Borehole (Slurry) Mining of Coal, Uraniferous Sandstone, Oil Sands, and Phosphate Ore
Borehole (Slurry) Mining of Coal, Uraniferous Sandstone, Oil Sands, and Phosphate Ore
: SEP 1 21994
• ~8UREAUOF;' .
I. 315 MON'TOOMEt-. ( ,. 'Ie.
SfIOKAHE. WA 9&207
By George A. Savanick
By George A. Savanick
BUREAU OF MINES
David S. Brown, Acting Director
Library of Congress Cataloging in Publication Data:
Bibliography: p.39.
l. Borehole mining. I. Title. II. Series: Report of investigations (United States. Bureau of
Mines) ; 910l.
..
CONTENTS
Abs tract. • • . . . . . • • . • • • • . . . . . . . . . . . . • • . . . . . . . • . . . . . . . . . . . . . . . . . • . . •• . • . . . . . . . • • • 1
Introduction................................................................... 2
Borehole -mining tools.......................................................... 2
Bureau of Mines borehole-mining system......................................... 3
Coal mining.................................................................. 8
Uranium mining............................................................... 9
Oil-sand mining. ••. .•.•••...•..........• •...•..•........•........•........ ••• 11
Phosphate mining............................................................. 16
Backfilling of borehole-rnined cavities ......•.... , . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27
Economics of phosphate minin g. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28
Economics of uranium mining.................................................... 32
Economics of oil-sand mining................................................... 34
Summary and conclusions........................................................ 38
Ref erences. • . • • •• • . • •• • • • • . • . . . . . • . . . . . . • . . . • • . . . . . . . • . • . . . . . . . • . . . • . . . . . . . . . • • 39
ILLUSTRATIONS
1. Bureau of Mines borehole-mining system.................................... 4
2. Slurry discharge.......................................................... 5
3. Borehole mining tool suspended from crane................................. 5
4. Cutaway view of three-passage swivel...................................... 6
5. Cutaway view of kelly section............................................. 6
6. Mining section............................................................ 6
7. Internal configuration of mining section.................................. 7
8. Cavity produced during borehole mining.................................... 10
9. Survey grid system................................................ ..•.••••• 16
10. Contour map of borehole 1 s i t e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
11. Contour map of borehole 2 s i t e . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
12. Phosphate ore deposited at outlet of mining tool.......................... 19
13. Phosphate production in borehole 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20
14. Phosphate production in borehole 2 ••.•••••.•.•••••••••••••••• ~............ 20
15. Phosphate production in borehole 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21
16. Generalized columnar section showing monitored zones and geologic units... 22
17. Hydrographs of well A3 showing first and second test periods.............. 23
18. Location and generalized configuration of test site ••••.•• / . . . . . . . . . . . . . . . 26
19. Borehole cavi ty partially backfilled...................................... 27
20. Schematic of backfilling apparatus........................................ 28
21. Mining cost sensitivity using submerged cutting jet....................... 32
22. Uranium mining: effect of type of ore body on profitability.............. 33
23. Oil-sand mining: return on investment versus cavity radius............... 37
24. Oil-sand mining: return on investment versus ore thickness............... 37
25. Oil-sand mining: return on investment versus overburden thickness........ 37
26. Oil-sand mining: return on investment versus ore grade................... 37
27. Oil-sand mining: return on inves tment versus mining rate................. 38
TABLES
1. Summary of 4-h coal mlnlng test with 520-hp water jet..................... 9
2. Summary of 1979 oil-sand operations, Kern County, CA...................... 12
3. Operating parameters for 1979 oil-sand mining, Kern County, CA............ 12
4. Water sample analyses before and during oil-sand mining................... 13
5. Elevation surverys before, during, and after oil-sand mining.............. 14
6. Water-quality data for well AI............................................ 24
7. Water-quality data for well B l . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24
ii
TABLES--Continued
J
BOREHOLE (SLUR RY) MINING OF COAL, URANIF EROUS SANDSTONE,
OIL SANDS, AND PHOSPHATE ORE
By George A. Savanick 1
ABSTRACT
1supe rvisory phy sical sci e ntist, Twin Citie s Res e a r ch Cente r, Bureau of Mine s,
Minneapoli s , MN.
-
2
INTRODUCTION
Borehole mining, also known as slurry fragmented by the water jet is brought to
mlnlng, is a process in which a tool in- the surface in slurry form and thus is
corporating a water-jet cutting system ideally suited for low-cost pipeline
and a downhole slurry pumping system are transport. Borehole mining is selective
used to mine minerals through a single and can extract deposits that are small
borehole drilled from the surface to the or erratically mineralized, thereby
buried mineralized rock. Water jets from broadening the resource base. This se-
the mining tool erode the ore to form a lectivity allows the ore to be extracted
slurry. The slurry flows into the inlet without disturbing the country rock,
of a pump at the base of the tool. The thereby avoiding dilution and yielding a
material is lifted to the surface in a clean product. Crushing and grinding
form suitable for pipeline transfer to a costs would be minimal since the ore is
mill or processing plant. reduced to grain size by the jet stream.
Borehole mining, as defined by this The slurries would be an ideal feed for
paper, appears to be a likely prospect onsite milling operations. Tailings from
for the near future. It offers a number the processing plant operations could be
of important advantages over conventional pumped into the mined-out caverns to con-
open pit and underground mining methods, trol subsidence and reduce waste disposal
and it can access mineral deposits that problems.
presently are not mined because of tech- This report presents the results of the
nical or economic difficulties. This Bureau of Mines borehole mining research
method can achieve essentially immediate conducted from 1974 to 1980. The report
production because there is no need to first discusses BMT's developed and
drive openings to and in a proved ore tested prior to the development of the
body to prepare it for mining; in con- Bureau of Mines BMT. Then the design of
trast, conventional mining methods re- then ureau oC M1.ne s BMT is described.
quire from 3 to 5 yr before production Results of field experiments follow with
and return on investment can be expected. separate sections on the mining of coal,
The fragmentation and transportation sys- uraniferous sandstone, oil sands, and
tems are incorporated into a . single ma- phosphate ore. The report presents a
chine that is remotely operated from the discussion of reclamation of borehole-
surface by a two- or three-person crew, mined land, including a description of
th~s eliminating health and safety prob- cavity surveying and backfilling methods.
lems inherent to underground mining. The The report concludes with a discussion of
environmental disturbance is minimal and the economics of borehole mining of phos-
short term; no overburden is removed, phate, uranium ore and oil sands.
an subsidence can be avoided. Ore
BOREHOLE-MINING TOOLS
The earliest patent for a tool that Patents on similar BMT's were issued to
used a water jet to fragment rock adja- Aston in 1950 (2), Quick in 1955 (3),
cent to a borehole and a downhole slurry Fly in 1964 (4),- Pfefferle in 1969 (l),
pump to lift the broken ore to the sur- Wennenborg i; 1973 (~), Archibald in
face was issued to Clayton in 1932 (~).7 1974 (l), and Brunelle in 1977 (~).
