British Columbia Mine Reclamation Symposia

Planning for the cost of final reclamation Lane, D. P.; Berdusco, Roger Joseph 1988

You don't seem to have a PDF reader installed, try download the pdf

Item Metadata

Download

Media
1988 - Lane, Berdusco - Planning for the Cost of Final.pdf [ 532.59kB ]
[if-you-see-this-DO-NOT-CLICK]
Metadata
JSON: 1.0042134.json
JSON-LD: 1.0042134+ld.json
RDF/XML (Pretty): 1.0042134.xml
RDF/JSON: 1.0042134+rdf.json
Turtle: 1.0042134+rdf-turtle.txt
N-Triples: 1.0042134+rdf-ntriples.txt
Original Record: 1.0042134 +original-record.json
Full Text
1.0042134.txt
Citation
1.0042134.ris

Full Text

Proceedings of the 12th Annual British Columbia Mine Reclamation Symposium in Vernon, BC, 1988. The Technical and Research Committee on Reclamation PLANNING FOR THE COST OF FINAL RBCLAMATICN  by: D.P. Lane  Reclamation Officer  and  R. J. Berdusco  Administrator,  Environmental & Geology  FORDING Coal LIMITED   Elkford, B.C.      103Proceedings of the 12th Annual British Columbia Mine Reclamation Symposium in Vernon, BC, 1988. The Technical and Research Committee on Reclamation 104 FORDING COAL LIMITED PLANNING FOR THE COST OF FINAL RECLAMATION INTRODUCTION Mining operations in British Columbia are required by legislation to submit a final reclamation plan for approval by the Ministry of Energy, Mines, and Petroleum Resources (MEMPR) prior to mine startup and continually and progressively reclaim mined out areas in accordance with the approved plan. As a condition of Reclamation Permits, mine operations must provide a detailed five year projection of mining and reclamation programs and report annually on the degree to which reclamation objectives have been met. The MEMPR has issued Mine Reclamation Guidelines (dated March 1, 1984) which outline the working policy for mine reclamation in British Columbia. These guidelines outline the criteria for acceptable reclamation and include a discussion of land use, level of land productivity and use of a suitable growth medium in addition to the revegetation requirement. Since minesite reclamation was first legislated, it is clearly apparent that the standards for acceptable reclamation have become increasingly complex and costly in response to expectations from the general public. Reclamation must now be recognized as a permanent source of expense in carrying out the business of mining and should therefore be accounted for in long term corporate financial plans. This paper has been prepared to describe a process to develop a financial plan for the cost of final reclamation. The Fording River Operations is used to provide an example of a specific plan. Proceedings of the 12th Annual British Columbia Mine Reclamation Symposium in Vernon, BC, 1988. The Technical and Research Committee on Reclamation PLAN OBJECTIVES The key objectives for the financial plan for reclamation are to provide realistic projections of total property reclamation costs and establish a mechanism which will ensure that adequate dollars are available when required to carry out final reclamation programs. The method used to derive reclamation costs should reflect the effects of inflation and be responsive to changes in the mine plan, reclamation technology and/or regulatory standards. PLAN ELEMENTS The preparation of a financial plan for reclamation requires that several associated plans be developed. A Long Range Mine Plan is needed to determine a planning time frame for reclamation and provide a realistic estimate of the scope of ultimate land disturbance. This plan should be sufficiently detailed to give good approximations of the extent of different types of mine disturbances and completion dates for each pit and spoil area. A reclamation plan must be prepared to identify end land use objectives and describe appropriate reclamation techniques for various types of mine disturbances. A thorough review of land use information for the pre-mining environment should be carried out and a selection of important values made on the basis of regional and provincial priorities for the area and the economic practicality of the required reclamation. On site research and/or field scale demonstrations will be required to provide realistic estimates of the cost of implementing reclamation work. The information from the Long Range Mine Plan is used to develop a schedule of when various mine disturbances will be reclaimed. Each of the areas is assigned a prescribed end land use and associated reclamation costs are 105 Proceedings of the 12th Annual British Columbia Mine Reclamation Symposium in Vernon, BC, 1988. The Technical and Research Committee on Reclamation 106 calculated. This cost information provides a schedule of anticipated reclamation expense in each year of the planning horizon for the reclamation plan. A detailed year by year reclamation plan may not be practical for large mining developments with anticipated operating time frames greater than 20 years. In these cases, generalized assumptions may have to be made about the portion of the ultimate disturbed area which will be available to reclaim in any given year. In some cases, it may be possible to break the overall financial plan for reclamation into two planning horizons; an initial short term period (5 - 15 years) where a detailed reclamation schedule can be prepared and a subsequent long term period (15+ years) where only a generalized reclamation schedule can be prepared. The funds for reclamation can be accumulated in a variety of ways. The following list outlines two possible methods: 1. Calculate the total dollars required to complete all outstanding reclamation Including an allowance for inflation throughout the period covered by the plan and calculate the total projected production from the minesite during this same time period. Divide total reclamation cost by total production to derive an accrual rate (eg. $/ton, $/lb). A check must tie made to ensure that the accrual of funds will meet the planned expenditures throughout the planning period. Adjustments may have to be made in the rate of accrual or amount of reclamation in certain years to ensure this occurs. 