Monday, April 15, 2013

Wall slide at Utah's Bingham Canyon copper mine expected to cut production



A giant slide on the wall of the Bingham Canyon copper mine in Utah shut down the mine operations last Wednesday night. Kennecott Utah Copper has posted an extensive set of photos online.   [Photo credit, Kennecott Utah Copper]

Kennecott had been monitoring ground movement and taken steps to restrict public and employee access to areas that could be impacted by a slide, however, the slide appears to be bigger than they expected as it buried mining equipment that had been moved out of the expected pathway.

Subsequently, Rio Tinto, parent of Kennecott Utah Copper, said the company was refining stockpiled material but did not predict when production might resume.

Reuters said  "Kennecott is the second-largest copper producer in the United States, and Bingham Canyon, one of the world's largest open pits, produced 163,200 tonnes of copper last year, as well as 200,000 ounces of gold."   They quote BMO Capital Marketsanalyst Tony Robson that between "80,000 and 160,000 tonnes of copper could be lost this year, and production could be affected in 2014 and 2015 as well."

I have not seen predictions of what this could mean for the US and international copper markets.   Arizona produces about 2/3 of the copper used in the US.

Saturday, April 13, 2013

ADOT - $28 million to pave detour around US 89 Bitter Springs landslide



ADOT announced that "the State Transportation Board approved funding to pave Navajo Route 20, a Navajo Nation tribal road that runs parallel to US 89, at its monthly meeting April 12 in Tucson" at an estimated cost of $28 million and dependent on getting agreements in place with the Navajo Nation, Bureau of Indian Affairs and the Navajo Division of Transportation.  [Photo credit, ADOT]

"The project would improve the existing 44-mile-long tribal route [N20] and upgrade so it could accommodate the anticipated traffic volumes, including commercial truck traffic. The major work is paving 27 miles of dirt road stretching from Bodaway-Gap to LeChee (approximately 27 miles).
Construction could begin next month. ADOT’s goal would be to complete the work by early summer."

Monday, April 08, 2013

Navajos will assess purchase of coal mine


The Navajo Nation is spending $2.3 million for due diligence of their proposal to buy the Navajo coal mine in northwest New Mexico from BHP Billiton. The mine is a major employee of Navajos and is the source of all the coal for the Four Corners power plant that supplies Arizona Public Service customers.

[Right, Navajo Mine bench. Credit rocbolt -Kelly Michals, Creative Commons license]

Small quake south of Page, Arizona

There was a magnitude 2.8 earthquake south-southwest of Page, Arizona, on Saturday morning, April 6, about 8:35 a.m. local time.

[Right, orange star marks epicenter.  Credit, USGS]

We notice that the epicenter is generally near the Bitter Springs landslide that closed US 89 and wondered if it might be related to activities to re-open the road.

Our friends at the University of Utah Seismograph Stations located the event with an extended number of phases, indicating a focal depth of 10 km.  So, for now, we are treating it as a real seismic event.

Thanks to Jeri Young for providing the additional insights.


Sunday, April 07, 2013

U.S. copper production at 3-year high; Arizona's Ray mine up 9%


The USGS reports that US copper production increased by 5% from that in 2011 and was at its highest level since 2009, although refined copper production decreased.  Smelter reduction was offset by higher exports of raw product.

The Mineral Industry Summary for copper states that:
In 2012, production from FCX’s [Freeport McMoRan] mines in Arizona rose slightly to 557,000 t, and production at  ASARCO LLC’s mines in Arizona also rose slightly, as a 9% increase in production at the Ray Mine was partially offset by lower production at the Mission Mine. A $60 million investment in new ball mills at the Mission Mine, slated to come on stream in the third quarter of 2013, was expected to increase production at Mission by 10,000 metric tons per year of copper.
 [Right, Ray Mine. Credit, Freeport McMoRan Copper & Gold]

Florence rescinds sulfuric acid ban aimed at copper project


News reports say that the Florence Town Council "voted unanimously to lift its eight-month-old ban on sulfuric acid, avoiding a showdown with Curis Resources in federal court. The town continues to pursue eminent domain to acquire the Florence Copper Project property."

The ordinance applied only to the copper project, exempting farmers. The Florence Reminder & Blade Tribune reports that  Curis Resources submitted a claim against the town of $140 million as a result of the ordinance.  [Right, cross-section of Florence copper project showing injection and recovery wells.  Credit, Curis Resources]

The town is continuing with an eminent domain action to take Curis's mining properties for a waste water treatment plant.