Fly's apparatus (~) was built and used to
2Underlined numbers in parentheses re- excavate sandstones, limestones, and
fer to items in the list of references at shales to a maximum depth of 350 ft.
the end of this report. Mining rates of 1 yd 3 /min were achieved,
j
3
and cavities were excavated to a lateral The apparatus described in the Archi-
distance of 30 ft from the borehole. The bald patent was built by Marconaflo, Inc.
apparatus had two sidewall nozzles oper- (lQ), and used to mine uraniferous sand-
ated at 800 lbf/in 2 and 400 gpm to form stones and tar sands on an experimental
the water jets. The slurry was caused to basis. The jet-cutting unit consists of
flow into the intake of a downhole jet a single nozzle and high-pressure piping
pump which hoisted it to the surface. that rides on a vertical rail attached to
The jet pump was operated at about the main body of the device. This rail
800 lbf/in 2 and 500 gpm. Jets were also allows the nozzle to move independently
formed by forcing water through the water of the slurry pump; the nozzle could be
courses of a tricone rock bit attached to slid up and down as well as rotated 180 0
the base of the tool. These jets kept about a vertical axis. The vertical mo-
the slurry in suspension so that it could tion allows cutting to occur at various
be taken into the downhole slurry pump. horizons without lifting or dropping the
This tool used a single, pressurized wa- entire device, and it lets the intake of
ter supply to operate the sidewall jets, the slurry pump to be cleared of block-
the pump, and the tricone jets. ages by the cutting jet. The cutting jet
The apparatus described in the Wennen- is operated at 400 to 500 lbf/in 2 and 150
borg patent was built by FMC Corp. and to 170 gpm.
tested in phosphate ore in eastern North The slurry-pumping system contains a
Carolina. This device uses a high- pump mechanically driven from the surface
volume, low-pressure water jet to slur- and 20-ft-long sections containing a
rify the ore and an eductor to lift the drive shaft and slurry conduits. The de-
slurry to the surface. Its most novel vice operated in a 30-in-diam borehole
aspect is that it provides a method for and produced 30- to 45-pct solids in the
drilling into, as well as mining, a de- slurry. It was tested successfully by
posit of granular ore. All previous mining a uraniferous sandstone from a
BMT's required a predrilled, cased bore- roll - front deposit in the Gas Hills of
hole. The Wennenborg device is designed Wyoming from a depth of 180 ft and by
for mining unconsolidated, easily drilled mining tar sands from a depth of 350 ft
sediments, such as North Carolina in the McKittrick oilfield near
phosphates. Bakersfield, CA.
The Bureau of Mines contracted with slurrifies ores. The slurry is drawn
Flow Industries, Inc., to design, fabri- into the inlet of an eductor and lifted
cate, and test a new and unique BMT in to the surface where it is metered and
1974 (12). The Bureau of Mines BMT has deposited into a slurry discharge tank
an eductor for a downhole slurry pump, (fig. 2). The ore settles in the tank
whereas mechanically driven slurry pumps while the water overflows into a pond,
were used in the Marconaflo equipment. which is the source of water for pumps
It contained separate conduits for the that supply the cutting jet and the
eductor drive water and the cutting jet eductor.
water, whereas the FMC and the Fly sys- The BMT, which is operated while sus-
tems used a single conduit. pended from a crane (fig. 3), is in the
The Bureau's system, shown schematical- form of a 12-in-diam cylinder capped with
ly in figure 1, is composed of the BMT a three-passage swivel. The cylinder is
suspended from a crane in a 16-in-diam composed of a kelly section, a series of
cased borehole. The BMT generates a standard sections, and a mining section.
high-velocity water jet that erodes and
4
Ore pile
. r""~_~-
.,.--- o---..".."",,--..--'--~~----"" ---
Slurry discharge sumps (2)
Culling
nozzle
Borehole cavity
The cutaway view of the three-passage long and 12-in in diameter with two 0.75-
swivel is shown in figure 4. The outer in webs welded along its length. The
part is stationary and is supported by a webs key into a rotary turntable, thereby
crane. The swivel core rotates relative transmitting torque to the BMT. This
to the exterior while simultaneously turntable is driven by hydraulic motor
passing the three pressurized streams: and governed by a hydraulic controls and
the water supply to the cutting nozzle, limit switches, which allows for rotary
the drive water to the eductor pump, and speeds of 0 to 20 rpm and for automatic
the slurry output. The swivel is con- oscillation for any interval from 0° to
nected to a kelly section by eight bolts. 360°.
The kelly section is a cylinder 22 ft
5
r- CO<ld it f er
coot sl " rry
,-: - - --vL22' - - -- -- -- .
- C<>odu ,t fo r wate r
cw. tlng Jet
MINING SECTION
FIGURE 7.-lnternal configuration of mining section.
8
from nozzle entrance to the outlet ori- miles south of Wilkeson, WA. This site
fice. Upstream of the nozzle is a short- contained a seam of bituminous coal
turn elbow with flow-splitting plates to 17.75-ft thick, dipping at 42°. Three
guide the flow around the elbow with re- vertical boreholes (two shallow and one
duced flow disturbances. deep) were drilled through the dipping
The slurry-pumping module contains the coal seam and cased to the hanging wall.
educt or (jet pump) and a conical spade. The two shallow boreholes (25 and 35 ft)
The jet pump has a nozzle that generates were used to conduct preliminary tests
the high-velocity water jet. The venturi designed to optimize mining procedures to
effect caused by the discharge of the jet be followed during a 4-h production test
draws slurry into the pump through in the deep (88 ft) borehole. The pre-
screened intake ports. The slurry mixes liminary tests results were as follows:
with the drive water in the throat of the
jet pump and enters a diffuser where it 1. The cutting jet was more efficient
acquires the pressure to lift it to the at cutting coal then the slurry system
surface. The intake ports are screened was at removing the coal from the bore-
to prevent oversize material from block- hole. Thus, the maximum mining rate was
ing the pump. Should the material block limited by the slurry-pumping rate.
the inlet, a fast-acting valve ("back- 2. A cutting radius of 10 ft was at-
flush" valve), is closed in the slurry tainable with the 4,500-lbf/in 2 , 100-gpm
discharge line at the surface, forcing jets.
the jet-pump drive water to flow out the 3. Shale tended to clog the jet pump
pump intake and clear away the blockage. because it breaks into acicular particles
The conical spade, which is bolted to the that lodge between the nozzle and the
base of the mining section, facilitates sidewall of the jet pump.
entry into cuttings that fill the void 4. The tool had to be moved a vertical
caused when the BMT is raised. A 50-gpm dist;.E!l~e g..f LLt_ b~..!ween_ intervals of
water jet issues downward from the center cutting, and the best cutting sequence
of the spade and agitates the cuttings was from the bottom to the top of the
below, thereby helping the spade enter seam. In a commercial mining operation,
the muck pile. a dipping seam would be mined from a
Flow Industries, Inc., had independent- series of vertical boreholes intersecting
ly produced a BMT based on the Bureau of the seam at different depths. Pillars
~ines design, but it has some notable would be left between boreholes so that
design changes. The Bureau and Flow In- the slurry would not run down the dip in-
dustries products are similar in that to the cavity formed earlier.
