International Mineral Economics

International Mineral Economics provides an integrated overview of the concepts important for mineral exploration, mine valuation, mineral market analysis, and international mineral policies. The treatment is interdisciplinary, drawing on the fields of economics, geology, business, and mining engineering. Part I, Economic Geology and Mineral Development, examines the technical concepts important for understanding the geology of ore deposits, the methods of exploration and deposit evaluation, and the activities of mining and mineral processing. Part II, Mineral Economics, focuses on the economic and related concepts important for understanding mineral development, the evaluation of exploration and mining projects, and mineral markets and market models. Finally, Part III, International Mineral Policies, reviews and traces the historical development of the policies of international organizations, the industrialized countries, and the developing countries.

I Economic Geology, Mineral Exploration, and Mineral Development.- 1 Mineral Deposits and Metallogenic Concepts.- 1.1 Composition of the Earth and Types of Mineral Resources.- 1.2 Geologic Cycles and the Formation of Mineral Deposits.- 1.2.1 Mineral Deposits Associated with Magmatic Processes.- 1.2.2 Mineral Deposits Associated with Sedimentary Processes.- 1.2.3 Mineral Deposits Associated with Metamorphic Processes.- 1.3 Geologic Models of Mineral Deposits.- 2 Exploration Methods.- 2.1 Development Phases of Exploration and Mining Projects.- 2.2 Exploration Strategies, Procedures, and Stages.- 2.2.1 Program Design.- 2.2.2 Reconnaissance Exploration.- 2.2.3 Detailed Follow-up Exploration.- 2.3 Exploration Methods.- 2.3.1 Remote Sensing.- 2.3.2 Aerial Photography.- 2.3.3 Geologic Exploration.- 2.3.4 Geophysical Exploration.- 2.3.4.1 Magnetic Surveys.- 2.3.4.2 Electric Surveys.- 2.3.4.3 Electromagnetic Surveys.- 2.3.4.4 Radiometric Surveys.- 2.3.4.5 Gravimetric Surveys.- 2.3.4.6 Seismic Surveys.- 2.3.4.7 Airborne and Ground Geophysical Surveys.- 2.3.5 Geochemical Exploration.- 2.3.5.1 Stream Sediment Geochemical Surveys.- 2.3.5.2 Hydrogeochemical Surveys.- 2.3.5.3 Soil Geochemical Surveys.- 2.3.5.4 Biogeochemical Surveys.- 2.3.5.5 Atmospheric and Vapor Geochemical Surveys.- 2.3.5.6 Rock Geochemical Surveys.- 2.3.5.7 Analytical Methods.- 2.3.5.8 Interpretation of Geochemical Surveys.- 3 Quantitative Assessment of Mineral Potential.- 3.1 Accessing the Ore.- 3.1.1 Trenching and Pitting.- 3.1.2 Drilling.- 3.1.3 Drill-Hole Geophysics.- 3.1.4 Underground Exploration.- 3.2 Sampling and Assaying of the Ore.- 3.2.1 Sampling.- 3.2.2 Sample Preparation.- 3.2.3 Chemical Assays.- 3.3 Ore Reserve Estimation.- 3.3.1 Geometric Methods of Ore Reserve Estimation.- 3.3.2 Statistical Methods of Ore Reserve Estimation.- 3.3.3 Geostatistical Methods of Ore Reserve Estimation.- 3.3.4 Classification of Reserves and Resources.- 4 Mining and Mineral Processing.- 4.1 Mining.- 4.1.1 Surface Mining.- 4.1.2 Underground Mining.- 4.1.3 Solution Mining.- 4.1.4 Marine Mining.- 4.1.5 Strategies and Trends in Mining.- 4.2 Mineral Processing.- II Mineral Economics.- 5 The Economic, Institutional, and Legal Framework for Mineral Development.- 5.1 Mineral Development as an Economic Activity.- 5.2 Participants in Mineral Development.- 5.3 Mining Law.- 6 Economic Evaluation of Mineral Deposits.- 6.1 Goals and Strategies.- 6.2 Methods of Investment Analysis.- 6.2.1 Cash Flows and the Time Value of Money.- 6.2.2 Benefit-Cost Analysis.