387.76 1240.89 1628.65 14225.16
Belt4-Sec1 200.00 0.00 200.00 62.00 0.03 132.00 54.00 8.00 4.00 6.75 33.00 2.08 0.19 0.20 19.66 0.00 395.37 1334.59 1729.96 0.00
Belt4-Sec2 192.26 55.10 200.00 66.00 0.03 132.00 54.00 8.00 4.00 6.75 33.00 2.08 0.19 0.20 19.66 16.00 387.76 1279.36 1667.12 14666.22
Appendix K
K-4
Bass River Mine Site Table K-II: Conveyor Design Parameters (Belts 3 and 4)
Belt3-Sec1 Secondary Resistance Coefficient, ks Secondary Resistance, FS (lbs) Total Resistance, FT (lbs) Ore Density, (lb/ft^3) Ore Density, (t/m^3) Capacity, C (tons/hr) Tension 1, T1 (lbs) Tension 2, T2 (lbs) Belt Rating, PIW (lb/ft) Lagged Pulley Coefficient, LP Arc of Contact (radian) Drive Factor, Kd Tension Ratio Effective Tension (lbs) Belt Weight Tension, TBW (lbs) Drive Efficiency, D Motor Efficiency, M Shaft/Brake Power, PB (HP) Drive Power, PD (HP) Motor Power, PM (HP) Electricity Cost, E ($/kW-hr) Hours per Shift Shifts per day Days of Operation Yearly Belt Costs ($) Slope Factor, k Shape Factor, U 0.50 864.98 2594.94 165.00 2.65 5605.27 3373.25 778.32 46.85 0.35 4.19 0.30 4.33 2594.94 3932.40 0.85 0.95 55.04 64.76 68.17 $ 0.07 8.00 2.00 261.00 $ 14,845.11 1.00 0.06 Belt3-Sec2 0.50 814.32 16668.13 165.00 2.65 5421.54 21667.51 4999.38 300.94 0.35 4.19 0.30 4.33 16668.13 3932.40 0.85 0.95 353.57 415.96 437.85 $ 0.07 8.00 2.00 261.00 $ 95,354.96 0.88 0.06 Belt4-Sec1 0.50 864.98 2594.94 165.00 2.65 5605.27 3373.25 778.32 46.85 0.35 4.19 0.30 4.33 2594.94 3932.40 0.85 0.95 55.04 64.76 68.17 $ 0.07 8.00 2.00 261.00 $ 14,845.11 1.00 0.06 Belt4-Sec2 0.50 833.56 17166.91 165.00 2.65 5589.64 22315.89 5148.98 309.94 0.35 4.19 0.30 4.33 17166.91 3932.40 0.85 0.95 364.15 428.41 450.96 $ 0.07 8.00 2.00 261.00 $ 98,208.35 0.88 0.06
Appendix K
K-5
Bass River Mine Site Table K-III: Conveyor Design Parameters (Belts 5 and 6)
ORIGINAL ASSUMPTIONS Belt Width, BW (in) Belt Speed, V (fpm) Belt Loading (%) Belt Tension Ratio Belt Rating, PIW (lb/ft) Effective Tension (lbs) Return Idler Spacing (ft) Troughing Idler Spacing (ft) Recommended Belt Thickness (in) Total Horsepower (HP) Counterweight (lbs) Annual Operating Cost ($/yr) Belt5-Sec1 66.00 700.00 85.47 4.33 43.36 2201.65 8.00 4.00 0.32 57.83 0.00 $ 12,595.17 Belt5-Sec2 72.00 700.00 83.95 4.33 257.97 14288.47 8.00 4.00 0.32 375.34 0.00 $ 81,741.42 Belt6-Sec1 36.00 700.00 77.40 4.33 56.45 1563.23 8.00 4.00 0.32 41.06 0.00 $ 8,942.92 Belt6-Sec2 36.00 700.00 81.89 4.33 131.51 3641.95 8.00 4.00 0.32 95.67 0.00 $ 20,834.86
Horizontal Length, l (ft) Rise (ft) Total Length, L (ft) Theoretical belt Width, w (in) Friction Coefficient, Carry Idler Weight, wc (lbs) Return Idler Weight, wr (lbs) Return Idler Spacing (ft) Troughing Idler Spacing (ft) Mass Carrying Idlers, mc (lb/ft) Mass Return Idlers, mr (lb/ft) Mass of Carcass, mcar (lb/ft) Mass of Cover per 1/32 in, mcv (lb/ft) Thickness of Cover (in) Mass of Belt, mb (lb/ft) Incline Angle, () Belt Frictional Resistance, FFB (lbs) Load Frictional Resistance, FLB (lbs) Main Resistance, Fm (lbs) Load Slope Resistance, FLS (lbs)
