CAPITAL AND OPERATING COST ESTIMATING SYSTEM

CAPITAL AND OPERATING COST ESTIMATING SYSTEM

MANUAL FOR MINING AND BENEFICIATION OF

METALLIC AND NONMETALLIC MINERALS EXCEPT FOSSIL

FUELS IN THE UNITED STATES AND CANADA

BY

GEORGE K. CLEMENT,

JR.~

ROBERT

L.

MILLER,2

PHILIP A. SEIBERT,3

LOUIS AVERY;

AND

HAROLD BENNETT

5

1·3

COMPUTER SERVICES AND MANAGEMENT CONSULTANTS, INC.

21243

VENTURA BLVD., SUITE

226

WOODLAND HILLS, CA.

4 PRIVATE CONSULTANT, LOS ANGELES, CA.

5 MINERALS AVAILABILITY FIELD OFFICE BUREAU OF MINES, DENVER, COLORADO.

}'or sale by the Superintendent of Documents. U.S. Government Printing Office Washington, D.C. 20402

PREFACE

Mining relies on anomalies within the surface of the earth for a

base of activity. Hining and evaluation engineering are confronted

repeatedly with problems of determining how and at what rate a particular deposit can be mined, how to get the equipment, personnel, and money for mining and processing, and how to set up the related

infrastructure. When these problems are resolved, the engineer

becomes involved in financial considerations. For example, what is

the ratio of equity capital to borrowings, and what is the rate of return that may be achieved before a recommendation for the approval or rejection of the property can be made to management?

Articles on cost for site-specific operations appear frequently in

the technical literature. They may be useful i f an engineer is

conSidering a similar property, but this is seldom the case. Often

the engineer is required to consider specially designed extraction

and treatment methods applicable to unique or nearly unique deposits. In addition, the engineer is plagued by rapid changes in capital and operating costs.

Recognizing this situation, the Bureau of Hines undertook the develop-ment of a methodology or cost system, usable by a mine evaluation engineer in generating capital and operating costs applicable to a feasibility study of a particular property or operation. This hand-book, the product of this undertaking, is not intended to be the final solution to the problem of cost determination; it is also not

a "black box" usable by the unskilled. I t will, hopefully, be a

useful adjunct to the "tool kit" of mining engineers responsible for property evaluation. Periodic updating and refining of the important data on which the handbook is based will improve its usefulness in the future.

TABLE OF CO.TEITS

PAGE

1.

IITBODUCTIOJ

1

1.1.

leed Par The Handbook

1

1.2.

Us. Of The Handbook

1.3. Acknowledgeaents

2

2.

GEIERAL I1FOBRITI01

4

2.1.

Users Of The Handbook

4

2.2.

Procedures for Estiaating ADd U.e Of Factors

4

2.3.

Data RequireaeDt. For ID !sti.ate

5

2.3.1.

General

5

2.3.2.

Surface And Underground Bine

5

2.3.3.

8enefic.tion

5

2.3.4.

Exploration

5

2.3.5.

C.pital Cost

5

2.4.

Bates - Labor, Paver ADd Water

5

2.~.

Types Of Rinino And BenefiCiation Included.

5

2.6. Environ.ental I.pact Statements

5

2.7. Definition 'Of Teras

6

2.8. Cost Indexes

6

3. BIlE OPEBlTIIG COST ESTIRITICI

7

3.1.

Surface Rinino - Operatino Costs

7

3.1.1.

ProductioD

Develo~aent 7

3.1.1.1.

Clearing

7

3.1.1.2.

Drill And Blast - Overburden And Vaste

7

3.1.1.3.

Excavation. Load And Haul'- OVerburden And

8

hs~

3.1.1.4.

Core DrillinV

11

3.1.2.

Binino Of Ore

11

3.1.2.1.

Drill And Blast - Ore

11

-i-PAGE

3.1.2.2. Excavation, load And Haal - Ore

12

3.1.3.

B ••

toratioD Darino ProductioD

14

3.1.4.

Ceneral Operations

14

3.1._.1. General It •• s -

Co ••

unlcatlons, Sanitation,

HousekeepinQ, Fire Protection And

Electrical

14

3.1.4.2.

Yater Sappll Slstea

15

3.1.4.3. Drainaoe And Disposal Slstem

15

3.1.4.4.

Camp

O~eration 16

3.1.4.5.

Lono Distance Transportation

16

3.1.4.5.1.

Rail TraDsportation

16

3.1.4.5.2.

Truck

Trans~ortation 17

3.1.4.5.3. iater

Trans~ortation 17

3.1.4.5.4.

Pipeline

Transpor~tion 17

3.2.

Surface Binino - Administrative Costs

17

3.2.1.

Ceneral

Expen~e 17

3.2.1.1.

Adainistrative Salaries And Vaoes

17

3.2.1.2.

AdainistratiYe Purcbases

18

3.2.1.3. AdainistratiYe Equipaent

O~eration 18

3.3.

Underoround Binino - Operatino Costs

18

3.3.1.

Production Developaent

18

3.3.1.1.1.

Small DriftE For Rail Haulaoe

18

3.3.1.1.2.

Small Drifts For Rubber Tired HaulaOE

19

3.3.1.1.3.

Laroe Drifts For Rubber Tired HaulaOE

~

3.3.1.2.

Sinkino Shafts

20

3.3.1.3.

Drivino Raises

21

3.3.1.4.

PreparinG Stopes

21

-ii-PlGI

3.3.1.5.

Core Drllllno

D

3.3.2.

Rlnlno

Of

Ore

D

3.3.2.1.

Shrlnkaoe Stope.

D

3.3.2.2.

Cut Alld FU1 Stope.

23

3.3.2.3.

O.erhand Stope.

23

3.3.2.11.

Lonohole Stope.

~

3.3.2.5.

Rooa And Plllar

~

3.3.2.5.1.

le41u. To Hard Bock

•

3.3.2.5.2.

Soft Bock (nona.talllc)

~

3.3.2.6.

Block Ca.lno

•

3.3.2.6.1.

Block Caylno - Load-haul-du.p lethod

•

3.3.2.6.2.

Block raylna - Slu.her And Graylty

Reth04s

•

3.3.3.

Haulaae Of Ore

•

3.3.3.1.

Holstlno

•

3.3.3.2.

Ball Haulaoe

D 3.3.3.3.

CODYeYOr Haulage

D

3.3.3.11.

Truck Haulage

•

3.3.3.5.

Load-hlul-duap Haalaoe

•

3.3.4.

General 0;eratl0.8

a

3.3.q.1.

General Ite •• - Co •• unlcation., Sanltat10n,

Housekeeplno, 'lre Protection And

Electrical

a

3.3.q.2.

Ventllitlon Syste.

a

3.3.1t.3.

Co.pre •• ed Air Plant

30

3.3.11.11.

lIater SultPlr S,.te.

31

3.3.4.6.

Caap

O~eratlon U

3.3.11.7.

Lono Dlstlnce Trallsportatlon

U

3.3.IJ.1.1.

Rall Transportation

U

-111-PAGE

3.3.4.7.2.

Track

T~ns~ortation

33

3.3.4.7.3~

Water Transportation

~

3.3.4.7.4.

PIpeline Transportation

33

3.4.

Underoround !1nino - Adainistrative Costs

~

3.4.1.

Ceneral

Expens~ ~

3.4.1.1.

Adainistratlve Salar1es And Waves

~

3.4.1.2.

~dainistrative

Parchases

34

3.4.1.3. ·Adalnletrative EQuipaent Operation

34

4.

!IIE CAPITAL COST ESTI!ATIOI

~

4.1.

Exploration And Access Roads

~

4.1.1.