both are composed of 20-ft lengths of 5. The best traverse rate of the
12.75-in-diam cylinders connected by water jet across the coal face was 4 to
flanges, and the slurry pumps have the 6 in/so
same design. They differ in that the
cutting nozzle of the Flow Industries A production rate test was conducted in
product is controlled independently from the deep borehole, which was lined with
the remainder of the tool, similar to the 16-in steel casing. The parameters of
Marconaflo BMT. This permits water-jet the cutting jet were similar to those
cutting to be performed anywhere along used in the preliminary test except that
the length of the borehole while the pump a single, high--discharge jet
is low in the sump, where the slurry den- (4,500 lbf/in 2 , 200 gpm) was used to in-
sity is highest. crease the effective cutting range to
15 ft. Two methods of measuring the pro-
COAL MINING duction were employed. In one, a density
meter was placed in the slurry output
Flow Industries, under a Bureau of line in s erie s with a flow meter, and the
Mines contract (12), conducted borehole output of the t wo wa s recor ded elec t ron-
mining operations-rn 1975-76 at a site 3 ically. The mi ning rate was obtained by
9
Measurement e rate, st
Slurry density meter •••••• 8.3
Volume collected:
Intermediate pools •••••• 25.2 6.4
Sett pond ••••••••••• 6.3 1.6
Total ••••.••••••••••• 31.5 8.0
int the product of the flow rate The Bureau of Mines cooperated with
and the slurry density measurements. Ro Mountain Energy (RME), at
That value was mUltiplied by the mining its Nine-Mile Lake site, Natrona County,
time rate to obtain the amount of coal WY, in a borehole-mining test. R~1E pre-
produced. The alternative method in- pared the site, drilled a water supply
volved the volume of coal col- well, constructed a and lined it
lected in two portable pools and with , and drilled three 16-
pond into which the slurry in-ID cased boreholes to a depth of
was During this test, 100 ft into the sandstone ore
92,600 gal of slurry was at an av- body. Flow Industries, under contract to
erage rate of 386 gpm. The slurry aver- the Bureau of Mines 13 modified the
8.7 wt pet solids (6.4 vol pct) and tool used for coal at Wilkeson, WA,
had an average ic weight of site and conducted the sandstone
64.0 Ib/ft 3 • operations. A shallow deposit at Nine-
The results of the 4-h production test Mile Lake was chosen for the test because
are summarized in table 1, which shows the s pump is limited to differen-
that both methods of estimating produc- tial lifts of 200 ft. The modifications
tion rate yielded 8 st/h. This rate, included fitt of the BMT with a turn-
with the fact that no mechanical vane-nozzle ensemble to pass
failures of the BMT occurred the 300 gpm at 2,000 Ibf/in 2 , the flow con-
field program, indicates that it is tech- ditions chosen for efficient erosion of
ni feasible to mine coal the sandstone.
from the surface through a borehole. It During mining operations, approximately
was concluded, however, that the 940 st of ore was mined from ths of 75
tion (8 st/h) rate was too low for com- to 100 ft at an average rate of 8 st/h
mercial feasibi from standoff distances as
25 ft. densities from
URANIUM tHNING o to 46 wt with an average of 700
determinations being 7.2 wt pct. The
The successful coal mining tests also showed the fol
led to the application of borehole tech-
nology to mining uraniferous sandstones. 1. The average jet-cutt rate was
Uranium sands are considered to be a about 16 s at 520 hp. The s pump
like prospect for borehole be- normally works at a lower rate because
cause (1) the ore has a high unit value, the tool moves vertical as one piece,
(2) the sandstones can be cut by low- the lift the pump out of the slur-
pressure (1,000- to 3,000-lbf 2) water ry sump during part of the cycle.
jets, and (3) many deposits are shallow, The mining rate could be made equal to
small, irregularly and isolated; the cutting rate if the cutting jet
these its cannot be mined conven- cou}d be moved ly from the
tional methods, but are amenable to the pump.
selective capabilities of the borehole
system.
10
Typi~L _ ~l!!l~
value
Cutting jet:
Pressure ••••••••••••••••••••••••••••• lbf/in 2 •• 400 100-2,500
Flow rate •••••••••••••••.•••••••••••••••• gpm •• 300 100-500
Hydraulic power ••••••••••••••••••••••••••• hp •• 50 10- 700
Nozzle diameter ••••••••••••••••••••••••••• in •• 0.62 0.62-0.75
Line diameter ••••••••••••••••••••••••••••• in •• 1.70 NAp
Rotation rate •••••••••••••••••••••••••••• rpm •• 10 4-15
Traverse rate ••••••••••••••••••••••••••• in/s •• 60 2-120
Vertical cutting increment •••••••••••••••• in •• 2 NAp
Angle of cutting arc ••••••••••••••••••••• deg •• 180 0-360
Depth ••••••••••••••••••••••••••••••••••••• ft •• 130 110- 150
Jet pump:
Pressure ••••••••••••••••••••••••••••• 1 bf /i n 2 •• 1,000 450-1,500
Flow rate •••••••••••••••••••••••••••••••• gpm •• 500 350-650
Agitation jet flow rate •••••••••••••••••• gpm •• 90 60-110
Hydraulic power ••••••••••••••••••••••••••• hp •• 300 100-600
Nozzle diameter ••••••••••••••••••••••••••• in •• 0.70 NAp
Agitation jet diameter •••••••••••••••••••• in .• 188 NAp
Throat diameter ••••••••••••••••••••••••••• in •• 2.50 2.5-2.9
Nozzle line diameter, effective ••••••••••• in •• 2.5 NAp
Secondary flow:
Rate ••••••••••••••••••••••••••••••••••••• gpm •• 400 300-600
Solids •••••••••••••••••••••••••••••••• wt pct •• 15 0- 35
Specific gravity •••••••••••••••••••••••••••••• 1.1 1.0-1.3
Slurry flow:
Rate ••••••••••••••••••••••••••••••••••••• gpm •• 800 600-1,100
Line diameter ••••••••••••••••••••••••••••• in •• 3.75 NAp
Solids ••••••••••••••••••••••••••••••• wt pct •• 7 0- 18
Specific gravity ••••••••••••••••••••.•••.••••• 1. 05 1. 0-1. 15
Mining rate ............................ st/h •• 15 0- 45
NAp Not app11cable.
TABLE 4. - Water sample analyses before and during oil-sand mining
Sample date, 1979 7/26 8/7 8/13 8/17 8/18 8/20 8/22 8/24
Cations, mg/L:
Arsenic .......................•..... <0.01 0.01 <0.01 <0.01 <0.01 <0.01 <0.01 0.01
Barium .•..•••••...••......•••....... <1.0 <1.0 3.6 <1.0 <1.0 <1.0 <1.0 <1.0
Cadmi urn ••••••••••••••••••••••••••••• <0.01 0.02 ND 0.01 0.01 0.01 0.01 0.01
Calcium ••.•..••....•..••.....••..•.. 42 2.8 1,740 35 35 39 57 56
Chromium •••••••••..•••••••..•••••••. 0.05 <0.01 0.05 0.01 0.01 0.01 <0.01 <0.01
Chromium, hexavalent •••••••••••••••• <0.01 ND ND <0.01 <0.01 <0.01 <0.01 <0.01
Copper •••••••••••••••••••••••••••••• 0.01 0.18 0.06 0.01 0.02 0.01 0.02 <0.01
Ir on .•.••..•.•••••••••••••..•...••.. 0.06 0.58 0.27 0.16 0.16 0.12 0.15 0.16
Lead •••••••••••••••••••••••••••••••• <0.01 <0.01 ND <0.01 <0.01 <0.01 <0.01 <0.01
Magnesium •.•...•.•........•.....••.. 18 2.4 0.03 22 25 25 42 73
Manganese ••••••••••••••••••••••••••• 0.01 0.01 0.03 0.03 0.03 0.05 0.21 0.06
Mercury ••••••••••••••••••••••••••••• 0.0002 ND <0.0002 <0.0002 <0.0002 <0.0002 <0.0002 <0.0002
Potassium .............••.•........•. 55 147 101 62 62 66 64 62
Seleni urn •.•.••••.....•.•..•........• <0.01 ND ND <0.01 <0.01 <0.01 <0.01 <0.01
Silver . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . <0.01 <0.01 0.04 <0.01 <0.01 <0.01 <0.01 <0.01
Sodium •.•...•..........•.•....•..... 1,590 3,250 350 1,750 1,750 1,790 1,750 1,685
Z i ne . . . . . . . . . . . . . . . . . . . . . . . • . . . . . . . . 0.02 0.06 0.04 0.04 0.03 0.03 0.05 0.02
Anions, mg/L:
Bicarbonate ••••••••••••••••••••••••• 1,088 925.1 0 876.6 913 1,124.3 1,008.0 984
Carbonate ••••••••••••••••••••••••••• 0 644.1 54.5 139.7 124.4 0 0 0
Chloride •.•.•.....•..•.•......•..... 1,897.7 3,600.2 3,168.3 2,028.4 2,067.4 2,124.0 2,109.8 2,102.8
Floride •.....•...........•.•........ 2.6 1.0 0.2 1.9 2.0 1.9 1.8 1.8
Phosphate ••••••••••••••••••••••••••• 30.0 ND ND 1.2 1.5 1.7 0.8 0.9
Sulf ate ..................•.......••. 145 330 59 153 163 190 390 380
Color 1 •••••••••••••••••••••••••••••••• 250 300 2 200 250 200 150 150
Electrical conductivity ••••••• m~S/cm •• 6,820 11,780 9,890 6,590 5,650 7,540 7,772 7,540
Hardness 2 •••.•.•...............•...... 179.2 16.9 <4,353.6 178.1 178.1 200.5 315.5 440.5
MBAS 3 •.....•••.......................• 0.5 ND ND 0.7 0.7 0.6 0.6 0.7
Odor threshold 4 ••••••••••••••••••••••• 1 5 2 5 5 5 4 4
pH •••••••••••••••••••••••••••••••••••• 8.0 9.4 11.6 8.3 8.2 8.1 8.1 8.1
Total dissolved solids •••••••••• mg/L •• 4,315 8,449 5,534 4,711 4,683 4,851 4,906 4,861
Total organic carbon •••••••••••• mg/L •• 13.8 ND ND 123.2 145.2 189.2 167.2 171.6
Turbidi ty 5•••••••••••••••••••••••••••• 8.4 1,000 3,000 700 700 600 2,400 2, ~OO
ND Not determ1ned, 1nsuff1c1ent sample to conduct analys1s.
