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PRINTED | APRIL <strong>2009</strong><br />

in this issue of<br />

M O N T A N A M I N I N G<br />

MMA President’s Message – Mike Mullaney 4<br />

MMA Executive Director’s Message – Debbie Shea 6<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> Mission Statement 6<br />

MMA Board of Directors <strong>2009</strong> 8<br />

Member Profile – Elton Chorney 9<br />

Legislative Corner 10<br />

<strong>2009</strong> MMA Annual Meeting 10<br />

Ravalli GPAA Chapter proud to merge with <strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> 12<br />

<strong>Montana</strong> Tech and <strong>Montana</strong>’s mining industry 14<br />

Connecting the dots – Western Environmental Trade <strong>Association</strong> 18<br />

Hydrologic control for current mine and lease by<br />

modifying surface coal mines in southeastern <strong>Montana</strong> 20<br />

Stillwater <strong>Mining</strong> Company: Committed to environmental sustainability 22<br />

Made in <strong>Montana</strong> 24<br />

American <strong>Mining</strong> Insurance Company:<br />

Insurance from people who know mining 26<br />

DYWIDAG-Systems International 28<br />

Holcim’s Trident plant continues to remain productive 30<br />

Mighty tough – The all-new MT6300AC from Terex is here 32<br />

At Revett’s Troy Mine, dedicated employees are the key to success 34<br />

The Northwest <strong>Mining</strong> <strong>Association</strong>:<br />

Representing mining interests throughout North America 36<br />

<strong>Mining</strong> in <strong>Montana</strong> – Governor Brian Schweitzer 40<br />

Safe work doesn’t come naturally 42<br />

<strong>Montana</strong> mining and exploration – 2008 Review 46<br />

Barretts Minerals Inc. uses an ancient resource for modern applications 52<br />

MMA unveils new website 54<br />

<strong>Montana</strong> Tunnels’ mine wetlands mitigation project 55<br />

History, <strong>Mining</strong> and Stewardship in Butte 60<br />

Graymont Western’s Indian Creek Plant 62<br />

MMA Membership Application Form 64<br />

MMA Member Benefits 65<br />

Index to Advertisers 66<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 3


A MESSAGE FROM THE PRESIDENT,<br />

MIKE MULLANEY<br />

Ihave been honored to take on the responsibility as the president<br />

during these past two years. It has been a rewarding learning<br />

experience working with board members, the executive director and<br />

the executive assistant. We have set up a team-type association that<br />

actively listens to feedback and then makes sound decisions on a<br />

consensus basis.<br />

There are four committees defined in our by-laws: Health and<br />

safety; education; membership; and legislative. We have board<br />

members involved in all four committees. Commitment to these<br />

committees is essential to our success; that success being a strong<br />

safety culture – both on and off the job – and people of all ages<br />

being educated about the importance of our natural resources, environmental<br />

stewardship and compliance with rules and regulations.<br />

The foundation has been put in place for a bright future for the association,<br />

and we are starting to deliver strong results.<br />

Nelson<br />

Brothers<br />

MINING SERVICES, LLC<br />

ANELSON�BROTHERS�/�ORICA�JOINT�VENTURE�����<br />

(800)�533�6267<br />

4 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

Safety is a top priority, and we need to have the right behavior<br />

instilled in us to ensure no one is injured, whether on the job or off.<br />

We have been developing partnerships with other operators and regulators<br />

to utilize best practices in the workplace.<br />

It is essential that efforts are also put into our educational vision.<br />

We have some folks involved in provider pals, teacher workshops,<br />

and operational tours. Both producers and associate members have<br />

been involved in provider pals up at Troy and Libby, and now down<br />

in Willow Creek. <strong>Montana</strong> Tech established the Bright Prism project<br />

that will provide teachers with hands-on experience and training in<br />

the minerals industry. These are great programs; I commend all<br />

involved and encourage others to get involved. We need to reach as<br />

many schools as possible, and educate everyone about the importance<br />

of natural resources and how natural resource recovery<br />

impacts our quality of life. This takes much time but is critical to our<br />

success. My ultimate vision is to produce a video of mining operations<br />

in <strong>Montana</strong> to really show “How it’s Made” and link the raw<br />

resources to final end uses.<br />

The legislative piece is in good shape now that we have a full-time<br />

executive director with experience and relationships with many legislatures<br />

and the DEQ. This past legislative session it proved very beneficial<br />

having Debbie Shea relentlessly involved in the entire legislative<br />

process. In this complex world of regulatory change, we have to<br />

partner up, share our opinions without the negativism, take the high<br />

road and follow the rules.<br />

It is a privilege to be part of the mining industry. We work so hard<br />

in our typical day’s work that we take little time to reflect on our<br />

accomplishments and to tell our stories. By putting out our annual<br />

magazine, we have started to tell our stories and communicate to<br />

others what we are doing in the industry. Our website has been up<br />

and operational for two years now; this is another great venue for<br />

our members to access information about the <strong>Montana</strong> mining<br />

industry. Check it out.<br />

Please give feedback and ideas to Debbie, Debra and the board to<br />

help us achieve our objectives. I thank the board for the opportunity<br />

to serve as President of the <strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong>. �


DEBBIE SHEA, Executive Director<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong><br />

Ihave had several wonderful jobs in my<br />

lifetime, including teaching for 26 years<br />

and serving in the <strong>Montana</strong> Legislature for<br />

eleven. Both were challenging jobs that<br />

involved patience and a great deal of staying<br />

power. I loved the work because the<br />

experience afforded me the opportunity to<br />

connect with people and work on their<br />

behalf. It also taught me a great deal about<br />

human nature. My work over the past year<br />

within the association, however, has truly<br />

surpassed those memorable years and<br />

given me a new perspective on the old<br />

adage “When the going gets tough, the<br />

tough get going”.<br />

The <strong>Montana</strong> mining industry is a rela-<br />

6 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

tively close-knit community that covers the<br />

length and breadth of our great state. It is<br />

within this community that you find the<br />

backbone of <strong>Montana</strong>’s work ethic and the<br />

conscience of a caring industry.<br />

The current financial climate has presented<br />

some tough choices for those manning<br />

the helms; they have responded with<br />

integrity and genuine concern for both the<br />

workers and the respective companies<br />

whose presence is the lifeline for many<br />

communities across the state.<br />

In story after story, leadership within the<br />

mines has focused on sustaining operations<br />

with minimal impact. Some have been able<br />

to do so with less of a blow than others, as<br />

commodities within the market are certainly<br />

different. For those having to lay off<br />

workers or shut down operations, I have<br />

seen heavy hearts that encouraged patience<br />

for a better day.<br />

One thing I know for certain: we are all in<br />

this together. <strong>Mining</strong> is a fundamental component<br />

within <strong>Montana</strong>, and the resilience<br />

of its workers is unmatched. We have, as an<br />

industry, resigned to “batten down the<br />

hatch”, and will in fact weather this storm.<br />

And tomorrow, the promise of a new day in<br />

<strong>Montana</strong>, whose motto, Oro y Plata, reflects<br />

our determination.<br />

I am most proud to work for such honorable<br />

people. �<br />

������� ������ �����������<br />

������� ���������<br />

The <strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> (MMA) is a <strong>Montana</strong> trade association dedicated to helping mining<br />

companies, small miners and allied trade members succeed, understand, comply and function<br />

in a complex business and regulatory world. The primary purpose of the <strong>Montana</strong> <strong>Mining</strong><br />

<strong>Association</strong> is to protect and promote the mining industry in the state.<br />

The <strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> monitors issues of concern and provides representation for its<br />

members at the state legislature and with various state and federal regulatory agencies. The<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> supports national mining initiatives.<br />

The <strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> provides information and education for its members and distributes<br />

information to the general public about the contribution of minerals and mining to our<br />

economy and well-being. One of the MMA’s primary functions is to promote and enhance the<br />

image of the mining industry.<br />

The <strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> works in cooperation with other state and national mining<br />

associations, natural resource trade associations and groups with similar interests and needs.<br />

The MMA serves the industry on a wide range of subjects through the expertise of its members.<br />

Many of the MMA’s activities are conducted by various committees. The association has many<br />

active associates. Committees within the association are health and safety (including the health<br />

and safety of employees within the association), education, membership and legislative (including<br />

environmental and land use and political action committee).


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<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong><br />

Board of Directors <strong>2009</strong><br />

Mike Mullaney, President ...............................O (406) 285-4970<br />

Holcim (US) Inc.<br />

4070 Trident Road, Three Forks, <strong>Montana</strong> 59752<br />

mike.mullaney@holcim.com<br />

Doug Miller, Vice President.....................O (406) 295-5882 x 222<br />

Troy Mine – Revett Genesis<br />

PO Box 1660, Troy, MT 59935<br />

millerd@troymine.com<br />

Mark Redfern, 1st Vice President.....................C (406) 671-4105<br />

Brenntag Pacific<br />

123 West Boulevard, Lewistown, <strong>Montana</strong> 59457<br />

mredfern@brenntag.com<br />

John Junnila, 2nd Vice President......................O (406) 373-6010<br />

Westate Machinery Company<br />

P.O. Box 50370, Billings, MT 59105<br />

junnilaj@westate.com<br />

Tim Smith, Past President...............................O (406) 495-2803<br />

<strong>Montana</strong> Tunnels <strong>Mining</strong> Inc.<br />

P.O. Box 176, Jefferson City, MT 59638<br />

tgsmith@mttunnels.com<br />

Matt Wolfe, Secretary / Treasurer .....................O (406) 322-8700<br />

Stillwater <strong>Mining</strong> Company<br />

536 East Pike Avenue, P.O. Box 1330, Columbus, MT 59019<br />

mwolfe@stillwatermining.com<br />

John Hinther, Director .....................................O (406) 266-5221<br />

Graymont Western U.S. Inc.<br />

P.O. Box 550, Townsend, MT 59644<br />

jhinther@graymont.com<br />

Mark Cole, Director .........................................O (406) 434-5583<br />

Dick Irvin Inc.<br />

PO Box 950, Shelby,MT 59474<br />

mcole@3rivers.net<br />

Tad Dale, Director ...........................................O (406) 496-3200<br />

<strong>Montana</strong> Resources<br />

600 Shields Avenue, Butte, <strong>Montana</strong> 59701<br />

tdale@montanaresources.com<br />

Tim Dimock, Director ......................................O (406) 287-2046<br />

Barrick - Golden Sunlight Mine<br />

453 MT Hwy 2 East, Whitehall, Mt 59759<br />

tdimock@barrick.com<br />

John Fitzpatrick, Director.................................O (406) 442-5032<br />

Fess Foster, Director ........................................O (406) 287-3261<br />

Geological & Environmental Consultant<br />

21 Paul Gulch Road, Whitehall, <strong>Montana</strong> 59759<br />

fessfoster@earthlink.net<br />

8 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

Bruce Gilbert, Director.....................................O (406) 322-8700<br />

Stillwater <strong>Mining</strong> Company<br />

536 East Pike Avenue<br />

P.O. Box 1330, Columbus, MT 59019<br />

bgilbert@stillwatermining.com<br />

Jim Liebetrau, Director.............................O (406) 563-8494 x 11<br />

AFFCO..............................................................C (425) 210-3653<br />

1015 East Sixth Street, Anaconda, MT 59711<br />

jim.liebetrau@affcomfg.com<br />

Robin McCulloch, Director ...............................O (406) 496-4171<br />

<strong>Montana</strong> Tech<br />

W. 1300 Park Street, Butte, MT 59701<br />

rmcculloch@mtech.edu<br />

Gene Nelson, Director......................................O (406) 549-8856<br />

Yellow Band Gold Inc.<br />

3926 Bellecrest Drive, Missoula, MT. 59801<br />

Geolnelson@aol.com<br />

Fred Panion, Director .....................................O (406) 285-5303<br />

Rio Tinto Minerals<br />

767 Old Yellowstone Trail, Three Forks, MT 59752<br />

fred.panion@riotinto.com<br />

Roger W. Rohr, Director ..................................C (406) 698-1563<br />

Tractor and Equipment Co.<br />

Major Accounts Manager<br />

rrohr@tractorandequipment.com<br />

Jim Daley, Director ..........................................O (406) 683-3324<br />

Barretts Minerals<br />

8625 Hwy 91 South, Dillon, MT 59725<br />

jim.daley@mineralstech.com<br />

Jim Volberding, Director..................................O (406) 538-2501<br />

Canyon Resources Corporation<br />

P.O. Box 799, Hilger, MT 59451<br />

crkendal@wb.midrivers.com<br />

Debbie Shea, Executive Director.......................O (406) 495-1444<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong>......................................................<br />

1820 North Last Chance Gulch...................................................<br />

P.O. Box 5567, Helena, MT 59604<br />

dshea@montanamining.org<br />

Debra Pitassy, Director of Member Services......O (406) 495-1444<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong><br />

1820 North Last Chance Gulch<br />

P.O. Box 5567, Helena, MT 59604<br />

dpitassy@montanamining.org<br />

www.montanamining.org


For 24 years, Elton Chroney has championed<br />

the <strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> as<br />

a member, past-president and board director.<br />

His many contributions include helping to<br />

save the association from near dissolution in<br />

1999, when he and a handful of other members<br />

met regularly to continue the work of<br />

the MMA and develop a new Charter.<br />

“We almost lost the association in the late<br />

‘90s, but resurrected it in a meeting held at<br />

Graymont’s Indian Creek facility,” Chorney<br />

says. “It was a grassroots effort by association<br />

members who volunteered their time. It was<br />

pretty tough, but we were stubborn and<br />

wanted to keep the association alive. We continued<br />

to lobby and kept up regulations in<br />

order to be good stewards of the land.”<br />

Mark Cole, a principal at Shelby-based Dick<br />

Irvin Inc. and a director of the MMA, remembers<br />

those struggling years and Chorney’s<br />

invaluable contribution to the association. “At<br />

one time, there were just a handful of us trying<br />

to keep the association going,” he says.<br />

“Elton is a firm believer of supporting the<br />

industry in both good times, and bad.”<br />

Today, as Graymont’s director of production<br />

for Western Canada, Chorney is also a<br />

director of the association. Prior to his recent<br />

move to Graymont’s Calgary office in Canada,<br />

Chorney spent 24 years working as plant<br />

manager at the company’s Indian Creek lime<br />

mine in Townsend. His 34 years with the company<br />

have included working in both Canada<br />

and the U.S. Chorney was instrumental in<br />

transitioning and modernizing the Cutler<br />

Magner’s lime operations in Wisconsin, when<br />

MEMBER PROFILE<br />

ELTON CHORNEY<br />

One of the MMA’s<br />

greatest cheerleaders<br />

By Lisa Fattori<br />

Graymont purchased the company in 2007.<br />

“I had a team of 20 people working to revamp<br />

operations so that they were more in<br />

line with Graymont’s methods,” Chorney says.<br />

“We modernized the office and accounting<br />

systems by installing J.D. Edwards’s software,<br />

and had them online within months. We also<br />

commissioned a brand new kiln and offered<br />

expertise about running a pre-heated kiln,<br />

which is much more efficient.”<br />

During his tenure as president of the MMA<br />

from 2002 to 2005, Chorney began a tradition<br />

which has become a favourite event for association<br />

members. Sponsored by Graymont,<br />

each fall a golf tournament attracts members<br />

to Townsend, where they enjoy a day of golf<br />

complete with lunch and a BBQ – which are<br />

personally prepared by Chorney, his co-workers<br />

and friends in the area.<br />

“Elton goes above and beyond at this<br />

tournament, even barbequing the steaks<br />

himself,” says Mike Mullaney, current president<br />

of the MMA. “The event raises money<br />

to help fund the Political Action Com -<br />

mittee, as well as the day-to-day operations<br />

of the association.”<br />

Described as a man with unlimited energy,<br />

Chorney is happy to lend his time and expertise<br />

where it is needed. “Elton has a ton of<br />

energy and tackles any project easily, so I can<br />

see why he’d advance so well in his career,”<br />

says MMA’s executive director Debbie Shea.<br />

“He’s a forward thinker and a very positive<br />

person who can do great things for both his<br />

company and the association.”<br />

A family-owned company headquartered<br />

in Richmond, B.C., with 17 lime plants located<br />

throughout the United States and Canada,<br />

Graymont is the third largest producer of lime<br />

in North America. Principle products include<br />

limestone, quicklime, construction stone,<br />

ready-mix concrete and asphalt. Many of the<br />

company’s products are used for environmental<br />

remediation and to protect the environment,<br />

and Graymont is committed to<br />

reducing its own environmental footprint.<br />

“It’s important to educate the public on<br />

why we need to be mining,” Chorney says.<br />

“The mining footprint on the world is less<br />

than one-tenth of one per cent, and those in<br />

the industry are very conscientious about<br />

social and environmental responsibility.” �<br />

LACY & EBELING<br />

ENGINEERING, INC.<br />

10 Twelfth St. South<br />

Great Falls, MT 59401<br />

(406) 761-1088<br />

www.le-eng.com<br />

Structural Engineering<br />

Consultants<br />

Specializing in Industrial<br />

and <strong>Mining</strong> Facilities<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 9


LEGISLATIVE CORNER<br />

<strong>Montana</strong>’s 61st Legislative Assembly commenced January 5, <strong>2009</strong><br />

By Debbie Shea<br />

The political composition of the <strong>Montana</strong> House of<br />

Representatives is divided, 50 Democrats and 50 Republicans.<br />

Chairmanship for committees is divided evenly among Republicans<br />

and Democrats. <strong>Montana</strong> law states in the case of a tie of representation,<br />

the Speaker will be of the same party as the Governor. Governor<br />

Schweitzer is a Democrat so the Speaker of the House is Rep. Bob<br />

Bergren, Democrat from Havre.<br />

The structure of the <strong>Montana</strong> Senate is 27 Republicans and 23<br />

Democrats. Senator Bob Story, Republican from Park City, <strong>Montana</strong>,<br />

serves as President of the Senate.<br />

The <strong>Montana</strong> Legislative Website and Television coverage continues<br />

to evolve each session. As a state Senator back in 1999, I was one of a<br />

four-member committee (two senators and two representatives) to<br />

visit states that had state-wide live legislative coverage. Minnesota and<br />

<strong>2009</strong> MMA<br />

ANNUAL MEETING<br />

This year, the <strong>Montana</strong> <strong>Mining</strong> Asso -<br />

ciation teamed up with the Fairmont<br />

Hot Springs Resort to bring its members an<br />

annual meeting that is functional, convenient,<br />

economical, and fun.<br />

All meetings and activities are under one<br />

roof (with the exception of the educational<br />

underground mine tour), saving attendees<br />

both time and money.<br />

Tables are also being offered at drastically<br />

reduced rates within the meeting space to<br />

10 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

‘09 MMA<br />

Annual Meeting<br />

Fairmont Hot Springs<br />

accommodate vendors who wish to<br />

show case their products (table fees for<br />

members will be $25; non-members,<br />

$100).<br />

The meeting will be held May 26-27th,<br />

<strong>2009</strong> in Fairmont, <strong>Montana</strong>. The meeting<br />

will include updates from the president<br />

and executive director, as well as<br />

updates from each of the MMA’s producer<br />

mines. The annual meeting’s agenda<br />

also includes options such as the ever-popular<br />

golf tournament, cocktail social, educational<br />

underground mine tour, and closing<br />

banquet with local favorite Froggy Hull as<br />

speaker.<br />

Those attending may want to take advantage<br />

of the resort facilities (perhaps over the<br />

holiday weekend) by taking a dip in one of<br />

the four naturally heated swimming pools,<br />

taking a ride on the 350' waterslide, keeping<br />

fit in the well-equipped exercise room,<br />

Washington were leaders in this endeavor, and our visits and meetings<br />

to those points resulted in what we have today in <strong>Montana</strong>. It has had<br />

its challenges, but thanks to the intelligence and tenacity of Stephen<br />

Maly, executive director of Helena Civic Television and manager of the<br />

Television <strong>Montana</strong> Program, it has become a key tool for educating<br />