Arizona mining jobs pay more than twice the state average




The average income of workers in the Arizona mining industry was $108,000 in 2011, more than double the state income average of $47,000.    Most of those jobs are in the copper industry.  Jobs generated as a result of the mining industry averaged $65,000 per year.  [Right, graph from report fact sheet]

The copper industry dominates economic impacts of the mining industry in Arizona, according to a new study from Arizona State University. "The Economic Impact of The Mining Industry on The State of Arizona – 2011" was prepared for the Arizona Mining Association by the L. William Seidman Research Institute W. P. Carey School of Business at ASU:

Arizona mining companies living in the state. Of this total, 10,600 were employed by copper mining companies. The remaining workers were employed by companies engaged in coal mining, gold and silver mining, and uranium mining. Employees of Arizona mining companies are distributed widely across state counties. Each of five counties is home to at least 10 percent of the state’s mining employees: Gila, Graham, Greenlee, Pima and Pinal.
Three other counties - Maricopa, Mohave and Yavapai — have more than 500 mining employees in residence. The total income paid to employees of Arizona mining companies in 2011 was $1.22 billion. This includes wages, salaries, and fringe benefits such as employer contributions to health insurance and retirement plans.

Overall, income per worker in the mining industry is $108,000. This compares with an average income of $47,000 per worker across all industries in Arizona.

Thursday, April 04, 2013

Tree-Ring Lab open house on April 9



The University of Arizona Laboratory of Tree-Ring Research invites you to attend TREE-RING DAY as part of Earth Week, on Tuesday, April 9, 10:00 am - 4:00 pm, for tours of the new Bryant Bannister Tree-Ring Building, a Taco Bar Lunch, and talks by LTRR Graduate students and faculty members.
 
The event is free and open to the public. Tours of the new facility will run from 10:00 am through 12:00 pm.  [Photo credit, UA]


More potash exploration coreholes permitted in Holbrook basin

Passport Potash has received permits  (Arizona permits #1139-1145) for 7 more exploration core holes on their land holdings in the Holbrook basin potash play.  The Arizona Oil & Gas Conservation Commission permits these holes because they drill through potentially oil and gas bearing strata.   [Right, land status map.  Passport's lands are light blue on west side.  Credit, Passport Potash report]


Tuesday, April 02, 2013

Small quake south of Fredonia



There was a magnitude 2.8 earthquake at 8:17 a.m. this morning local time, about 7 miles southeast of Fredonia, Arizona near the Utah border.

[Right, gold star marks the epicenter. Credit, USGS]

Monday, April 01, 2013

Mining foes say northern Arizona ban doesn't go far enough


Groups opposed to uranium mining in northern Arizona have filed suit over plans by Energy Fuels to develop the Canyon mine which they say is fully permitted [right, location map from Energy Fuels]. The Arizona [Phoenix] Republic ran a front page story today on a suit filed a couple of weeks ago, presenting the mine opponents arguments that  information in reports from the USGS and others subsequent to the Forest Service approval in 1986 invalidates the company's rights to proceed.

However, that information appears to be included in the draft EIS that Secretary of Interior Ken Salazar  had when he publicly supported continuation of currently approved projects last year when he withdrew 1 million acres of federal lands from mining and geologic exploration. The Interior Dept. press release noted at the time the Secretary's commitment to allowing approved projects to continue:
"Secretary Salazar’s decision will provide adequate time for monitoring to inform future land use decisions in this treasured area, while allowing currently approved mining operations to continue as well as new operations on valid existing mining claims.

The withdrawal does not prohibit previously approved uranium mining, new projects that could be approved on claims and sites with valid existing rights. The withdrawal would allow other natural resource development in the area, including mineral leasing, geothermal leasing and mineral materials sales, to the extent consistent with the applicable land use plans

During the withdrawal period, the BLM projects that up to 11 uranium mines, including four that are currently approved, could still be developed based on valid pre-existing rights – meaning the jobs supported by mining in the area would increase or remain flat as compared to the current level, according to the BLM’s analysis.
Energy Fuels describes the Canyon mine as "a fully-permitted uranium mine located in northern Arizona approximately 6 miles southeast of Tusayan, Arizona. The mine site for this high-grade “breccia pipe” deposit has less than 20 acres of total surface disturbance and is situated on land managed by the U.S. Forest Service. The mine was approved by the Forest Service and partially developed in the late 1980’s. There is significant existing infrastructure at the site, including a head-frame, hoist and a partially sunk shaft. There are approximately 1,629,000 lbs. of U3O8 at Canyon, contained in 82,800 tons of inferred resource at an average grade of 0.98% U3O8.
 
