An engineering economic evaluation of mining in Antarctica: A case study of platinum

Abstract

This study focuses on the engineering and economics of mining platinum group metals and gold from the Dufek intrusion in Antarctica. This intrusion is a Jurassic layered mafic intrusion. Except for the Bushveld Complex in South Africa, it is far larger than any other complex of this type. Chromium, copper, and platinum group metals are considered as speculative resources in this intrusion. There is special interest in the platinum group metals. These are expected mainly in the hidden lower portion of the Dufek intrusion. Possible mining activity could take place in this intrusion. Experience from the Arctic gives reason to believe that mining could be conducted in Antarctica. Developments at the Polaris and Lupin mines in northern Canada are examples of successful operations in adverse climates of the type present in Antarctica. However, logistics, thickness of the ice cover, permafrost, and extremely low temperatures create problems for a hypothetical mining operation and impose hazards for transportation. Economic considerations show no reason to believe that in the near future extraction of minerals could be performed profitably under current cost and price regimes. The very high risk associated with the high cost levels makes such a venture very unattractive. However, with increasing commodity prices and a tightening of the market situation a favorable economic environment could develop. In 1991 the Antarctic Treaty will come up for review, and questions about a mineral development regime are of timely importance. The problem of mineral rights acquisition has to be solved before any mining can be legally performed. engineering requirements were based on Arctic operations, especially the Polaris and Lupin mines in northernCanada.Results of this study show that no mining will be economically feasible in the near future. However, the technical design parameters show that mining as such could take place, if the assumptions made in this study comply with the real geological situation of the Dufek intrusion. GEOLOGY OF THE DUFEK INTRUSIONThe Dufek intrusion is one of the largest known ultrabasic layered intrusions in the world. Wilson [1969] stated that nearly all of the layered mafic intrusion complexes show economically significant deposits of one or more metals. Behrendt et al. [1980] estimated the area of the Dufek intrusion as exceeding 50,000 km 2, which makes it comparable in size to the Bushveld Complex. However, only a tiny upper section of the intrusion is exposed. The intrusion is of Middle Jurassic age and is part of the Pensacola Mountains, adjoining the Precambrian EastAntarctic Shield. No intrusive center of this 400,000km 3 volume body has been found yet.Although more than 95% of the body is hidden under snow and ice and thus only a very small data base is available, speculations on possible resources have been made. Ford [1983] compared the Dufek intrusion with the Bushveld and other igneous complexes mainly on the concept of "unit regional value" in order to determine the potential of the Dufek...

The Dufek intrusion of Antarctica

“…[Naldrett, 1981] in lacking chromitite, sulfides, and pegmatoidal phases. De Wit [1985] and Beike [1988] describe the operation and economic feasibility of a hypothetical platinum mine in a conjectural Merensky-type unit of the Dufek intrusion, which is discussed by Auburn [1986], Splettstoesser [1987], Wyman [1987], Alabaster [1988], and Willan [1989]. However, the great size of the body, as inferred from geophysical surveys (Figure 1) and the many broad petrologic similarities with the Bushveld and Stillwater complexes [Ford and Himmelberg, 1990] have attracted much speculation on the potential occurrence of PGE resources [e.g., Wright and Williams, 1974;Zumberge, 1979;Lovering and Prescott, 1979;Auburn, 1982;Golden, 1982;Gjelsvik, 1983;Rowley et al, 1983;Mitchell, 1983;Mining Journal, 1985;Shapley, 1985, p. 135;Pyne, 1986, p. 355;Fifield, 1987, p. 57;Parsons, 1987, p. 85;MacKenzie, 1988;Heylmun, 1989].…”

Mining of Helium-3 on the Moon

“…Furthermore, large geographic areas have yet to be opened up for mineral extraction, but resource companies are barred from any exploration/extraction activity by legal means, such as mining and hydrocarbon development in the Antarctic (Beike, 1990(Beike, , 1993 or ocean mineral resources. In both of these cases, even after lengthy negotiations concerning their mineral resource development, no binding mineral's regime was negotiated and no active mineral extraction regime was agreed to by the international community.…”