Exploration

~

4.1.2.

Access Roads

~

4.1.2.1.

Clearino

36

4.1,2.2.

Excavation

~

4.1.2.3.· Drill ADd Blast

41

4.1.2.4.

Gravel Surfacino

42

4.2.

Surface

~inino

- Capital Costs

43

4.2.1.

Preproduction Developaent

43

4.2.1.1.

Clearino

43

4.2.1.2.

Drill And Blast - Overburden lnd Waste

~

4.2.1.3.

Excavation, Load And Haal - Overburden And

Waste

44

4.2.1.3.1. Excavation, Load And Haul Truck Haulage 46

4.2.1.3.2. Excavation, Load' And Haul Scrapers 47

4.2.2.

line Plant And Buildinos

47

4.2.2.1.

Railroad Construction

.46

4.2.2.2.

Vater And Drainaoe Slst.a.

46

4.2.2.2.1.

Viter Slstea

46

4.2.2.2.2.

DralnaOe Slste.

46

-iv-PAGE

'.2.2.'.

'aelin, Sfstea

~

4.2.2.5.

Electrical Sfstea

49

4.2.2.6. I'pair Shops ADd Warehouses

~

4.2.2.7. Office. And Lahoratories

~

Q.2.2.8.

Sarface

8a1141nV8 51

'.2.3.

Townsite

61

Q.2.'.

Restoration Durina Construction

62

'.2.5. Bine Equipaent

62

4.2.5.1. Surface BiniDG Iqulpaent

52

4.2.5.2. DradGes

63

Q.2.6.

InGineerinG And CODstruction Banageaent Fees

53

'.2.7.

Vorking Capital

~

'.3.

Underoround Rinino - Ca,ital Costs

~

4.3.1.

Preproduction D •• elopaent

~

Q.3.1.1. Developaent Drifts

~

Q.3.1.1.1. Saa11 Drifts For Ral1 Haulage

~

4.3.1.1.2.

S.a11 Drift. for Ruther Tired HaulaGE

~

Q.3.1.1.3.

Larve Drifts for Ruhher Tired Haulage

~

'.3.1.2. Sinkin~

Shafts

~

4.3.1.3.

DriviDG Raise.

~

Q.3.1.4. PreparinG Stopes

67

'.3.1.5. Core Drl11inG

00

4.3.1.6. C1.arinG

~

4.3.2.

Blne Plant And Bui1dlngs

69

4.3.2.1.

Co.preEsed Air facilities

59

4.3.2.2.

HoistinG Facilities

59

4.3.2.3. 'enti1ation SY8t..

00

4.3.2.'. Vater Syst..

00

4.3.2.6.

Co •• aDications S7st ••

4.3.2.7.

Faelino S7ste.

4.3.2.8.

Electrical S7st ••

4.3.2.9.

Repair Sho,s And Wareheuses

4.3.2.10.

Office. And Laboratories

4.3.2.11.

Surface BuildinGs

4.3.3.

TOWDslte

4.3.4.

Restoration Durlno [onstructicn

4.3.5.

!ine Equipaent

4.3.6.

Engineering And CenstructioD !anageaent Fee.

4.3.7.

Working Capital

5.

BEJEFICIATIOI OPEBATIIG COST IST181TIOI

5.1.

BeDeficiation - OperatinG Costs

S.1~1.

CrushiDG

5.1.2.

GrIndIng

5.1.3.

ConceDtratinG

5.1.3.1.

FlotatIon

5.1.3.1.1.

Sinole-,roduct Flotation

5.1.3.1.2.

Two-product rlotation

5.1.3.1.3.

Three-product Flotation

5.1.3.2.

Concentrate Thickening

5.1.3.3.

Concentrate Filtration

5.1.3.4.

leachino

5.1.3.4.1.

Cyanide 'at Leach

5.1.3.4.2. Duap, Heep Or 'at LeachinG

5.1.3.4.3.

Uraniaa Ac1d leach

5.1.3.5.

laonetic Separation

5.1.3.6.

Heavy Bedia Separation

PAGE

81 G G

a

a

M ~ ~ ~ ~ 87 ~ ~

•

69 70 70 71 71 72 72 73 73 73 74 75 75 76

PAGE

5.1.3.7.

era.ltl SeparatloD

78

5.1.3.8.

Drlino Concentrate

78 77 77 5.1.4.1.

Tal11n08 Dewaterln9

77

5.1.4.2.

Transport And Place Tailings

78

5.1.4.3.

Water Recl.a.tion

78

5.1.5.

Restoration Durino Productlon

78

78

5.1.6.1.

General Iteas -

Ce ••

unications, Sanitation, 78

Housekeepino, Fire Protection And

Electrical

80

5.1.6.3.

Water Supply Slstea

5.1.6.k~

Drainage And Disposal SysteM

5.1.6.5.

Camp Operation

81

5.1.6.6.

Lono Distance Transportation

81

5.1.6.6.1.

Rail Transportation

81

5.1.6.6.2.

Truck Transportation

82

5.1.6.6.3.

Water

Tr.ns~ortatlon 82

5.1.6.6.4.

Pipeline Trans,ortatlon

82

5.2.

Beneficiation - Adainisttative Cests

82

5.2.1.

General Expense

82

5.2.1.1.

Administrative Salaries And Wages

82

5.2.1.2.

Ad.iniatrative Purchases

83

5.2.1.3.

Adainistrative Equip.ent Operation

83

6.

BENEFICIATION CAPITAL CeST ESTI!ATICI

85

6.1.

BenefiCiation - Capital Costs

85

6.1.1.

Crushino

85

-vll-6.1.2.

Grindin9

6.1.3.

ConcentratinG

6.1.3.1.

Flotation

6.1.3.2.

Concentrate TbickenlnG

6.1.3.3.

Concentrate Filtration

6.1.3.4.

teachiD9

6.1.3~4.1.

Cyanide 'at t.ach

6.1.3.4.2.

Duap, Heap Or 'at teach

6.1.3.4.3.

Uraniu. Acid teach

6.1.3.5.

8a9netic Separation

6.1.3.6.

Hea.y Bedia Separation

6.1.3.7.

Gravity

Se~aratlon

6.1.3.8.

DrJinQ Concentrate

6.1.3.9.

ti.estone Clinker

6.1.4.

Waste And Ta1linQ. Disposal

6.1.4.1.

TaillnQs DevateriDQ

6.1.4.2.

Transport And Place TailinGS

6.1.4.3.

Water Becla.ation

6.1.4.4.

Earthfill Dikes And S.al1 Da.s

6.1.5.

Site Preparation

6.1.5.1.

Clearin9

6.1.6.

Utilities And Facilities

6.1.6.1.

Vater Supply Syste.

6.1.6.2.

Electrical

S~st

••

6.1.6.3.

8ill Buildin9s

6.1.6.4.

Officea And La.oratori8.

6.1.6.5.

'ebicl ••

6.1.6.6.

