cim magazine august 2011

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4 | CIM Magazine | Vol. 6, No. 5

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NEWS 12 Earth and moon aligned at mining symposium

Mining and aerospace efforts are key to one another’sdevelopment by G. Lanktree

13 “A feel for the equipment” Laurentian studentsseize top prize at NASA’s Lunabotics competitionby G. Lanktree

14 Peeling leaves behind a legacy of trust A lookback at MAC president’s greatest achievements by T. Loree

16 Bralorne gold mine re-opens in BritishColumbia After a 40-year hiatus, the historic goldcamp is back in operation by P. Caulfield

17 Extracting gold without fuelling conflict NewWorld Gold Council standard sets its sights on “conflict-free” metal by P. Brent

18 New Prosperity plans would save lake Tasekolooks to federal government for approval by P. Braul

CONTENTS|CONTENUCIM MAGAZINE | AUGUST 2011 | AOÛT 2011

UPFRONT 20 Long-range troubleshooting Rugged video system

connects specialists around the globe in real-time by R. Andrews

22 The evolution of an operation A look back atRabbit Lake, the longest producing uranium operationin Saskatchewan by C. Edwards

24 Talking tailings Mine Closure conference comes toAlberta by D. Zlotnikov

FEATURE | ARTICLE VEDETTELEADING BY EXAMPLEUN EXEMPLE À SUIVRE 26 A look at the best in the business and how their visions have powered

the industry by Richard Andrews, Ryan Bergen, Peter Diekmeyer, Alexandra Lopez-Pacheco, EavanMoore, Dan Zlotnikov

36 The next generation of leadership CIM-Bedford Canadian Young MiningLeader Awards recipients by Correy Baldwin

38 L'imagination et la vivacité d'esprit au service de l'industrie

ON THE COVER | SUR LA COUVERTURE 30 An interview with David Garofalo, CEO of HudBay Minerals 40 Une entrevue avec David Garofalo, chef de la direction

de HudBay Minerals

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COLUMNS 54 Supply Side by J. Baird 55 Innovation by T. Hynes 56 MAC Economic Commentary by P. Stothart 58 Eye on Business by C. I. Kyer 59 Aboriginal Perspectives by J. C. Reyes 60 Standards by D. Mackintosh 62 Metals Monitor by the Metals Economics Group staff 64 Safety by H. Ednie 66 Parlons en par P. Marcotte 68 Women in Mining by H. Ednie 70 Student Life by R. Cunningham 72 HR Outlook by L. Forcellini 73 Mining Lore by C. Baldwin102 Voices from Industry by J. Popowich

CIM NEWS 74 CIM Conference & Exhibition 2011 / Congrès

et Salon commercial de l’ICM 2011 A glance atthis year’s conference / Un coup d’oeil sur l’événement

77 Recognizing industry’s finest / Hommage àla crème de l’industrie This year’s CIM awardswinners / Les lauréats des prix de l’ICM de cette année

82 CMMF scholarships awarded Bright futures forthis year’s scholarship winners by C. Baldwin

84 The power of imagination William Westgatediscusses CMIC’s role in the Canadian mining industryby A. Lopez-Pacheco

85 All thanks to you Rex Murphy delivers anotherrousing speech at the CIM Conference & Exhibition2011 by H. B. George

86 Getting a fresh start / Un nouveau departThe revitalization of the CIM Environmental Society is underway / Revitalisation de la Société del’environnment de l’ICM by H. B. George

HISTORY 92 The foundations of modern economic

geology (Part 5) by R. J. Cathro 95 Industrial minerals in history: ancient Egypt

by F. Habashi

TECHNICAL SECTION 98 CIM Journal

IN EVERY ISSUE 6 Editor’s message 8 President’s notes / Mot du président 10 LinkedIn comments 82 Welcoming new members 87 Calendar 100 Professional directory

FEATURED PROJECTPROJET EN VEDETTE 44 A new, cleaner era in a historic silver district Inheriting the legacy and

exploring the future of Keno Hill Silver District by C. Baldwin

48 Une nouvelle ère plus propre dans un ancien district argentifère AlexcoResource Corp. remet en production Keno Hill après plus de 20 ans d’inactivité

COMMODITYFOCUS 50 The mighty yellow metal

Gold is on the rise; is the peakin sight? by D. Zlotnikov

commodity focusgold

accounted for 2,000 tonnes andindustrial use for another 500. Butinvestment gold accounted foraround 1,500 tonnes, over 37 percent of the pie, drastically up fromthe historical trend of around 20 percent of annual flow.

Is the peak in sight?Doubts about the health of theUnited States economy and thevalue of its dollar have helped driveinvestment demand for gold and itsrise in value. At its current price,however, gold does not strike Nadleras a particularly sound investment.To explain, he points to the troubledeconomies of Europe. He suggeststhat Portugal may be pressured tosell off some of its gold reserves –and Portugal’s reserves are 82 percent gold.

“Ultimately, why do you have thegold in the basement to begin with?” Nadler asks. “It is forrainy-day type of purposes, and it’s raining pretty hard inparts of Europe right now,” he says.

Another area of concern for Nadler is the gold exchangetraded funds (ETFs). Combined, these hold over 2,000tonnes of the metal. “This puts them up into the fifth or sixthplace globally if they were a central bank,” he says.

Central banks, Nadler continues, have the obligation to limitsales, but ETFs do not, “and I cannot at this point projectwhat a 200- or 300-tonne outflow from ETFs might presentprice-wise to the market.”

Operating on a different scheduleFrom the producers’ perspective, the current prices arewelcome but don’t necessarily make a big difference foroperations in the short term. George, at USGS, pointsout that it can take anywhere between 10 and 20 yearsfrom the time a discovery is made until a new minebegins producing gold. Today’s demand has certainlyspurred a wave of exploration activity, but any projectsthat enter production in the next couple of years willlikely be ones that have been in development sincebefore the financial crisis.


THE MIGHTY YELLOW METAL

It’s up. It’s down. It’s up. It’s down again. Volatility hasbeen an inescapable part of the metals markets over thelast few years. But in that time, gold has taken a pass on

the roller coaster, catching a ride on the escalator instead.It’s up. It’s up again. It’s up some more!

Currently at more than US$1,550 per ounce, the price ofgold has maintained its four-digit levels since September of2009. This has led to some very unusual developments. JonNadler, senior analyst with bullion trader kitco.com, pointsout that, very recently, the Western jewelry sector hasbecome a net supplier, rather than consumer, of gold. Forthe first time ever, he says, scrap supply generated bypeople swapping their jewelry for cash has outpaced theamount of gold used in the West in jewelrymaking.

“When you look at the 1,400 tonnes of recycled gold thathave flowed into the market, that’s the second largestannual supply of scrap ever,” Nadler explains. At the sametime, jewelry consumption was down 20 per cent in 2009,near a 25-year low for the industry, and has not yetsignificantly recovered.

With so many sellers, there must of course be buyers.Micheal George, the gold specialist at the U.S. GeologicalSurvey (USGS), says 2010 global jewelry production

by DAN ZLOTNIKOV

commodity focusgold

One such project is the Young-DavidsonMine in northern Ontario. Currentlybeing built by NorthgateMinerals, the mine is slated toenter production in 2012,says Northgate’s directorof investor relationsKeren Yun. With aprojected cash cost of$400 an ounce over a15-year mine life, themine is on track to bea financially robust,long-life operation.The company didbenefit from the highgold price elsewhere,says Yun. “If the goldprice, and especially thecopper price, weren’t asstrong, Kemess South, our long-time flagship operation, would haveended production sometime last year,”she says. “We were mining very low-grade orethat was at one point considered waste, and we stillmanaged to produce 12,000 ounces of gold this year.”

On the other hand, the more marginal projects, as wellas higher cost ones, will be under the microscope ifgold does not maintain its current price level. Forexample, Northgate’s approach to its Australianoperations might change should the price fall. TheStawell Mine, Yun explains, which is one of the deepestramp-access-only underground mines in Australia,consumed $964 for every ounce extracted in 2010. “Ifthe price of gold were to drop substantially, we wouldstop further development at the mine,” she says, “butwe would continue to mine out our reserves and stillmake money.”

Precious metal, practical applications It is also important to consider the industrial uses of gold,which account for as much as 15 per cent of the annualflow. Because of its high resistance to corrosion and goodconductivity, gold has been the material of choice formodern electronics – everything from cell phones to laptopsto televisions contains a minute amount of gold. Becausethe metal is also largely chemically and biologically non-reactive, it has been a favourite choice for medicalapplications.

Most of gold’s industrial uses have one thing in common:the users have considered, and discarded, all other, lesscostly, options. Most of these industries will keep onusing gold, regardless of price. Time will tell whether the

higher material price stifles development ofnew applications of the metal or

drives more investment intofinding viable alternatives forgold.

With roughly 0.03 gramsof gold used in amodern handhelddevice, “urban miners”are finding value indiscarded hardware.Recycling firms inJapan, for example,where phone userstypically replace theirhandsets every twoyears, are producing

hundreds of kilograms ofgold from the unwanted

devices each month. As withprimary producers, recyclers face

the challenge of securing the rawmaterial. Naturally, a new generation of

prospectors bearing names like buymytronics.com andcasholdphone.com is developing to feed the demand. CIM

August 2011 | 51

M4S• MINING• MINERALS• METALS• MATERIALS

mININg fOr sOcIeTy

Gilded blinkersLagophthalmos is a condition in which sufferers areunable to fully close their eyelids. The poor functioningof a facial nerve can cause the condition, as can anoverly zealous eyelid lift. A common treatment involvesimplanting tiny gold weights into the eyelids, lettinggravity help pull them shut.

TOTAL ABOVE GROUND STOCKS OF GOLD - 2010 (TONNES)

UNACCOUNTED3,600

OTHER FABRICATION

20,200

OFFICIALHOLDINGS

29,000PRIVATEINVESTMENT

31,400

JEWELRY84,1000

Source: GFMS and World Gold Council estimated 2010 calculations


president’s notesBuilding a community with leadership expertise

Pour une communauté fondée sur l’expertise en leadershipC’est un programme de perfectionnement du leadership complet, des-

tiné aux membres de différentes organisations et comportant une série d’ateliers et de formations en cours d’emploi, ainsi que des évaluations et un soutien, qui a généré le plus d’intérêt. Le Programme de perfec-tionnement du leadership fonctionnera donc exactement de cette manière.

Contrairement à d’autres programmes en leadership, celui de l’ICM permettra aux participants de perfectionner leur leadership dans le con-texte de l’industrie des mines, des minéraux et des matériaux, en plus de se construire un réseau de relations étroites et durables avec leurs pairs et de hauts dirigeants.

Pour en savoir plus sur le programme et obtenir les documents d’inscription, veuillez consulter la section Services aux membres du site CIM.org (www.cim.org/cim-leadership-development-program.cfm) (en anglais seulement). Nous acceptons actuellement les demandes d’admission pour les séances qui débuteront à l’automne.

Selon moi, cette initiative est essentielle pour notre industrie, car elle nous permettra de consolider véritablement notre position de chefs de file de l’industrie à l’échelle mondiale. Grâce à ce programme, l’ICM a l’occasion d’aider ses membres, qu’il s’agisse de personnes ou d’autres organisations, à tirer parti du perfectionnement de leurs dirigeants pour accroître leur prospérité. Je suis impatient de collaborer avec notre pre-mière cohorte cet automne.

Chuck EdwardsPrésident de l’ICM

L’été est arrivé et les vacances aussi – enfin! Du coup, la pénu-rie de personnel qualifié et dévoué, quasi généralisée au sein de notre industrie, devient encore plus évidente. Voulant contribuer à résoudre ce problème par une solution novatrice, l’ICM met en œuvre un nou-veau programme de perfectionnement du leadership visant à faire de l’excellence dans ce domaine une caractéristique de notre industrie, au même titre que l’excellence sur le plan technique.

D’après mon expérience, il est toujours préférable de demander l’avis des membres de l’ICM avant de lancer un nouveau programme. C’est pourquoi l’ICM a commencé à envoyer un sondage à ses membres en octobre 2010, afin de connaître leurs opinions sur trois points :• Que font actuellement les organisations de nos membres en lien

avec le perfectionnement du leadership?• Quellescompétencessontimportantespourlesdirigeants?• Quelestl’intérêtsuscitépardiversesinitiativesdel’ICMenmatière

de leadership?Les résultats de ce sondage ont joué un rôle important dans la

conception et la réalisation du Programme de perfectionnement du lead-ership de l’ICM. Bien que certains membres aient vécu une expérience de perfectionnement du leadership au sein de leurs propres organisa-tions, peu d’entre eux considèrent que ces programmes les aident à diriger plus efficacement. La responsabilisation s’est imposée comme la compétence la plus importante, et près des trois quarts des personnes interrogées ont indiqué qu’elles aimeraient beaucoup prendre part aux programmes proposés par l’ICM en lien avec le leadership.

experience with such programs in their own organizations, few saw these as helping them lead more effectively. Accountability emerged as the most critical skill set, and almost three-quarters of the respondents expressed a strong interest in participating in such programs offered by CIM.

A comprehensive leadership development program for members from different organizations – involving a series of workshops and on-the-job assignments, assessments and support – generated the most interest. Therefore, the CIM program will operate in just this fashion.

Unlike other programs, CIM’s will allow participants to develop their leadership within the context of the mining, minerals and materials industry, as well as develop a network of deep and sustainable relation-ships with both industry peers and senior industry executives.

Details of the program and registration documents can be found on the CIM website under membership services (www.cim.org/cim-leadership-development-program.cfm). We are currently accepting applications for sessions commencing in the fall.

I believe this is a critical initiative for our industry and will enable us to truly cement our position as global industry leaders. Through this program, CIM has an opportunity to help individual members and mem-ber organizations become more successful through the development of leaders. I look forward to working with our first cohort this fall.

Chuck EdwardsCIM President

Now that we are finally well into summer and vacation time, our nearly universal shortage of skilled, dedicated people is all the more apparent. As one innovative way to help address this issue, CIM is rolling out its new Leader-ship Development Program to ensure that our industry is defined by leadership excel-lence in addition to technical excellence.

In my experience, it is always a good idea to ask the opinion of CIM members

before launching a new program. So, to begin, a survey was distributed to the CIM membership in October 2010. The survey sought members’ opinions in three areas:• Whatiscurrentlyhappeningwithleadershipdevelopmentinmembers’

own organizations?• Whatskillsetsareimportantforleaders?• WhatdegreeofinterestisthereinvariousCIMleadershipinitiatives?

The results lend significant support to the design and delivery of a CIM Leadership Development Program. While some members had


Is the skills shortage in mining a global issue?Canada is not alone, skills shortage a global issue inmining: May 2011, Vol. 6, No. 3, p. 68

I can comment on this issue as I attend mines in south America,Africa, Australia and Asia. yes, skill shortage is a global issue. I havebeen experiencing constant turnovers not only at the operationallevel but with manufacturers and service providers. I can tell you thatin Australia alone, the major companies in iron ore, oil and gas havepriority and use most of the available resources. there are a numberof large projects coming out of western Australia that might end upsuffering as the pool of knowledge and skills is not being replenishedfast enough.

If I remember correctly, the number of graduates in mining and met-allurgy started decreasing in the late nineties and it was never a largenumber to begin with. All of a sudden, the industry has increaseddemand that is far exceeding the supply of graduates. this gap,which was created in the past, only causes new graduates to beforced into positions where previously only people with a minimumof five to 10 years of hands-on experience were allowed to take.

Alberto Reyes, principal Mining engineer, gold Fields exploration, Inc, perth, Australia

welders, mechanics and even skilled apprentices are getting feweras the baby boom generation gets older. It is harder to get the newgeneration to work in manufacturing mining equipment. desk jobsseem to be the trend. when we do train and the employee skill levelrises, they leave for a dollar more or go work for the mines that weare trying to support with skilled workers. I’m starting to believe thatbusiness ethics are becoming extinct.

Denis Rienguette, general Manager, Marcotte Mining Machinery services Inc, ontario, Canada

the scenario is not the same all over the world. For us in nigeria,there exist skilled workers like me but the enabling environment toexpress my ability is not there. we do have, for instance, a benefici-ation pilot plant at national Metallurgical development Center, but Icannot remember the last time someone was employed.

Ojonimi Theophilus, Marketing/reservation executive, yelly travel nigeria Ltd, Abuja, nigeria

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A patent-pending robotic system is underway – is it a safety breakthrough? A progress report on robotic cavity surveyingRobots go where men fear to tread: May 2011, Vol. 6, No.3, p. 34

It’s nice to see the mining industry experimenting with remoteinspection and rescue-type technologies. the security industry hasbeen at it a long time. the nuclear industry has many remote roboticprocedures to inspect and repair Calandria vaults during their main-tenance outages. Most of the major police departments have a suiteof robots that can do many of these tasks. In fact, MdA (Canadarm)delivered five of them recently to the rCMp and many police serv-ices. Another example is moon and Mars rovers where a lot of thisdevelopment is taking place.

In mining, communication in long tunnels and rough terrain environ-ments is always more of a challenge. there’s a lot of value in addingsensors for things like auto-return, auto communication recovery,collision detection, 3d sensing and visual odometry that can raisethe chances of mission success.

this effort seems to be at an early r&d stage; I hope it’s presentedthat way. when you send a very expensive robot system into anunknown environment, you want to have a high degree of confi-dence that it’s going to complete its mission; otherwise it won’tmake much of a business case to make it into the mining main-stream. we all know [the attitude] in mining: “we tried that beforeand it didn’t work.”

Roy Jakola, president, ses professionals, Aurora, Canada

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Far from being worldsapart, the mining andaerospace industries havemuch to offer each other,said experts from bothfields last month at thePlanetary and TerrestrialMining Sciences Sympo-sium (PTMSS) in Ottawa.

Although not an intu-itive connection, scientistsfrom NASA, the CanadianSpace Agency (CSA) andmining industry inno-vators such as MDACorporation and Hatchgathered to bridge the gap,exchanging ideas aboutnew drill, wheel and auto-mated mining technologies, and insitu resource utilization (ISRU) on themoon or Mars.

“There’s a lot of possibility for cross-pollination, since ISRU – the process ofproducing propellants or oxygen frommoon or Mars dirt – is really a spacemining activity,” said conferenceorganizer Dale Boucher, director ofinnovation at the Northern Centre forAdvanced Technology (NORCAT).“The mining industry, in turn, canlearn a lot about miniaturization,automation and efficiency improve-ments from the space industry.”

Boucher sees potential for the min-ing industry to use CSA and NASAproject funding as a research arm forthe development of new mining tech-nologies with applications here onEarth. “Canadian companies build thedrill bits for the drill technologies that NORCAT has been developingthrough space agency contracts,” hesaid. “And they’ve improved theirproduct development dramaticallybecause of the stringent parameterswe impose.”

With this in mind, the conferencepromotes a mix between those driving

Earth and moon aligned at mining symposiumInterdisciplinary efforts key to outer space ventures

By Graham Lanktree

technology development and potentialsuppliers. “A lot of networking goes onhere and that’s really invaluable,” saidRob Mueller, chief of NASA’s surfacesystems office. “It’s a great place toexchange ideas and publish the workthat we do in our labs.”

Visiting from Finland’s Aalto Uni-versity, researcher Eric Halbachdiscussed the infrastructure of an auto-mated robotic earthmoving system thatcould be used on the Earth, the moonor Mars. Delegates also talked abouthow to optimize the structure of lunarrover wheels and the advantages ofbucket wheel excavators.

Beyond the challenges of the sharpand rugged qualities of lunar regolith,one hot topic at the meeting was theneed for economic incentives andexploration tax credits from the federalgovernment to get large mining firmsinterested in the moon’s minerals. “Theaerospace industry has suffered in thepast few years,” said Bill Larson, aNASA ISRU expert, in an openingaddress on the conference’s first day.For the better part of this year, NASAhas been in limbo as the American gov-ernment haggled over its budget,

settling in April on $240million in cuts to theagency. The CSA has notfared any better either,with its budget set todrop by 34 per cent inthe following two years,after peaking this year at$424.6 million.

“But there is somegood news out there,”Larson said. “With thesecuts, there are opportu-nities for the externalcommunity to get muchmore involved in ourmissions.”

Boucher said now isthe perfect time for

major players in the mining industry tostep up. “I predict that within 10 yearssomebody is going to come along andsay, ‘I need a fuelling depot on themoon,’” he said.

Dealing with and understanding theparadigm of long-term investment andall the steps involved in developing amarket are two major strengths thatmining firms have ingrained in theirDNA. And these companies have theexpertise to answer the questionsabout beneficiating materials likerocks, sand and gravel that the aero-space industry is struggling with.

“Private industry, however, has notyet really bought into the idea ofactively mining for profit on the moonor Mars,” Boucher said. Yet space agen-cies, or commercial spaceflightenterprises, cannot send humans orrobots on longer journeys withoutdoing a precursor mission to produceoxygen for fuel or life support.

According to Boucher, the problemis that nobody really understands yetwho the end user is going to be.“There’s this concept that this has tohappen,” he said. “The question is:When?” CIM


Neptec’s Juno rover team discusses design prior to their technology demo at the symposium.

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Eight Laurentian University engi-neering students seized the top prizein NASA’s Lunabotics Mining Compe-tition last month, beating 36 teamsfrom international universities – IvyLeague schools among them – in alandslide win.

Taking inspiration from the heavymachinery and mining industryaround its school in Sudbury, theteam’s winning teleoperated miningrobot, or “lunabot,” managed to digand transport a record 237.4 kilogramsof simulated lunar regolith in under 15minutes, more than 60 kilogramsmore than its closest competitor, at thesix-day event at the Kennedy SpaceCenter in Florida in May.

“Really, the fact that this team didas well as they did is no mistake,” saidMarkus Timusk, an assistant professorof mechanical engineering at Laurent-ian and the team’s adviser. “They drewa lot on their local summer jobs. Oneof the students had worked at a com-pany designing trailers for materialshandling, so he had a feel for what apiece of equipment needs to do, andhow to design it.”

The robot’s speedy bucket chain,which gave it the edge over otherdesigns, comes directly from mining,said team member Greg Lakanen. But ifnext year’s field of fourth-year mechan-ical engineering students wants tocompete, they will need to have some-thing new up their sleeve.

Although pleased with the resultsof the two-year-old contest, the rulesneed to change for next year, said RobMueller, Lunabotics’ head judge andchief of NASA’s surface systems office.“Many of the contenders had a highparts count and created their own dustcloud as they dug,” he said. “On themoon, there’s no air, so there’s no cool-ing for the parts as they get covered inlunar regolith, which is an extremelygood conductor.”

“A feel for the equipment”Laurentian students win moon mining competition

By Graham Lanktree

Upcoming rule changes may includepoints for reducing dust lofting, robotmass and inclusion of mock radiators onthe device, Mueller said. “But still, I wantto make the rules as simple as we can to

maximize the possibility for creativity,”he explained. After all, he added, thefirst goal of the competition is to inspirestudents and to get them interested incontinuing on in this field. CIM

The Laurentian University lunabot scooped up almost 240 kilograms of simulated lunar regolith – more thanenough to claim victory in NASA’s Lunabotics mining competition in Florida in May.

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Peeling leaves behind a legacy of trustStronger Aboriginal ties and TSM among outgoing MAC president’s top achievements

By Thom Loree

He may no longer be presidentand CEO of the Mining Associa-tion of Canada (MAC), but thename Gordon Peeling will remainsynonymous with progress in theindustry. Born in Galt (now Cam-bridge), Ontario, in 1947, Peelingspent the past 13.5 years lobbyingtirelessly on such mining-relatedissues as trade, the economy,energy and environmental policy,tailings management, northern

development and Aboriginal affairs. Peeling stepped down from MAC on April 30, and has

since been succeeded by Pierre Gratton, former head of theMining Association of British Columbia.

“Gord built relationships of trust with a lot of Aboriginalleaders and organizations,” recalled CIM executive director

Jean Vavrek. “The way he made MAC receptive to the needsand wishes of Aboriginals through the Toward SustainableMining (TSM) Community of Interest Advisory Panel is def-initely ‘best-practice,’ but it’s also courageous, and courage issomething that exemplifies a lot of what Gord has done.”

In 2009, both MAC and PDAC signed memoranda ofunderstanding with the Assembly of First Nations to worktogether and help improve relations. As well, mining compa-nies and First Nations have entered into hundreds of impactand benefit agreements across the country. Without theseagreements, numerous projects would be unable to move for-ward. When Peeling joined MAC in 1997, only a few suchagreements were in place, mostly between Aboriginal groupsand diamond companies.

“As a result of numerous land claims and court decisionsover the past decade, the rights process has become muchclearer,” said Peeling, who remains committed to strengthen-ing relations with Canada’s Aboriginal Peoples and continuesto sit on the National Aboriginal Achievement Foundation.“Basically we’re operating on their land. It’s land that isincreasingly identified as treaty-controlled, and in order toget access to it, we need to form partnerships with the FirstNations, Métis and Inuit. That’s the new reality.”

A Parliamentary presenceUnder Peeling’s leadership, MAC won a Globe Industry

Association Award for excellence in environmental perform-ance, as well as two awards from Voluntary Challenge &Registry Inc. for achievement in climate change work. Theseplaudits reflect MAC’s commitment to reducing greenhousegas emissions and improving energy efficiency.

In 2009, the Ottawa-based news weekly, The Hill Times,named Peeling one of Canada’s top 100 lobbyists. “Lobbying,to me, is an effective, fundamental way to influence publicpolicy,” Peeling said. “Our strategy at MAC has been to lobbyjointly with NGOs and other stakeholders and help them seethe larger economic picture, while we are informed by theirviews and values. The important thing is to build broad sup-port. This, in turn, leads to more robust policy outcomes andhelps in the decision-making process.”

Unarguably Peeling’s greatest achievement in buildingsuch support is the award-winning Toward Sustainable Min-ing (TSM) initiative, which sets out performance indicatorsthat MAC members are required to implement and report onannually. TSM developed earlier work further by placing theenvironment in a broader context of sustainability andadding a verification process. Indeed, under Peeling, MACbecame the first – and so far only – national mining associa-tion to have a mandatory sustainability program that

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includes third-party verification of its performance report-ing. “We broke new ground on that,” Peeling conceded.

Peeling’s success at the negotiating table is largely due tohis “quiet, unflappable style,” according to Douglas Hor-swill, senior vice-president, sustainability and externalaffairs, with Teck Resources. “It’s a style that has earned himthe respect of MAC members and those people he interactedwith on MAC’s behalf. Under him, MAC became known forits ability and willingness to collaborate positively with allsorts of interest groups in pursuit of solutions to tricky prob-lems. NGOs and governments alike called on Gordon for hisinput and advice.”

Vavrek concurred. “He understands the value of respect,even when dealing with so-called opponents. He’s the ulti-mate professional in that sense. For me, he has been amodel.”

Collaboration, patience and respect are essential whenentering into discussions with multiple stakeholders, saidPeeling. “It’s a gratifying process, and you invariably end upwith some good friends on all sides of the table.”

A legacy of good willWhen pressed to name his proudest accomplishment at

MAC, Peeling concedes that the association has helpedrestore the public’s trust and faith in mining. “When I camein, terms like ‘sunset industry,’ ‘rust-belt’ and ‘old economy’were being applied to mining,” he said. “Today, more than 13years later, most Canadians and the politicians appreciatethat mining is absolutely essential to the future of this coun-try. They know that along with the oil and gas industry,mining helps determine the value of the Canadian dollar,and they know, too, that demand for metals is rising fast inthe big-population economies like China and India, whichaugurs well for Canada.”

This awareness is largely a reflection of TSM, which,through its Community of Interest Advisory Panel, has keptthe industry aligned with public expectations. “Public valuesdon’t stand still,” said Peeling, “and the industry can’t afford tolose touch with them. They’re the key to our social licence.”

That social licence will be Peeling’s legacy, said Vavrek.“Simply put, Gord Peeling has gained the trust of civil society.He has done so by proving that the mining industry can takeon hard issues and be collaborative – and that it can change.”

As Pierre Gratton put it, “Thanks to Gord, Canada’s min-ing companies are being recognized worldwide for whatthey’re doing in the area of corporate social responsibility.”

In addition to his ongoing participation in the NationalAboriginal Achievement Foundation, Peeling recently joinedthe board of Great Quest Metals, a Vancouver-based juniorexploration company. He also sits on the global advisoryboard of Alexander Proudfoot, a management consultinggroup to the industry, and is a member of Inmet Mining Cor-poration’s External Stakeholder Advisory Panel.

Other priorities include spending more time with his fam-ily, which includes Catherine, his wife of 36 years, their threechildren and one grandchild. CIM

August 2011 | 15

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news

After a 40-year hiatus, the under-ground Bralorne Mine, the onlypure-play gold mine in British Colum-bia, re-opened this year with the firstgold pour in May. The commissioningof the mine by Bralorne Gold MinesLtd. is the beginning of its re-develop-ment of a trio of past-producers thatalso includes the Pioneer and Kingmines and the exploration of the areaseparating them. The three minesoccupy 2,500 hectares of property,with gaps of approximately four kilo-metres between each mine. Theyrepresent the largest historic gold pro-ducers in the Canadian Cordillera.

Between 1928 and 1971, the threeoperations, located about 250 kilome-tres north of Vancouver, produced4.15 million ounces of gold from 7.9million tons of ore. It was the value,not the quantity, of gold that shut themines in 1971 when the price of themetal was just US$35 an ounce.

Currently, Bralorne will process 100tonnes per day of ore at a refurbishedmill nearby. Expansion of the mill isunderway with a target of increasing to250 tonnes per day by the end of 2013.

The mine is expected to produceapproximately 11,000 ounces goldwith an approximate net value of $9.2million in its first year of operation,based on a gold price of US$1,300. Inaddition to more than 50 direct jobs,the mine is expected to provide smallbusiness opportunities and servicepositions.

New mining operations in BritishColumbia are a rarity, and theirabsence has been major concern forthe province’s mining industry. GavinDirom, president and CEO of theAssociation for Mineral ExplorationBritish Columbia, said Bralorne maybe a small mine, but is significant forwhat it represents to the province.“There are other deposits in BC thatare not mined out, and the re-opening

Bralorne gold mine re-opens in British Columbia Historic gold camp has potential for expansion

By Peter Caulfield

of the mine will encourage othercompanies to re-visit historic mines,”he said.

Tom Schroeter, president and CEOof Vancouver-based Fjordland Explo-ration Inc., and former senior regionalgeologist with the BC Ministry ofEnergy, Mines and PetroleumResources, said the re-opening ofBralorne is another positive sign of theresurgence of mining in BC. “And it ispart of the ongoing momentum ofdeveloping and opening mines in theprovince,” he said.

Bralorne vice-president of financeDavid Wolfin said his father, LouWolfin, Vancouver stock broker andcompany founder, began assemblingclaims in the area in the 1960s in orderto put together a comprehensive landpackage. Wolfin’s big break came in1992, when International CoronaResources Ltd. (owned by legendarymine promoter Murray Pezim) shiftedits attention from Bralorne to the EskayCreek property in northern BC andsold Wolfin the Bralorne property. Heacquired full ownership in 2002. CIM


From left to right: John McCoach (president of the TSX.V); Gavin Dirom (president & CEO of AME BC); Matt Ball(COO of Bralorne, holding gold bar); Bill Kocken (president & CEO of Bralorne); David Wolfin (director and vice-president of financing); Bill Glasier and Gary Robertson (directors of Bralorne)

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Eric Finlayson was appointed the new CEO of Riversdale Mining Limited and Rio Tinto’s country manager in Mozambique. Finlayson joined the Rio Tinto Groupin 1989 and has been its head of exploration since early 2007; he previously heldsenior roles with Rio Tinto Exploration in Vancouver, London and Perth. He replacesCEO Steve Mallyon, who has been the managing director of Riversdale since 2008.

MOVING ON UP

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August 2011 | 17

Extracting gold without fuelling conflictNew World Gold Council standard aims to ensure “conflict-free” metal

By Paul Brent

It is malleable, indestructible,increasingly valuable and ultimatelyhard to trace back to its point of origin.These well-known attributes of theshiny yellow metal have prompted theWorld Gold Council (WGC) to initiatea new program to combat “conflictgold” and provide end-users – and reg-ulators – with the assurance that theirgold did not fuel military conflict in aforeign land.

The WGC and its gold-producingmember companies and large refinershave created and are now “stress testing”a system to identify and show that newlymined gold was produced and refinedwithout funding armed conflict, even ifit is produced in countries experiencingsome sort of warfare. “Even where thatmine might be in a conflict area, you canproduce gold in a way that doesn’t fuelconflicts,” said Terry Heymann, the Lon-don-based director of the WGC’sStrategic Development Group. “You canshow that gold to have not contributedto conflict with chain of custody in placeon the way to the refinery.”

Getting to the point where a systemis in place to be stress tested has takena year, a reflection of just how manyfactors go into getting the gold out ofthe ground and into consumers’ hands.“The gold supply chain is very compli-cated and somewhat fragmented,”Heymann explained. “Because of thevalue of gold and the value per smallunits of gold, sometimes it is hard totrack every shipment, particularlycoming out of conflict areas.”

The WGC’s system is designed to beapplicable to armed conflicts globally and is a response to the require-ments of section 1502 of the Dodd-FrankWall Street Reform and Consumer Pro-tection Act. Gold originating from theDemocratic Republic of Congo gets spe-cial focus in the legislation. Heymannnoted that there may be unintended con-sequences to the conflict-free initiatives.

“Dodd-Frank and the OECD (conflictgold) process(es) would actually be verychallenging for artisanal miners, and thatis something we recognize and see as dif-ficult,” he said. Because the conflict-freesystem builds on existing record keepingcarried out by mining companies, it isnot expected to add much in the way ofcomplexity or cost to gold production,Heymann added.

Kinross Gold vice-president of cor-porate responsibility Ed Opitz, whoworked on the development of theWGC’s conflict-free standards, saidthat while “conflict gold” is a tiny per-centage of the gold produced annually(less than one per cent of global sup-ply), and no WGC members operatedin the Congo area, it needed to beaddressed. “Although none of theWGC members currently produces

gold in the DRC, some have plans todo so in the near future and others cur-rently operate in adjacent countries. Inthat sense, the WGC is addressing thequestion of what operators must do toensure their operations do not con-tribute to such conflicts,” he said.

Miners seem supportive of themeasures and are poised to put them inplace. “We’re certainly looking at help-ing with the development of thesestandards and how they can be appliedto our operations,” said Dale Coffin,director of corporate communicationswith Agnico-Eagle Mines Limited.

The WGC is now consulting withvarious stakeholders on the latest draftand will accept comments on the stan-dard until September.

www.gold.org

CIM

news

Brian Battison was shockedand disappointed last Novem-ber when the federalgovernment turned downTaseko Mines Ltd.’s ProsperityMine plan. “It took some timeto digest,” said Battison,Taseko’s vice-president of cor-porate affairs. “It was severaldays for us to try to understandwhat the decision meant, and tocarefully read the decision.”

The Prosperity Mine site,which is said to contain theworld’s seventh largest gold and copperporphyry deposit, sits directly down-stream from Fish Lake. Taseko hadproposed that the lake be drained, filled

New Prosperity plans would save lakeTaseko pursues federal approval a second time

By Peter Braul

with waste rock and replaced by anotherlake for the community to access.

Environment Canada, in explainingits decision, stated that it accepted the

public findings of a federalpanel created to review the proj-ect. The report from the panel,published in July 2010, foundthat the Taseko project, as pro-posed, “would result insignificant adverse environmen-tal effects on fish and fishhabitat, on navigation, on thecurrent use of lands andresources for traditional pur-poses by First Nations and oncultural heritage. The Panel alsoconcluded that the Project, in

combination with past, present andreasonably foreseeable future projects,would result in a significant adversecumulative effect on grizzly bears in


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Taseko’s revised plan for the New Prosperity mine would not requireFish Lake, which is upstream from the proposed mine, to be drained.

into things. “Taseko was adamant… thatthe proposal featured in their [first]application was absolutely the only fea-sible/viable option,” said Grand ChiefSteward Phillip, president of the Unionof BC Indian Chiefs. “Now, Taseko issaying something that completely con-tradicts their earlier assertions.” Onthose grounds, First Nations haverefused to consult with Taseko over thenew plan, but whether theirstonewalling tactics have any impact onthe federal decision remains to be seen.

