WATER USE AND WATER CONSERVATION BY THE COPPER MINING INDUSTRY1

ABSTRACT: This paper examines the use of water by copper mines for treating low grade ores. The froth flotation process for treating sulphide ore and the heap leaching process for treating oxide ore are described, and ways of reducing the amount of water used in these processes are discussed. Estimates of the costs reducing water consumption are given. Finally, the circumstances in which it would be desirable for a copper mine to reduce its level of water consumption are considered.     

SEWER AND WATER PRICING AND INVESTMENT POLICIES TO IMPLEMENT URBAN GROWTH POLICY1

ABSTRACT. The article proposes the use of certain water and sewer extension pricing and investment policies. Such policies would complement an urban growth policy designed to guide the location and timing of growth in urbanizing areas. Proposed pricing policies are based upon marginal cost principles. The types of pricing policies discussed include benefit assessments, connection fees, and user charges. Proposed investment policies deal with the division of financing responsiblities between the public and private sectors. Discussion of each proposal explains the economic influence of the proposed policies upon key decision makers in the land development process. The application of proposed pricing and investment policies in the case study communities is mixed. In Knoxville, Tennessee, where pricing and investment policies reflect the proposed policies, no urban growth policy exists. In Lexington, Kentucky, mixed pricing and investment policies do not complement what is a relatively good urban growth policy. In Greensboro, North Carolina, reasonably effective pricing and investment policies complement other policies which provide some guidance to the urban growth pattern. It is hoped that the article will increase the recognition of utility pricing and investment policies as one means of implementing urban growth policy.     

RECENT COAL AND URANIUM INVESTMENT AGREEMENTS IN THE THIRD WORLD

The improvements made by developing countries in the 1970s in petroleum and mineral agreements with transnational corporations have been well documented, and substantial evidence exists to show that some real gains, in terms of host country control over operations, distribution of economic benefits, better employment and training requirements, etc., have in fact been made. In the case of the energy-related minerals, uranium and coal, however, relatively few contracts between Third World governments and transnational corporations have become public, and it is thus difficult to document whether the same gains made in the case of petroleum or non-fuel minerals have been achieved in relation to these energy resources. This article reviews a number of such recent coal and uranium agreements in developing countries. In overall terms, these agreements do not go as far in providing for the interests of host countries as do those negotiated for petroleum or hard minerals. The reasons for this apparent weakness in developing countries' bargaining power in the case of uranium and coal include the specific nature of the markets for these minerals, the structure of transnational corporations in the industry, and the very secrecy which has kept most of these contracts from public view. In the light of the relatively weak markets expected for export sales of coal and uranium through the remainder of the 1980s, it appears unlikey that developing countries can make significant advances in their negotiations to the extent of achieving terms which are more favourable than those contained in the best of the agreements reviewed in this article. It should, however, be possible for host governments to use the more favourable of the agreements reviewed here as standards for future negotiations. Une solide documentation existe sur les améliorations apportées par les pays en développement dans les années '70 dans le domaine des accords pétroliers et miniers avec les sociétés multinationales et il est maintenant bien etabli que des gains réels ont été acquis en ce qui concerne le contrôle des opérations par le pays hôte, la répartition des bénéfices, une meilleure utilisation de la main-d'oeuvre et les obligations de formation professionnelle. Cependant, dans le cas des minerais énergétiques uranium et charbon, relativement très peu de contrats intervenus entre les gouvernements du Tiers Monde et les sociétés multinationales sont tombés dans le domaine public de sorte qu'il est difficile d'établir si des gains semblables à ceux réalisés dans le cadre du pétrole et des minerais métalliques ont été obtenus. Cet article passe en revue certains des accords intervenus récemment dans les domaines du charbon et de l'uranium dans les pays en développement. En termes généraux, ces accords ne vont pas aussi loin dans la protection des intérêts des pays hôtes que ceux qui ont été négociés pour le pétrole et les minerais. La marge de manoeuvre des pays en développement dans le cadre des négociations d'accords portant sur le charbon et l'uranium est limitée en apparence du fait de la nature particulière des marchés de ces minerais, de la place qu'occupent les sociétés multinationales dans l'industrie minière et du caractère confidentiel qui entoure les transactions et les isole de la vue du grand public. Etant donné les tendances baissières des marchés du charbon et de l'uranium à l'exportation pour le reste de cette décennie, il semble peu probable que les pays en développement puissent réaliser des progrès sensibles dans leurs négociations pour atteindre des conditions plus favorables que celles qui figurent dans les meilleurs accords examinés dans cet article. Cependant, les pays hôtes devraient se prévaloir des accords qui leur sont les plus favorables parmi ceux qui sont passés en revue pour les utiliser comme base de leurs futures négociations et tout au moins pour éviter de signer des accords léonins. Los progresos alcanzados en la década del setenta por los países en desar-rollo en los acuerdos con las compañias transnacionales sobre el desarrollo del petróleo y de los minerales ha sido bien documentado y existe evidencia sustantiva de que ha habido ganancias reales en aspectos tales como control del país sobre las operaciones, distribución de beneficios económicos, mejores condiciones para el empleo y el entrenamiento, etc. Sin embargo, en el caso de minerales energéticos, tales como el uranio y el carbón, pocos contratos han sido hechos públicos y es difícil documentar si se tuvieron similares ganancias como en el caso de minerales no energéticos y petróleo. Este artículo pasa revista a un número de dichos contratos recientes sobre carbón y uranio. En términos generales estos contratos no son tan favorables a los países en desarrollo en comparación con los contratos para petróleo y minerales no energéticos. Las razones para esta aparente debilidad del poder de negociación en el caso del carbón y del uranio se debe, entre otras, a la naturaleza específica del mercado para estos minerales, la estruc-tura de las compañías transnacionales dentro de la indústria y el carácter secreto que ha tenido la mayoría de estos contratos con respecto al público en general. A la luz de la relativa debilidad del mercado para las exportaciones de carbón y uranio que se cree que imperará durante el resto de la década del ochenta, parece poco probable que los países en desarrollo puedan hacer avances significativos en sus negociaciones con el objeto de alcanzar términos que sean más favorables que los que se alcanzaron en el mejor de los contratos revisados en el presente artículo. Debería ser posible, sin embargo, que los gobiernos puedan usar como patrón para futuras negociaciones el contrato mas favorable revisado en este artículo y evitar la firma de acuerdos totalmente desfavorables al pais.     