Riscellanaoua Equip.ent

PAGE

•

H

88 88

n

87 87 U

•

89 89 89

"

"

91 91 91 91 92 ~ ~ 93 93 M M ~ ~; H

CAPITAL AND OPERATING COST ESTIMATING SYSTEM

MANUAL FOR MINING AND BENEFICIATION OF METALLIC

AND NONMETALLIC MINERALS EXCEPT FOSSIL FUELS IN

THE UNITED STATES AND CANADA

1. I1TRODUCTlOR

1.1. REED fOR THE HANDBOOK

The United States Bureau of Mines is

establishing a computerized mineral

inventory system to help the Federal

Government appraise its mineral position

and prepare programs insuring against

critical shortages of materials. This

system, called the ~inerals ~vailahility

System (MAS), is a component of the

Bureau's minerals intelligence function

designed tc conduct and maintain an

inventory of minerals important to the

Nation. The ~AS defines the physical

and commercial availability of the

mineral resources. Known resources

are evaluated and classified by deposit for entry into a computer storage and

retrieval system. An integral concern

of these evaluations is the cost of

mining and beneficiatinQ the ore

contained in specific deposits. To meet

this concern, a cost handbook was

developed as an aid to preparing

feasibility-typ~ estimates for capital

and operating costs of mining and

primary beneficiation of various types

of mineral occurrences. Cost data,

obtained from U.S. and Canadian

1

companies, were used as the basis of

this handbook. The handbook presents

cost curv~s and equations for each

component of the mining and

heneficiaticn process. factors for each cost component are also Qiven, thereby allowing the updating of cost for time,

oeoQraph1c location, labor rates, and

~ining and milling conditions. Included in the latter conditions are items such as the lenqth of haul, need for rock bolts, and ~ rock work index for ores and rocks of various hardnesses.

1.2. USE OF THE HARDBOOK

Using the handbook a feasibility-type

estimate falling within 2S~ of expected actual cost is obtainable by su~marizin9

cost cornpon~nts. This handbook should

not be used to determine the cost of any

single com~onent of a mining or

beneficiation system, as any sinole

component mHY not fall withiri the 2S~

limit. It must be understood that

anyone who uses the handbook must have a

comprehensive knowledge of .1n1ng and

processing technology and cost

estimating r,rocedures. The handbook was intended to be used internally by the

of outside interest the Bureau of Mines

decided to ~ublish the handbook to make

i t readily available to the public. The

text and curves contained in the

handbook an'! essentially identical to

those obtained from the contractor that

oriqinally developed the handbook for

the Bureau. STRAAM EnQineers, Inc.

Some editorial work was performed on the

layout of the text in order to confor.

to Bureau standards. The data. however,

are

Qenerally as originally presented,

and the vi&ws and conclusions contained

in this document are those of STRAA~

F.nQine~rs, Inc., an.d should not be

interpreted as necessarily repr~senting

the official policies or recommendations

of the Interior Department's Bureau of

Mines or of the U.S. Government. STRAAM

Engineers, Inc., believes the data to be

accurate and reliable; however the! or

the authors do not accept any

responsibility, financial or otherwise,

for any consequences arising out of the

use of this handbook.

1.3. ACINOYLEDGftEMTS

Assistinq STRAAM Engineers, Inc.,

formerly A.

A.

Mathews, Inc., In the

plan development and field data

collection was Hehre Dolbear

&

Co. Many

mining equipment manufacturers and

suppliers also provided assistance in

developing equipment operating and

capital costs. Field data used in

compiling this handbook were obtained

from the following sourcp.s: Amax Chemical Corp.

American Colloid Co. The Anaconda Co.

Apco 011 Corp., Minerals Divislon American SmeltinQ and Refining Co. Beker Tndustries Corp.

Brenda Mines, Ltd. (Noranda Mines Ltd.)

California ~on-Metallics Inc.

California Portland Cement Co.

Ca~p Bird Colorado, Inc.

Carlin Gold Mining Co. (Newmont MinIng Co. )

Clayton Silver Mines

The Cleveland-Cliffs Iron Co. Cotter Mining Co.

J. Irving Crowell, Jr.

&

Son

Cyprus Mines Corp.

Diamond Springs Lime Co.

Dresser Min~rals Division

Duval 5ierrita Corp. The Feldspar Corp.

Gaspe Copper ~ines Ltd. (Moranda Mines

1. td • )

Georgia-Pacific Corp.

Getty Oil Co.

Goodnews Bay Mininq Co.

W. R.

Grace

&

Co. Hallett Minerals The lIanna Minin'} Co.

Homestake ~ining Co.

Idaho MininQ Corp. Idarado Mining Co.

Inspiration Consolidated Copper Co.

International Minerals

r.

Chemical Corp.

Interpace Corp.

Johns-Manville Products Corp.

Jones

e

LauQhlin Steel Corp.

Kennecott Ccpper Corp. Kyanite Mining Corp.

lamaque ~ining Co., Ltd.

hivinoston-Graham Co.

Mattagami Lake Mines, Ltd. (Moranda Mines Ltd.)

Meramec Mining Co. "ilchem Inccrporated

Mineral Industrial Commodities of

America

Molytdenum Corp. of America

Monolith Portland Cem@nt Co.

In~u~_trial

Chemicals Co.

~onsanto

..

National Gypsum Co.

N L

Industries, Tnc.

Phelps Dodge Corp.

pitkin Iron Mine

PittsburQ Pacific Co.

Ranchers Fxploration

&

nevelop~ent

Corp.

Reserve

~inino

Co.

Reynol~s ~lninQ

r.orp.

Siqma Mines (Quebec) Ltd.

Southwestern portland Cement Co.

Standard Metals Corp.

Stauffer Chemical Co.

St. Joe Minerals Corp.

Sunshine MininQ

Co.

Teck Corp., Ltd.

Texada Mines, Ltd.

Titanium Enterprises

Utah Mines, Ltd. (Utah International)

York Pullders

~upplJ

Co.

2. GEIERIL IIFOB"ITI0N

2.1. OSEBS OF TBE HANDBOOK

It is presumed the user will have

adequate knowledge of both mining and

estimatino procedures before attemPtinQ

to prepare

an

estimate usinQ the methods

presented herein.

2.2. PBOCEDORES FOR ESTI"ITIIG liD OSE

OF FICTORS

By

its very

natur~, any compilation of

data such as that used in the

.preparation of the curves, tables and

factors, must deal in 8vera~es. The

user must be able to discern any

differences between the method or

process under consideration and that

presented in this handbook. For that

reason, wh€rever i t is applicable that

certain adjustment factors should be

used, they have been referenced.

~ention of certain adjustment factors

has been omitted from the curve

narratives in order to avoid

duplication. These factors include the

various cost indexes. labor rate

conversion methods, POWf~ cost, and the

more subtle v~riables such as rock

hardness, floatability of various ores,

etc. They are covered in this section,

but it remajns for the user to properly

apply these factors.

All labor rates (costs) use~ in the

preparation of curves are based on the

Denver, Colo., area as of July 1975, and

include an approximate allowance of 35~

to cover all applicable payroll burdens.

~ll labor curves includ~ an appropriate

allowance for equipment repair labor.

Area and/or incentive bonus premiums are

not inclUded and thp- user's judgment

should be used in applying factors for

these items. Two methods may be used to

adjust the labor cost curves. Method

one, the more accurate of the two, is to

use the prevailing labor rates for the

area under co~sideration, apply the

appropriate payroll burdens and

premiums, then use these costs 1n

comparison to those Qiven in the

narratives. Py dividing one hy the

other a laber adjustment multiplier is

obtained. rare should be taken in the

use of labor rates as a large variance

can occur within r.elativelY small

geoqraphic dreas. The second methoj is

to use a factor obtained by use of

either laber index number 1. or 2. in

Section 2.8. (Cost Indexes). This lu.p

sum factor can be used for all classes

of l~bor throuobout the estimate.

Either factor can then be entered in the proper location.

All curves in this handbook are adjusted

to a common base, i.e. all effort has

been oeared to presentation of average

data for the particular minino method or

process und€r consideration. Should the

user have an abnormal situation, proper

adjustment

of

curve data, either upward

or downward, should be made.

When determining the quantity to be

used, unless otherwise noted in tbe

specific component text, use tons mined

or tons f~ed to the beneficiation

component.