<strong>Montana</strong>ns about the legislature and pending laws.<br />

Like most sessions, bills reflecting a need for change in current law<br />

were plentiful this year – and those addressing mining were no exception.<br />

At the time this magazine was going to press, the <strong>Montana</strong><br />

Legislature was still in session with many mining issues still hanging in<br />

the balance. For a review of bills of interest to mining and their final<br />

status, please refer to www.montanamining.org and look under legislative<br />

updates. �<br />

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ASSOCIATION<br />

ASSOCIATION<br />

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taking your kids out to play on the “Play<br />

Turf Evolution” equipment, or networking<br />

in Whisky Joe’s Lounge and Casino with Live<br />

Entertainment five nights a week. Visit<br />

www.fairmontmontana.com/ or call 1-800-<br />

332-3272 to book your room.<br />

For more information or to register for the<br />

<strong>2009</strong> MMA Annual Meeting, please visit<br />

www.montanamining.org or call<br />

406-495-1444. �<br />

���<br />

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Ravalli GPAA Chapter<br />

proud to merge with the<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong><br />

The Ravalli chapter of the Gold Prospectors <strong>Association</strong> of America<br />

(GPAA) began in the spring of 1994 when five or six recreational<br />

miners and dredgers decided to form a chapter. Thus began the first<br />

organized GPAA chapter in <strong>Montana</strong>. The original president, Cliff<br />

Simonsen, has never left his post – he still presides in <strong>2009</strong>. One other<br />

original founder is still an active member; he’s held every office except<br />

president and camp cook.<br />

The club – with membership swelling to 50 or more – meets once<br />

a month in the Bitterroot, inviting guest speakers (such as Rob<br />

McCulloch) and hosting various activities including raffles, panning<br />

demonstrations, detector courses, and practicing on ball mills, spiral<br />

wheel separators, etc., to process gold. Usually four to five club outings<br />

were (and still are) held each summer. The Ravalli chapter’s first outing<br />

was held in a private claim in Princeton Gulch, Deer Lodge district.<br />

Club outings eventually expanded to the areas of Helena, Superior,<br />

and parts of Idaho.<br />

12 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

Club members have helped with school and public mining demonstrations,<br />

gathered signatures for <strong>Montana</strong> state initiatives, and sent


several members to Helena to meet with DEQ officials and present testimony<br />

to legislative committees regarding mining legislation.<br />

Many of the club’s members have spent time at GPAA claims/and<br />

private claims around the country, and especially in Alaska. They bring<br />

gold and other precious metals, photos and, of course, many tales to<br />

present to the club. Occasionally the club may “lease” a claim, especially<br />

a patented claim where heavy equipment can be used (the<br />

bonding requirements are fulfilled by the claim owner). The largest<br />

gold nugget found during an outing was about three penny weight (82<br />

grans). Several of these have been recovered.<br />

Two noteworthy points: (1) The club has never paid a fine to any<br />

regulatory agency to date; and (2) No one has ever been injured with<br />

more than a minor bruise or strain to date (15 years).<br />

As of October, 2008, the Ravalli GPAA chapter merged with the<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> to form the Ravalli County Chapter of the<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong>. New by-laws were drawn up. This new<br />

Conveyor Belt Protection<br />

club meets the third Wednesday of every month (January through<br />

October) at 7 p.m. at C&S Repair (back building) 164 Victor Crossing,<br />

Victor, MT. Annual dues are $25 (person or family).<br />

Club outings are posted on the website www.montanamining.org.<br />

All <strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> members and family members are<br />

invited to join. Remember to help protect our rights to recreate! �<br />

Conveyor Accessories for Your <strong>Mining</strong> Operation<br />

Abrasion Resistant Wear Liners<br />

Toll Free (US & Canada): 800-237-6951<br />

Rely on<br />

Email: info@richwood.com<br />

RICHWOOD Website: www.richwood.com<br />

Conveyor Belt Cleaning<br />

Conveyor Belt Sealing<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 13


<strong>Montana</strong> Tech and<br />

<strong>Montana</strong>’s mining industry<br />

Past, Present and Future<br />

With the signing of the 1889 Enabling<br />

Act, <strong>Montana</strong> was admitted into the<br />

Union. At that time acknowledging the West<br />

held vast mineral potential, Section 17 of<br />

the Act set aside 100,000 acres of public<br />

land to establish and maintain a state<br />

school of mines.<br />

The relationship between <strong>Montana</strong> Tech<br />

and the mining industry in <strong>Montana</strong> began in<br />

1893 when the <strong>Montana</strong> Legislature voted to<br />

establish the school. The following years saw<br />

the school built on donated Lode properties<br />

overlooking the city of Butte. The doors<br />

opened on September 11, 1900. The first<br />

graduate of the then-called ‘<strong>Montana</strong> State<br />

School of Mine’ was Louis V. Bender in 1903.<br />

He eventually became the general superintendent<br />

of the Anaconda Reduction Works.<br />

The early years saw students taking excursions<br />

to operating mines to further enhance<br />

their studies. Trips included travel to mining<br />

operations in and around Butte, Helena, Gilt<br />

Edge and Kendal. By 1909, students were<br />

finding employment in various mines during<br />

their vacations. In the ensuing years, stu-<br />

14 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

dents found shift work at mines owned by<br />

the Anaconda Company or the Butte and<br />

Superior Company.<br />

In 1919, legislation was enacted to create<br />

the <strong>Montana</strong> Bureau of Mines and Geology,<br />

which was to be located at <strong>Montana</strong> Tech. The<br />

first director of the Bureau was also the pres-<br />

ident of the school. The objects and duties of<br />

the Bureau have always pertained to the mineral<br />

industry; today, the <strong>Montana</strong> Bureau of<br />

Mines and Geology continues to collect and<br />

distribute information on <strong>Montana</strong>’s water<br />

and mineral resources. The Bureau’s mineral<br />

property files, geologic maps, earthquake<br />

studies, geographic information systems (GIS),<br />

and Groundwater Information Center assist<br />

historians, mineral developers and state and<br />

federal agencies as well as <strong>Montana</strong>’s citizens.<br />

In 1967, the <strong>Montana</strong> Tech Foundation was<br />

established to further the management of<br />

the college’s research activities and promote<br />

the development of the college as an<br />

academic institution. In 1983, the Foun -<br />

dation’s mission became focused on procuring<br />

private and corporate support for academic<br />

programs, faculty and students. Last<br />

year the Foundation provided over $2 million<br />

in support to the college, and reached its $2M<br />

private support commitment as part of<br />

<strong>Montana</strong> Tech’s comprehensive campaign,


‘Strengthening Foun dations… Ensuring the<br />

Future’. The new Natural Resource Building<br />

will house the <strong>Montana</strong> Bureau of Mines and<br />

Geology and the Petroleum Engineering<br />

department.<br />

<strong>Montana</strong> Tech has 105 graduates employed<br />

in mining operations from Troy to Dillon, and<br />

Rock Creek to the Stillwater, and has engi-<br />

Collins<br />

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neers working with industrial minerals, precious<br />

metals and coal. Many operations hire<br />

<strong>Montana</strong> Tech’s students for summer internships,<br />

providing a win-win relationship.<br />

Students also interact with industry through<br />

senior design and technical writing projects,<br />

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well as the student. The mining industry has<br />

been helpful in providing access to its respective<br />

properties, thus facilitating real-world<br />

experiences that augment lab activities and<br />

lectures. Research that benefits <strong>Montana</strong>’s<br />

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<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 15


GIBBS<br />

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16 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

mining industry is provided by <strong>Montana</strong> Tech’s faculty, graduate<br />

students and undergrads within the Undergraduate<br />

Research Program (URP). The Bright Prism program aims to<br />

assist the mining industry by finding, training and establishing<br />

long-term relationships with the most talented and<br />

enthusiastic high-school science and math teachers (i.e.<br />

bright prisms) so that <strong>Montana</strong> Tech will be a first-priority<br />

consideration for continuing the education of high schools’<br />

brightest and most gifted students. Much of the training<br />

occurs on-site at many of the mining operations in <strong>Montana</strong>.<br />

<strong>Montana</strong> Tech’s reputation for educational excellence has<br />

in part relied on its ability to attract and retain exceptional<br />

Fickler Oil Company, Inc.<br />

Dave Cerise<br />

Lubricants Sales Manager 1480 Continental Dr.<br />

Butte, MT 59701<br />

Phone: (406) 782 0616<br />

Fax: (406) 782 0260<br />

Cell: (406) 490 3891<br />

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faculty. The Foundation’s efforts help enhance and enrich the teaching<br />

and research activities of the faculty, and encourage increased<br />

scholarship opportunities for potential students so that cost will no<br />

longer be the primary reason students do not embark on their college<br />

career or leave prematurely. Enrollment in the <strong>Mining</strong><br />

Engineering program and related degrees is currently at 309.<br />

Conversations between the <strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> and the<br />

<strong>Montana</strong> Tech Foundation culminated in the formalization of scholarship<br />

support which began over twenty years ago. In July, 2007, an<br />

agreement was signed between the association and the Foundation<br />

establishing The <strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong>’s Gary Langley<br />

Memorial Scholarship. At time of signing, the <strong>Montana</strong> <strong>Mining</strong><br />

<strong>Association</strong> said, “It was established to ensure professionals are available<br />

for the mineral industry of tomorrow.”<br />

Faculty and student support are the means with which you can<br />

ensure the availability of professionals for the mineral industry,<br />

today and tomorrow. If you would like more information on how<br />

you can ensure this future resource, please contact Juliann Crnich at<br />

406-496-4277 or jcrnich@mtech.edu. �<br />

Yes! I / we are pleased to assist students who are pursuing a career in the mineral industry.<br />

Named Endowment – $10,000<br />

School of Mines Scholarship Endowment – $5,000-$7,500<br />

Other – _______________________________________________________<br />

Amount Enclosed $_______________________________________________<br />

Pledge (to be paid later) $_________________________________ (1-5 Years)<br />

NAME__________________________________________________________<br />

SIGNATURE_____________________________________________________<br />

We deeply appreciate your gift and your commitment to the advancement of education at <strong>Montana</strong> Tech. Please return this form with your<br />

payment. You will receive a receipt promptly acknowledging your contribution. All gifts are tax deductible as allowed by law.<br />

<strong>Montana</strong>Tech<br />

FOUNDATION<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 17


CONNECTING THE DOTS<br />

By Don Allen<br />

In my years of representing <strong>Montana</strong>’s<br />

resource industries, I have seen many<br />

changes in the way things are done – all of<br />

them improvements. Resource industries<br />

including mining, oil and gas, timber, agri-<br />

18 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

culture and motorized recreation – all of<br />

which are involved in WETA – have implemented<br />

more and more best practices in<br />

their operations.<br />

<strong>Mining</strong> can certainly hold its head high for<br />

achieving higher environmental standards.<br />

However, challenges continue to grow in a<br />

number of familiar ways: The Endangered<br />

Species Act, stricter water and air quality standards,<br />

lawsuits by groups who do not want to<br />

see development of our resources, and now<br />

‘climate change’. Regardless of one’s views<br />

on climate change, it has become part of the<br />

political equation and industry needs to be<br />

at the table. Climate change advocates are<br />

using it to seek changes in how we live, work,<br />

use our land and water and just about everything<br />

else.<br />

The <strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> is to be<br />

congratulated for taking some very positive<br />

steps in building relationships with state government<br />

agencies and the public. Other<br />

resource industries have also initiated various<br />

educational programs to communicate<br />

with leaders and citizens about the importance<br />

of their respective industries. WETA’s<br />

501(c) (3) non-profit foundation, the Western<br />

Education Foundation for Resources, Inc.,<br />

has run radio and TV ads in an effort to educate<br />

the public about the positive role our<br />

natural resource industries play in the economics<br />

of communities and the state.<br />

Still, we must do more. I believe one of<br />

our biggest challenges is to connect the dots<br />

between what people consume and their<br />

understanding of where it all comes from.


Most people do not make the connection<br />

between what they use, enjoy and depend<br />

on in their daily lives, and the fact that the<br />

products they are using/consuming originated<br />

in a mine, from an oil or gas well, from a<br />

farm or ranch or from a forest. Many people<br />

take all of these things for granted, although<br />

their lives – as they currently live them –<br />

would come to a screeching halt if suddenly<br />

the products and services they enjoy were no<br />

longer available. We have all seen TV ads<br />

touting plug-in electric cars. However, you<br />

never see any connection between the facilities<br />

that produce the electricity, the transmission<br />

lines that carry the electricity and<br />

the outlets where the electric cars are<br />

plugged in. It’s magic! But in reality, it could<br />

not happen without the materials produced<br />

from mining.<br />

Another example of the dots not being<br />

connected is that without a healthy economy,<br />

it will be much more difficult to solve<br />

today’s or tomorrow’s environmental prob-<br />

lems. Given this country’s, and the world’s,<br />

current economic situation, it is disappointing<br />

to hear many leaders insist on “fullstream<br />

ahead” on a number of environmental<br />

initiatives. The costs that will be borne by<br />

the people, and the negative impacts of<br />

insisting on new, tougher environmental<br />

requirements, come at a time when we cannot<br />

really afford them. I can’t think of a more<br />

important time for all resource industries to<br />

work together in support of reasonable laws<br />

and regulations, and to help educate leaders<br />

and the public about how our industries are<br />

producing commodities that are vital to our<br />

future survival.<br />

Don Allen is the Executive Director of the<br />

Western Environmental Trade <strong>Association</strong><br />

(WETA).<br />

WETA, organized in 1976, is a coalition of<br />

representatives of agriculture, labor, business,<br />

commercial industry, the scientific community,<br />

recreation, transportation, and twenty-four<br />

other trade associations united in promoting<br />

economic opportunity, environmentally res -<br />

pon sible economic growth and good family<br />

wage jobs.<br />

To learn more about WETA and how to<br />

become a member: send an e-mail to<br />

weta@weta-montana.org<br />

Phone: 406-443-5541<br />

Address: 2301 Colonial Drive Suite 2A,<br />

Helena, MT 59601 �<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 19


Hydrologic control for<br />

current mine and lease by<br />

modifying surface coal mines<br />

in southeastern <strong>Montana</strong><br />

As mining operations change and continue<br />

to expand, the need for hydrologic<br />

control becomes an integral part of<br />

mining operations. The purpose of hydrologic<br />

control is the safe and uninterrupted operation<br />

of mining activities and the ability to<br />

contain sediment transported in storm water<br />

runoff. Surface water control includes flood<br />

control upstream of mining activities, and<br />

sediment control downstream of mining<br />

activities.<br />

HYDROLOGIC METHODS<br />

The design of hydrologic structures is<br />

dependant on the level of protection that<br />

management desires for the planned mining<br />

areas. Flood waters entering the mining area<br />

cause several potential concerns to the mine<br />

operation including personnel safety, equipment<br />

damage, the inability to mine while<br />

Reclaimed postmining channel, southeastern <strong>Montana</strong>.<br />

20 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

water is being pumped out, and unstable<br />

highwalls where the flow of water has<br />

entered the pit. Typically, flood control structures<br />

should be designed to provide protection<br />

for at least a 100-year, 24-hour precipitation<br />

event. This is the amount of precipitation<br />

occurring over a 24-hour period that statistically<br />

may be exceeded once every 100<br />

years, or has a one in 100 chance that it will<br />

be exceeded during any given year.<br />

The MDEQ requires that sediment control<br />

structures have the capacity to contain runoff<br />

from the 10-year, 24-hour storm as well as<br />

the three year sediment volume, which is<br />

0.02 acre-feet/acre for the disturbed, contributing<br />

areas. The sediment control structure<br />

must also be capable of passing the 25year,<br />

24-hour flood through the spillway with<br />

minimal erosion. If a sediment control structure<br />

is greater than 20 acre-feet, then the<br />

spillway is required to pass the 100-year, 24hour<br />

peak discharge.<br />

Hydrologic Analysis<br />

The SEDCAD model uses a form of the<br />

Natural Resources Conservation Service (formerly<br />

SCS) Triangular Hydrograph Method,<br />

and is a parametric method of estimating<br />

flood peaks and runoff volumes from sitespecific<br />

data. The program uses the watershed<br />

area, time of concentration, SCS Curve<br />

Number and a unit hydrograph response<br />

shape to estimate the corresponding hydrograph.<br />

Watershed routing is accomplished<br />

utilizing the Muskingum method.<br />

Sediment Analysis<br />

The SEDCAD model calculates the<br />

expected sediment transport within the<br />

watershed utilizing a modified form of the<br />

Revised Uniform Soil Loss Equation (RUSLE).<br />

The model develops a sedimentgraph utilizing<br />

eroded soil particle size distribution, soil<br />

erodibility factor (K), representative slope<br />

length, representative slope, type of soil<br />

cover and control practices.<br />

HYDROLOGIC<br />

CONTROL METHODS<br />

Containment options provide flood control<br />

by establishing reservoirs upstream from<br />

the mining area. Sediment control is provided<br />

by establishing the reservoir downstream<br />

of the mining area. The size of the reservoir<br />

is based on a hydrologic analysis. Reservoirs<br />

fall into two size classifications: Mine Safety<br />

and Health Administration (MSHA) or Non-<br />

MSHA. MSHA-regulated reservoirs meet at<br />

least one of the following criteria:<br />

Greater than 20 acre-feet (ac-ft) of capacity<br />

and impound water to an elevation of five


Sediment control dam under construction, southeastern <strong>Montana</strong>.<br />

feet or more above the upstream toe of the<br />

structure; and/or<br />

Impound water to an elevation of 20 feet<br />

or more above the upstream toe.<br />

The MDEQ regulates all reservoirs constructed<br />

at a mine site. Depending on height<br />

and capacity, the DNRC may also require a<br />

hazard determination. Any dam or reservoir<br />

that can, or will, impound to the crest of the<br />

dam 50 acre-feet or more requires a DNRC<br />

hazard determination. Reservoirs regulated<br />

by MSHA require a detailed design report that<br />

includes the hydrologic studies, geotechnical<br />

investigation and analysis, embankment<br />

geometry description, spillway design, and<br />

construction monitoring. MSHA regulated<br />

structures also require weekly monitoring.<br />

CONCLUSION<br />

Containment alternatives require longterm<br />

operation and maintenance (O&M)<br />

considerations. Depending on the reservoir<br />

size and regulatory requirements, inspections<br />

are required weekly (maximum) to<br />

annually (minimum). In order to maintain<br />

the necessary design capacity, containment<br />

structures must be dewatered after runoff<br />

events. It is important to remember that<br />

proper hydrologic control techniques save<br />

lives, facilitate mining activities and protect<br />

our natural resources.<br />

WWC Engineering (WWC) is a full service,<br />

multi-disciplinary engineering firm that has<br />

been serving the energy industry in the Rocky<br />

Mountain region since 1980. For over 25 years<br />

WWC has been assisting mining clients in<br />

designing, developing and permitting mine<br />

plans and reclamation plans. WWC’s services<br />

cover the full spectrum of issues facing the<br />

mining industry today, including initial planning<br />

and lease acquisition, baseline studies,<br />

design of mining and reclamation plans,<br />

preparation of permit application documents,<br />

design of facilities to support operations, compliance<br />

monitoring, surveying, construction<br />

administration and bond release evaluation<br />

studies after mining is completed. WWC has<br />

worked with the largest and most progressive<br />

surface mines in the world, and has been serving<br />

many of these mines since their earliest<br />

years of operation. WWC has supported clients<br />

on mining projects located in <strong>Montana</strong>,<br />

Wyoming, Colorado, Tennessee, Louisiana,<br />

and Texas, as well as Australia. �<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 21