lColor units. 2Milligrams per liter of CaC0 3 •
~ethylene blue active substance reported as milligrams per liter of linear alkylate sulfonate.
4Dilution to least perceptible odor.
5Nephelometric turbidity units (NTU). .......
w
14
The top of an oil well casing was used average land subsidence of one-quarter to
as a datum with an assumed elevation of three-eighths of an inch occurred as a
100 ft. The project site (fig. 9) was result of the mining. This subsidence
sUJdivided into a grid, and the relative increased with time and decreased with
elevation of each of the grid points was distance from the center of the
measured weekly. Table 5 shows that an boreholes.
TABLE 5. - Elevation surveys before, during, and after oil-sand mining, feet
TABLE 5. - Elevation surveys before, during, and after oil-sand mining, feet - -Con.
c G
N
Borehole I
T
A If------{
/
LEGEND
- - - A Survey
o 15 30
Scole, fl
rank)J H
D
FIGURE g.-Survey grid system .
Contour maps of the subsidence around because the ore-bearing zone is deep
the two boreholes are given in figures 10 (250 ft) and is in an environmentally
and i1. The distinct depressions shown sensitive setting. The Bureau of Mines
in the south portion of figure 10 are im- and Flow Industries, in cooperation with
prints of the outrigger of the crane that the Agrico Mining Co., conducted borehole
suspended the mining tool in the hole. phosphate mining tests in St. Johns
This field test showed that borehole County, near St. Augustine, FL (16).
oil-sand mining is technically feasible Agrico provided the mining site and Site
and that the environmental impacts are services; the Bureau of Mines, through a
minimal. contract with Flow Industries, provided
the mining equipment and the field test
PHOSPHATE MINING crew. The purpose of the test was to
determine if phosphate ore can be mined
St. Johns County in Northwest Florida economically in an environmentally com-
contains vast untapped deposits of high- patable manner with the Bureau of Mines
grade phosphate that are not amenable borehole mining system.
to conventional surface mining methods
17
LEGEND
Contour Interval{ - 0.01 It
O~iiiiiiiiiiiil5~~IO
Scale, ft
.01
0'
l(.
LEGEND
line 0.01 ft
Contour interval { _
__-
_
line 0.05 ft
o 5 10
Scale, ft
+.04
E
FIGURE 11.-Contour map of borehole 2 site.
19
60
..c Jetting
-
"-
I I)
50
in air
w
r- 40
«
a::
30 Roof
<.9 / - - - - Jet tin gun d er wa t er --+-+-~'t--+--------'\---------1 failed
Z
20
-z~
4-17 i4-18~ 4-21----1--
10
o 5 10 15 20 25
OPE RA TI NG TIME, h
FIGURE 13.-Phosphate product ion In borehole 1.
Cutting-jet pressure
lbf /in 2 •• 500-2,000 When the water was pumped from the cav-
Cutting-jet flow rate ity, the roof failed, indicating that the
gpm •• 500-750 water pressure had supported the roof.
Cutting-jet diam •••• in •• 0.475 and 0.966 However, this experiment indicated that
Jet pump pressure borehole phosphate mining in a submerged
lbf/in 2 •• 700-1,500 mode is technically feasible.
Jet pump flow rate Attempts to mine in an air-filled cav-
gpm •• 400-700 ity were made in borehole 2 (fig. 14),
Jet pump nozzle diam where mining was confined to a 30 0 arc
in •• 0.68 and 0.80 and a 330 0 pillar supported the roof.
Jet pump throat diam However, a roof failure occurred after
in •• 2.00 and 2.25 300 st of ore had been produced. From
Turntable speed •••• rpm •• 2-15 this test, it was concluded that (1) the
Mining arc ••••••••• deg •• 360 roof rock did not have sufficient
Mining depth •••••••• ft .. 232-253 strength to permit mining in an air
Vertical increment •• in •• 2-6 environment, and (2) any future mining
21
would require that the cavity be filled dec r ease, i n di c ati n g that th e s u bme r ge d
with water. jet had reached its maximum effective r a -
A third borehole tested an "air- dius. At this point, the ai r -sh i eld was
shielding concept" designed to combine activated, and an additional 137 st was
the need to have flooded conditions and mined at the rate of 25 st/h . The cavity
the advantages of mining in air. Under radius was about 18 ft, and no roof fail-
this concept, the water jet was in a ure had occurred when the mining stoppedo
shroud of compressed air; this allowed This experiment indicated that phosphate
cutting at longer standoff distances can be mined effectively in a flooded
while retaining the roof support and in- cavity and that air shielding substan-
creased pumping capability gained by tially increases water jet effectiveness
working under a hydrostatic head of while operating underwater.
water. The water-jet specifications for To monitor the effects of the mining
mining in borehole 3 were as follows: operation on the groundwater resources of
the area, the U.S. Geological Surve y de-
Specifi - signed and implemented a hydrologic data
Parameters cations collection network. Six monitoring
wells were constructed at various depths
Cutting-jet pressure above and below the phosphate zone (fig.
Ibf/in 2 •• 1,000-1,900 16). Water-level measurements and wate r -
Cutting-jet flow rate •• gpm •• 423-499 quality samples were collected befo r e , at
Cu tting-j et diam •••••••• i n •• 1. 00 periodic intervals during, and after the
Air-shield pressure mining operation. Continuous-pressure
Ibf/in 2 •• 250 recorders were installed in the wellheads
Air-shield flow rate of the two artesian wells to measure the
ft 3 /min •• 150 std water levels in the Floridan aquifer, be-
Air-shield nozzle opening low the phosphate zone, and in aquifers
in •• 0.030 immediately above the phosphate zone .