After the data requirements have been

prepared, the curves and narratives that

apply should be studied until their

contents ar~ understood. Then, for the

proper abscissa value, select the

appropriate orrtinate a~ount and enter i t

on th@ form. Note that all curves have

logarithmic scales, not arithmetic.

The data obtained from the curves and

equations within the limits shown is

reliable and

ihg ___

y~~

___

§hQY1~

__

-n2t

e!t£~~Ql~!g ___ QY~§1gg

__

1hg§~ __ 11m1~

__

~

~~§Yl1§_~aY_Qs~~I211Ahl~~ The ran~e of

the curves €ncompasses normal production with values beyond tendino to be outside

the accuracy required due to the large

variance

cf

milling and mining

practices. Tn equations shown for the

various curves in this handbOOk. the

value of

"X"

is for the horizontal scale

and the value of My" is in dollars. The

My" subscripts

"L",

"SM. and

"E"

indicate lator, supplies and equipment

operation respectively.

After the dollar amounts for a

particular item have been entered on the

wort. sheets, the next step is to

determine the proper adjustment factors

(data will seldom require no

adjustment). ~ost of the curves,

particularly supplies and equipment

operation, are composed of more than one

it~m.

Tn

these cases, it will be necessary to apply a compound adjustment

factor hased on the percentage occuring

in each item multiplied by its

When the cost and all factors have been

determined, multiplication will field

the total cost. By a like manner, all

applicable items are totaled and sum.ed,

yie11ino a bottom line oroup total

amount. These group amounts are then

transferred to she~ts where total

operatino costs per ton and total

capital costs per ton per day are

summarized for total estimated cost. None of the curves or equations

handbook have allowances for

and/or inventory taxes,

insurance or depreciation.

-

in this

property general

2.3. DITI

BEQUIRE~EITS

FOB 1M ESTI"ITE

Pefore using this handbook for

preparation of an estimate covering any

phase of mining or beneficiation, the

user should first compile certain basic

data that may be requlrpd. There are

five basiC areas of interest to be

covered:

2.3.1.

GENERAL

Location Topography Climate

Access to facilities and labor market

frevailing labor costs (including

payroll burden)

Daily or annual tonnage Prevailing cost indexes Electric power costs

Transportation availability

2.3.2. SURFACE AND UNDEBGROUID RINEB

Fock type and hardness

Support or Qround conditions Cverburden (surface mines) Extraction and/or mining method

2.3.3. BENEFICATION

Crushability and/or Qrindability

Extraction wet hod (flowchart is useful)

2.3.4. EXPLORATION

~~thods to ~e used Area (coverage)

2.3.5. CAPITAL COST

Extent and methods of preproduction 1evelopment

Ireight rates Taxes

2.4. BATES - LABOR, POWER liD VATER

Labor costs have heen adjusted to a

Denver base for July 1975 and include

payroll burden. Burden includes such

items as sick leave, vacation, holidays,

insurance (medical, dental, disability,

life

&

accident), payroll taxes

(FICA,

SOl

& SUT)

and retirement funds. Burden

varies from 25~ to 65~ with an average

used in this handbook of 35~. No

production bonuses have been included in the labor costs.

Cost of electrical power used throughout

this handbook is constant at 25 mils

($0.025) per kW-h. Any variance from

this rate should be applied as a

supplies factor using the percentage of

the supplie~ curve as noted in the curve text.

Cost of water used throughout this

handbook is constant at $0.10 per m3 •

Any variance from this rate should be

applied as a supplies factor usinq the

percentaqe of the supplies curve as

noted in the curve text.

2.5. TTPES OF RINING AND BENEFICIATION

IICLUDED.

The

user ~hould refer to the Table of

Contents in the front of this handbook

for a com~lete list of the various

minino and beneficiation methods that

may be estimated. Mining and

heneficiaticn of fossil fuels and

teneficiaticn of mercury, tungsten and

lauxite hav~ not been included. Aerial

tramways have not been included in this

handbook du~ to the specialized way in

which they are desinned for each mine or plant.

2.6. E"'IRONMENTAL IMPACT STATEMENTS

The cost of preparation of impact

statements for the development of new

mines and mills or ex~ansion of existino

properties may introduce a significant

cost item both directly for the

statement ~reparation and from the time

related expenses incurred in the

approval process. It is virtually

impOSSible to tie this phase of the

estimate to mine or mill tonnRqe or

other measurable units that couli be

formulized and plotted on a curve for

standard estimation.

To help the user estimate the projected

outlined an1 tabulated is an

environmental impact team approach used

in assessing various mine properties.

The time input by each specialist and

the range cf laboratory analysis varies

widely from location to location

dependinq on such basic elements as the

mine's proximity to population centers;

the ranQe of weather extremes for heat

and cold and air currents in smog

controls: the availability of pover in

v~rious en~rqy forms; water supply; and

land reclamation possibilities. The

following items will have to be

investigated to some degree:

Geology Demography

Hydrology Archaeology

CI1m'ate Air Quality

Ecology AesthetiCS

Socio-Econo~ics Physiography

The envirunmental impact study ~ay

require the expertise of specialists in

some or all of the ahove areas. The

cost of specialists may be estimated to

range from S100 to $500 per day plus

field expenses at about $50 per day per

person plus field transportation

expenses frem $5 to $30 per day plus the

transportation cost to and from the

field location.

The team size can vary from one

veIl-qualified person for smaller impact

studies to perhaps ten specialists and

four or five laboratory analysts. A

specialjst may be required for from one

day to a year. The team is usually

headed by a principal or senior engineer

or geologist who controls and edits the

production of the impact statement data

and schedules the various speCialists as required.

Tim~ and workforce. as well as technical

ilJlPut, should be allowed for

presentation to qovernmental bodies and

public meetinQs. Follovinq the agency

Quidelines that exist for a specific

area and mineral. the user must use his

judgment plus local historical records

for a realistic estimate of the cost of

an environmental impact statement.

The user should remember that multiple

impact statements may be required for

the various stages of mine and/or mill

development and operation.

2.7. DEFINITION OF TEBRS

This handbook is based on the use of

metric units. Where the terms "US

tons". "cubic yards". and "inches" are

used. they designate manufacturers'

sizing in the United States system.

2.8. COST INDEXES

The following cost indexes should be

used to adjust cost data in this

handbook.

They

are based on,

"Employment and Earnings" and "Wholesale

Prices and Price Indexes", both

published by the U.S. Department of.

Labor, Bureau of Lahor Statisti~s

(B.L.S.). and on Fnqineerinq News Record

(E.N.R.). ~he base year for all but tvo

indexes is 1967

=

100. Construction

labor (Index No.2) has a base year of

1913

=

100 and Transportation (Index No.

11) has a base year of 1969

=

100.

Since the manual is based on July 1975

costs. updat€s shoul~ use the July 1975

indexes as denominators and the annual

cost ind~xes given in th~ accompanying

table as numerators. Annual averages

are included for space saving purposes,

and are acceptable for updatioQ this

type of estimate. Monthly indexes can

be used if desired and are available

from the original sources.

No. Item Cost Index

1. Mine end plant labor· Mining labor Tabla C·l 2. Conatruetion labor Skillad iabor lOCI 3. Equipment and rapair parta Equipmant and

Tabia 4 Code 11·2 4. BiU and ralat6d atoel Iron and Steel

Tabla 4 Coda 10·1 5, nmber and lumber Lumber

Tabla 4 Coda DB·l

8. Fual Petroleum

Tabla 4 Coda 05·7 7. Powder and blasting agents Explosives

Tabla 6 Coda 067902

8. nraa nra

Table 6 Code 07120105 9. Construction matarial_ Materials {Denver) 10. Industrial materiais·· Industrial Commodities

Tabla 2 11. Transportation··· Rail-MatalUe Ore

Table 14 Code 28

• Rate does not Include burdon.