STILLWATER MINING COMPANY:<br />

Committed to<br />

environmental sustainability<br />

Stillwater <strong>Mining</strong> Company’s (SMC) proactive environmental stance,<br />

and its commitment to socially responsible management of its<br />

operations, has lead to cutting edge innovation and operational partnering<br />

which continues to be a model for the mining industry.<br />

WATER TREATMENT AND OPERATIONAL INNOVATION<br />

East Boulder Mine Water Treatment<br />

The East Boulder Mine is located near the pristine waters of the<br />

Boulder River, 32 miles southwest of Big Timber. The mine operates in<br />

a glacier-carved mountain valley in the Beartooth Mountains, where<br />

the East Boulder River forms the boundary of the permit area on the<br />

east and north sides. Protection of the East Boulder River is the number<br />

one priority within the environmental stewardship program at the<br />

East Boulder Mine. For more than ten years, since mining began, the<br />

East Boulder Mine has had no measurable impact on the surface<br />

water quality within the East Boulder River.<br />

Water management and water treatment at the East Boulder Mine<br />

is defined by a tradition of innovation. In 2008, the East Boulder Mine<br />

continued this tradition with additional improvements to the water<br />

treatment systems. Systems already in place include the mine water<br />

recycle system (80 to 90 percent water recycle/re-use), biological denitrification<br />

(biological treatment of nitrate), biological nitrification<br />

(treatment of ammonia), land application, and snowmaking. The biological<br />

treatment systems are very efficient in nitrate and ammonia<br />

removal. However, during the winter months colder water temperatures<br />

tend to inhibit biological activity and result in a moderate loss of<br />

treatment efficiency. During 2008, the East Boulder Mine installed a<br />

heat exchanger/boiler system that maintains a minimum water temperature<br />

of 12 degrees Celsius (53.6°F) throughout the biological treatment<br />

cells. The resulting biological water treatment during the 08/09<br />

22 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

Denitrification System at the East Boulder Mine.<br />

Aerial of Stillwater Mine.<br />

winter season (measured in percent nitrogen removed) has exceeded<br />

99 percent, and has set a new standard for winter time removal efficiencies<br />

at the mine site.<br />

Looking forward into <strong>2009</strong>, the East Boulder Mine is currently in the<br />

process of designing a reverse osmosis (RO) water treatment system<br />

that would function as a polishing cell or a backup system for the biological<br />

treatment systems. The RO system would have the flexibility to<br />

be used for mine water treatment or tailings water treatment in order<br />

to maintain the proper water balance, both in the underground mine<br />

and in the surface tailings storage facility. Improvements such as these<br />

further demonstrate Stillwater <strong>Mining</strong> Company’s commitment to the<br />

environment, and will help guarantee long-term protection of the surface<br />

water resources within the East Boulder valley.<br />

Stillwater Tertiary Treatment<br />

for Septic Waste Water<br />

The Stillwater Mine near Nye, <strong>Montana</strong> is located adjacent to the<br />

Stillwater River and is approximately two miles north of the Absaroka-<br />

Beartooth Wilderness Area. The Stillwater River flows through more<br />

than twenty miles of wilderness before spilling out into the rolling<br />

prairie and forested canyons along its 45 mile journey to the<br />

Yellowstone River near the town of Columbus.<br />

In order to protect surface water and groundwater resources within<br />

the Stillwater Valley, SMC made a decision to replace the existing septic<br />

and leach field system with a state-of-the-art AdvanTex Treatment<br />

System for wastewater treatment. The AdvanTex Treatment System is<br />

a multiple-pass, packed bed aerobic wastewater treatment technology<br />

specifically designed and engineered for long-term processing of<br />

wastewater. The treatment system utilizes textile media and naturallyoccurring<br />

microorganisms to biologically treat the wastewater. The


Biological control, part of the<br />

Weed Management Partnership.<br />

system is designed to re-circulate water through the treatment pods to<br />

achieve maximum treatment efficiency. Following treatment that<br />

includes ultraviolet water disinfection, Stillwater pumps the treated<br />

effluent to its existing Land Application System, where the treated<br />

wastewater is mixed with treated mine water, and land-applied via<br />

pivots to approximately 250 acres of pasture (owned and managed by<br />

Stillwater). Although considerably more expensive, Stillwater voluntarily<br />

elected to implement best-available technology to manage and<br />

treat waste water in an environmentally responsible and protective<br />

manner in order to safeguard the Stillwater River and groundwater<br />

sources down-gradient of the mine.<br />

PARTNERING – THE SOCIALLY<br />

RESPONSIBLE FORMULA FOR SUCCESS<br />

The Upper Stillwater<br />

Weed Management Partnership<br />

The Upper Stillwater Weed Management Partnership was formed in<br />

2005 to cooperatively and aggressively target weed management in<br />

the Upper Stillwater River Valley. The Partnership is composed of the<br />

U.S. Forest Service, Stillwater County Weed District, <strong>Montana</strong><br />

Department of State Lands, the Stillwater Mine, and local land owners.<br />

This cooperative weed district encompasses approximately 20<br />

square miles on either side of the Stillwater River starting at the<br />

wilderness boundary.<br />

The Partnership has been awarded a $250,000 Federal Grant to<br />

maximize weed control efforts in the management area over a threeyear<br />

period. The grant required at least 50 percent in matching funds,<br />

which Stillwater <strong>Mining</strong> Company provided through the documentation<br />

of ongoing environmental management activities occurring at the<br />

mine site totaling in excess of the $125,000. The focus of the efforts<br />

utilized a wide range of weed eradication and control technologies<br />

that included the placement of biological control insects, helicopter<br />

and backpack spraying, specialized chemical applications within the<br />

riparian corridor adjacent to the Stillwater River, and GPS weed mapping<br />

with long-term periodic assessments, just to name a few.<br />

Stillwater Mine feels fortunate to have been able to support and participate<br />

in this innovative and progressive approach to district-wide<br />

weed management control.<br />

Site overview.<br />

THE GOOD NEIGHBOR AGREEMENT (GNA)<br />

The GNA is a legally binding contract between the Stillwater <strong>Mining</strong><br />

Company and the Northern Plains Resource Council (a grassroots family<br />

farm and conservation organization). The agreement protects and<br />

enhances the region's quality of life while providing for responsible<br />

economic development. In its ninth year of implementation, the<br />

agreement continues to evolve from both an environmental and<br />

social perspective, and remains a model for responsible social change<br />

by eliminating the “Culture of Conflict” and initiating a productive<br />

venue for change and cooperation. �<br />

Stillwater Palladium<br />

makes more possible...<br />

Providing Employment Opportunities<br />

Stillwater <strong>Mining</strong> has been providing employment opportunities in <strong>Montana</strong> for more than twenty<br />

years. We currently employ over 1,600 people in a variety of careers and offer acompetitive wage,<br />

excellent health benefits, 401-K retirement plan, incentive bonuses and other benefits including<br />

transportation to mine sites.<br />

Stillwater <strong>Mining</strong> Company also offers training programs that are a model for the industry. The<br />

foundation for the training programs is our “Guide, Educate and Train (GET) Safe” process.<br />

We believe jobs at competitive wages and benefits along with the training programs<br />

contribute to quality workforce opportunities in <strong>Montana</strong>.<br />

www.stillwatermining.com | www.stillwaterpalladium.com<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 23


Made in<br />

MONTANA<br />

When you think of mining in <strong>Montana</strong>, talc may not be the first<br />

thing that comes to mind even though this unique mineral is<br />

prevalent in many <strong>Montana</strong> industries. Luzenac talc, mined and<br />

processed by Rio Tinto Minerals, is used by many companies for a<br />

variety of applications, many of which contribute to a better environment.<br />

One of the primary markets for Rio Tinto’s talc is for pitch and<br />

stickies control in the manufacture of paper and cardboard. When<br />

trees (known to pulp mills as “virgin fiber”) are converted to wood<br />

pulp, the fibers are torn apart and the sap is released. The oiladsorbing<br />

facets of the talc crystals have a high affinity to sap, so<br />

when talc is introduced, millions of finely-ground talc particles surround<br />

and coat each tiny drop of sap. This prevents the drops from<br />

sticking together and forming big sticky globs, and thereby damaging<br />

the machinery. Talc also replaces some of the fiber in the paper,<br />

meaning fewer trees need to be harvested.<br />

Many paper products are made from recycled wood fiber, such as<br />

the liner board (cardboard) made in the Frenchtown, MT plant<br />

24 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

P.O. Box 50370 • Billings, MT 59105<br />

1-800-999-6676<br />

www.westate.com<br />

The plastic and/or rubber insulation found on copper electrical wire and<br />

high voltage cable often contains talc produced from Rio Tinto Minerals.<br />

owned by Smurfit-Stone Container. For this use, the stickies have an<br />

opposite electrical charge, requiring the talc charge to be reversed.<br />

Under the Luzenac brand, Rio Tinto Minerals invented two products<br />

that meet this need and make this type of production possible.<br />

Moving on to agriculture, <strong>Montana</strong> is one of the largest U.S. producers<br />

of certified seed potatoes, producing around 3.5 million<br />

pounds yearly from areas around Manhattan, Dillon, Polson,<br />

Kalispell and Toston. These areas have short summers, cold winters,<br />

and most importantly, are isolated and contain very little disease<br />

vectors. The seed spuds are shipped to Washington, Idaho, Oregon,<br />

Wisconsin, Michigan, North and South Dakota, where they are replanted<br />

the next season and grown to maturity. Talc is used to coat<br />

Maximizing Performance<br />

Nordberg MP Series Cone Crushers<br />

With fi eld-proven technology in demanding<br />

mining operations, the MP800 and MP1000<br />

provide higher productivity and effi ciency:<br />

• Uniformity – rotating bowl compensates for<br />

uneven feed rates<br />

• Adaptability – operates at various speeds and<br />

cavity combinations<br />

• Reliability – hydraulic cavity clearing and setting<br />

adjustments minimize downtime<br />

• Simplicity – push-button disassembly for<br />

routine maintenance<br />

Call Westate Machinery today for more information<br />

www.metsominerals.com


the seed potatoes to keep them from sticking in the planting<br />

machines where they are cut, quartered and returned to the ground.<br />

Talc is also used in many types of plastic and rubber compounds,<br />

adding rigidity, impact resistance, dimensional stability, and reducing<br />

permeability. The plastic and/or rubber insulation found on copper<br />

electrical wire and high voltage cable often contains talc; some<br />

of this copper is produced in <strong>Montana</strong> by <strong>Montana</strong> Resources (Butte,<br />

MT), Stillwater <strong>Mining</strong> Company (Columbus, MT) and Revett Silver<br />

(Troy, MT).<br />

In a very environmentally-friendly function, talc is being used in<br />

the production of catalytic converters due to its dimensional stability<br />

at high temperatures. Automobiles use these converters to burn<br />

harmful pollutants from the exhaust system and convert them into<br />

harmless emissions such as water vapor, carbon dioxide, and nitrogen.<br />

The core of the converter is a ceramic honeycomb substrate; the<br />

honeycomb provides a large surface area for this process to take<br />

place. The honeycomb is coated with platinum and palladium<br />

metal, the catalysts that spur the combustion reaction. Platinum and<br />

palladium are mined and smelted by the only U.S. producer of these<br />

important metals, Stillwater <strong>Mining</strong> Company near Columbus, MT.<br />

Other automotive uses of talc include high performance polymers<br />

for the interior. Again, the dimensional stability of talc at high temperatures<br />

is an important property that allows auto manufacturers<br />

to attain a high quality fit and finish of interior parts. Under the<br />

Luzenac brand, Rio Tinto Minerals has developed advanced grades<br />

Intermountain West Energy<br />

150 Sheep Camp Road<br />

Whitehall, MT 59759-9647<br />

Phone: 406.287.3229<br />

Chris Hyle<br />

Technical / Sales Representative<br />

Cell: 406.490.3059<br />

iweblaster@aol.com<br />

of talc that reduce the overall weight of vehicles by “down-gauging”<br />

the thickness of parts including rubber tires and under-the-hood<br />

plastics and rubber. Lighter vehicles mean improved fuel mileage<br />

and lower emissions.<br />

As you can see, many of talc’s uses are quite ‘green’. When talc is<br />

combined with other raw materials, several of them “Made In<br />

<strong>Montana</strong>”, we improve the environment by reducing waste, making<br />

recycling more efficient, reducing air pollution and/or reducing fuel<br />

consumption and emissions.<br />

About Rio Tinto Minerals<br />

Rio Tinto Minerals operates a talc mine and two milling/packaging<br />

facilities in <strong>Montana</strong> and employs 140 people. The Yellowstone Mine<br />

is located 20 miles south of Ennis, MT in southern Madison County;<br />

annually, it supplies about 300,000 tons of crude ores to the Three<br />

Forks Mill and Sappington Mill, both located in western Gallatin<br />

County. The talc ores are pulverized and packaged at the mills and<br />

then shipped to customers in the U.S., Canada, Mexico, South America,<br />

Indonesia and Europe, serving the paper, rubber, paint, polymers,<br />

agriculture and ceramics markets.<br />

The operations have been a subsidiary of Rio Tinto (the world’s<br />

third largest mining company) for the last 15 years, operating under<br />

the banner of the Luzenac talc group since 1992. In 2006, Luzenac<br />

joined forces with two Rio Tinto sister companies – Borax and Dampier<br />

– to form Rio Tinto Minerals. �<br />

TETRA TECH<br />

Supporting the<br />

<strong>Montana</strong> <strong>Mining</strong> Industry<br />

since 1959<br />

Environmental Engineering Consulting<br />

Billings<br />

406.248.9161<br />

Bozeman<br />

406.582.8780<br />

Helena<br />

406.443.5210<br />

Missoula<br />

406.543.3045<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 25


American <strong>Mining</strong><br />

Insurance Company:<br />

Insurance from people who know mining<br />

American <strong>Mining</strong> has recently started writing insurance in several<br />

additional western states including <strong>Montana</strong>. We may be new to<br />

<strong>Montana</strong>, but we’ve specialized in providing insurance protection to<br />

the mining industry since 1989. As American <strong>Mining</strong> has grown and<br />

expanded geographically, it has become the preferred provider of<br />

insurance coverages to many within the mining and aggregates industries.<br />

Offering primarily Workers’ Compensation insurance, American<br />

<strong>Mining</strong> also provides General Liability, Pollution Liability, Commercial<br />

Automobile and Umbrella coverage.<br />

In 2007, American <strong>Mining</strong> became a part of the W. R. Berkley<br />

Corporation (NYSE: BER). As a part of the W. R. Berkley Corporation,<br />

American <strong>Mining</strong> Insurance Company has even greater financial<br />

strength, an A. M. Best rating of A+ (Superior), and the ability to grow<br />

and expand into additional states. This expansion includes significant<br />

growth in the western United States, including <strong>Montana</strong>.<br />

26 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

Though American <strong>Mining</strong> is a recent addition to the W. R. Berkley<br />

Corporation, the leadership remains the same and continues to show a<br />

long-term commitment to the company and to the mining industry.<br />

Chandler F. Cox, Jr., American <strong>Mining</strong>'s president and chief executive<br />

officer, and Dominick Giovannelli, its executive vice president and chief<br />

financial officer, co-founded American <strong>Mining</strong> in 1989 and each have<br />

over 25 years of experience in the insurance industry.<br />

William R. Berkley, chairman of the board and chief executive officer<br />

of W. R. Berkley Corporation, says, “The operations of American<br />

<strong>Mining</strong> have a special expertise in addressing the insurance needs of<br />

the mining operations marketplace, and should benefit from the additional<br />

resources that W. R. Berkley Corporation can offer.”<br />

This expertise extends throughout the company. Many employees<br />

have been with American <strong>Mining</strong> since 1989. Others have been in the<br />

insurance industry for decades. Still others have experience with both


mining and insurance, having worked in the mining industry before<br />

joining American <strong>Mining</strong>. Many employees have taken mine tours to<br />

better understand the complex world of both surface and underground<br />

mining, while others have a long family history of mining.<br />

American <strong>Mining</strong> Insurance Company distributes insurance products<br />

through a network of local independent insurance agents, and<br />

offers insurance coverage for the following types of mines: sand and<br />

gravel, coal, copper, rock quarries, gold and silver, clay, shale, and limestone.<br />

Please visit www.American<strong>Mining</strong>.com to learn more.<br />

Founded in 1967, W. R. Berkley Corporation is an insurance hold-<br />

ing company that is among the largest commercial lines writers in the<br />

United States and operates in five segments of the property casualty<br />

insurance business: specialty insurance, regional property casualty<br />

insurance, alternative markets, reinsurance, and international. W. R.<br />

Berkley Corporation is a Fortune 500 Company listed on the New York<br />

Stock Exchange under the symbol BER. �<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 27