COPPER, TECHNOLOGY AND DEPENDENCE IN ZAIRE: TOWARDS THE DEMYSTIFICATION OF THE NEW WHITE MAGIC

In the past, the dependence of developing country producers of minerals was thought to be related to lack of capital and lack of personnel. At present, this dependence is maintained by the “new white magic” of technology. Examining the concrete case of copper in Zaire, this article deals with three broad aspects of technological dependence: in the provision of technical personnel for the mining enterprises, in the processing of minerals, and in marketing. In each case, it can be shown that the potential independence of Zaire is considerably greater than what has actually been achieved to date. Moreover, a major barrier to the achievement of more effective national control over the copper industry is the misperception on the part of Zaire of certain key aspects of the industry. A clearer view of the reality of the copper sector would show that national control can in fact be realized. Autrefois on pensait que la dépendence des pays en développement producteurs de minéraux était liée au manque de capitaux et de cadres. De nos jours, cet état de dépendance est alimenté par la “nouvelle magie blanche” de la technologie. En examinant le cas concret du cuivre au Zaïre cet article présente trois grandes lignes de cette dépendance technologique en matière de personnel technique des entreprises minières, de traitement des minéraux et de leur commercialisation. Dans chaque cas, on peut démontrer que les chances d'indépendance du Zaïre sont sensiblement plus élevées qu'elles ne l'ont été jusqu‘à présent. De plus, la perception erronée qu'a le Zaïre de certains aspects clefs de son industrie constitute un obstacle majeur à la réalisaton d'un contrôle national plus efficace de l'industrie du cuivre. Une vue plus claire des réalités du secteur du cuivre démontrerait qu'un contrôle national peut effectivement être mis en place. En el pasado se pensaba que la dependencia de los países en desarrollo productores de minerales estaba relacionado a la falta de capital y personal capacitado. Al presente esta dependencia se mantiene gracias a la “magia blanca de la tecnología.” Al examinar el caso concreto del cobre en Zaire, este artículo trata tres aspectos amplios de dependencia tecnológica: en el personal técnico de las compañías mineras, en el proceso de minerales y en el mercadéo. En cada caso se puede demostrar que el potencial para la independencia tecnológica de Zaire es considerablemente mayor que la que se ha alcanzado al presente. Sin embargo, la mayor barrera para obtener un control nacional más efectivo de la industria de cobre es la falsa percepción de parte de Zaire sobre ciertos aspectos claves de la industria. Una visión más clara de la realidad del sector cuprífero podría mostrar que su control nacional es posible de conseguir.     