- 6.2.3 Risk Analysis.- 6.3 Evaluating Exploration Projects and Mineral Deposits.- 6.3.1 Program Design.- 6.3.2 Reconnaissance Exploration.- 6.3.3 Detailed Exploration and Initial Target Evaluation.- 6.3.3.1 Minimum Acceptable Reserves — Tonnage and Grade.- 6.3.3.2 Cutoff Grade.- 6.3.3.3 Optimal Scale of Operation.- 6.3.3.4 Cash-Flow Analysis.- 6.3.3.5 The Prefeasibility Study.- 6.3.4 Detailed Target Evaluation and the Feasibility Study.- 6.3.4.1 Legal Factors.- 6.3.4.2 Fiscal Regimes.- 6.3.4.3 Environmental Regulations.- 6.4 Financing.- 6.4.1 Exploration Projects.- 6.4.2 Mine Development.- 7 Mineral Markets.- 7.1 Market Structures.- 7.1.1 Determination and Alteration of Market Structures.- 7.1.1.1 The Tin Market.- 7.1.1.2 The Aluminum Market.- 7.1.1.3 The Gold Market.- 7.1.2 Market Shares of International Mining and Oil Companies.- 7.2 Market Organizations.- 7.2.1 Producer Associations.- 7.2.1.1 Petroleum Associations (OPEC, OAPEC).- 7.2.1.2 Copper Associations (CIPEC and Others).- 7.2.1.3 Bauxite Association (IBA).- 7.2.1.4 Iron Ore Association (APEF).- 7.2.1.5 Tungsten Association (PTA).- 7.2.1.6 Uranium Association (UI).- 7.2.1.7 Other Producer Associations.- 7.2.2 International Commodity Agreements.- 7.3 Mineral Pricing.- 7.3.1 Determination of Mineral Supply.- 7.3.1.1 Factors Determining Production Trends.- 7.3.1.2 Special Supply Factors.- 7.3.2 Determination of Mineral Demand.- 7.3.3 Competitive Prices.- 7.3.4 Producer Prices.- 7.4 Market Models and Forecasts.- 7.4.1 Types of Mineral-Market Models.- 7.4.2 Forecasting.- III International Mineral Policies.- 8 Policies and Cooperation Programs of International Organizations.- 8.1 General Problems and Objectives.- 8.1.1 Objectives of Mineral Exporting Countries.- 8.1.2 Objectives of Mineral Importing Countries.- 8.1.3 Conflicting Aims and Possible Solutions.- 8.2 Mineral Policy of International Organizations.- 8.2.1 The League of Nations.- 8.2.2 The United Nations.- 8.2.2.1 UNCTADI-VI.- 8.2.2.2 Integrated Program for Commodities.- 8.2.2.3 United Nations Conventions on the Law of the Sea.- 8.2.3 The International Energy Programme of the Organization for Economic Cooperation and Development.- 8.2.4 The European Community.- 8.2.4.1 Lomé I Convention.- 8.2.4.2 Lomé II Convention.- 8.2.4.3 Lomé III Convention.- 8.3 International Cooperation in Mineral Exploration and Exploitation.- 8.3.1 Cooperation Programs of International Institutions.- 8.3.2 The UNDP and the UN Revolving Fund.- 8.3.3 The World Bank.- 8.3.4 The European Community.- 9 Policies in Industrialized Countries.- 9.1 Government Programs.- 9.1.1 Programs for the Preservation and Enhancement of Domestic Mineral Production.- 9.1.2 Promoting Mineral Exploration.- 9.1.3 Promoting Mining Investments.- 9.1.4 Stockpile Programs.- 9.1.5 Promoting Mineral Trade.- 9.1.6 Promoting Mineral Research.- 9.2 Policies of Mining Companies.- 9.2.1 Investment Strategies.- 9.2.2 Improvements in Mineral Utilization.- 10 Policies and Special Problems in Developing Countries.- 10.1 Concession Policy.- 10.2 Participation Policy.- 10.3 Fiscal Policy.- 10.4 Marketing Policy.- 10.5 Importance of Small-Scale Mining in Developing Countries.- 10.5.1 Definition and Characteristics of Small-Scale Mining.- 10.5.2 Production of Small-Scale Mining.- 10.5.3 Advantages and Disadvantages of Small-Scale Mining.- 10.5.4 Forms of Technical Cooperation in Small-Scale Mining.- 10.6 Effects of Mining in Developing Countries.- 10.6.1 Primary Effects.- 10.6.2 Secondary Effects.- References.