DYWIDAG-SYSTEMS<br />

INTERNATIONAL<br />

DUO Speed Resin<br />

Martinsburg, WV – DSI <strong>Mining</strong> Ameri -<br />

cas is the first to offer two different<br />

resin speeds in the same cartridge to the<br />

North America market with the DUO<br />

Speed offering from DSI – FASLOC.<br />

DSI, the global leader in ground support<br />

technologies, developed the DUO Speed<br />

product to meet the demands of the<br />

Australian market. It was successfully<br />

launched in the fall of 2008 and early in<br />

<strong>2009</strong>, DSI is now offering the DUO Speed<br />

product to the North American marketplace.<br />

DSI – FASLOC is the premium resin global<br />

producer and a leader in global resin<br />

technology, with over 30 years of resin<br />

development experience. Having developed<br />

the DUO Speed product to provide<br />

solutions for improved materials handling<br />

during the roof bolting process and for<br />

reductions in inventory at the request of<br />

key customers, a rigorous development<br />

and testing program has been ongoing to<br />

ensure that the improved resin meets and<br />

exceeds the needs of the coal and metal<br />

mining industries.<br />

The fast and slow resins were formerly<br />

provided in separate cartridges. Now fast<br />

and slow resins can be provided in one<br />

convenient cartridge, simplifying inventory,<br />

reducing material to be transported<br />

underground, and reducing bolting cycle<br />

times.<br />

The new resins further maximize load<br />

transfer at the bolt rock interface by improving<br />

the frictional fit rather than solely seeking<br />

high compressive values in the cured resin.<br />

28 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

DUO<br />

Speed has<br />

the following<br />

features:<br />

Designed specifically for the mining<br />

and tunneling industries.<br />

Cartridges are viscosity matched for specific<br />

bolting applications.<br />

The fast and slow resins are identified by<br />

color so the cartridge can be properly<br />

oriented during installation.<br />

The new resins are designed to maximize<br />

load transfer at the bolt rock interface<br />

by improving the frictional fit rather<br />

than solely seeking high compressive<br />

values in the cured resin.<br />

DUO Speed has the following customer<br />

benefits:<br />

Easier inventory management.<br />

Less material to transport to the working<br />

face.<br />

Simpler to install.<br />

Time savings per installation.<br />

Currently DUO Speed is offered in the<br />

following configurations:<br />

A-Series Tension Rebar Applications (3/4<br />

inch bolt – 1 inch hole).<br />

B-Series Tension Rebar Applications (5/8<br />

inch bolt – 1 inch hole).<br />

H-Series Tension Rebar Applications (7/8<br />

inch bolt – 1-3/8 inch hole).<br />

DSI technical service representatives are<br />

backed by local teams of engineers who<br />

have immediate access to the latest worldwide<br />

technology through the DSI global<br />

network, and are able to provide a more<br />

complete ground support service with in<br />

house laboratory resin testing and 24-hour<br />

access to a library of lineage traceable<br />

retained resin samples.<br />

The new DSI resins are in stock and<br />

available now; please contact your<br />

nearest DSI technical service representative<br />

for information, call (800)<br />

332-3338 or visit the website are<br />

www.dsiminingproducts.com. �


DSI the Global Technology<br />

Ground Support Leader<br />

DYWIDAG Systems International (DSI), a market leader in mining products for over thirty years brings the mining<br />

and tunneling industry an improved line of resin products to compliment their full-service line of mine support<br />

products. DUO Speed Resin has been designed to incorporate two distinct resins, one fast and one slow, in a<br />

single cartridge. Now fast and slow resins can be provided in one convenient cartridge, simplifying inventory,<br />

reducing material to be transported underground, and reducing bolting cycle times.<br />

Designed specifically for the mining and tunneling industries<br />

��������������������������������������������������������������������<br />

����������������������������������������������������������������������������������������������������������������<br />

�������������������������������������������������������������������������������������������������������������������<br />

rather than solely seeking high compressive values in the cured resin<br />

������������������������<br />

������������������������������<br />

�������������������������������������������������<br />

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Local Presence – Global Competence MINING SYSTEMS<br />

www.dsiminingproducts.com<br />

Mechanical Rock Bolts<br />

Extension Bolts<br />

Stelpipe Bolts<br />

Rebar Rock Bolts<br />

Cable Bolts<br />

Friction Stabilizers &<br />

Expandable Bolts<br />

Trusses & Slings<br />

Fiberglass Bolts<br />

Resins &<br />

Cement Cartridges<br />

Mesh, Straps &<br />

Plate Washers<br />

Eyebolts, Scaling Bars &<br />

Utility Hangers<br />

Lattice Girders<br />

Steel Arches & Props<br />

High Performance Grouts<br />

Drilling Fluids<br />

Australia, Bennetts Green/ Australia, Newcastle, NSW / Australia, Perth, WA / Mexico, Zapopan, Jalisco / Chile, Santiago de Chile<br />

Canada, Sudbury, ON / Canada, Saskatoon, SK / Canada, Rouyn-Noranda, PQ / Canada, Yellowknife, NT / South Africa, Johannesburg<br />

DSI <strong>Mining</strong> & Tunneling Products<br />

USA Locations<br />

Salt Lake City, UT / Martinsburg, WV / Cambridge, OH / Bristol, VA / Louisville, KY / Abingdon, VA<br />

DSI Offers a Complete<br />

Product Line<br />

DYWIDAG-SYSTEMS<br />

INTERNATIONAL<br />

Martinsburg - WV - USA<br />

Phone: (800) 332-3338<br />

Fax: (304) 274-4184<br />

E-Mail: dsimining@dsimining.com


Holcim’s Trident plant<br />

continues to remain productive<br />

Maintains strong focus on product quality,<br />

safety initiatives and environmental protection<br />

Holcim’s Trident Cement Plant in Three<br />

Forks has been gearing up to celebrate<br />

its centenary in 2010. The plant has stood at<br />

the headwaters of the Missouri River for<br />

nearly 100 years; a century before the construction<br />

of the plant, Lewis and Clark’s epic<br />

journey brought the explorers to the<br />

30 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

Headwaters Corridor, an event mentioned in<br />

William Clark’s journal, where he also commented<br />

on the massive limestone formations<br />

in the area. In the years since, those<br />

limestone deposits have provided the raw<br />

material for the millions of metric tons of<br />

cement the plant has produced over its his-<br />

tory. That cement product, in turn, has gone<br />

into the development of much of <strong>Montana</strong>’s<br />

infrastructure, providing the basic material<br />

for many of the region’s roads, bridges,<br />

buildings and other structures.<br />

Trident’s products are highly regarded for<br />

consistency and quality. The plant produces<br />

traditional ASTM C-150 cements, but is<br />

actively developing new products including<br />

its Envirocore family of products, which<br />

require less energy to produce yet meet the<br />

high demands of the construction industry.<br />

In addition to <strong>Montana</strong>, Trident cement is<br />

marketed in Wyoming and Idaho and in<br />

Canada, in the provinces of Alberta and<br />

Saskatchewan. The plant’s products are marketed<br />

directly from the plant, as well as<br />

through a system of distribution terminals<br />

stretching from Twin Falls, Idaho, to<br />

Edmonton, Alberta. Customer market segments<br />

for Holcim cement products include<br />

ready mix companies, paving contractors,<br />

block and precast producers, energy (oil)<br />

development, and mining operations.<br />

Holcim’s Trident plant has sustained this<br />

level of productivity with a focus on safety


and a respect for the environment. The<br />

Trident plant is registered as an ISO 14001<br />

facility, and has an environmental management<br />

system in place to help ensure it<br />

operates efficiently and in compliance<br />

with all applicable federal, state, local and<br />

company regulations and standards. As a<br />

testament to its commitment to worker safety,<br />

on February 21, <strong>2009</strong>, the plant celebrated<br />

seven years without a lost time accident.<br />

By increasing the awareness of its life<br />

saving cardinal rules (see sidebar), Holcim<br />

continues to work towards “zero harm”<br />

to anyone.<br />

While the Holcim Trident plant has a long<br />

history of contributing to <strong>Montana</strong>’s growth<br />

and the region’s development overall, the<br />

company’s vision is to continue to provide<br />

HOLCIM: SAFETY FIRST<br />

CARDINAL RULES ARE LIFE SAVING RULES<br />

foundations for society’s future, while<br />

reducing its emissions and its ecological<br />

footprint. It seeks to achieve this goal by<br />

ensuring a more efficient and sustainable<br />

use of its products.<br />

One example of this commitment to<br />

sustainable development is the company’s<br />

worldwide goal of reducing CO 2 emissions<br />

by 20 percent by the year 2010, compared<br />

to 1990-level emissions. The Trident plant’s<br />

parent company, Holcim Ltd., is active in several<br />

prestigious environmental organizations<br />

including Chair of the Energy and Climate<br />

Working Group of the World Business<br />

Council on Sustainable Develop ment; Chair<br />

of the Climate Change Task force, Cement<br />

Sustainability Initiative; member of the<br />

Pew Center on Global Climate Change; and<br />

charter member of the EPA’s Climate Leaders<br />

Program.<br />

In the first half of each year, the company<br />

shuts the plant down for routine maintenance<br />

for a period of approximately two<br />

weeks. During this time, many wear parts<br />

are replaced and repairs to worn components<br />

on the crusher, raw mill and kiln systems<br />

are completed, in order to ensure the<br />

plant continues to operate efficiently for the<br />

remainder of the year.<br />

If anyone is interested coming to the plant<br />

to see Holcim’s process and meet<br />

Holcim’s people, please contact<br />

Mike Mullaney at<br />

406-285-4970 or at<br />

mike.mullaney@holcim.com. �<br />

Cardinal Rules<br />

1.Do not override or interfere with any safety provision, nor allow anyone else to override or interfere with them.<br />

2.PPE rules, applicable to a given task, must be adhered to at all times.<br />

3.Isolation and lock out procedures must always be followed. Life Saving<br />

4.No person may work if under the influence of alcohol or drugs.<br />

5.All injuries and incidents must be reported.<br />

Rules<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 31


Mighty tough –<br />

THE ALL-NEW MT6300AC FROM TEREX IS HERE<br />

Terex continues to build its legacy as a pioneer and innovator in the<br />

mining truck industry. It’s this dedication to innovation that has<br />

led the company to become the only large-truck manufacturer that<br />

offers a complete line of AC drive trucks. Take, for example, the<br />

MT6300AC – the massive, powerful new hauler from Terex and the<br />

world’s first true 400-ton (363-tonne) haul truck. Its entirely unique<br />

design was conceived from the ground up, it’s not based on or modified<br />

from an existing truck model.<br />

“If you want to give customers a unique, unparalleled truck, you<br />

have to create one,” says Harry Bussmann, vice president of Terex<br />

<strong>Mining</strong>. “That’s what we’ve done with this outstanding truck. The<br />

MT6300AC truly stands alone as a leading hauler.”<br />

The MT6300AC offers customers an incredible array of features and<br />

benefits, most notably its industry-leading payload of 400 tons (363<br />

tonnes). From front to back and top to bottom, the MT6300AC’s design<br />

gives users unmatched production and hauling capabilities — as well<br />

as an unforgettable operator experience.<br />

What, exactly, goes into making the MT6300AC such an innovative<br />

hauler? See for yourself:<br />

A solid foundation<br />

The MT6300AC is built to take on the harshest environments and<br />

most challenging conditions—including demanding oil sands operations.<br />

So Terex gave it the exceptional ground clearance of up to 36<br />

inches (91 cm) for the front axle when fully loaded. In addition, its<br />

proven suspension is designed to perform under the most severe and<br />

challenging road conditions. At the same time, the MT6300AC also features<br />

a low center of gravity, enhancing safety and stability.<br />

On the right track<br />

When it comes to drive systems, the MT6300AC isn’t just best in class;<br />

it’s the only one of its kind in class. The MT6300AC’s drive system and<br />

its triple-reductive rear wheel enables the hauler to pull away from the<br />

shovel more quickly and easily.<br />

Take a load off<br />

The MT6300AC features a hybrid, high-efficiency dump body, highlighted<br />

by a unique curvature design for its front, floor and canopy,<br />

which facilitates easier dumping. It also features an innovative heat<br />

option, which makes discharging sticky material like oil sands easier.<br />

Life expectancy is estimated to be 40,000 hours. Specially designed runners<br />

within the body design transfer weight to the frame, and joint isolation<br />

helps reinforce the body’s welded areas. Taken as a whole, the<br />

MT6300AC’s dump body design is ready for heavy-duty action.<br />

32 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

Operator comforts<br />

As rugged as it is on the outside, the MT6300AC is as refined on the<br />

inside, offering customers a larger, longer cab. It gives operators noticeably<br />

more legroom, thanks to two full-size adjustable seats, plenty of<br />

storage, power windows, integral ROPS, a curved windshield and a<br />

peripheral visibility range of 191 degrees.<br />

The power is yours<br />

The MT6300AC is a class leader in more than just ground clearance.<br />

It’s also head of its class in the power department, behind the strength<br />

and stamina of its MTU/Detroit Diesel® C Series engine, which cranks<br />

out 3,750 hp (2,796 kW). That’s a full 250 hp (186 kW) more than its<br />

competition.<br />

Inside and out, the MT6300AC stands ready to make a huge impact<br />

on the hauler market. It truly is, as Bussmann describes it, “an innovative,<br />

impressive truck. We’re eager for the world to experience it firsthand.”<br />

No other company offers the haul truck options and performance<br />

capabilities that Terex does. There’s more to successful mining than just<br />

mining. You also need to move what you mine off-site quickly, efficiently<br />

and in large amounts. Terex understands this, which is why, no<br />

matter what size the mining operation, we design and manufacture<br />

haul trucks that have been setting the industry standard and meeting<br />

our customers’ specific challenges.<br />

About Terex<br />

Terex Corporation is a diversified global manufacturer with 2007 net<br />

sales of more than $9.1 billion. Terex operates in four business segments:<br />

Terex Aerial Work Platforms, Terex Construction, Terex Cranes<br />

and Terex Materials Processing & <strong>Mining</strong>. Terex manufactures a broad<br />

range of equipment for use in various industries, including the construction,<br />

infrastructure, quarrying, mining, shipping, transportation,<br />

refining, and utility industries. Terex offers a complete line of financial<br />

products and services to assist in the acquisition of Terex equipment<br />

through Terex Financial Services. More information on Terex can be<br />

found at www.terex.com.<br />

Terex <strong>Mining</strong> 5601 Granite Parkway, Ste. 500, Plano, TX, 75024, USA<br />

www.terexmining.com.<br />

Further contact information:<br />

Lou McDuffy, Marketing Services Manager<br />

Terex <strong>Mining</strong><br />

5601 Granite Parkway, Ste. 500<br />

Plano, TX, 75024 USA<br />

(972) 265-7110 �


MOVING YOU TOWARD<br />

GREATER PRODUCTIVITY<br />

When it comes to effi ciently moving materials off mining sites, Terex ® Unit Rig haul trucks deliver time and again.<br />

Providing a complete line of AC drive trucks with payload capacities ranging from 150 to 400 tons (136 to 363 tonnes),<br />

Terex Unit Rig, an industry innovator, manufactures the MT6300AC, the fi rst 400-ton (363-tonne) truck built from the<br />

ground up. Terex ® Unit Rig haul trucks are prepared to move you to greater levels of productivity.<br />

TEREX MINING. TOGETHER, WE WORK.<br />

Terex ® Unit Rig Haul Trucks<br />

All Terex ® Unit Rig haul trucks feature an advanced beam-axle suspension, which helps ensure<br />

long frame life, very low maintenance requirements, high productivity, a roomy cab and a smooth<br />

ride. Other rugged design features on the Terex ® Unit Rig family of haul trucks include:<br />

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controlled rolled steel<br />

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Contact us today for more about the Terex ® Unit Rig Haul Trucks.<br />

Interstate PowerSystems<br />

1140 Main St., Billings, MT 59105<br />

(+1) 406 252-4191, 800 823-4334<br />

www.istate.com<br />

Terex ® is a registered trademark of Terex Corporation in the United States of America and many other countries. ©2008 Terex Corporation.<br />

Interstate PowerSystems is an authorized distributor of Terex <strong>Mining</strong> products.


At Revett’s Troy Mine,<br />

dedicated employees<br />

are the key to success<br />

By Carson Rife<br />

During the fourth quarter of 2008 and<br />

the first quarter of <strong>2009</strong>, Revett officials<br />

were shown what their employees at<br />

the Troy Mine were really made of. As the<br />

world and U.S. economies headed into crisis<br />

mode, global manufacturing and construction<br />

came to a halt followed quickly<br />

by abrupt declines in copper and silver<br />

prices. Numerous mines across the country<br />

were either cutting back production and<br />

laying off employees, or shutting operations<br />

down completely.<br />

Due to the plummeting metal prices in<br />

the last half of 2008, Revett incurred<br />

approximately $11 million in negative<br />

price adjustments in concentrate sales,<br />

which quickly consumed working capital.<br />

The future was not looking good. What was<br />

the reaction of the Troy employees to all of<br />

this? Quite simply, their reaction was,<br />

“Okay, we know that times are tough, but<br />

what do we need to do to continue operations?”<br />

and “Tell us what we need to do.”<br />

We reviewed the options, considered<br />

the prospects of future metal prices, and<br />

decided to take a gamble. The single<br />

biggest factor in our final decision was the<br />

“Common Chemicals With Uncommon Service”<br />

Chemical <strong>Montana</strong> Company<br />

2000 Boulder Avenue Helena, MT 59601<br />

(406) 442-8900 • Fax (406) 442-8035<br />

Greg Peterson - PRESIDENT<br />

Mark McAlmond - OPERATIONS MANAGER<br />

LOCALLY OWNED & OPERATED<br />

Proudly serving the mining industry with a full line of<br />

chemical reagents, water treatment, refinery and<br />

speciality chemicals. Make us your one stop shop for all<br />

your chemical needs. Total inventory management and<br />

technical services available. One drum or one truckload<br />

give us a call we are ready to serve you.<br />

Toll Free 1-800-242-6515 email: cmcompany1008@qwestoffice.net<br />

34 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

considerable progress made by the Troy<br />

employees in increasing production and<br />

reducing costs in the fourth quarter while<br />

maintaining proper focus on safety. This<br />

tipped the scales toward a decision to continue<br />

operations. Our feeling was, if we<br />

could make it through the first quarter of<br />

<strong>2009</strong>, metal prices might recover enough<br />

to justify continuing operations. In a nutshell,<br />

we decided that our company was<br />

worth fighting for. Our employees are The<br />

Company, and they definitely are worth


fighting for. Obviously, employees did not<br />

want to quit, so the decision was made to<br />

“go for it”.<br />

Firstly, on December 12th, due to the<br />

uncertainty brought about by the metal<br />

price collapse, a required 60-day notice<br />

was given to all our employees under the<br />

Worker Adjustment and Retraining<br />

Notification (WARN) Act that “operations<br />

may be placed on care and maintenance if<br />

metal prices remain at currently depressed<br />

levels”. Also, a 10 percent “across the<br />

board” wage reduction for all employees at<br />

Troy (coupled with a 20 percent reduction<br />

at the corporate level) was implemented.<br />

Comments were solicited from employees<br />

for any possible ideas to reduce costs and<br />

improve production. An action plan was<br />

put together and the results have been significant.<br />

Secondly, we met with our concentrate<br />

buyer and worked out an agreement for<br />

repayment of the remaining amount owed<br />

(approximately $4 million). Meetings were<br />

held with employees to discuss cost control<br />

and production improvement details. The<br />

employees have held up to their end of the<br />

bargain and then some.<br />

The chart on the preceding page shows<br />

monthly ore production (tons per day) and<br />

operating costs ($ per ton) during the last<br />

half of 2008 and through January of <strong>2009</strong>.<br />

As the chart clearly shows, we have reason<br />

to remain optimistic about the future<br />

of the Troy Mine. While much work<br />

remains to be done and the company is in<br />

the process of soliciting additional financing,<br />

we remain hopeful. What better “economic<br />

stimulus” can there be than continuing<br />

to keep existing employees working to<br />

produce the minerals required for preserving<br />

the quality of life that we’ve all come<br />

to expect?<br />

While there certainly are no guarantees<br />

as we move forward, we strongly believe in<br />

our employees and therefore in the future<br />

at Troy. Given the remaining reserve base<br />

of approximately six years and additional<br />

exploration potential around the mine, if<br />

copper and silver prices hold at current<br />

levels and eventually return to higher levels,<br />

the Troy mine could be in operation<br />

for many years to come.<br />

The Troy Mine is operated by Genesis,<br />

Inc., a subsidiary of Revett Silver. The underground<br />

copper-silver mine is located 15<br />

miles southwest of Troy in Lincoln County,<br />

and employs about 180 workers. The company<br />

has fully funded all reclamation obligations<br />

and <strong>Montana</strong> DEQ holds a reclamation<br />

bond in the amount of $12.9 million.<br />

Revett has completed the permitting of<br />

the Rock Creek Mine, located nearby in<br />

Sanders County, and is in the final stages of<br />

litigating opposition brought by a number<br />

of environmental groups. Revett has provided<br />

interim funding for the hiring of two<br />

MFWP employees as a key part of the Rock<br />

Creek grizzly bear mitigation plan. Like<br />

Troy, Rock Creek will be an underground<br />

copper-silver mine and will employ about<br />

250 to 300 workers. �<br />

Right Size. Maximum Yield.<br />

Minimum Fines. Every Time.<br />

That’s a Gundlach Roll Crusher.<br />

When precise coal product sizing with fewer fines and maximized yield is<br />

important, Gundlach Roll Crushers get it right. Every time. Every day. Day after<br />

day. And with its patented Nitroil ® Adjustment and Relief System, Gundlach<br />