The Supreme Court has ruled thatFirst Nations have a treaty right to behonourably consulted, but do not holdveto power. However, a United Nationsdeclaration that First Nations have theright to “free, prior and informed con-sent” appears to challenge that, sinceFirst Nations could refuse consentwithout consulting with anyone.When the federal review will be com-plete is difficult to say. CIM

news

the South Chilcotin region and on fishand fish habitat.”

But Taseko had a backup plan. Inthe process of designing the mine, thecompany evaluated several optionsthat did not involve draining the lake,but had settled on the less expensiveoption. “There were always ways tobuild the project differently, but therewas only one way to do it that was eco-nomical at the time,” said Battison.

Because consensus prices for bothgold and copper are now significantlyhigher, plans that were not feasiblebefore were brought to the forefront toaddress the government’s concerns.The new project description, whichTaseko submitted June 6, would costthe company an additional $300 mil-lion. It would save the lake and reducethe area of environmental disturbanceby 23 per cent.

According to Battison, most of theextra funds would go towards trans-

portation, as tailings and waste rockwould have to be moved elsewhere inorder to avoid damage to Fish Lake.Under the new plan, the tailings dam willbe moved two kilometres upstream fromFish River’s entrance to Fish Lake, whereit was originally planned to go, and tail-ings will be pumped that distance for theentire 20-year life of the mine. The newplan would also have waste rock movedto the east, away from the lake.

Battison said that many thought thelake was going to serve as a tailingspond, but that was never Taseko’s plan.And while many reports have said thatthe new plan would make Fish Lakeinaccessible for 20 years, Battison saidthat is not true either. “That lake can bemade accessible,” he said. “It can bedesigned in such a way to retain treesand foliage around it.”

Despite Taseko’s attempts to resolvefederal concerns, misunderstandingswith First Nations could throw a wrench

August 2011 | 19


When a problem arises on site and expert support isin another hemisphere, it is not such a smallworld after all. Getting those expert boots on theground to provide the solution at the work site

takes time, especially in the modern global industry wherethe parts, resources and people for a mining operation aresourced from around the world. The Onsight Video Collab-oration System was created to close that distance and cutexpensive downtime, allowing technical specialists to be alittle nearer to two places at once.

Created by Winnipeg high-tech company Librestream,the system is based on a rugged, wireless camera device thatprovides audiovisual links between experts, supervisors,consultants and field operators around the globe. Thatmeans an engineer sitting in a Toronto office could help aforeman on an oil rig in Mexico repair a piece of equipment,step by step, in real time. And if a worker on the same rigwere sick or injured, instant diagnosis could be availablefrom a medical specialist in a hospital in another distant city.

Electrical engineer Kerry Thacher co-founded Libre-stream in 2003, after working with a large manufacturer ofrugged handheld computing equipment. While there, hehad become frustrated by the communication difficultieswith technical partners and suppliers in the U.S., Japan andTaiwan. “We thought there might be some better way to col-laborate over distance during development cycles, andcreated the Onsight system to do that,” says Thacher.

The system found a ready international market when pro-duction began in 2007. Since then, Librestream has soldthousands of mobile devices and the accompanying software.

The main customers are mining, oil and gas andmanufacturing companies in the U.S., Asia,Europe, Central and South America.

Designed for hard hat areas“Most existing collaboration technology is

aimed at people sitting at a desk or in the confer-ence room,” Thacher explains. “That’s not whatgoes on in the mining industry. These are peopleout at difficult locations and they need specialtools.”

The company aims to save customers time andmoney by bringing the problem to the expert,rather than the other way around. By way of illus-tration, Thacher cites the case of a power systemthat broke down in a large open pit copper minein South America. The problem threatened toleave hundreds of workers standing idle, alongwith a plant worth billions of dollars. Instead,experts in the U.S. used the Onsight system, via a

satellite link, to diagnose the fault. Local technicians werecoached to make vital repairs and were trained to reduce thepossibility of a further recurrence.

“Normally it would have taken three to four days, plusacclimatization time for a technical team to reach theremote mountain site,” says Thacher. “With Onsight, youdon’t have to worry about getting on an airplane and los-ing productivity. By cutting physical travel you alsoreduce your company’s carbon footprint and lower riskexposure to employees. Some of the places where peopleare mining or drilling for oil are among the most hostilelocations on earth.”

Limiting the need to travel, along with its risks and costs,can have a big impact on the bottom line. According to theLibrestream CEO, Onsight usually pays for itself in just twouses – or even less.

How it worksTechnically, the Onsight device is about the same size and

weight as a professional SLR camera. Three models havebeen designed for either indoor or outdoor use, as wellpotentially hazardous environments such as chemical pro-cessing plants. The mobile device is fitted with a 10X opticalzoom and a macro function that provides a clear, close-upview of small components or circuitry.

An illuminator ring surrounding the lens allows use in lowlight, and external devices such as a microscope or borescopecan be connected if additional visuals are needed. An expertsitting at the desk with a computer can remotely control allthe camera and collaboration functions, and communicate

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The multi-function camera and communication device allows experts to diagnose problems and leadrepairs remotely.

Long-range troubleshootingRugged video system connects experts and cuts downtime

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of a triplet in rural Nebraska who wasborn with a heart murmur. The closestpediatric cardiologist was 115 miles awayand the local doctor could not be sure ifthe baby had a life threatening defect.”

Specialist diagnosis was neededquickly to determine if the family couldbe kept together or whether the boy hadto be rushed to a major hospital. An

ultrasound machine was hooked up to Onsight and livestreamed to the distant cardiologist who quickly confirmedthe condition was not serious. “That diagnosis saved thefamily a lot of unnecessary disruption, fear and concern at atime when the parents were very vulnerable,” says Thacher.

In another potentially harmful situation, Onsight wasused in the test flights of a newly designed aircraft. Duringone flight, the pilot had to make a forced landing and luckilyescaped unhurt. Onsight was set up to communicatebetween the team at the test site and the manufacturers, whowere far away. “The ability to diagnose the problem in thefield enabled the aircraft engineers and designers to diagnosethe issue more quickly and cheaply, using information basedon real life conditions,” Thacher explains.

“We’ve taken teleconferencing to a new level,” he adds.“And in the words of our company slogan: ‘This changeseverything’.” CIM

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with field staff at any location withaccess to a wireless, satellite or cel-lular network.

All participants in the collabo-ration can perform two-waytelestration, or onscreen drawing.For recordkeeping the system isequipped with bi-directionalvideo recording and still-imagecapture. Additional participants from different locationscan also be included if the session needs extra input.

“This is not your typical video camera,” says Thacher. “Weworked hard to make our product go way beyond that. In fact,the main hardware development challenge was compressingall the extra functions in one hand-held device to providehigh processing capacity with low power consumption.”

Picture the potentialThacher applied his experience in the development of

mobile healthcare devices to the design of Onsight, and thetechnology’s medical applications remain important to him.Apart from the system’s industrial uses, he is particularlyproud of its potential to save lives.

“With Onsight, I’m pleased to know that healthcare, med-ical diagnosis and emergency advice are now more accessibleto remote communities,” says Thacher. “I remember the case

August 2011 | 21

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The Athabasca Basin in northern Saskatchewan hasbeen one of the world’s premier uranium camps,yielding more than 700 million pounds of uraniumoxide since milling operations first began in the area

in 1975. It occupies nearly one-third of the surface area ofthe Saskatchewan Shield and famously hosts many high-grade uranium deposits.

The first uranium mill was Rabbit Lake, which came intooperation on June 10, 1975. The mill was operated by GulfMinerals (Canada), which made several modifications dur-ing the first years of operation to solve problems and toincrease production. Further changes were made by Eldo-rado Nuclear, which acquired Gulf Minerals (Canada) in 1982.

Initial refinementsThe autogenous (AG) mill in which the ore was crushed

and ground was quickly converted to semi-autogenousgrinding (SAG). As well, soon after startup, the urethane lin-ers failed throughout the acid section of the mill, includingthe tailings line. Linings in the counter current decantation(CCD) thickeners, solvent extraction (SX) mixer-settlersand associated tanks were replaced with fiberglass, while thetailings line was replaced with high-density polyethylenepiping.

The CCD underflow diaphragmpumps were a continual problem.The pumping system was firstrecommissioned with hydraulicdrives, but eventually the diaphragmpumps were replaced with centrifu-gal pumps. There were also chronicdifficulties with ore crushing. Even-tually, crushing was abandonedaltogether and the ore was insteadbroken with a hydraulic breaker andpassed through a grizzly feeder.

Modifications were made in 1977to control the radium in the effluent,through barium chloride precipita-tion and pond settling of theradium/barium sulphate precipi-tates. Pressure sand filters were laterinstalled when pond settling failedto produce a solid-free effluent.

By the early 1980s, the RabbitLake mill was a successful, smooth-running operation. The startup millfeed rate was 60 tph (1,600 tpd), butby 1981, the average milling rate had

increased approximately 28 per cent to 77 tph (2,040 tpd).

Adjusting to a new oreThe Rabbit Lake ore body was scheduled to be mined

out by May 1984. Stockpiled ore would continue to pro-vide mill feed until late 1985, at which point the mill feedwould switch to the much “dirtier” (higher arsenic con-tent) B-zone ore. The initial ore was “clean” (lower arseniccontent) in comparison; however, even with this clean orethere was considerable crud build-up in the mill’s SXmixer-settlers.

Rabbit Lake used ammonia for SX stripping. It ran testswith the B-zone ore using the same process of ammoniastripping, and found that crud formation was much higher.In addition, Rabbit Lake was now required by regulators toreduce the ammonia in its effluent by 97 per cent, fromapproximately 500 mg/L to a maximum of 15 mg/L. Eithera process to remove ammonia from the effluent would haveto be installed, or they would have to change to a completelyammonia-free process.

There were several options. Ammonium sulphate crystal-lization was to be used at the nearby Key Lake mill, but themill was not yet in operation, and there were doubts that theprocess could effectively reduce ammonia levels. Sodium car-bonate stripping was also not ideal, as it tended to precipitate

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Rabbit Lake, owned by Cameco Corporation, is the longest producing uranium operation in Saskatchewan.

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The evolution of an operation Tracing the history of uranium milling at Rabbit Lake

uranium and other contaminants in the final effluent. Thiswas achieved through a high pH clarifier, commissioned inOctober 2006, and a low pH clarifier, commissioned inNovember 2009.

In this improved process, low pH clarifier overflowundergoes high pH neutralization with slaked lime and fer-ric sulphate. The underflows of both the low and high pHclarifiers are combined with the final CCD underflow tail-ings and neutralized. The combined neutralized tailingsare discharged into the in-pit TMF. High pH clarifier over-flow goes through two further contaminant precipitationstages, each followed by a settling pond. After pressuresand filtration, the effluent is finally discharged into theenvironment.

This article was adaptedand edited by CorreyBaldwin from a technicalpaper entitled “UraniumMilling in NorthernSaskatchewan’s AthabascaBasin: Past, Present andFuture” presented at the2011 Canadian MineralProcessors Conference.

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uranium in the mixer-settlers and was operationallyunproven. Sodium chloride stripping was effective butresulted in large amounts of sodium and chloride in theeffluent.

Rabbit Lake decided to convert the mill’s SX process tostrong acid stripping, an unconventional though veryeffective process, and one that required only minimalprocess equipment modifications. The pregnant strip solu-tion would also be fed to a hydrogen peroxideprecipitation process to completely eliminate ammonia. Inaddition, a gypsum precipitation process was installed tobring the sulphate ion concentration down to a maximumof 30 g/L, above which hydrogen peroxide precipitationdoes not occur.

Tailings management and waste treatmentAt the same time, Rabbit Lake designed and installed the

world’s first pervious surround in-pit tailings managementfacility (TMF). With this system, raise water (water drainedfrom the consolidating tailings) is collected and returned tothe mill for reuse or treatment. In the Athabasca Basin, thein-pit TMF is still considered the state of the art for tailingsmanagement.

These combined modifications produced a virtuallyammonia-free effluent. Milling of the B-zone ore began, asplanned, on November 13, 1985.

A number of issues with waste treatment and SX weredealt with during the first few years of strong acid strippingoperation. In waste treatment, the underflow density fromthe solution recovery thickener (SRT) was lower thandesired, and the volume and nature of the solids exceededthe capacity of the tailings filtration plant. The SRT over-flow also contained an excessive concentration ofsuspended solids. The tailings filtration plant was reconfig-ured to deal with these problems, and the SRT process wasaltered to clarify aqueous waste feed to the mine watertreatment system.

The problem in SX arose from the operation of the leach-ing process. Inadequate ore blending for arsenic grade led tospikes, and operators responded by increasing the additionof sodium chlorate to leaching. Occasionally, too much chlo-rate was added, and unreacted sodium chlorate passedthrough CCD and into the SX feed. Here, the sodium chlo-rate combined with the high sulphuric acid concentrations,degrading the tertiary amine to secondary amine. The sol-vent took on the colour and consistency of orangemarmalade.

In 1986, after several unsuccessful attempts to clean orrejuvenate the organic solvent, the entire organic inventorywas removed from the mixer-settlers and burned. The freshorganic solvent was provided, heat exchangers to cool thepregnant organic installed, ore blending improved, and oxi-dation potential control throughout the leach circuitupgraded, resulting in a normally operating SX circuit.

More recently, from 2000 to 2005, Rabbit Lake performeda process development campaign to reduce the level of

August 2011 | 23

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Chuck Edwardsis AMECAmericas’director ofmetallurgy andCIM president.


To understand the life cycle of tailings, researchers atSyncrude Canada Ltd. established settling columnsat the University of Alberta to learn how much timethe mature fine tailings (MFT) produced by bitu-

men extraction from the oil sands would require to settle,thus allowing the water to be extracted. It now has beenmore than a quarter of a century since the experimentbegan and the results are still not clear-cut. Major chal-lenges such as this facing the Canadian mining industrymotivated Les Sawatsky, engineering division director atGolder Associates, to bring the Mine Closure 2011 confer-ence to Alberta.

As chairman of the event, Sawatsky, who has a back-ground in water management, also ensured that one of themajor topics of the conference will be the remediation oftailings ponds. “There is a great deal of mine closureresearch being conducted all over the world,” he says, “andCanadian mining companies should have better access tothe findings, so that the results of research by others andsuccessful practices at other mines can be applied to minesin Canada. Equally, there is a great deal of information andsuccesses that Canadian mining companies can share withtheir counterparts elsewhere in the world,” he adds.

Tailings in the crosshairsDelegates and speakers at the conference will include the

“who’s who” of the oil sands sector, including Jean-MichelGires, president and CEO of Total E&P Canada. Total’sJoslyn operation is not set to go into operation for anothersix years, but reclamation is a critical issue for the companyright now. “If you want to recreate lowlands and wetlands,and want them to be sustainable and ecologically produc-tive,” says Gires, “you had better understand what you’re

after, so you can restore them correctly and progressively.This in-depth understanding of the issues, selection of thecorrect technologies and implementing them vigorouslywith enough knowledge is part of the challenge.”

Alan Fair, who until recently was manager of researchand development at Syncrude and is currently executivedirector of the newly created Oil Sands Tailings Consortium(OSTC), has kept an eye on the MFT inside Syncrude’s set-tling columns. He has seen the research into tailingsmanagement and reclamation unfold and appreciates thescale of the challenge. “At the end of the day, it’s not goingto be one single solution to dealing with that tailing suspen-sion,” he says. “It will be a suite of technologies, anddeveloping these technologies will be part of my role asexecutive director of the OSTC.”

Up to the taskFortunately, some methods for settling the MFT already

exist, such as Suncor Energy’s TRO tailings managementprocess. In addition to the familiar step of mixing a chemicalflocculent into the tailings, Suncor spreads the MFT in athin layer on sand beaches, where the bulk of the water runsoff or evaporates. The result is a trafficable material suitablefor reclamation within a matter of weeks.

Sean Wells, Suncor’s research engineering manager, hasan office window that overlooks what used to be Pond 1.The view has certainly improved as the first tailings pond inoil sands history has been transformed into a surface solidenough to be actively revegetated and reclaimed and nowbears the name Wapisiw Lookout. Reclamation of the area isfar from complete, Wells hastens to add. The site will haveto be monitored for plant and animal life recovery. “We’re ina phase now that’s going to last at least 10 years and will

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Talking tailingsMine Closure conference comes to oil country

Pond 1 surface construction involved covering it with a layer of soil 50 centimetres deep. About 65,000 truckloads of soil were used.

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include intensive monitoring and analysis of the land formto determine what, if anything else, needs to be done, whichwill help the regulators and the industry determine what isa successful trajectory for reclamation,” Wells concludes.

Reclamation: an open conversationAs Suncor’s example illustrates, there is a strong need for

dialogue among the oil sands operators as well as regulatorswhen it comes to mine closure. Wells, a speaker at theupcoming conference, says that in his experience, operatorsview mine reclamation know-how not as a trade secret to beprotected, but rather as an obligation they accepted torestore the land to a state that is equivalent, but different,than the original.

The same notion of working towards a common goalunderlies the formation of the OSTC, which counts all of themajor surface mining oil sands players among its members:Total, Suncor, Syncrude, Teck Resources, Shell, CNRL andImperial Oil. Fair says the seven member companies, alreadyengaged in reclamation R&D, are going to collectively spendover $90 million on tailings reclamation this year. TheOSTC’s mission is to coordinate these research efforts and tomaximize the efficiency of the work, he adds.

Increased exchange of expertise is sure to benefit compa-nies such as Total, a relative newcomer to Athabasca’s oil

sands, but one with big plans. Gires says Total’s Joslyn Mine,scheduled to begin operations in 2017, is also planning forprogressive reclamation, reaching its closure stage with 60per cent of the disturbed area already remediated. In turn,Total will bring its own expertise to the conversation,including experience in Venezuela’s oil sands. Gires, who asvice-president of sustainable development and environmentin 2009 saw Total take the top rank on the Dow Jones Sus-tainability Index, is to speak at the conference about CSR asit relates to mine closure.

Much work remains to be done when it comes to oilsands mine and tailings pond reclamation. Initiatives such asMine Closure 2011, which will be held in Lake Louise inSeptember, and the OSTC are clear indicators that the indus-try recognizes the need, and is facing it head-on.

“The problems of oil sands tailings are unique,” says Sawatsky,“but solving unique problems is not new to the industry.” CIM

August 2011 | 25


Leading by exampleIngenuity and imagination driving the industry

By Richard Andrews, Ryan Bergen, Peter Diekmeyer, Alexandra Lopez-Pacheco,

Eavan Moore, Dan Zlotnikov

King of the KlondikeShawn Ryan, together with his wife and business part-

ner Cathy Wood, owns 20 per cent of the Yukon’s goldclaims and has been credited with starting the territory’s

largest gold rush in a cen-tury. Has the good fortunemeant he has hung up hisboots? “No,” he tells CIMMagazine on a shaky cellphone connection fromout in the field on a dampand long Yukon summerday, “we’re not done yet.”

Initially, Ryan, anOntario-born hunter andtrapper, moved to theYukon in 1991 to harvestwild gourmet mushrooms.He turned his attention to

prospecting and has spent almost two decades looking forgold in the Yukon’s Klondike region near Dawson City. Astring of discoveries led Underworld Resources Ltd. to itsmassive White Gold deposit in 2004.

He is now president of Ryan Gold Corp., a mineralexploration company that has the backing of top financiersand geologists. With gold reaching record prices this year,Ryan is sitting on deposits potentially worth billions of dol-lars. He owns 35,000 claims, which he options off to otherprospectors and junior mining companies, giving themaccess to his properties.

He emphasizes he is not your 19th century goldprospector hoping to get lucky overnight. “The day ofbeing a prospector coming out with a rock in your handand getting a quick deal is pretty well over,” he says. “It’s allscience now.”

“Nobody believed there were these big gold deposits inthe Yukon, but we persevered,” says Ryan. “I worked onsome projects for five or six years.”

In 2002, Ryan started his soil sampling programs usingGPS; he believes a successful gold prospector needs alarge data base “to get the big picture” before drilling starts.“Soil geochemistry is our primary exploration tool,” heexplains. “Ten years ago, 300 or 400 soil samples were a

lot of soils for a company. We’re aiming for185,000 soilsthis summer. Our business is still in a rush to drill tooquickly. It’s like playing pool. You have to set up your shots,”he adds.

“We’ve already seen about a six-fold increase in stakedclaims in two years,” Ryan says. “In 2002, two million dol-lars was spent on exploration, and $250 million will bespent this year.”

In recognition of his achievements, Ryan was named the2010 Prospector of the Year by the BC/Yukon Chamber ofMines. This year, he received the Prospector’s &Developers Association of Canada (PDAC) Bill Dennisaward for prospecting success with a Canadian discovery.

Ryan gives much credit to his wife’s encouragement,research efforts and negotiation skills. “Cathy was mybiggest supporter and partner,” he says. “She was the peo-ple person and I was the bush person.” R. ANDREWS

Doing it right – from the ground on down

Presented with a challenge, Noront Resources hasshown itself willing to try novel solutions. The explorationcompany's polymetallic deposits in the Ring of Fire ofNorthern Ontario have already provided it with numerousopportunities for innovation, both technical and social.

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Noront’s Esker camp in Ontario’s Ring of Fire

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If you cannot grow it, then you have to mine it. The expression neatly makes the case for thecontinued success of a long-lived industry. It also suggests that mining is inevitable: as sure asthe world turns and economies continue to grow, the industry will be carried along by momentum.The faith in demand is reassuring, but it does not capture the countless technical and socialchallenges that have to be met from the earliest exploration stages to mine closure to ensure thesupply for that demand. It is the ingenuity and imagination of those in the industry, such as thepeople, and projects profiled here, that will furnish the resources.

Some of that innovation was on display at the 2011PDAC event in Toronto, where curious conference-goersvisited Noront's booth to see the 3D ore body models ithad commissioned for easy visualizing. Other bright ideasappear in the Eagle's Nest project description. For exam-ple, Noront's deposits are located under wetlands, render-ing it difficult to find enough dry ground for a traditionalmilling circuit. The company instead plans to build anunderground mill, as studies to date suggest that is a morecost-effective alternative than surface construction.

Going underground has the added benefit of reducingthe mine's environmental footprint and preserving the tra-ditional lands of local Aboriginal communities. Noront'sleadership has committed to responsible developmentfrom the start.

CEO Wes Hanson points out that Aboriginal communi-ties are struggling to survive, even with the available gov-

ernment support. Noront’sobjective is to work with localcommunities to identify jobsand sustainable businessopportunities that futuredevelopment of the regionwill introduce, allowing thecommunities to benefitdirectly.

Noront's first priority isworking with stakeholders toassess their needs. "We wantto develop a model programfor community consultation,"

says Hanson. The company employs a First Nations advi-sory panel and meets often with the communities in theregion. Noront has also gone the social media route, build-ing a website with social networking functions in order tofacilitate information sharing and dialogue. With the projectstill in the planning stages, Noront's power to act remainslimited, but it aims to eventually support and encourageeducation among young people in the Ring of Fire.

According to Hanson, feedback through these channelshas been largely positive. The Marten Falls First Nationstaged two blockades in 2010 and 2011 to protest a gen-eral lack of consultation in Ring of Fire exploration activi-ties, but Noront was not named as a chief offender.Hanson reports that Noront received support from otherFirst Nations communities, including individuals workingfor the company. Currently, 22 per cent of Noront’s work-force is self-identified First Nations.

The incidents do illustrate the challenges of earningcommunity trust, however. Hanson believes working withAboriginal groups requires hard work. "People understandthe environmental impact of mining," he explains, "and theyhave experienced previous mining operations that prom-ised benefits, but left communities worse off, not better.There are many instances where First Nations felt ignored.They now have a sense of wariness and, as a result, haveadopted a cautious approach focused on establishing the

correct relationship at the onset. That's one of the reasonswe've chosen this very upfront approach." E. MOORE

Provencher goes deepAgnico-Eagle Mines Limited’s flagship LaRonde site is

one Canada’s largest gold mines. So when the companypicked Christian Provencher to manage the site back in2006, he instantly became a highly watched industryplayer.

Provencher’s success at LaRonde and in overseeing itsextension project, scheduled to begin full production thisfall, only increased his visibility, and by mid-summer of thisyear, he was named Agnico-Eagle’s new director of opera-tions, standards and performance. “The project will be com-pleted on time, on schedule and on budget,” says the indus-try veteran. “But there were a lot of challenges.”

Enlarging the LaRonde site meant, in effect, building anew mine within a mine, including a new kilometre-longshaft, which brings its total depth to an ear-popping 2.9kilometres. “Finding contractors that were sufficientlystaffed with employees that had the appropriate skill setsproved difficult,” says Provencher. “In the end, we decidedto use our own people when possible, particularly withexcavation work.”

Another major challenge stemmed from rising inputcosts due to the commodities boom currently sweepingworld markets, particularly in energy and steel. Accordingto Provencher, Agnico-Eagle dealt with the problem by


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Shaft sinking at the LaRonde Mine

working with on-site engineers to make changes to the ini-tial extension designs in order to reduce the amount ofsteel used.

Provencher’s reward for his work at LaRonde willinclude a new role with increased responsibility, as well asthe opportunity to travel to other Agnico-Eagle installationsin Quebec, Finland and Mexico. He does not flinch for amoment at the prospect of being on the road for one ortwo weeks each month.

“It’s a great opportunity that will give me a chance topass on my knowledge to a lot of younger people at thecompany,” says Provencher. “Taking on this new ‘mentor’role should be a lot of fun.” P. DIEKMEYER

A man with a long-term plan

When Tim Gitzel wasappointed CEO of Cameco inJuly of this year, he could notbe blamed for wondering whathe was getting into. The com-pany’s stock price had justdropped by close to 40 percent from its year-to-date high,in the wake of the Japaneseearthquakes and tsunami and

the resulting damage to some of the country’s key nuclearfacilities. As a result, the long-term viability of nuclearpower plants was being increasingly questioned aroundthe world.

In addition, his appointment as vice-chair of the WorldNuclear Association in March of this year meant that healso became a major public face of the industry itself. Yetnone of this seems to bother the former lawyer and pastpresident of the Saskatchewan Mining Association.

“I had no hesitation in taking on the post, not even forone second,” says Gitzel. “I have been working my wholelife in the industry and we have seen both good times and,now, a bit more challenging times.”

Gitzel believes that rebuilding industry credibility startswith re-emphasizing fundamentals. “Energy demand isexpected to double over the next 20 years and the powerwill have to come from somewhere,” he says. “Nuclearshould be a big part of the picture. There are currently 437working reactors around the world and another 92 sched-uled to arrive by 2020. Yet while some countries, such asGermany, Italy and Switzerland, that were long cool onnuclear, have said they will phase it out; we will see howthat plays out. Also, many other countries have either com-mitted or recommitted to nuclear power use.”

Gitzel believes that while it is still too early to assess lessons learned and the overall impact of the Japanese

August 2011 | 29

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nuclear power plant disasters, he points out that therewere several unique geographical features at play, notablytheir location in potential earthquake and tsunami zones.

Ironically, the recent cooling of market enthusiasm fornuclear power could create unexpected, though timely,opportunities for Cameco. The company has long had apolicy of seeking out acquisitions. With asset prices in thenuclear space sagging, this may well be the perfect oppor-tunity for it to find good value out there. P. DIEKMEYER

Refining the process step by stepIn about 20 months from now, Vale’s new processing

plant in Long Harbour, Newfoundland and Labrador, willbegin producing high-quality nickel from nickel concen-trate produced at the company’s mining operation atVoisey’s Bay.

To convert the concentrate to refined product, the plantwill use a hydrometallurgical process that Vale (and Incobefore it) have developed, making it the first commercial-scale acid leach-based nickel processing plant that doesnot require the traditional intermediate smelting process,which can emit sulphur dioxide and other impurities. Theproject is built on the applied knowledge and example ofpre-existing gold, zinc and copper hydrometallurgicalextraction techniques and the painstaking research anddevelopment required to move from laboratory anddemonstration-scale test work to commercial-scale opera-tion. When complete, the plant will have the capacity toproduce 50,000 tonnes of finished nickel per year.

Sam Marcuson, Vale’s vice-president of base metalstechnology development, has been involved in the projectsince 2005, before it was even certain that the processingplant would use the hydrometallurgical process. The ambi-tion was there, he says, but the decision only came at theend of 2008, when the demonstration plant showed a full-scale plant was feasible. The conservative approach thattook the project from the laboratory and mini-pilot planttest work to the demonstration scale proved to be the rightcourse, says Marcuson. “We learned more things at eachlevel, even though we did the previous steps quite well.” Forpioneering work, that caution was important in mappingout the project. “You need to be quite certain and sure of

When David Garofalo moved into the head officeof HudBay Minerals last summer to take therole of president, CEO and director, he took an

armful of awards with him. His work over 12 years atAgnico-Eagle Mines Limited and eight years before thatat Inmet Mining Corporation, earned him the title ofCanada’s CFO of the Year by Financial ExecutivesInternational Canada in 2009, as well as TopGun CFO byBrendan Wood International, and Best Investor Relationsby a CFO by IR Magazine in 2009 and 2010. Garofalohas continued to set the mark for management, againearning recognition from IR Magazine. The latest addi-tion to his collection is the 2011 Best Investor Relationsby a CEO award.

CIM: You have earned a good share of recognition for the wayyou engage investors. What is it that you think you do thatcaptures people’s attention?Garofalo: I have consistently engaged with investors, analysts and salespeople, and I’ve been doing it for many

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Rendering of Long Harbour processing plant

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HudBay’s 85 year history, she is heavily involved in Womenin Mining Canada, an organization focused on advancingthe interests of women in the minerals exploration and

mining sector. Also, given theskills deficit in our businessnow, we have to think out ofthe box in terms of attractingtalent from less traditionalgeographies for Canadiancompanies, such as EasternEurope, Asia and LatinAmerica.

CIM: From a broader perspective,what do you think is the biggestchallenge the mining industry isfacing?Garofalo: All the near-surfacehigh-grade deposits have been

found and it’s become far more challenging to replacewhat’s been pulled out of the ground. So across the sector,growth is very difficult to achieve, particularly for the seniorcompanies that have very large reserve bases.

CIM: What’s the response?Garofalo: In 2011 at HudBay, we have, at $78 million, oneof the largest grassroots exploration budgets in our history,and we are also drilling deeper in northern Manitoba thanever before, and exploring for – and discovering – preciousmetals in what has been traditionally perceived as a basemetal camp. We’ve also invested in more than 15 juniorcompanies for a total value of $140 million to further sup-plement and diversify our exploration focus.

CIM: What are the top challenges from a financial standpoint?Garofalo: A lot of jurisdictions don’t want mining, so gettinglarge-scale deposits online very quickly has become anincreasingly difficult proposition. It is more time-intensiveand certainly more capital-intensive because of the finitepool of human resources and capital equipment. As well, anumber of governments dealing with significant fiscal chal-lenges are looking at the profitability in the mining sectorand ways to increase their tax take. That would be a short-term and short-sighted fix to their fiscal problems as itcould have very severe long-term implications for the min-ing sector. Governments intent on increasing mining taxrates could end up pushing marginal projects out of thepicture and that would ultimately shrink their long-term taxrevenue bases. A. LOPEZ-PACHECO

August 2011 | 31

years in good times and bad. This discipline is important.Mining is inherently risky, and sometimes you have badnews. When this happens, you can’t hide under yourdesk. You have to redoubleyour efforts, and face ana-lysts and face investors andsometimes face their wrath.That will earn you a lot ofrespect. I learned that fromSean Boyd, my former bossat Agnico-Eagle, who is prob-ably one of the best commu-nicators among mining CEOsinternationally.

CIM: What do you think it takesto lead well in the mining industry today?Garofalo: I think you need clar-ity of vision and purpose. You have to have very stringentcriteria for how you build your business. Mining is such ageographically diverse business that an organizationrisks spreading itself too thinly, in which case, it’s verydifficult to execute on your growth objectives. The primelesson is to really know what you’re good at and focuson opportunities and skills where you have a competitiveadvantage, and grow your business accordingly.

CIM: So when you are evaluating new talent what are youlooking for?Garofalo: Whenever we hire highly skilled people, we tryto evaluate whether the candidates might be able to runone of our business units someday or become an exec-utive. Yes, we would like them to have strong technicalskills, but also a sense for business. I like to see a will-ingness to understand where their weaknesses are onthe business side and to address those through contin-uing education – which I’m more than happy to pay for.A good engineer who is willing to do an MBA, for exam-ple, is worth a lot more than a person who just wants toplot drawings for the rest of her life.

CIM: Does the industry need to increase the diversity of itsworkforce?Garofalo: We have come a long way in the mining busi-ness and at HudBay in particular. There is certainlymuch more diversity in our workforce. One of our mostpromising young engineers, Kim Proctor, is in charge ofour $700 million Lalor project in Manitoba. In addition tobeing responsible for the largest construction program in

industry leaders

Mining is inherently risky, and sometimes you have

bad news. When this happens,

you can’t hide under your desk.

yourself if you decide to go by a quicker route,” he explains.“You need to be working in pretty well-defined territory.”

This story of success, built as it is on the hard work ofan entire community of hydrometallurgists and otherexperts, does not have one hero. “The work was done inMississauga and Newfoundland, but this didn’t pop intoour heads here at Vale and Inco from nowhere; there arelots of people who are doing the same type of work,” saysMarcuson. “However, we developed a particular applica-tion that we have in place in Long Harbour, which is hardlya trivial matter. When you are developing any of theseprocesses, it is all the details that really count: What hap-pens to the impurities? How do these particular systemswork? Can I filter this material? Is the solid content rea-sonable? How do I recover these expensive reagents andre-use them? How do I improve the product quality? And,importantly, how does it all fit together. Sometimes peo-ple don’t understand that, yes, the big ideas count, but thelittle ideas count a lot, too.” R. BERGEN

The safety standardAlberta’s Genesee coal mine, owned by Sherritt

International and jointly operated with Capital Power, hasan enviable record when it comes to safety. In its 23 yearsof operation, the mine can count zero lost-time injuries. In10 of those years, the site won CIM’s J.T. Ryan Trophy forsafety in the coal mines category. Its most recent awardcame for its performance in 2009, earning the mine crewsyet another of their post-trophy lunchtime barbecues.

The key to safety ultimately depends on a culture ofcare that has been valued and maintained by a succeedinggeneration of employees, a number of whom are childrenof current and past mine workers.

General manager Chris Barclay says that while he andhis co-workers share as much as they can with other sites,they still have much to learn themselves. “In all honesty, we

industry leaders

Workplace oasesResource industry firms among Canada’s top employers

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are spending more time and effort in trying to learn andthen implement some of the great things that are beingdone by other sites,” he explains. “Other Sherritt sites, themining companies in Fort McMurray and the mine sites inthe Elk Valley have much to offer in terms of unique safetyprograms and cultures that they have undertaken andimplemented.”

The mine also relies on knowledge transfer throughCIM conferences, the Alberta Mine Safety Association andthe Surface Mining Association for Research andTechnology (SMART). “We are working hard at not beingcomplacent,” says Barclay. E. MOORE

Reputation and performanceIf you ask Ross Gallinger

what is the most importantissue that the mining indus-try must focus on, he proba-bly will not tell you. Notbecause he does not knowthe answer – Gallinger hasa history of leadership rolesin the sector – but becausehe does not believe any onearea to be more importantthan another. This is a phi-losophy Gallinger brings tohis newest post – that ofexecutive director of theProspectors and Developers

Association of Canada (PDAC).Gallinger’s previous

position was that ofsenior vice-presidentfor health, safety andsustainability with mid-tier gold producerIAMGOLD. When hejoined the companyfive years ago, “therewas no C-level positionwith regard to health,safety and sustainabil-ity,” he says. “There wasno environmental pol-icy, no sustainabilitypolicy, no health andsafety policy.”

Gallinger aided IAMGOLD in developing these policies,but equally vital was the creation of a clear end goal – aprogram that IAMGOLD named “Zero Harm.” Zero Harm,he says, was an effort to balance all aspects of what heterms a five-pillar approach to the business: resourcemanagement, financial strengths, production costs, repu-tation and last, but certainly not least, CSR. “If you’re jug-gling these five balls, you can’t concentrate on just onealone,” he adds.


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Gallinger explains that the operators in the field “reallyneed to know what the end result is going to look like.That’s really what Zero Harm is all about, filling that role. It’slike putting the pieces of a puzzle together.”

The result was visible, both inside the company andacross the industry as a whole. For the last year, IAMGOLDhas been collecting awards for sustainable developmentand CSR excellence, including ones from CIM and PDACitself.