•• U •• for Itema not oth.rw'ile covered. Reporting in Table 2

w .. dlacontlnued by B.L.S. In Mllfch. 1978. Values given at beglnnlng of Table 8 me, be used theroftftar. · · · 1 . wu year of origin. Index . . prior to 1989 have been

extrapoleted. Use for an tranaportation items.

1m tUO 1,913.1 111&.2 200.9 192.5 2&7.5 178.0 tl78 _".42 2.132.8 t • . 9 215.9 233.0 27'" 187.2 1m

....

ue&.1 2117 230.3 278.5 30U 11l.1 1978 f7.87 2.406.0 232.8 2&3.6 322.1 321.0 208.7 1'78 ".48 2.&64.0 266.8 283.4 354.2 444.5 225.7 1&6.4 172.8 1'1.6 192.0 219.4 Source Value in July 1975 oLS $S.89/Iv ENR 1998.7 oLS 184.9 oLS 197.3 oLS 196.8 BLS 258.8 oLS 177.2 oLS 158.8 ENR 185.0 oLS 1712 oLS 185.7 10 11 1 • . 3 171.6 178.4 2115.5 l1Z.4 lt7.8 m.7 tl6.1 211.1 247.7 209.4 227.3 289.J 238.2 284.4

3. RIlE OPERATING COST ESTIRATIOI

3.1.

SURFACE RIIIIG - OPERATIIG COSTS

3.1.1.

PRODUCTION DEVELOP"E.r

3.1.1.1.

CLEARIIG

The curve for clearing production is

based on costs fcir medium liQht growth

on terrain with a side slope of 20~ to

50~. Estimate one tree, 0.33 m in

diameter, per 40· m2 • The rate of

clearing is determined by the surface

mine production rate. For light clearing

trees, reduce the

by 75~. In heavy

increased 75~ over

of brush and small

medium clearing costs

clearing, costs are

the curves.

For clearing on terrain level to 20~

side slope, reduce costs by 20r. from

those shown. For clearing on terrain

with side slopes from 50r. to 100~,

increase costs 20%. On rocky slopes and

slopes over 1007., costs could double or

triple and the user should use his own

judgment.

Labor costs are based on an average

labor rate cf $7.30 per worker-hour.

Supplies consist of 657. for fuel oil and

351. for tools, cable~, and chokers.

EQUIPMENT OFERATING COST

DISTRIBUTION

DESCRIPTION

Crawler DOZErs Trucks

REPAIR

PARTS 70~ 33% FUEL

TIRES

& WBE 30~ 637. 4"

Equipwent o~erating costs are based on

a

spread consisting of 75~ dozers and 257.

trucks, pickups, and chainsaws.

II, ..

•

1 ••••

i

i!

.

..

S

100

'"

"''''

",'" '" 1" " , " ~

'"

~"

",,,,,,,

10".

'"

10

'.1

",'" ",'"

,,,"

,,"

,-,,,,,,,

"," ~' ",'"

'"

,

",,-'"

",'"

,,'

",'"

'"

'"

",'" ~o"'"

,,'"

"''''

",'"

'"

~"~-i'" ~.,.""

_'"

:\ 0",

1/

~,-I-<t;;,'" ~~'"

'"

",'"

,

,,"

...

'"

,,'

,st, .... ,

..

,,"

YL •

."."ex,·''''

Ys • 90 .6JCX)'· 922 Ye: • 211. S6(X)··II'

r-

t--0.1 .! X .! 10 10 HeCTARES CLEARIN; PER DAY

3.1.1.1. CLEARINC

3.1.1.2.

DRILL AID BLAST - OVERBURDEN

UD

WASTE

The curves have been developed in two

parts. The following distribution

applies to all equipment in this

section:

FOUIP~ENT

OFERATING COST DISTRIBUTION

T>ESCRIPTION

I'ri1l Equipment Trucks

REPAIR

PARTS

501. 32~

FUEL

TIRES

(; LUBE 50" 62n

6"-For mines excavating from 1,000 to

10,000 tid of overburden and waste, the

curves reflect costs for drilling 6 m

high benches with crawler type

percussion drills. Spacing of 2.5 inch

hol~s is on a pattern of 1.5 m x , m to

a depth of 7

m.

The powder factor is

0.30 kg/t.

For mines excavating fro~ A,OOO to

300,000 tId of overburden. and waste,

drillinq is performed with rotary drills havino a down pressure of from 13,600 to

40,900 kg. The powder factor varies

from 0.11 to 0.20 kg/t with an average

average 12-1/4 inch diameter from a

range of 6 to 13-3/4 inch jiameter.

Bench heichts are 12 to 18 m averaging

15 m. Drilling patterns and

overdrilling ranoe from 100 to 300 t

of

tlasted material per

m

of drill hole.

Secondary ~rilling and blasting range

from O~ to 101. of blast~d material.

The curves indicate average costs for a

wide ran~e of materials as can be noted

abov~ by drill sizes, bit sizes, powder

factors, and drill pattern. To

determine drilling and blasting costs,

consideraticn must be given to material

hardness, abrasiveness, natural

fractures and jointing, and maximum size

fragments

that

can be loaded, hauled and

processed. Where the above conditions

are unfavorable, the costs shown on the

curves can 1e increased up to 100~. For

~avorable ccnditions, the costs can be

reduced up to 40~.

The labor cost for a typical rotary

drill operation is based on an average

labor rate for drill and blast creW ~f

S€.OO

ppr wcrker-hour including rotary

drill operators at SR.34. The labor

cost for a typical p~rcussion drill

operation is based on an average labor

rat~ for drill and blast crew of S7.91

per worker-hour including percussion

rtrjl1 operators at S8.17.

The supply costs for hoth curves include

drill bits and steel related items at

2470 of the total with the remaining

767-for blastinQ supplies.

rquipment orerating costs include drills

75~ and supporting equipment 25~.

Itt,ttO CRAWLER TYP! PERCUSSION DRI LLS II,OfO YL • 1.7,.eX)0.lIl -Y, • l.l.,'(X)··n, Y! • • • Io'(X)o •• 1J

i

or

r

1,000 .! x .! 10,000 ~

.;:fI;'

17

_...

... I .... ~

_{¢" ...}

R,;f2.K'cI'

_~.,.,.

_...

...

~~

,,0

v'"

~+ v:~~ toO: 1,000 100 I ROTARY DRI LLS YL·O.096(X)O •• 61 ", • O.1\'(X)··917

,

Y! • o.073eX)O.1I1 _~ .,000 .! x .! JOo,ooo L ~ ~ _~. 1/

~L'

~J ~,,~~(~

,

...

~

"~/l.

...

V

_{.• v"}

_£1~

_...

_~

....

_{l ' ~} j,'

"

_~"; ~ ~~

...

~

,

.'\.~;,

...

~'\."

v

to;;"

...

...

10 100 1,000

HETRIC TONS PER DAY X 10'

3.1.1.2. DRILL AND BLAST

3.1.1.3. EXCAVATION, LOAD AND HAUL

-OVERBURDEN AND VASTE

The curves show the cost per day for

loading and hauling, both common earth

and shot rock. For common earth

excavation, one bank m3 _{equals 2.08 t:}

for shot rock, one bank m3 _{equals 2.61}

t. The following distribution applies

to all equipment in this section: EQUIPMENT OrERATING COST DISTkIBUTION

DESClUPTION REPAIR FUEL

TIRES

PARTS

r.