INVESTMENT REQUIREMENTS IN THE NON-FUEL MINERAL SECTOR IN THE DEVELOPING COUNTRIE

Concern over the financial requirements for the long-term expansion of the world non-fuel minerals industry has led to growing interest in estimates of the magnitude of the requirements. The authors focus on the requirements in the developing countries for nine major minerals and deal with the most important among these, copper, in an appendix.     

INDUSTRY COMPLIANCE WITH STORM WATER POLLUTION PREVENTION REGULATIONS: THE CASE OF TRANSPORTATION INDUSTRY FACILITIES IN CALIFORNIA AND THE LOS ANGELES REGION1

ABSTRACT: Pollutants in urban storm water runoff, a significant and increasing fraction of pollutants in some waters of the U.S., originate from multiple activities. The industrial sector, one source category, is subject to federal and state-level storm water pollution prevention regulations, primarily General NPDES Permits that rely heavily on facility operators to identify themselves and develop appropriate site-specific pollutant controls. Degree of compliance is not readily determined and enforcement is inhibited because no publicly-available inventories contain data necessary to comprehensively identify facilities required to comply. This research evaluates the first stage of compliance, facility self-identification, concentrating on the motor-vehicle, transportation industry category using data at three scales: statewide, regional, and local or watershed. Data for California statewide and for the Los Angeles region show about 8 percent to 15 percent of motor-vehicle transportation facilities have complied with first-stage requirements. However, facility-specific evaluation in one Los Angeles County watershed suggests less than 50 percent of facilities in the industry conduct industrial activities of the kind covered by regulations; others need not comply. Results show strong variation by industry category. Second-stage compliance, follow-up reporting, is also evaluated for the Los Angeles region. About 17 percent to 34 percent of facilities completing first-stage requirements have also completed second-stage requirements.     

INVESTMENT IN DEVELOPING COUNTRIES: A MATTER OF GIVE AND TAKE

Producer countries - mainly developing nations - today are faced with a crisis of confidence in their search for capital to finance mineral exploration. Even in areas that are known to be promising sources of minerals and even in countries with a reputation for political stability it is difficult to raise money for exploration. The developing world has virtually unlimited requirements for investment, while the capital available from the developed world is limited by their own needs. At the same time, many of the developed countries that do have capital available are badly in need of the raw materials present in the developing countries. The factors preventing investment for exploration are in large part attitudinal, and both groups need to take a completely fresh look at their relationships vis-à-vis their common desire to exploit natural resources for their mutual benefit. Les pays producteurs, principalement les nations en développement, doivent faire face aujourd'hui a une crise de confiance dans la recherche de capitaux pour le financement de l'exploitation des minerais. Même dans les regions connues comme étant prometteuses en ressources minérales et même dans des pays réputés pour leur stabilité politique, il est difficile d'obtenir des fonds pour l'exploration. Les nations en développement ont des besoins d'investissements pratiquement illimités tandis que les capitaux disponibles en provenance des pays développés sont limités par les besoins de ceux-ci. En même temps, plusieurs des pays développés qui disposent de capitaux ont grand besoin des matières premières que possèdent les pays en voie de développement. Les raisons empêchant les investissement pour l'exploration résultent en grande partie d'une question d'attitude et les deux groupes devraient reconsidérer complètement leurs relations en ce qui concerne leur désir commun d'exploiter les ressources naturelles pour leur bénéfice réciproque. Los países productores, principalmente los países en desarrollo, se enfrentan hoy a una crisis de confianza en la búsqueda de capital para financier la exploración de minérales. Aun en aquellas areas donde el potencial de minérales es promisorio en países con reputación de estabilidad política es dificil conseguir financiamiento para exploración. Los países en desarrollo tienen virtualmente una necesidad ilimitada para inversiones, mientras que el capital disponible del mundo desarrollado es limitado por sus propias necesidades. Al mismo tiempo muchos países desarrollados que tienen capital disponible tienen gran necesidad de materias primas que estan disponibles en los países en desarrollo. Los factores que impiden la inversión en exploración son en su mayor parte originados en diferentes actitudes y ambos grupos necesitan enfocar el problema bajo un nuevo ángulo con el objeto de encontrar mecanismos que permitan satisfacer el común deseo de explotar los recursos naturales en beneficio mutuo.     