Belt5-Sec1 200.00 0.00 200.00 56.00 0.03 132.00 54.00 8.00 4.00 6.75 33.00 2.08 0.19 0.20 18.02 0.00 378.99 1088.78 1467.77 0.00
Belt5-Sec2 192.26 55.10 200.00 60.00 0.03 132.00 54.00 8.00 4.00 6.75 33.00 2.08 0.19 0.20 19.66 16.00 387.76 1057.33 1445.09 12120.84
Belt6-Sec1 450.00 0.00 450.00 27.30 0.03 132.00 54.00 8.00 4.00 6.75 33.00 2.08 0.19 0.20 9.83 0.00 668.39 582.20 1250.58 0.00
Belt6-Sec2 192.26 55.10 200.00 29.00 0.03 132.00 54.00 8.00 4.00 6.75 33.00 2.08 0.19 0.20 9.83 16.00 293.26 247.00 540.26 2831.56
Appendix K
K-6
Bass River Mine Site Table K-III: Conveyor Design Parameters (Belts 5 and 6)
Belt5-Sec1 Secondary Resistance Coefficient, ks Secondary Resistance, FS (lbs) Total Resistance, FT (lbs) Ore Density, (lb/ft^3) Ore Density, (t/m^3) Capacity, C (tons/hr) Tension 1, T1 (lbs) Tension 2, T2 (lbs) Belt Rating, PIW (lb/ft) Lagged Pulley Coefficient, LP Arc of Contact (radian) Drive Factor, Kd Tension Ratio Effective Tension (lbs) Belt Weight Tension, TBW (lbs) Drive Efficiency, D Motor Efficiency, M Shaft/Brake Power, PB (HP) Drive Power, PD (HP) Motor Power, PM (HP) Electricity Cost, E ($/kW-hr) Hours per Shift Shifts per day Days of Operation Yearly Belt Costs ($) Slope Factor, k Shape Factor, U 0.50 733.88 2201.65 165.00 2.65 4572.88 2862.00 660.35 43.36 0.35 4.19 0.30 4.33 2201.65 3604.70 0.85 0.95 46.70 54.94 57.83 $ 0.07 8.00 2.00 261.00 $ 12,595.17 1.00 0.06 Belt5-Sec2 0.50 722.54 14288.47 165.00 2.65 4619.54 18574.11 4285.63 257.97 0.35 4.19 0.30 4.33 14288.47 3932.40 0.85 0.95 303.09 356.58 375.34 $ 0.07 8.00 2.00 261.00 $ 81,741.42 0.88 0.06 Belt6-Sec1 0.25 312.65 1563.23 165.00 2.65 1086.77 2032.10 468.87 56.45 0.35 4.19 0.30 4.33 1563.23 4423.95 0.85 0.95 33.16 39.01 41.06 $ 0.07 8.00 2.00 261.00 $ 8,942.92 1.00 0.06 Belt6-Sec2 0.50 270.13 3641.95 165.00 2.65 1079.18 4734.31 1092.35 131.51 0.35 4.19 0.30 4.33 3641.95 1966.20 0.85 0.95 77.25 90.89 95.67 $ 0.07 8.00 2.00 261.00 $ 20,834.86 0.88 0.06
Appendix K
K-7
Bass River Mine Site Table K-IV: Conveyor Design Parameters (Belts 7 and 8)
ORIGINAL ASSUMPTIONS Belt Width, BW (in) Belt Speed, V (fpm) Belt Loading (%) Belt Tension Ratio Belt Rating, PIW (lb/ft) Effective Tension (lbs) Return Idler Spacing (ft) Troughing Idler Spacing (ft) Recommended Belt Thickness (in) Total Horsepower (HP) Counterweight (lbs) Annual Operating Cost ($/yr) Belt7-Sec1 66.00 700.00 85.47 4.33 75.16 3816.19 8.00 4.00 0.32 100.25 0.00 $ 21,831.63 Belt7-Sec2 72.00 700.00 83.95 4.33 322.47 17860.59 8.00 4.00 0.32 469.18 0.00 $ 102,176.77 Belt8-Sec1 60.00 700.00 87.30 4.33 67.67 3123.35 8.00 4.00 0.32 82.05 0.00 $ 17,868.03 Belt8-Sec2 66.00 700.00 84.00 4.33 298.85 15173.23 8.00 4.00 0.32 398.58 0.00 $ 86,802.93