Roll Crushers even let you produce different sized, precisely sized product<br />

on-the-fly.<br />

Find out why Gundlach Roll Crushers and CAGE-PAKTOR ®<br />

cage mills are the preferred crushing solutions<br />

for coal, potash, salts and lime.<br />

Learn more at<br />

www.Gundlach.us/mm<br />

Gundlach Roll Crusher<br />

High Capacity – Coal up to 10,000 TPH<br />

Size Control – Adjustable while operating<br />

Non-Crushables – Automatic passing and reset<br />

Precise Product Sized for Maximum Yield<br />

��������<br />

Gundlach Equipment Corp., One Freedom Drive, Belleville, Illinois 62226 USA<br />

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<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 35


The Northwest <strong>Mining</strong> <strong>Association</strong>:<br />

Representing mining interests<br />

throughout North America<br />

The Northwest <strong>Mining</strong> <strong>Association</strong><br />

(NWMA) is a 114-year old non-profit,<br />

non-partisan trade association boasting<br />

1,965 members. Founded in Spokane,<br />

Washington during the early years of the<br />

Coeur d’Alene <strong>Mining</strong> District, the association<br />

was soon supporting the mining industry<br />

throughout the states of Alaska, Idaho,<br />

<strong>Montana</strong>, Oregon and Washington, and<br />

Alberta, British Columbia, the Yukon and<br />

Northwest Territories in Canada.<br />

Today, NWMA is a regional association representing<br />

our members’ interests throughout<br />

the United States and Canada. NWMA members<br />

reside in 40 U.S. states, six Canadian<br />

provinces or territories, and 11 other countries.<br />

NWMA serves in the role of the state<br />

mining association for Oregon and<br />

Washington State, and as the American voice<br />

for exploration and access to public lands.<br />

NWMA also works closely with the National<br />

<strong>Mining</strong> <strong>Association</strong>, state mining associations<br />

in the western United States, and occasionally<br />

with provincial and regional mining associations<br />

throughout Canada.<br />

The NWMA Annual Meeting and<br />

Exposition, held the first week of December,<br />

is considered to be one of the preeminent<br />

annual mining conventions in North<br />

America featuring short courses, technical,<br />

legislative and policy sessions, and a 240booth<br />

trade exposition. The technical program<br />

emphasizes exploration and development,<br />

operations, geophysics, metallurgy<br />

Meeting Meeting the the the Workforce Workforce Training Training<br />

Needs Needs for for for the the the Extraction Extraction Industry Industry<br />

Programs in:<br />

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Call today to learn more about<br />

courses, certificates and degree programs<br />

36 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

1-800-226-1181<br />

www.wwcc.wy.edu<br />

admissions@wwcc.wy.edu<br />

and environmental technology. The meeting<br />

has been held every year since 1895, and<br />

attracts more than 2,000 attendees from all<br />

over the world.<br />

NWMA’s objectives are to support and<br />

advance the mineral resource and related<br />

industries; represent and inform members<br />

on technical, legislative and regulatory<br />

issues; provide for the dissemination of educational<br />

materials related to mining; and to<br />

foster and promote economic opportunity<br />

and environmentally-responsible mining.<br />

NWMA is recognized as an innovative and<br />

proactive leader in addressing the needs of<br />

an increasingly global mining industry.<br />

Working in concert with the <strong>Montana</strong> <strong>Mining</strong><br />

<strong>Association</strong> and other mining associations,<br />

NWMA has a proven track record in successfully<br />

influencing the outcome of political dialogue,<br />

building effective working strategies<br />

with key elected officials, and developing<br />

and coordinating industry’s response to legislative<br />

and regulatory issues. NWMA is also a<br />

GARDAR G. DAHL JR.<br />

1595 Riverbend Road<br />

Superior, MT 59872<br />

Tel: 406.822.0027<br />

Fax: 406-822-0027<br />

Email: gardahl@aol.com


leader in building coalitions with other<br />

groups representing natural resource producers,<br />

as well as with people interested in<br />

multiple-use of public lands and in galvanizing<br />

grassroots cultures.<br />

The association’s work on issues of concern<br />

to its members is conducted through a<br />

number of standing and ad hoc committees,<br />

chaired by members who work closely with<br />

NWMA's dedicated staff. NWMA’s success over<br />

the years is due to the dedication and commitment<br />

of such members who voluntarily<br />

serve on our committees.<br />

Some of NWMA’s recent accomplishments<br />

on behalf of its members and the mining<br />

industry include:<br />

Helping to lead industry efforts to try to<br />

defeat chairman Rahall’s Hardrock <strong>Mining</strong><br />

and Recla mation Act of 2007 (H.R. 2262).<br />

NWMA’s executive director made six teen<br />

trips to Washington, DC, meeting with<br />

Members of Congress and their staffs,<br />

pointing out the problems with H.R. 2262.<br />

NWMA retained a seasoned and respected<br />

Washing ton, DC-based government affairs<br />

representative to assist in these efforts.<br />

NWMA helped secure a strong Statement<br />

of Administration Policy (SAP) against H.R.<br />

2262, which included a recommendation<br />

by the President’s senior advisors to veto<br />

the bill should it reach his desk, by providing<br />

a legal memorandum concluding<br />

that H.R. 2262’s imposition of a royalty on<br />

mineral production from existing, valid<br />

unpatented mining claims is unconstitutional<br />

and violates the Takings Clause of<br />

the Fifth Amendment of the U.S.<br />

Constitution. The legal analysis was<br />

requested by the House Energy and<br />

Mineral Resources Minority staff and<br />

delivered to the White House Office of<br />

Management and Budget (OMB).<br />

At the request of Senate staff, NWMA produced<br />

a White Paper rebutting allegations<br />

of the Pew Campaign for Responsible<br />

<strong>Mining</strong> that modern mines are polluting<br />

the environment and will become tomorrow’s<br />

abandoned mines. This NWMA<br />

White Paper clearly demonstrates how<br />

modern environmental laws and regulations<br />

governing mining produce fullybonded,<br />

environmentally responsible<br />

mines that will not become future abandoned<br />

mines.<br />

Provided testimony on Abandoned Mine<br />

Land issues at the October 2, 2007 House<br />

Energy and Mineral Resources Sub -<br />

committee hearing on H.R. 2262, and the<br />

March 12, 2008 legislative hearing in the<br />

Senate Energy and Natural Resources<br />

Committee.<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 37


Worked closely with the <strong>Montana</strong> <strong>Mining</strong><br />

<strong>Association</strong> and NWMA members active in<br />

<strong>Montana</strong> to convince the <strong>Montana</strong><br />

Department of Environmental Quality to<br />

oppose a rule that would have required<br />

all mines in <strong>Montana</strong> to demonstrate at<br />

the time an operating permit was granted<br />

that the mine could be fully reclaimed<br />

with no active or passive water treatment<br />

required within two years after the last<br />

ore was extracted. In announcing<br />

<strong>Montana</strong> DEQ’s opposition to the proposed<br />

rule, <strong>Montana</strong> DEQ cited the problems<br />

and reasons raised in NWMA’s comments.<br />

Worked with the USFS Washington, DC<br />

office to ensure that draft Environmental<br />

Impact Statements do not include a<br />

detailed discussion of bonding or bond<br />

calculations.<br />

Produced White Papers (1) demonstrating<br />

that the environmental provisions of the<br />

House <strong>Mining</strong> Law bill (H.R. 2262 now<br />

H.R. 699) are solutions in search of a<br />

problem that doesn’t exist; and (2) chronicling<br />

the evolution of federal and state<br />

reclamation bonding requirements for<br />

hardrock exploration and mining projects,<br />

in order to document how state and<br />

federal regulators, working with industry,<br />

have used existing regulatory authorities<br />

to respond to shortcomings in the reclamation<br />

bonding program.<br />

Never an organization to rest on its past<br />

accomplishments, here are but a few of the<br />

current issues NWMA is presently working<br />

on, on behalf of its members:<br />

CASTINGS, FABRICATION, MACHINING AND FIELD CONSTRUCTION<br />

1015 East Sixth Street, Anaconda, MT 59711<br />

Phone: 1-406-563-8494 • Toll Free: 1-800-782-3326<br />

Visit us on the web: affcomfg.com<br />

38 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

<strong>Mining</strong> Law – In addition to its work<br />

opposing H.R. 2262 (the Rahall bill) in<br />

2007, NWMA is working closely with the<br />

National <strong>Mining</strong> <strong>Association</strong> (NMA) and<br />

other industry groups to oppose H.R. 699,<br />

The Hardrock <strong>Mining</strong> and Reclamation<br />

Act of <strong>2009</strong> and the recently introduced<br />

<strong>Mining</strong> Law bill (S. 796) in the Senate by<br />

Senate Energy & Natural Resources<br />

Committee Chairman Jeff Bingaman (D-<br />

NM). H.R. 699 is identical to H.R. 2262.<br />

We are working to produce a <strong>Mining</strong><br />

Law alternative to H.R. 699 and S. 796 that<br />

would ensure a viable domestic mining<br />

industry. We are providing an on-theground<br />

voice for the junior mining company<br />

and exploration sectors of the U.S. mining<br />

industry, to ensure that any revisions to<br />

the <strong>Mining</strong> Law do not overly burden<br />

exploration and development and that<br />

access to mineral deposits on public lands<br />

is protected.<br />

Our priorities include preventing<br />

unnecessary withdrawal of lands from mineral<br />

entry; retaining the right of self-initiation<br />

and the current mining claim system;<br />

establishing an abandoned mine land fund<br />

to address historic abandoned mines; ensuring<br />

that one has the right to use and occupy<br />

a mining claim for purposes reasonably incident<br />

to mining from entry through closure;<br />

ensuring that any royalty or production payment<br />

is fair, both to the American public<br />

and the mining industry; and ensuring that<br />

claim location and maintenance fees<br />

remain reasonable, and do not become an<br />

impediment to exploration.<br />

Economic Recovery – NWMA is working to<br />

educate the Administration, Members of<br />

Congress, the media and the public that<br />

mining is indispensable to economic<br />

recovery and energy independence; that<br />

historically, mining has led the nation out<br />

of recession and is poised to do it again;<br />

and that mining provides an economic<br />

stimulus package that doesn’t require<br />

deficit spending or cost tax payers a dime.<br />

Arizona Strip – NWMA has retained<br />

Mountain States Legal Foundation and<br />

intervened on behalf of its members in<br />

Center for Biological Diversity v<br />

Kempthorne. This lawsuit seeks to compel<br />

the Secretary of the Interior to withdraw<br />

more than one million acres from mineral<br />

entry. The area contains more than 40<br />

percent of known U.S. uranium deposits.<br />

NWMA opposes the withdrawal and seeks<br />

to have the Federal Land Policy and<br />

Management Act’s (FLPMA) emergency<br />

withdrawal regulations declared unconstitutional.<br />

More information about these issues can<br />

be found on NWMA’s website at<br />

www.nwma.org. The website is kept up-todate<br />

with the latest news about issues affect<br />

the domestic mining industry. NWMA has<br />

proven to be an EFFECTIVE and RESPECTED<br />

association working hard for you as we provide<br />

a much needed on-the-ground voice.<br />

There is no better proof of this than the testimonials<br />

of some of NWMA’s members:<br />

“Hecla belongs to NWMA for three main<br />

reasons: Interaction with great prospectors<br />

and exploration companies who have activi-<br />

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ties around the world might result in Hecla’s<br />

next mine; the educational value of the<br />

annual convention is excellent; and the government<br />

affairs and issues management<br />

that NWMA provides is unsurpassed. I highly<br />

recommend membership in NWMA.”<br />

~Phillips S. Baker, Jr., President and Chief<br />

Executive Officer, Hecla <strong>Mining</strong> Company.<br />

“Even as a junior company without operating<br />

mines, we are strong supporters of<br />

NWMA. Originally a regional organization,<br />

NWMA has grown into a national, vibrant<br />

role serving producers and explorers alike. It<br />

fills a void left by state and other national<br />

mining organizations that tend to cater to<br />

the larger producers. We would urge all<br />

those exploring in the United States to<br />

become a member.” ~Dr. Anthony P. Taylor,<br />

President and Chief Executive Officer, Gold<br />

Summit Corporation.<br />

“I feel it is imperative that our organization<br />

belong to the NWMA. Membership in<br />

this dominant mining industry association<br />

keeps us informed about the American<br />

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mining scene and the current issues and<br />

challenges it faces. For us the highlight of<br />

the year is the annual convention; it provides<br />

a great opportunity to interact with<br />

other members and learn from the wide<br />

variety of presentations and lectures...it’s a<br />

lot of fun!” ~Doug Donnelly, Publisher, The<br />

Northern Miner.<br />

“I have been involved with NWMA since<br />

1978. During that time, I have watched the<br />

association grow and develop into an effective<br />

voice for the mining industry across the<br />

West. Washington Group International is a<br />

corporate member of the NWMA because<br />

mining needs this kind of representation at<br />

Federal and state levels to grow, and the success<br />

of the industry is important to our corporate<br />

strategy and success.” ~Ta Li,<br />

Director Business Development, URS Global<br />

<strong>Mining</strong> Partners.<br />

“The Northwest <strong>Mining</strong> <strong>Association</strong><br />

(NWMA) provides a unique blend of timely<br />

information, networking opportunities, and<br />

effective advocacy on issues important to<br />

the hardrock mining industry. Exploration<br />

geologists, mine managers, consultants,<br />

vendors/suppliers, government affairs specialists,<br />

and other mining professionals can<br />

all benefit from belonging to NWMA. Anyone<br />

with an interest in mining on public lands<br />

has a compelling reason to join NWMA<br />

because it is one of the industry’s most<br />

knowledgeable and effective advocates for<br />

maintaining access to public lands, and for<br />

developing reasonable and workable mining<br />

regulations.” ~ Debra W. Struhsacker,<br />

Struhsacker Consulting.<br />

Your membership will help ensure that<br />

we have the financial resources and membership<br />

clout to continue to effectively represent<br />

you on federal issues and support the<br />

efforts of the <strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong>.<br />

To find out more about membership, please<br />

visit http://www.nwma.org/memberinfo.asp<br />

or call (509) 624-1158. �<br />

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<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 39


MINING IN MONTANA<br />

Helping sustain our economic<br />

strength during the global<br />

economic downturn<br />

By Governor Brian Schweitzer<br />

Following years of record-breaking economic growth, <strong>Montana</strong> is<br />

now feeling the pinch of the economic downturn that<br />

is impacting the entire nation and beyond. That being said, it is important<br />

to note that <strong>Montana</strong> is better off than most other states, both<br />

economically (our economy is still among the leading states) and<br />

financially (<strong>Montana</strong> is one of only four states that are maintaining a<br />

projected budget surplus).<br />

It is equally important to note that mining continues to contribute<br />

to the economic strength of the state, as it has over its history. At a<br />

time when so much of the economic strength of America seems to<br />

have been built on a “puffed-up” financial sector model, the people of<br />

<strong>Montana</strong> can take comfort in the fact that the strength of our economy<br />

is rooted in traditional basic sector activity, including mining.<br />

When <strong>Montana</strong> had one of the fastest growing economies in the<br />

nation during the past three years and when our unemployment rate<br />

Serving the<br />

<strong>Mining</strong> Industry for<br />

over 50 Years in the<br />

USA & Canada.<br />

Graymont Western US, Inc.<br />

4 1/2 Miles West of Townsend<br />

P.O. Box 550<br />

Townsend, MT 59644<br />

Phone: (406) 266-5221<br />

Fax: (406) 266-3079<br />

www.graymont.com<br />

40 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

set new record lows from 2005-2007 (3.6 percent in 2005; 3.2 percent<br />

in 2006; and 3.1 percent in 2007), that economic strength was partially<br />

rooted in the mining industry.<br />

As we developed a record number of jobs (over 460,000 total jobs,<br />

including 59,000 new jobs from January 2005 to October 2008) and the<br />

quality of our jobs was on the rise, mining contributed to that growth.<br />

The fact is, mining provides high paying jobs for <strong>Montana</strong>n families<br />

and communities, and those mining jobs continue to be among the<br />

best in the state.<br />

<strong>Montana</strong>’s growth was a result of strength in the resource, commodity<br />

and energy sectors. In addition, we were aided by strength in<br />

the technology and knowledge sectors – even tourism has shown<br />

strength. Add to that the “secret weapon” of <strong>Montana</strong>’s economy: our<br />

state is the best place to live, raise a family and run a business.<br />

Part of what <strong>Montana</strong> has done right is to develop quality jobs at


quality companies where workers and management can enjoy a quality<br />

of life that is second-to-none. This required a “mind-change” from<br />

the old traditions, but <strong>Montana</strong> mining companies have risen to the<br />

quality challenge.<br />

While <strong>Montana</strong>’s hard-rock mining industry is still setting records in<br />

terms of volume and income, it still faces challenges. Our largest mine,<br />

the Stillwater Mine, has found it necessary to reduce operations and is<br />

seeking new ownership. A combination of factors has led to reductions<br />

for what will, over the long haul, be the closure of <strong>Montana</strong> Tunnels.<br />

Still, in western <strong>Montana</strong>’s Lincoln and Sanders counties, Revett<br />

Minerals continues forward in its permitting of the Rock Creek Mine,<br />

which is proposed to extend under the Cabinet Mountains Wilderness<br />

with an entry from the west, as does the Montanore Mine, with an<br />

entry from the east. The Golden Dream Mine in the Elkhorns near<br />

Helena has been approved and is poised to open. The Drumlummon<br />

Mine near Marysville (part of the old Tommy Cruse mining efforts) is<br />

now moving forward with advanced-stage exploration, and has<br />

received key approval from the Department of Environmental Quality<br />

to dewater the old mine workings. It is fantastic that investment and<br />

exploration are taking place in <strong>Montana</strong> after many years of absence.<br />