LUBF.

Shovels, E] €ctric 94"; ₆

_r.*

Shovels, DiE'sel 84"- 16Y.

Draglines, riesel 60" 4O';

Rear Dump TrUCks 18",1; 37~ 45r.

Crawler Dozf'rs 70~ 30r.

J.ocomoti ves • Electric 89% 11%*

Locomotives, Diesel 46r. 54r.

Muck Cars 95~ 5';

Other rquipment 33" 32" 351.

*

Where electric powered equipment is

used, supply curve is for electric power

only.

The curves have heen developed in five

methods and encompassing a range from

1,000 to 300,000 tId.

Curve 3.1.1.3.1. covers from 1,000 to

10,000 tId of overburden and vaste

excavation and is based on mines uslno

front-end loaders and trucks. The

loaders range in size from 1 to 6 cubic

lards and the trucks range from 10 to

3S US tons. The curves reflect an

average haul of 750 m one way on an 81,

grade from

a

pit

60

m

in depth. To

determine costs for hauls of varying

length or depth of pit, multiply the

costs obtained from the curves by the

followino factors: Labor Factor.

r

=

0.155(R)o.o30(L)o.263

Equipment Operation Factor.

F

=

0.080(R)o.o_T(L)o.3s3

Where:

F

=

Factor

F

=

Depth of Pit in m (- or O~ grade.

R=·1.0)

L

=

Length of Haul in m

For a typical front-end loader and truck

operation, the labor cost is based on a

composite crew havinq an average rate of

$8.15 per worker-hour with a loader

operator at $8.19 and truck driver at

$7.65.

Fquipment cperating

for loader and truck I.oaders

Rear Dump Trucks Crawler Dozers

Rubber Tired Support

cost distrihution operation: 15.8r. 41.8~ 22.71. 19.7%

Curve 3.1.1.3.1. covers mines excavating

fro~ 8,000 to 300,000 tid of overburden

and waste. The loading units are

electric shovels and diesel front-end

loaders ranqinq in size from 5 to 15

cubic yards with an average of 10 cubic

yards. Rear dump trucks from 35 to 170

US tons are the main hauling units, with

the average size of all trucks at 85 US

tons. The ratio of trucks to loading

units averages 6 to 1. The curves

reflect an averaqe haul of 2,000 m one

way on an 8~ grade from a pit 120 m in

depth on wide, well maintained roads.

To determine costs for hauls of varying

length or depth of pit, multiply the

costs obtained from the curves by the

following factors: labor Factor. F

=

0.1173(F)o.o30(L)o.z63 Equipment Operation F

=

0.0546(P)o.O_T(L)o.3~3 Where: F

=

Factor

R

=

Depth of Pit in m (- or O~ orade.

P=1.0)

L

=

Lenqth of Haul in

m

For a typical electric shovel and truck

operation the labor cost is based on a

composite crew having an average rate of

$6.12 per worker-hour with a shovel

operator at $8.30 and truck driver at

S8.05.

Fquipment operating cost distribution

for shovel and truck operation: Shovels

Rear Dump Trucks

Crawler Doz~rs

Rubber Tired Support

101,000

8.5~

70.0% 11.0"; 10.5"

EL~CTRI C SHOVELS AND TRUCKS

TL ... 'oooG ... g

/

'5 I: .,.l1ex)··967 Y • • 0 •• 25(X)··916

l/

l/

',.11 .! X .! JOO,OOO _

,o+-I

o~~"//

~~:N~RUL~KA~~RS ,f-:t-~ 1/

~

~ 'L • 1J.60(X)··,n ~

0'"

_/

Y • • ... ex)··' ..

~Vv~

1,'0'

.! x ! It,OO~

/

10,000

i

•

_f

~

~/

o/V

~ 'l-t-""O~

V

_v'"

R~ ~~o.f; .,'1/ f.~'" / ~.'" t.o."

1/

I,D'D

/

II' 100 1 10 100

METRIC TONS PER DAY X 10 3

1,000

3.1.1.3.1. EXCAVATION, LOAD AND HAUL

TRUCK HAULJ\GE

Curve 3.1.1.3.2. covers mines excavatinq

20,000 to 100,000 tid of overburden and

waste usinq electric shovels for loading

and trains for hauling. The electric

shovels range in size from 5 to 15 cubic Y8rds with an average of 10 cubic yards. Locomotives range in size from 85 to 140

US tons and handle seven to eleven

eo-us

ton rail cars on hauls averaoino 8 km.

Grades are limited to a maximum of +3~

for loaded trains and a m8ximum of +4%

is 8 ratio of 3.2 trains for each

shovel. The curves reflect a one-way

haul of 8,800 m on a +3~ grade from 8

pit 240 m in depth. To determine costs

for hauls of varyinq length or grade,

multiply the costs obtained from the

curves by the following factors: . Labor Factor,

F

=

0.0058(L)OoS59(G)2.?50

Equipment Operation Factor,

F

=

O.0017(L)Oo?OO(G)S.300

Where:

F

=

Factor

L

=

Length cf Haul in m

G

=

Grade, defined as 1.0t(~orade/100)

100,"0

ELECTRIC SHOVELS AND TRAINS

TL • 1.216(X)0.125 Vs • 0.203(X,O.793 ' I • a,1S1(X)o.IlS '20,000 .! x .! 100,000

... ...

--....

10,000 I

...

...

v.t!!.'" ...

T

.,,1\0" ...

...

,,"'" ",1 0

!!,

... tQ.>J}!'!!'"

•

r

_~

_...

...

..

8

~

l--!.>J"~ ...-i-'"'" 1,000

----V 100 10

METRIC TONS PER DAY X 10'

3.1.1.3.2. EXCAVATION, LOAD AND HAUL

RAIL HAULAGE

100

operating cost 1istrlbution

and rail operation: F,quipment for shovel Shove-Is Locomotives Muck Cars Rubber Tire~ 19.9r. 34.5~ 13 .6% Support 32.0~

Curve 3.1.1.3.3. covers mines excavating

2,000 to 300,000 tid of overburden and

waste usino whe~l tractor scrapers

ranqing in size and type from 13 US ton

self-loadinr. elevating scrapers to 64 US

ton twin pngine scrapers. The curves

are based on a one-way haul of 900 m on

a level orade and include a 6~ rolling

resistance in the pit area. To

determine costs for varyinq haul lengths

and

grades, multiply the costs obtained

from the curves by the following

factors: Labor Factor,

F

=

O.OS65(l)o.359(G)1.S30

Equipment OpQration Factor,

F

=

O.0641(l)o •• 03(G)I.620

Where:

F

=

Factor

L

=

Lenoth of Haul in m

G

=

Grade, defined as 1.0t(~qrade/100)

Scraper prOduction in tid is based on an

assumed material having a wei9ht of 2.2

t/m3 _{and requiring ripping. I f no}

ripping is required, reduce curve values by 15%.

For a typical scraper operation, the

labor cost is based on a compositp crew

having an average rate of SS.24 per

worker-hour with both scraper and dozer

operators at $8.24.

Equipment operating costs are 27~ for

dozers, rippers and push Cats and 73%

for rubber-tired scrapers, graders and

water trucks. 111,001 ,j;~/ ~-:;.

.

01}" 1.-" + .... ~~ 7 ' .<f':" ~,

"

..

10,001

i

•

!l>0"

V"

"t'#'l

r

..

"

...

~/ ~~

"

1,000

...