Horizontal Length, l (ft) Rise (ft) Total Length, L (ft) Theoretical belt Width, w (in) Friction Coefficient, Carry Idler Weight, wc (lbs) Return Idler Weight, wr (lbs) Return Idler Spacing (ft) Troughing Idler Spacing (ft) Mass Carrying Idlers, mc (lb/ft) Mass Return Idlers, mr (lb/ft) Mass of Carcass, mcar (lb/ft) Mass of Cover per 1/32 in, mcv (lb/ft) Thickness of Cover (in) Mass of Belt, mb (lb/ft) Incline Angle, () Belt Frictional Resistance, FFB (lbs) Load Frictional Resistance, FLB (lbs) Main Resistance, Fm (lbs) Load Slope Resistance, FLS (lbs)
Belt7-Sec1 400.00 0.00 400.00 56.00 0.03 132.00 54.00 8.00 4.00 6.75 33.00 2.08 0.19 0.20 18.02 0.00 757.97 2177.56 2935.53 0.00
Belt7-Sec2 240.33 68.88 250.00 60.00 0.03 132.00 54.00 8.00 4.00 6.75 33.00 2.08 0.19 0.20 19.66 16.00 484.70 1321.66 1806.36 15151.05
Belt8-Sec1 300.00 0.00 300.00 52.00 0.03 132.00 54.00 8.00 4.00 6.75 33.00 2.08 0.19 0.20 16.39 0.00 543.90 1408.19 1952.09 0.00
Belt8-Sec2 240.33 68.88 250.00 55.00 0.03 132.00 54.00 8.00 4.00 6.75 33.00 2.08 0.19 0.20 18.02 16.00 465.01 1110.56 1575.57 12731.09
Appendix K
K-8
Bass River Mine Site Table K-IV: Conveyor Design Parameters (Belts 7 and 8)
Belt7-Sec1 Secondary Resistance Coefficient, ks Secondary Resistance, FS (lbs) Total Resistance, FT (lbs) Ore Density, (lb/ft^3) Ore Density, (t/m^3) Capacity, C (tons/hr) Tension 1, T1 (lbs) Tension 2, T2 (lbs) Belt Rating, PIW (lb/ft) Lagged Pulley Coefficient, LP Arc of Contact (radian) Drive Factor, Kd Tension Ratio Effective Tension (lbs) Belt Weight Tension, TBW (lbs) Drive Efficiency, D Motor Efficiency, M Shaft/Brake Power, PB (HP) Drive Power, PD (HP) Motor Power, PM (HP) Electricity Cost, E ($/kW-hr) Hours per Shift Shifts per day Days of Operation Yearly Belt Costs ($) Slope Factor, k Shape Factor, U 0.30 880.66 3816.19 165.00 2.65 4572.88 4960.80 1144.61 75.16 0.35 4.19 0.30 4.33 3816.19 7209.40 0.85 0.95 80.95 95.23 100.25 $ 0.07 8.00 2.00 261.00 $ 21,831.63 1.00 0.06 Belt7-Sec2 0.50 903.18 17860.59 165.00 2.65 4619.54 23217.63 5357.04 322.47 0.35 4.19 0.30 4.33 17860.59 4915.50 0.85 0.95 378.86 445.72 469.18 $ 0.07 8.00 2.00 261.00 $ 102,176.77 0.88 0.06 Belt8-Sec1 0.60 1171.26 3123.35 165.00 2.65 3942.94 4060.15 936.81 67.67 0.35 4.19 0.30 4.33 3123.35 4915.50 0.85 0.95 66.25 77.94 82.05 $ 0.07 8.00 2.00 261.00 $ 17,868.03 1.00 0.06 Belt8-Sec2 0.55 866.56 15173.23 165.00 2.65 3881.70 19724.23 4551.00 298.85 0.35 4.19 0.30 4.33 15173.23 4505.88 0.85 0.95 321.86 378.65 398.58 $ 0.07 8.00 2.00 261.00 $ 86,802.93 0.88 0.06
Appendix K
K-9
Bass River Mine Site Table K-V: Conveyor Design Parameters (Belts 9 and 10)
ORIGINAL ASSUMPTIONS Belt Width, BW (in) Belt Speed, V (fpm) Belt Loading (%) Belt Tension Ratio Belt Rating, PIW (lb/ft) Effective Tension (lbs) Return Idler Spacing (ft) Troughing Idler Spacing (ft) Recommended Belt Thickness (in) Total Horsepower (HP) Counterweight (lbs) Annual Operating Cost ($/yr) Belt9-Sec1 42.00 700.00 81.17 4.33 28.86 932.47 8.00 4.00 0.32 24.49 1.00 $ 5,334.46 Belt9-Sec2 42.00 700.00 86.65 4.33 171.70 5547.50 8.00 4.00 0.32 145.73 2.00 $ 31,736.10 Belt10-Sec1 66.00 700.00 82.53 4.33 34.84 1768.92 8.00 4.00 0.32 46.47 3.00 $ 10,119.61