Following a period of record mineral prices, driven by national and<br />

international demand, prices slipped, causing some concern. But<br />

many of the minerals are back at, or near record, highs, and profit<br />

sharing checks at <strong>Montana</strong> Resources are substantial to say the least.<br />

The future of mining looks good, and we must be dedicated to keeping<br />

it that way.<br />

88,234<br />

<strong>Montana</strong> Exports of Minerals and Ores to World<br />

153,389<br />

220,020<br />

2006 2007 2008<br />

I have been committed to seeing that our mining heritage is not just<br />

about the past or even the present, but that it is also part of our future<br />

as well. As long as mining is done right – in a manner that does not<br />

destroy our high quality of life – <strong>Montana</strong>ns will support mining.<br />

As a state government we have improved our permitting activities,<br />

not by lowering standards, but rather by being efficient and timesensitive.<br />

Both my Office of Economic Development and the<br />

Department of Environmental Quality are supporting mining in a<br />

way that can make all <strong>Montana</strong>ns proud – resulting in growth and<br />

quality jobs that are compatible with our quality of life. That is what<br />

<strong>Montana</strong>ns want and that is what we can deliver by working together<br />

– a strong economic future where mining remains at the center of<br />

our economic strength. �<br />

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■ Acquisition, disposition and financing of mineral projects worldwide<br />

■ Financial and regulatory due diligence<br />

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■ State and federal legislation for mining<br />

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■ Environmental, public lands and NEPA issues<br />

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(406) 252-2166<br />

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0


Safe work doesn’t<br />

come naturally<br />

Barrick’s ‘Courageous Leadership’ program<br />

instills a culture of safety awareness<br />

As MSHA statistics clearly show, safety in the mine workplace does<br />

not come naturally. It takes a lot of hard work. Employees are<br />

accustomed to completing the task at hand as quickly and efficiently<br />

as possible. Unfortunately, in the past this process may not have<br />

involved a lot of thought about what can go wrong and how to reduce<br />

Contract employee Jed Munday installs cameras at the open pit lookout<br />

using a fall restraint.<br />

the likelihood of an unwanted event. At Barrick Golden Sunlight Mine,<br />

we are working hard to change our culture so that consideration for<br />

safe work is the rule rather than the exception.<br />

In order to have a safe mine, it is necessary to have a comprehensive<br />

safety program that includes everything from operating controls<br />

to emergency-preparedness. However, we believe the key to a culture<br />

of safety is a program that focuses on behavior, leadership, and risk<br />

assessment. Barrick’s ‘Courageous Leadership’ program provides just<br />

this focus. We also believe that a safety culture isn’t something we can<br />

turn on at work and off at home – it has to be a value that is with us<br />

24-hours per day, seven days per week. When safety is a value for<br />

every employee, we will be able to achieve our vision of “Every person<br />

going home safe and healthy every day.”<br />

42 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

Comprehensive Safety Program<br />

To help safety become an uppermost value for all of our employees,<br />

we make every effort to keep it at the forefront of their minds at<br />

all times. We take every opportunity to talk about safe work; all staff<br />

attend weekly safety meetings, and each of our staff meetings begin<br />

with a safety share. There are many different aspects of a safe work<br />

place; consequently, the Barrick program has nine core elements,<br />

including:<br />

Leadership and personal commitment.<br />

Training and competence.<br />

Risk management.<br />

Operational controls and procedures.<br />

Health and wellness.<br />

Contractor controls.<br />

Incident investigation.<br />

Emergency preparedness.<br />

Performance measurement and assessment.<br />

Mobile maintenance general supervisor John Perigo is shown here with one of<br />

the trucks that he modified to improve safe access, by replacing the ladder with<br />

stairs and adding a wrap-around deck with handrail by the driver side access.<br />

John has been recognized as a Barrick Safety Champion for these efforts.


Although all of these elements are important to achieve a safe work<br />

environment, the proactive elements of leadership and risk assessment<br />

are pivotal in changing behaviors and creating the culture of<br />

safety required for an accident-free work site.<br />

Courageous Leadership<br />

Supervisors at Golden Sunlight are very aware that “everything they<br />

say” and “everything they do” impacts the behaviors of their employees<br />

at the mine site. Allowing even the smallest safety hazard or<br />

infraction to subsist sends the message that safety is not always first.<br />

However, we are not asking our supervisors to be the “safety police”;<br />

rather, we want them to actively support their respective crew’s safe<br />

work behaviors. This is accomplished by supervisors and employees<br />

participating in team-level risk assessments; by supervisors coaching<br />

their employees to help identify and address hazards; and by ensuring<br />

employees have the tools, time and training to complete all of their<br />

work safely. We ask all supervisors to seek opportunities for stamping<br />

out unsafe work practices by regularly discussing with employees how<br />

each job can best be accomplished safely.<br />

Our Courageous Leadership training courses were originally intended<br />

for supervisors only. But as mine management facilitated the training<br />

of supervisors, they soon began to realize that safety leadership<br />

had to be the responsibility of all employees if Golden Sunlight was<br />

going to achieve an accident-free workplace culture. Accordingly, we<br />

have provided the Courageous Leadership training to all employees<br />

and contractors every year. The mine has benefited from this two-way<br />

dialogue resulting from employees holding supervisors accountable<br />

and visa versa.<br />

Risk Assessment<br />

The minute we get out of bed in the morning, we begin to accept a<br />

level of risk in our lives because everything that we do has some inherent<br />

level of risk. We make it through the day by taking the necessary<br />

steps to reduce the likelihood of something dangerous happening to<br />

us. This informal risk reduction can be as simple as putting on a seat<br />

belt, throwing salt on the walkway, or buying a fire extinguisher. At<br />

Golden Sunlight, we have formalized the risk assessment effort to<br />

ensure that hazards don’t slip through the cracks at the beginning of<br />

the job, which might later result in injuries occuring to our employees<br />

during the completion of the work. We ask our employees to briefly<br />

stop at the beginning of every job in order to complete a Field Level<br />

Risk Assessment, asking the following questions:<br />

Field Level Risk Assessment:<br />

1. What am I doing?<br />

2. What could go wrong?<br />

3. How could it affect me, or others?<br />

4. How likely is it to happen?<br />

5. What can I do about it?<br />

Resume<br />

Work<br />

“WORKING “<br />

TOGETHER WITH OUR LOCAL<br />

�����������������������������������������<br />

�������������� �������������� �������������� ��������������<br />

Control<br />

Risks<br />

Identify<br />

Hazards<br />

Assess<br />

Risks<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 43


Environmental technician Rick Henderson (left) has been acknowledged as a Barrick Safety Champion for his use<br />

of hazard identification training in his safety meetings; tailings maintenance general supervisor Chris Nelson<br />

(right) says he “likes the team-level risk assessments his crew uses because it gives them a chance to step back and<br />

analyze the task at hand, thereby enabling them to accomplish the task in a safe and prudent manner”.<br />

44 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

Work can only proceed if these<br />

questions can be answered satisfactorily.<br />

While answering the questions<br />

doesn’t take long, the answers often<br />

result in some extra preparation time<br />

to ensure the job can be done safely<br />

and efficiently. But being prepared<br />

and understanding the risks always<br />

results in a better “job done”.<br />

While the Field Level Risk Assess -<br />

ment is the work horse at the mine,<br />

we have various levels of risk assessment,<br />

as described below, to address<br />

different types of situations such as:<br />

Team-Level Risk Assessment: Im -<br />

por tant for tasks that involve interaction<br />

between two or more people,<br />

particularly non-routine tasks for<br />

which there are no written standard<br />

operating procedures.<br />

Formal Risk Assessment: A proactive<br />

process to eliminate risks prior to<br />

the start of work, during the planning<br />

phase of the job, it typically involves<br />

three or more people planning every<br />

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step of a job and analyzing the risk associated with each step, reducing<br />

risk as necessary. This level of risk assessment is useful for managing<br />

significant operational changes or high potential jobs.<br />

High-Level Risk Assessment: Used to determine major<br />

safety, environmental, production, economic, or legal risks at a<br />

mine site.<br />

Safety 24-hours per day, 7-days per week<br />

An upside benefit of our safety improvement effort at the mine is<br />

the carryover to our employees’ homes and families. As we develop<br />

a safety value at work, we also begin to change our behaviors at home.<br />

This may include driving slower and more cautiously, wearing safety<br />

glasses in the garage, putting on bicycle helmets, etc. When safety is<br />

an inherent value, it isn’t something that can be left at work. This is a<br />

very important carryover, because our employees are injured more at<br />

home than they are at work. Mobile equipment is a significant area of<br />

risk at work and at home. Our “Drive First” training modules aim to<br />

improve driving habits both at work and at home.<br />

After seeing the mine’s improved safety performance, Tim<br />

O’Donnell, a Golden Sunlight employee, requested that the mine try<br />

to find a way to share its success with the local community of<br />

Whitehall. The community had suffered an inordinate number of<br />

tragedies during the previous year. Based on the request, Golden<br />

Sunlight has hosted an annual safety fair in Whitehall for three years<br />

with the help of various emergency services, medical services, the<br />

Golden Sunlight mill<br />

operator Tim O’Donnell has<br />

been recognized as a Barrick<br />

Safety Champion for<br />

starting the Whitehall<br />

Community Safety Fair.<br />

agricultural industry and recreational groups. The goal of the fair is to<br />

increase risk awareness as well as to provide some simple tools and<br />

basic knowledge to help the community better identify hazards and<br />

reduce their risks during the harvest and recreational seasons.<br />

Conclusion<br />

Barrick Golden Sunlight has had to work very hard to begin to create<br />

the culture required for an accident-free work site. Although we<br />

have made a lot of progress and have had some years with no losttime<br />

injuries, we still have much improvement to achieve in order to<br />

be at the level we would like to be in all nine safety elements.<br />

However, we believe that with our continued focus on safety improvement,<br />

particularly with our Courageous Leaders and their use of risk<br />

assessment, we can create an incident-free workplace where every<br />

employee can go home safe and healthy each and every day. �<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 45


2008 REVIEW<br />

<strong>Montana</strong> mining<br />

and exploration<br />

2008 was a year of extremes. It started with high commodity<br />

prices, high operating costs, limited supplies and personnel, yet<br />

endless opportunities. Venture capital was seemingly unlimited.<br />

By the end of the second quarter, the money supply began to<br />

retract. Commodity prices remained strong but the costs of petroleum-derived<br />

products escalated in response to record oil prices. Diesel<br />

costs of over $4.00/gallon and costs of over $90,000/tire on large<br />

trucks depressed the profit margins of many operations.<br />

In the autumn, oil prices began to decline and commodity<br />

prices collapsed. The belt-tightening began; small companies disappeared<br />

while larger companies trimmed staff and budgets to make<br />

ends meet.<br />

Following a court-derived decision that the Mine Safety and Health<br />

46 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

Administration was at fault in the Crandall Canyon coal disaster, the<br />

agency’s new interpretation of its own regulations has established<br />

standards which the mining industry has interpreted to be beyond<br />

practical limits. Negotiations of citations and fines have been greatly<br />

reduced. Enforcement has been described as inappropriately overzealous<br />

by some operators. Although the large companies appear to be<br />

coping with change, small-scale operations are facing closure due to<br />

lack of sufficient capital and staff to meet the new agency demands.<br />

OPERATIONS<br />

Northwest Region<br />

In the northwest corner of <strong>Montana</strong> near Troy, Genesis’ Troy mine<br />

(Revett Silver, Cu, Ag) achieved stability with 12 months of no lost-time


accidents and a steady workforce. Production achieved 4,000 tons-per<br />

day, and reserves are at six years and growing. When copper prices<br />

declined from +$4.00/lb to $1.50/lb, the company reduced wages by<br />

10 percent and salaries by 20 percent, while hoping costs of fuel and<br />

steel would come into line, as they have.<br />

Near Noxon, RC Resources’ Rock Creek mine (Revett Silver, Cu, Ag)<br />

made significant progress with construction of adit support facilities<br />

near the proposed upper portal. However, the Record of Decision and<br />

biologic opinion have been appealed by the environmental groups<br />

and are back in court. The operation is also waiting on a <strong>Montana</strong><br />

Pollution Discharge Elimination System (MPDES) permit. The company<br />

has acquired mitigation lands in the West Fisher and Bull Lake areas<br />

for grizzly bear impact mitigation. They have completed the watertreatment<br />

plant design and are waiting for legal decisions.<br />

Near the Rock Creek mine on the Libby side, Mines Management<br />

has continued to work on reopening the Montanore mine (Cu, Ag) and<br />

acquiring an operating permit. The decline has been pumped and<br />

rehabilitated to 5,000 ft by Small Mines Development (SMD). The draft<br />

environmental impact statement is out, and comments are being<br />

gathered. The company is attempting to match permitting with rehabilitation<br />

so that the mine will be ready to continue development<br />

when the permit is acquired.<br />

Near Superior, Hageman Construction completed mining for placer<br />

gold on the Calumet claim in Quartz creek, and has now moved to<br />

lower Quartz creek. They are finding good values in gravels adjacent<br />

to previously mined ground.<br />

North of Avon, Darden Engineering mined Clark Smith’s gold placer<br />

in Ophir creek. The skarn-hosted deposit yielded “granola-type”<br />

coarse gold, including a few thumb-sized nuggets. The deposit has<br />

lessened in grade with a change of bedrock type but plans are in place<br />

to continue mining during the coming season.<br />

Southwest Region<br />

In <strong>Montana</strong> City, Ashgrove Cement maintained production through<br />

the year. The market softened as with most operations, but not as<br />

severely as in the Midwest.<br />

Near Boulder, Apollo Gold’s <strong>Montana</strong> Tunnels mine (Pb, Zn, Au, Ag)<br />

operated steadily while waiting for a permit to expand to the “M” pit.<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 47


Though the permit was expected in 23 months, the final was produced<br />

in more than 50 months. In that period of time commodity prices collapsed<br />

and venture capital disappeared. It will be difficult for Apollo<br />

to develop the “M” pit under current financial conditions. The property<br />

will go under “care and maintenance” when the last of the ore is<br />

processed in the spring of <strong>2009</strong>.<br />

In Elkhorn, the Golden Dream mine (Elkhorn Goldfields, Cu, Au) was<br />

fully permitted in less than two years but failed to secure enough<br />

money to begin development. Operations have been suspended.<br />

In Butte, <strong>Montana</strong> Resources, LLP (Cu, Mo, Ag) maintained steady<br />

production of copper and molybdenum through the year. The company<br />

purchased six used 793 Cat haul trucks (240-ton) and a 495 HD-<br />

Bucyres shovel (40 yd3 rock bucket) to augment production. Tire availability<br />

has increased while cost has significantly decreased. Company<br />

profits were reduced under the high cost of oil through the first three<br />

quarters of the year. The operation has enjoyed a stable workforce<br />

since 2003 and is still profitable at current reduced commodity prices.<br />

Near Whitehall, the Golden Sunlight mine (Barrick Gold)<br />

completed the stage “5B” pit while producing out of its underground<br />

mine. Production was normal at 119,500 oz of gold. The underground<br />

operations will cease in early <strong>2009</strong> as will the mill until 2012. The next<br />

three years will be spent stripping 70 million tons of waste to prepare<br />

the stage “5C” pit for production. Company geo logists believe this last<br />

push-back will remove all of the remaining gold resources from the<br />

deposit. The operation processed dumps from inactive mines in the<br />

area as well as old dumps adjacent to the mine. Gold prices have risen<br />

by a third from $650 per ounce to $950 per ounce as most other commodities<br />

and the general economy have declined.<br />

At Silverstar, Coronado Resources shipped direct ship copper ore to<br />

the smelter through the first half of the year from their Madison Gold<br />

project. The smelter placed a limit of 20 percent copper on the company,<br />

so 12 percent native copper ore was blended with 55 percent<br />

copper ore (chalcocite) to create a suitable smelter feed. When copper<br />

prices fell, the company closed for a while and then started shipping<br />

gold ore to the Golden Sunlight mill.<br />

In Virginia City, Moen Builders tested ore in their mill for a New<br />

Mexico company. They have been busy all year building and assembling<br />

equipment for international mining companies.<br />

48 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

North of Townsend, Graymont Western, USA maintained production<br />

of burnt lime from the Mission Canyon formation. The market has<br />

softened somewhat, resulting in lower production. Labor has been<br />

steady and the company has made no changes in any equipment.<br />

Coal and diesel costs were high during the peak months as were trucking<br />

expenses.<br />

Northeast of Three Forks, Holcim continued production of Portland<br />

cement at its Trident plant. The company has reported some softening<br />

in the market as two plants were closed and two mothballed. The<br />

Trident plant was fortunate to remain in operation.<br />

South of Melrose, Apex Abrasives worked steadily in the construction<br />

of its new process facility at the old General Electric tungsten<br />

mill site. The company experienced difficulty in hiring and retaining<br />

skilled construction labor. By the end of the year, they had assembled<br />

the equipment and erected a building around it. They expect to produce<br />

tungsten concentrates and garnet water-jet cutting media by<br />

spring <strong>2009</strong>.<br />

Near Alder, Ruby Valley Garnet, LLC (RVG) embarked upon an extensive<br />

redesign of its processing facility. Their goal is to increase production<br />

levels to 40,000 tons of processed garnet per year within their<br />

existing footprint. The garnets are used for filter, blast,<br />

and water-jet cutting media. The garnet market remains strong and<br />

RVG has entered into an exclusive distribution agreement with<br />

GMA Garnet of Australia, the largest producer and supplier of garnet<br />

in the world. In addition to increasing its processing capability at the<br />

Alder plant in <strong>2009</strong>, RVG is joint-venturing with Oro Management, LLC<br />

to recover garnet from the gold dredge tailings in Alder Gulch, and<br />

hopes to see additional garnet production by mid-summer of <strong>2009</strong>.<br />

