by DrBang » Thu 07 May 2009, 22:46:11
I work in mining research. I can tell you that for decades now the mining technology has been approaching an asymptote. Deposits are getting really low grade and have harder rock (costs more to extract). This has been trucking along at a nice even pace that doesn't harm the status-quo too much so industry is nicely asleep and complacent.
We are about to hit several serious limitations that will create a step change.
1 Cheap energy is on its way out, so the ability to shift 1000's of tonnes of rock to extract 0.5g/t of say gold will become harder.
2 Potable water is soon going to become really scarce. Water is used in the separation process. Dry separation can be done but it is not so efficient and current practice doesn't include it.
3 Ever increasingly restrictive environmental legislation. This seriously needs cleaning up. Check out the Tar Sands in Alberta. Doing so will spell the end of many current operations in today's conditions, let alone in a tighter NPV profile.
The industry is about to hit that brick wall, without any help whatsoever. My solution to all this:
Industrial recycling using mineral engineering methods. I am quietly putting this into place. They do it in Europe really well. Not here in Australia (YET).
Reality bites on this one. Chapter 18 of the crash course illustrates this nicely.
Kind Regards
Dr Bang
For every question , there is a lie. For every lie, there is a truth. For every truth, there is a way. And for every way, there is a time. This is the time.