Horizontal Length, l (ft) Rise (ft) Total Length, L (ft) Theoretical belt Width, w (in) Friction Coefficient, Carry Idler Weight, wc (lbs) Return Idler Weight, wr (lbs) Return Idler Spacing (ft) Troughing Idler Spacing (ft) Mass Carrying Idlers, mc (lb/ft) Mass Return Idlers, mr (lb/ft) Mass of Carcass, mcar (lb/ft) Mass of Cover per 1/32 in, mcv (lb/ft) Thickness of Cover (in) Mass of Belt, mb (lb/ft) Incline Angle, () Belt Frictional Resistance, FFB (lbs) Load Frictional Resistance, FLB (lbs) Main Resistance, Fm (lbs) Load Slope Resistance, FLS (lbs)
Belt9-Sec1 200.00 0.00 200.00 33.60 0.03 132.00 54.00 8.00 4.00 6.75 33.00 2.08 0.19 0.20 11.47 0.00 313.45 403.84 717.28 0.00
Belt9-Sec2 192.26 55.10 200.00 36.00 0.03 132.00 54.00 8.00 4.00 6.75 33.00 2.08 0.19 0.20 11.47 16.00 309.01 392.17 701.18 4495.73
Belt10-Sec1 200.00 0.00 200.00 54.00 0.03 132.00 54.00 8.00 4.00 6.75 33.00 2.08 0.19 0.20 18.02 0.00 378.99 981.72 1360.71 0.00
Appendix K
K-10
Bass River Mine Site Table K-V: Conveyor Design Parameters (Belts 9 and 10)
Belt9-Sec1 Secondary Resistance Coefficient, ks Secondary Resistance, FS (lbs) Total Resistance, FT (lbs) Ore Density, (lb/ft^3) Ore Density, (t/m^3) Capacity, C (tons/hr) Tension 1, T1 (lbs) Tension 2, T2 (lbs) Belt Rating, PIW (lb/ft) Lagged Pulley Coefficient, LP Arc of Contact (radian) Drive Factor, Kd Tension Ratio Effective Tension (lbs) Belt Weight Tension, TBW (lbs) Drive Efficiency, D Motor Efficiency, M Shaft/Brake Power, PB (HP) Drive Power, PD (HP) Motor Power, PM (HP) Electricity Cost, E ($/kW-hr) Hours per Shift Shifts per day Days of Operation Yearly Belt Costs ($) Slope Factor, k Shape Factor, U 0.30 215.19 932.47 170.00 2.65 1696.12 1212.15 279.68 28.86 0.35 4.19 0.30 4.33 932.47 2293.90 0.85 0.95 19.78 23.27 24.49 $ 0.07 8.00 2.00 261.00 $ 5,334.46 1.00 0.06 Belt9-Sec2 0.50 350.59 5547.50 170.00 2.65 1713.43 7211.39 1663.90 171.70 0.35 4.19 0.30 4.33 5547.50 2293.90 0.85 0.95 117.67 138.44 145.73 $ 0.07 8.00 2.00 261.00 $ 31,736.10 0.88 0.06 Belt10-Sec1 0.30 408.21 1768.92 160.00 2.65 4123.22 2299.48 530.56 34.84 0.35 4.19 0.30 4.33 1768.92 3604.70 0.85 0.95 37.52 44.14 46.47 $ 0.07 8.00 2.00 261.00 $ 10,119.61 1.00 0.06
Appendix K
K-11
Bass River Mine Site Table K-VI: Conveyor Design Parameters (Belts 10 and 11)
ORIGINAL ASSUMPTIONS Belt Width, BW (in) Belt Speed, V (fpm) Belt Loading (%) Belt Tension Ratio Belt Rating, PIW (lb/ft) Effective Tension (lbs) Return Idler Spacing (ft) Troughing Idler Spacing (ft) Recommended Belt Thickness (in) Total Horsepower (HP) Counterweight (lbs) Annual Operating Cost ($/yr) Belt10-Sec2 72.00 700.00 83.95 4.33 250.47 13873.11 8.00 4.00 0.32 364.43 4.00 $ 79,365.24 Belt11-Sec1 66.00 700.00 82.53 4.33 34.84 1768.92 8.00 4.00 0.32 46.47 5.00 $ 10,119.61 Belt11-Sec2 72.00 700.00 83.95 4.33 250.47 13873.11 8.00 4.00 0.32 364.43 6.00 $ 79,365.24