Moving into his new position with PDAC, Gallinger sayshe is planning to take a similarly holistic approach. Hepoints to three challenges across the industry: identifyingthe resource, being able to economically mine the deposit,and maintaining social license to operate. To succeed, acompany must not neglect any of the three.

“Those are the three key aspects to the business, andthe three key risks we as an organization will be workingwith the members to resolve, to understand, and to try andmake improvements on,” Gallinger says.

To this end, Gallinger says he is planning on delvinginto a range of issues in his new role at the PDAC.“Human resources challenges associated with theindustry, access to land issues, Aboriginal affairs andadvocacy – all are intriguing aspects and a hugeopportunity for me to learn,” he says. “But I see huge

opportunities in assisting the sector in improving bothreputation and performance.” D. ZLOTNIKOV

Navigating between the polesFor 16 years, Julie Gelfand led a non-profit organization

that existed to “protect and conserve wildlife and habitats.”

Now, she is part of one that aims to promote “the growthand development of Canada’s mining and mineral process-ing industry for the benefit of all Canadians.” The apparent

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polar opposites might suggest that the long-time conser-vationist has lost her way, but in fact Gelfand continues tochart a sustainable course.

In 2008, Gelfand joined the Mining Association ofCanada (MAC) as its vice-president of sustainable devel-opment. The move made her responsible for implementing

MAC’s Towards SustainableMining (TSM) initiative, whichunites a wide range of stake-holders in establishing minesite protocols, which includecrisis management planning,health and safety, communityoutreach and tailings man-agement.

Gelfand received a warmwelcome at MAC, and most ofher NGO colleagues supporther role there. “There arepeople who don’t talk to me

anymore, but most of them don’t think that way,” she says.“They think, ‘Oh, this is great, we have somebody with ourvalues inside the industry now.’”

In her work at MAC, Gelfand has built on 20 years ofcooperation between MAC, Nature Canada and the sec-tors they represented in shaping federal land and wildlife


industry leaders

policy. “I always thought the mining industry was headingdown the right path,” she says. “For me, the transition toMAC was about working with the companies who are outin the landscape and seeing what can be done to helpthem minimize their environmental impact and maximizetheir social benefit.”

The mining industry has made a number of environ-mental achievements over the years, says Gelfand. Shethinks TSM, conceived in the 1990s and launched in2004, is its single best sustainable development initiative.Participation is mandatory for MAC members, and an advi-sory panel made up of a wide range of stakeholdersallows for diverse input. Detailed performance indicatorsguide operations at the facility level, and each site’s scoreis published openly and independently verified every threeyears, making the process both transparent and, in theeyes of NGOs, credible.

For Gelfand, even the most critical non-profits have arole to play. “The job of more radical groups is to raiseawareness about problems,” she explains. “Then, more rea-sonable groups look at ways to help maintain economicviability while dealing with the issues.”

When the need to innovate becomes clear, plenty ofbright people within industry rise to the occasion, saysGelfand. But mining continues to lag in public perception.“In Canada, the industry needs to do a much better job atcommunicating how our lives are touched by mining,” shesays. “There’s going to be more scrutiny over time, not less,from the NGO sector and the public.” E. MOORE

A sustainable pioneer“If you are of a

philosophical orien-tation, there is nobetter place to posi-tion yourself thaninside a mining com-pany,” declares JimCooney. In his 35years in the miningindustry, Cooney hasdemonstrated thatmining can andshould engage withfundamental philo-

sophical and ethical issues. While working at Placer Domein the 1990s, he encouraged the industry to embrace theconcept of sustainability. He retired from Placer Dome asvice-president, international government affairs in 2006,and has continued to work with the extractive sector, cur-rently as a senior associate with Canadian Business forSocial Responsibility. This year, he received CIM’sSyncrude Award for Excellence in SustainableDevelopment.

When Cooney first joined the industry, there was littletolerance for activities not directly related to the corpora-tion’s business purpose. Sustainable development seemed

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incompatible with the extraction of an exhaustibleresource.

The 1990s saw breakthroughs in attitude. Cooperativelyaddressing sustainability meant taking control of one’sagenda, not turningit over to NGOs orbecoming at oddswith the corporateobjective. “One ofthe most interestingmoments,” Cooneyremarks, “was whenone of our mineengineers got up ina workshop andsaid, ‘I’m beginningto see how sustain-able developmentnot only can behelpful to us inmanaging social,environmental andpolitical risk, butcan also be a waythat we can express our values. Within this concept, we canbe who we are.’”

Sustainable development both challenges and suits thegoal-oriented engineering mindset, he says. To be effec-tive, practitioners must suspend their vision of an end goaland focus instead on the process of engagement withdiverse groups. But, unlike approaches based on humanrights or corporate citizenship, the process ultimately pro-duces measurable outcomes.

What have been the outcomes so far? “There have beenhuge advances in relationships with indigenous peoples,”says Cooney. “And especially among leading companies,there are more instances of multi-stakeholder advisorycommittees on environmental issues.”

The biggest challenge for sustainably minded compa-nies, Cooney believes, is corporate integrity. “Companiesnot only need to have the right values hierarchies and long-term vision, but also have to actually make sure that it’sconsistent throughout the company: not as compliancewith policy, but as habits of thought.”

In the near future, he predicts some previously sidelinedissues will come to the fore. The precautionary principle,which states that even low-probability risks require somekind of action, appears more helpful in the wake of the BPoil spill and Fukushima Daiichi reactor meltdown. Thenotion of free, prior and informed consent for indigenouspeoples has gained new power with its recent inclusion inPerformance Standard Seven of the International FinanceCorporation.

“I think bridging the gulf between mining industrial activ-ity and spiritual frames of reference is one of the challengesthat we’re going to have to undertake,” says Cooney, addingthat this is at least a few years in the future. E. MOORE

August 2011 | 35


“The defining difference between companies is thetalent they have,” says Russ Buckland, managingpartner at Bedford Resources, an executive

search firm. “And companies today, particularly in the min-ing sector, have to compete for that talent. Companiesneed to have a simple but straightforward answer to why ayoung leader should work for them. If not, they’re going tohave trouble attracting the best talent.”

As part of its commitment to attracting leadership talent,Bedford sponsors the CIM-Bedford Canadian YoungMining Leaders Awards. “We initiated the program to put afocus on leadership and leadership development in themining industry by recognizing the best young leaders,”explains Buckland. “And also by recognizing young leaderswe want to encourage young people to choose mining astheir career.”

The following four professionals are this year’s awardwinners.

David AnonychukCommercial manager, cathodes,Xstrata Copper

“I did a lot of differentthings that opened my eyesto the different facets of thebusiness,” says DavidAnonychuk of his earlycareer as a metallurgist.“That early operations expe-rience gave me much moredepth in terms of what I dotoday. It was a launch pad tothe next level of commercialand strategy-related roles.”

In 2002, he joined Noranda’s copper business, andwhen Xstrata acquired Falconbridge (formerly Noranda) in2006 he took over Xstrata’s North American copper cath-ode sales. A year later he was overseeing their global cop-per cathode sales. “It was a big move and a big change,”says Anonychuk, who relocated to Dubai, UAE.

“All of the major regions of consumption in the world,that’s where I go visit,” he adds. “You get to feel the ebb and

flow of the copper business globally. It’s a very dynamicmarket; copper’s always there in the background.”

Anonychuk is also president of the Canadian Copperand Brass Development Association (CCBDA) andinvolved in the U.S. Copper Development Association(CDA). The associations promote the use of copper in suchareas as alternative energy and energy efficiency, althoughAnonychuk is most eager to promote copper’s antimicro-bial use. The CDA has pushed research that has recentlyshown that antimicrobial copper surfaces reduce hospitalinfection rates by 40.4 per cent.

“It is rewarding to be able to work on those types ofprojects,” says Anonychuk. “We want to contribute to theindustry, so we get involved. For me, it’s just being part ofthe industry, and it’s what we give back.”

Mark Eichhorn Lead process engineer, autoclave technology, Hatch

Mark Eichhorn hasbecome a much-valuedteam leader at Hatch sincejoining the engineeringconsultant firm’s non-fer-rous process group in1995. “My training as achemical engineer, andstarting work at Hatchunder senior process engi-neers with chemical andmetallurgical engineeringbackgrounds provided a powerful tool set for problem solv-ing and innovating,” says Eichhorn.

In 2002, he completed an MBA at the Rotman Schoolof Management, and returned to Hatch, this time relocat-ing to Australia. After a number of successful projects,Eichhorn returned to Canada in 2008 to lead the processteam of Hatch’s Autoclave Technology Group.

The Autoclave team is made up of over 80 engineersand designers. “It is a very accomplished multi-disciplineteam, so there is ample experience to learn from,” says

The next generation of leadershipCIM-Bedford Canadian Young Mining Leader Awards recipentsBy Correy Baldwin

August 2011 | 37

Eichhorn. “Many of our innovations are a result of puttingour heads together solving problems.”

It is a role that capitalizes on Eichhorn’s strengths inboth team leadership and engineering. “We are encour-aged to patent our ideas, develop engineering tools toimprove our design process, and research importanttechnical issues in more depth than a typical EPCM firm,”he says.

The job comes with a variety of responsibilities, includ-ing human resource planning, proposals, and businessdevelopment initiatives, explains Eichhorn. “In short, it’s adream job for technically focused engineers with a busi-ness sense — and for those who do not mind some majormulti-tasking.”

Chad HileyVice-president, humanresources, Barrick GoldCorporation

Chad Hiley first came toBarrick Gold as a consult-ant in 2001, offering hisassistance as a charteredaccountant with experiencein mergers and acquisi-tions. The gold giantoffered him the challengeshe was looking for. “Once Imoved to Barrick as anemployee I held progres-sive roles in the company

and took on several assignments,” he says.Hiley has held eight roles during his nine years at

Barrick. “Each [of these] has played a role in my develop-ment, taught me something different about Barrick, andwas rewarding in its own way,” he says.

He has been praised for his work in developing a vari-ety of programs and management systems, and mentor-ing young leaders, as well as his work on integrationassignments — during the acquisition of Placer Dome hemanaged the integration of 9,000 employees on fivecontinents.

Hiley remains eager for new challenges. “In August, I will be moving to Santiago, Chile, on a two-year

developmental assignment as the deputy project directorof Pascua Lama, one of our multiple billion dollar projects,”he says. “I really enjoy the challenge of working across dif-ferent cultures [as well as] the challenge of balancingstakeholders’ interests. In most industries there is a cus-tomer focus, but in mining, maintaining our social licenseto operate and balancing the needs of our stakeholders isreally interesting work.”

Ryan MontpellierExecutive director, MiHR

Even though RyanMontpellier grew up in themining town of Sudbury,Ontario, the mining industrywas never in his sights. “I leftbecause at the time I could-n’t see a career for myself inthe mining sector,” he says. “Itwas not, unfortunately, anindustry that was pushedvery hard. I’ve spent the bet-ter part of my career trying to change that, encouragingpeople to select a career in mining.” As executive directorof the Mining Industry Human Resources Council (MiHR),Montpellier is certainly well-positioned to deliver on thatobjective.

Montpellier was recognized as a Distinguished Lecturerby CIM in 2006, and won the International Association ofBusiness Communicators’ Gold Quill Award in 2007 for hiswork in addressing human resources issues in theCanadian mining industry.

“The industry is facing a significant challenge when itcomes to its labour market in attracting, recruiting andretaining youth into our industry,” he says. An aging workforce, coupled with a boom in the sector, is creating whatMontpellier calls a perfect storm.

“Companies can’t solve this issue alone,” he says, whichis where MiHR comes in. But, Montpellier adds, the realstrength comes from the network of hundreds of industryvolunteers. “The mining sector really comes together andaddresses this collectively,” he says. “The collaboration istruly remarkable. I don’t think you’d see that in many othersectors.” CIM

Un exemple à suivreL’imagination et la vivacité d’esprit au service de l’industrie


Le roi du KlondikeShawn Ryan, en collaboration avec son épouse et

partenaire d’affaires, Cathy Wood, détient 20 % des con-cessions aurifères du Yukon. Qui plus est, il serait l’instiga-teur de la plus importante ruée vers l’or menée sur le terri-toire depuis un siècle.

Ce sort enviable l’a-t-il incité à accrocher ses patins?« Non, pas encore », a-t-il répondu à CIM Magazine, la voixrendue chevrotante par la connexion de son cellulaire. M. Ryan se trouvait alors sur le terrain, au Yukon, lors d’unelongue et humide journée d’été.

M. Ryan est maintenant président de Ryan Gold Corp.,société d’exploration minière bénéficiant du soutien de fin-anciers et de géologues de premier plan. Le cours de l’oratteignant des sommets cette année, il est assis sur desgisements dont la valeur pourrait atteindre des milliards dedollars. Il détient 35 000 concessions qu’il accorde enoption à d’autres prospecteurs et à de petites sociétésminières, leur donnant ainsi accès à ses propriétés.

Il tient à préciser qu’il n’a rien du prospecteur d’or du19e siècle qui fait fortune du jour au lendemain. « L’époqueoù un prospecteur pouvait se présenter avec une roche et

Tout nous vient du sol : soit des plantes, soit des mines. Ce dicton explique assez bien le succèsconstant de l’exploitation minière, une industrie très ancienne. Mais il souligne également soncaractère inévitable : tant que le monde continuera à tourner et que les économies poursuivront leurcroissance, cette industrie accompagnera l’aventure humaine. Ces perspectives de demandeconstante, pour rassurantes qu’elles soient, ne disent pourtant rien des innombrables défistechniques et sociaux qu’il faut relever des premières étapes de l’exploitation d’une mine jusqu’à safermeture, afin de garantir qu’il y ait une offre adéquate pour répondre aux besoins. C’est

l’ingéniosité et l’imagination des gens qui assureront la disponibilité des ressources nécessaires, dans le cadrede projets comme ceux qui sont esquissés dans ce numéro.

conclure un marché rapide est pour ainsi dire révolue »,indique-t-il. « Aujourd’hui, tout est affaire de science. »

M. Ryan, qui a lancé des programmes d’échantillonnagedes sols par GPS en 2002, estime que pour réussir, unprospecteur d’or doit posséder une vaste base de données« pour obtenir une vue d’ensemble » de ses propriétésavant le commencement des travaux de forage.

« La géochimie des sols est notre principal outil d’explo-ration », souligne-t-il. « Il y a dix ans, 300 ou 400 échantil-lons de sol représentaient une grande quantité pour unesociété. Or, nous visons 185 000 échantillons pour cet été.Notre industrie est toujours portée à forer trop rapidement.La prospection, c’est comme le billard : il faut prévoir sescoups. »

M. Ryan ne tarit pas d’éloges à l’endroit de son épouse,qui l’a encouragé en plus de participer aux efforts derecherche et d’être une fine négociatrice. « Cathy est mapartenaire et la personne qui m’a le plus appuyé. Elle s’oc-cupait des communications tandis que j’étais sur le ter-rain. » R. ANDREWS

Bien faire les choses dès le départFace à un nouveau défi, Noront Resources est déter-

minée à mettre en application des solutions novatrices. Lesgisements polymétalliques de cette société d’exploration,qui se trouvent dans le Cercle de feu du Nord de l’Ontario,lui ont déjà fourni plusieurs occasions d’innover sur lesplans technique et social.

Certaines de ces innovations ont été présentées aucongrès 2011 de l’ACPE, à Toronto, où Noront a notam-ment éveillé la curiosité des participants en leur présentantdes modèles tridimensionnels de corps minéralisés. Lasociété avait commandé ces modèles pour faciliter la visu-alisation des corps en question. La description du projetEagle’s Nest comporte d’autres idées intéressantes. Parexemple, étant donné que les gisements de Noront setrouvent sous des terres humides, il est difficile d’y trouverdes sols suffisamment secs pour établir un circuit de broy-age traditionnel. En lieu et place, la société prévoit constru-ire une usine de concentration souterraine : les étudesmenées à ce jour permettent en effet de conclure quecette solution est plus économique qu’une construction desurface.

Qui plus est, une construction souterraine permet deréduire l’empreinte écologique de la mine et de préserverles terres ancestrales des communautés autochtoneslocales. Dès le départ, Noront a fait preuve de leadershipen s’engageant à mettre ses gisements en valeur de façonresponsable.

Wes Hanson, chef de la direction, signale que les com-munautés autochtones ont peine à survivre, même avec lesoutien du gouvernement. L’objectif de Noront est de col-laborer avec les collectivités locales pour cibler les possi-bilités d’emploi et les occasions d’affaires durables rat-tachées à la mise en valeur future de la région, ce quientraînera des retombées positives directes pour ces collectivités.

La priorité absolue de Noront est la suivante : travaillerde concert avec les parties prenantes pour évaluer leursbesoins. « Nous voulons mettre au point un programmemodèle en consultation communautaire », déclareM. Hanson. Un comité consultatif constitué de membresdes Premières Nations est au service de la société, et cettedernière rencontre les collectivités de la région sur unebase régulière. Noront tire également parti des médiassociaux : elle a construit un site Web doté de fonctionnal-ités de réseautage social pour faciliter le partage d’infor-mation et le dialogue. Le projet étant encore au stade dela planification, le pouvoir d’action de Noront est pour l’in-stant limité. Toutefois, la société vise éventuellement à pro-mouvoir et à appuyer l’éducation chez les jeunes du Cerclede feu.

De l’avis de M. Hanson, collaborer avec des groupesautochtones est un travail de tous les instants. « Ces genssont conscients de l’incidence environnementale de l’ex-ploitation minière », fait-il valoir. « Des activités minières sesont déjà déroulées sur leur territoire et, contrairement àce qu’on leur avait fait miroiter au départ, elles ont eu uneincidence néfaste. Les occasions où les Premières Nationsse sont senties exclues abondent. Par conséquent, ellessont maintenant sur leurs gardes et adoptent une attitudeprudente, cherchant à établir avec leurs vis-à-vis unebonne relation dès le départ. C’est l’une des raisons pourlesquelles nous avons opté pour cette démarche trèsouverte. » E. MOORE

Provencher creuse profondLaRonde, le site-mère des Mines Agnico-Eagle, est une

des mines d’or les plus importantes au Canada. Lorsquel’entreprise a nommé Christian Provencher à la tête du siteen 2006, il est alors instantanément devenu un visage àsurveiller au sein de l’industrie.

Le succès de Provencher à LaRonde et sa coordinationdu projet d’extension du site – qui devrait débuter sesactivités de production à l’automne – lui ont donné beau-coup de visibilité et c’est alors que, au milieu de cet été, ila été nommé le nouveau directeur des opérations, desstandards et de la performance. « Le projet sera terminé àtemps, selon les échéanciers et les budgets prévus »,affirme le vétéran de l’industrie. « Mais nous avons rencon-tré beaucoup d’obstacles. »

L’agrandissement du site LaRonde a nécessité la con-struction d’une nouvelle mine à l’intérieur d’une mine exis-tante, ainsi que le creusement d’un puits d’un kilomètre. Laprofondeur de la mine est maintenant d’un étourdissant2,9 kilomètres. « Il a été difficile de trouver des entrepre-neurs qui auraient pu fournir suffisamment de travailleursqualifiés pour exécuter de tels travaux », suggèreProvencher. « Finalement, nous avons décidé d’utilisernotre propre main d’œuvre dans la mesure du possible,surtout pour les travaux d’excavation. »

Le travail de Provencher au sein de la division LaRondesera récompensé par un nouveau poste avec plus deresponsabilités, ainsi que la chance de voyager là où

August 2011 | 39

un exemple à suivre

Agnico-Eagle a des installations, soit au Québec, enFinlande et au Mexique. L’idée de passer une ou deuxsemaines à l’étranger chaque mois ne lui déplait pas nonplus.

« C’est une occasion unique qui me permettra departager mes connaissances avec beaucoup de jeunesdans la compagnie », dit-il. « Je pense que ce nouveaurôle de mentor me plaira énormément. » P. DIEKMEYER

Miser sur un plan à long termeLorsque Tim Gitzel est entré en poste à titre de chef de

la direction de Cameco, en juillet de cette année, il sedemandait bien dans quelle aventure il venait de s’embar-quer, ce dont on ne peut le blâmer. Le cours de l’action dela société venait de chuter – il était alors inférieur de prèsde 40 % à son sommet en cumul annuel – dans la fouléedu séisme et du tsunami survenus au Japon ainsi que desdommages causés à certaines installations nucléairesnévralgiques du pays. Résultat : la viabilité à long termedes centrales nucléaires était de plus en plus remise enquestion dans le monde.

En outre, la nomination de M. Gitzel aux fonctions device-président de la World Nuclear Association, en marsde cette année, a fait de lui un important porte-parole del’industrie. Or, rien de tout cela ne semble déranger cetancien avocat et ex-président de la Saskatchewan MiningAssociation.

« Je n’ai pas hésité à prendre le poste, pas même uneseconde », raconte M. Gitzel. « J’ai travaillé dans cetteindustrie toute ma vie. Nous avons traversé des périodesprospères et d’autres plus difficiles, comme main-tenant. »

M. Gitzel estime que pour restaurer la crédibilité del’industrie, il faut commencer par remettre certainsprincipes fondamentaux à l’ordre du jour. « La demanded’énergie devrait doubler au cours des 20 prochainesannées, et cette énergie devra bien provenir de quelquepart », indique M. Gitzel. « Dans ce contexte, le nucléairedevrait jouer un rôle prépondérant. Il y a actuellement437 réacteurs nucléaires dans le monde, et 92 autresdevraient être construits d’ici 2020. Cela dit, certainspays historiquement favorables au nucléaire –l’Allemagne, l’Italie et la Suisse, notamment – ont déclaréqu’ils prévoyaient abandonner graduellement cettesource d’énergie; nous verrons comment se passera lasuite des choses. À l’inverse, de nombreux pays se sontengagés à recourir au nucléaire ou ont renouvelé leurengagement en ce sens. »

Ironiquement, la récente perte d’engouement du marchépour l’énergie nucléaire pourrait créer pour Cameco desoccasions d’affaires imprévues, mais fort à propos. Lasociété met depuis longtemps en pratique une politique derecherche d’acquisitions. Avec le déclin du prix des actifsdans le monde du nucléaire, il pourrait s’agir du meilleurmoment pour la société de trouver de la valeur sur lemarché. P. DIEKMEYER

La réputation et le rendementSi vous demandez à Ross Gallinger quelle est la plus

importante problématique sur laquelle doit se pencher l’in-dustrie minière, il ne vous le dira probablement pas. Pasparce qu’il ignore la réponse – M. Gallinger a occupéplusieurs postes de direction dans le secteur minier – maisbien parce qu’à son avis, aucun champ d’activité n’est plusimportant que les autres. M. Gallinger mettra cette philoso-phie en application dans le cadre de ses nouvelles fonc-tions, celles de directeur administratif de l’ACPE.

Auparavant, M. Gallinger était vice-président principal,Santé, sécurité et développement durable, à IAMGOLD,producteur d’or intermédiaire. Or, quand il s’est joint à lasociété, il y a cinq ans, « il n’y avait aucun poste de cadre



David Garofalo, lauréat d’un prixTopGun

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Lorsque David Garofalo a déménagé au siègesocial de HudBay Minerals, l’été dernier, pour yoccuper le poste de président, de chef de la direc-

tion et d’administrateur, ses boîtes débordaient de prix.Dans le cadre de ses fonctions à Inmet MiningCorporation puis à Mines Agnico-Eagle Limitée, qu’il arespectivement occupées pendant huit et douze ans, il adécroché le titre de directeur financier de l’année auCanada en 2009, décerné par Dirigeants financiersinternationaux du Canada. Il a également obtenu le prix

supérieur dont les fonctions portaient sur la santé, la sécu-rité et le développement durable », raconte-t-il. « Il n’y avaitni politique environnementale, ni politique de durabilité, nipolitique de santé et sécurité. »

M. Gallinger a aidé IAMGOLD à élaborer ces politiques,sans pour autant négliger un objectif prioritaire : la créationd’un programme qu’IAMGOLD a nommé « Zéro incident ».Comme l’indique M. Gallinger, ce programme vise à har-moniser tous les aspects d’une démarche de gestion encinq temps : gestion des ressources, santé financière,coûts de production, réputation et – dernier élément maisnon le moindre – responsabilité sociale d’entreprise.

« En jonglant avec ces cinq balles, on ne peut se con-centrer sur chacune d’elles individuellement », indique-t-il.

Comme le souligne M. Gallinger, les opérateurs sur leterrain « avaient vraiment besoin de savoir à quoi ressem-blerait le résultat final. Or, Zéro incident remplit exactementce rôle. C’est un peu comme rassembler tous les morceauxd’un casse-tête. »

Dans le cadre de ses nouvelles fonctions à l’ACPE,M. Gallinger prévoit adopter une démarche holistique sem-blable. Il relève trois grands risques auxquels fait face l’in-dustrie : repérer la ressource, être économiquement enmesure d’exploiter le gisement et obtenir un « permissocial » d’exploitation. Pour réussir, une société ne doitnégliger aucun de ces éléments.

« Il s’agit des trois principaux volets de nos activitéscommerciales, de même que les trois principaux risques

August 2011 | 41


confèrent un avantage concurrentiel, ce qui stimulera lacroissance de votre entreprise.

ICM : Quelles qualités recherchez-vous chez de nouveaux talents?M. Garofalo : Quand nous procédons au recrutement de per-sonnel hautement qualifié, nous essayons d’évaluer si lecandidat serait capable, un jour, de diriger l’une de nosunités fonctionnelles ou de devenir cadre supérieur. Nouscherchons des candidats qui ont de solides compétencestechniques, évidemment, mais aussi le sens des affaires.J’aime qu’un employé souhaite connaître ses points faiblesen gestion et qu’il cherche à y remédier par de la formationcontinue, que je me fais d’ailleurs un plaisir de payer. Unbon ingénieur qui est prêt à faire un MBA, par exemple, abeaucoup plus de valeur que quelqu’un qui souhaite tracerdes dessins pour le reste de sa vie.

ICM : L’industrie doit-elle accroître la diversité de sa main-d’œuvre?M. Garofalo : L’industrie minière a fait beaucoup de cheminen ce sens, HudBay en particulier. Notre main-d’œuvre estassurément beaucoup plus diversifiée. L’une de nos jeunesingénieures les plus prometteuses, Kim Proctor, est respon-sable de notre projet Lalor, au Manitoba, qui vaut 700 mil-lions de dollars. En plus d’être en charge du plus importantprogramme de construction entrepris à HudBay en 85 ansd’histoire, elle joue un rôle actif dans Women in MiningCanada, organisme qui se consacre à la défense desintérêts des femmes dans le secteur de l’explorationminérale et de l’exploitation minière. De plus, compte tenudu manque de personnel qualifié dans notre secteur d’ac-tivité en ce moment, nous devons trouver des solutions orig-inales en matière d’embauche et attirer des talentsprovenant d’endroits où les sociétés canadiennes n’ont pasnécessairement l’habitude de recruter, par exemple l’Europede l’Est, l’Asie et l’Amérique latine. A. LOPEZ-PACHECO

TopGun CFO attribué par Brendan Wood International etle prix 2009 et 2010 des meilleures relations avec lesinvestisseurs par un directeur financier, remis par IRMagazine. M. Garofalo a continué de s’illustrer dans ledomaine de la gestion, ce qui lui a valu une nouvelle dis-tinction d’IR Magazine : le prix 2011 des meilleures rela-tions avec les investisseurs par un chef de la directionest sa dernière récompense en date.

ICM : Vous avez reçu plusieurs récompenses pour la façondont vous communiquez avec les investisseurs. Que faites-vous pour capter l’attention des gens?M. Garofalo : J’ai toujours entretenu une bonne communi-cation avec les investisseurs, les analystes et lesreprésentants, dans les bonnes comme dans les mau-vaises années. C’est important d’avoir cette discipline.L’industrie minière est foncièrement risquée et, parfois,on reçoit de mauvaises nouvelles. Lorsque ça arrive, jene peux me cacher sous mon bureau. Je dois redoublerd’efforts, aller au-devant des analystes et des investis-seurs, et parfois faire face à leur colère. Une telle atti-tude est gage de respect. C’est ce que m’a appris SeanBoyd, mon ancien patron à Agnico-Eagle, qui est proba-blement l’un des meilleurs communicateurs au mondeparmi les chefs de la direction du secteur minier.

ICM : À votre avis, qu’est-ce que ça prend pour être un bondirigeant dans l’industrie minière d’aujourd’hui?M. Garofalo : Je crois qu’il faut avoir une vision et desobjectifs clairs. Il faut mener ses activités commercialesd’après des critères très stricts. L’industrie minière est sidiversifiée géographiquement que le risque de s’é-parpiller est grand. Lorsque ça se produit, il est très dif-ficile pour une entreprise de réaliser ses objectifs decroissance. D’abord et avant tout, vous devez bien con-naître vos points forts. Concentrez-vous ensuite sur lesoccasions d’affaires et les compétences qui vous

que notre organisation visera à résoudre, à mieux com-prendre et à améliorer en collaboration avec ses mem-bres », conclut M. Gallinger. D. ZLOTNIKOV

Esquisse d’un parcours durableConservationniste de longue date qui a dirigé l’organ-

isme à but non-lucratif Nature Canada pendant 16 ans,Mme Gelfand joue un nouveau rôle en 2008 : Vice-prési-dente, développement durable, à l’Association minière duCanada (AMC). Elle est responsable de la mise en œuvrede l’initiative Vers une exploitation minière durable del’AMC, qui réunit un large éventail d’intervenants pourl’établissement de protocoles de sites miniers qui com-prennent notamment la planification de la gestion des sit-uations d’urgence, la santé et la sécurité, l’extension desservices à la communauté, et la gestion des résidus.

Dans le cadre de son travail à l’AMC, Mme Gelfand aprofité de son expérience de vingt ans de collaborationentre l’AMC, Nature Canada et les secteurs qu’ilsreprésentent pour façonner la politique fédérale en matièrede terrains et de faune. « J’ai toujours pensé que l’industrieminière était sur la bonne voie », dit-elle. « Pour moi, la tran-sition vers l’AMC signifiait travailler avec les sociétés quisont sur le terrain et voir ce qui peut être fait pour les aiderà minimiser leur impact sur l’environnement et à maximiserles avantages sociaux qu’elles apportent. »

Mme Gelfand a reçu un accueil chaleureux à l’AMC, etla plupart de ses collègues des ONG l’appuient dans le rôlequ’elle y joue. « Certains ne me parlent plus. Mais la plupartpensent autrement. Ils se disent, - Oh, c’est formidable,nous avons quelqu’un qui partage nos valeurs au sein del’industrie maintenant. »

Mme Gelfand estime que Vers une exploitation minièredurable, conçue dans les années 90 et lancée en 2004,est la meilleure initiative de développement durable. Laparticipation est obligatoire pour les membres de l’AMC; uncomité consultatif assure la diversité des contributions.Des indicateurs de performance détaillés guident l’ex-ploitation au niveau des installations. La note de chacundes sites est publiée ouvertement et une vérificationindépendante a lieu tous les trois ans, ce qui rend leprocessus à la fois transparent et, aux yeux des ONG,crédible.

Pour Mme Gelfand, même les ONG les plus critiquesont un rôle à jouer. « Le rôle des groupes les plus critiquesest de sensibiliser aux problèmes. Ensuite, les groupesplus raisonnables cherchent à contribuer au maintien de laviabilité économique tout en s’occupant des enjeux. »

Lorsque le besoin d’innover est clair, plein de gens bril-lants dans l’industrie saisissent l’opportunité, ajoute MmeGelfand. Mais l’industrie minière continue à être en retardaux yeux du public. « Au Canada, l’industrie doit faire unbien meilleur travail pour communiquer comment nos viessont affectées par les mines. Avec le temps, il y aura plusd’attention, et non pas moins, portée par le secteur desONG et par le public. » E. MOORE

Un pionnier durable« Si vous avez un penchant pour la philosophie, vous ne

pouvez prendre une meilleure position qu’au sein d’unesociété minière », déclare Jim Cooney. Au cours de ses 35années dans l’industrie minière, M. Cooney a démontré queles sociétés minières pouvaient et devraient s’occuper desenjeux philosophiques et éthiques. Alors qu’il travaillaitchez Placer Dome dans les années 90, il a encouragé l’in-dustrie à adopter le concept de durabilité. Il a quitté PlacerDome en 1986 alors qu’il était vice-président, affaires gou-vernementales internationales, et a poursuivi son travaildans le secteur de l’extraction minière, actuellement à titred’associé principal à la Canadian Business for SocialResponsibility (CBSR). Cette année, il a reçu le PrixSyncrude pour l’excellence en développement durable.

Lorsque M. Cooney s’est d’abord joint à l’industrie, latolérance était faible pour les activités qui n’étaient pasdirectement liées aux objectifs d’affaires des sociétés. Ledéveloppement durable semblait incompatible avec l’ex-traction de ressources pouvant être épuisées.

Les années 90 ont été témoin de l’émergence de nou-velles attitudes. Faire face à la durabilité de façon collabo-rative signifiait assumer le contrôle des objectifs dequelqu’un d’autre, et non pas les confier à des ONG ou êtreen désaccord avec les objectifs de l’entreprise. M. Cooneyfait remarquer que « L’un des moments les plus intéres-sants, fut celui où un de nos ingénieurs miniers s’est levélors d’un atelier et a dit, ‘Je commence à percevoir que ledéveloppement durable peut non seulement nous être utilepour gérer les risques sociaux, environnementaux et poli-tiques, mais qu’il peut aussi être un instrument d’expres-sion de nos valeurs. Ce concept nous permet d’être nous-mêmes’. »

Le développement durable présente un défi auxingénieurs et s’adapte à leur approche orientée vers unobjectif, ajoute-t-il. Pour être efficaces, les professionnelsde notre secteur d’activité doivent mettre de côté leurvision du but final et se concentrer sur le processus demobilisation de divers groupes. Mais, contrairement auxapproches basées sur les droits de la personne ou la con-science sociale de l’entreprise, le processus produit ultime-ment des résultats mesurables.

Quels ont été ces résultats jusqu’à maintenant? « Lesrelations avec les autochtones se sont beaucoupaméliorées », indique M. Cooney. « Et particulièrement dansle cas des sociétés importantes, il y a un plus grand nom-bre de commissions consultatives multilatérales sur lesquestions environnementales. »

M. Cooney estime que le défi le plus important pour lessociétés préoccupées par la durabilité est l’intégrité de lasociété. « Les sociétés doivent non seulement adopter labonne hiérarchie des valeurs et la bonne vision à longterme, mais elles doivent aussi s’assurer de leurcohérence à travers l’entreprise : non pas en termes deconformité à une politique, mais plutôt en termes de façonde penser. » E. MOOREICM



featured project

A new, cleaner era in a historic silver district

by | Correy Baldwin

When Alexco Resource Corp. began commercial production at itsBellekeno silver mine on New Year’s Day 2011, they were also bringingthe historic Keno Hill Silver District back into production after a periodof over 20 years.

Richard Hartmier/©Hartmier.com

HHistorically, Keno Hill is one of the largest silver-producingregions in Canada. The area, located 330 kilometres north ofWhitehorse, Yukon, boomed in the 1920s. Between 1921 and1988, it produced more than 217 million ounces (6,150tonnes) of silver. By 1989, however, depressed silver priceshad driven the district’s sole owner, United Keno Hill Mines,into receivership. “United Keno Hill’s assets were basically abandoned in the

late 1980s,” explains Alexco CEO Clynt Nauman. “The prop-erty fell back to the custody of the Government of Canada forenvironmental care and maintenance, and it stayed that waythrough the early 2000s.” Eventually the government put thedistrict’s assets up for sale in 2005, and in 2006, Alexco wasselected as the preferred purchaser.The 243-square-kilometre land package includes 35 his-

toric mine areas. One of these is the Bellekeno Mine, locatedtwo kilometres from Keno City and 15 kilometres from theold townsite of Elsa, which was the hub of activity when KenoHill was in full operation.

Inheriting the environmental legacySeven decades of mining left behind a lot of infrastructure.