South and east of Dillon, Barretts Minerals Inc. (Specialty Minerals<br />

Inc.) continued to produce talc from its Regal and Treasure mines. The<br />

company is working on a new shop and communication facility at the<br />

Regal mine. They are currently shopping for a new excavator (250-350<br />

horsepower) and an undercarriage replacement for their Hitachi-<br />

1800.They have experienced minor layoffs (~10 percent) and have not<br />

replaced some personnel who retired. Their markets have softened<br />

somewhat with the auto industry in decline.<br />

South of Ennis, Rio Tinto Minerals maintained talc production at its<br />

Yellowstone mine. They replaced some maintenance equipment and<br />

Brenntag Pacific, Inc.<br />

7535 Mossmain Lane, Billings, MT 59106<br />

J. Mark Redfern<br />

Telephone: (406)628-3640 | Fax: (406) 628-2072<br />

Cell Phone: (406) 671-4105 | Email: mredfern@brenntag.com


purchased a snowplow. They are currently backfilling the old North<br />

Main pit and have maintained a near zero-change footprint. The company<br />

has constructed a new water-filling station so that pit runoff<br />

water can be better utilized for dust control. Their market has softened<br />

like other industrial mineral mines, and although they did not have<br />

any layoffs, they did offer employees an incentive program for<br />

early retirement and severance which many accepted. They have<br />

added a fine-grind mill in the Three Forks plan but remain very stable<br />

on all fronts.<br />

Yellowstone Region<br />

Stillwater <strong>Mining</strong> Company (Pd, Pt, Rh, Cu, Ni, Co, Au) remains the<br />

largest metal mining operation in <strong>Montana</strong> but posted a loss of $112.7<br />

million for 2008. Commodity prices declined in mid-summer and<br />

demand fell by 60 percent. With the decline of commodity prices,<br />

there has also been a decrease in the availability of used automobile<br />

catalytic converters for the company to reprocess in their smelter. In<br />

Columbus, the company will complete the second furnace, thus<br />

expanding process capacity at the smelter. Overall staff reduction of<br />

the corporation is currently at 21 percent. Most of the reduction<br />

occurred at the East Boulder mine.<br />

At Nye, the Stillwater mine continues to develop the lower key<br />

haulage infrastructure of the off-shaft area of the mine. The company<br />

has refocused operations to ore grade and production costs from tonnage<br />

throughput. The result has been to reduce dilution until mine<br />

grade is nearly back to original values. Although changes at the Nye<br />

site have not been as radical as at the East Boulder mine, the company<br />

has incorporated many of the successful cost-cutting measures and<br />

will continue to do so.<br />

South of Big Timber, the company suspended operations in the<br />

fourth quarter at the East Boulder mine. After laying off all 526<br />

employees, they brought about one-third of the staff back. Although<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 49


development was reduced from four crews to one in the short term,<br />

the major reductions were in support personnel and mid-level management.<br />

Production expectations have been reduced by tons and<br />

increased by ounces. Consequently, the first month after the change<br />

resulted in a larger production of metal. They have mothballed 180<br />

pieces of diesel equipment, some of which is scheduled for rehabilitation<br />

and others for liquidation. On the surface it appears that the<br />

company has chosen a new direction for the better.<br />

EXPLORATION<br />

Exploration started the year off with good funding, anticipation of<br />

new discoveries, and a very bright future. By spring, many of the companies<br />

were out of funding and completely dead by the fourth quarter.<br />

Companies operating on banked money survived while those<br />

operating on stock died.<br />

Even with all the financial gloom and doom, 2008 has been the<br />

most active mineral exploration year in <strong>Montana</strong> for a decade.<br />

Western Region<br />

Near Libby, Great Northern <strong>Mining</strong> sampled gold placers along the<br />

west side of Libby creek.<br />

East of Missoula, Kennecott Utah Copper drilled two deep diamonddrill<br />

holes into a copper–porphyry deposit at Copper Cliff. At Garnet,<br />

Grant-Hartford Corporation drilled a number of holes in the vein system<br />

that fed the mines at Garnet. They also hoped to find a parallel<br />

vein in the same area. The company reported having success in the<br />

2008 drilling program and plans a continuing drill program in <strong>2009</strong>.<br />

Southwest of Philipsburg, High Desert Gold Corporation drilled six<br />

diamond-drill holes for silver.<br />

Near Maxville, Juno Minerals completed an aerial magnetometer<br />

survey in the Finnley Basin area. A drilling program for tungsten and<br />

copper is planned for <strong>2009</strong>. There are tentative plans to support it with<br />

mule transport.<br />

Southwestern Region<br />

At Marysville, Rx Exploration drilled the Drumlummon mine, which<br />

has produced nearly a million ounces of gold. The program has iden-<br />

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50 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

tified remaining reserves in the old workings plus undiscovered veins<br />

in the hanging wall. So far, the drill program off of the 400-ft haulage<br />

level has identified 155,518 tons containing 70,703 oz of gold and<br />

1,915,560 oz of silver. A recently acquired MPDES permit will allow the<br />

company to dewater the 1,600 ft of dip-length workings so that the<br />

diamond drilling program can continue in the coming year. The company<br />

plans to drive a decline to access the recently discovered vein systems<br />

on the 800-ft level and possibly obtain a bulk sample for metallurgical<br />

testing.<br />

South of Butte, Timberline Resources Corporation continued<br />

drilling its Butte Highlands project. Reserves of 583,253 tons grading<br />

0.335 oz/ton (measured and indicated) and 1,259,263 tons grading<br />

0.268 oz/ton (inferred) have been identified. Further drilling continues<br />

to expand the potential of the property. In the coming year, SMD and<br />

Timberline Resources, under a joint venture, will drive a decline to<br />

prepare for 1,000 ton-per-day production.<br />

In the Twin Bridges area, John Sutton hauled mill tailings from the<br />

Rochester area to the Golden Sunlight mill. Similarly, Joe Bardswich<br />

and Hart Baitis hauled mine dumps to the Golden Sunlight mill from<br />

the Dry Georgia Gulch area.<br />

Near Sheridan, Millstream Mines continued exploration and development<br />

of the Tamarack (Au) mine. Bulk samples were processed in<br />

their mill with success. Operations have been suspended until contracts<br />

for backup rescue have been secured for the underground. The<br />

company has temporarily refocused their efforts on mill expansion of<br />

throughput and recovery.<br />

West of Melrose, Bolero Resources drilled two diamond-drill holes<br />

on the Cannivan Gulch molybdenum deposit.<br />

East of Dillon, Barretts Minerals drilled six holes on the eastern<br />

extension of the Regal mine talc deposit. They also drilled four or five<br />

holes on the MP claims.<br />

West of Dillon near the old ghost town of Coolidge, Silica Resources<br />

drilled two holes at the Elkhorn porphyry deposit.<br />

At Virginia City, the Grant mine and mill were re-permitted. The<br />

underground was rehabilitated and some mineralized zones were<br />

rumored to have been found. Work was suspended in early <strong>2009</strong>.<br />

Northwest of Norris, the St. Lawrence Company drilled more than<br />

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20 shallow (


Barretts Minerals Inc.<br />

uses an ancient resource<br />

for modern applications<br />

Early Native Americans discovered talc, commonly called soapstone,<br />

in the Ruby Mountains of what is now southwest<br />

<strong>Montana</strong>. Local tribes mined it for their own use, including trading<br />

with other tribes; and, the Lewis and Clark journals even mention<br />

smoking a peace pipe made from this easily carved rock when they<br />

navigated the waters of the Beaverhead River in 1805 and camped by<br />

Rattlesnake Cliffs.<br />

The talc mining tradition in the Ruby Mountains started by the early<br />

Native Americans is still carried on today, at Barretts Minerals Inc.<br />

(BMI), which extracts the talc from two mines in the Ruby Mountain<br />

Range and processes it along the banks of the Beaverhead River south<br />

of Dillon, <strong>Montana</strong>. Although artists still produce carvings from this<br />

talc, it is now also used in many industrial and consumer applications<br />

such as paints, plastics, ceramics and health-care products. Though<br />

talc (Magnesium Silicate Hydroxide) is the world’s softest mineral, it<br />

has very little chemical reactivity – it is practically insoluble in water,<br />

weak acids or alkalis, and has a melting point of 1,500o C. These char-<br />

52 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

acteristics make the mineral ideal for ceramic applications, such as the<br />

substrate used to encase precious metals like the platinum in catalytic<br />

converters, which reduce automobile pollution; indeed, a good portion<br />

of the talc mined at Barretts Minerals is sold for this purpose.<br />

“The catalytic converters of the majority of automobiles manufactured<br />

in North America – and a great deal of those worldwide – contain<br />

talc from the Treasure and Regal Mines. So most of the people in<br />

this country are driving around with talc from our mines,” says Jim<br />

Daley, plant manager at Barretts.<br />

The mineral is also an excellent filler and extender; used in paints<br />

to improve coverage, in plastics for reinforcement, and for use in what<br />

is known as an “antiblock” to reduce static cling in plastics wraps and<br />

bags, it is also utilized in various products such as body powder, and<br />

as a coating on tablets and chewing gum. Since the <strong>Montana</strong> talc has<br />

a platy structure it does not have the health risks associated with other<br />

minerals that could be used for these applications.<br />

Electron Micrograph scan showing the platy structure of BMI talc.


History<br />

In 1954, Tri-State Minerals opened a talc plant eight miles south<br />

of Dillon near Rattlesnake Cliffs. The plant processed ore from small<br />

mines nearby. In 1960, the Treasure Mine began delivering ore to the<br />

Barretts plant. In 1966, the pharmaceutical company Pfizer Inc. purchased<br />

the operation and in 1992, Pfizer spun off its minerals business<br />

into Minerals Technologies Inc., BMI’s parent company. In the<br />

early 1950s, the underground mining was abandoned at the<br />

Keystone Mine and changed to a surface mining operation called the<br />

Regal Mine, also delivering talc to the processing facility. Production<br />

was sporadic at the Regal Mine until the mid-1990s. Both are open<br />

pit mines that require removing large amounts of overburden covering<br />

the talc; once the talc is mined it is sorted by color and chemical<br />

properties. At the plant, the talc is either ground to customer<br />

specifications or beneficiated before grinding to improve chemical<br />

purity, and then packaged for delivery to customers around the<br />

world.<br />

“We are very proud of our service to customers, which is a primary<br />

focus for Barretts Minerals,” says Kevin Porterfield, BMI’s general<br />

manager. “We are also very proud of our record of community service<br />

and environmental stewardship. The company is a major contributor<br />

to the local United Way and the annual Dillon Elementary<br />

Birch Creek educational experience, as well as many other commu-<br />

Ingenuity<br />

Our electric mining shovels have the most<br />

advanced technology available today. Through<br />

an ingenious combination of superior digging<br />

force and rapid cycle times, it offers the extreme<br />

levels of productivity and cost-effectiveness<br />

that our global customers demand.<br />

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<strong>Mining</strong> Technology<br />

Electric <strong>Mining</strong> Shovels<br />

Reliability at work<br />

View of Rattlesnake Cliffs from BMI.<br />

nity activities.” The company has also received recognition for its<br />

reclamation of mine lands and for restoration of the Stone Creek<br />

fishery containing native West Slope Cutthroat Trout. Barretts<br />

Minerals’ employees take the company goal to “increase shareholder<br />

value while being a responsible, ethical member of the communities<br />

in which we operate” very seriously. �<br />

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Glacier HR Services, Inc is a consulting business based in Polson, <strong>Montana</strong>. Our<br />

President, Bob Marsenich, has been a management consultant for over 25 years and<br />

has worked with all levels of employees in a variety of settings. We use a uniquely<br />

designed individual coaching and process improvement program to increase<br />

results. Our manufacturing clients typically see significant increases in production<br />

in a short period of time. This coaching program includes one on one, on-site and<br />

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<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 53


MMA unveils new website<br />

In mid-April, the <strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> launched a<br />

redesigned website to better serve the association’s members and<br />

other visitors.<br />

The completely revamped site has been improved both aesthetically<br />

and practically, in order to simplify navigation. New features<br />

include both Industry and Legislative News boxes on the homepage<br />

for instant updates, and an enhanced Membership Directory with better<br />

search functions.<br />

“A website is never done, it just keeps evolving,” says Debra Pitassy,<br />

DII<br />

Dick Irvin, Inc.<br />

Transportation<br />

54 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

U.S./Can. 800-332-5131<br />

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P.O. Box 950 Phone: (406) 434-5583<br />

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the association’s director of member services. Acting as both the new<br />

website’s designer and content manager, Pitassy encourages members<br />

and the interested public to visit the website often. “Feedback can<br />

only help us to improve and let us know what content is important to<br />

you,” she says.<br />

For advertising opportunities, or anyone interested in submitting<br />

articles and news stories, please contact Debra Pitassy at<br />

dpitassy@montanamining.org. �<br />

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<strong>Montana</strong> Tunnels’ mine<br />

wetlands mitigation project<br />

The <strong>Montana</strong> Tunnels mine is located<br />

in north Jefferson County, <strong>Montana</strong>,<br />

approximately 25 miles south of Helena<br />

and ten miles north of Boulder, the county<br />

seat. The mine began operations in<br />

February, 1986 under a permit authorization<br />

from the <strong>Montana</strong> Department of<br />

State Lands and the Bureau of Land<br />

Management. <strong>Montana</strong> Tunnels operations<br />

include mining of a polymetallic ore<br />

from a single open pit and a mill processing<br />

facility that produces gold, silver, lead<br />

and zinc concentrates for sale into commerce.<br />

To date, <strong>Montana</strong> Tunnels has<br />

processed 100 million tons of ore producing<br />

1.5 million ounces of gold, 28 million<br />

ounces of silver, 390 million pounds of<br />

lead and more than one billion pounds of<br />

zinc. The current operating plan will provide<br />

sufficient ore to supply milling operations<br />

into the second quarter of <strong>2009</strong>.<br />

In 2004, <strong>Montana</strong> Tunnels submitted<br />

a major amendment application to the<br />

Department of Environmental Quality<br />

and the Bureau of Land Management that<br />

proposed to mine 30 million tons of additional<br />

ore reserves located deeper within<br />

the existing open pit. Sizeable modifications<br />

are required to carry out the extended<br />

plan of operations; these include<br />

increasing the area and depth of the open<br />

pit mine, extending the waste rock storage<br />

areas and raising the elevation of the tailings<br />

embankment. Alterations to the current<br />

mine plan would also require the<br />

realignment of two stream channels and<br />

the replacement of their impacted wetland<br />

areas. An Environmental Impact<br />

Statement was prepared to analyze the<br />

proposed plan, and the amendment was<br />

approved by the agencies in 2008 with<br />

some modifications.<br />

As a cooperating agency in the mine<br />

expansion permitting process, the U.S.<br />

Army Corps of Engineers (USACE) was<br />

involved in the assessment of wetlands<br />

delineation and mitigation for the amendment.<br />

Wetland inventories were compiled<br />

in the proposed areas of disturbance by<br />

For more information, please contact:<br />

Ed Handl, Division Manager<br />

or Dave Lambrecht, Project Manager<br />

Atlatl - A Division of JBR<br />

121002 Browns Gulch Road<br />

Butte, MT 59701<br />

Tel: 406.723.7980<br />

consultants contracted by <strong>Montana</strong><br />

Tunnels. The inventory was reviewed with<br />

the USACE to determine the jurisdictional<br />

qualification of the delineated areas and<br />

to finalize the types of wetlands that<br />

would be affected. The final inventory<br />

Butte-based Atlatl recently merged with Utah-based<br />

JBR Environmental Consultants, Inc. JBR grew up with the<br />

mining industry, having worked on over 100 mine sites throughout<br />

the West. We at Atlatl and JBR are excited to offer our combined<br />

experience to the mining industry throughout <strong>Montana</strong>.<br />

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<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 55


identified direct impact to 2.11 acres of<br />

wetlands from the open pit mine expansion<br />

disturbance, and 0.53 acres of indirect<br />

impact to downstream wetlands that<br />

56 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

would result from rerouting 1,800 feet of<br />

the Clancy Creek stream channel around<br />

the open pit perimeter. More than twothirds<br />

of the 2.63 acres of impacted wet-<br />

View of Clancy Creek stream split between existing open meadow channel and reactivated<br />

Aspen Forest channel.<br />

Overview of <strong>Montana</strong> Tunnels mine and wetland mitigation sites.<br />

land area was classified as scrub-shrub<br />

and emergent wetlands, with the remaining<br />

0.72 acres inventoried as forest wetland.<br />

Wetland mitigation ratios were proposed<br />

to the USACE based on construction<br />

of replacement wetland that would be<br />

functionally developed prior to disturbance<br />

of existing wetlands. Scrub-shrub<br />

and emergent wetlands were proposed at<br />

a 1:1 replacement ratio and forest wetlands<br />

at a 1.5:1 replacement ratio.<br />

<strong>Montana</strong> Tunnels identified several wetland<br />

mitigation sites for USACE and other<br />

agencies to evaluate. One of <strong>Montana</strong><br />

Tunnels’ preferred locations for all wetland<br />

replacement was an eight acre site in<br />

the Clancy Creek valley, directly downstream<br />

of the open pit mine expansion.<br />

This location would also disturb two acres<br />

of wetlands that would require additional<br />

wetland mitigation within that footprint.<br />

A second preferred location was on the


Transplanting conifers on reactivated<br />

Clancy Creek channel.<br />

Corbin Flats Tailings remediation site; an<br />

80-acre historic mine tailings site on<br />

which <strong>Montana</strong> Tunnels completed a<br />

cleanup action in 1998. A mile of reconstructed<br />

Spring Creek stream channel that<br />

flows through the Corbin Flats<br />

Remediation site would supply water to<br />

the wetland area.<br />

After considering a number of wetland<br />

development criteria and impacts to fish<br />

in Clancy Creek, a consensus was reached<br />

with the agencies to use both of the proposed<br />

mitigation sites for the required<br />

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wetland replacements. The Clancy Creek<br />

site contained an aspen forested section<br />

with a natural channel area that had been<br />

inactive for more than 30 years, due to<br />

upstream beaver dams which forced the<br />

stream to flow through an open meadow<br />

area. It was agreed that relocation of the<br />

stream into the historic treed channel<br />

would provide replacement for forest wetlands<br />

and at the same time enhance habitat<br />

for fish. The Corbin Flats reme diation<br />

33 S.Last Chance Gulch<br />

P.O. Box 1715<br />

Helena, <strong>Montana</strong> 59624-1715<br />

Tel. 406 442-8560<br />

Fax 406 442-8783<br />

email: gsjw@gsjw.com<br />

website: www.gsjw.com<br />

site was not suitable for forest wetland<br />

development but provided a good location<br />

for scrub-shrub and emergent wet -<br />

land development. The Corbin Flats remediation<br />

site received oversight from the<br />

Hazardous Waste Site Cleanup Bureau of<br />

the <strong>Montana</strong> Department of Environ -<br />

mental Quality, and the approval of that<br />

agency was obtained before proceeding<br />

with the project.<br />

In March of 2008, <strong>Montana</strong> Tunnels<br />

Gough, Shanahan, Johnson & Waterman, PLLP<br />

Serving <strong>Montana</strong>’s Natural Resource Industries<br />

Since 1879<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 57


Reactivated Clancy Creek channel flow through aspens.<br />

View of constructed wetlands mitigation area on Corbin Flats.<br />

58 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

Installing geosynthetic clay liner under Corbin Flats wetland mitigation area.<br />

completed design plans for the wetland mitigation projects and submitted<br />

permit applications to the USAEC and all other agencies with<br />

stream protection oversight. All agency permit authorizations were<br />

received by the end of May, 2008 and materials for wetland construction<br />

were ordered.<br />

Construction at the Clancy Creek forested wetland restoration site<br />

began in June of 2008. The diversion of Clancy Creek into the inactive<br />

treed channel was easily accomplished using hand shovels to<br />

create a new channel through a short distance of terrain contours.<br />

The stream channel flow was initially split into the existing channel<br />

and the reactivated channel for two months to provide fish spawning<br />

habitat in the existing open meadow channel. In August, 2008,<br />

the entire flow at the stream diversion point was directed into the<br />

historic treed channel, and the valley area around the stream channel<br />

was fenced to prevent cattle from grazing. In the autumn of<br />

2008, fir and spruce trees were transplanted from areas of future<br />

mine disturbance to more closely mimic the forest wetland that will<br />

be disturbed during the mine expansion phase.<br />

Ronald W. Guill<br />

– UNDERGROUND –<br />

– MINING – CONTRACTORS –<br />

Phone�����������������Fax 208-338-8881<br />

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Corbin Flats wetland channel with water<br />