Horizontal Length, l (ft) Rise (ft) Total Length, L (ft) Theoretical belt Width, w (in) Friction Coefficient, Carry Idler Weight, wc (lbs) Return Idler Weight, wr (lbs) Return Idler Spacing (ft) Troughing Idler Spacing (ft) Mass Carrying Idlers, mc (lb/ft) Mass Return Idlers, mr (lb/ft) Mass of Carcass, mcar (lb/ft) Mass of Cover per 1/32 in, mcv (lb/ft) Thickness of Cover (in) Mass of Belt, mb (lb/ft) Incline Angle, () Belt Frictional Resistance, FFB (lbs) Load Frictional Resistance, FLB (lbs) Main Resistance, Fm (lbs) Load Slope Resistance, FLS (lbs)
Belt10-Sec2 192.26 55.10 200.00 60.00 0.03 132.00 54.00 8.00 4.00 6.75 33.00 2.08 0.19 0.20 19.66 16.00 387.76 1025.28 1413.05 11753.55
Belt11-Sec1 200.00 0.00 200.00 54.00 0.03 132.00 54.00 8.00 4.00 6.75 33.00 2.08 0.19 0.20 18.02 0.00 378.99 981.72 1360.71 0.00
Belt11-Sec2 192.26 55.10 200.00 60.00 0.03 132.00 54.00 8.00 4.00 6.75 33.00 2.08 0.19 0.20 19.66 16.00 387.76 1025.28 1413.05 11753.55
Appendix K
K-12
Bass River Mine Site Table K-VI: Conveyor Design Parameters (Belts 10 and 11)
Belt10-Sec2 Secondary Resistance Coefficient, ks Secondary Resistance, FS (lbs) Total Resistance, FT (lbs) Ore Density, (lb/ft^3) Ore Density, (t/m^3) Capacity, C (tons/hr) Tension 1, T1 (lbs) Tension 2, T2 (lbs) Belt Rating, PIW (lb/ft) Lagged Pulley Coefficient, LP Arc of Contact (radian) Drive Factor, Kd Tension Ratio Effective Tension (lbs) Belt Weight Tension, TBW (lbs) Drive Efficiency, D Motor Efficiency, M Shaft/Brake Power, PB (HP) Drive Power, PD (HP) Motor Power, PM (HP) Electricity Cost, E ($/kW-hr) Hours per Shift Shifts per day Days of Operation Yearly Belt Costs ($) Slope Factor, k Shape Factor, U 0.50 706.52 13873.11 160.00 2.65 4479.55 18034.17 4161.05 250.47 0.35 4.19 0.30 4.33 13873.11 3932.40 0.85 0.95 294.28 346.21 364.43 $ 0.07 8.00 2.00 261.00 $ 79,365.24 0.88 0.06 Belt11-Sec1 0.30 408.21 1768.92 160.00 2.65 4123.22 2299.48 530.56 34.84 0.35 4.19 0.30 4.33 1768.92 3604.70 0.85 0.95 37.52 44.14 46.47 $ 0.07 8.00 2.00 261.00 $ 10,119.61 1.00 0.06 Belt11-Sec2 0.50 706.52 13873.11 160.00 2.65 4479.55 18034.17 4161.05 250.47 0.35 4.19 0.30 4.33 13873.11 3932.40 0.85 0.95 294.28 346.21 364.43 $ 0.07 8.00 2.00 261.00 $ 79,365.24 0.88 0.06
Appendix K
K-13
Appendix L
Table L-I: Short and Long Term Disability Information
Disability Stage Short-Term (STD) Long-Term (LTD) % of Earnings 75% 60% Maximum Benefit per Week $3,000 $10,000 Benefit Terms 31st day to 182nd day 183rd day until no longer disabled or 65 years old
Appendix L
L-1
Bass River Mine Site Table L-II: Basic PPO 90/70 Plan