Refurbishment of surface facilities development has begun at the Canyon Mine, and the Company expects to sink the remainder of the shaft and complete all surface and underground facilities by 2014.  Production is expected in 2015."

Detecting geologic units by smell: rock aromas added to Google Nose database

Geologists can now identify most geologic formations in the U.S. with a data base of unique odors now linked to the Google Nose app.

The geo-smells are included in the  Google Aromabase of over 15M scentibytes  and were collected by field geologists using portable odorometers to crush and analyze samples from formations, members, and facies of every major geologic unit.     Collection of aromas from igneous and volcanic rocks is currently underway and is expected to revolutionize prediction of volcanic eruptions.   Fresh lava has a much different smell than old, cold, flows.



Geologists are only starting to understand how we can use Google Nose for mineral and petroleum exploration and detection of fossils.


Posted April 1, 2013

Sunday, March 31, 2013

Is there oil and gas potential in Arizona's Mancos Shale?


Growing recognition of shale oil and gas potential in northwest New Mexico might draw similar interest in Arizona's Mancos Shale.

The Mancos  Shale in New Mexico's San Juan basin is exciting the petroleum industry as the country's next hot shale play.   More than 500 attendees showed up at the San Juan Basin Energy Conference in Farmington recently to hear that the basin could produce 6 billion barrels of oil (10% of the 60 billion in place), using hydraulic fracturing ("fracking") and horizontal drilling technology.

Reports are that the 22 wells drilled there so far have demonstrated commercial potential.

 No one was talking about the Mancos Shale in Arizona at the conference, but it underlies the Black Mesa in
northeastern Arizona.    A USGS professional paper on the coals of the Colorado Plateau includes a chapter on the Cretaceous-aged Mancos Shale.  The chapter lead author is Dale Nations, formerly geology professor at NAU, and currently chair of the Arizona Oil & Gas Conservation Commission.

Dale and co-authors map the extent, depth, and thickness (above) of the Mancos along with stratigraphic cross sections (left).  We are not aware of any geochemical data that would indicate the petroleum potential of the unit in Arizona.    But given the enthusiasm demonstrated for the Mancos just over the border in New Mexico, one has to expect that Arizona will soon be attracting exploration interest as well.

Thursday, March 28, 2013

Shorter detour around US 89 Bitter Springs landslide


ADOT issued the following news release:

ADOT plans shorter detour for highway closed by landslide south of Page

Once paved, Navajo tribal road may serve as temporary US 89

 PHOENIX — The Arizona Department of Transportation moved one step closer toward establishing a shorter detour route for drivers who travel daily to Page and the Lake Powell area that have been impacted by the landslide closure on US 89.    [Photo credit, ADOT]

At a special meeting of the State Transportation Board today, the board approved $1 million to design improvements to Navajo Route 20, a Navajo Nation tribal road that runs parallel to the damaged highway. Approximately 27 miles of the roadway are unpaved.

“ADOT has been working with the Navajo Division of Transportation, the Navajo Nation and the Bureau of Indian Affairs to pave N20 as an interim measure to shorten the detour route between Flagstaff and Page,” said Dallas Hammit, ADOT deputy state engineer of development. “With assistance from the Federal Highway Administration, we are looking to use federal emergency relief funds to restore essential traffic in the region, while we work on the ultimate repair on US 89.

“This is not the long-term solution, but it will help the thousands of people who are inconvenienced daily by this unscheduled detour caused by last month’s landslide,” Hammit said.

As part of ADOT’s plans to improve the existing 44-mile-long tribal route, which is mostly a dirt road stretching from Bodaway-Gap to LeChee, ADOT would designate the road as Temporary US Route 89 (US 89T).

ADOT would pave the road and ensure that it could carry commercial truck traffic, while repairs are made to US 89. The agency is already working with potential contractors and construction could begin as soon as late spring. The US 89T project is expected to take three to four months to complete.

The ability to pave Navajo Route 20 is contingent upon agreements being reached with several stakeholders, including the Navajo Division of Transportation, the Navajo Nation, the Bureau of Indian Affairs and the Federal Highway Administration.

After the reconstruction of US 89 is complete, the road will be relinquished to the Navajo Nation. There is no timetable for reopening the highway, but ADOT is committed to restoring this important travel route as soon as safely possible.