Jet pump pressure •• lbf/in 2 •• 490-1,000 The recorder in the artesian well abo ve
Jet pump flow rate ••••• gpm •• 432-491 the phosphate zone registered very la r ge
Jet pump nozzle diam •••• in •• 0.70 and sudden drops in pressure (f ig. 17)
Jet pump throat diam •••• in •• 2.00 when the roof failures occurred in bore-
Turntable speed •••••••• rpm •• 1.8 holes 1 and 2 when mining in ai r was
Mi ning arc ••••••••••••• deg •• 360 attempted. 3 No such pressure cha n ges
Mining depth •••••••••••• ft •• 235-249 were noted in the well of the Flo r idan
Vertical increment •••••• in •• 2-6 aquifer, indicating that no break occur-
red between the mining zone and the Flo r -
A total of 430 st was mined in this idan aquifer during the mining
borehole without actuating'the air shield operations.
in order to establish the baseline solids Water quality analyses were pe r fo~med
production (fig. 15). On August 30, the on samples taken at biweekly inte~vals
solids content of the slurry began to from the monitoring well network.
Analyses were perfo r med fo r majo r
Slart
60 air - shielded
culling jet 3In eigure 17, "NGVD of 1929" refers to
~ 50
~ 40 J+------Jettlng under waler
"National Geodetic Vertical Datum of
1929," which was derived from general
:i« 30 adjustments of the first-order level nets
It:
'"
of the united States and Canada. (It was
z 20
z formerly called "mean sea level . ") The
::1 1 0 / - - - - S - 2 7 - - + / - S - 2 S - t - - S - 2 9 - - + - S - 3 0 -
datum was derived from the average sea
o 10 15 20 25 level during many years at 26 tide sta-
OPERATING TIME. hours
tions along the Atlantic and Pacific
FIGURE 1S.-Phosphate production In borehole 3. Coasts and the Gulf of Mexico.
22
A6 A5 A4 A3 A2 A I Geologic Unit
o ~~~~~~~~~------------------~---------------.
~ ':. ', .> :: .:'. ;·i. ). ~~. ~ ~'. .. ':~ ' I
. . ,.
'. .';
-
~
~
:·A;..;,:;,...·
~ : -=- ' '':''''''.-'
~
- .··
';,-..: ·'-:'·.V Zone moni tored by
..:..,, ··.;- · .. "'well AS
"-------------1
o
z !-~r~~~. :
"::....... ' - ........ :-' .:.....~.. ":I-.'~
;- ',3~~~ ~~ Formation
(Confining bed)
« L....! :~:_: ............ '.-:' .....; ....: . : - •
......J 200 I'· / • •~ ; • • • . .,
.///0/.// /./0/
;: .. ./ • /0 / • Zone mon i tored by
o 1/ /0/ /./ / / /.
well A3
......J
W
•~
... ~,
.. ..
. -" -:. . . . . ' ....:... _.. .:....z: .
.. . -T'.. .. ~_ ....... . .. . .....:.,
.. ... :....:.
Mining zone
CD
monitored by well
A2
r I I I I I I I
I I I I I I I I
Zone monitored by
300 f-,-.L.....,--1J....1..,........,..1-,-1...........L.1-,-........
1+--T-i well AI Ocala
I I I
I I I J I I Limestone
I I I I I I I I
I I I I I I Floridan aquifer
I I I I I I I
I I I I I I
350 LL-I~~I~I __L-I~I__L-I~I~__________________~________________~
LEGEND
EJ
. .
,. •
~
p
.
. ..
,
~ Sand Phosphate
~
- - Clay
~ Limestone
B "'"
,..... ........
,,-.....
""' Shell ~ Dolomite
FIGURE 16.-Generalized columnar section showing monitored zones and geologic units.
23
39
2 d test
37
--
! st test
en 35
N
en
I.J..
o
~ 33
(!)
z
o
~
w 31
>
~
<t
...J
W
0:: 29
...J
w
>
W
...J
0:: 27
w
~
<t
3:
25
Lowest measurement -49.5 ff
23
February Marcb April May June July
FIGURE 17.-Hydrographs of well A3 showing first and second test periods.
Samp le da te, 1980 2/12 4/28 5/12 5/30 6/11 6/27 7/11 7/27 11/10
Alkalinity ••••••••• mg/L as CaC0 3 •• 150 150 NA NA NA NA NA NA NA
Hardness ••••• total mg/L as CaC03" 320 330 310 310 320 330 320 330 310
Calcium, dissolved •••••••••• mg/L •• 75 76 71 70 72 75 71 75 69
Magnesium, dissolved •••••••• mg/L •• 31 35 32 32 33 34 34 34 32
Sodium, dissolved ••••••••••• mg/L •• 55 62 61 61 63 64 67 64 61
Potassium, dissolved •••••••• mg/L •• 3.0 3.0 2.5 2.7 2.9 2.9 3.1 2.9 3.0
Chloride, dissolved •••••••• mg/L •• 110 110 NA 110 110 120 110 120 110
Sulfate, dissolved •••••••••• mg/L •• 160 160 170 160 160 150 170 150 160
Fluoride, dissolved ••••••••• mg/L •• 0.9 1.0 0.9 1.0 0.9 0.9 0.9 0.9 1.0
Silica, dissolved ••••••••••• mg/L •• 27 28 26 26 27 27 27 27 27
Iron, dissolved ••••••••••••• ~m/L •• 0 30 NA NA NA NA NA NA NA
Strontium, dissolved •••••••• ~g/L •• 3,000 NA NA NA NA NA NA NA 2,900
Radiochemical analyses:
Uranium, dissolved ••• ~g/L as U•• 0.02 NAp NAp NAp NAp NAp NAp NAp 0.05
Radium-226 by RN ••••••••• pCi/L •• 0.46 NAp NAp NAp NAp NAp NAp NAp 0.58
NA Not available. NAp Not appl~cable.
Sample date, 1980 2/12 5/12 5/30 6/11 6/27 7/11 7/27 11/10 1
Alkali nity •••••••••••••• mg /L as CaC03" 180 NA NA NA NA NA NA 140
Hardness •••••••••• total mg/L as CaC0 3 •• 250 260 270 280 280 280 280 230
Calcium, dissolved ••••••••••••••• mg/L •• 54 56 60 60 61 61 61 50
Magnesium, dissolved ••••••••••••• mg/L •• 27 29 30 31 32 31 32 26
Sodium, dissolved •••••••••••••••• mg/L •• 54 53 50 52 53 47 53 61
Potassium, dissolved ••••••••••••• mg/L •• 6.8 6.4 6.3 6.5 6.3 6.2 6.3 6.5
Chloride, dissolved •••••••••••••• mg/L •• 38 54 55 54 71 55 71 39
Sulfate, dissolved ••••••••••••••• mg/L •• 150 170 160 170 160 160 160 150
Fluoride, dissolved •••••••••••••• mg/L •• 1.2 1.3 1.3 1.2 1.3 1.2 1.3 1.3
Silica, dissolved •••••••••••••••• mg/L •• 48 45 44 43 44 43 44 49
Iron dissolved ••••••••••••••••••• ~m/L •• 120 NA NA NA NA NA NA NA
Strontium, dissolved ••••••••••••• ~g/L •• 2,300 NA NA NA NA NA NA 2,200
Radiochemical analyses:
Uranium, dissolved •••••••• ~g/L as U•• 1.2 NAp NAp NAp NAp NAp NAp 0.30
Radium-226 by RN •••••••••••••• pCi/L •• 2.2 NAp NAp NAp NAp NAp NAp 3.1
NA Not ava~lable. NAp Not applicable.
lS amp l e taken from well A2, which was finished in phosphate zone.