“Keno Hill has access to all-weather roads that are govern-ment maintained,” says Nauman. “We’re on the power grid,which is of great significance to us. In some cases, we can usethe underground workings that were left in place historically.”But Alexco acquired more than the Keno Hill property and

infrastructure. The purchase also came with nearly a century’sworth of environmental liability. One of the primary conditionsof the sale was that Alexco clean up and reclaim the area.Indeed, one of Alexco’s strongest assets in their bid for the

property was their reputation in mine reclamation. The com-pany was formed to both explore for precious metals and pro-vide environmental management services.Prior to Alexco, Nauman operated Viceroy Minerals with

Brad Thrall, now Alexco’s COO. Viceroy had a focus on mine-site reclamation and water remediation, and twice won theRobert E. Leckie Award for Outstanding Mining ReclamationPractices from the Yukon government for its work at theBrewery Creek gold mine, 100 kilometres north of Keno Hill. “We had the skill set that Canada was looking for,” says

Nauman about the Keno Hill purchase. “We had reclaimedmines; we had done it in the North and had received awardsfor that work; and we understood how to put protection ofthe environment together with developing a new mine andputting it into production.”Thrall explains the challenges. “We have a wide range of

issues that we’re dealing with: water treatment from under-ground mine pools, the historic tailings, waste dumps, and theold townsite of Elsa, which has a number of old buildings andsafety and human health hazards,” he says. “One of the chal-lenges is not only the size of this district but the variety of

technical issues to consider during the district closure planning process.”“The biggest concern is zinc in the water,” says Thrall. A

number of the historic underground mines have flooded andare releasing water into the environment. Alexco is capturingthe toxic water and treating it to remove the zinc so that it isnon-toxic prior to reaching the receiving environment. Watertreatment facilities have been upgraded, and there are nowfour water treatment plants on site.There are also the historic tailings to deal with. Old prac-

tices saw tailings in a slurry form dumped right into the envi-ronment, often with little containment. “The impact of thebusiness, the footprint of the operation, is much less now,”says Nauman, comparing Bellekeno to earlier practices. Today,Bellekeno’s tailings are environmentally benign.“One of the unique things about the design at Keno Hill is

our environmental features,” explains Thrall. “We actually fil-ter and dry our tailings before they’re stored in the environ-ment in an engineered-lined facility.”

Extracting the resourceBellekeno’s two main products are lead and zinc concen-

trates. The lead concentrate contains the majority of the

August 2011 | 45

featured project


featured project

1.

5. 2.

3.

4.

silver, at 5,500 grams per tonne. The zinc concentrate contains200 to 300 grams per tonne of silver.Bellekeno is Canada’s only primary silver-producing mine.

Much of the world’s silver is produced as a byproduct at otheroperations, such as gold or copper mines, explains Thrall.“Grades of silver in those types of operations might only be inthe few grams per tonne, compared to a thousand grams pertonne in the Keno District,” he says.“The Bellekeno Mine is one of the highest grade silver

mines in the entire world,” Thrall adds. “We’re only mining250 to 300 tonnes per day (tpd), but because these grades areso high, it doesn’t take many tonnes to make a significantproduction profile for silver.”In its first quarter, Bellekeno processed 18,050 tonnes of

ore with average silver grades of 829 grams per tonne, pro-ducing 447,524 ounces (12.7 tonnes) of silver, 1,670.26tonnes of lead, and 605.16 tonnes of zinc. Silver recovery was93 per cent.Processing is done at a newly constructed conventional

flotation mill with a capacity of 408 tpd. Average daily millthroughput during the first quarter was 200 tpd, althoughcontinued optimization to the mill have increased this beyond250 tpd.Bellekeno expects to produce 2.8 million ounces (80

tonnes) of silver in its first year of full-scale production. Theinitial mine plan revealed an indicated resource of nine mil-lion ounces (255.58 tonnes) of silver, to be mined over an ini-tial mine life of four years. This, however, is expected toincrease.“There’s an active program underway of surface explo-

ration, underground exploration at Bellekeno, as well as devel-opment of some of the old mines,” says Thrall, outlining thethree phases of Alexco’s exploration development program.The third phase involves going underground at a number ofthe historic mines, rehabilitating the old underground work-ings, and drilling underground to define and upgrade addi-tional resources.

Exploring for the futureFrom June 2006 to the end of 2010, Alexco drilled 255 sur-

face and underground holes totalling 32,400 metres in theBellekeno Mine area, as well as a further 256 diamond drillholes totalling 57,350 metres in the larger Keno Hill SilverDistrict. Last year alone saw 4,900 metres of undergrounddiamond drilling at Bellekeno and 25,000 metres of additionalsurface drilling.

Captions clockwise from top: 1. Inside the plant; 2. Alexco CEO ClyntNauman; 3. Surface and underground drilling continue on the property; 4. The mine employs about 120 people; 5. The operation produces 250 to300 tonnes of high-grade ore per day

Richard Hartmier/©Hartmier.com

The 2010 program produced particularly promisingresults at the historic Lucky Queen and Silver King mines,as well as the historic Onek Mine, located just 1.5 kilome-tres from the Bellekeno Mine and one kilometre from themill.Alexco is investing $10 million in exploring these three

sites in 2011, including 1,500 metres of underground rehabil-itation and development and 5,000 metres of definitiondrilling. In total, the 2011 surface exploration program willinvolve drilling at least 15,000 metres.“We have many years of work ahead of us there,” says

Nauman. “We have our first mine in production at the pres-ent time, and we’ll be looking at putting additional mines intoproduction. There’s a huge amount of exploration work to bedone.”

Reviving the neighbourhoodThis is good news for the local community. Bellekeno will

employ approximately 120 people, and will locally investmore than $25 million annually for labour, materials and sup-plies. “About 14 per cent of our current workforce is FirstNations,” says Nauman, “and we hire as many people as wecan from the local communities.”But this is not the same Keno Hill that existed in the

1980s, he explains. “Keno Hill had several thriving communi-ties, several hundred employees, and lots of support peopleand support businesses beyond that. The mining industry hadgreat social and economic reach. Subsequent to 1988,though, virtually all those jobs and that entire economy driedup and disappeared.”Keno City has managed to maintain a sparse popula-

tion. More numerous are the members of the Na-Cho NyakDun First Nation, on whose traditional territory Alexco isoperating.Alexco and the Na-Cho Nyak Dun have entered into a

Comprehensive Cooperation Benefits Agreement. “There’s afairly comprehensive process so that Na-Cho Nyak Dun FirstNation is well-informed of what’s going on in the districtoperationally and environmentally,” says Nauman. “There arealso regular meetings that look ahead to services and suppliesthat are going to be required, as well as to try to come tosome agreement as to how Na-Cho Nyak Dun can participatein the unfolding of that part of the business. One of the thingswe’re striving to do with the agreement is to create and buildFirst Nation businesses that can initially provide services to usand then will hopefully spread beyond that,” he adds.“All of our work requires community consultation

through the social-economic permitting and environmentalassessment process,” says Nauman. “That process continues.We try to be as transparent as possible with what we’redoing.” CIM

August 2011 | 47

featured project


projet en vedette

QQuand Alexco Resource Corp. a commencé la productioncommerciale à sa mine d’argent Bellekeno le Jour de l’An2011, elle remettait aussi en production l’ancien districtargentifère de Keno Hill après plus de 20 ans d’inactivité.

Historiquement, Keno Hill est l’une des plus vastes régionsproductrices d’argent au Canada. L’essor de la région, située à330 km au nord de Whitehorse, au Yukon, remonte aux années1920. Entre 1921 et 1988, elle a produit plus de 217 millionsd’onces (6 150 tonnes) d’argent. Cependant, en 1989, labaisse des prix de l’argent a entraîné la mise sous séquestre deUnited Keno Hill Mines, seule propriétaire du district.

« Les actifs de Keno Hill ont été abandonnés à la fin desannées 1980 », explique le chef de la direction d’Alexco, ClyntNauman. « La propriété est retombée sous la garde dugouvernement du Canada pour la protection et l’entretien del’environnement, situation qui s’est poursuivie jusqu’au débutde l’an 2000. » Finalement, le gouvernement a mis les actifs

du district en vente en 2005 et, en 2006, Alexco a été retenuecomme acheteur préféré.

L’ensemble de terrains d’une superficie de 243kilomètres carrés comprend 35 anciennes zones minières.L’une d’entre elles est la mine Bellekeno située à 2 km deKeno City et à 15 km de l’emplacement de l’ancienne villed’Elsa, qui fut le centre des activités à l’époque où Keno Hillétait pleinement exploitée.

L’héritage environnementalSept décennies d’exploitation minière ont laissé derrière

elles de nombreuses infrastructures. « Keno Hill est accessiblepar des routes praticables en tout temps dont l’entretien estassuré par le gouvernement », souligne Clynt Nauman.« Nous sommes branchés au réseau électrique, ce qui estcapital pour nous. Dans certains cas, nous pouvons utiliser lesanciens ouvrages souterrains laissés en place. »

Sous terre, à la mine Bellekeno, dans le district historique de Keno Hill

Une nouvelle ère plus propre dans un ancien district argentifère

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ould

/Arc

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om

Mais Alexco a acquis plus que la propriété Keno Hill et sesinfrastructures. Cette acquisition comprenait aussi un passifenvironnemental d’un siècle. Et l’une des principalesconditions de la vente était qu’Alexco nettoie le site et leremette en état.

Bien sûr, la réputation d’Alexco en matière de restaurationminière a constitué un atout majeur de son offre d’acquisitionde la propriété. La société a été créée à la fois pour mener desactivités d’exploration dans le secteur des métaux précieux etpour fournir des services de gestion environnementale.

Avant de prendre les rênes d’Alexco, Clynt Nauman a dirigéViceroy Minerals avec Brad Thrall, qui est maintenant chef del’exploitation à Alexco. Viceroy concentrait ses activités sur larestauration des sites miniers et la décontamination de l’eau eta remporté à deux reprises le prix Robert E. Leckie pourl’excellence des travaux de remise en état de sites miniersdécerné par le gouvernement du Yukon pour le travail accomplià la mine d’or Brewery Creek, à 100 km au nord de Keno Hill.

« Nous avions toutes les compétences recherchées par leCanada », déclare Clynt Nauman à propos de l’acquisition deKeno Hill. « Nous avons restauré des sites miniers; nousl’avons fait dans le Nord et nous avons reçu des prix pour cetravail. En outre, nous avons compris comment concilier laprotection de l’environnement, la mise en valeur d’unenouvelle mine et sa mise en production. »

Brad Thrall explique les défis à relever : « Nous avons un largeéventail de questions à régler : le traitement des eaux souterrainesde la mine, les anciens stériles, les terrils et le site de l’ancienneville d’Elsa sur lequel se trouvent de vieilles constructions, ainsique les risques pour la sécurité et la santé humaine. L’une desdifficultés est non seulement la taille de ce district, mais aussi ladiversité des enjeux techniques à envisager pendant le processusde planification de la fermeture du district. »

La présence de zinc dans l’eau est la question la pluspréoccupante, selon Brad Thrall. Un certain nombred’anciennes mines souterraines ont été inondées et déversentde l’eau dans l’environnement. Alexco récupère les eauxtoxiques et les traite pour en enlever le zinc afin qu’ellessoient non toxiques avant d’atteindre le milieu récepteur. Lesinstallations de traitement de l’eau ont été modernisées et ily a maintenant quatre stations d’épuration sur le site.

Il y a également les anciens stériles à traiter. Les anciennespratiques consistaient à rejeter les stériles sous forme deboues directement dans l’environnement, souvent avec peude dispositifs de confinement.

« L’incidence des activités, l’empreinte des opérations estbeaucoup moins importante aujourd’hui », déclare ClyntNauman, si on compare Bellekeno aux pratiques plusanciennes. Aujourd’hui, les stériles de Bellekeno sont sansdanger pour l’environnement.

« L’une des caractéristiques uniques du concept utilisé àKeno Hill porte sur l’environnement », explique Brad Thrall.

« En fait, nous filtrons et nous asséchons nos stériles avant deles entreposer dans l’environnement sur un site de stockageen structures artificielles. »

Extraction de la ressourceLes deux principaux produits de la mine Bellekeno sont le

concentré de plomb et le concentré de zinc. Le concentré deplomb contient la plus grande proportion d’argent, soit 5 500 g/talors que le concentré de zinc en contient de 200 g/t à 300 g/t.

Bellekeno est la seule mine produisant principalement del’argent au Canada. À l’échelle mondiale, la majeure partie del’argent est produite en tant que sous-produit dans d’autressites d’exploitation comme des mines d’or ou de cuivre parexemple, explique Brad Thrall. « Les teneurs en argent dansces mines peuvent être de seulement quelques grammes partonne, comparativement à un millier de grammes par tonnedans le district Keno », ajoute Brad Thrall.

« La mine Bellekeno est l’une des mines d’argent quiaffiche les teneurs argentifères les plus élevées au monde.Nous extrayons seulement de 250 à 300 tonnes par jour (t/j),mais les teneurs étant si élevées, il n’est pas nécessaired’extraire de nombreuses tonnes pour obtenir un profil deproduction remarquable pour l’argent. »

Au cours du premier trimestre de la mise en production deBellekeno, on a traité 18 050 tonnes de minerai titrant829 g/t, produisant 447 524 onces (12,7 t) d’argent,1 670,26 t de plomb et 605,16 t de zinc. Le taux derécupération de l’argent a été de 93 %.

Le minerai est traité par la technique traditionnelle deflottation dans une usine de construction récente d’unecapacité de 408 t/j. Pendant le premier trimestre, une quantitémoyenne de minerai de 200 t/j a été traitée, mais la poursuitede l’optimisation de l’usine a permis d’atteindre plus de 250 t/j.

La mine Bellekeno devrait produire 2,8 millions d’onces(80 t) d’argent pendant sa première année de production àplein régime. Le plan minier initial mentionnait des ressourcesindiquées de 9 millions d’onces (255,58 t) d’argent à extrairesur une durée de vie initiale de la mine de quatre ans. Cetteprévision devrait toutefois être revue à la hausse.

« Un programme dynamique d’exploration de surface etd’exploration souterraine est en cours à Bellekeno, de mêmeque de mise en valeur de certaines des anciennes mines »,déclare Brad Thrall, en résumant les trois phases duprogramme d’exploration et de mise en valeur d’Alexco. Latroisième phase comprend des activités souterraines dans uncertain nombre d’anciennes mines, la remise en état d’anciensouvrages souterrains ainsi que des forages souterrains pourdéfinir et pour valoriser des ressources additionnelles.

« De nombreuses années de travail en perspective », ajouteClynt Nauman. « Nous avons actuellement notre première mineen production et nous espérons en mettre d’autres en production.Nous avons un énorme travail d’exploration à faire. » ICM

August 2011 | 49

projet en vedette

commodity focusgold

accounted for 2,000 tonnes andindustrial use for another 500. Butinvestment gold accounted foraround 1,500 tonnes, over 37 percent of the pie, drastically up fromthe historical trend of around 20 percent of annual flow.

Is the peak in sight?Doubts about the health of theUnited States economy and thevalue of its dollar have helped driveinvestment demand for gold and itsrise in value. At its current price,however, gold does not strike Nadleras a particularly sound investment.To explain, he points to the troubledeconomies of Europe. He suggeststhat Portugal may be pressured tosell off some of its gold reserves –and Portugal’s reserves are 82 percent gold.

“Ultimately, why do you have thegold in the basement to begin with?” Nadler asks. “It is forrainy-day type of purposes, and it’s raining pretty hard inparts of Europe right now,” he says.

Another area of concern for Nadler is the gold exchangetraded funds (ETFs). Combined, these hold over 2,000tonnes of the metal. “This puts them up into the fifth or sixthplace globally if they were a central bank,” he says.

Central banks, Nadler continues, have the obligation to limitsales, but ETFs do not, “and I cannot at this point projectwhat a 200- or 300-tonne outflow from ETFs might presentprice-wise to the market.”

Operating on a different scheduleFrom the producers’ perspective, the current prices arewelcome but don’t necessarily make a big difference foroperations in the short term. George, at USGS, pointsout that it can take anywhere between 10 and 20 yearsfrom the time a discovery is made until a new minebegins producing gold. Today’s demand has certainlyspurred a wave of exploration activity, but any projectsthat enter production in the next couple of years willlikely be ones that have been in development sincebefore the financial crisis.


THE MIGHTY YELLOW METAL

It’s up. It’s down. It’s up. It’s down again. Volatility hasbeen an inescapable part of the metals markets over thelast few years. But in that time, gold has taken a pass on

the roller coaster, catching a ride on the escalator instead.It’s up. It’s up again. It’s up some more!

Currently at more than US$1,550 per ounce, the price ofgold has maintained its four-digit levels since September of2009. This has led to some very unusual developments. JonNadler, senior analyst with bullion trader kitco.com, pointsout that, very recently, the Western jewelry sector hasbecome a net supplier, rather than consumer, of gold. Forthe first time ever, he says, scrap supply generated bypeople swapping their jewelry for cash has outpaced theamount of gold used in the West in jewelrymaking.

“When you look at the 1,400 tonnes of recycled gold thathave flowed into the market, that’s the second largestannual supply of scrap ever,” Nadler explains. At the sametime, jewelry consumption was down 20 per cent in 2009,near a 25-year low for the industry, and has not yetsignificantly recovered.

With so many sellers, there must of course be buyers.Micheal George, the gold specialist at the U.S. GeologicalSurvey (USGS), says 2010 global jewelry production

by DAN ZLOTNIKOV

commodity focusgold

One such project is the Young-DavidsonMine in northern Ontario. Currentlybeing built by NorthgateMinerals, the mine is slated toenter production in 2012,says Northgate’s directorof investor relationsKeren Yun. With aprojected cash cost of$400 an ounce over a15-year mine life, themine is on track to bea financially robust,long-life operation.The company didbenefit from the highgold price elsewhere,says Yun. “If the goldprice, and especially thecopper price, weren’t asstrong, Kemess South, our long-time flagship operation, would haveended production sometime last year,”she says. “We were mining very low-grade orethat was at one point considered waste, and we stillmanaged to produce 12,000 ounces of gold this year.”

On the other hand, the more marginal projects, as wellas higher cost ones, will be under the microscope ifgold does not maintain its current price level. Forexample, Northgate’s approach to its Australianoperations might change should the price fall. TheStawell Mine, Yun explains, which is one of the deepestramp-access-only underground mines in Australia,consumed $964 for every ounce extracted in 2010. “Ifthe price of gold were to drop substantially, we wouldstop further development at the mine,” she says, “butwe would continue to mine out our reserves and stillmake money.”

Precious metal, practical applications It is also important to consider the industrial uses of gold,which account for as much as 15 per cent of the annualflow. Because of its high resistance to corrosion and goodconductivity, gold has been the material of choice formodern electronics – everything from cell phones to laptopsto televisions contains a minute amount of gold. Becausethe metal is also largely chemically and biologically non-reactive, it has been a favourite choice for medicalapplications.

Most of gold’s industrial uses have one thing in common:the users have considered, and discarded, all other, lesscostly, options. Most of these industries will keep onusing gold, regardless of price. Time will tell whether the

higher material price stifles development ofnew applications of the metal or

drives more investment intofinding viable alternatives forgold.

With roughly 0.03 gramsof gold used in amodern handhelddevice, “urban miners”are finding value indiscarded hardware.Recycling firms inJapan, for example,where phone userstypically replace theirhandsets every twoyears, are producing

hundreds of kilograms ofgold from the unwanted

devices each month. As withprimary producers, recyclers face

the challenge of securing the rawmaterial. Naturally, a new generation of

prospectors bearing names like buymytronics.com andcasholdphone.com is developing to feed the demand. CIM

August 2011 | 51

M4S• MINING• MINERALS• METALS• MATERIALS

mININg fOr sOcIeTy

Gilded blinkersLagophthalmos is a condition in which sufferers areunable to fully close their eyelids. The poor functioningof a facial nerve can cause the condition, as can anoverly zealous eyelid lift. A common treatment involvesimplanting tiny gold weights into the eyelids, lettinggravity help pull them shut.

TOTAL ABOVE GROUND STOCKS OF GOLD - 2010 (TONNES)

UNACCOUNTED3,600

OTHER FABRICATION

20,200

OFFICIALHOLDINGS

29,000PRIVATEINVESTMENT

31,400

JEWELRY84,1000

Source: GFMS and World Gold Council estimated 2010 calculations

May 3 to 9, 2012 / 3 au 9 mai 2012Shaw Conference CentreEdmonton, Alberta

Submit your abstract today at • Soumettez votre résumé aujourd’hui à

www.cim.org/edmonton2012

“Attending the CIM Conference & Exhibition is an efficient and enjoyable way to learn about new industry trends and to keep abreast of leading technical expertise. You will meet a wide variety of people, establish new contacts with colleagues, and make new friends – some of whom, in my experience, will become friends for life.”– Chuck Edwards, CIM President 2011-2012

“Participer au Congrès et salon commercial de l’ICM

constitue un moyen efficace et agréable des’informer sur les nouvelles tendances

de l’industrie et de se tenir au courant dessavoir-faire techniques de premier plan. Vous rencontrerez des gens d’horizons divers,

tisserez de nouveaux liens avec des collègueset vous vous ferez de nouveaux amis, dont certains, selon mon expérience,

resteront vos amis pour la vie. »– Chuck Edwards,

président de l’ICM, 2011-2012

Abstract submission: September 30 • Notice of acceptance: December 20Soumission des résumés : le 30 septembre • Avis d’acceptation : le 20 décembre

CALL FOR ABSTRACTS

DEMANDE DE COMMUNICATIONS

PRELIMINARY TECHNICAL PROGRAM | PROGRAMME TECHNIQUE PRÉLIMINAIRE

STREAMSHORAIRE

ENVIRONMENT, CLOSURE AND SUSTAINABILITY

ENVIRONNEMENT, FERMETURE ET DURABILITÉ

PEOPLE, SOCIETY AND CSR VALUE

POPULATION, SOCIÉTÉ,RSE ET VALEUR

OPERATIONS AND MAINTENANCEOPÉRATIONS

ET MAINTENANCE

HARD ROCKS PROSPECTS TO PRODUCTSROCHES DURES

PERSPECTIVES DE PRODUCTION

SOFT ROCKS PROSPECTS TO PRODUCTS

ROCHES TENDRESPERSPECTIVES DE

PRODUCTION

MONDAY am•LUNDI matin

9:00 – 11:30 Plenary Session / Session Plénière

12:00 – 14:00 Lunch in the trade show / Dîner dans le salon commercial

MONDAY pm•LUNDI après-midi

14:00 – 15:00

Environment, closure and sustainability

Environnement, fermeture et durabilité

People, society, CSR and value

Population, société, RSE et valeur

Operations and maintenance

Opérations et maintenance

Hard rock prospects toproducts

Perspectives de production des roches dures

Soft rock prospects to products

Perspectives de production des roches tendres

15:00 – 15:20 Coffee Break / Pause-café

15:20 – 16:30

Environment, closure andsustanability (open forum)

Environnement, fermeture etdurabilité (débat libre)

People, society, CSR and value (open forum)Population, société, RSE et valeur (débat libre)

Operations and maintenance(open forum)

Opérations et maintenance(débat libre)

Hard rock prospects toproducts (open forum)

Perspectives de production desroches dures (débat libre)

Soft rock prospects to products (open forum)

Perspectives de production desroches tendres (débat libre)

TUESDAY am•MARDI matin

8:30 – 10:30Northern (cold) mining

Activité minière nordique(froid)

Mining in unfamiliar territoryActivité minière

en territoire inconnu

An autonomous future?L’autonomie dans le futur?

Iron oreMinerai de fer

Solid or solution (potash)Solide ou en solution

(potasse)


10:45 – 12:15Closure in mind

Penser à la fermetureSocieties of the North

Sociétés nordiques

Making assets last longerFaire durer les actifs

plus longtemps

Rare earth metalsMétaux des terres rares

800 years to go… (coal)Encore pour

800 ans… (charbon)

12:15 – 13:30 Lunch in the trade show / Dîner dans le salon commercial

TUESDAY pm•MARDI après-midi

13:30 – 15:30

Clean coal and CO2sequestration

Charbon propre etséquestration du carbone

CSR in developing countriesRSE dans les pays en

développement

Safer solutionsDes solutions

plus sécuritaires

Gold and all that glistens(what is not)

L’or et tout ce qui brille (ou non)

The deeper you go…(diamonds)

Plus vous allez enprofondeur… (diamant)


15:45 – 17:15Next generation reclamationRemise en état de prochaine

génération

The value proposition 10-year plan

Le plan décennal d’uneproposition de valeur

Tires that don’t tire?Des pneus qui résistent?

How deep, so hot!Si profond, si chaud!

Soft challenges (laterite)mining

Une exploitation posant delégers défis (latérite)

WEDNESDAY am•MERCREDI matin

8:30 – 10:00Latest and greatest in ultra class mining toolsLes tout derniers et excellents outils miniers

d’une catégorie de qualité supérieure

Tools for operationalimprovements

and lower maintenanceOutils pour des améliorationsopérationnelles et moins de

maintenance

Management and Finance DayJournée Gestion et finances


10:30 – 12:00Open forum panel discussion

Débat libre en groupesOpen forum panel discussion

Débat libre en groupesManagement and Finance Day

Journée Gestion et finances

12:00 – 14:00 Closing Lunch / Dîner de clôture

WEDNESDAY pm•MERCREDI après-midi

14:00 – 17:00Management and Finance Day

Journée Gestion et finances

COLUMNS | supply side

A key goal in any marketing pro-gram is to communicate proactivelywith a target audience. In addition toadvertising in print and online media,and the relatively expensive alterna-tive of telephone or personal salescalls, direct communication by postor email is a choice that marketershave to make.The immediacy and low cost of

email is appealing to many businessesthese days, but there still is a place fordirect mail. The media that you useshould fit your brand. If you are sell-ing high-end capital goods or con-sulting services, you may choose adifferent approach than if you areselling mining consumables.Marketers are always searching for

the most cost-effective means of com-municating and, well, email is cheap.However, some tests in the consumerfield have revealed that when salesand return-on-investment are consid-ered, postal delivery is the superioroption.It certainly seems that more and

more email is being used for cus-tomer relationship management,especially in situations where there isa pre-established relationship. Tobroaden their reach, marketers areopting for email blasts and, to this

Mail versus emailChoosing the right option� Jon Baird

end, are doing all they can to collectpermission-based email addresses.

Things to considerBefore choosing the medium, con-

sider asking your clients if they havea preference as to how they wish toreceive communications and at whatfrequency. Your marketing objectiveis also important to determine, assome messages may be better suitedto one medium rather than another. Lists are another matter. If your firm

has a robust customer relations man-agement (CRM) database, you havecorrect postal and email addresses forboth your existing and prospectiveclients. If it does not, you can purchasea list, but it may be difficult to acquireone tailored to your purposes. In thiscase, print or online advertising may bea more effective option.Budget is always a factor, but

remember that whatever communica-tions medium you choose, the mes-sage has to be well-crafted – do notscrimp on the message itself! Con-tent, design and strategy are all criti-cal elements to consider whenbeginning and sustaining the “cus-tomer conversation.” Regardless ofwhich medium you choose, youshould develop a regular format,

content outline and publicationschedule, and plan the year’s topics. In the rush to use email to market

products or services in the past sev-eral years, organizations have learnedthat it is the ideal option for theinstant communication of brief mes-sages and sales confirmations, and asa response mechanism for clients.There is a growing desire for immedi-acy. Clients do not want to wait forfurther information, they want it now,either by emailing you or clickingthrough to your website.On the other hand, many peoples’

email is poorly managed, withinboxes overflowing. Think of howmany emails you get personally, whatyou do with them and how many getcaught in your spam filter. Today,much more direct mail arrives elec-tronically compared to by post, whichmakes the latter an attractive option.How to break through the email clut-ter so that people read your messageis a major challenge.Email, however, does not have the

same impact as the physical delivery of a meaningful item in the post.CAMESE’s auditors have a bottle ofport delivered to me every Christmas.It would be difficult to send that byemail! CIM


A page for and about the supply side of the Canadian mining industry

Aurizon Mines Ltd. has appointed George N. Paspalas as president andCEO and as a member of the company’s board of directors. David Hall willcontinue as president and CEO until August 15, 2011, and following Pas-palas’s appointment, will continue to serve the company as chairman ofthe board.

Paspalas brings 14 years of experience in senior management positions,most recently as the COO at Silver Standard Resources Inc. He has heldsenior management positions with Placer Dome Inc., including executivevice-president and senior vice-president projects – technical development,and as president and CEO of Placer Dome Africa.

MOVING ON UPauthor

Jon Baird, managingdirector of CAMESEand the immediatepast president ofPDAC, is interestedin collectiveapproaches toenhancing theCanadian brand inthe world of mining.

innovation | COLUMNS

August 2011 | 55

In recent years, there have beenmany declines (such as enrollmentnumbers and financial support) andvery few advances in mining educa-tion across the country (with thenotable exceptions of the Universityof British Columbia and the Univer-sity of Alberta). Professors, even fromprestigious mining programs, haveoften found it difficult to obtainstrong support for programs fromtheir own institutions. This situationis certainly not unique to Canada;universities in other countries havealso dealt with program closures anddeclining support for mining pro-grams. Now, two new initiatives inmining education signal a positivechange for our industry.

Recent developmentsLaurentian University has been

closely associated with mining forthe past 50 years, with active pro-grams in geology, engineering, envi-ronmental sciences and businessmanagement. It is also connected to anumber of university-linked organi-zations (such as CEMI andMIRARCO), which build on the uni-versity’s skills and capacity. Now,Laurentian is going one step furtherand creating a new School of Mines.The school will engage in work onexploration, mining, health, cultureand the environment. It will focus onthe scientific and technical researchand skills development that theindustry urgently needs, and will alsoplace emphasis on the socio-economic and management skillsrequired by mining professionals.

Mining innovation news from academia� Tom Hynes

A proposal has been made for aninternational minerals innovation andtraining institute in Saskatchewan.With help from others across thecountry, a group of dedicated profes-sionals from the province have beenworking for the past few years toassess the situation, evaluate optionsand put forward realistic proposals forconsideration. The steering committee, led by

Karen Chad, vice-president of researchat the University of Saskatchewan, andEngin Ôzberk, vice-president of inno-vation and technology development atCameco, has concluded thatSaskatchewan’s minerals industry isnot as well-addressed as it should be interms of training industry profession-als and of associated R&D. Chad andÔzberk see the training and researchcomponents as necessarily linked, andtheir program proposal thereforeincludes two central streams: develop-ing and training highly qualified peo-ple (HQP); and conducting research,development and implementationsupport for the industry. The committee is looking to create a

world-class institute, with a particularemphasis on the unique circumstancesof Saskatchewan (such as its potash anduranium mining operations). It hasalready conducted a feasibility studyand is currently developing a detailedbusiness plan and funding proposalwith input from government, industryand academia. I wish the committeegreat success with this endeavour. This initiative will undoubtedly

help all of Saskatchewan reap the economic and social benefits of its

mining industry, and will contributegreatly to Canada’s ability and capac-ity to address the national miningresearch and HQP issues. For furtherinformation, contact Karen Chad [email protected].

Even more good newsIn addition to the developments

mentioned above, we are seeing consid-erable signs of engagement by the Cana-dian academic community with CMICand its programs. Exploration-relatedresearchers are now meeting withCMIC’s Exploration Innovation Consor-tium industry partners to consider pos-sible research projects to address theprimary concerns that the industry hasidentified. The intent is to have researchprojects ready for funding considerationlater this year. The other CMIC initia-tives (mining, processing, energy, envi-ronmental stewardship and tailings) arenot yet at this stage, but these programsare also advancing.We have also seen a strong upsurge in

academic membership with CMIC inrecent months. Current university mem-bers include: the University of BritishColumbia, the University of Alberta, theUniversity of Saskatchewan, the University of Manitoba, University ofWinnipeg, Laurentian University, theUniversity of Windsor, the University ofWaterloo, the University of Toronto,Queen’s University, McGill University,École Polytechnique, Laval Universityand Memorial University. We are veryhappy to have them as CMIC members,helping us address the innovation andHQP needs of Canada’s minerals andmining sector. CIM

author Tom Hynes hasworked in the uranium and basemetals industries, and has been aprovincial regulator and a federalgovernment research manager. He is the executive director of theCanada Mining InnovationCouncil.

Argex Mining Inc. appointed Mazen Haddad to its board of directors. Mostrecently, Haddad was president of Township Capital Inc., a private companywhose main role was to consult to the Palos Capital Pool, L.P. Before this,he served as chairman of SGI Properties Canada Fund LP and as vice-president of SGI Capital Corp.

MOVING ON UP

There are many definitions of theterm “wealth.” From an economicsperspective, wealth can be seen as theaccumulation of all goods and serviceswith monetary, exchangeable or pro-ductive value. Adam Smith, author ofThe Wealth of Nations, describedwealth as "the annual produce of theland and labour of a society." In a sim-ilar vein, wealth refers to some accu-mulation of resources, whetherabundant or not, while richness refersto an abundance of such resources. Awealthy or rich individual, communityor nation thus has more resources thana poor or destitute one. An important source of wealth

throughout Canadian history, arguablythe most important source, has beenour abundance of natural resources. Inthis sense, the level of wealth reflectsour technological ability to discover,assess, extract, concentrate andprocess these resources into a useableform and to move them to users in anefficient manner. In the mining sphere,wealth is generated through highlysophisticated processes, including theconversion of rock into 99.99 per centpure metal like copper or nickel. Suchproducts are then valued and tradedeach day through global exchanges. The ability to create wealth has

positioned the mining industry amongthe most strategic of Canadian indus-try sectors. Other factors contribute tothe industry’s importance, for exam-ple, being the backbone of our stockexchanges, being a leading employerof Aboriginal Canadians and providingthe core ingredients to clean energytechnologies. Overall, though, it is theindustry’s ability to create wealth forCanadians that is the most fundamen-tal variable and from which all otherbenefits flow. In the past decade, the level of

wealth created by the Canadian miningindustry has become increasinglylinked to the emergence of the Chinese

economy. China has had virtuallyuninterrupted double-digit annualgrowth for a period covering threedecades, predicated around buildingits infrastructure and becoming the“world’s manufacturer.” This growth,particularly in the past decade, hastransformed China into the world’sleading driver of global mineral prices.Where the country consumed onlyfive per cent of the world’s metals inthe 1980s, it now consumes over 30per cent. The appended table depicts the evo-

lution of key world mineral prices overthe past decade. As can be seen, theprice of copper, for example, has risenfrom 82 cents per pound in 2000 to$4.15 at present – an increase of 406per cent; nickel rose by 168 per centand uranium by 594 per cent. Accumu-lated inflation in Canada or the UnitedStates during this period totalledaround 25 per cent. In this sense, thesemineral price increases are in the rangeof four to 25 times larger than inflation,depending on the commodity. Notshown on this table, although also acritically important mineral for Canada,is the world crude oil price, which hasincreased from the $30 per barrel rangein 2000 to $100 at present – an increasethat is 10 times that of inflation. While the United States remains the

largest market for Canadian minerals,

the transactions are occurring atincreasing global prices largely drivenby China. The effect of these priceincreases is seen in many ways, includ-ing:• The growth in relevant companystock prices and in the values ofpension funds holding these stocks.

• An increase in corporate tax rev-enues and royalty payments flow-ing from the minerals industry toCanadian governments.

• The relatively high wage levels paidto employees within the Canadianminerals industry (almost 50 percent higher than average wageswithin the manufacturing sector,for example).

• The benefits flowing from the sec-tor through to the many thousandcompanies that supply goods andservices, including important andvisible companies such as CN andCP Rail.

• The regional economic develop-ment seen in areas such as FortMcMurray and, more recently, theiron ore regions of Quebec andNewfoundland and Labrador, andthe metallurgical coal region innortheastern British Columbia.Indications are that many multi-billion dollar scale mining invest-ments will be seen in various Cana-dian regions in the decades to come.