Benefit Description Deductibles - Plan Year Out -of-Pocket Maximums Plan Year (excludes deductibles) Inpatient Room and Board Inpatient Physician & Surgeon Outpatient Surgery Hospice Home Care Services Emergency Services Urgent Care Services Mental Health/Substance Abuse Inpatient Mental Health and Partial Hospital Care Outpatient Mental Health Care Other Services Durable Medical Equipment & Skilled Nursing Emergency Ambulance Physician Home/Office Visit Specialist Care Allergy Testing and Treatment X-Ray and Lab MRI, MRA, CT, CTA PET Scan Short Term Therapy Annual Pap Smear and Gyn Exam Physical Exams and Immunizations Mammograms Routine Vision Hearing Tests Hearing Aids Chiropractic Infertility Services In-Network Benefit $500 Individual, $1000 Family Coinsurance $1500 Individual, $3000 Family 90% 90% 90% 90% 90% 90% $30 copay In_Network Benefit 90%, 120 day limit 90% In-Network Benefit 90%, 120 Day Limit 90% 90% 90% 90% 90% 90% Auth. Required 90% 100% 100% 100% Not Covered 100% 90%, up to age 26 90% 30 visits per year 75% $10000 lifetime max Out-of-Network Benefit $500 Individual, $2000 Family Coinsurance $1500 Individual, $6000 Family 70% 70% 70% 70% 70% 90% $30 copay Out-of-Network Benefit 70%, 120 day limit 70% Out-of-Network Benefit 70%, 120 Day Limit 70% 70% 70% 70% 70% 70% Auth. Required 70% 70% 70% 70% Not Covered 70% 70%, up to age 26 70% 30 visits per year 55% $10000 lifetime max
Appendix L
L-2
Appendix L
L-3
Appendix L
L-4
Bass River Mine Site Table L-V: Cost Structure for Health Plans, Dental HMO and Vision Plan
Dependents Employee Employee & Spouse Employee & Children Family Total Rate $514.56 $1,066.55 $782.28 $1,325.71 REL Co. Contribution Basic PPO $493.85 $1,022.88 $750.13 $1,278.54 Employee Contribution $20.71 $43.67 $32.15 $47.17
Comprehensive PPO $587.55 $509.35 $1,219.08 $1,057.87 $905.54 $1,526.38 $785.42 $1,322.99 HMO $503.58 $1,062.87 $785.69 $1,324.98 Dental HMO $0 $0 $0 $0 Vision Plan $0 $0 $0 $0
Appendix L
L-5
Appendix L
L-6
Appendix L
L-7
Appendix N
Table N-I: Population Data New Jersey (US Census Bureau)
2000
to
2010 Percent
4.5% 12.8% 37.1% -24.9% -21.8% -8.5% 6.5% 3.2% -1.4% 11.2% -6.1% -4.5% 28.1% 9.1% 5.2% 53.8% -29.6% 25.8% -8.4% 10.6% -30.0% 29.2% -3.1% 9.1% 15.8% -4.7% -12.2% -8.5% -30.2% -16.5% 1.4% 17.8% -16.4% 1.7% -4.8%
2010
8,791,894
2000
Number
684,162 77,713 3,035 89 12 -197 1,051 2,672 9,646 -35 -3 281 9,583 3,205 -556 15,304 366 2,612 -78 2,952 89 1,034 -2 -4 1,270 1,129 202 789 392 32 -235 9,207 67 13,335 469
Number
377,544 65,651 5,666 -190 -270 -108 670 1,264 -1,047 162 -22 -78 12,040 2,298 132 32,491 -790 4,120 -278 4,142 -127 1,882 -65 177 1,146 -914 -649 -268 -684 -228 50 4,003 -237 1,533 -170
8,414,350
7,730,188
Appendix N
N-1
Bass River Mine Site Table N-II: Iron Steel Mill, Ferroalloy Manufacturing (US Census Bureau)
Value of shipments ($1,000) 19,885,470 16,159,834 14,556,623 5,705,460 5,362,172 4,502,000 4,219,358 3,827,124 3,631,765 3,332,896 2,730,341 1,188,351 1,142,254 1,110,468 974,302 732,270 588,833 Value of shipments (% of US) 19.57 15.9 14.33 5.62 5.28 4.43 4.15 3.77 3.57 3.28 2.69 1.17 1.12 1.09 0.96 0.72 0.58 Value of shipments (per capita $) 3,133 1,290 1,264 1,230 1,260 448 1,485 299 152 753 75 61 185 613 126 85 163 Annual Payroll ($1,000) 1,381,814 1,114,985 1,060,130 319,033 251,451 417,775 195,033 377,779 324,881 170,775 181,547 103,941 88,612 141,040 84,485 66,778 64,752 Paid Employees 20,439 16,416 16,548 4,225 3,819 6,362 2,507 6,052 5,334 2,261 2,736 1,839 1,467 2,465 1,288 934 1,375