Sample date, 1980 2/12 4/28 5/12 6/11 6/27 7/11 7/27 11/10
Alkalinity •••••••••••••••• mg/L as CaC0 3 •• 200 170 NA NA NA NA NA 93
Hardness ••••••••••• total mg/L as CaC03' • 150 140 150 L40 150 130 150 73
Calcium, dissolved ••••••••••••••••• mg/L •• 34 30 31 29 31 27 31 14
Magnesium, dissolved ••••••••••••••• mg/L •• 16 16 17 16 17 16 17 11
Sodium, dissolved •••••••••••••••••• mg/L •• 21 24 26 27 26 24 26 24
Potassium, dissolved ••••••••••••••• mg/L •• 5.0 4.8 4.8 4.6 4.9 5.0 4.9 5.0
Chloride, dissolved •••••••••••••••• mg/L •• 15 14 15 14 NA 14 24 14
Sulfate, dissolved ••••••••••••••••• mg/L •• 1.8 NA 2.0 2.7 NA 0.7 0.6 1.6
Fluoride, dissolved •••••••••••••••• mg/L •• 0.8 0.9 0.9 0.8 0.9 0.8 0.9 0.8
Silica, dissolved •••••••••••••••••• mg/L •• 28 NA 21 12 NA NA 6.4 6.9
Iron dissolved ••••••••••••••••••••• ~m/L •• 0 NA NA NA NA NA NA NA
Strontium, dissolved ••••••••••••••• ~g/L •• 720 NA NA NA NA NA NA 140
Radiochemi cal analyses:
Uranium dissolved ••••••.•••• ~g/L as U•. 0.01 NAp NAp NAp NAp NAp NAp 0.03
Radium-·226 by RN •••••••••••••••• pCi/L •• 0.39 NAp NAp NAp NAp NAp NAp O. 11
NA Not available. NAp Not applicable.
Sample date, 1980 2/12 4/28 5/12 6/11 6/27 7/11 7/27 11/10
Alkalinity •••••••••••••••• mg/L as CaC03" NA 190 NA NA NA NA NA 210
Hardness •••••••••••• total mg/L as CaC0 3 •• 190 170 180 170 180 180 180 180
Calcium, dissolved ••••••••••••••••• mg/L •• 60 54 55 53 57 57 57 55
Magnesium, dissolved ••••••••••••••• mg/L •• 9.6 9.7 10 10 10 10 10 9.8
Sodium, dissolved •••••••••••••••••• mg/L •• 11 12 13 14 13 12 13 11
Potassium, dissolved ••••••••••••••• mg/L •• 3.0 3.0 2.7 2.9 3. 1 3.2 3. 1 3. 1
Chloride, dissolved •••••••••••••••• mg/L •• 14 13 14 13 20 14 20 16
Sulfate, dissolved ••••••••••••••••• mg/L •• 0.4 0 NA NA 0.3 1. 1 0.3 1.6
Fluoride, dissolved •••••••••••••••• mg/L •• 0.4 0.4 0.4 0.4 0.4 0.4 0.4 0.4
Silica, dissolved •••••••••••••••••• mg/L •• NA 12 29 22 15 12 15 NA
Iron dissolved ••••••••••••••••••••• ~m/L •• 50 NA 10 NA NA NA NA NA
Strontium, dissolved ••••••••••••••• ~g/L •• 650 NA NA NA NA NA NA 620
Radiochemical analyses:
Uranium dissolved ••••••••••• ~g/L as U•• 0.02 NAp NAp NAp NAp NAp NAp 0.05
Radium-226 by RN •••••••••••••••• pGi/L •• 0.36 NAp NAp NAp NAp NAp NAp 0.25
NA Not available. NAp Not applicable.
FLORIDA
o 5 10
Scale, miles
Slurry pond 2
LEGEND
o AI Groundwater
monitor well N
~BI Mi ning well
6CI Cavity well
Slurry
pond I
o 10 20
Scale, ft
Surface subsidence and the presence of that technique. Figure 19 shows the cav-
tailings piles are the major potential ity half filled with backfilled sand.
adverse environmental impacts of borehole A 1 wt pct cement-sand mixture was in-
mining operations, Methods of mitigating troduced into a 4-in-ID pipe through a
these impacts have been investigated un- hopper, upstream of the centrifugal slur-
der a contract (17) with Flow Industries. ry pump (fig. 20). The outlet pipe from
Flow IndustrieS-tested three methods of the pump is connected via a loose
backfilling the cavities at the Nine-Mile victaulic coupling (which acted as a
Lake site with the sand produced during swivel) to a similar pipe terminated by a
previous borehole uranium mining opera- 4-in 10 elbow in the borehole. Slu~ry
tions. The project consisted of in- was injected at the rate of 350 gpm
tervals of backfilling followed by photo- through 4-in (10.2-cm) pipe rotating un-
graphic surveys to determine the der water in the cavity. Sand was back-
distribution of backfill in the hole. filled at the rate of 16 st/h.
The backfilling methods investigated in- Analysis of cores taken from the back-
cluded bulk dumping down the borehole, filled cavity after 6 months indicated
slurry jetting in air, and slurry jetting that adding 1 wt pct of cement to the
under water. Slurry jetting under water backfill did not increase the stability
was found to be the most effective of the backfill material. It is esti-
method. More than 90 pct of the sand mated that a 5 wt pct mix would be
removed from the cavity was returned by required.
Pond
Turn table
Production costs for borehole phosphate The parameters used in the mining
mining were estimated based on a hypo- cost analysis are listed in table 12.
thetical mining system operating at the Ore-body characteristics are based on the
Florida test site. No cost analyses were phosphate bed mined during the study.
made of the case when the cavity was The maximum radius of the underwater cav-
pumped free of water because this case ity is based on the use of a more power-
was found to be impractical. The cost ful unit than that used for the tests.
analyses were performed for a submerged The angle of repose refers to the slope
cutting jet in a flooded cavity. It is angle of loose ore on the floor of the
assumed that the mining company owns the cavity that cannot be recovered. The
mineral rights to the site, but not the drilling cost is based on using a small
surface rights, thus there are land costs drilling rig that produces only a
during mining.