COLUMNS | MAC economic commentary

Where our wealth comes from� Paul Stothart


MINERAL PRICES 2000 2007 2008 2009 2010 May 2000-

2011 2011(%)

Aluminum ($/lb) 0.70 1.20 1.17 0.76 0.98 1.18 69

Copper ($/lb) 0.82 3.23 3.15 2.34 3.40 4.15 406

Gold ($/oz) 279 697 872 973 1225 1533 450

Uranium ($/lb) 8.29 98.81 63.17 47.00 48.00 57.50 594

Nickel ($/lb) 3.92 16.88 9.57 6.50 9.85 10.49 168

Zinc ($/lb) 0.51 1.47 0.85 0.75 0.98 1.02 100

As I detailed in an earlier column, the federal depart-ment of Natural Resources Canada has recently beenexamining value-chain and competitiveness aspects ofthe Canadian minerals and metals industry. One of theirinteresting findings has been that in copper value-chainanalysis, Canadian operations show a strong compara-tive advantage in the earliest stages such as concentrate,refined copper, pipe and wire, and progressively lesscomparative advantage in the downstream stages ofmachine shops, semiconductors and generators. In terms of value-added per dollar revenue (or per

employee), the greatest wealth is generated at theextraction to concentrate stage, with progressivelylower levels of wealth generated from the smelting,semi-fabrication and fabrication stages. Thus, whileCanadian policy-makers and businesses can certainlyaim to undertake the greatest possible levels of value-added within Canada, we should not overlook the factthat the greatest wealth is actually created at some ofthe earliest stages. And, as Adam Smith would note, ourabundance of natural resources, together with the “skilland dexterity” with which we apply our labour, makesus all wealthier. CIM

August 2011 | 57

author

Paul Stothart is vice-president, economic affairs, at the MiningAssociation of Canada. He isresponsible for advancing theindustry’s interests regarding federaltax, trade, investment, transport andenergy issues.

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Milestone for Revett MineralsRevett Minerals has joined the U.S. broad-market Russell3000 Index when Russell Investments recently reconstitutedits comprehensive set of U.S. and global equity indexes.

Russell indexes are commonly used by investment managersand institutional investors for index funds and as benchmarksfor investment strategies. Membership in the Russell 3000means automatic inclusion in the large-cap Russell 1000®

Index or small-cap Russell 2000® Index, as well as theappropriate growth and value style indexes.

John Shanahan, president and CEO says, “Inclusion in theRussell indexes is another significant milestone for RevettMinerals and is valued recognition of our company’s positionas a U.S.-based producer of silver and copper. This will fur-ther enhance our public profile as we continue to build mar-ket awareness in the U.S. and abroad.”

ACHIEVEMENTS

COLUMNS | eye on business

David and Alexander Fasken werekey players in the development of themining industry in Canada. The obitu-ary prepared by Excelsior Life Insur-ance on the death of Alex in 1944 read:“David and Alex Fasken, in the late1890s, were among the first to see thepossibilities of mining development inNorthern Ontario.”1 They participatedin the development of silver mines inCobalt, gold mines in Porcupine andbase metal mines at Flin Flon, andhelped fund exploration elsewhere.Their combination of business judg-ment, entrepreneurial energy, fore-sight, money-raising capabilities andlegal expertise proved an importantasset in the successful opening ofNorthern Ontario and other areas.Although they were lawyers and

successive managing partners of thelaw firm that still bears their name, thebrothers had a long-standing commit-ment to the Canadian mining industry.When David died in 1929, the TorontoStar ran the headline “David Fasken,Wealthy Mining Magnate Dies.” At the beginning of the 20th cen-

tury, the Ontario government wantedto encourage settlement in the ClayBelt west of Lake Temiskaming andbegan to build the Ontario NorthlandRailway. In 1903, silver was discoveredon the route and the Cobalt SilverRush began. The Fasken brothers played a key

role in the successful development ofthese prospects. When the discoverywas made, David acted quickly, and withE. P. Earle of New York, formed theNipissing Mining Company Limited tofinance its development. They securedclaims covering over 846 acres. By 1908,the provincial geologist reported thatCobalt was “not only the world’s largestproducer of silver, but it absolutely con-trols the market for cobalt.”

1 Press release from Excelsior Life Insurance Company, September 1944.

The “who” that kicked it all off: the Fasken Brothers� C. Ian Kyer

David served for years as Nipissing’spresident and one of its directors, andby the time of his death, Nipissing wasthe largest silver-producing companyin Canada. He was also a director and asubstantial shareholder in La RoseConsolidated Mines and Trethewey Silver Cobalt Mine, each of which hadmines at Cobalt. The development of Cobalt as a

major mining centre in Canada mayseem to have been inevitable, but it wasnot a smooth road to success. Thecommercial development of the dis-coveries required significant amountsof capital, and the location and devel-opment of sources of powerand other utilities, includingair transport, in what was thena remote and rugged locale.David Fasken proved to beimportant in securing both. The success of the Cobalt

discovery spurred furtherexploration. In 1909, gold wasdiscovered in the Timmins

area. This time it was Alex who led theway. He represented the syndicate thatobtained the option to exploit theclaims and took an active role in themanagement of the new company,Dome Mines Limited, which he incor-porated. He was a director and laterbecame its vice-president. When thestory of Dome Mines was written,Alex was called one of the “dominantpersonalities in the company struc-ture.” The brothers were key members of

the syndicate that grubstaked the1914-1915 exploration along theManitoba-Saskatchewan border. Thiswould lead to the founding of thetown of Flin Flon in 1927 by HudsonBay Mining and Smelting (modernday HudBay) to exploit the largedeposits of copper and zinc in theregion. David was also part of thegroup of Canadian and American mil-lionaires that formed the CanadianMining Exploration Company, whichin 1912 was said to have 400 proper-ties under consideration.During David’s life, his younger

brother Alex was his right-hand man.They worked together on many proj-ects. On David Fasken’s retirementfrom business in 1919, Alex continuedtheir many enterprises, including aninvolvement with Nipissing, of whichhe became president. Alex also helpedfound and incorporate the OntarioMining Association. CIM


author C. Ian Kyer, aformer partner and nowcounsel to FaskenMartineau, holds a PhD inhistory and is a noted andhighly respected IT lawyerand the founder of theCanadian IT LawAssociation.

Robert, Alexander and David Fasken

Courtesy of Fasken Martin

eau

aboriginal perspectives | COLUMNS

Each year at the CIMConference & Exhibition,Learning Together hosts anAboriginal workshop, whichprovides an opportunity toshowcase the expertise andknowledge gained throughyears of building case stud-ies, working with communi-ties and industry, andcreating strong partnerships. Former National Chief

Delbert Riley kicked off ourworkshop in his typicallyentertaining style by con-tributing a lively history ofAboriginal treaty rights and how theywere developed, as well as histhoughts on what they truly mean forFirst Nations. Long before Canadabecame a country, First Nationsentered into treaties with the Britishgovernment, and it is because of theseearly alliances that Canada has pros-pered. After all, it was Delbert’s ances-tors, under the leadership of the iconicChief Pontiac, who defended againstBritish military occupation in whatwas known as Pontiac’s Rebellion, tosecure the Great Lakes region for aprospective Canada.Derek Teevan, vice-president Abo-

riginal and government affairs atDetour Gold, then presented a casestudy related to the company that hasthe potential to be one of Ontario’slargest gold developers. Detour’s newlyminted Impact Benefit Agreement wasdeveloped with three communities thatall share traditional land usage, but thathave very different cultural and govern-mental realities. The company hasworked hard to ensure that FirstNations remain meaningful partners inthe development of traditional lands,an approach that has seen its fair shareof challenges. Because each communitywas very different and had completelydifferent expectations and approachesto negotiations, achieving consensuswas not easy. Teevan stressed the

Learning Together workshop: promoting good relationships� Juan Carlos Reyes

importance of working with all thecommunity partners, which for himincluded establishing an agreementwith a Métis community and to addressconcerns quickly and openly. Diligenceneeds to be exercised so that all relevantAboriginal communities and organiza-tions in the region are consulted prop-erly, and so that all partners understandthe complexities and costs associatedwith these types of projects. To complete the day, we hosted a

roundtable discussion with leadersfrom the Quebec Cree communitiesand from the Yellowknives Dene. Thecultural and demographic mix of ourpanellists set the stage for a healthydiversity of opinions. From Yel-lowknife were Councillor NuniSanspariel and Bill Plotner, a 20-year-old mechanic apprentice working atRio Tinto. From the Quebec Cree com-munities were Jack Blacksmith, presi-dent of the Cree Mineral ExplorationBoard, and Robert Ottereyes, a consult-

ant with over 40 years ofexperience in the miningindustry. Panellists sharedsome of their secrets forachieving success in the min-erals industry, as well as theprograms they have put inplace to increase member par-ticipation in the sector. Although the examples

provided at this year’s sessionare both inspiring and reveal-ing, they are not the norm:the reality in most parts ofthe country is much lesspromising. Because nearly

every community has a different set ofexpectations, requirements and meth-ods for negotiating, the chances aregood that the common experience ofmost participants will be differentfrom what was heard at our workshop. But that does not mean there is not

value in highlighting these success sto-ries. Our goal at Learning Together isto bridge the gap between the industryand Aboriginal communities, and a bigpart of that goal involves educatingand sharing best practices. When com-munities understand the strategiesthat have worked for other communi-ties, they get a much better view ofwhat might work for them. We look forward to continuing to

support our communities in theirefforts to create meaningful and long-term partnerships in the mining andexploration industries.

For more information visit www.learning-together.ca.

CIM

August 2011 | 59

author

Juan Carlos Reyes is one of the founders of Learning Togetherand has been its executive director since 2008. He has nearly15 years of mining and Aboriginal development expertise, andhas worked tirelessly to promote economic developmentopportunities in the mining industry for Aboriginal communities.

Learning Together workshop

Normand Hu

berdeau / N

H Photograph

es Ltée

COLUMNS | standards

The continued “potash rush” in Saskatchewan hasresulted in several NI 43-101 technical reports from juniorexploration projects, majors wishing to enter the potashindustry and established mine operators. However, sincethe “Best Practice Guidelines” for potash have not beenrevisited since 2003, the rather broad guidelines are result-ing in significant variation in how mineral resource andmineral reserve (MRMR) estimations are prepared and dis-closed. The following discussion raises more questions thananswers and is an attempt at stimulating further discussionof potash best practices that may result in a Potash Guide-line useable by the SEC and CSA. In June 2010, a prominent Saskatchewan newspaper

reported that one company had released a potash report “indi-cating X million tonnes of measured resource, X million tonnesof indicated resource and X million tonnes of inferred resource.”

Let the discussion beginAre potash technical reports meeting the intent of NI 43-101?� Dave Mackintosh


In the same article, the paper stated “another junior miningcompany is developing a project which reportedly has X milliontonnes of recoverable resource.” How does the investor makereasonable comparisons of value? Can the investor be confidentthat definitions are being applied consistently?

Prospects for economic extractionThe CIM Definition Standards on Mineral Resources and

Reserves (CIM Standards) defines a mineral resource as having“reasonable prospects for economic extraction.” This does notimplicitly state that one must apply an extraction rate, and manyQualified Persons (QPs) feel this is the job of the mining engineerat the prefeasibility stage and not part of a resource estimate. The majority of established mine operators, in particular

PotashCorp, report an in-place tonnage for resources andapply an extraction rate only to reserves. Among the compa-nies at the development stage, BHP Billiton reports an in-place tonnage resource for the Saturn project and states thatextraction rates will be applied when reporting reserves.Potash One applies an extraction rate in their resource esti-mate. The majority of exploration-stage companies appearto apply extraction rates to resources. If an extraction rate isapplied, what rate should a QP use? Published extractionrates for conventional Saskatchewan potash mines vary froma low of 23 per cent to a high of 33 per cent. An extractionrate has never been published for a Saskatchewan potashsolution mine. At a minimum, most conventional Saskatchewan operat-

ing mines consider that portion of the deposit that has “rea-sonable prospects for economic extraction” has a minimumthickness, is of good grade and has sufficient salt cover. Forsolution mines, it must be thick, have high temperature anda lack of carnallite.The QP should provide information on the risks regarding

the key assumptions of recoveries and energy costs fromlower temperature solution mining prospects, safety andrehabilitation costs, etc. associated with deeper conventionalmining prospects to assess reasonable prospects of economicextraction. As well, information should be provided on whatmust happen in the marketplace to make the prospect viable,such as reduced capacity as the easier deposits are mined out,increased demand and/or prices.Comparisons may be drawn between the low seam com-

plexity of potash and some coal deposits. The CIM Stan-dards refers to the 1989 GSC Paper 88-21, “A StandardizedCoal Resource/Reserve Reporting System for Canada,”which states a “resource tonnage is always calculated on anin-place basis; that is, mining or other recovery factors arenot applied.

Goldcorp wins reclamation awardGoldcorp is the recipient of the Tom Peters Memorial MineReclamation Award for its work on the Coniaurum property inTimmins, which operated from 1913 to 1961. The companyearned this honour for cleaning up and transforming an oldmine site and tailings area into a flourishing habitat for bearsand bees.

In 2002, Goldcorp's Porcupine Gold Mines began reclamationactivities on the area. Work was carried out to stabilize existingerosion channels, depression areas were filled in and biosolidswere applied and topped with wild seed mix. Erosion gullieswere graded, dams were upgraded along with the sedimenta-tion pond and the discharge channel was improved.

The results of this environmental work have stabilized thesite, stopped suspended solids from the tailings area enteringthe Porcupine River and promoted other uses of the property.The use of biosolids as a cover and wild grasses promoted aself-sustaining environment, which encouraged the growth ofother natural grass, shrub and tree species. The companyalso works with the local Aboriginal community to promoteapplying traditional knowledge and practices to modern reha-bilitation techniques.

Wildlife has returned to the area and several black bears nowreside and feed on the site. Since 2008, honey bees wereestablished on the property to promote additional pollinationand plant development. This in turn has spawned into agreater number of healthy bee colonies and a budding honeyindustry. The company has formed a partnership with a localapiculturist who is engaged in the raising and caring of beesfor commercial and agricultural purposes.

ACHIEVEMENTS

standards | COLUMNS

Radius of influence and extrapolation distances for resource categoriesA review of several technical reports

shows that the “measured” categorylargely utilizes 3D seismic coverage andradius of influence (ROI) varying from0.8 to 2.5 kilometres. The “indicated”ROI ranges from 1.6 to 2.5 kilometres,usually with 2D; however, the“inferred” category ranges from 3.2 tomore than eight kilometres. GSC Paper 88-21 suggests that for

relatively flat lying or gently dipping(0 to 5 degree) deposits where drillhole data can be correlated with confi-dence, the distance from the nearestdata point for resources classified asmeasured be <0.8 kilometres, indi-cated 0.8 to 1.6 kilometres, andinferred 1.6 to 4.8 kilometres. It mustbe remembered that these guides wereput forth prior to the widespread useof 3D seismic programs.Drill hole spacing from past explo-

ration programs are often used as aguide to current programs. Theseexploration programs generally useddrill hole spacing varying from two tofour kilometres, with a few outliers atfive to six kilometres.In general, the ROI should be great

enough to outline a contiguous area andnot produce “spotted dogs” or donuts inthe measured and indicated categories.Where large ROIs have been used, theinferred category approaches 90 percent of the total resource and only 10per cent can be used to support mineplanning and evaluation of the eco-nomic viability of the deposit. Wheremore modest ROIs have been used, theopposite is true with the measured andindicated categories making up almost90 per cent of the resource, giving anyengineering company charged withpreparing scoping studies, prefeasibilityand feasibility studies some confidencethat they are working with defensibleand meaningful estimates.

In need of updatingRegulators, report reviewers,

investors and, for that matter, manyengineering companies, appearunaware of the technical complexities

August 2011 | 61

DeGolyer and MacNaughton Canada Limited1430, 311 - 6 Avenue SW

Calgary, AB Canada T2P 3H2Fax: 403.266.1887 e-mail: [email protected]

Geological mapping and modelling of ore bodies and depositional

environmentsMining reserves/resources

determination using NI 51-101 criteriaMining plan and scheduling of waste

and ore grade materialExtraction efficiency modelling with

economic valuation of Bitumen produced

Upgrader simulation for economic analysis of marketable quantities of

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Other services in the oil sands include:Geological mapping and modelling

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COMPLETE EVALUATIONOF ALBERTA OIL SAND DEPOSITS

of deep conventional mining or theenergy and water needs facing thoseattempting to mine lower temperaturesolution mine properties. It is hopedthat this discussion will possibly raisesome interest in developing updatedbest practices for potash.

The points raised in the article are solelythe opinion of the writer.

CIM

author Dave Mackintosh, anindependent geologicalconsultant, is the authorof numerous papers onpotash rock mechanics,mining and geology, and

is a Competent Person for the BHP Billitonpotash project.

COLUMNS | metals monitor

The Metals Economics Group’s(MEG) recent “Strategies for CopperReserves Replacement: The Costs ofFinding and Acquiring Copper” studyconcludes that between 2001 and2010, the top 23 global copper pro-ducers (those that mined at least145,000 metric tonnes of copper in2010) replaced nearly 290 per cent ofthe copper they produced. Almost allof these companies have addedenough reserves to keep ahead of pro-duction, maintaining strong pipelinesof projects to ensure stable orincreased copper production. The major copper producers

increased their aggregate annual pro-duction by 26 per cent over the past 10years to 11 million metric tonnes in2010 – 68 per cent of world mine pro-duction. As of year end 2010, thesecompanies also held sufficient reservesfor 34 years of production at the 2010rate. However, increasing production

Strategies for copper reserves replacementThe costs of finding and acquiring copper� The staff of Metals Economics Group

has exacerbated their need to addreserves, and most major producersforecast further production increasesin the coming years. Based on 2010production, the major producers eachneed to replace an average of almost480,000 metric tonnes of copper inreserves each year; and if their near-term growth plans bear fruit, thiscould increase to almost 650,000 met-ric tonnes annually by 2016.Globally, 62 significant copper dis-

coveries (defined as a deposit contain-ing at least 500,000 metric tonnes ofcopper) have been reported so far inthe 1999-2010 period, containing229.1 million metric tonnes of copperin reserves, resources and past produc-tion. The Americas account for thegreatest share of copper in these dis-coveries, which is not surprising giventhat the Americas have been the pri-mary focus of discovery-orientedexploration spending.

Although the copper found in the62 discoveries is slightly more than theindustry has produced over the pastdecade, the economic viability of thesedeposits relies to a large extent onlocation, politics, capital and operatingcosts, and market conditions, whichinevitably reduce the amount ofresources that will reach production.Considering that just six per cent ofcopper in these discoveries has beenupgraded to reserves so far, that manyof the larger discoveries are low grade,and that almost half the copper in thediscoveries is located in areas ofmedium or high political risk, theamount of copper available for pro-duction in the near term is likely farless than has been found.Only 10 of the 23 major producers

have made significant copper discover-ies since 1999; of the 62 discoveriesmade, 24 can be attributed to these 10companies, accounting for 41 per cent


Copper in reserves, resources and past production in major copper discoveries by country, 1999-2010 (total reserves, resources and past production of 229.1 million metrictonnes)

Metals E

conomics G

roup

metals monitor | COLUMNS

of the 229.1 million metric tonnestotal in situ value found. Given thatjust six per cent of copper in the 62discoveries has so far been convertedto reserves, it is clear that we know themajors have added almost all of theirexploration-derived reserves at exist-ing mines and older projects, but verylittle of it through new discoveries.MEG’s Copper Reserves Replacement

Strategies study addresses key growthstrategy issues facing the copper miningindustry and compares the relative costsper pound of discovering or acquiringcopper in the ground. In addition to anindustry-wide review of the copperpipeline, acquisition activity, copperexploration spending and major discov-ery successes, the study also provides avariety of metrics for measuring and com-paring the relative costs of various growthstrategies for the 23 largest copper minersand the industry as a whole.

For more information on how toobtain “Copper Reserves ReplacementStrategies,” please visit www.metalseco-nomics.com, email [email protected] or call 902.429.2880.

CIM

Note: At the time of writing, no qualifying copper discoveries were reported in 2010;however, due to the time required to assess a large deposit, there may be qualifying dis-coveries attributable to 2010 in the future. Discoveries are not defined solely by grass-roots exploration, but require additional late-stage spending to further expand anddefine a deposit beyond its initial resource estimate. To account for this, MEG definesdiscovery-oriented copper exploration as 100 per cent of grassroots spending plus 75per cent of late-stage spending, which we feel best reflects the cost of finding and sub-sequently defining a major new discovery.

August 2011 | 63

The Mining Industry Human Resources Council

Released August 2011:

The Power of Collaboration

Visit www.MiHR.ca

to access these studies

Northern connectionThe ATCO Group of Companiesannounced its involvement as aLegacy Sponsor of the 2012 ArcticWinter Games to be held March 4-10, 2012, in Whitehorse, Yukon.

The company, including Yukon Elec-trical, will provide people, productsand services to the event. ATCO is aco-sponsor of the 2012 Arctic WinterGames, opening and closing cere-monies, and the cultural showcase.Almost 2,000 athletes and culturalparticipants from Arctic nations willcome to compete and display theirtalents in the world’s largest north-ern multi-sport and cultural event.

The event celebrates athleticachievement, friendship, culture andteamwork between northern contin-gents, with participation from Alaska,Yukon, Northwest Territories, North-ern Alberta, Nunavut, Nunavik,Greenland, Yamal and Sapmi.

GIVING BACK

COLUMNS | safety

The harmonizing of dif-ferent personalities, ideals,goals and processes in anorganization is a colossalundertaking, especiallywhen it comes to safety. “Adedicated focus on safety isessential post-merger andcan be particularly chal-lenging due to integrationissues,” says Michael Win-ship, COO of Quadra FNX,who over the past year hashelped orchestrate the uni-fication of two distinct cor-porate cultures followingthe merger of Quadra Min-ing and FNX Mining inMay 2010.

Choosing the bestapproach Creating and maintain-

ing a strong safety programwithin the newly formedcompany started at the verytop. The board of directors’Environment, Health &Safety Committee, whichincludes the chair, past-chair and oneother director, met with the CEO to setclear strategies. “Our board has sent avery strong message of expectationson health and safety,” Winship says.“Paul Blythe, our president and CEO,has made working safely as an inte-grated company a top priority.” Winship set out to spread the mes-

sage across all operations. He beganby meeting with the general man-agers of the company’s six projects todiscuss expectations. Together, theyhad to determine the best approachto safety for the new company, asboth Quadra and FNX had followeddifferent methodologies. “Previously,one side of the company had fol-lowed the idea that to have the rightto work, you had to work safely,

Merging culturesQuadra FNX zeroes in on safety� Heather Ednie

while the other side followed anexplicit ‘zero harm’ set of values,”says Winship. “We opted to take onzero harm as the core value of ourcompany.”Prior to the merger, the safety per-

formance at some of the sites wasalready very strong. For example, theSudbury operation had been accident-free for 411 days and Sierra Gorda inChile had been accident-free for theentire life of the project. However,along with these hot spots of excel-lence, Winship says there were stillchallenges in Chile and the UnitedStates that caused the company to takeaction. “We had a meeting with allsafety professionals in the companyearly on to share best practices,” Win-ship recalls. “Throughout the year, we

held an additional two meetings, as wewanted to establish a set of values thatwould reflect our combined company.Now, we’re in the process of rolling outthose values.”

The roll-outOnce a strategy was defined, Win-

ship took the lead and, over many sitevisits, set expectations with the gen-eral managers. “It has to be enforcedduring supervisor training and crewmeetings,” he says. “Our generalmanagers at the sites were very activein the roll-out. We do have safety pro-fessionals at each site as support, butit’s the line management that isaccountable.”Although all operations must

abide by the same core values and


Emergency response training at Carlota Mine

Brock D. Jo

hnston

safety | COLUMNS

share a number of common elements– such as safety metrics, a commonreporting structure, communicationsand supervisory training and leader-ship – some latitude was allowed.Sites can adopt what safety systems fittheir maturity and culture. A perfectexample is the Carlota copper minein Arizona, where two innovativesafety programs are going the dis-tance to maintain and improve astrong safety culture.

Caught in the ActThe “Caught in the Act” loss con-

trol tool was developed to recognizepeople for making a conscientiousdecision to work safely. The basicapproach can be summarized by the“Soon, Certain and Positive” concept:recognizing individual behaviour rightafter it occurs (soon); ensuring therecognition is consistent (certain); andproviding encouragement to continuethe behaviour (positive).“At Carlota, we look for opportu-

nities everyday to use this loss con-trol tool and it’s amazing to look atour employees’ faces and the faces ofcontractors when we recognize theirsafe behaviour with a small gift of

appreciation,” says Kathy Binegar,senior HR representative.There are specific guidelines to be

followed (at least two of the followingfour points are required, with the firstone mandatory, while the fifth is astand-alone):• Individuals are wearing appropriatePPE (personal protective equip-ment).

• Individuals are following propersafe work procedures.

• Work area is clean and orderly.• If using mobile equipment, a pre-ophas been done and documented andthe mobile equipment was foundchoked or wheels in a parking ditchwith the parking brake set.

• Someone provided a “safety hand,”such as conducting a safety huddlewith others to stop a potential incident.

The Safety LeagueThe Carlota Safety and Health

League (CSHL) was formed toincrease supervisory participation insafety inspections on site. The aimwas to raise the number of supervisorsattending group inspections, increasethe number of eyes and insight at

those inspections, report safetyinspection findings to the appropriatepersons, and correct hazardous condi-tions.Inspection seasons were estab-

lished, consisting of 10 inspectionsshared equally among the five teams.A score card and rules were created todetermine a winning team each sea-son, and teams chose names and mot-tos that reflected the Hawaiianculture: • Duke Kahanamoku: Safety – Ride the

Wave• The Big Kahunas: Don’t Surf Past

Safety• Los Paniolos (The Hawaiian Cow-

boys): A Safe Quitting Time for Work• The Islanders: Safety Makes Good

Things Happen• Pele’s Pit Sludge Predators: Personal

Investment – Maximum ResultsThe reason for these names

stemmed from a question employeeswere asked before the merger: “If youcould come to work each day and feellike you were working in paradise,what would it be like?” One employeeanswered: “It would feel like being inHawaii” – and it stuck. The results speak volumes. Work-

ing with people from different depart-ments has given employees a greaterunderstanding of the total operation.In turn, more potential hazards havebeen uncovered and addressed. By thispast February, two inspection seasonswere completed – resulting in morethan 150 possible citable issues reme-died – 200 safety suggestions weremade, and 50 Caught in the Act cita-tions were issued.

Making safety everyone’s businessAllowing the various sites to help

set their own safety systems hasbrought a much-needed energy to theeffort. “It has been embraced at thesites – they like the ability to tailortheir own plans and are all off and run-ning,” Winship says. “You need tokeep things fresh and bring energy into get to zero. We’re definitelystrengthening the focus across thecompany.” CIM

August 2011 | 65

At Carlota Mine, innovative safety programs are in place to maintain a strong safety culture.

Brock D. Jo

hnston


COLUMNS | parlons en

L'exposition prolongée àdes niveaux vibratoiresainsi qu’à des niveauxsonores élevés peutentraîner de nombreuxtroubles de santé. L’exposi-tion aux vibrations estclassée en deux catégories :les vibrations main-bras,où la main et le bras du tra-vailleur sont exposés auxvibrations par l’opérationd’un outil ou d’unemachine tenus par la main(par exemple l’utilisation d’uneforeuse à béquille), et les vibrationsglobales du corps, où les vibrationssont transmises par les pieds ou lepostérieur à l’ensemble du corps parl’entremise de la colonne vertébrale(par exemple lors de la conduite devéhicules). Une exposition excessiveaux vibrations main-bras peutentraîner la maladie des doigts blancs(syndrome de Raynaud) et être un fac-teur de risque pour le développementde troubles musculo-squelettiques dusystème main-bras, tandis que l’expo-sition aux vibrations globales du corpspeut être associée à des problèmes delombalgie. Par ailleurs, l’expositionprolongée des travailleurs à desniveaux excessifs de bruit cause desproblèmes de surdité.

Études récentes : objectifs et méthodologieLe niveau vibratoire des équipements

est la plupart du temps inconnu. Danscertains cas, tout dépendant de ladurée d’exposition quotidienne, ladose journalière de vibrations trans-mises aux mineurs pourrait représen-ter un risque pour leur santé. Un rapport récent de l’Institut de

recherche Robert-Sauvé en santé et ensécurité du travail (IRSST) identifie,

parmi une gamme d’équipementsminiers, les différentes sources vibra-toires et sonores pouvant potentielle-ment avoir un effet néfaste sur la santédes travailleurs. Ce rapport découled’un projet de recherche conjoint entrel’IRSST et le Laboratoire des mines etdes sciences minérales de CANMET àVal-d’Or, avec la participation finan-cière de l’Association minière duQuébec (AMQ), par l’entremise duGroupe MISA et du ministère duDéveloppement économique, de l’In-novation et de l’Exportation (MDEIE). Ce projet avait comme objectifs de

déterminer quelles sont les différentessources vibratoires et sonores deséquipements miniers pour développerdes pistes de solutions ou des moyensde protection, d'informer et de sensi-biliser les opérateurs miniers et leursemployeurs à la problématique dubruit et des vibrations en milieu de tra-vail en produisant un document d’in-formation, puis d’aider la SOREDEM(Société de recherche et de développe-ment minier) à établir une liste de pro-jets prioritaires visant à l'améliorationdes conditions de travail sous terre. La sélection des équipements

miniers à évaluer s’est effectuée enplusieurs étapes. Dans un premiertemps, une liste préliminaire des

équipements à évaluer a été dressée. Àpartir de cette liste préliminaire, unquestionnaire destiné aux gestion-naires de mines québécoises a étéélaboré afin d’obtenir une vued’ensemble de l’inventaire deséquipements miniers utilisés auQuébec. Finalement, le choix deséquipements à évaluer et la planifica-tion des mesures ont été établis en col-laboration avec la SOREDEM. Par lasuite, les chercheurs ont évalué untotal de 28 équipements miniers répar-tis dans huit mines souterrainesquébécoises. Les mesures ont surtoutété effectuées pour les vibrations glob-ales du corps, les problèmes liés auxvibrations main-bras étant relative-ment bien documentés et associés àl’opération des foreuses à béquille.

Résultats (de l’étude)Plusieurs des équipements évalués

ont des niveaux de vibrations globalesdu corps suffisamment élevés pourreprésenter un risque, à long terme,pour la santé des travailleurs. Lestâches associées aux niveaux de vibra-tions globales du corps les plus élevéssont le marinage avec rétrocaveuse(sur rails et sur roues), la conduite decertains véhicules dépourvus de sus-pension, le forage sur échafaudage

Évaluation des vibrations et du bruit des équipements miniersConséquences d’une exposition prolongée � Pierre Marcotte

Chargeuse-navette d’une capacité de 9 verges cubes Rétrocaveuse sur rails instrumentée pour mesurer les vibrations

Sylvain Ou

ellette/LM

SM-CAN

MET

August 2011 | 67

parlons en | COLUMNS

d’aluminium et l’opération deschargeuses-navettes. La performancedes sièges à suspension des différentséquipements a aussi été évaluée.Plusieurs sièges, notamment ceuxd’un bon nombre de chargeuses-navettes, ont contribué à augmentersignificativement les vibrations aux-quelles est exposé l’opérateur. Parailleurs, les équipements pneuma-tiques, tels que les rétrocaveuses etles foreuses pneumatiques, ontprésenté les niveaux de bruit les plusélevés. En se basant sur les résultats

obtenus dans les mines souterraines,plusieurs recommandations visant àréduire l’exposition des travailleursminiers au bruit et aux vibrations,ainsi qu’à orienter de futurs travaux derecherche et développement ont étéformulées :1. Afin de réduire l’exposition des tra-vailleurs au bruit, mettre au pointun silencieux pour le dispositifd’échappement de l’air comprimédes rétrocaveuses (sur rails et surroues) et des foreuses à béquille.

2. Sensibiliser les travailleurs à l’im-portance de porter leurs protecteursauditifs. Leur fournir de l’informa-tion vulgarisée sur le port adéquatdes protecteurs. Étudier la possibil-ité d’utiliser la double protection(bouchons + coquilles) lorsque lesniveaux de bruit sont très élevés.

3. Limiter l’utilisation quotidienne desrétrocaveuses (sur rails et surroues) par les travailleurs enfavorisant des rotations sur lespostes de travail. Utiliser le pluspossible ces équipements en modetélécommandé pour limiter l’expo-sition des travailleurs aux vibra-tions globales du corps.

4. Installer des sièges à suspension adap-tés à la dynamique du véhicule dansles chargeuses-navettes et lesvéhicules de service et de transport.Évaluer l’efficacité des sièges à sus-pension dans les véhicules qui en sontmunis et les remplacer au besoin.

5. Améliorer la conception de la plate-forme d’aluminium afin de mi-nimiser l’exposition aux vibrationsglobales du corps lors de l’opération

de foreuses à béquille sur ce type deplateforme.Par ailleurs, en se basant sur les

observations effectuées lors des visitesdans les mines souterraines, les recom-mandations suivantes ont été for-mulées :1. Favoriser l’utilisation de pneus avecchambre à air plutôt que de pneuspleins, pour diminuer l’expositionaux vibrations globales du corps.

2. Bien entretenir les rampes et lesgaleries afin de conserver une sur-face de roulement lisse.

Pour plus d’informations, le rapport IRSSTR-682 intitulé : « Évaluation des vibrationset du bruit des équipements miniers » peutêtre téléchargé sans frais en consultant lelien suivant : http://www.irsst.qc.ca/-publi-cation-irsst-evaluation-des-vibrations-bruit-des-equipements-miniers-r-682.html

autEur Pierre Marcotte a étudié en génie physique et engénie mécanique, et s’est spécialisé dans les domaines del’acoustique et des vibrations. Depuis 2002, il est chercheuren bruit et vibrations à l'IRSST du Québec. Ses recherchesportent surtout sur la réponse biodynamique du corps humainaux vibrations ainsi que sur l'évaluation et la réduction desvibrations main-bras et corps entier.

SYMPOSIUM 2011 • ROUYN-NORANDASUR L’ENVIRONNEMENT ET LES MINES • MINES AND THE ENVIRONMENT

À METTRE IMMÉDIATEMENT À VOTRE AGENDAROUYN-NORANDA, QUÉBEC, CANADA - LES 6, 7, 8 ET 9 NOVEMBRE 2011

Dimanche 6 novembreCours intensif

Lundi et mardi 7 et 8 novembreProgramme technique portantsur :

• Rejets de concentrateur• Remblayage souterrain• Roches stériles• Politique et réglementation

& Mines et société• Qualité des eaux• Restauration des sites• Nouvelles tendances

Mardi 8 novembreSéance plénière

Mercredi 9 novembreVisites de sites

www.cim.org/Symposium2011

Chaire CRSNG Polytechnique - UQATen environnement et gestion des rejets miniers

COLUMNS | women in mining

When it comes to acareer in the mining indus-try, the opportunities areendless. A single skill setcan take you in many dif-ferent directions; beingopen to the plethora ofoptions can lead to aninteresting and uniquepath and, perhaps, a fewwild rides along the way.Jane Werniuk’s career

certainly falls under thecategory of unique.Agnico-Eagle’s senior geol-ogist (technical reporting)began her professional lifeon a completely differentpage – in nursing. But, shediscovered that this wasnot what life had in storefor her. “After two years ofdoing well in the class-room, I got into the hospi-tal setting and was theworst failure they’d everseen,” she admits candidly.“They told me to findsomething else to do –preferably something not involvingpeople. So, having been in nursingclasses for two years, I decided to finda field with guys in it.”Her desire to get out of a female-

dominated sector, coupled with a life-long interest in going to the Northand an ongoing curiosity about therocks in the Mazinaw Lake region ofsouthern Ontario, propelled her tostudy geology at Queen’s University.“The 300-foot cliff in Bon EchoProvincial Park was a really interest-ing geological formation near mygrandparent’s cottage,” she explains.“I always wanted to understand it. Istill don’t, fully, but I have writtenabout it.”Once she graduated from Queen’s

in 1977, Werniuk got a series of

From quinine to quartzHow a would-be nurse found her calling in mining� Heather Ednie

short-term field and office contracts,but no long-term work was available.In 1979, she had her eye on a summerfield contract with the GeologicalSurvey of Canada, for which sheneeded to prove she was a student. “Iapplied to Carleton University for amaster’s program in the spring. WhenI returned at the end of the summer, Iwas incensed to find out that Car-leton had rejected me, but I fought itand promised to write a geologydepartment newsletter, so they let mein,” she says. Thus began the Geobullweekly newsletter at Carleton.

