GEGN 401 - Mineral Deposits

Lecture 1 - Introduction

Logistics of class, class schedule, lab, grading What is economic geology? What are non-fuel mineral resources and how much do we use? What is the minerals cycle and how does it relate to sustainable development? Key concepts for the course
Sustainable development Mineral deposit Cross-cutting relationships Paragenesis Morphology of ore deposits
M. W. Hitzman

GEGN 401 - Mineral Deposits Aims of the Course

What economic geology is and its interface with society (5%) What ore deposits are (5%) Methods of studying ore deposits (5%) Exploration methods (5%) Sustainable development of mineral resources (5%) Types of ore deposits - description, genesis, and exploration/production methods (75%)

M. W. Hitzman

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What is economic geology?

Economic Geology The study and analysis of geologic bodies and materials that can be utilized profitably by people, including fuels, metals, nonmetallic minerals, and water. The application of geologic knowledge and theory to the search for, and the understanding of, mineral deposits* Mineral Deposit A mass of naturally occurring mineral material, e.g. Metal ores or nonmetallic minerals (commonly termed industrial minerals or materials), usually of economic value, without regard to mode of origin.* Ore Naturally occurring material from which a mineral or minerals of economic value can be extracted at a reasonable profit.*
* American Geological Institute Glossary of Geology
M. W. Hitzman

Types of Non-fuel Mineral Resources

METALS Precious metals - gold, silver, platinum group metals (PGMs or PGEs) Non-ferrous metals - copper, lead, zinc, tin (all commonly called base metals) and aluminum Iron and ferroalloy metals - iron, manganese, nickel, chromium, molybdenum (moly), tungsten, vanadium, cobalt Minor metals and related non-metals - antimony, arsenic, beryllium, bismuth, cadmium, magnesium, mercury, rare earth elements (REE), germanium, gallium, selenium, tantalum, tellurium, titanium, zirconium Fissionable metals - uranium GEMSTONES Diamonds, emeralds, rubies, garnet, etc. INDUSTRIAL MINERALS Any rock, mineral or other naturally occurring non-biological substance of economic value , exclusive of metallic ores, mineral fuels, and gemstones. Examples are barite, halite (salt), gypsum, phosphate, etc. and include aggregate and dimension stone. Also include diamonds (boart), garnet, etc. AGGREGATES Any combination of sand, gravel, and crushed stone in their natural or processed state. DIMENSION STONE Rock that is cut and used as a building material.
M. W. Hitzman

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Types of Non-fuel Mineral Resources Categorized by Type of Trading

Commodities with high value Sold into the global market (e.g. base metals, precious metals, gemstones, some dimension stone)

Commodities with lesser value May be marketed in broad regions (but not truly globally (e.g. coal, iron/ steel, many industrial minerals, some dimension stone, some aggregate)

Commodities with low unit value Marketed mainly locally (sand, gravel, aggregate)
M. W. Hitzman

Most of this course will focus on metallic mineral deposits

Metal Any class of chemical elements, such as copper and gold, that have:
a characteristic luster, are good conductors of heat and electricity, are opaque, fusible, and generally malleable or ductile

M. W. Hitzman

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World Production of Mineral Commodities 2000

Mineral Commodity
Finished steel Coal Primary aluminum Refined copper Gold Refined zinc Primary nickel Phosphate rock Molybdenum Platinum Primary lead Titanium minerals

2000 Production (thousand tonnes)

762,612 3,400,000 24,461 14,676 2.574 8,922 1,107 141,589 543 0.162 3,038 6,580

Price (US$/tonne)
300 40 1,458 1,813 8,677,877 1,155 8,642 40 5,732 16,920,304 454 222

Annual value (US$ millions)

228,784 136,000 35,664 26,608 22,337 10,305 9,566 5,664 3,114 2,734 1,379 1,461

(from MMSD Rept., 2002)

M. W. Hitzman

What is the minerals cycle?

(from MMSD Rept., 2002)

M. W. Hitzman

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What is sustainable development?

The most widely accepted definition is from the 1987 World Commission on Environment and Development (Brundtland Commission): Sustainable development is development that meets the needs of the present without compromising the ability of future generations to meet their own needs.

M. W. Hitzman

Goals of sustainable development

Improve material well-being for this generation; Spread the well-being more equitably; Enhance the environment; Strengthen the ability to manage problems; Pass on enhanced stocks of capital to future generations.
(from MMSD Rept., 2002)

M. W. Hitzman

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The ideal of capital lies at the heart of sustainable development

Five main forms of capital are recognized: Natural capital provides a continuing income of ecosystem benefits, such as biological diversity, mineral resources, and clean air and water. such as machinery, buildings, and

Manufactured capital infrastructure. endowment.

Human capital Social capital -

knowledge, skills, health, and cultural

the institutions and structures that allow individuals and groups to develop collaboratively. the value of which is simply representative of the other forms of capital.
(from MMSD Rept., 2002)

Financial capital -

M. W. Hitzman

Using the concept of different types of capital, decisions can be divided into 3 groups
Win-win-win decisions Some decisions simultaneously
advance all the goals identified by sustainable development.

Trade-off decisions Decisions that result in gains and

losses. These types of decisions require an agreed mechanism for reaching a decision.

No-go decisions Decision that can result in moving past a

widely accepted limit (e.g destroying critical natural capital or transgressing fundamental human rights).

(from MMSD Rept., 2002)

M. W. Hitzman

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Challenges for the Minerals Industry

The mining and minerals industry faces some of the most difficult challenges of any industrial sector - and is currently distrusted by many of the people it deals with day to day. It has been failing to convince some of its constituents and stakeholders that it has the social license to operate in many parts of the world, based on the many expectations of its potential contributions:
Countries expect that mineral development will be an engine of sustained economic growth. Local communities expect that the industry will provide employment, infrastructure, and other benefits that counter the risks and impacts they experience and will leave them better off than when the project started. The industrys employees expect safer and healthier working conditions, a better community life, and consideration when their employment ends. Local citizens and human rights campaigners expect companies to respect and support basic rights, even when they are operating where government does not. Environmental organizations expect a much higher standard of performance and that the industry will avoid ecologically and culturally sensitive areas. Investors expect higher returns and have shown considerable concern about the industrys financial results. Consumers expect safe products produced in a manner that meets acceptable environmental and social standards.
(from Mining, Minerals and Sustainable Development Project Report Executive Summary, 2002) M. W. Hitzman

Assignment 1
How is the minerals industry perceived?
Use the world wide web to research the perceptions of the minerals industry. I would suggest you try and look up information on specific mineral projects. Some that might be interesting are:
Pebble project, Alaska Mountain top coal mining, West Virginia Grasberg, Indonesia You might also look at pages dealing with the industry as a whole try Mining Watch, the Minerals Policy Center or minesandcommunities.org.

Write a one to two page summary of your findings. Try and put your findings in the perspective of sustainable development concepts as outlined in the short paper by Richards (on Blackboard). Papers will be graded on both content and communications (grammar, spelling, organization). The paper is due in class on Friday, Aug. 26. Please email it to me at: mhitzman@mines.edu
M. W. Hitzman

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