29
Ore-body characteristics:
Cavity radius •....•••....•.••.•.....•••.•.•••••.•...••••••••.•.••• ft •• 30
Cavity separation ••..•••.•...•..••••••..•••.......•.•••...•••••••• ft .• 10
Ore thickness •••••••...••.••••.•••.•..•..•••••••••..•.•••.••••••.• ft •• 20
Ore depth ••..••••••••••••••••.....••.•......••.•••...••.•.•••••.•• ft .. 250
Ore grade •.•••.••.•••.•••.•••••• units of product per short ton mined .• 0.45
Ore density •••••••••..•...••••.•.......•••••.••••••••••••.••. lbf/ft 3 •• 88
Angle of repose ••.•••••.••••.••••••••••••••••.••••••.•••••••..... deg .• 3
Drilling cost per foot •.••••.••••••••••..•••....•.••..••••.•.......•.. $5.00
Capital costs, based on 20-yr mine life:
Working capitaL ••••••••••.••.•••••.•.. pct of annual operat i ng costs .• 20
Borehole mining system cost per unit .•.••.....•...••••...••••.•.••••.• $700,000
Miscellaneous mining equipment per unit •••.••••••••••••.•...•....•.••• $40,000
Process ing plant cos t to produce wet rock conc .•••••••••...••...•..••. $33,000,000
Miscellaneous capital costs •••••••••••••••••.••••••••..•...•••••••••.• $2,500,000
Operation data:
Mine capacity ••••••••••••••••••••••••••••••••••••••••••••.••••.• st/d •. 10,000
Average mining rate per unit ••••••••••••••.••••••••••••••••••••• st/h •. 50
Daily utilization ••••••••••••••••••••••••••••.••..•••••••.••••••••• h •• 24
Annual utilization •••••••••••••••••••••••••••••..•••.•.••.•.••.• days .• '330
Time needed to change boreholes ••••••••.•..•••••...•••••••••••••.•. h •. 4
Mining unit availability time •••••••••••••.•••••••••••••••••••••• pct •. 90
Annual site preparation cost •••••••••.••••••••••••••••••••••••••...••. $300,000
Maintenance supplies, annual cost per unit •••••••••••••.••.•••.•.•••.• $30,000
Annual health and safety cost ••••••••••••..•••...•..•.••••.••••.•••••. $190,000
Power, annual cost per unit ••••••••••••••••••••.•.••••••••••••••••••.• $600,000
Transportation cost per short ton mined •••.•••••••••••••••••••••••••.• $0.18
Plant operating cost per short ton mined ••.••••••.••.••••••••••••..••. $0.62
Waste disposal and reclamation cost per short ton mined •.••.••••••••.. $0.82
Mining labor:
Operating labor cost per unit-hour ••••••••••••.•.•...•••••••••••.•••.. $12.00
Ratio, support labor to operating labor •••••••••••••••••••••••••• pct •• 80
Ratio, maintenance labor to operating labor ••••••••••••••••••.•.. pct.. 25
Ratio, supervisory labor to direct labor •.•••••••••••••••••••.•.• pct •. 20
Payroll benefits ••••••••••••• percent of direct and supervisory labor •. 30
Payroll overhead •••••••••••••••••••••••••••••••••••••••••••••••••• do •• 40
Financial data:
Product value per unit of product' •• • • ••• • •• • •••••••••••••••••.••••••• $30.00
Local taxes and insurance •••••••••••••••••••• percent of capital cost •• 2
Extraction tax rate ••••••••••••••••••••••••••••••• percent ot revenue •• 5.57
Income tax •••••••••••••••••••••• percent of taxable income--depletion •• 46
Depletion allowance •••••••••••••••••••••••• percent of depletion base •. 14
Cost of capital (interest rate) ••••••••••••••••••••••••••••••• pct/yr •• 15
'68 pct BPL rock; Engineering and Mining Journal, July 1981.
30
Ore-body characteristics:
Recovery ••••.••••••.••••••••••.•.•••.....•• pct of ore body extracted •• 63.14
Ore-body requirements .••..•••••••.•••.•.••.••...•••..••.•.•.. •. st/yr •• 5,226,540
Ore-body area required •••.•••••••••••.•.••••..•..••..••••••• acres/yr •• 136.35
are recovery per borehole ....•••.••.••••.••.•..•..••••••.•.•.•• st/yr .• 2,357.74
Effective availability of mining units •••••.•...••..•.••...•.•.•. pct •• 82.96
Uni ts required ................ :. , ....•................................. 10
Effective mining rate per unit ..•••••••..•••.••••••.•..••.••..•. st/h •• 50.22
Boreholes required per year •.•.•..•.•.•.•••..••..••....•.•••••...••••• 1,399.65
Capital costs:
Mining units . . • . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $7,000,000
Miscellaneous mining equipment •••••••••••••••••••••••••••••.•••••••••• $400,000
Total equipment and facilities .••••••..•.••.....•.•.••••...••.•.•...•• $42,900,000
Annual operating costs:
Drilling . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,889,520
Operating labor . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $950,400
Sup po r t 1 a bo r •.•••••••..••••.•••.......•.•.•.••••••.•....•.••.•.•••... $760,320
Maintenance labor ••••••••••••••••.••••••••••••••••••..••••••••••••••.• $237,600
Supervisory labor •••••••••••••••••••••••••.••••••••.••.•••••••••.••••• $389,660
Total payroll •••.••••••••••••••••••••••••••••••••••••••••.•••••••••.•• $2,337,980
Pay roll be ne fit s ••••••.••••••••••••••••••••••••••••••.•••••••••••••••. $701,400
Payroll overhead •••••••••••••••••••••••••••••••••...•••••••••••••••••• $935,190
Powe r . . . . . . . . • • . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $6,000,000
Maintenance supplies .•••••••••••••••.•••••••••••.••••••••••••••••.•••• $300,000
Equipment operation •••••••••••••••••••.••••••••••••••••••••••••••••••• $18,000,090
Annual income tax data:
Gross revenue ••••••••••••••••••••••••••••••••••.•.•••••••••••••.••.••• $44,549,990
Taxes and insurance ••••••••••••••••••••••••••••.••••••••••••••••••.••• $858,000
Ext raction taxes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,481,430
Cost of working capital ••••••••••••••••••••••••••••••••••••.••••.••••• $675,000
Operating income ••••.••••••••••.••.••••••••••••••••••••..••••••••••••. $22,535,460
Depreciation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,145,000
Taxable income before depletion allowance ..••••........••.•......•..•. $20,390,460
Depletion allowance ••.•••••••••••••••••••.••••..•••••••••••..•.••••••• $6,237,000
Taxable income after depletion allowance ...•••••......•.••••...•...... $14,153,470
Income tax •••••••••••••••••••••••••••.•••••••••••••••••••••••.•••••••• $6,510,590
Return on investment:
Working capital, first year •••••••••••••••.••.••••....•..••••.••••..•• $4,500,020
Total investment, first year ••••.•..•••••.•.•..••••.•.••...•••••.•...• $47,400,020
Net cash flow per year •••••••••••••••••••••••••.••••••••••••••••.••.•• $16,024,870
Rate of return on investment ..••.....•••••••••.••.•••.••.••....•• pct •. 33.71
Overall unit costs to produce 1,485,000 units of product:
Capital cost of mining equipment ••••••••••••••••••••••••••••••.•.••••• $7,400,000
Mining cost per unit of product .•..••••....•••••••••...••.....•..••.•. $8.98
Total cost per unit of product •.•••.••..•...••••.•..•..••••....•.....• $20.65
Profit after taxes per unit of product .•••••.....•.•....•.•••..•..•... $9.35
37.
15
~
-<II
"-
10
t-
en
0
u
(!)
z 5
z
;:!;
The number of mining units required for The return on investment is shown in
mining of sand, soft sandstone, or hard figure 22 as a function of ore grade for
sandstone (two, four, and seven, respec- the three ore-body types. The gross rev
tively) has an important effect on total enue is based on $40/st of U3 0 8 , royalty
investment and labor operating costs. payments of 7 pct of the gross revenue
The number of boreholes drilled per year have been deducted, and a straight-line
(45, 98, and 286, respectively) and the depreciation schedule has been assumed.
depth of the boreholes have a significant A depreciation allowance has been
effect on operating costs. deducted from the taxable income. The
100
Optimistic
80
60
U
a.
--- ---
ci 40
0
a::
lJ...
u
0
20
-20
0.03 0.04 0.05 0.06 0 .07 0.08 0.09 0.10 0.11 0.12
ORE GRADE, pct
amount is based on one of the following, table 15: the radius of a co~plete bore-
whichever is lesser: (1) 22 pct of hole cavity, the shape of the ca vity, ore
the gross revenue minus royalty, or seam thickness, ore seam rlepth be low the
(2) 50 pct of the taxa hie income before surface, estimated rlrilling costs, and
depl etion allowance. Income tax of the mining rate. Estimated drilling
46 pct of the taxable income after deple- costs and mining rate vary because of
tion allowance and the initial working rock hardness. Depletion allowance of
capital of 25 pct of the annual gross 22 pct of the g ross revenue minus royalty
revenue have been included. The net cash applies above the dashed line in figure
flow is the operatin g income less (1) in- 22, whereas a depletion allowance of
c 0 me t a x , ( 2) w0 r kin g cap i t a 1 (f irs t yea r 50 pct of the taxable income before
only), and (3) initial capital investment depletion allowance applies below the
(first year only). line.