Life-changing experiencesWhile pursuing her master’s

degree, Werniuk worked as a summerfield geologist for Anaconda Canada

in the Yukon. But an uncomfortableencounter with a brown bear put anend to her field work and contributedto her decision to find a safer type ofwork. At that point, her long-termgoal was to work for a museum or inscience broadcasting. After completing her degree in

1982, Werniuk moved to St. John’s,Newfoundland, to work in scientificediting for the Mines Branch – a jobshe loved. “I would have carried onthere, but I met a guy from Toronto[who would become her husband,George Werniuk] and moved there tobe with him,” she says. On the firstday of their honeymoon, she inter-viewed for a job at the Canadian Min-ing Journal (CMJ) – which she got –while George waited outside in the


Since 2007, a team representing the Women in Mining Toronto Branch has participated in the Weekend to End Breast Cancer(more recently called the Weekend to End Women’s Cancers), raising over $350,000 for the Princess Margaret HospitalFoundation. The WIM team during the two-day, 60-kilometre walk in September 2010 (left to right): Cathy Fletcher, BirgitRameseder, Jane Werniuk, Kate Armstrong, Rosario Astuvilca and Stephanie Thomas. Missing: Catharine Shaw.

Credit: Weekend to

End Wom

en’s Cancers

women in mining | COLUMNS

parking lot. Werniuk ended up work-ing at CMJ from 1986 to 1990, andreturned (after having two children)as editor from 1997 to 2008.“I was always careful to promote

good environmental and safety prac-tices,” she says of her years publish-ing with CMJ. “I tried to go as far as Icould to warn mining companiesabout the consequences of theiractions.”In 2007, Werniuk was part of

Women in Mining’s Toronto team par-ticipating in the Weekend to EndBreast Cancer. “A couple of us threwcaution to the wind to raise a scaryamount in donations; we wrote let-ters, we cajoled people, we publishedabout it,” she recalls. “Supporting ourteam became the cool thing to do.During the final three weeks beforethe event, people were calling us upasking, ‘Is it too late to donate?’ Forthe record, it’s never too late.”

The nine-person team was the topfund-raiser that year, raising morethan $200,000 in the $17.3-millionevent, and Werniuk says it was a lifelesson for her. “It taught me that any-one can do anything, if they put theirmind to it. You can do anything thatmakes sense if you choose to not puton the brakes. It’s what made methink I could become a geologistagain.”

The next leg of the raceWerniuk joined Agnico-Eagle

Mines Limited (AEM) in June 2009.“I was hired to compile NI 43-101reports that must be filed wheneverthere’s an increase in reserves or wefind a substantial new deposit,” sheexplains. “My editing and geologicalbackground makes me a good fit.”To date, Werniuk is pleased with

AEM, which is high praise for thecompany’s performance records.

“I’m a skeptic,” she explains. “I’mthe guy trying to make sure we’redoing all we say we do, the rightway. And so far, my conclusion isthat AEM is an honest company thattries to do the right thing with com-munications, environment andsafety. I’m working here because Ifeel it’s a good company that is hon-est and open, but I keep my eyesopen, and if I see something thatshouldn’t be happening, I’ll be thefirst one complaining.”From her early career days of being

dubbed a “field camp girl” and beingtold that her presence undergroundwas something the men felt was badluck, through to recent years with theWIM Toronto Branch demonstratingthe powerful impact women canhave, Werniuk has not only witnessedthe incredible amount of opportuni-ties available in this industry, she haslived them. CIM

August 2011 | 69

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COLUMNS | student life


As part of its outreach pro-gram, members of McGill’sMaterials Engineering CIMStudent Chapter visit elemen-tary and high schools to teachstudents about how metals areextracted from the ground andend up in everyday products. Our motivation for starting

such a program, which iskindly sponsored by Met-Chem Canada, is to educateand spark an interest in theyounger generation that mayfill future job opportunities inthe metals extraction industry.While the industry may nothave the most “glamorous”image, it offers strong careerpaths with numerous advan-tages, which are unbeknownstto most. Many of our ownchapter members say theextractive industry was nottheir initial choice for a career,but they shifted paths upon discover-ing this exciting sector. One of the benefits of participating

in the outreach program is the oppor-tunity to improve the way we commu-nicate information about the industryto different audiences. By dispellingsome of the negative perceptionsabout the sector, the image of ourindustry will become more personableand accessible.

Know your audienceTailoring your message to the age of

your audience is crucial to reachingthem and making an impact. Forexample, elementary school childrenare naturally curious, have boundlessimagination and ask surprising ques-tions, so you need to be ready to fieldall sorts of inquiries and keep the pres-entation fun for the students.One time, after talking about where

metals come from, a young boy asked

From cookies to the CongoHow to talk to different age groups about mining and metals� Ryan Cunningham

tional mining companies and arebeginning to ask tough questions.Being aware of, and troubled by,“blood minerals” from the DemocraticRepublic of the Congo, where somemining interests are controlled by cor-rupt militia groups, they want to knowwhat the connection is between theseelements and the Canadian metalsextraction industry. They are also con-cerned about the environmental reper-cussions of open pit mining and itseffect on wilderness areas. Informingthese older students about things likethe measure in our legislature thatsafeguards the environment usuallycomes as a complete surprise. It is vital to recognize and directly

address students’ concerns. Today’sgeneration of high school studentshave grown up with the Internet, andtheir access to information is astonish-ing. They are active learners who arequick to recognize faulty logic or weak

when we were going to start miningthe moon. From there, questions cameat us about mining the bottom of theocean. At the elementary school level,rocks are “cool” and dressing up incoveralls and a hard hat makes presen-tations more entertaining. Also, break-ing out bags of chocolate chip cookiesis always appreciated. The cookies areused to demonstrate the differencebetween ore (chocolate chips) andgangue (the rest of the cookie). Thecrumbs they make are their “environ-mental damage” and they are heldresponsible for their “tailings.” The key to talking to younger stu-

dents is making sure that they have agood time, which will generate long-lasting positive, memories of theindustry. High school students, however, are

a much different audience. They areconcerned with the social and envi-ronmental responsibilities of interna-

McGill University undergraduate students supervise St-Lambert elementary students as they extract their chocolate chip “ore”from the cookie “deposits.”

Courtesy of Ryan Cunningham

explanations. Be honest with your facts and humble withthe limits of your experience and knowledge. Challenge students with their very own questions. For

example, if they are concerned with large companies treat-ing the local and/or indigenous populations fairly, invitethem to search for equitable solutions that add value forboth parties. If they are concerned with environmentalimpacts, challenge them to find improved methods of min-ing, processing, reclamation, etc. If they are concernedabout metals ending up in landfills, challenge them to cre-ate better designs in future products. High school students need to know what their options

are and that a range of different skillsets are needed in theindustry. They must be shown that there are positionsand niches for them in the industry, even if they do nothave “technical”skills.” It is ourresponsibility totransform theaudience from“outside” criticsto active partici-pants – educatingtoday’s youth iskey to makingthis happen. CIM

author

Ryan Cunningham iscurrently pursuinghis doctorate inmineral processingat McGill Universityand works part time

as a junior process engineer at Met-Chem Canada.

August 2011 | 71

Cliffs Natural Resources Inc. appointed David Webb assenior vice-president – global coal. Webb will provide strate-gic leadership and drive operational performance at the com-pany’s coal operations in North America.

Webb has over 30 years of experience as a mining engineerand senior manager in the coal and energy sectors. Prior tojoining Cliffs, he was vice-president and general manager ofMidwest operations for Patriot Coal Corp since 2007 andspent 25 years in various engineering and management rolesat Freeman United Energy Corporation.

He serves on the Illinois State Mining Board, as first vice-chairman of the Kentucky Coal Association and as a develop-ment board member at the Missouri University of Scienceand Technology.

Teck Resources Limited appointed Greg Belland as thegeneral manager of its Trail Operations. Before joining Teck,Belland worked for the National Research Council andNoranda Limited. He first joined Teck (then Cominco) in1988 as a research engineer. In 1994, Belland left Teck, butreturned in 1997 and has served in a variety of capacitiesat Trail Operations, including manager, commercial serv-ices, raw materials manager, operating manager and salesmanager.

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COLUMNS | HR outlook

The impending skills shortage fac-ing the mining industry means it isnow more important than ever toinvest in our people. We are competingwith other industries in Canada for tal-ent and we need to send out a strong,consistent and positive message aboutcareers in mining to position our com-panies as employers of choice. The following practice, submitted

by Barrick Gold Corporation to MiHRInnovate, illustrates one way in whichthis company is addressing the chal-lenges that today’s labour market pres-ents in filling roles with experiencedworkers.

A gold industry leaderWith 25 operating mines and a

pipeline of large, long-life projectslocated across five continents, Barrickhas implemented “Discover Barrick,” anew “short-term assignment” initiativein response to increased requests foron-demand skilled labour to supportongoing operations and project sites. The company’s approach has been

driven primarily by critical sitedemand that cannot wait the custom-ary three months often necessary todeploy assignees. Add to that the bene-fit to employees that comes from expo-sure to international travel, new andchallenging assignments based on theircritical skill set and the opportunity tobuild global networks, often whilegaining invaluable experience in thedeveloping world.Barrick also benefits from not losing

an employee longer term and having tobackfill the home country position hada traditional long-term assignmentbeen used in its place. Beneficial toboth parties, the short-term assign-ment allows personal and professionalgrowth while avoiding excess costs tothe organization (i.e. shipping/storage

Skilled labour on-demand with “Discover Barrick”New short-term assignment initiative shows promising results� Lindsay Forcellini

of goods) or familial inconveniences(i.e. uprooting and relocating thewhole family). Once it was decided that these types

of assignments would be necessarygoing forward (based upon the success-ful completion of two rounds of short-term assignments, equaling roughly 30assignees in total), Barrick completedan exercise to determine if certainmeasures could be undertaken toreduce the lead time to deployassignees. The result of this has beenpositive; weeks have been removedfrom the process and Barrick is betterprepared to respond quickly to requestsfor immediate skills and assistance.

How it works Through Barrick’s internal job portal,

“evergreen postings” (postings that haveno end date) will be created in broadbuckets of functional areas that containthe types of positions that are most oftensought by the sites or projects for short-term support. Once employees “apply”to an evergreen posting, demonstratinginterest in a short-term assignment, andtheir experience and skills have been


Short-term assignments foster personal andprofessional growth while avoiding excess costs tothe organization or familial inconveniences for theemployee.

Courtesy of M

iHR

author

Lindsay Forcellini is marketing andcommunicationscoordinator atMiHR.

vetted, they will begin preparing for anassignment: further discussions/reviewof the assignment package, conductingbackground checks, and updating pass-ports and travel immunizations in orderto be ready for when an opportunitybecomes available. By completing these steps up front,

the company has a pool of “ready-to-deploy” short-term assignees to supportthe sites and projects in short order. Dueto Barrick’s numerous operations andprojects, the ever-tightening labour mar-ket and the general challenges faced inrecruiting skilled, technical labour, inconjunction with the benefits andgrowth development this presents toBarrick’s employees, being able torespond quickly and efficiently to criticalrequests will help the company achieveits global objectives on many fronts.This initiative is new to Barrick,

although the company has enjoyedsuccess with its first round of short-term assignees, from both an employeeand an operational standpoint, evi-denced by the desire expressed bymore sites/projects and employees toparticipate in this program. It will con-tinue to monitor the success of assign-ments and the demand by theoperations to balance the supply anddemand of internal assignees and, ifnecessary, will look to take this onestep further and open it up to the mar-ket in an effort to have a pool of exter-nal assignees in the database. CIM

Nova Scotia is known for itscoal, but its eastern shore hasbeen a source of gold ever

since a “rush” invigorated theprovince in the 1860s. The initial dis-coveries were made humbly enough,often by local farmers, some who hadpicked up the idea of prospecting fromthe California Gold Rush.One of these men was John Pulsifer,

a farmer and amateur prospector fromthe town of Musquodoboit. Pulsifersuspected that there was gold alongthe Tangier River and in 1860, heexplored the area, enlisting a Mi’kmaqguide named Joe Paul.Joe Paul had been to the area two

years earlier in the company of Cap-tain Champagne L’Estrange of theBritish Army, who was on a moose-hunting trip. Whether or not the cap-tain got a moose is unknown, but hedid claim to have found gold – his dis-covery was not taken seriously andwas all but forgotten by the time Pul-sifer explored the area. On his expedi-tion, the farmer found what he waslooking for – gold-bearing quartz.Pulsifer staked a claim, although at

first he, too, had trouble convincing notonly local officials but potential finan-cial backers as well. Then, in October, alocal fisherman and farmer named PeterMason came across gold on his ownland near the Tangier Harbour. He wason the lookout for such a find, intriguedby the rumours of gold further up river.There was no denying this second dis-covery. The gold rush was on.Discoveries were not limited to

Tangier. There was a flurry of discover-ies across the eastern shore of NovaScotia in 1861.When news of the Tangier gold

reached Lawrencetown, just east of

Gold in our backyard: local labourers and Nova Scotia’s gold rush� Correy Baldwin

excitement in the air about gold, how-ever, they could hardly keep the secretfor long. Neighbours became suspi-cious and took to closely watchingthem. By October, the sound of Nick-erson’s hammer had given him away,and Goldenville was enveloped in thegold rush.Unlike other gold rushes across

North America, Nova Scotia’s discover-ies were in an area that had long beensettled. When the rush hit, local farm-ers, fishermen and other labourerspicked up many of the claims. At onepoint, so many farmers had left theirfields that the general public becameconcerned about the loss of agricul-tural productivity.All of this led to a large number of

small operations, spreading financialbacking thin. As well, a general lack ofexperience in mining led to inefficientand wasteful operations. Gold extrac-tion was often done simply by hand,with picks and shovels. When the sur-face gold ran out, men lacked the cap-ital to invest in larger scale mining,and many operations were abandoned. At the Ovens, near Lunenburg, for

example, gold was found in the beachsand where it fell from the erodingcliffs above. But few could afford tomine the veins themselves and merelypanned the beaches by hand until thiseasy gold ran out.By 1874, gold fever had ebbed.

Thankfully this was not the end ofNova Scotia’s history with gold. It wasnot long before more experienced andbetter trained men reopened the goldmines, equipped with better machin-ery and methods, and more capital.Gold would continue to feed NovaScotia’s economy throughout the nextcentury. CIM

Halifax, a man named William Crookknew where he could find his owngold. Years earlier, as a young boy, hehad found what he believed to be goldon his father’s land. He had shown it tohis father, but the older man justscoffed at him and told him to pitchthe rubbish away and get back towork. Now, Crook returned to thefield where he had obeyed his father,and there indeed found gold.Not long after and further up the

coast at Goldenville, near Sherbrooke,a farmer named Nelson Nickerson dis-covered gold on his land while makinghay. He had visited Tangier earlier thatsummer and had learned to identifyquartz. He returned to break openevery intriguing rock he came acrosswhile working his land.The Nickerson family kept their

discovery quiet and began to secretlybreak down the quartz. With so much

August 2011 | 73

W. Chase, photographer; courtesy of N

ova Scotia Archives

John Gerrish Pulsiver, the discoverer of gold in quartzin Tangier (1860)

WRAP UP • RÉCAPITULATION

With a record-breaking 7,000-plus participants, an impressive eight-stream technicalprogram and the largest exhibition in CIM’s history (almost 500 companies), the Montrealgathering did not disappoint.

The event’s theme - Mines Without Borders - was evident everywhere, with more than aquarter of the exhibiting companies coming from outside of Canada and an impressivecontingent of international delegates.

TO GET THE FULL SCOOP, CHECK OUT A DETAILED WRAP UP ON:POUR AVOIR TOUTE LA NOUVELLE, VOYEZ LA RÉCAPITULATION DÉTAILLÉE AU :

www.cim.org/montreal2011

Avec plus de 7000 participants, un record, unprogramme technique à huit volets et le plus imposantSalon commercial de l’histoire de l’ICM (près de 500entreprises), la rencontre à Montréal a été un francsuccès.

Le thème du congrès « Mines sans frontières » étaitévident partout; en effet, plus du quart des compagniesqui exposaient provenaient de l’extérieur du Canada eton pouvait voir un impressionnant contingent dedélégués internationaux.

The Université du Québec en Abitibi-Témiscamingue(UQAT) and the Canadian Institue of Mining, Metallurgyand Petroleum (CIM), invite you to Rouyn-Noranda,Québec, Canada, to attend the Symposium 2011 onMines and the Environment, from November 6 to 9,2011.

This Symposium is the result of collaboration betweenthe Industrial NSERC Polytechnique-UQAT in Environ-

ment and Mine Wastes Management, the Unité derecherche et de service en technologie minérale (URSTM),

the Association minière du Québec (AMQ), the Mine Environ-ment Neutral Drainage (MEND) Program, the ministère desRessources naturelles et de la Faune du Québec (MRNF) and

the industry.

The objectives of the Symposium are to sharerecent knowledge and research developments and

to discuss common practices to find solutions thatreconcile profitability and environmental protection.

SYMPOSIUM 2011 • ROUYN-NORANDASUR L’ENVIRONNEMENT ET LES MINES • MINES AND THE ENVIRONMENT

RESERVE THE DATE IN YOUR AGENDAROUYN-NORANDA, QUEBEC, CANADA — NOVEMBER 6 TO 9, 2011

Sunday, November 6: Short course

Monday and Tuesday, November 7and 8: Technical program addressing thefollowing subjects:

• Tailings• Backfill• Waste Rocks • Policies and Regulations in Mining in Society

• Contaminated Water• Site Restoration

• New Trends

Tuesday, November 8: PlenaryWednesday, November 9: Site tours

A trade show will also be held on November 7 and 8.

Information will be available in the CIM Magazine. Also look on our web site formore details (accessible soon) at: www.cim.org/Symposium2011

For more information, please contact: Chantal Murphy (CIM): 1-800-667-1246

Chaire CRSNG Polytechnique - UQATen environnement et gestion des rejets miniers

cim news

August 2011 | 77

CIM is proud to offer a distinguished list of awards andhonours that recognize excellence in the industry. As always,the nominations are numerous and choosing the winnersfrom among many qualified and talented candidates is achallenging, but rewarding undertaking for the judges ineach sector. The following is a list of this year’s winners.

L’ICM est fier de présenter cette liste prestigieuse de prixet de distinctions qui récompensent l’excellence au sein del’industrie. Comme toujours, les mises en candidature ontété nombreuses et la sélection des lauréats parmi de nom-breux candidats doués et qualifiés a constitué pour les jugesde chaque secteur d’activité une tâche difficile, mais gratifi-ante. Voici les lauréats de cette année.

2011 CIM award winnersLauréats des prix de l’ICM 2011

John T. Ryan Trophies | Trophées John T. RyanThese trophies are awarded by Mine Safety AppliancesCanada Limited as a memorial to the founder of the com-pany. The national awards are presented to the metalliferousmine, the select mine and the coal mine that in the previousyear experienced the lowest reportable injury frequency per200,000 hours worked in Canada. Ces trophées sont remis par la société Mine Safety AppliancesCanada Limited en mémoire de son fondateur. Les trophéesnationaux sont décernés à des mines (mine de métaux, minesélectionnée et mine de charbon) qui affichent pour l’annéeprécédente le plus faible taux d’accidents à déclaration oblig-atoire par période de travail de 200 000 heures au Canada.

Recognizing industry’s finestHommage à la crème de l’industrie

• Canada Trophy for Metal Mines | Trophée Canada pour les mines de métauxVale, T-1 Mine, Thompson, MBVale, Birchtree Mine, Thompson, MB

• Canada Trophy for Select Mines | Trophée Canada pour les mines sélectionnéesCGC Inc., Windsor Plant, Windsor, NS

• Canada Trophy for Coal Mines | Trophée Canada pour les mines de charbonTeck Coal Limited, Coal Mountain, Sparwood, BC

Mel W. Bartley Award | Prix Mel W. BartleyThis award is presented by the CIM Thunder Bay Branch toa CIM branch demonstrating the most effective progress inreaching the aims and objectives of the Institute. Ce prix est remis par la section de Thunder Bay à une sec-tion de l’ICM ayant le plus progressé vers l’atteinte des cibleset des objectifs de l’Institut. • CIM Saskatoon Branch, Saskatoon, SK

Syncrude Award for Excellence in Sustainable Development |Prix Syncrude pour l’excellence en développement durableThis award recognizes extraordinary systems, programs orprocesses that have far-reaching and positive sustainabilityeffects in all industry sectors across Canada. It acknowledgesthose individuals, communities, organizations, corporationsor academics working to create economic wealth while mit-igating environmental impacts and acting inclusivelytowards all segments of society.Ce prix souligne le caractère extraordinaire des systèmes,programmes ou processus qui ont des effets importants etpositifs au chapitre du développement durable dans tous lessecteurs de l’industrie au Canada. Le prix récompense lespersonnes, collectivités, organismes, entreprises et universi-taires qui s’efforcent, par une démarche tenant compte detous les segments de la société, de créer une richesseéconomique, tout en atténuant les impacts sur l’environ-nement.• James P. Cooney, Vancouver, BC• IAMGOLD Corporation, Toronto, ON

CIM Distinguished Lecturers | Éminents conférenciers de l’ICMDistinguished Lecturers are chosen on the basis of theiraccomplishments in scientific, technical, management oreducational activities related to the minerals industry, andspeak at CIM branch meetings across the country.

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cim news


Les éminents conférenciers sont choisis en fonction de leursréalisations scientifiques, techniques, administratives oupédagogiques en lien avec l’industrie minière. Ils prennent laparole à l’occasion des réunions des diverses sections del’ICM d’un bout à l’autre du pays.

Klaus Kacy, Westbank, BC • Barbara Kirby, Ottawa,ON • Bernhard Klein, Vancouver, BC • A. HamidMumin, Brandon, MB • Jim Utley, Vancouver, BC •William Westgate, Saint Paul, MN, USA

CIM-Bedford Canadian Young Mining Leaders Awards | Les Prixjeunes leaders canadiens du secteur miniers ICM-BedfordTo encourage and accelerate the development of leadershipin Canadian mining, this award recognizes the outstandingachievement and potential of young Canadian leaders 39years of age and under, in various sectors of mining fromaround the world.Présenté dans le but d’encourager et de développer plus rapi-dement le leadership dans l’industrie minière au Canada, ceprix souligne les réalisations exceptionnelles et le potentielremarquable de jeunes leaders canadiens de 39 ans et moinsdans divers secteurs liés à l’exploitation minière sur la scènemondiale.

David Anonychuk, Dubai, UAE • Mark A. Eichhorn,Oakville, ON • Chad S. Hiley, Toronto, ON • RyanMontpellier, Kanata, ON

District 3 Distinguished Service Award | Prix de district 3pour services remarquablesThis award recognizes an Institute member for exceptionalcontributions to the development of the industry and CIMat the local level.

Ce prix récompense les contributions exceptionnelles d’unmembre de l’Institut au développement de l’industrie et del’ICM à l’échelle locale. • David G. C. Clarry, Toronto, ON

Metal Mining Society Award | Prix de la Société del’exploitation minière et des métauxThis award was established to recognize outstandingachievement or contribution in the field of mining engineering.Ce prix a été créé dans le but de souligner une réalisation oucontribution exceptionnelle dans le domaine du génieminier.• Awarded to the Canadian companies and individuals

involved in the successful rescue operation of theChilean miners.

• Il a été décerné aux sociétés et aux gens du Canada quiont pris part aux opérations de secours des mineurschiliens, lesquelles ont été couronnées de succès.

Barlow Memorial Medal | Médaille commémorative BarlowThis prize is given to the author of the best paper on eco-nomic geology, published by the Institute in any year.Ce prix est remis à l’auteur du meilleur article publié parl’Institut dans le domaine de la géologie économique aucours de l’année.• Michael D. Doggett, Vancouver, BC• Richard A. Leveille, Phoenix, AZ, USA

McParland Memorial Award | Prix commémoratif McParlandThis award was established to recognize outstanding per-formance in the minerals industry in the field of mechani-cal, electrical or civil engineering design, general plantdesign, project engineering and/or management of mineplants.Ce prix a été créé afin de souligner des résultats exception-nels dans l’industrie minière, plus précisément dans ledomaine de la conception en génie mécanique, électrique oucivile, des études et plans d’installations, de l’ingénierie oude la gestion d’installations minières.• George Delorme, Montreal, QC

Robert Elver Mineral Economics Award | Prix d’économie desminéraux Robert ElverThis award is given to a member of the Institute in goodstanding who has made a significant contribution in themineral economics field in Canada. Ce prix est remis à un membre en règle de l’Institut enreconnaissance d’une contribution importante à l’économiedes minéraux au Canada.• Pierre Lassonde, Toronto, ON

Julian Boldy Memorial Award | Prix commémoratif Julian BoldyThis award commemorates the outstanding contributions ofthe late Julian Boldy and recognizes exceptional service tothe CIM Geological Society.

August 2011 | 79

51st Annual Conference of Metallurgists

held with Pressure Hydrometallurgy 2012

Core programming includes:

HydrometallurgyCorrosionClean Metallurgical ProcessingSustainability Issues in Mineral & Metal ExtractionSustainability through Mining

Organized by:

CALL FORPAPERS

Ce prix qui commémore la contribution remarquable de feuJulian Boldy récompense les services exceptionnels rendus àla Société de la géologie de l’ICM.• Daniel Brisbin, Saskatoon, SK

Coal Award | Prix du charbonThis award honours the CIM members who have made out-standing contributions to the coal industry of Canada andwho have also been long-standing, active participants in theCIM Coal and Industrial Minerals Society.Ce prix est remis aux membres de l’ICM qui ont contribuéde façon notable à l’industrie du charbon au Canada et quisont depuis longtemps actifs au sein de la Société du char-bon et des minéraux industriels de l’ICM.• David Fawcett, Vancouver, BC

J.C. Sproule Memorial Plaque | Plaque commémorative J.C. SprouleThis plaque recognizes distinguished contributions to theexploration and development of Canada’s mineral resourcesin the northern regions.Cette plaque récompense une contribution exemplaire en cequi a trait à l’exploration et à la mise en valeur des ressourcesminérales du Nord canadien.• Douglas Bryan, Coldstream, BC

A. O. Dufresne Award | Prix A.O. DufresneThis award recognizes exceptional achievement or distin-guished contributions to mining exploration in Canada. Ce prix récompense les réalisations et les contributionsexceptionnelles en lien avec l’exploration minière auCanada. • David J. Copeland, Vancouver, BC

Past Presidents’ Memorial Medal | Médaille commémorativedes anciens présidentsThis award is presented to a person 45 years of age oryounger, who, by his or her accomplishments, has set anoutstanding example to young CIM members or youth con-templating a career in the minerals industry.Ce prix est décerné à une personne de moins de 45 ans dontles réalisations sont une remarquable source d’inspirationpour les jeunes membres de l’ICM et les jeunes qui envis-agent de faire carrière dans l’industrie minière.• Steve Piercey, St. John’s, NL

Members Award | Prix des membresPricewaterhouseCoopers Consulting Group sponsors thisaward, which is presented to one of the “unsung heroes” ofthe mining industry who has fully given time to severalaspects of community service and support.Commandité par la société de conseil Pricewaterhouse -Coopers, ce prix est présenté à un « héros méconnu » del’industrie minière qui a donné généreusement de son tempsafin de servir et de soutenir la collectivité sous plusieurs rap-ports.• Gordon E. Morris, Edmonton, AB

CIM Fellowship Award

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CIM Distinguished Service Medal | Médaille ICM pour servicesremarquablesThis gold medal recognizes exceptional service to the Insti-tute and the mineral industry that is not necessarily techni-cal or scientific. Cette médaille d’or récompense des services exceptionnelsrendus à l’ICM et à l’industrie minière qui ne sont pas néces-sairement de nature technique ou scientifique. • Tim Grain Joseph, St. Albert, AB

CIM Fellowships | Confrérie de l’ICMThis honour recognizes members who have distinguishedthemselves through outstanding contributions to the min-ing, metallurgical and petroleum industries. A CIM Fellowmay place “FCIM” after his or her name when deemedappropriate.Cette récompense est accordée aux membres qui se sont dis-tingués par leurs contributions exceptionnelles à l’industrieminière, métallurgique et pétrolière. Un Compagnon del’ICM peut accoler le titre « FCIM » à son nom s’il le jugeutile.

James F. Archibald, Kingston, ON • John D. Cairns,Saskatoon, SK • Glenn R. Clark, Cobourg, ON • Dou-glas Milne, Saskatoon, SK • Joseph P. Ringwald, Van-couver, BC • Torstein Utigard, Toronto, ON • DonaldJ. Worth, Toronto, ON • Janice Zinck, Ottawa, ON

cim news


Selwyn G. Blaylock Medal | Médaille Selwyn G. BlaylockThis medal is awarded for distinguished service to Canadathrough exceptional achievements in the field of mining,metallurgy or geology.Cette médaille est décernée à une personne ayant rendu desservices remarquables au Canada grâce à ses réalisationsexceptionnelles dans le domaine de l’exploitation minière,de la métallurgie ou de la géologie.• John W. Chisholm, Antigonish, NS

Vale Medal | Médaille ValeThis medal is presented as a mark of distinction and

recognition for a meritorious and practical con-tribution of outstanding importance to themining and metallurgical industry of Canada.Cette médaille est présentée afin desouligner et de récompenser une contribu-tion pratique et méritoire qui revêt uneimportance exceptionnelle pour l’industrie

minière et métallurgique du Canada.• Mackenzie I. Watson, Montreal, QC

Fifty-Year Club | Club descinquante ansTo mark the Institute’s DiamondJubilee in 1958, the CIM Councilinaugurated the Fifty-Year Club towhich members could be elected as amark of distinction for their long service.Afin de souligner le jubilé de diamant de l’Institut en1958, le conseil de l’ICM a créé le Club des cinquanteans afin de souligner les longues années de service desmembres qui y sont élus.Charles Aird, Vancouver, BC • Brian E. Backler, Campbell River,BC • John F. Barker, Sudbury, ON • Arthur W. Brown, NorthVancouver, BC • Robert Bryce, Val-d’Or, QC • Alfons Buzas,Bathurst, NB • J. Douglas Carnahan, Vancouver, BC • GeorgeE. Davies, North Vancouver, BC • Robert M. Giegerich,Amherstburg, ON • Timothy Godfrey, Calgary, AB • R. MichaelGray, Gravenhurst, ON • Peter W. Green, Kelowna, BC • BerntRag Honeth, Sandton, South Africa • Donald J. Hosking, NewLiskeard, ON • Douglas F. Irving, Albuquerque, NM, USA •Edmond A. Justen, Montreal, QC • Wray Koepke, Brighton, ON• John A. Logan, Middle Musquodoboit, NS • Wilfred A. Lyons,Buenos Aires, Argentina • John Mullins, Toronto, ON • RobinA. J. T. Oram, Santa Barbara De Nexe, Portugal • Robert H.Richards, Toronto, ON • Rudolf M. Rucker, Nipissing, ON •Cory V. Sibbald, Vancouver, BC • Desh B. Sikka, Montreal, QC• Louis L. Sirois, Woodlawn, ON • Charles H. Smallwood, ElliotLake, ON • Vernon E. Smith, Chilliwack, BC • Lawrence J.Stoddart, Kingston, ON • R. B. Stokes, West Vancouver, BC •Harvey L. Sweetman, Henderson, NV, USA • Richard M.Williams, Kanata, ON • W. M. Williams, Westmount, QC •Joseph E. Worthington, Evergreen, CO, USA • William V. You-delis, Windsor, ON

50CIM Distinguished Service Medal winner

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Upcoming 2011 SeminarsNEW — Certification in Ore Reserve Risk and Mine Planning Optimization (in collaboration with AusIMM)Spread over a period of four months, this four-week course is designed for busy mining professionals who wish to updatetheir skills and knowledge base in modern modelling techniques for ore bodies and new risk-based optimizationmethodologies for strategic mine planning. Gain practical experience by applying the following hands-on concepts andtechnical methods: methods for modelling ore bodies; stochastic simulations, case studies and models of geologicaluncertainty; and demand-driven production scheduling and geological risk.Instructor: Roussos Dimitrakopoulos, McGill University, Canada • Dates: Week 1 – August 22-26, 2011; Week 2 – September 26-30, 2011; Week 3 – October 17-21, 2011; Week 4 – November 7-10, 2011 • City: Week 1 – Perth, Australia; Week 2-4 – Remote • Info:www.mcgill.ca/conted/prodep/ore

Strategic Risk Management in Mine Design: From Life-of-Mine to Global OptimizationLearn how you can have a significant, positive impact on your company’s bottom line by utilizing strategic mine planningmethodologies and software; improve your understanding of strategic mine planning and life-of-mine optimization concepts,as well as your understanding of the relationship of uncertainty and risk, and how to exploit uncertainty in order to maximizeprofitability. Note: The strategic mine planning software used is Whittle; an optional half-day skills refresher workshop onWhittle may be available.Instructors: Gelson Batista, MPX Energia, Brazil, and Roussos Dimitrakopoulos, McGill University, Canada • Date: September 21-23, 2011 • City: Toronto

An Introduction to Cutoff Grade Estimation: Theory and Practice in Open Pit and Underground MinesCutoff grades are essential in determining the economic feasibility and mine life of a project. Learn how to solve most cutoffgrade estimation problems by developing techniques and graphical analytical methods, about the relationship betweencutoff grades and the design of pushbacks in open pit mines, and the optimization of block sizes in caving methods.Instructor: Jean-Michel Rendu, Executive Consultant, Snowden, Australia • Date: September 7-9, 2011 • City: Montreal

Geostatistical Mineral Resource/Ore Reserve Estimation and Meeting the New Regulatory Environment: Step by Step from Sampling to Grade ControlLearn about the latest regulations on public reporting of resources/reserves through state-of-the-art statistical andgeostatistical techniques, how to apply geostatistics to predict dilution and adapt reserve estimates to that predicted dilution,how geostatistics can help you categorize your resources in an objective manner, and how to understand principles of NI43-101 and the SME Guide.Instructors: Marcelo Godoy, Golder Associates, Chile, Jean-Michel Rendu, Executive Consultant, Snowden, Australia, and RoussosDimitrakopoulos, McGill University, Canada • Date: September 12-16, 2011 • City: Montreal

Mineral Project Evaluation Techniques and Applications: From Conventional Methods to Real OptionsLearn the basics of economic/financial evaluation techniques, as well as the practical implementation of these techniquesto mineral project assessments, how to gain a practical understanding of economic/financial evaluation principles, and howto develop the skills necessary to apply these to support mineral project decisions.Instructor: Michel Bilodeau, McGill University, Canada • Date: October 24-27, 2011 • City: Montreal

cim news | scholarship winners


In the last issue of CIM Magazine,we proudly introduced you to threeMcIntosh Engineering Scholarshiprecipients. Here, we feature theremaining university-level winners.

James Anderson – University of British Columbia, Okanagan

James Ander-son’s interest inmining beganwhen he got asummer job at anopen pit coppermine in the BCinterior. Amongother things, hewas impressedwith the level ofsafety at work.

“Safety was constantly brought up andpushed more than I had ever seenbefore,” he says. “Not only do peoplego home safe, but the workers’ moraleimproves as they realize they are valu-able to their employer.”

Discouraged by the economicdownturn, Anderson recently turnedto engineering at the University ofBritish Columbia, seeing it as a good

CMMF scholarships awarded By Correy Baldwin

fit with his past work experience.“After a summer working as an engi-neering intern, I saw how the seniorengineers directed projects, and thatmany of the managers were profes-sional engineers themselves,” he adds.“I realized that this was a positionwhere I could help make large-scalepositive changes.”

He is now working in the qualitycontrol department of Kiewit Infra-structure, a subcontractor for ImperialOil, to facilitate turnover to the cus-tomer. “I am excited to be a part of theheavy construction industry that takesplace in Canada,” he says.

Olivier Hamel – McGill University

Olivier Hamelbegan an honoursdegree in physicsat McGill Univer-sity before switch-ing to engineering.“Even though thisfield was interest-ing, I realized itwould not likelygive me access to

work opportunities that I would enjoyand find fulfilling,” he says.

“Mining engineering is an impres-sive industry,” he adds. “Some minesare literally about moving mountains.Such a scale requires a lot of capitalinvestment and therefore lots of organ-ization and tight schedules. Also, themining industry is a fundamental, ifnot the fundamental, industry intoday’s economy.”

Hamel is interested in uranium,mined oil sands (as opposed to in siturecovered oil), and hard rock metalmining. He is currently an intern/sur-veyor at Osisko Mining’s CanadianMalartic gold mine – his secondinternship in the Abitibi region. “I getto be in the open pit mine 10 hours aday and gain knowledge and experi-ence on how things really happen in amine,” he says.

Internships also allow him to seeengineers at work in all levels of thefield. “This helps me understand howthey work and communicate,” Hamelexplains. “I get to see all the down-stream consequences of a good or badengineering decision on safety, effi-ciency and environmental issues.”