MINERALS OBJECTIVES, POLICIES AND STRATEGIES IN BOTSWANA — ANALYSIS AND LESSONS

This article examines the present status of the minerals industry in Botswana and the effectiveness of that country's policies on minerals development and the achievement of national development goals. Botswana's mineral production increased (in constant 1979 dollars) from less than $1 million per year in the late 1960s to $300 million in 1979 and is expected to more than double by the mid-1980s. The author analyses the country's regime of mineral rights, the role of the private sector, negotiation of mining agreements and the implementation of national mineral exploration strategies. Cet article étudie l'état actuel de l'industrie minière au Botswana et l'efficacité de la politique suivie par ce pays dans la mise en valeur des ressources minérales. La production minière du Botswana est passée de moins de 1 million de dollars des E.U. par an au début des années 60 à environ 300 millions de dollars en 1979 (en dollars constants de 1979). L'auteur analyse la réglementation minière du pays, le rôle du secteur privé, la négociation des contrats de production et la législation concernant les droits d'exploration. L'auteur étudie ensuite ces résultats dans le contexte du développement national considéré dans son ensemble. Este artículo examina el estado actual de la indústria minera en Botswana y la efectividad de las políticas de desarrollo minero del país. La producción minera de Botswana aumentó (en dólares constantes de 1970) de menos de un millón de dólares por año al comienzo de la década del sesenta a 300 millones de dólares en 1979. El autor analiza el régimen del derecho sobre minerales del país, el rol del sector privado, la negociación de los contratos de producción y la organización de los derechos de exploración. El autor luego examina estos resultados dentro del contexto del desarrollo nacional.     

EVALUATION OF COPPER ACCUMULATION IN PART OF THE CALIFORNIA AQUEDUCT1

ABSTRACT: Copper sulfate has been used extensively in the California Aqueduct to control phytoplankton and the alga Cladophora. Since 1969 more than 250,000 pounds of copper sulfate has been added to a part of the aqueduct. Although copper sulfate is effective in controlling algae, copper tends to accumulate in the system in which it is applied. Samples of water, biota including plants, clams, and snails, as well as sediment were analyzed for copper. Results of these analyses showed that copper concentrations in the water, with three exceptions, were less than 10 micrograms per litre. Samples of plant tissue showed a 198 percent increase in copper concentration in the treated reach of the aqueduct, and clam tissue showed a 68 percent increase. Snails in the treated reach had 77 percent more copper than in the untreated reach whereas copper concentrations in the sediment doubled. None of the concentrations found are considered to be harmful to the biota.     

OPTIMAL CAPITAL INVESTMENT IN THE EXPANSION OF AN EXISTING WATER RESOURCES SYSTEMS1

The study of the optimal expansion of existing water resources systems is of continuing importance because of the rising demand and limited supply of water in many areas of the world, particularly in the southwestern part of the United States of America. This study is concerned with the investigation of the optimal expansion of a realistic water resources system to meet an increasing demand for municipal and industrial use, irrigation, energy, and recreation over a planning horizon of T years. A number of possible dam sites are available for the further regulation of river (canal) flows in the basin and/or the regulation of imported waters into the basin. To maximize, over the set of alternative projects, the sum of discounted present value of net earnings subject to the demands and various institutional, physical and budgetary limits, an optimization problem (Problem I) was formed as a 0-1 mixed integer programming problem and was decomposed into the set of all feasible combinations (Problem II). The economic return was determined for each combination (Problem III). Problem II was solved by a branch and bound procedure which selected each feasible combination of dams while the optimal return for each such combination (Problem III) was found by a network analysis code.     