The six operating parameters affected
by the type of ore body are shown in
Hypothetical tool
Bureau of Low Most High
Mines tool mining likely mining
rate rate
Initial capital cost items, 10 3 $:
Separation plant.................. 30,000 30,000 30,000 30,000
Borehole mining units (number).... 75,000(50) 52,500(35) 27,000(18) 10,500(7)
Working capital................... 27,638 21,450 15,676 11.963
Exploration....................... 2,000 2,000 2,000 2,000
Slurry and water lines............ 750 525 270 105
Miscellaneous ••••••••••••••••••••• ~~5~,~0~0~0~__~~~52'~0~0~0~__~~52'~0~0~0~__~~52'~0~0~0___
Total capital cost •.••••.•••••• F=1=4=0~,=3=8=8=====F=1~1~1~,=4~7=5~===F=7=9~,=9=4=5=====F=5~9~,=5=6=8===
Operating cost items, $/bbl:
Reservoirs and site preparation ••• .24 .24 .24 .24
Drilling ••••••.••.••••.••••••••••• 2.93 .91 .91 .91
Mining:
Payroll......................... 7.78 5.44 2.80 1.09
Payroll benefits................ 2.33 1.63 .84 .33
Payroll overhead................ 3.11 2.18 1.12 .43
Fuel............................ 3.03 2.12 1.09 .42
Maintenance supplies............ 4.55 3.18 1.64 .64
Misc. operating supplies........ .73 .73 .73 .73
Ore transportation................ .80 .80 .80 .80
Separation plant.................. 7.00 7.00 7.00 7.00
Tail i ngs di s p os a 1. • • • • • • • • •. • • • • • •• f------;:;~3...:...~0~0--+----,~3:;..:.:...;0:-;0~--+-----;:;~3...:..• ..;:.
0-::-0_ _-+-~3:-:.:...;0~0:;-_
Total direct cost.............. 35.50 27.23 20.17 15.59
Indirect cost items, $bbl:
Local taxes and insurance......... 1.37 1.09 .78 .58
Royalty payments.................. 4.69 3.64 2.66 2.03
Federal income tax................ 8.56 6.71 4.83 3.64
Deprecitation ••.•••••••••••••••••• 8.51 6.76 4.84 3.61
Total indirect cost •••••••••••• r-~2~3~.~1~3~--~--~1~8~.~2~0~--~~1~3~.~1~1----~~9...:...~8~6~--
Pro~it after taxes (for DCFROR of
20 pet), $/bbl..................... 8.37 6.57 4.72 3.55
F========F========F=======~~~==
Total (~elling price) •••••••••• 67.00 52.00 38.00 29.00
30 , - - - - -----,1----------,----------.------- - ,
20
;'
--- - - - - - - - - - - - - -
;'
,/
KEY
20 ......
- - - 0 .50 bbl/sl
---- .J .
- ----
10 r- -
- - - 0 .75 bbl /s l
U
Q.
~
0 KE Y
0:
"- 10 - - - 0 .50 bbl /s l
u
0 - - - 0 .75 bbl lsI
0 -
u
Co
",-
0 Of-
'"-"
u
0
-10
-10
v----
-2 0 - 20 I L J I
10 20 30 40 50 50 100 150 200 250 300
CAVITY RADIUS, II OR E TH ICKN ESS, II
FIGURE 23.-0il-sand mining : return on investment versus FIGURE 24.-0il-sand mining: return on investment versu s
cavity radius. ore thickness.
20 I
---------- -----------------
100
10
U 80
Co KE Y
0:- - - - 0 .50 bbl/ sl
0 60
- - - 0 .75 bbl/sl
'"
"-
u U
Q.
0
40
~
0 0
a:
"-
u 20
0
-20
-IOL-_ _ _ _ _ _- L_ __ __ __ ~ ______ ~
-4 0
100 200 300 40 0 0 .25 0. 50 0 .75 1.00 1.25 1.50
OVERBURDEN THICKNESS , II ORE GRADE, bbl /st
FIGURE 25.-0ll-sand mining : return on Investment versus FIGURE 26.-0il-sand mining : return on investment versus
overburden thickness. ore grade.
38
2 o ,-------,-------~------_.------_.------~
each figure includes curves for two ore
/
/ grades. It is shown that the sensitivity
/ results do not vary with grade and that
I
10 I good rate of return values are possible
I
I with moderate improvements in ore grade.
/ A circle on the 0.50-bbl/st curve shows
~ /
~ / the baseline data point, the condition
0
0
a: / chosen for the cost analysis in table 15.
LL
U / This analysis shows that there is insen-
0
I KEY
I - - 0 .50 bbl / Sl
sitivity to cavity radius over 30 ft
-10 I - - - 0.70 bbl / sl (fig. 23), ore thickness over 100 ft
I (fig. 24), and overburden thickness under
I 400 ft (fig. 25). Ore grade (fig. 26)
I
I has a large effect on the economics, as
-200L-----1~~-L----4~0~----~6~
0 ------~8~0------~100 does the mining rate (fig. 27). If an
MINING RATE , sl/h ore body exists with a grade higher than
FIGURE 27 .-0il.-sand mining : return on investment versus 0.75 bbl/st, it could be mined very pro-
mining rate. fitably at 40 st/h or more.
This paper has reviewed research in small size and the irregularity of these
borehole (slurry) mining conducted by the deposits make them ideal candidates for
Bureau of Mines from 1975 to 1980. This borehole mining because of the high areal
research has successfully demofistrated selectivity of the borehole mining
the technical feasibility of the remote method.
extraction of coal, oil sands, uranium The borehole ftlining field tests of oil
ore, and phosphates as a slurry through a sands and coal demonstrated the technical
borehole. It has also shown that bore- feasibility of the remote extraction of
hole mining can be performed so that the these commodities through boreholes, but
associated environmental impact is the rates at which these fuels were pro-
mi nimal. duced were too low for commercial vi-
Borehole mining of phosphates was the ability. The test demonstrated the need
mo~t successful of the field trials. The for developing borehole mining equipment
pr~ductivity was higher than that of the that will allow higher productivity.
other commodities because of the lack of Backfilling of borehole-mined cavities
induration of the phosphate ore, and be- by horizontal, underwater jetting of
cause of the high-positive suction head slurry into the cavities was proven to be
on the slurry pump owing to the fact that feasible. Backfilling is likely to be an
mining took place with the borehole attractive method to prevent subsidence
filled with water. in those cases where a suitable supply of
The Agrico Mining Co. plans to conduct granular fill is available. Disruption
further testing in St. Johns County with to the environment would be minimal un-
the aim of ultimately conducting com- less fill would have to be obtained from
mercial mining of the deep phosphate de- a borrow pit.
posits of northeast Florida. Environmental monitoring for groundwa-
Borehole mining fulfills the need for a ter pollution and subsidence conducted
method to mine "incremental" uranium ore. during these mining tests indicated the
Incremental ore refers to those small, virtual absence of both phenomena. This
irregular, high-grade uranium ore bodies indicates that borehole mining may be an
that, although adjacent to working open attractive candidate for mining environ-
pits, cannot be mined from these pits be- mentally sensitive areas.
cause of engineering limitations. The
39
REFERENCES