ORE, MINERAL ECONOMICS,
AND MINERAL EXPLORATION
CHARLES J]. MOON AND ANTHONY M. EVANS
11 INTRODUCTION
A large economic mineral deposit, €.g, 200 Mt
‘underlying an area of 2 km’, is minute in com-
parison with the Earth’s crust and in most
countries the casily found deposits croppi
ut at the surface have nearly all been foun
The deposits for which we now search are
largely concealed by weathered and leached
outcrops, drift, soil, or some other cover, and
sophisticated cxploration methods are required
to find them. The target material is referred
to as a mineral deposit, unless we use a more
specific term such as coal, gas, oil, or water.
Mineral deposits contain ‘mineral resources.
What sort of mineral deposit should we seek?
To answer this question it is necessary to have
some understanding of mineral economics.
12 MINERAL ECONOMICS
121 Ore
Oreisa word used to prefix reserves or body but
the term is often misused to refer to any or all
in situ mincralisation. The Australasian Joint
(Ore Reserves Commitice |2003) in its code, the
JORC Code, leads into the description of ore
reserves in the ollowing way When the Wes
tion, quantity, grade, geological characteristics
tnd continuity of ation are known,
and there is a concentration or occurrence
of the material of intrinsic economic interest
in or on the Earth’s crust in such form and
quantity that there are reasonable prospects
for eventual economic extraction, then this
deposit ean be called a mineral resource.”
“Mfineral Resources are subdivided, in order of
increasing geological confidence, into Inferred,
Indicated, and Measured categories.” A more
completeexplanation given in section 10.4.1
Te Re Cade then explains that "an ore
reserve is the economically mineable part of
4 Measured oF Indicated Mineral Resource
Te includes diluting materials and allowances
for losses that may occur when the material
is mined. Appropriate assessments, which may
include feasibility studies (sce section 11.4),
have been carried out, and include consid
eration of and. moaiReation by realistically
assumed mining, metallorgical, economic,
marketing legal’ environmental, socal, and
governmental’ factors. "These. ‘assessments
demonstrate at the time of orting that
extraction could reasonably be justified.” "Ore
Reserves are sub-divided in order of increasing
confidence into Probable Ore Reserves and
Proved Ore Reserves”
“The term ‘economic’ implies that extrac.
tion of the ore reserve has been established
‘or analytically demonstrated to be viable
and justifiable under reasonable investment
assumptions, The term ore reserve need not
necessarily signify that extraction facilities are
In place of operative or that all governmental
approvals have been received, 1 does signify
that there are reasonable expectations of such
approvals.” An orcbody will be the postion of
@ mineralized envelope within which ore
reserves have been defined.
Gre minerals ave thene metallic mineral,
eg, galena, sphalerte, chalcopyrite, that form
the economic portion of the mineral depo