Acott, Gerry, OntarioAdendorff, Jaco, South AfricaAitaok, Jorgan, NunavutAjumogobia, Somiari, AlbertaAleshkov, Sergey, RussiaAnguelov, Raytcho, British ColumbiaArbi, Ali, British ColumbiaArdito, Cynthia, USAArko, Tara, NunavutBaldwin, Jessica, Newfoundland and Labrador

Barja Castellanos, Rebeca, British ColumbiaBarry, Ryan, NunavutBeaune, Calen, OntarioBerlizov, Andrey, UkraineBoadu, Richmond, GhanaBoldyrev, Valeriy, RussiaBoley, Trey, USABowal, Curtis, AlbertaBoytsov, Alexander, Russia

Bresser, Hugh, AustraliaBrisco, Margaux, NunavutBryant, Colin, AustraliaBuhlman, Nick, OntarioCampbell, John, AlbertaCash, Aileen, OntarioCavasin, Alex, OntarioChalmers, Mark S., AustraliaChan, Wendy, ChinaChan, Ming Kit, ChinaChan, Sik Lap, ChinaChaudhari, Bhavesh, IndiaChaytor, Sandra, Newfoundland and Labrador

Cheng, Tony, ChinaCherepanov, Andrey, RussiaChesney, Cindy, OntarioCheung, Michael, British Columbia

Chirchikbayev, Bakyt, KazakhstanCole-Rae, Kendall, OntarioDe Windt, Bertrand, Ontario

Del Mastro, Jonathan, AlbertaD’Orazio, Rosanne, NunavutDunn, Hunter, AlbertaErskine, Dan, USAFauconnier, Anne, FranceFerraro, Jean-François, FranceFisher, Scott, OntarioFreed, Rina, British ColumbiaGabriel, Sophie, FranceGanesan, Arjun, British ColumbiaGeslin, Wilfried, FranceGetz, Arnold, AustraliaGingras Little, Kristopher, OntarioGirgis, Andre, OntarioGolovko, Valery, RussiaGraham, Jim, USAGranchinho, Sophia, NunavutGraves, Doug, USAGubago, Moopi, OntarioGuimaraes, Flavio Marcio, British Columbia

Gupta, Brijesh, India

Halliday, Matthew, OntarioHames, Ben, British ColumbiaHan, Wei, British ColumbiaHarkema, Albert, OntarioHarris, Douglas, USAHassani, Selemani, British Columbia

Hein, Glen, KazakhstanHem, Priyadarshi, British ColumbiaHisatani, Koichi, JapanHo, Chin Choi, ChinaHo, Ivan, British ColumbiaHockley, Daryl, British ColumbiaHogg, LuVerne E.W., British Columbia

Horner, Mark, OntarioHuan, George, British ColumbiaHubbard, Martin, United KingdomHughes, Alan, AustraliaIkure, Unyime Martin, NigeriaIndyk, Sergey, RussiaJaganathan, Satishkumar, USA

Johnson, Leif, USAJohnson, Anne, OntarioKhan, Nizam, OntarioKirk, Patricia, USAKriz, Petr, Czech RepublicKyle, John, USALangille, Steve, OntarioLangton, Chris, AlbertaLau, Paul, ChinaLedoux, Luka, OntarioLee, Haydn, ChinaLee-Sheriff, Janet, British Columbia

Leuret, Theo, FranceLi, Wenjie, ChinaLi, Xizhong, AlbertaLi, Tianbai, AlbertaLickers, Samantha, OntarioLingel, Ed, British ColumbiaLitke, Shauna, British ColumbiaLongo, Sue, AlbertaLuminita Crisu, Tereza, British Columbia

CIM welcomes new members

Azougrou Bozon Koto – École Polytechnique de Montréal

A z o u g r o uBozon Koto immi-grated to Canadafrom Côte d’Ivoirein 2008 with adegree in energyengineering andexperience work-ing at the IvorianElectricity Com-pany.

“I had decided to switch to financeor computer technology,” he says,“because in Africa, engineeringdegrees are not highly valued.” Kotoentered a master’s program in informa-tion systems, but was not entirely con-fident with his choice. “After attendingjob fairs at École Polytechnique, I dis-covered that the industry that reallyoffers the type of career with fieldwork that I had always dreamed aboutwas mining engineering.”

Last summer, Koto worked at theGéant Dormant Mine in Abitibi, Que-bec. “This summer they rehired me foran engineering internship, where I didsurveying, drafting, ventilation andground control,” he says. “It’s fascinat-ing work; being kilometres belowground, using special machines, mak-ing ore extraction plans and thenimplementing these plans in the field,

doing rock engineering – all of thesethings intrigued me.”

Koto plans to specialize in rockmechanics, rock support and damconstruction for managing miningresidues, and he has ambitious plansfor the future. “I would like to join aresearch team to design and carry outthe construction and installation ormaintenance of mining sites,” he says.“And then, after 10 or 15 years ofexperience in mining, I’ll be able to setup a Canadian mining law companywith some colleagues.”

Gustavo Marquez – McGill University

“I wanted tostudy somethingtechnically chal-lenging, excitingand that promiseda fruitful career,”says Gustavo Mar-quez. The McGillmining engineer-ing student is

looking forward to working in what hecalls a challenging and dynamic indus-try. “I want to make practical contribu-tions as an engineer, especially interms of the environmental and socialaspects of mining projects,” he adds.

“What I find particularly interestingabout this industry is its sheer scale,

with mining projects and equipment,as well as the number of different rolesinvolved, from miners to humanresources to contractors to bankers,”Marquez shares. His interests lie in thetechnical aspects of the industry,although he also wants to explore theoperations side and to be a part ofmine startup projects around theworld.

Marquez is currently working forEncana as a student field engineer innorthern Alberta. His previous workterm was in the geomechanics labora-tory of McGill University.

“Co-op is an invaluable part of myeducation,” he says. “It has allowed meto learn about a different aspect of themining industry and provided me withamazing practical, out-of-classroomexperience.”

Douglas Vis – University of AlbertaDouglas Vis

knew very littleabout the miningindustry beforeentering intomining engineer-ing at the Univer-sity of Alberta.“Initially, I ques-tioned whether Ihad made a good personal and careerdecision, but the more I learned aboutthe mining industry, the more excitedI became about being involved in it,”he says.

The topics that have particularlycaught his interest include modernreclamation technologies and mineoptimization. “Mining engineeringcovers a broad range of important sub-ject matter and I am excited aboutwhat my future will hold in this indus-try,” he says.

Vis is working at Suncor in theoperations engineering department onan eight-month co-op term. “In mywork, I have the opportunity to dealwith a lot of data from Suncor’s min-ing operation and to learn how impor-tant optimization is to the miningprocess,” he says. “It has been a greatexperience so far and has reinforcedmy commitment to a career in themining industry.” CIM

scholarship winners | cim news

August 2011 | 83

Lyle, Glenn, OntarioMaley, Mark, AustraliaMaskokian, Siamak, IranMason, Peter, USAMathema, Bruce N.,OntarioMcGladrey, Alexandra, British Columbia

McPhee, Lindsey, AlbertaMensah Fynn, Anthony, Ghana

Mikhaylenko, Mikhail, Russia

Mokgosi, Emmanuel,OntarioMoodie, Kelly, OntarioMoodley, Kasuren, South Africa

Morrison, Parker, OntarioMushinski, Ken, USANavratil, James, USANeumann, Jessica, OntarioNikbakhtan, Babak, AlbertaNoor, Meskatun, OntarioNorris, Christopher, Ontario

Ohnemus, Joachim, GermanyOkutsu, Misato, OntarioPaatero, Erkki, FinlandPaju, Greg, OntarioPandhari, Abhijit, British Columbia

Parenteau, Jason, AlbertaPasco, Luis, PeruPeddada, Sharath, OntarioPerez-Ramirez, Javier, British Columbia

Pitts, Michelle, OntarioPlayter, Tiffany, AlbertaPohjolainen, Esa, FinlandQin, Shijia, British ColumbiaRegli, Andrea, OntarioRodgers, Matthew, USARooney, Jodi, AlbertaRoshanfekr, Ali, Northwest Territories

Sabour, Sabry Abdel, USASamuelson, James, USASavytska, Margarita, Ukraine

Schmidt, Roland, USA

Schmidt, Sherry, OntarioScott, Robert, OntarioSeifried, Helen, AlbertaSeredkin, Maxim, RussiaShahwan, Moein, Newfoundland and

LabradorSheriff, William, BritishColumbiaShimoda, Tomoya, Australia

Shkwarek, Meagan, Ontario

Shtusa, Mikhail, RussiaShulga, Dmitry, RussiaSkibsted, Brant, AlbertaSoldatek, Steven, USASpoelstra, Nico, South Africa

Srigyan, Dipankar, AlbertaSt-Pierre, Sylvain, United Kingdom

Sutton, Carson, AlbertaSze, Marco, ChinaTang, Mark, British Columbia

Tarkhanov, Aleksey, RussiaTaylor, Lindsey, OntarioTisdell, Dominic, AustraliaTomlinson, Steele, British Columbia

Trump, Daniel, USAUbah, Chinedu, BritishColumbiaVekris, Evangellos, OntarioVertefeuille, Erica, OntarioViel, Marcel, OntarioVincent-Lambert, Warren, Alberta

Walter, John, OntarioWasylik, Darrin, British Columbia

Watson, Curtis, OntarioWiley, Chris, USAWoolley, Richard, AlbertaWorkman, Lyall, USAYoshie, Hiroshi, AlbertaYuan, Haoyue, British Columbia

Zadeh, Sanaz Moghadar, British Columbia

cim news | distinguished lecturers

Throughout his 22-yearcareer at 3M, William West-gate has held numeroustechnical, sales and market-ing positions, all focusing onthe development of newbusinesses and building newcustomer communities. In1998, he worked on an inno-vative business model thatcreated business solutionsfor national market seg-ments designed to drive newbusiness to the company.Instead of creating propri-etary products, the newbusiness model was basedon building 3M solutions with cus-tomers based on their specific require-ments. He is currently based in St.Paul, Minnesota, where he is the inter-national market development managerfor 3M’s Industrial Minerals ProductDivision.

Westgate, who graduated fromQueen’s University with a master’s inscience (chemistry) in 1986, is aspeaker in this season’s CIM Distin-guished Lecturers Series. He will behighlighting the role the Canada Min-ing Innovation Council (CMIC) canplay in driving innovation in the Cana-dian mining industry.

CIM: What role do you see the CMIC play-ing in driving innovation in Canada’smining industry?Westgate: I think we’re in a unique posi-tion to build collaboration across themany silos, and to create and drive aunited message, versus a fragmentedone. CMIC works as an umbrella organ-ization that can bring all the variousplayers together to create a collaborativeenvironment. It has the support of suchkey industry players as CIM, MAC,PDAC, CAMESE and NRCan, and coordinates research and development

The power of imaginationWilliam Westgate speaks about CMIC and the Canadian mining industry

By Alexandra Lopez-Pacheco

efforts across Canada. It prioritizesresearch to address the full spectrum ofneeds in mining-related activities thatwill help the industry realize the fullpotential of integrated, collaborativeand applied research. We really want toempower our partners to maintain theleading position Canada’s miningindustry has internationally, and toactually leapfrog other countries tobrand Canada as a responsible miner.

CIM: Why is innovation so critical for themining industry?Westgate: For our industry to developour potential and our knowledge, andto keep a leading position, innovationis critical. It is one of the lynchpins forour success. For me, I think research isthe transformation of money intoknowledge, and innovation and imag-ination are the transformation ofknowledge into money. In order toachieve that transformation, you needopen collaboration.

CIM: Many people would not considerimagination to be a business and devel-opment skill, though.Westgate: They don’t understand imag-ination and what it can achieve. And

you know someone doesn’tunderstand imaginationwhen they describe it as asoft skill. It isn’t soft. If nur-tured, imagination andintuition can be powerfulskills. As I said, it’s whattransforms research datainto money.

CIM: Other than collabora-tion, what is needed toencourage innovation?Westgate: You need to cre-ate the right culture, envi-ronment, leadership andprocesses to promote inno-

vation and creativity. We need toempower people, foster imaginationand encourage diversity of thought.Homogeny is not conducive to innova-tion. When you ask people “How doesone innovate?” often their firstresponse is “research.” They think ifthey do research, they are innovating,but really it is the end point of com-mercialization and the transformationleading to it that’s key. And to do that,you need such things as imaginationand having the permission to fail, notjust from your company’s leaders butalso from your peers.

CIM: Why is the permission to fail impor-tant for innovation?Westgate: Out of great failures comegreat opportunities. If you never feelthat there’s a chance you’ll fail, you’renot going to innovate because you’reworrying about the wrong things. Failnow, fail often: it’s a message peopledon’t want to hear because everyonewants to succeed, but it’s very rare youcan really understand why you’ve suc-ceeded. On the other hand, you alwaysunderstand why you fail because youanalyze the situation further and learnfrom it.


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Then CIM president Chris Twigge-Molecey (left) with William Westgate

cim news

CIM: Does innovation always begin withresearch & development?Westgate: Innovation doesn’t alwayshave to be ground-changing. Dollarsspent on research and development area leading indicator for innovation. Byworking with your customers, forexample, you’re going to understandhow they are using your products, andyou might learn they are using yourproducts in ways you didn’t intend.That shows you there’s another marketavailable to you, if you work on a newapplication or product based on thatobservation.

CIM: What are the potential costs/risks tothe Canadian mining industry of notbreaking down the silos? Westgate: Canada must break down thesilos or we will continue to be highlyfragmented and will not be able torealize our potential.

CIM: In your opinion, what is the greatestchallenge going forward? Westgate: Ultimately, the industry mustovercome its internal differences andstakeholder interests to collaboratetogether. The sustainability androbustness of our initiative willdemonstrate how effective we were inovercoming these differences.

CIM: Why did you become involved withCMIC?Westgate: I see Canada making a lead-ing difference in mining and I wantedto be a part of it through the CanadaMining Innovation Council. CMICwill co-ordinate collaborative researchand development efforts acrossCanada to solve the real issues of themining industry. In order to remaincompetitive, Canadian mining mustalign industry, academia and govern-ment resources to address its needsand challenges here and abroad. Byfocusing our talents and resources, wecan make Canada a leader in safety,technology and environmental sus-tainability. Together, we must fosterthe ingenuity of our greatest naturalresource – our people. CIM

August 2011 | 85

Veteran broadcaster Rex Murphy’s keynote speech at the CIM Confer-ence & Exhibition 2011 Closing Lunch cited essayist Samuel Johnson’smaxim that “people often need to be reminded more than they need to beinformed.” Murphy applauded the efforts of the mining community byreminding them that they were “responsible for underpinning all the greataccomplishments of the modern world.”

“The people engaged in the primary industries that keep this societygoing have no need to be carrying around some phantom weight of guilt orreluctance,” said Murphy. “Apology as a practice is not the route to progress.You should be taking deep confidence from what it is you have accom-plished.”

He recalled a story of a close friend who was affected by the collapse ofthe Newfoundland fisheries in the early 1990s, when 31,000 fishermen wereleft unemployed. He rebuilt his family’s life by moving to Fort McMurray,where the oil boom was beginning. He found a job, took courses, and landeda job inspecting mines that eventually led to work on a Nigerian oil rig.

“When I hear the oil sands decried by the great liberated minds of eitherthe environmental movement at its most strident or by the academics,” saidMurphy, “I never hear the inventory of the other side, of all the good thathas been done, of all the social misery that has not come to pass, of the livesthat have been rescued by reasonable employment.”

Murphy spoke about the importance of mining to the developed world:“If we are to maintain the advances that we have, to extend the wealth thatwe have, keep the security that we take for granted…all these things insome way or other begin at raw materials and at energy,” he said.

Following Murphy’s speech, current CIM president Chuck Edwardsthanked outgoing president Chris Twigge-Molecey for his hard work andcommitment to CIM. Twigge-Molecey expressed what an honour it hasbeen to serve as president, and assured the crowd that they were “in greathands going forward.”

To view a summary of Rex Murphy’s speech, visit our website:http://www.cim.org/montreal2011

CIM

All thanks to youRex Murphy takes the stage at the CIM Conference & Exhibition Closing Lunch

By Hartley Butler George

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La Société de l’environnement del’ICM (Institut canadien des mines,de la métallurgie et du pétrole) aconnu des hauts et des bas. Depuis safondation en 1998, elle a eu de la dif-ficulté à trouver sa place, et a frôlél’élimination à maintes reprises. Denombreux éléments ont mené audéclin de la Société, notammentl’épuisement des bénévoles, l’absenced’une orientation clairement définieet l’isolation par rapport aux autresgroupes environnementaux.

Il y a un an, Chris Twigge-Molecey,alors président de l’ICM, a décidé

d’insuffler une vie nouvelle à la Société en lui donnant un nouveau rôle préémi-nent au sein de l’ICM et du secteur. « Les enjeux environnementaux et sociauxsont essentiels pour le maintien de notre permis d’exploitation », a-t-il affirmé. «Ils ont une incidence sur toutes nos activités dans les secteurs minier, métal-lurgique et pétrolier. Il était insensé de ne pas compter d’activités environnemen-tales viables au sein de l’ICM. »

M. Twigge-Molecey a réuni un groupe diversifié de 20 personnes de l’ICM etdu conseil consultatif d’Initiative Mines Vertes du gouvernement fédéral aptes àprendre la tête de ce projet, selon lui. Le groupe, auquel Chuck Edwards, le prési-dent actuel de l’ICM, a fourni des conseils de façon active, a été chargé de donnerle coup d’envoi à la revitalisation de la Société.

À l’heure actuelle, il n’y a pas d’association minière pancanadienne axée surles enjeux environnementaux dans leur ensemble, pas de ressource où les pro-fessionnels du secteur peuvent établir des liens. « Le fait de jouer un rôle de ferde lance dans ce domaine est important pour montrer au public que l’industrieminière accorde de l’importance aux questions environnementales », a affirméJanice Zinck, membre du groupe principal et responsable de la gestion desdéchets miniers à LMSM-CANMET et ancienne présidente de la division envi-ronnementale de la Société de la métallurgie et des minéraux (MetSoc).

cim news

CIM’s Environmental Society hashad its ups and downs. Since itsfounding in 1998, it has had difficultyfinding its footing, coming close toextinction several times. Many ele-ments led to the society’s decline,including volunteer fatigue, unclearfocus and isolation from other envi-ronmental groups.

A year ago, CIM’s then-presidentChris Twigge-Molecey set out tobreathe new life into the society bygiving it a new leading role withinCIM and the industry. “Environmentaland social issues are key to our licenceto operate,” he says. “They affecteverything we do in the mining, met-allurgy and petroleum sector. It madeno sense not to have viable environ-mental activity in CIM.”

Twigge-Molecey pulled together adiverse core group of 20 individualsfrom CIM and the Federal Green Min-ing Initiative Advisory Council that hebelieved could lead this project. Thegroup, along with active input fromChuck Edwards, CIM’s current presi-dent, were tasked with kick-startingthe revitalization.

As it stands, there is no pan-Canadian mining association thatfocuses on environmental issues as awhole, and no “home” where profes-sionals in the field can connect. “Takingleadership in this area is important forshowing the public that mining is anindustry that does look seriously at theenvironment,” says core group memberJanice Zinck, manager of mine wastemanagement at CANMET-MMSL andformer chair of MetSoc’s environmentalsection. “The environment isn’t just anafterthought anymore in the industry; itis quite the opposite.”

While revitalization efforts havebeen made in the past, Zinck believesthis time will be different. “The keything will be linking with other envi-ronmental associations and groups,”she explains. “We can’t survive with-

out doing that. We need to expand ournetwork, advertise and build strong,stand-alone events to make the societyas great as it can be.”

The group hopes the society willimprove the global presence of theInstitute, highlighting its environmen-tal efforts, and encourage participationin CIM activities. David Forrester, acore group member and senior mining

engineer at AECOM, believes the soci-ety “will be a new champion withinCIM for increasing the development ofknowledge and fellowship aspects ofsustainability within the industry.”

The society’s new mandate will pro-mote the industry’s dialogue onresponses to environmental and socialresponsibility challenges, emphasizingbest practices, required research and


Getting a fresh startRevitalizing CIM’s Environmental Society

By Hartley Butler George

Un nouveau départRevitalisation de la Société de l’environnement de l’ICM

MiHR

CALENDARCALENDRIER

CIM • ICM

Northern Gateway Branch6th Annual Golf ClassicSeptember 16-17 | Powassan, ONContact: Bernie RobertsonEmail: [email protected]

World Gold 2011 ConferenceOctober 2-5 | Montreal, QCContact: Guy DeschenesEmail: [email protected]

Safety & Reliability in MiningResources ConferenceOctober 11-13 | Calgary, ABContact: Lise BujoldEmail: [email protected]

Environment & Mining Symposium 2011 | Symposium surl’environnement et les minesNovember 6-9 | Montreal, QCContact: Chantal MurphyEmail: [email protected]

AROUND THE WORLD •AUTOUR DU MONDE

U2011 Uranium Symposium & TradeshowSeptember 18-21Casper Events CenterCasper, Wyoming, USAwww.u2011.org

Slope Stability 2011: InternationalSymposium on Rock Slope Stabilityin Open Pit Mining and CivilEngineeringSeptember 18-21Sheraton Wall CentreVancouver, BCwww.slopestability2011.ca

Mine Closure Conference 2011September 18-21The Fairmont Chateau Lake Louise Lake Louise, ABwww.mineclosure2011.com

« L’environnement n’est plus qu’une simple idée après coup pour l’indus-trie; c’est tout le contraire. »

Bien que des efforts de revitalisation aient été déployés par le passé, MmeZinck croit que cette fois sera différente. « Le facteur clé sera l’établissementde liens avec d’autres associations et groupes environnementaux », a-t-elleexpliqué. « Nous ne pouvons pas survivre sans cela. Nous devons élargir notreréseau, nous faire connaître et orga niser des événements autonomes qui per-mettront à la Société de concrétiser son plein potentiel. »

Le groupe espère que la Société améliorera la présence mondiale de l’In-stitut, qu’elle mettra en valeur ses efforts environnementaux, et qu’elle pro-mouvra la participation aux activités de l’ICM. David Forrester, membre dugroupe principal et ingénieur minier principal à AECOM, est d’avis que laSociété « sera un nouveau champion, au sein de l’ICM, qui renforcera l’ac-quisition de connaissances et la collaboration entre les groupes pour sepencher sur la question de la durabilité dans le secteur. »

Le nouveau mandat de la Société consistera à promouvoir, au sein dusecteur, un dialogue sur les réactions aux défis en matière de responsabi litéenvironnementale et sociale, en mettant l’accent sur les pratiques exem-plaires, la recherche requise et les activités de développement; à travailleravec des organismes externes pour discuter de possibilités de conférencescommunes; à se concentrer davantage sur les programmes environnemen-taux et sociaux du Congrès et Salon commercial annuel de l’ICM; à ren-forcer le contenu des conférences organisées par les autres sociétés del’ICM, le cas échéant; et à publiciser les conférences mondiales comprenantun solide contenu minier/environnemental. Dans l’avenir, la Société espèreaussi ajouter des ateliers et unir ses forces à celles de groupes axés sur laresponsabilité sociale d’entreprise.

À l’heure actuelle, le groupe principal finalise les détails relatifs auxactions à long terme. Il a élaboré une charte et il travaille à un plan d’actionà plusieurs échelons. Les prochaines étapes consisteront à prendre de l’ex-pansion en suscitant la participation d’autres parties, à dresser un solidedossier d’analyse et à présenter des recommandations pour la revitalisationde la Société à l’intention du conseil de l’ICM à la fin de l’été 2011.

De nombreux obstacles se présentent : attirer de nouveaux membres etsusciter l’engagement des béné voles figurent parmi les défis que le groupedevra relever dans l’avenir; toutefois, les membres demeurent enthousi-astes. « Il faut un certain temps pour qu’une petite société prenne de l’am-pleur », a conclu Mme Zinck. « Le feu doit être nourri. » ICM

development activities; work withexternal organizations to discussopportunities for joint conferences;put a greater focus on the environ-mental and social responsibility pro-grams of the annual CIM Conference& Exhibition; strengthen the con-tent in conferences hosted by otherCIM societies, as appropriate; andpublicize global conferences withstrong mining/environmental con-tent. In the future, it also hopes toadd workshops and join forces withgroups that are focused on corporatesocial responsibility.

Currently, the core group is in theprocess of crystallizing long-term

August 2011 | 87

actions. It has developed a charterand is working on a multi-tier actionplan. The next steps will be to growby engaging other parties, develop astrong business case and report rec-ommendations for its revitalizationto CIM Council in late summer2011.

Many obstacles lie ahead: attract-ing new members and engagingenthusiastic volunteers are amongthe challenges the group will facealong the way; however the mem-bers remain enthusiastic. “It takestime for a small society to grow,”Zinck says. “You need fuel to builda fire.” CIM

CONFERENCE AND TRADE SHOW | November 6 to 9, 2011 | Saskatoon, Saskatchewan

Organizing CommitteeConference ChairDoug Kramble

Technical ProgramLucien Nel

Trade ShowFraser MarkhamMartin Bell

Field TripRobert Carey

M4SPam SchwannJodi LeddingSean JunorKate GrapesLucie Vincent

SponsorshipLes Yesnik

AdministratorTara Stratton

Meeting CoordinatorChantal Murphy

CIM LiaisonsLise BujoldJean-Marc Demers

Welcome to Saskatoon!On behalf of CIM’s Saskatoon Branch, Metal Mining Society, and Maintenance andEngineering Society, I welcome you to this year’s Maintenance Engineering/MineOperators’ Conference (MEMO) at the TCU Place in Saskatoon, Saskatchewan, fromNovember 6 to 9.

This year’s conference theme – Back to Basics – highlights the lessons learned fromweathering the recurring boom and bust cycles, and how we can use this knowledgeto build a sustainable future and a solid foundation for technological, economic andsocial innovation.

The technical presentations will include a mix of local, national and internationalbest practices. A “must-see” will be the ever popular trade show where a large num-ber of outdoor equipment will be on display.

Saskatchewan’s mining history dates back to the homesteader’s era of the mid-19thcentury. Today, the province contributes to almost two-thirds of the world’s recover-able potash reserves, is the largest exporter of uranium, and is home to the headoffices of the largest potash and uranium producers – PotashCorp and Cameco.

Saskatoon’s central location makes it a gateway for the mining industry in centraland northern Saskatchewan, where employees can travel by air to the northernmines and supply/service companies can easily transport goods through an excel-lent road system. The city’s proximity to the University of Saskatchewan gives miningcompanies another advantage: the ability to collaborate in research efforts and con-tract the Structural Sciences Laboratory to gain a better understanding of how wecan improve mining processes.

These are just a few of the reasons why Saskatoon was an obvious choice for a hostcity. Mark your calendar with MEMO 2011. We look forward to seeing you here!

Doug KrambleConference chair

www.cim.org/memo2011

Technical ProgramThe latest technologies, updates on current operations and strategies to increase your company’s bottom line will be featured in this year’s technical program.

Go to www.cim.org/memo2011 to view the complete program.

Social ProgramCombining great food and drink, live entertainment and reminiscing with old friends makes for astellar social program.

Opening ReceptionThe MEMO Opening Reception is the official conference kick-off and a great opportunity to mingleand greet fellow conference participants while enjoying a buffet and local entertainment.

Date: Sunday, November 6 | Time: 18:00 to 21:00 | Location: Trade Show | Price: Included in theconference fees

MEMO 2011 GalaThe MEMO Gala is a social and networking event not to be missed! Enjoy a special evening ofcocktails, music, local foods and entertainment with Double Vision Magic.

Date: Monday, November 7 | Reception: 18:30 to 19:30 | Dinner: 19:30 to 22:00 | Location: Ballrooms,Sheraton Cavalier Saskatoon | Price: $125

Luncheon and Cocktail ReceptionsGrow your network of contacts at the lunch and cocktail receptions in the Trade Show.

Date: Monday to Wednesday | Time: 12:30 to 14:00 and 16:30 to 18:00 | Price: Included in theconference fees

Scotch Tasting Night Organized by:

Network with industry leaders while enjoying fine scotch and a beautiful jewelry display. J. Wheelock,a Canadian Ambassador for Macallan and Highland Park Distilleries, will provide his expertise in asampling of six vintage scotches. The tastings will be accompanied by a selection of wines, premiumbeers and tasty canapés.

This evening is a fundraiser for the Canadian Mining and Metallurgy Foundation (CMMF), which willcontribute 50 per cent of the proceeds to the CIM Saskatoon Branch for its charitable projects.Participants will receive a partial receipt for income tax purposes. Space is limited, so reserve earlyif you do not want to miss out on this exciting event!

Date: Tuesday, November 8 | Time: 18:00 to 20:30 | Price: $125

STREAM AM19:00-10:30

AM211:00-12:30

PM114:00-15:00

PM215:30-17:00

Maintenance & Reliability

PlenarySession

Performance Optimization Asset Management

Mining & Milling Mine Expansion Processing Process

Improvements

Economics & Resources Cost Effectiveness

Financing & Operating Costs

Cost/Risk Analysis

Maintenance & Reliability Fuel & Mobile Equipment

Data Management

Mining Case Studies

Shafts & Hoists

Mining & Milling Sumps Pumps & Conveyors Case Studies Past/Future Planning &

Development

Safety & Environment Safety I Safety/Environment Safety II Environment

Maintenance & Reliability Wear Corrosion & Vibration

New Developments

Electrical & Electronic Equipment

Closing CeremonyMining & Milling Rock

Mechanics Geotechnical Ground Support

People & Productivity Productivity Motivation Community Relations

MONDAY,

NOVEMBER 7

TUESDAY,

NOVEMBER 8

WEDNESDAY,

NOVEMBER 9

Rabbit Lake

Cameco – Uranium Site Tour (McArthur River & Rabbit Lake)McArthur River is the world’s largest high-grade uranium mine. It isCameco’s flagship operation, located in the Athabasca Basin in northernSaskatchewan. The ore grade at McArthur River averages over 20 per centU3O8, more than 100 times higher than the world average. The McArthurRiver deposit is located more than 500 metres below the surface at the junc-ture of the water-saturated Athabasca sandstone and basement rock.Because of this unique geology, Cameco uses a combination of non-entrymining techniques and ground freezing. Although both techniques are com-mon in mining, neither had been used for uranium production before theMcArthur River Mine.

The Rabbit Lake operation, which opened in 1975, is the longest operatinguranium production facility in North America and the second largest uraniummill in the world. Found in the Athabasca Basin in northern Saskatchewan,Rabbit Lake currently has a maximum licensed capacity to mill 11 millionpounds of uranium. Once the Cigar Lake mining project is back in produc-tion, Rabbit Lake mill is expected to process about half of the uraniummined, increasing the capacity to 16 million pounds.

Time: 6:30 to 19:00 | Price: $600

Fabrication Shop TourSaskatoon fabrication and machineshops started assisting the mining indus-try since the first potash shafts were sunkin the 1960s, and since that time, thequality of work done at the Saskatoonfabrication shops has become worldclass. Many of the large-name worldwideequipment manufacturers and suppliershave teamed with local shops to fabri-cate, assemble and install their equip-ment. While touring the Saskatoon shops,visitors will see fabrication and assemblyof components and equipment to beused in all areas of mining including:bore miner frame, track and gear reducercomponents, large oil sands gears andgear reducers, conveyor frames, chutesand drive arrangements, pump frames,piping and pump drive arrangements,tanks, pressure vessels, flotationmachines, screens, bucket elevators andmuch more.

Time: 7:00 to 14:30 | Price: $75

Mosaic – Potash Site Tour (Colonsay Division)The Colonsay Mine and mill are located approximately 65kilometres southeast of Saskatoon. They were built in the late1960s and have been in operation since 1969. The facilityproduces muriate of potash (MOP) in two grades: granularand standard. Nearly 1.8 million tonnes of potash is mined atColonsay each year with current plans to expand this outputby 1.1 million tonnes. The site visit will include both an under-ground tour of the mine as well as a tour of the mill, exploringthe various processes involved in potash production.

Time: 7:00 to 16:30 | Price: $100

Field TripsThese one-day field trips will be held on Thursday, November 10. Places are limited – register early!

PotashCorp – Potash Site Tour (Cory Division)The Cory Mine site is located six kilometres west of Saskatoon in centralSaskatchewan. The tour will include a visit of the surface facilities (includingthe mill) and underground mine. The mill portion of the tourwill include viewing the crushing and grinding circuits,desliming, flotation, drying, sizing, storage and loadout.

Participants will descend 3,200 feet below the surface. Onceon the potash level, Jeeps will take them through driftsapproximately 15 kilometres to the mining face where a boreminer is mining a fresh face. The tour will follow the returnconveyors back to the loading station and skip loading facil-ities.

Time: 7:00 to 14:30 | Price: $50

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M4S – The educational public show on Mining,Minerals, Metals and MaterialsThe M4S show is the perfect venue to educate thegeneral public on the importance of mining and its

impact on our daily lives. M4S allows visitors to “take a walk” through the miningcycle by visiting themed pavilions, from exploration to products and fabrication. It isa free interactive event where teachers, students and the general public experiencethe various stages of the miningcycle and learn about the widerange of exciting careersavailable in this industry. Byhighlighting the opportunitiesand dispelling the myths, weare helping to secure a robustfuture for the industry, forgenerations to come. Together,we can demonstrate thepositive impact of our sector.

MEMO 2011 exhibitors,delegates and visitors areinvited to take part in M4S.Interested in participating as anexhibitor? CIM welcomes yourcontribution.

The general public is invited to visit M4S on Sunday, November 6, while teachersand students are scheduled to visit the following two days.

Trade Show The trade show will showcase the latesttechnologies, equipment and services formine operators. It provides participants withthe opportunity to renew establishedcontacts and make new ones while exploringthe booths.

Opening hours:Sunday, November 6 18:00 to 21:00Monday, November 7 9:00 to 16:00and Tuesday, November 8

Exhibitors Booths3M Canada Company 1448e Nord International 46 to 51ABB/Simsmart 15ABC Canada Technology Group F19AGI Envirotank F01AkzoNobel Chemicals Ltd. 44AR Thomson Group F08Associated Mining Construction Inc. (AMC) 39Atlas Copco Construction and Mining Canada 30BASF Construction Chemicals 29CANMET Mining and Mineral 1Sciences Laboratories

Cattron – Theimeg Canada Ltd. 37Cementation Canada Inc. F12Clifton Associates Ltd. 41CMC Rentals F07COGEP 67Commercial Sand Blasting and Painting F06Conspec Controls Ltd. 11Converteam Canada Inc. F11Cubex Limited 18DSI Mining Canada 17Dyno Nobel Canada 9ENGCOMP 25FLSmidth Ltd. 27Fortis 61Golder Associates Ltd. 43Goodman Industrial/ Enduralite LED 33Graham Group Ltd. 28Hatch F09HLS HARD-LINE Solutions Inc 38IMM Industrial Machine & Mfg. Inc. 40Industrial Fabrication Inc. 64ITT Water & Wastewater 20Jennmar Canada 65Kramer Ltd. 12Littelfuse Startco 19Maclean Engineering & Marketing Co. Limited 4March Consulting Associates Inc. F05Mine Design Technologies International Inc. 16Mining Technologies International Inc. 22Minova Americas 8MWG Apparel Corp F15Normet Canada Ltd 10North Fringe Industrial Technologies Inc. 31Northern Strands 42Orica Canada, Inc. 7Pneuma-Tool 45APoints Athabasca Contracting 62Power & Mine Supply Co. Ltd. 35R.D.H. Mining Equipment 63ROSTA Inc. 24Sandvik Mining and Construction 6SIEMAG TECBERG Inc. F13Superior Propane 13Team Power Solutions 32The Procon Group of Companies F17Wabi Iron & Steel Corp 36Walden Equipment 26Wardrop, A Tetra Tech Company F03WESCO Distribution Canada LP 34WorleyParsons Canada 45

Sponsors

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AccommodationsSpecial conference rates are available (please reference “MEMO 2011 from CIM”).Room blocks will be released on October 4, 2011, so book early!

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H I S TO R Y O F

economic geology


A company has been organized (in 1905) for

the publication of a semi-quarterly journal to

be called ‘Economic Geology’. This will be a

purely scientific publication, occupying a place

that is filled neither by the technical mining

journals on the one hand, nor by geological

periodicals on the other. It will be devoted to

the theoretical description and discussion of

ore deposits and other mineral resources, a

field that is occupied by no periodical in the

English language. The foreign publication

most nearly approaching the scope of the one

proposed is the Zeitschrift fur Praktische

Geologie.