While US 89 remains closed indefinitely, the current primary detour route is to take US 160 through Tuba City to SR 98 toward Page, which is approximately 45 miles longer than the direct route. Drivers also have the option to take US 89A north to Marble Canyon toward Fredonia to reconnect to US 89 in Kanab, Utah.

US 89 has been closed north of Bitter Springs and south of Page since Feb. 20 due to a landslide that buckled pavement on the mountain slope.

ADOT is currently conducting a geotechnical investigation, which is the first phase of the solution. Crews are monitoring the stability of the slope and the ultimate repair of US 89 will be based on the results of the geotechnical investigation.

For more information, including the latest blog posting on ADOT’s geotechnical work, please visit the ADOT Blog.

ADOT launched a range of communication tools, including a new webpage (www.azdot.gov/us89), dedicated to keeping the public informed about the status of the closure and alternate travel routes, complemented by videos, photos of the roadway damage on US 89, and updates on the progress of geotechnical crews.

Tuesday, March 26, 2013

Arizona Mining Review video magazine for March 27

The next edition of our online video magazine Arizona Mining Review, will look at the Florence Copper in situ copper recovery project in Florence, a new survey on how the international mining company views Arizona for doing business, and the potential for rare earth elements in Arizona.

AMR will be streamed live at 10 am MST/PDT on Wednesday, March 27.

Each show is recorded and posted to the AZGS YouTube channel so you can view it later.


Monday, March 25, 2013

Former governor calls for reopening mineral museum

In an op-ed piece in the Arizona Republic today, former Governor Rose Mofford called for reopening the Arizona Mining & Mineral Museum but at its long ago home at the State Fair grounds in Phoenix.  

The museum had been housed on the Capitol Mall in Phoenix until 2010 when it was transferred to the Arizona Historical Society to become the home of the Arizona Experience museum [right] in celebration of the state's centennial.  The minerals and other exhibits were removed for the remodeling of the building but the hoped-for private contributions to fund the new museum have not been forthcoming, putting the museum plans on hold.

Fans of the mining and mineral museum have carried on a continuing campaign to reopen it or have a replacement built.  Legislation was introduced both last year and in the current session to have AZGS create a museum.  Neither version has had a hearing.

Small quake on Arizona-Utah border on Saturday

A magnitude 2.8 earthquake struck on the Arizona-Utah border south of St. George on Saturday morning at 7 am local time.  [Right, star marks epicenter.  Credit, USGS]



Thursday, March 21, 2013

U.S. losing its skilled mining workforce

A new report from the National Academy of Sciences, "Emerging Workforce Trends in the U.S. Energy and Mining Industries"  concludes that "the United States is facing the loss of a large number of experienced energy and mining workers in industry, academia, and the government. At the same time, the current educational system is not producing enough qualified workers to fill future jobs, which increasingly require science and math skills. Some innovative solutions are being pursued, but more action is needed if the nation is to maintain a skilled workforce able to supply energy and mineral needs."  [Right, number of mining engineering graduates, 1974-2009. Credit, NRC report]

Among the many recommendations is that "national industry organizations and educational institutions should also embark on an informational campaign to educate students, parents, educators, and public policy makers about the importance of the energy mining industries to our economic and national security, the relevance of STEM education to jobs and careers in these industries, and job availability."   This would be aimed at overcoming "A negative public perception of U.S. extractive industries...[which] dissuades some from pursuing careers."

Taking our geothermal data message to Canada

The Canadian geothermal energy industry just can't get no respect.  The Canadian Geothermal Energy Association (CanGEA) annual meeting got underway last night in Calgary, Alberta, with a sense of frustration but some emerging optimism that a new geothermal favorability map for Alberta will ignite interest from both industry and government and be a model for similar assessments nationwide.

Steve Richard and I were invited to the meeting to participate in a Mapping & Database workshop today to share the results of our work developing the National Geothermal Data System in the US and how it applies or might be deployed to Canada. 

We toured the geothermal exchange energy system at the Hotel LeGermain in downtown Calgary last night, across the street from the iconic Calgary Tower.  This three year old complex of hotel, adjacent office building, and condos, is powered by a series of 600-foot deep geothermal wells under the foundation.   This direct use of geothermal energy, rather than electricity production, may offer one of the best hopes for energizing this nascent resource in the region.

Wednesday, March 20, 2013

Giant fracture on Navajo Reservation is part of fault system

The giant 'crack' reported on the Navajo Reservation in northeast Arizona, appears to be part of an extensional fault system (graben) previously mapped in 1984 by George Billingsley of the USGS, according to AZGS geologist Joe Cook.   Joe linked the mapped fault with aerial imagery (below).