supply from Spring Creek.<br />

Construction of the Corbin Flats wetlands<br />

mitigation project began in mid-<br />

July 2008. Although less than two acres of<br />

wetland mitigation would be required<br />

under the proposed mitigation ratios,<br />

<strong>Montana</strong> Tunnels chose to construct four<br />

acres of wetland footprint to ensure success<br />

for the minimum amount of wetland<br />

replacement. Soil and subgrade materials<br />

were excavated to form the base of the<br />

wetland footprint. The subgrade material<br />

was very porous glacial outwash rock, and<br />

geosynthetic clay liner was selected to<br />

provide a low permeability barrier under<br />

the wetland. The excavated base materials<br />

were screened to produce a subgrade<br />

soil to place under and over the installed<br />

geosynthetic clay liner. Subgrade soil was<br />

graded and compacted over the excavated<br />

base to prevent liner damage.<br />

Geosynthetic clay liner was then positioned,<br />

and a 24-inch layer of subsoil was<br />

graded over the liner, except in the area of<br />

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the wetland channel which received 18<br />

inches of soil and a six inch layer of<br />

screened armor rock layer approximately<br />

10 feet wide. A six-inch layer of screened<br />

topsoil from the <strong>Montana</strong> Tunnels mine<br />

site was then hauled and spread over the<br />

subsoil materials, and the stream channel<br />

alignment and banks were formed using<br />

erosion mat.<br />

Water supply for the Corbin Flats wetland<br />

mitigation area is provided from a<br />

split of Spring Creek through a wetland<br />

entry channel. Water passing through the<br />

wetland area is returned to downstream<br />

Spring Creek through a wetland exit channel.<br />

The meandering wetland stream<br />

channel is 1,500 feet long at a one-half<br />

percent grade. There is one dike with a<br />

Design of wetland mitigation area on Corbin Flats remediation site.<br />

MDM<br />

SUPPLY<br />

A <strong>Montana</strong> Company<br />

Res: (406) 227-5674<br />

Cell: 1-439-0169<br />

dperson@mdmsupply.com<br />

stream drop structure, and a downstream<br />

berm in the wetland area to facilitate<br />

water saturation in the soils.<br />

The Corbin Flats wetland area was seeded<br />

with inventoried herbaceous species<br />

followed by hydromulching in the fall of<br />

2008. A cattle fence was installed around<br />

the site for security. At the beginning of<br />

the <strong>2009</strong> growing season, shrubs will be<br />

planted from containerized stock at the<br />

required densities. <strong>Montana</strong> Tunnels’<br />

mining plan for the open pit expansion<br />

will allow the wetland mitigation areas<br />

the better part of two growing seasons to<br />

develop and demonstrate functional wetland<br />

characteristics before the existing<br />

wetlands in Clancy Creek are disturbed. �<br />

Dale Person<br />

Sales Representative<br />

MDM Supply Company<br />

2609 Bozeman Avenue<br />

Helena, MT 59601<br />

Phone: (406) 443-4012<br />

Fax: (406) 442-4536<br />

1-800-697-0005<br />

“Wholesale Distributors of Plumbing, Heating, Pipe, Valves and Fittings”<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 59


Did you know that there are 9,000 pounds of copper, including<br />

632,000 feet of copper wire, in a 747-200 jet airplane? Or that<br />

a basic automobile contains about 50 pounds of copper? Copper<br />

plays an integral part in everyday life, yet many people don't appreciate<br />

it – unless you happen to be one of the 350 employees at<br />

<strong>Montana</strong> Resources in Butte, that is.<br />

<strong>Montana</strong> Resources operates an open pit copper and molybdenum<br />

mine. The operation comprises the Continental mine, crushers<br />

and a concentrator facility where thousands of tons of raw ore are<br />

processed into high-quality metal concentrates. The management of<br />

mining economies, adding control technology and production techniques,<br />

allows <strong>Montana</strong> Resources to competitively produce copper<br />

and molybdenum concentrates for a world market. <strong>Montana</strong><br />

Resources is the lowest grade copper mine operating in the world<br />

today. Head grades of copper ore average ¼ of one percent. The path<br />

for metal concentrates from earth to railcar involves many separate<br />

processes, mechanical and chemical, overseen by trained personnel.<br />

The copper mined at <strong>Montana</strong> Resources heads to China and to<br />

smelters in the U.S. and Canada. The molybdenum is shipped to a<br />

roasting plant in Pennsylvania, where it’s ultimately used in making<br />

stainless steel and other steel alloys.<br />

Environmental Stewardship<br />

<strong>Montana</strong> Resources is part of a modern generation of mine operators<br />

that strives to innovate processes and use more efficient technologies<br />

that lessen the impact of mining on the environment. They<br />

recognize the need to monitor water and air quality.<br />

“We have in place a closed circuit water system wherein all water<br />

used in the mine and concentrator is recycled through the process,<br />

with zero discharge to the outside environment,” explains Tad Dale,<br />

P.E., vice president of human resources.<br />

Of course, mining raises dust, and every effort is made to minimize<br />

it. Water trucks constantly wet down haul roads in never-ending<br />

circuits.<br />

60 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

A view of the <strong>Montana</strong> Resources water treatment plant. <strong>Montana</strong> Resources has a<br />

closed-circuit water system in place wherein all water used in the mine and concentrator<br />

is recycled through the process, with zero discharge to the outside environment.<br />

History, mining and<br />

stewardship in Butte By Rebecca Colnar & Tad Dale<br />

As for reclamation, <strong>Montana</strong> Resources has just undergone a fiveyear<br />

bond review by the state of <strong>Montana</strong>. “The state of <strong>Montana</strong> is<br />

required by the Metal Mine Reclamation Act to review an operator’s<br />

bond every five years, which assures taxpayers that the amount of<br />

the bond to is sufficient to cover the cost of reclamation,” explains<br />

Dale. “We want to be good stewards of our resource.”<br />

Dale, a mining engineer, explains that an open pit mine is active<br />

for the entire life of the pit, and is only reclaimed when it becomes<br />

dormant. “<strong>Montana</strong> Resources practices concurrent reclamation,<br />

reclaiming as soon as possible while mining operations continue,”<br />

he says.<br />

A <strong>Montana</strong> Resources employee pouring molten zinc, which is used in the<br />

repair of the primary crusher.


A view of reclaimed land near the Continental<br />

mine in Butte, <strong>Montana</strong>. <strong>Montana</strong> Resources<br />

practices concurrent reclamation, reclaiming as<br />

soon as possible while mining operations continue.<br />

The result is grassy rolling hills inhabited by deer<br />

and other wildlife.<br />

A pulverized rock slurry emerging from the concentrator and thickener<br />

tanks is pumped to the Yankee Doodle Tailings Pond, where the flour-sized<br />

byproduct of the milling process settles out before the water is piped back<br />

to the mine operation. Not a drop of water leaves the site from this closed<br />

circuit. Copper is also extracted from water taken from the nearby<br />

Berkeley Pit in precipitation cells, taking advantage of that resource, and<br />

the water is afterward returned to the Pit.<br />

People and Safety<br />

Dale explains that the company prides itself on safety. “Safety is<br />

our top priority, not production. We feel that if you take care of safety<br />

first, high levels of production will follow.”<br />

<strong>Montana</strong> Resources owes its success to the people of Butte and<br />

the men and women who make up their workforce. Many represent<br />

generations of miners. “Our employees work in a wide spectrum of<br />

professions, trades and skills, each of them necessary for the efficient<br />

operation of a modern mine, and each a valuable asset to us.<br />

In turn, we are concerned that our workers perform their jobs as<br />

courageous leaders in safety and have respect for the environment<br />

we all work, live and play in,” notes Dale.<br />

Philanthropic Involvement<br />

<strong>Montana</strong> Resources feels strongly about contributing to the community,<br />

and is a proud member of the Washington Companies. The<br />

revenues generated, and employment opportunities created by<br />

<strong>Montana</strong> Resources, contribute significantly to the local and state<br />

economy through wages and taxes paid, purchases made locally<br />

($26 million in 2008) and philanthropic donations. The primary philanthropic<br />

arm of the Washington Companies is the Dennis & Phyllis<br />

Washington Foundation, and a portion of <strong>Montana</strong> Resources profits<br />

helps fund the foundation. Since its inception, Foundation giving<br />

and the Washington Family's personal contributions to charitable<br />

causes totals more than $60 million.<br />

Changing Industry<br />

Dale has seen several changes in the industry over the past 20<br />

years. One is that it’s much more difficult to bring an ore deposit into<br />

production. Another change is that mineral companies are wary of<br />

<strong>Montana</strong>’s political climate and wonder if their dollars could be better<br />

spent elsewhere. The question is, “if you can find it, can you permit<br />

it?”<br />

“Also, exploration is off-limits in many areas due to protected public<br />

land designation. If you can't explore, you can't develop your<br />

mineral resources,” he opines. In addition, he’s frustrated that<br />

although <strong>Montana</strong> is blessed with tremendous natural resources, the<br />

state “has done a poor job of managing its assets. <strong>Montana</strong> is in the<br />

top five states for minerals, yet the number of operating mines doesn't<br />

reflect that.”<br />

Dale says that over the past 20 years, the industry has evolved<br />

regarding its attitude on environmental issues. “We really can have it<br />

all today – a clean environment while mining our natural resources<br />

to provide products for our basic needs and higher standard of living,”<br />

he notes. “We are proud to continue Butte’s heritage as a mining<br />

city, and are committed to continuing that tradition well into the<br />

future. Our employees are the people who will make that possible.”<br />

For more information on <strong>Montana</strong> Resources, please visit<br />

www.montanaresources.com. �<br />

Approximately 350 men and women<br />

make up the <strong>Montana</strong> Resources<br />

work force. In 2008, <strong>Montana</strong><br />

Resources’ employees were awarded<br />

the Harold McGrath Award from the<br />

Butte/Silverbow Chamber of<br />

Commerce for contributing<br />

significantly to the life<br />

of the community.<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 61


Graymont Western’s<br />

Indian Creek Plant<br />

Graymont is a family-owned company whose management<br />

team and employees are dedicated to meeting or exceeding<br />

customer needs. The company focuses on the production of high calcium<br />

lime; dolomitic lime; value added lime-based products, such<br />

as specialty hydrates and precipitated calcium carbonates; and the<br />

aggregate and pulverized stone business.<br />

In North America, Graymont is the third largest producer of lime.<br />

In the United States, subsidiary companies operate in <strong>Montana</strong>,<br />

Ohio, Pennsylvania, Washington, Oregon, Utah and Nevada, while<br />

serving markets in a much wider geographic area. In Canada,<br />

Graymont subsidiaries have operations from New Brunswick to<br />

British Columbia. In addition to Graymont’s lime interests, Graymont<br />

Materials (located in upstate New York and the province of Quebec)<br />

provides construction stone, sand and gravel, asphalt products and<br />

ready mix concrete.<br />

Having been in the lime business for over 50 years, Graymont<br />

operates facilities on sites that have been in operation for up to 200<br />

years. The company is among the leaders in the industry in adding<br />

new, efficient plants and equipment and operates some of the most<br />

modern facilities on the continent. Since 1989, Graymont has added<br />

new, state-of-the-art processing, increasing capacity by close to two<br />

million tons, and will continue to add new capacity to meet market<br />

demand.<br />

Central to the company’s corporate philosophy is a long-term<br />

approach to business, built upon a solid commitment to sustainable<br />

62 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

growth through the active participation in responsible environmental,<br />

workplace, and operating practices. At the same time, it is proud<br />

of its past accomplishments which demonstrate Graymont’s commitment<br />

to responsible conduct of the business.<br />

In <strong>Montana</strong>, the Indian Creek plant is located near Townsend, just<br />

north of the Limestone Hills. Here, lime is produced in two<br />

coal/coke-fired preheater kilns. The plant is equipped with lime-sizing<br />

and storage facilities, allowing Graymont to produce and store a<br />

full range of bulk quicklime products, as well as a hydrator capable<br />

of producing 300 tons of hydrated lime per day. This plant supplies<br />

customers in <strong>Montana</strong>, as well as several other western states.<br />

The quarry is located on the south side of Indian Creek. High purity<br />

limestone from the quarry is trucked to the crushing plant, where<br />

it is sized and conveyed to a large storage pile adjacent to the preheater<br />

kilns. Bulk truck loading facilities are provided at the plant<br />

site, and rail loading is available from a 1,500 ton terminal located<br />

on the <strong>Montana</strong> Rail Link line in Townsend.<br />

Graymont continues to be of significant economic importance to<br />

the county, as it is the largest taxpayer in the county. In addition to<br />

providing many well paying jobs, Graymont purchases many goods<br />

and services locally, within the community.<br />

Many important lime markets are serviced by Graymont:<br />

Agriculture Asphalt<br />

Building Construction – Lime Application<br />

– Mortar – Plastering – Restoration – Whitewash


Environmental Remediation Flue Gas Desulphurization<br />

Food Glass <strong>Mining</strong><br />

Precipitated Calcium Carbonate (PCC)<br />

Pulp and Paper Soda Ash Soil Stabilization<br />

Steel Sugar Water Treatment<br />

In addition to providing high quality products for its customers,<br />

Graymont provides engineering and technical support to facilitate<br />

customer applications in the following areas:<br />

Product Application: With technical and sales personnel skilled in<br />

solving customer problems, employees work with customers and<br />

recommend the proper products to meet their specific needs. This<br />

may include support on FGD projects, steel blends of high calcium<br />

and dolomitic products, the usage of lime in asphalt, or how to<br />

apply building products.<br />

Transportation: Having extensive expertise in transportation of<br />

products by truck, rail, or water, the company’s emphasis is on<br />

building reliable, cost efficient supply networks. An example of<br />

this commitment is the operation of a fleet of PCC delivery barges<br />

to support customers in the paper industry in the Northwest.<br />

Material Handling: To ensure efficient and economical operations,<br />

Graymont reviews and inspects customer material-handling facilities<br />

and design criteria. If requested, Graymont is prepared to<br />

own and operate such facilities at the customer’s site, including<br />

storage facilities. Graymont also provides portable slakers, silos,<br />

and unloading and material handling equipment for short term<br />

projects. Several customers lease this equipment until their project<br />

has been completed.<br />

Research and Development: Graymont can work with customers<br />

in R&D efforts for new product and process applications, and has<br />

equipment available to facilitate testing of new applications at a<br />

customer’s site.<br />

Graymont’s vision for the future involves supplying the ever<br />

increasing need for quicklime to clean up and protect our environment;<br />

eighty percent of the company’s product is used for environmental<br />

purposes.<br />

<strong>Mining</strong> is essential in every aspect of our lives, and Graymont is<br />

committed to working with the members of our government and<br />

community to help provide these resources in an environmentally<br />

safe manner. �<br />

<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 63


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<strong>Montana</strong> <strong>Mining</strong> <strong>Association</strong> www.montanamining.org 65


index to advertisers<br />

MONTANA MINING <strong>2009</strong><br />

AFFCO / Anaconda Foundry Fabrication Co., Inc. 38<br />

American <strong>Mining</strong> Insurance Company 27<br />

Bison Engineering, Inc. 51<br />

Brenntag Pacific, Inc. 48<br />

Bucyrus International, Inc. 53<br />

Cattron Group International IFC<br />

ChemGrout 57<br />

Chemical <strong>Montana</strong> Company 34<br />

Chevron / Fickler Oil Company, Inc. 39<br />

Dick Irvin, Inc. Transportation 54<br />

DYWIDAG-Systems International 29<br />

Ernest K. Lehmann & Associates of <strong>Montana</strong>, Inc. 38<br />

Ezzie’s Wholesale, Inc. 54<br />

Fenner Dunlop Americas 11<br />

Fickler Oil Company, Inc. 16<br />

Geometrics, Inc. 7<br />

Gibbs Associates 16<br />

Glacier HR Services, Inc. 53<br />

Golden Sunlight Mine 43<br />

Golder Associates Inc. 44<br />

Gough, Shanahan, Johnson & Waterman, PLLP 57<br />

Graymont Western US, Inc. 40<br />

GSE Lining Technology, Inc. 58<br />

GUNDLACH Equipment Corp. 35<br />

H&E Equipment Services 19<br />

Hardsteel Inc. 18<br />

Holland & Hart LLP 41<br />

Industrial Automation Consulting, Inc. 48<br />

66 <strong>Montana</strong> <strong>Mining</strong> <strong>2009</strong><br />

Intermountain West Energy 25<br />

Interpass Industrial Inc. 51<br />

Interstate Powersystems 33<br />

Irwin Car & Equipment 49<br />

JBR Environmental Consultants 55<br />

Lacy & Ebeling Engineering, Inc. 9<br />

MDM Supply 59<br />

Mines Management, Inc. OBC<br />

Moore Oil, Inc. 44<br />

Nelson Brothers <strong>Mining</strong> Services, LLC 4<br />

Northwest Pipe Fittings, Inc. 44<br />

Okeefe Drilling Company 51<br />

Pennaluna & Company 50<br />

Richwood 13<br />

Rio Tinto Minerals IBC<br />

Rothenbuhler Engineering 15<br />

Ruen Drilling Incorporated 57<br />

Small Mine Development, L.L.C. 58<br />

Stillwater <strong>Mining</strong> Company 23<br />

Stone Raven Resources LLC 36<br />

Synergy Resource Solutions Inc. 50<br />

Tetra Tech 25<br />

The Whitmore Group 45<br />

Tricon Metals & Services, Inc. 5<br />

Westate Machinery Company 24<br />

Western Wyoming Community College 36<br />

Wholesale Mine Supply 37<br />

WWC Engineering 21


Minerals<br />

that make a difference<br />

Rio Tinto Minerals is a different<br />

kind of mining company. The<br />

talc we mine and process here<br />

in <strong>Montana</strong> ends up in products<br />

used around the world. Most<br />

people think talc is used to<br />

make body powder – and it is.<br />

But the talc we mine here also<br />

helps make paint last longer,<br />

crops grow better, cars run<br />

cleaner and papermaking a<br />

greener process.<br />

People<br />

who make a difference<br />

Our people make a difference<br />

too. We each do different jobs,<br />

but we all share a commitment<br />

to work safely and give back<br />

to the community. We also<br />

share one of the most beautiful<br />

ecosystems in the world with<br />

our neighbors – so our<br />

commitment to reducing our<br />

environmental footprint comes<br />

naturally.<br />

To find out more about how<br />

Rio Tinto Minerals makes a difference,<br />

visit www.riotintominerals.com


Advancing the<br />

MONTANORE<br />

Silver-Copper<br />

Project<br />

Lincoln County, <strong>Montana</strong><br />

Mines Management, Inc.<br />

Innovative and Responsible<br />

Natural Resource Development<br />

Northwestern <strong>Montana</strong> boasts host<br />

to some of the world’s largest<br />

deposits of copper and silver.<br />

Mines Management, Inc., are<br />

committed to advancing the development<br />

of such projects in a<br />

manner consistent to further the<br />

interests of the local community<br />

and the long term preservation of<br />

the environment.<br />

Unearthing Life’s Key Ingredients<br />

Toronto Stock Exchange: MGT<br />

NYSE Alternext US: MGN

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