THE IMPACT OF POLICY VARIABLES ON RESIDENTIAL WATER DEMAND AND RELATED INVESTMENT REQUIREMENTS1

Increasing population and urbanization necessitate very large investments in municipal water supply. These investments could be more efficiently deployed if the impact of policy variables such as marginal pricing, metering, by-laws on lawn watering and plumbing fixtures, and higher summer charges were known. The paper in particular advocates the replacement of the present declining block rate by an increasing block rate. In order to know the impact of policy variables, a multiple regression model is built; the fitted model is tested against some data not included in calibrating the model. Next the impact of selected policy variables on the target variable (residential water demand during summer) is worked out for a new urban community of 200,000 people. The investment requirements may decrease appreciably as a result of a price increase when marginal (or commodity) charges are low but the impact of price changes when commodity charges are already high is less evident and non-price policy variables may be more effective in maintaining high quality water and also satisfying the constraint of limited budgets for municipal services.     

A COLORIMETRIC METHOD FOR THE DETERMINATION OF TRACE COPPER CONCENTRATIONS IN WATER1

Trace quantities of copper (II) ion can be found in natural water as waste products from industrial, mining, and agricultural operations. Because low concentrations of copper can be toxic to plant life, many workers have devised methods of analysis for this metal in water. These methods require expensive equipment and skilled technicians. The described study illustrates a simple method in which copper (II) ion is concentrated by a batch ion exchange technique and estimated colorimetrically after formation of the blue triethylenetetramine complex. Using the visible absorption peak of the complex at 600 nm it was possible to obtain accurate estimations of original copper concentrations in the range 0.5-3 ppm. Using the complex absorption peak at 260 nm in the ultra-violet region of the spectrum increased the sensitivity by a factor of twenty. Because of the dependence of the complex formation reaction on solution acidity it is possible to optimize conditions for the detection of copper (II) in the presence of other metal ions. This type of method, which could be extended to the analysis of other metal ions, could be performed by a relatively unskilled technician under field conditions.     

INVESTMENT SEQUENCING RECOGNIZING EXTERNALITIES IN WATER DESALTING1

ABSTRACT. The failure to recognize the learning process in new technologies such as desalting may lead to incorrect water resource investment decisions for two reasons. First, to neglect cost reductions stemming from “learning by doing” implies an overestimation of desalting costs. Second, since learning in a particular plant may result in external (learning) benefits to other plants, these may serve as the basis for a subsidy intended to internalize such benefits. Accordingly, the research reported below includes an estimation of learning functions for desalting and the results of a formulation designed to measure external benefits on the basis of these learning functions. These results are then incorporated into a decision framework for water resource investments which recognizes uncertainty in determining optimal timing of desalting construction.     