'

_"

~"

V

YL = .... J05(X)O.6 .. S Y f z: O.299(X)··908 2~OOD ! x .! 'oo~ooo 101 1 10 110 1,000

METRIC TONS PER DAY X 10'

3.1.1.3.3. EXCAVATION, LOAD AND HAUL

Curve 3.1.1.3.4. covers diesel powered

draglines excavating and casting 8

medium digning overburden and waste

material from a dry pit into a spoil

pile. The material is assumed to weigh

2.0

t/m

3 • The curve is in two parts.

From 2,000 to 15,000 tId, crawler

draglines range in size from 1.5 to 15

cubic yard capacity. Above 15,000 tId,

the curve is based on 25 cubic yard

walking draalines. ~ dozer is provided

with each draQline for cleanup and

support.

For a typical dragline operation, the

labor cost is based on a composite crew

havina an av~rage labor rate of $8.21

per worker-hour with draglin~ operators

at $8.30, oilers at $7.65, and dozer

operators at $8.24.

Equipment cperating cost

for draglin~ operation:

tiistribution Draqlines

Crawler Dozers

Rubber Tired Support

70 .O~

28.01. 2.0%

To determine the cost of a dragline

operation loading to trucks, use the

values obtained from the second curve

(Electric Shovels and Trucks). Adjust

the values by increasing each curve

component 257. and combine equipment

operation and supplies curves to account

for substitution of diesel fuel for

electric pcwer. (Note: supplies values

include only electric power.)

100,000

WALKING DRA .. LINE

,

a~~

Y'

....

':/,'

9~"'~'" a 11,000 ~l

'!I-,.,~ "/ "tJ'a CRAWLER DRAGLINE

~~

t~~Jk:/

V

CRAWLER DRAGLINI! 1.' tu TD TO 1~ CU YD ... l"'t-.. ,.~\ TL = 21t.,1(X)··171

_I--... a~ 'I! = •• DUCX)··"·

~'tot.~~ _,.\~ 2,000 .:5. X.! 15,000

r -

t.C>: WALKIN' DRAGLINI! ,:

8

1,000 YL = o. UIt<X).· 926 TE = O.D95(X)·'UO lDO f15.000 ~ X .:5. JO~"DO~ 1 lD lOl

HETR I C TONS PER DAY X 10'

3.1.1.3.4.

EXCAVATION LOAD

AND

HAUL

D'RAGLINES

1,000

3.1.1.4. CORE DRILLING

Core drilling varies from nonexistent to

extensive depending on many unknown

factors. Cere drilling is performed on

centers varying from 30 m to 245 m and

to varying depths. Core drilling can be

expected tc cost from $50 to $65 per m

with average progress of 15 m per drill

shift for NX (3") holes depending on the hardness of the rock, quantity and depth to be drilled, and location, access, and weather conditions.

Logging of cores and testing of samples

indicate subcontract prices for bore

hole 1099ing are between $3 and $6 per m

for 150 m holes. For additional details

see Section 4.1.1. (Exploration). Note

that ther~ is not always a direct

relationship between core drilling

during mine operation and core drilling

for preproduction exploration. 3.1.2. "IMING OF ORE

3.1.2.1. DRILL AND BLAST - ORE

The curves have been developed in two

parts. Th~ following ~istribution

applies to all equipment in this

section:

FQUIPMENT OFF-RATING COST DISTRIBUTION

DESCRIPTION

Drill Equiplllent Trucks REPHR

PARTS

50~ 32~

FUEL

TIRES c..

LUBF

507-6 2r. 6~

For mines producing from 100 to 10,000

tId of ore, the curves reflect costs for

drilling 6

m

high benches with crawler

type percussion drills. Spacing of 2.5

inch holes is on a pattern of 1.5 • x 2

m

to a depth of 7 m. The powder factor

is 0.30 kg/t.

For mines producing 8,000 to 100,000 tId

of ore, drillino is performed with

rotary drills having a down pressure

ranoing fro~ 13,600 kg to 40,900 kg.

The powder factor varies from 0.11 to

0.21 kg/t of ore. Holes drilled average

12-1/4 inch diameter from a range of 6

to 13-3/4 inch diameter. Bench heiohts

are 12 to 18 m, aVeraging 15

m.

Drilling patterns and overdrilling range from 80 to 184 t of blasted material per

m of drill hole. Secondary drilling and

blasting range from O~ to 10~ of blasted

The

curves indicate average costs for a

wide range of materials as can be noted

above by drill sizes, bit sizes, powder

factors, and drill patterns and

therefore do not lend themselves to

factorinQ for different hardness of

rock. To determine drilling and

~lastin9 costs, consideration must be

given to material hardness,

abrasiveness, natural fractures and

joints, maximum size fragments that can

he loaded

and hauled, and maximum or

optimum size fragments to be crushed or

procf>ssed.

The labor cost for a typical rotary

drill operation is ~ased on an average

labor rate for a rotary drill and blest

crew of $8.00 per worker-hour including

rotary drill operators at $8.34. The

labor cost for a typical percussion

drill operation is based on an average

labor rate for drill and ~last crew ~f

S7.91 per worker-hour including

percussion drill operators at $8.17.

The supply costs for both curves include

drill bits and steel related items at

247, of the total with the remaining 76~

for blastino supplies.

Fquipment oreratinq costs include drills

75% and supporting equipment 257. .•

10, DOO

1,000

.. ..

_..

100

r--cRLLER

T~PE ~EJcJSS!ON

bRILLS

r--=~ .-YL at 1.798CX)O,821 "'s II' LlftgeX)O.719 f - Y f = O.60J(X,O.8B 100! x ! lO~DDO

'"

,,'"

,,'"

,,'

'"

"";'"

.'"

,,'

,,'

?i'"

1/ "';",' 'V~. ,,' .1, to'> "

,"

","" rI:.

"

~,.

..

'"

'"

.,

~ ,,' " o~"i.·'

~It-.~""

_,,"

_{,~ ... ':,'"} '--~

"

'"

"

1/"-

_~~'"

'"

.'

","'"

,Y'

_.,.;§'" ~'V'/

'"

",' ; ' . I ' _-~

,,'

_'"

_'"

~

.r. '"

:.)"'1; ~~" ~'" ~~'" L' ~

0,'

..~~" I.~"", ~, 1 ROTARY DRI LLS Y L : O.OJ)(X)O.972 "'5 :II' o.on(x)O.lJ87 vf: :r O,Olt6(X)O.860 1,000 ~ x !. 100,DOO 10 0.1 10

METRIC TONS PER DAY X 103

3.1.2.1. DRILL AND BLAST

'"

'"

1", -11.

3.1.2.2. EXCAVATION, LOAD AND HAUL

-ORE

The curves are presented in three parts

covering

a

variety of excavation methods

and encompassing

a

range from 100 to

100,000 tid. The following

distrihution applies to all equipment in this section:

EQUIPMENT OPERATING COST DISTRIBUTION

nESCRIPTIOH REPAIR FUEL TIRES

PARTS f. LUBE

Shovels, ElectriC 947- 67.*

Shovels, Diesel 84"- 16r.

Rear Dump Trucks 187- 377- 45"

Crawler Dozers 70'7. 307.

Locomoti ves, Elect. 89'7. 1 U~*

Locomoti ves, Diesel 46

r.

54~

Other Equipnlent 3 n 32" 35~

* Where electric powered equipment is

used. supply curve is for electric power only.