Description Indiana Pennsylvania Ohio Alabama Kentucky Michigan Arkansas Illinois Texas South Carolina California New York Tennessee West Virginia Virginia New Jersey Oklahoma
Establishments 26 55 52 10 13 17 7 26 21 9 19 10 9 7 7 9 6
Appendix N
N-2
Appendix O
Period (Year End) O&M Cost ($/ton) Royalty Rate (NSR, %) Depletion Rate Tax Rate Production (ton/yr) Grade (lb/ton) Recovery (%) Metal Price ($/ton) Sales Revenue ($/yr) O&M Cost ($/yr) Other Income ($/yr) Other Costs ($/yr) Gross Income ($/yr) - Operating Costs - Royalty Gross Profit/Loss ($/yr) - Depreciation Mining Equiipment Processing and Handling Facilities - Depletion 50% Percentage Limit Percentage - Tax Loss Forward Taxable Income ($/yr) - Income Tax + Tax Credit Net Profit/Loss ($/yr) + Depreciation + Depletion Cash Flow ($/yr) - Capitalized Cost Mining Equiipment Processing and Handling Facilities Permitting - Working Capital Net Cash Flow ($/yr) Running NPV Carry Tax Loss Forward? Discount Rate (%) Net Present Value (20 Year) DCF Rate of Return (20 Year) 0 1 $ 2 1.47 0 15 40.85 41,760,000 0.17 100 158.30 1,123,803,360 61,387,200 1,123,803,360 61,387,200 1,062,416,160 2,603,357 1,348,367 1,229,267 25,724 159,362,424 529,906,401.33 159,362,424 900,450,379 367,833,980 532,616,399 2,603,357 159,362,424 694,582,180 31,000 $ 3 1.47 0 15 40.85 41,760,000 0.17 100 158.30 1,123,803,360 61,387,200 1,123,803,360 61,387,200 1,062,416,160 2,603,357 1,348,367 1,229,267 25,724 159,362,424 529,906,401.33 159,362,424 900,450,379 367,833,980 532,616,399 2,603,357 159,362,424 694,582,180 31,000 $ 4 1.47 0 15 40.85 41,760,000 0.17 100 158.30 1,123,803,360 61,387,200 1,123,803,360 61,387,200 1,062,416,160 2,603,357 1,348,367 1,229,267 25,724 159,362,424 529,906,401.33 159,362,424 900,450,379 367,833,980 532,616,399 2,603,357 159,362,424 694,582,180 31,000 $ 5 1.47 0 15 40.85 41,760,000 0.17 100 158.30 1,123,803,360 61,387,200 1,123,803,360 61,387,200 1,062,416,160 2,603,357 1,348,367 1,229,267 25,724 159,362,424 529,906,401.33 159,362,424 900,450,379 367,833,980 532,616,399 2,603,357 159,362,424 694,582,180 31,000 $ 6 1.47 0 15 40.85 41,760,000 0.17 100 158.30 1,123,803,360 61,387,200 1,123,803,360 61,387,200 1,062,416,160 2,603,357 1,348,367 1,229,267 25,724 159,362,424 529,906,401.33 159,362,424 900,450,379 367,833,980 532,616,399 2,603,357 159,362,424 694,582,180 31,000 $ 7 1.47 0 15 40.85 41,760,000 0.17 100 158.30 1,123,803,360 61,387,200 1,123,803,360 61,387,200 1,062,416,160 2,603,357 1,348,367 1,229,267 25,724 159,362,424 529,906,401.33 159,362,424 900,450,379 367,833,980 532,616,399 2,603,357 159,362,424 694,582,180 31,000
$ $ $ $ $ $ $
$ $ $ $
$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $
$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $
$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $
$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $
$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $
$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $
(58,060,665) $ (58,060,665.00) $
$ $ (28,506,350) $ (86,567,015.00) $
$ $ $
31,000 694,551,180
$ $ $
31,000 694,551,180
$ $ $
31,000 694,551,180
$ $ $
31,000 694,551,180
$ $ $ $
$ 1,302,535,345.64
$ 1,997,086,525.96
$ 2,691,637,706.27
$ 3,386,188,886.59
$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $
$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $
$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $
$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $
$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $
$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $
$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $
$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $
$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $
$ $ $ $
$ $ $ $
$ $ $ $
$ $ $
31,000 694,551,180
$ $ $
31,000 694,551,180
$ $ $ $
$ $ $ $
$ $ $
31,000 694,551,180
$ $ $ $
$ 6,164,393,607.87
$ 6,858,944,788.19
$ 8,942,598,329.14
Appendix O
O-2
16 $ 1.47 0 15 40.85 41,760,000 0.17 100 158.30 1,123,803,360 61,387,200 1,123,803,360 61,387,200 1,062,416,160 2,603,357 1,348,367 1,229,267 25,724 159,362,424 529,906,401.33 159,362,424 900,450,379 367,833,980 2 532,616,401 2,603,357 159,362,424 694,582,182 31,000 $
17 1.47 0 15 40.85 41,760,000 0.17 100 158.30 1,123,803,360 61,387,200 1,123,803,360 61,387,200 1,062,416,160 2,603,357 1,348,367 1,229,267 25,724 159,362,424 529,906,401.33 159,362,424 900,450,379 367,833,980 3 532,616,402 2,603,357 159,362,424 694,582,183 31,000 $
18 1.47 0 15 40.85 41,760,000 0.17 100 158.30 1,123,803,360 61,387,200 1,123,803,360 61,387,200 1,062,416,160 2,603,357 1,348,367 1,229,267 25,724 159,362,424 529,906,401.33 159,362,424 900,450,379 367,833,980 4 532,616,403 2,603,357 159,362,424 694,582,184 31,000 $
19 1.47 0 15 40.85 41,760,000 0.17 100 158.30 1,123,803,360 61,387,200 1,123,803,360 61,387,200 1,062,416,160 2,603,357 1,348,367 1,229,267 25,724 159,362,424 529,906,401.33 159,362,424 900,450,379 367,833,980 5 532,616,404 2,603,357 159,362,424 694,582,185 31,000 $
20 1.47 0 15 40.85 41,760,000 0.17 100 158.30 1,123,803,360 61,387,200 1,123,803,360 61,387,200 1,062,416,160 2,603,357 1,348,367 1,229,267 25,724 159,362,424 529,906,401.33 159,362,424 900,450,379 367,833,980 6 532,616,405 2,603,357 159,362,424 694,582,186 31,000
$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $
$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $
$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $
$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $
$ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $
$ $ $
31,000 694,551,182
$ $ $ $
$ $ $
31,000 694,551,184
$ $ $
31,000 694,551,185
$ $ $ $
$ 10,331,700,692.78
$ 11,720,803,060.42
$ 12,415,354,245.73