COPPER PRICE STABILIZATION: WELFARE CONSEQUENCES AND BUFFER STOCK COSTS

International debate and economic literature on export earnings from trade in raw materials have focused on two main subjects: the ability to increase incomes arising from the exports and the possibility of stabilizing these incomes. One alternative that has been suggested and discussed with regard to the second issue is a buffer stock that would decrease the fluctuations in raw material prices. Two objections that have been made to this proposal are that, with stabilization, producers could lose their welfare benefits; and that financial costs are too great. In this article, market conditions required so that copper producers may be benefited by price stability are discussed, and the profitability of a copper buffer stock is measured. Depending on the characteristics of demand and supply curves in the copper market, the article concludes that producers may obtain welfare and income benefits from price stabilization and that for certain degrees of stability the management of the copper buffer stock can yield a positive internal rate of return close to that of alternative investments. Des discussions au niveau international et des ouvrages économiques en matière de recettes d'exportation provenant du commerce des matiêres premières ont mis l'accent sur deux sujets principaux: la capacité d'accroître les revenue de ces exportations et la possibilité de stabiliser ces revenue. Une option, suggérée et débattue au sujet du second point, consiste en l'établissement d'un stock régulateur qui tendrait à diminuer les fluctuations des prix des matiêres premières. Cependant, deux objections ont été soulevées, à savoir: la stabilisation pourrait avoir des repercussions néfastes sur les bénéfices des producteurs et les coûts financiers pourraient être trap élevés. L'article considère les conditions de marché requises pour permettre aux producteurs de cuivre de bénéficier de la stabilité des prix ainsi que la rentabilité d'un stock régulateur en matière de cuivre. En se basant sur les caractéristiques des courbes de l'offre et de la demande dans le marché du cuivre, l'article conclut que les producteurs peuvent bénéficier de la stabilisation des prix et que, à certains degrés de stabilité, la gestion d'un stock régulateur de cuivre peut engendrer un taux de rendement interne positif avoisinant ceux d'autres investissements. Los debates internacionales y la literature sobre los ingresos de exportatión de materias primas han enfocado dos temas principals: la habilidad de aumentar el ingreso resultante de estas exportaciones y la posibilidad de estabilizar dichos ingresos. La creación de una reserva de compensación para contrarrestar las fluctuaciones de los precios de materias primas ha sido propuesto y discutido. Las objeciones hechas a esta propuesta argumentan que los beneficios para los productores disminuiría con la estabilización y que los costos financieros serian demasiado grandes. En este artículo se discuten las condiciones de mercado que permitirían a los productores de cobre beneficiarse de la estabilidad de precios y se mide también la rentabilidad de la reserva de compensación para el cobre. Basándose en las características de las curvas de demanda y oferta en el mercado del cobre, el artículo concluye que los productores pueden salir gananciosos con la estabilización de precios y que para ciertos grados de estabilidad, la administración de la reserva de compensación del cobre puede producir una tasa interna de retorno positive, comparable a otras inversiones alternatives.     

A MATRIX AND ACCOMPANYING CLASSIFICATIONS FOR IDENTIFYING WATER RESEARCH PROBLEMS AND NEEDS1

ABSTRACT: A matrix was developed of problems with the functional use of water resources (rows) and functions served by water resources research (columns). A classification of water problems and a classification of research fields also were developed to accompany the matrix. The matrix and classification schemes were used when preparing the five-year research and development plan of the Water Resources Center of The Ohio State University. They were used: (1) to classify each research project that had been supported by the Water Resources Center from 1965 through 1980, (2) to guide interviews with personnel of federal and state agencies and university faculty who assisted in defining Ohio's water research needs, (3) to organize responses received during these interviews, and (4) to arrive at a selected list of ten problems with the functional use of Ohio's water resources that were prioritized based upon opinions received from water-related officials throughout the state. Other matrices and classification schemes are reviewed that were revised and expanded upon when formulating the ones used in Ohio. Suggestions are given regarding further development of the functional matrix and accompanying classifications as well as their use in administration of the cooperative federal-state water resources research program and other federal water resources research programs.     

THE INDUSTRIAL ECONOMICS OF COPPER PROCESSING

Developing countries have increased their activity in smelting and refining of copper in order to retain a greater proportion of the value added and to achieve more control over production and marketing. This article examines the technology and economics of copper smelting and refining and considers the advantages and disadvantages to developing countries of increased investment in copper ore processing.
Les pays en développement ont accru leur activité dans le domaine de la fonte et du raffinage du cuivre dans le but de conserver une part plus grande de la valeur ajoutée et d'établir un contrôle plus efficace sur la production et la commercialisation de cette ressource. Cet article étudie les aspects techniques et économiques de la fonte et du raffinage du cuivre. Il compare les avantages et désavantages, pour les pays en développement, de la croissance des investissements dans le traitement du minerai de cuivre.
Los países en desarrollo han incrementado las actividades de fundición y refinado de cobre con el objeto de retener una porción mayor del valor agregado y de ejercer más control sobre la producción y el mercado. Este artículo examina la tecnología y economía de la fundición y refinado del cobre y considera las ventajas y desventajas de mayores inversiones en el procesado del mineral de cobre por los países en desarrollo.