Curvp 3.1.2.1.1. covers from 100 to

10,000 tid of ore using front-end

loaders and trucks. Th~ loaders range

in si7.p from 1 cubic yard for the small

mines to 6 cubic yards for the larger

mines. The truck size varies from 10 to

35 US tons. The curves reflect an

average one-way haul of 750 m on an B~

grade from a pit 60 m in ~epth. To

determine costs for varying length haul

or depth of pit, multiply the costs

obtained fro~ the curves by the

following factors: Labor Factor,

F

=

0.155(R)o.030(L)o.Z~3

Equipment Operation Factor,

F

=

0.080(R)o.O~7(L)o.3S3

Wh ere:

r

=

Factor

R

=

Depth of Pit in ~ (- or

or.

grade,

R=1.0)

L = Length of Haul in m

For a typic~l front-end loader and truck

oper~tion. the labor cost is based on a

composite crew having an average labor

rate of $8.15 per worker-hour with a

loadpr operator at SP.19 and truck

driver at $7.65.

Fquipment oreratinq t ru cr. oper a tJon: load€·rs

Pear rump Trucks

costs for loader and

15.8~

Crawler Dozers

Rubber Tired Support

22. 7~

19.7'7.

Curve 3.1.2.2.1. covers mines produclnQ

fro~ 8,000 to 100,000

tId

of are. The

loading units are electric shovels

ranQinq in size from 5 to 15 cubic yar~s

and average 10 cubic yards. Rear dump

trucks from 35 to 100 US tons are the

main haulin9 units, with the average

size of all trucks at 85 US tons. The

ratio of trucks to loading units

averaoes 6 to 1. The curves are based

on an average one-way haul of 2.000 m on

an 81< grade from a pit 120 m in depth.

To determine costs for varying lengths

of haul or depth of pit, multiply the

costs obtained from the curves by the

following factors: Labor Factor,

F

=

0.1173(R)o.030(L)o.Z63

Equipment Operation Factor,

F

=

0.0546(P)o.O_7(L)o.353

Where:

F

=

Fa.ctor

R

=

Depth of Pit in m (- or 07. grade,

R=1.0)

L

=

Length of Haul in m

For a typical electric shovel and truck

operation the labor cost is based on a

composite crew having an average rate of

$8.10 'per worker-hour with 8 shovel

operator at S8.30 and truck driver at

$8.05.

Equipment operating truck operation: Shovels

Rear Dump Trucks Crawler DozFrs

Rubber Tired Support

costs for shovel and 8.5%

70.0" 11.0% 10.5%

To determine the cost of a drag line

operation loading to trucks. use the

values obtained from the second curve

(Electric Shovels and Trucks). .Adjust

the values by increasing each curve

component 25r. and combine equipment

operation and supplies curves to account

for substitution of diesel fuel for

electric power. (Note: supplies values

are for 100~ electric power.)

For draqlines excavating and casting

ore. use data and values obtained from

Section 3.1.1.3. (Excavation. Load and

Haul - Overburden and Waste).

1",0" ELECTRI C SHOVELS

,

AND TRUCKS

_"

'L • o''',O(X)O.II. I Vs • t.Ot/(.)o.n7 ~. _I v •• 0.22SC.)0,,,6 ! ',IOO! x.! 100,000

I-V

~~.~~~

10,000

FRONT ~ND LOADERS AJlD TRUCKS ;:."'/

./

q~

r-

",

..

TL • n.60eX)O.S03

Ih

v~04

~ 'fe- .... oex)O.599 . / LOO ~ x,j to,ooo

V-I

~

:/

'"

. / / ' . / .:

§

1,000 """"0"/ ","'/

r.

~,

!r

./ _,,0 ~t."'i-" ",<$ ~q

vi'"

+-t.",/

V

~

t.<X

V

/ 100 0.1 10

METRIC TONS PER. DAY X 10 3

./

V

3.1.2.2.1. EXCAVATION, LOAD AND HAUL

TRUCK HAULAGE

/

100

Curv~ 3.1.2.2.2. is for mines producing

from 20.000 to 100,000 tId usi09

electric shovels with trains for

hauling. 7he electric shovels range in

size from 6 to 10 cubic yards.

Locomotives range in size from from 85

to 140 OS tons and handle seven to

eleven 60 to 80 US ton rail cars on

hauls avera~ing 8.BOO m on a +3l grade

from a pit 240 m in depth. To determin~

costs for varyinQ lengths of haul or

depth of pit. multiply the costs

obtained from the curves by the

following factors: Labor Factor.

F : 0.005S(1)o.s59(G)z.75o Equipment Operation Factor,

F

=

0.0017(1)o.700(G)1.300

Where:

F

=

FActor

L

=

Length cf Haul in m

G : Grade. defined as 1.0±(r.grade/100)

For a typical electric shovel and train

operation, the labor cost is based on a

composite crew set up accordinq to the

size and nature of the operation with a

locomotive operator at $8.20 and

brakeman at $7.80 per worker-hour. The

train operation is based on thp use of

diesel locomotives. When electric

operation cost by 197 and increase supplies by the same dollar amount.

fquipment o~erating costs for shovel and

rail operation: Shovels

tocomotives Muck Cars

Rubber Tirec Support

19.9f. 34.57 13.67-32.0';

",.n

1 •• 00. .:

8

I •••• 100 I. I I

ELeCTRI C SHOVELS AND TRAINS

YL 11 1,216()()··125 Ys 1: 0.203(X)0.791 Y f • O.I51(X)',·15 20,000 .! x ! 100.GOO

-

~O~_---T

v-~\Ol' -."" o,t..""

--

"",,~

----

~'ll'- F-.""..,....,...",.

--\..\t.S c;IJ':!. ...

----

~-

-~-10-"

NETRIC TONS PER DAY X la'

--.--

..

110

3.1.2.2.2. EXC~VATION,

LOAD AND HAUL

RAIL HAULAGE

3.1.2.3.

DREDGING

The curves for dredging cover bucket

line dredges which are excavating and

processing free gold and platinu ••

These operations normally work 24 hours

per day with cleanup of metals and

repair performed 00 one or two shifts of

the week.

The labor cost for a typical dredging

operation js based on an average labor

rate of $7.47 per worker-hour with

winchmen at $8.10, mechanics $7.95 and

laborers $6.91.

The supply curve consists of electric

power only.

Equipment operation costs consist of 95~

repair parts aort 570 lubrication.

For cutter head dredaino, increase the

supply curve by 357. and increase

equipment operation 100~. 10,0" 1,000 "'

..

L .:

..

8

/ ' "

",'"

'"

'"

v'" ",'"

_",,,,,,,

100 I

...

...

...

V

~ ... ", 1--'"

"0"'",,

""

...

...

." ",'> f~+ ~~~ ....

,

~qq",~~~.,. :11/o~ + ....

"'''':~

, , / /.~, '" ","'",0: ",'" Yl. =- 16,58(X)0.522 Ys = O.'ltl(X)O.I7J Y E IE O. U2(X)O •• 56 1,,000 .! x.! 20,,000 10

CUBIC METERS PER DAY X 103

3.1.2.3. DREDGING

3.1.3.

RESTORATION DURING PRODUCTION

I I '

Permits are generally required prior to

disturbing the qround surface.

Typically, the permit specifies that the

area must ~e restored, hectare for

hectare, to approyimately the original

contours and planted with native plants

and trees. On large open pit mines

where restoration to the original

contours would not be practical, topsoil and plantin~ g~nerally woulrl be required

on the slcpes. It is estimated that a

restoration proQrarn for an open pit

operation would range from $5,000 to

~12,500 per surface hectare depending on the requirements.

3.1.4.

GENERAL OPERATIOHS

3.1.4.1.

GENERAL ITE"S

-COBBUNIC1TIONS, SANITATION,

HOUSEKEEPING, FIRE PROTECTION

ELECTRICAL

AID

This set of curves covers the cost for

the general operations custo.arily

reQuired in surface mining operations.

Examples of services provirled are

plumbing, miscellaneous repairs, rough