2. Quarterly or lump sum payments: can be made to a reclamation account in the current year to cover reclamation expense in the subsequent year. Proceedings of the 12th Annual British Columbia Mine Reclamation Symposium in Vernon, BC, 1988. The Technical and Research Committee on Reclamation Example Plan: Fording River Operations At the Fording River Operations, a reclamation accrual account has been set up to cover the cost of all reclamation activities on mined-out areas. Funds are accumulated by collecting a predetermined payment for each ton of clean coal produced at the minesite. This accrual system has been in place since the mid-1970's. The financial plan for final reclamation of the minesite has been divided into two (2) stages with an overall planning horizon of 43 years. The first stage is a ten year plan (1987-1997) covering reclamation of the Greenhills area. The second stage is a 33 year plan covering reclamation of the Eagle Mountain area and the plantsite. Long range mine plans have been developed for the Greenhills area (1995) and Eagle Mountain (2030). The reclamation plan for the minesite involves site preparation and revegetation activities which will re-establish the iirportant land uses which existed prior to mining on a property average basis. This plan is consistent with the MEMPR's Mines Reclamation Guidelines. The two major end land use objectives for reclamation at the Fording River Operations are moderate yield forestry and winter/summer range for ungulates (in particular elk). The development of cost effective reclamation technology has been ongoing at Fording Goal limited since 1969. At the present time, research on field scale test areas is continuing to refine techniques to establish commercial tree species on spoils. Assessments of native ungulate ranges are being undertaken to assist in selecting suitable species for revegetating spoils to produce winter range for elk. Studies on spoil resloping techniques and costs have been carried out and the results used to refine reclamation cost estimates. On the basis of present reclamation technology, costs to reclaim various types of disturbances at the Fording River Operations have been estimated (Table 1). 107 Proceedings of the 12th Annual British Columbia Mine Reclamation Symposium in Vernon, BC, 1988. The Technical and Research Committee on Reclamation 108  * These unit costs have been produced considering site specific conditions at the Fording Riveor Operations and will probably not be valid for other minesites. Proceedings of the 12th Annual British Columbia Mine Reclamation Symposium in Vernon, BC, 1988. The Technical and Research Committee on Reclamation The 10 year plan provides an illustration of the detailed planning process involved in preparing a financial plan for final reclamation. A summary of the total area of disturbances to be reclaimed in the 10 year plan is presented in Table 2. A schedule of when various areas will be reclaimed has been produced (Table 3) with consideration given to availability of sites (ie areas mined out when scheduled to be reclaimed). A schedule of reclamation expense over the 10 year plan was calculated with an allowance for inflation. Production rates over the 10 year plan period were projected and a straight line accrual rate calculated. Accrual rates at the Fording River Operation have varied from approximately $.10 to $.70 per metric tonne of clean coal. The fluctuations have occurred in response to varied planning horizons, improved estimates of reclamation costs and changes to the mine plan. The funds accrued for final reclamation of the minesite are accumulated in a special account which is reported as a long term liability on the Consolidated Balance Sheets of the company's financial statements (Figure 1). All costs incurred to carry out final reclamation of minesite disturbances are expensed against this account. :cb Fording Operations May 27, 1988 109 Proceedings of the 12th Annual British Columbia Mine Reclamation Symposium in Vernon, BC, 1988. The Technical and Research Committee on Reclamation 110  Proceedings of the 12th Annual British Columbia Mine Reclamation Symposium in Vernon, BC, 1988. The Technical and Research Committee on Reclamation 111  Proceedings of the 12th Annual British Columbia Mine Reclamation Symposium in Vernon, BC, 1988. The Technical and Research Committee on Reclamation  

Cite

Citation Scheme:

    

Usage Statistics

Country Views Downloads
China 9 0
Japan 5 0
United States 4 0
Canada 3 0
Germany 2 0
France 1 0
City Views Downloads
Beijing 9 0
Tokyo 5 0
Unknown 4 0
Redmond 2 0
Ottawa 2 0
Ashburn 2 0

{[{ mDataHeader[type] }]} {[{ month[type] }]} {[{ tData[type] }]}
Download Stats

Share

Embed

Customize your widget with the following options, then copy and paste the code below into the HTML of your page to embed this item in your website.
                        
                            <div id="ubcOpenCollectionsWidgetDisplay">
                            <script id="ubcOpenCollectionsWidget"
                            src="{[{embed.src}]}"
                            data-item="{[{embed.item}]}"
                            data-collection="{[{embed.collection}]}"
                            data-metadata="{[{embed.showMetadata}]}"
                            data-width="{[{embed.width}]}"
                            async >
                            </script>
                            </div>
                        
                    
IIIF logo Our image viewer uses the IIIF 2.0 standard. To load this item in other compatible viewers, use this url:
http://iiif.library.ubc.ca/presentation/dsp.11122.1-0042134/manifest

Comment

Related Items