~Bateman, 1955, p. 2

The foundations of modern economic geology (Part 5)By R. J. (Bob) Cathro, Chemainus, British Columbia

Recognition of the need for serious study of the origin of metallic mineraldeposits became apparent from 1893 to 1903, especially after two classic papersappeared in 1883: the first published by the Norwegian geologist Johan H. L. Vogtand the other delivered by Franz Pošepný at the American Institute of MiningEngineers meeting in Chicago. Vogt’s paper was a thoughtful discussion oninjected igneous deposits derived from an igneous source by the process of mag-matic differentiation, which was also proposed as the source of hot mineralizingwaters. The Pošepný paper, which was discussed in the previous article in thisseries, was titled “The Genesis of Ore Deposits.”

The two papers had a profound impact onAmerican geological thinking and stimulated a heatedand controversial discussion until 1903 between lead-ing figures such as Samuel F. Emmons, Charles VanHise, John F. Kemp, Swedish-born Waldemar Lindgrenand W. H. Weed. The disagreement centred on therespective importance of heated meteoric waters ver-sus hot juvenile waters in the genesis of ore deposits.At the same time, Emmons, Van Hise and Weed pro-posed the concept of secondary sulphide enrichment.

The geological sciences, like all branches of sci-ence and engineering, began to expand rapidly at theturn of the century because of the growth in scientificresearch. Geologists also found it necessary to estab-lish separate specialties such as petrology, stratigra-phy and paleontology. It became clear that a journaldevoted to economic geology was needed in theEnglish language. The first significant effort to estab-lish such a scientific journal took place in 1905 at theoffices of the United States Geological Survey (USGS)in Washington, D.C. A circular letter sent out on May31 inviting people to subscribe included the follow-ing statement:

“The new Journal ... will be devoted primarily to thebroad application of geological principles to mineraldeposits of economic value, to the scientific description ofsuch deposits, and particularly to the chemical, physicaland structural problems bearing upon their genesis. (TheJournal) will not be directly concerned ... with the engineering and commercial aspectsof mining, as these subjects now find ample representation in the technical miningjournals. It is the intention of the founders to make the Journal cosmopolitan in scopeand scientific in spirit. Its pages will be open to all contributors whose papers fulfillthe requisite conditions of merit and appropriateness, and the policy of the companywith regard to author’s reprints will be unusually liberal. It is believed that the newJournal will be found invaluable by economic geologists, by mining engineers, (who,as a class, follow with keen interest the bearing of geological problems upon their pro-fession), and by teachers of mining geology.”

Thus was born the most influential international scientific journal on the sub-ject of economic geology. It was started by a group of predominantly American-born and American-educated geologists, most of whom worked for the USGS,

Waldemar Lindgren of MIT (1860-1939)

Samuel F. Emmons of the USGS(1841-1911)

including some who taught at the leading universities andworked part time for the survey during the summers. Unlikemost scientific journals, this one did not have a sponsoring

society; it was funded personally bythe founding shareholders of theEconomic Geology PublishingCompany. Yale University providedoffice space and other aid. Not sur-prisingly, the financial situation wasdifficult in the early years.

The first editor of the journal wasJohn D. Irving, who moved from theUSGS to Yale in 1906. The membersof the first executive committee wereall drawn from the USGS: H. FosterBain, Frederick C. Ransome, GeorgeO. Smith, Josiah E. Spurr and Walter

H. Weed. The associate editors wereFrank D. Adams (McGill), Marius R.Campbell (USGS), John W. Gregory(Glasgow), James F. Kemp(Columbia), Charles K. Leith(Wisconsin), Waldemar Lindgren(MIT) and Heinrich Ries (Cornell).

Later that year, the new journalabsorbed an existing journal, TheAmerican Geologist, owned by thefamily of consulting geologist HoraceV. Winchell. In 1910, Lindgren waselected president of the PublishingCompany, a position he held untilhis death in 1939. Lindgren was oneof the most prolific contributing authors and supporters of

the new journal and a giant in the sci-ence. Andrew C. Lawson became theassociate editor and Campbell,Samuel F. Emmons (USGS), WillettG. Miller (Ontario Bureau of Mines),Richard Reck (Freiberg) and H. V.Winchell became associate editors,followed by Frederick H. Hatch andRalph Arnold (USGS) in 1915.

Andrew Lawson, who was born inScotland in 1861, moved toHamilton, Ontario, when he waseight years old. After receiving hisfirst two geology degrees from theUniversity of Toronto, he wasawarded a PhD from Johns Hopkins

University in 1888, the first Geological Survey of Canada(GSC) field officer to earn one (Zaslow, 1975). Lawson con-ducted important field mapping in western Ontario for theGSC from 1894 to 1990 before moving to the University ofCalifornia (Berkeley), where he remained until his death in1952. Among his many noteworthy accomplishments was

the preparation of the official geological report on the SanFrancisco earthquake of 1906.

John D. Irving took a leave of absence in 1916 to becomean engineering officer in the U.S. Army during World War Iand died on duty in France in July 1918. Alan M. Bateman,who also taught at Yale, succeeded him and remained editoruntil after 1955.

In 1920, another organization was formed – the Society ofEconomic Geologists (SEG) – which originated from a 1919gathering of a group of Geological Society of America mem-bers who were especially interested in economic geology. Itheld annual meetings at which papers were presented, buthad no publication arm. In early 1922, the two organizationsbegan to cooperate and by 1930, an arrangement was in placeunder which the journal published those SEG papers that itdeemed worthy. The SEG provided financial assistance thatalleviated the problems of the Publishing Company.

The geographic distribution of journal subscribersbetween 1913 and 1954 is quite informative: U.S. geologistsmade up 66 to 69 per cent until 1920, but gradually droppedto 54 per cent by 1954; Japanese subscribers were the largestforeign group until 1930, before dropping to between sec-ond and seventh; Canadians were consistently in secondplace until they replaced the Japanese in first; and theremainder of the top ten were usually British, German,Australian, Mexican, South African, Indian, Russian, Dutch,Chinese and other Europeans.

A review by Bateman of the 42,000 pages in the first 50volumes provided a chronology of the major research topicsstudied during the period, such as theories of ore depositgenesis and geologic processes.

Magmatic depositsDiscussions of the magmatic versus hydrothermal origin

of the Sudbury, Ontario, nickel-copper-PGE ores began inthe first volume and the controversy continued throughoutthe first 50 years. Similarly, the development of ideas regard-ing the magmatic origin of titaniferous magnetite deposits inbasic igneous rocks in Norway received serious discussion.Segregation by early crystallization was the prevailing con-cept in 1905, but over the years, theories such as magmaticdifferentiation through crystallization, liquid immiscibility,filter pressing, metasomatism, chemical reactions, late grav-itative liquid settling, consolidation in situ, ore magmas andvein dykes were presented.

Contact metasomatic (skarn) depositsThese deposits and their formative process were first rec-

ognized in Europe in the 1860s and 1870s and in the UnitedStates in 1889. Lindgren’s description of them in the Clifton-Morenci porphyry district in Arizona in 1905 stimulated moreintensive exploration and investigation. Papers in the journaldiscussed the importance of contacts between intrusive rocksand limestone, skarn mineralogy, additive materials, high fer-ric oxide content and geochemistry of the process.

H I S TO R Y O F

economic geology

August 2011 | 93

John D. Irving (1874-1918)

Frank D. Adams of McGillUniversity (1859-1942)

Andrew C. Lawson (1861-1952) in 1881(from Zaslow, 1975)

H I S TO R Y O F

economic geology


Metasomatic replacement depositsThis process was first recognized at Leadville, Colorado,

by S. F. Emmons and J. D. Irving, who found large unsup-ported nuclei of limestone within the massive sulphide ore.Two major papers by Irving and Lindgren in Volume 7 sum-marized theories on the origin of these deposits. The con-cept of replacement became widely accepted in the UnitedStates and slowly spread to Europe.

Ore-forming fluidsVolumes 1 and 2 contained many papers supporting the

two most popular theories: 1) that mineralizing fluids weremeteoric waters that dissolved metals, sank into hotter zonesand returned upward to deposit their metallic load; and 2)that the fluids had a magmatic source. This controversy con-tinued to receive serious research and heated debate through-out the first 50 years as various ideas were presented thatsome deposits were “sedimentary” while others were“igneous”; that magmatic differentiation produced mineraliz-ing solutions, dykes and veins as end differentiates; and thequestion of alkaline versus acid solutions. In 1935, Lindgrenwrote that most types of deposits were formed from magmaticwaters, but that a mixture of magmatic and meteoric watershad formed the Mississippi Valley-type of lead-zinc deposits.

Hydrothermal alterationReports on wall-rock alteration accompanying mineral-

ization appeared throughout the first 50 volumes. The earli-est descriptions dealt with propylitic alteration and greiseni-sation of tin veins. Several papers dealt with widespreadsericitic alteration that accompanied porphyry copper min-eralization, and the covering mantle of kaolin alteration thataccompanied secondary sulphide enrichment and died outdownward with diminishing secondary sulphides. Otherstudies dealt with dolomitization and ore deposition, thesericitic and chloritic alteration of Ontario gold deposits,and the formation of spotted “dalmationite” (cordierite andbrown mica) at the Amulet Mine in Quebec. An importantpaper in 1935 described three concentric phases of alter-ation at the Cerro de Pasco Mine in Peru that comprised aproximal acidic phase of quartz-pyrite-dickite-alunite, grad-ing outward to a moderate and abundant sericite-pyrite-quartz type, and surrounded by a feeble and distant phase ofchlorite, calcite and epidote. With the development of tech-niques like X-rays, differential thermal analyses and themicron microscope, identification of the clay mineralsbecame more precise and a new group of papers on themappeared after 1941. Studies at Ajo Arizona and other por-phyry copper deposits, East Tintic Utah, Wairukei NewZealand, and many other localities identified similar concen-tric alteration zoning with up to four recognizable phases.

GeochemistryThis branch of the science was barely mentioned in the

early years. A long review article on hydrothermal alterationand syntheses of silicates, published as a special supplement

in 1937, gave chronological coverage of the entire subject. Itstimulated renewed interest and resulted in an increasingnumber of papers on geochemistry. The first paper dealingwith stable isotopes was published in 1953. The advances ingeochemical knowledge stimulated practical investigationsof trace elements and led to a new tool known as appliedgeochemistry, or geochemical exploration. Investigations ofmetals in soil and vegetation, and new and rapid techniquesand reagents for field testing of trace metals were discussedin papers from 1947 onwards.

Skinner (1981) pointed out that the emphasis in the jour-nal had always remained on mineral deposits, but not on alldeposits. Those of special interest were those containing theore minerals that find uses in the technological society.Petroleum geologists were not included initially since nosuch branch of geology existed prior to the formation of theAmerican Association of Petroleum Geologists in 1920.Economic Geology was the preferred publication for earlyimportant papers on petroleum geology, ground water andcoal until specialized journals appeared to serve those topics.

The journal continues to focus on metallic and non-metallic mineral deposits and the fascinating evolution ofideas concerning how, where and when the different types areformed. During the 25 years between Volumes 50 and 75,another 35,000 pages were published, amounting to morewords and papers than in the first 50 because of a larger pagesize. The reasons for the rapid growth in research includedthe increasing use of laboratory techniques to investigate thechemistry of rock types, wall-rock alteration and ore mineralassemblages. Other major advances were radiometric dating,experimental geochemistry, better understanding of plate tec-tonics and refinements to mass spectrometers that enabledimproved isotopic studies and better information on fluidchemistry. Also, increased exploration led to the recognitionof classes of deposits that were not previously known.

The Journal of Economic Geology has gradually becomesuch an important international influence in the Englishlanguage that researchers around the world now strive tomeet the high standards of peer review to have their papersaccepted for publication. In 1981, the journal had about8,000 subscribers around the globe. In 1955, the comparablenumber was 4,000 in 80 countries.

AcknowledgmentsInformation on the Journal of Economic Geology was

derived largely from Bateman (1955) and Skinner (1981). CIM

ReferencesBateman, A. M. (1955). Economic Geology. Fiftieth Anniversary Volume, Economic Geology:1905-1955. Lancaster, Pennsylvania: The Economic Geology Publishing Company, p. 1-30.

Skinner, B. J. (1981). Introduction. Seventy-Fifth Anniversary Volume, EconomicGeology: 1905-1980. Lancaster, Pennsylvania: The Economic Geology PublishingCompany, p. 3-5.

Zaslow, M. (1975). Reading the rocks: the story of the geological survey of Canada,1842-1972. Toronto: The Macmillan Company of Canada Limited, p. 132.

H I S TO R I C A L

metallurgy

August 2011 | 95

Large-scale quarrying began in Ancient Egypt. The pro-curement of stone was essential to the social and economicaspects of life. Quarrying produced raw materials from whichimportant items of religious and funerary architecture andequipment were made. The number of workers sent out bythe pharaoh on quarrying expeditions to remote miningareas in the deserts was comparable to that of a military cam-paign – upwards of tens of thousands – and included stonecutters, professionals, an administrative staff, stone masons,soldiers, guards and enslaved prisoners for transportingblocks. Housing settlements were provided for the workers.The miners felt protected on their expeditions by the Egyptian goddess Hathor.

The construction of the pyramids, transportation of mas-sive rocks, and extensive working of hard rock such as gran-ite was conducted on an unprecedented scale. The ancientEgyptians quarried tremendous quantities of limestone; largequantities of granite from Aswan; alabaster, diorite, marble,serpentine, purple porphyry and black slate from WadiRahanu; basalt, dolomite and other ornamental stones. Theyalso mined for precious stones such as turquoise, emeralds,malachite, amethyst as well as other gemstones.

Salt was obtained by evaporating seawater in shallowlagoons on the Mediterranean coast and from deposits in the

Industrial minerals in history: ancient EgyptBy Fathi Habashi, Laval University, Quebec City

Western and Eastern deserts. Natron, a naturally occurringsodium carbonate, was found in a deposit 20 metres belowsea level in the Wadi al-Natrun, halfway between Cairo andAlexandria. It was used mainly for cleaning and in the mum-mification process. Alum, used for dying cloth, was found inthe oases of Dakla and Kharga in the Western Desert.

Quarrying and stone cutting in Ancient Egypt was anunprecedented activity. The tools used for quarrying softstones were perhaps made of a hard stone such as basalt ordolerite, weighing between one and three kilograms. Forhard stone, the excavation of open-cast quarries was con-ducted with hammer stones, which gradually removed thedesired stone from the surface, working downward. Once thechosen area of rock had been roughly evened out, it wasprobably strewn with glowing pieces of charcoal and thendoused with cold water. The surface of the stone would dis-integrate at this point, making the block easier to extract.

During the New Kingdom and in later periods, workmenused pointed chisels that were hammered with a mallet. It isalso possible that soft stone was sometimes cut with coppersaws that had a toothed edge embedded with grains of sandduring the forging process. Iron was not yet known and,thus, copper chisels must have been used. There were exten-sive quarry operations in and around Aswan that continuedunabated during the Roman period.

The pyramidsThe first use of limestone on a large scale as a construction

material was for the Step Pyramid at Saqqara. There are about100 pyramids in Egypt, the largest ones located in Memphis(present day Giza). The Great Pyramid is made up of about2.3 million large limestone blocks, each weighing about 2.5tonnes; its total mass is estimated at 5.9 million tonnes.Building it in 20 years would have meant installing approxi-mately 800 tonnes of stone, or 320 blocks, every day. Thesurfaces of the blocks were smooth so that they fit one on topof the other without mortar. An abrasive powder of crushedquartzite was used to smooth the faces (the grains weresharp-edged unlike the rounded ones of desert sand).

The Great Pyramid is not just a pile of stones; it is a gravewith a burial chamber, passages and ventilation ducts – anengineering feat. The pharaoh was buried in a chamber in thecentre of the pyramid, but at Saqqara, the pharaoh wasburied underground. The burial chamber in the Great Pyra-mid was made entirely from massive blocks of granite.

ObelisksAn obelisk is a monumental tapered column carved from a

single block of stone, with a square or rectangular cross-sectionand a gold-covered pointed top called a pyramidion.

The term “industrial minerals”was suggested in 1931 by a committee composed of E. J. Carlyle,the newly appointed secretary of the Canadian Institute of Mining andMetallurgy, and two of the Institute’s members from the Division ofNon-Metallic Deposits at the Mines Branch in Ottawa: L. C. Cole, anengineer, and Howells Fréchette, chief of the Division. The term was adopted by the CIM Council on October 15, 1932.

The committee had formed as a result of an incident that took placeat the CIM Annual Meeting in Winnipeg in 1929. Cole was scheduledto present a paper on “The role of non-metallics in the mineralindustry,” but when the speaker preceding him finished his talk onmetallic minerals, the room almost completely emptied. In light of thesituation, the chairman suggested Cole’s paper be marked as“presented” and he closed the session.

This was not the first time that delegates did not show an interest in“non-metallics” – a term that was deemed odd, and as a result,discussions ensued suggesting it must be changed.

Shortly after, the CIM Council approved the creation of the IndustrialMinerals Section, which became the first specialized section of theInstitute. It successfully organized sessions devoted solely to industrialminerals. In 1941, CIM made it a division.

A few years earlier, in March 1935, the American Institute of Miningand Metallurgy also adopted the term industrials minerals.

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1. Copper tool used in mining; 2. An ancient Egyptian wall painting showing masonscutting stones to a precise size; 3. Unextracted obelisk remaining within the layer ofrock in Aswan; 4. The author at the Great Pyramid in 2009 showing the size of thelimestone blocks; 5. Cross-section through the Great Pyramid; 6. The pyramids nearGiza; the Great Pyramid (the one at the back) was finished by Khufu around 2551 BC;7. Erecting the 331-tonne Egyptian obelisk in the Vatican in 1586; 8. Moving acolossal statue in Ancient Egypt; 9. Inside the Karnak temple; 10. Underground burialplace for the 64 Apis bulls in the Memphis Serapeum at Saqqara; 11. One of the 64granite carved sarcophagi, weighing about 70 tonnes at the Memphis Serapeumunderground in Saqqara; 12. One of the colossal monuments of Ramses II near Giza.

H I S TO R I C A L

metallurgy

August 2011 | 97

Originating from the granite quarries of Aswan, obelisks gen-erally were inscribed on all four sides. The average obeliskwas about 30 metres high and weighed about 800 tonnes.They were set in pairs at the entrances of temples and someOld Kingdom tombs, and were closely related to the cult ofthe Sun God Ra (also known as Atum). There are 26 knownancient Egyptian obelisks located in many different coun-tries, including the United Kingdom, the United States,France, Turkey and Italy. The obelisks in Rome were trans-ported there during the time of Augustus.

In 1586, Italian engineer Domenico Fontana (1543-1607)moved the 331-tonne Egyptian obelisk to its present site infront of the Vatican in St. Peter’s Square. The obelisk, quar-ried in Egypt in the 13th century BC, was brought to Romein the 1st century. It remained in place until Pope Sixtus Vrecommended moving the obelisk about 200 metres from itsoriginal Roman site. Fontana relied on pulleys, some as largeas 1.5 metres in length, to lift the obelisk off its base and thenlower it to a horizontal position by pivoting it on its lowerend. Five huge levers, 16 metres long each, were used to helplift the shaft off the base. A variety of pulley blocks wererequired to work in conjunction with the 40 winches, each ofwhich was powered with horses and men to supply the mainlifting force. It took one year to complete the task. On Sep-tember 28, 1586, the scaffolding and tower were removed.The obelisk appeared in full view, in the same position as itappears today, more than 400 years later.

An unextracted obelisk still remains within the layer ofrock in Aswan. Estimated to weigh 1,200 tonnes, it wouldhave been the tallest (41.7 metres) but was abandoned due tothe appearance of fissures in the stone.

Memphis SerapeumThe Serapeum is a huge underground cemetery that was

used by the ancient Egyptians to bury their 64 mummifiedsacred Apis bulls. Carefully selected by the priests, the bullsserved as a physical manifestation of the god Ptah. The blackbull-calf was thought to have been conceived by a ray fromheaven and was treated like royalty during its lifetime(around 20 to 25 years) and in its funerary ceremonies.

The bulls were embalmed in the position of a sphinx andburied with great ceremony in the Saqqara catacombs nearMemphis. Massive carved granite sarcophagi (each weighingabout 70 tonnes) were used. The catacombs continued to beused until the Ptolemaic Period, when the Emperor Honoriusbanned it and closed the Serapeum in 398 AD.

KarnakThe temples of Ancient Egypt include some of the largest

religious monuments the world has ever known and certainlysome of the most impressive. In the temple of Amun at Kar-nak, the stone used in these structures came from nearby quar-ries and was usually sandstone or granite. The work wasstarted by Seti I, but the majority of the construction was doneby Ramses II. Because the building was done without mortar,the stones were cut with precision so they fit together perfectly.

The columns for the temples were cut into sections andthey were placed on one top of the other until the desiredheight was reached. The Great Hall consists of 134 columns:122 are 10 metres tall and the other 12 are 21 metres tall witha diameter of over three metres. The architraves on top ofthese columns weigh an estimated 70 tons.

Colossal sculpturesThe ancient Egyptians not only quarried large masses of

stone for constructing impressive structures, they also cre-ated artwork from them.

TransportationThe problem of transporting rock or building blocks over

land with a soft subsoil was solved by loading the materialonto sledges and hauling them over paths paved with trans-verse logs lubricated with fine mud. The sledges were made ofsolid baulks of wood, with two runners turned up in front. Themethod is illustrated in the scene from the 12th Dynasty tombof the provincial prince Djehutihotep at el-Bersha, that showshis colossal statue on the move. The statue, which has beenestimated to have weighed about 60 tonnes, was dragged on itssledge with ropes by 172 men in four files. The illustrationshows a man standing at the foot of the figure pouring wateronto the path in front of the sledge while others urge the teamon. Three more men are bringing up fresh jugs of water andanother three a large beam, perhaps used as a lever. CIM

Suggested ReadingsHabashi, F. (2010). Mining and Civilization. An Illustrated History. Québec City: Métal-lurgie Extractive Québec. Distributed by Laval University Bookstore (www.zone.ul.ca).

Industrial minerals are used in building materials, in thechemical industry, in fertilizers, as fuels, etc. According to theirabundance, industrial minerals can be classified into threemain groups:

Rare – These occur in small quantities, in limited areas; they are usedin small quantities and command a high price. Examples includediamonds, sheet mica, graphite, corundum, and precious and semi-precious stones.Widely available – These occur in large quantities in few geologicenvironments, are used in appreciable amounts and command amoderate price. Examples include asbestos, coal, phosphate, gypsum,kaolin, potash, salt, sulphur, talc, trona, barite, borates, feldspar, fluorite,magnesite and diatomite.Abundant – These are abundant in all geologic environments, used inlarge amounts and are relatively cheap. Examples include clay,limestone, sand, gravel and stones.

Strictly speaking, some of the members of these groups are not mineralsbut rather ores with a geological name. For example, phosphate rock isneither a rock nor a mineral; it is a geological name for a certain type offormation containing phosphate minerals associated with gangue mineralssuch as calcite, iron oxides, clays, etc. The major phosphate mineral ofeconomic value in this type of deposit is apatite, which is principallycalcium phosphate. Similarly, clay is a geological name for a large varietyof hydrated aluminum silicate minerals, of which kaolinite is one.

Definition of economicpit limits taking intoconsideration time valueof moneyE. Latorre, Universidad de Atacama,Copiapo, Chile and T. S. Golosinski,Pontificial Catholic University ofChile, Santiago, Chile

ABSTRACT This paper proposes new methodology to define the pit limits that yield the maximumnet present value (NPV) for a deposit, under a given economic scenario and for a given discountrate. The method uses an algorithm that combines dynamic programming and heuristics. It wastested for evaluating deposits with different sizes and various grade distributions. For the discountrate of zero, the results confirm that the economic pit limits are the same as that defined using theLerchs Grossman method. However, when discount rates higher than zero are used, the pit limitsdiffer, yielding a higher NPV.

RÉSUMÉ Le présent article propose une nouvelle méthodologie de définition des limites d’une fosseafin de donner la valeur actualisée nette maximale d’un gisement, selon un scénario économiquedonné et pour un taux d’actualisation donné. La méthode utilise un algorithme qui combine une pro-grammation dynamique et des connaissances heuristiques. Il a été mis à l’épreuve dans l’évaluationde gisements de tailles différentes et ayant des distributions de teneurs variées. Pour un taux d’actu-alisation de zéro, les résultats confirment que les limites économiques de la fosse sont les mêmes quecelles définies selon la méthode Lerchs-Grossman. Toutefois, lorsque des taux d’actualisationsupérieurs à zéro sont utilisés, les limites de la fosse sont différentes, donnant une valeur actualiséenette plus élevée.

ABSTRACT An interactive cable shovel simulation has been developed to mimic any shovel dippergeometry for a given cable shovel operating in any homogeneous face material. This interactive cableallows the user to predict shovel performance in any face material encountered and track both itsground stability and the dipper-ground interaction. An embedded visual basic spreadsheet was usedas the platform for developing an interactive simulation that allows for maximum user-defined param-eter input and interactive visual output. The result is an analytical dipper-ground interaction solutionthat yields crowd, hoist, and digging effort as a function of face activity position.

RÉSUMÉ Une simulation de pelles à câbles interactifs a été développée pour reproduire la géométriede toute benne creusante pour une pelle à câbles donnée travaillant à un front de taille dans dumatériel homogène. Ce câble interactif permet à l’usager de prédire le rendement de la pelle dans toutmatériel rencontré et de suivre à la fois sa stabilité et l’interaction entre la benne creusante et le sol.Un tableur Visual Basic intégré a été utilisé comme plate-forme pour développer une simulation inter-active qui permet d’entrer un maximum de paramètres définis par l’utilisateur et qui produit unmaximum de données de sortie visuelles interactives. Le résultat est une solution analytique de l’inter-action entre la benne creusante et le sol qui donne les efforts du dispositif de guidage de godet, dutreuil et de creusage en tant que fonction de la position de l’activité au front de travail.

ABSTRACT A prototype test dipper (at 1/20th volume and a geometric operating scale of 2.85) wascompared during field trials against a conventional dipper with the same tare weight using the sametest shovel. Both dippers followed similar dig trajectories, invoked by the shovel operator. A visual basicembedded spreadsheet was used to interpret qualitative visual and quantitative numerical loading datacollected on the hoist and crowd dig response. Overall the concept dipper, even with a 50 per centgreater capacity, provided indications of a smoother dig cycle with lower peak hoist loading events anda lower energy per unit excavated.

RÉSUMÉ Un prototype de benne creusante (à 1/20e de volume et à une échelle géométrique de fonc-tionnement de 2,85) a été comparé lors d’essais sur le terrain à une benne conventionnelle ayant lamême masse à vide et utilisant la même pelle. Les deux bennes ont suivi des trajectoires similaires decreusage, définies par l’opérateur de la pelle. Un tableur Visual Basic intégré a été utilisé pour inter-préter les données qualitatives visuelles et quantitatives numériques de chargement recueillies sur letreuil et la réponse de creusage du dispositif de guidage de la benne. De manière générale, la bennede concept, même avec une capacité accrue de 50 pour cent, a fourni des indications d’un cycle decreusage plus doux avec des événements crête de chargement du treuil inférieurs et une énergie parunité excavée moindre.

Simulation of cableshovels and dippers inmining applicationsT. G. Joseph, University of Alberta,Edmonton, Alberta and N. Shi, JPi,Edmonton, Alberta

Scale field tests andvisual modelling toevaluate a curved frontdipper conceptT. G. Joseph, University of Alberta,Edmonton, Alberta and N. Shi, JPi,Edmonton, Alberta

T E C H N I C A L A B S T R AC T S

CIM journal


A dynamic model forsmelter off-gas cleaningsystemsH. Shang, Laurentian University,Sudbury, Ontario; P. Nelson, XstrataProcess Support, Falconbridge,Ontario; B. Salt, Xstrata NickelSudbury Smelter, Falconbridge,Ontario; and J. A. Scott, LaurentianUniversity, Sudbury, Ontario

Microwave heating ofsulphide minerals as afunction of their size andspatial distributionG. Van Weert, ORETOME Limited,Caledon East, Ontario; P. Kondos,Barrick Gold Corporation, Toronto,Ontario; and O. Wang, ProcessResearch Oretech, Mississauga,Ontario

Advantages andmethods for the real-time detection ofhydrocyclone operatingproblemsC. Bazin, Université Laval, QuebecCity, Quebec; M. Renaud, COREM,Quebec City, Quebec; A. Faucher,Université Laval, Quebec City,Quebec; and M. Mai Manga,COREM, Quebec City, Quebec

August 2011 | 99

T E C H N I C A L A B S T R AC T S

CIM journal

ABSTRACT In a nickel smelting process, large amounts of off-gas emissions are generated, which cancause serious environmental and plant hygiene problems if not properly treated. With increasinglystringent environmental regulations, an enhanced understanding of well-controlled, off-gas cleaningsystems is vital. In this paper, dynamic models for an industrial smelter, off-gas system tackling haz-ardous sulphur dioxide, carbon monoxide and carbon dioxide are developed using mass continuity,momentum, and energy conservation laws. The effect of air in-leakage is explored under differentoperating conditions. The developed models provide an enhanced process understanding and a nec-essary basis for high-performance control analysis of smelter off-gas systems.

RÉSUMÉ Dans un procédé de fonte du nickel, de grandes quantités d’émissions gazeuses sontgénérées, pouvant causer de sérieux problèmes environnementaux et d’hygiène industrielle si elles nesont pas traitées convenablement. Avec des réglementations environnementales de plus en plussévères, il est essentiel de mieux comprendre les systèmes bien contrôlés de traitement des émissionsgazeuses. Dans cet article, nous développons des modèles dynamiques pour une fonderie industrielle,un système de traitement des émissions gazeuses pour traiter les substances dangereuses, telles quele dioxyde de soufre, le monoxyde de carbone et le dioxyde de carbone, en se basant sur la continu-ité de masse, le momentum et les lois de conservation de l’énergie. L’effet d’une entrée d’airaccidentelle est examiné sous différentes conditions d’exploitation. Les modèles développés four-nissent une meilleure compréhension du processus et une base nécessaire pour une analyse decontrôle de haut rendement des systèmes de traitement des émissions gazeuses.

ABSTRACT When exposed to microwaves, rocks containing sulphides adsorb energy preferentiallyover barren gangue and quickly become warmer with minimal energy consumption. This effect makessubsequent machine sorting of ore from waste rocks or overburden possible using infrared sensing.This paper reports on the 2,450 MHz microwave response of a variety of sulphide minerals by meshsize and spatial distribution, as they might occur in ore rocks. The implications for infrared ore sortingare discussed.

RÉSUMÉ Lorsqu’elles sont exposées à des micro-ondes, les roches contenant des sulfures absorbentl’énergie mieux que la gangue stérile et elles se réchauffent rapidement avec une consommation min-imale d’énergie. Cet effet rend possible le tri mécanique du minerai des roches stériles et desmorts-terrains par détection infrarouge. Le présent article traite de la réponse aux micro-ondes, à unefréquence de 2 450 MHz, de divers minéraux sulfurés selon une granulométrie et une distribution spa-tiale qu’il serait possible de rencontrer dans des roches minéralisées. Les implications du tri parinfrarouge sont abordées.

ABSTRACT Grinding circuits are operated in the presence of disturbances resulting from ore changesand equipment malfunctions, such as hydrocyclone overloading, worn or partly plugged apexes, surg-ing and internal liner detachment that may cause a loss of classification performance. Metal recoverylosses in downstream leaching or flotation circuits justify the development of methods for rapid detec-tion of hydrocyclone malfunction. Two methods are presented in this paper. The first method usesmeasurements from sensors available in a grinding circuit and the second uses vibration sensorsinstalled on the individual hydrocyclones of a nest.

RÉSUMÉ Les circuits de broyage sont parfois perturbés par des changements dans le minerai etle mauvais fonctionnement d’équipements, tel que la surcharge des cyclones, l’usure ou leblocage partiel des apex, les surpressions et le décollement du revêtement interne, qui peuventcauser une perte de rendement en classification. Les pertes dans la récupération des métauxdans les circuits de lixiviation ou de flottation en aval justifient le développement de méthodes dedétection rapide du mauvais fonctionnement des hydrocyclones. Deux méthodes sont abordées

dans cet article. La première méthode utilise desmesures de capteurs disponibles dans un circuit debroyage et la seconde utilise des capteurs de vibrationinstallés sur les hydrocyclones individuels d’un nid.

Excerpts taken from abstracts in CIM Journal, Vol. 2, No. 3.Subscribe—www.cim.org

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professional directory

The Ora-Tac system: clear communication,no boom mikeMinesites and smelters are increasingly noisy workplaces, requiringexceptional hearing protection for workers. At the same time, thoseworkers need to communicate clearly with each other to do their jobs.One of the biggest challenges has always been ensuring clear com-munication when an employee is wearing a respirator. Typically,speech gets garbled, and even throat microphones produce inferiorquality sound under those circumstances.

3M recently introduced the new Ora-Tac system, part of its PeltorCommunications line, to solve this problem. Ora-Tac transmits soundfrom the wearer’s ear canal – so it is unaffected by a respirator. A tac-tical function mode using talk-through microphones allows the wearerto hear ambient noise, like conversation or warning signals from equip-ment.

The Peltor line integrates with existing communications infrastructureand all major radio brands. www.3m.com

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voices from industry


Call it the Holy Grail of management.Individuals and corporations alikecontinue to search for an answer to

the question: “What makes a great leader?”This quest can be challenging, but it is onewell worth undertaking.

A plethora of books exist that provideus with plenty of great ideas that can work;however, one thing I learned many yearsago is that there is no textbook solutionthat fits all situations. It is up to us as indi-viduals to figure out what works and whatmakes a difference. That being said, I willnot pass on the opportunity to share someof my thoughts on this topic.

A great leader is someone who createsa strong organization. This starts with establishing a structure that addresses thespecific needs within the business, provid-ing a clear definition of roles and responsi-bilities, which ultimately createsaccountability for what gets done.

Great leaders surround themselveswith people that fit the culture of that par-ticular organization – there is no “cookiecutter” type of employee. They recognizetheir employees’ strengths and encouragethem to use these strengths to their fullpotential. Good leaders must be capable ofbeing good followers in that they promotethe goals and aims of the organization.

A great leader ensures that the com-pany provides a safe and healthy workplacefor its employees – an absolute require-ment. When employees and peers are val-ued and made to feel so, it reinforces theircommitment to the organization, whichultimately contributes to a company’s success.

A great leader also looks beyond thewalls of his or her particular organizationto the community in which we all workand play. The community should want usas neighbours. What does this mean? Weneed to respect our communities’ interests,

produce economic and social value, and begood stewards of the environment. Wemust operate with integrity, conductingour business to the highest ethical stan-dard – and we all share this responsibility.Everyone within an organization mustrespect and obey the “laws of the land.”Avoiding conflicts of interest is also neces-sary, as these situations may not be themost beneficial for your organization. Inthis respect, great leaders act as role mod-els to all employees in achieving theseobjectives.

It is worth remembering that compa-nies do not create reputations, the individ-uals within the organization do. Leaders inan organization strive to gain the trust andrespect of customers, investors, employees,suppliers, business partners and the com-munity, which will benefit the organizationas a whole. This is key to creating relation-ships with stakeholders that will stand thetest of time. Attention is in the detail andit is up to each one of us to figure out whatmakes sense for us and our organization.

Although leadership is imperative atthe top level of an organization, it does notstop there. Leaders are important at all lev-els of an organization and much of what Isaid above can be applied to everyonethroughout a company. Leaders create anenvironment where everyone shares in theresponsibility for sound decisions andactions, and one where employees willspeak up when they have concerns. Theywill also work to positively influence fellowemployees and treat each other withrespect, which in turn increases the level ofopenness, honesty and professionalism. Allof this contributes to strong core values.

As a last thought, much of what we doas leaders is driven by what we havelearned, but sometimes the most effectiveleadership skill is common sense and simplydoing what is right. CIM

What makes a great leader? By Jim Popowich, currently retired after 40 years in the mining industry, director at The Mosaic Company, and CIM Council member; former president and CEO of Elk Valley Coal Corporation

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