Effect of Deposit Types, Mine
Development and Industry Structure
on Primary Lead and Zinc Economics
in Australia, North America and Europe
L. Reemeyer
Abstract The economics of primary lead and zinc production are influenced by
geological attributes of deposits and geographical factors such as access to transport
infrastructure and markets. Characteristics of deposit types such as SEDEX, VMS,
CRD and MVT influence both revenue and costs. Resulting mine economics are
reviewed with focus on Australia, Canada, USA and Europe. Mine development and
depletion and changes in smelting due to tightening environmental standards and
changing concentrate availability are reviewed for the last 25 years. This includes
major changes in smelting flowsheets to adapt to feedstock supply shifts. Changes
in industry structure including consolidation, changes in vertical integration and the
rise of Chinese production are examined. The role of byproduct recovery, particularly
silver, on economics of both mines and smelters is reviewed. A future outlook on leadzinc industry structure in Australia, Canada, USA and Europe to 2040 is included.
Keywords Lead · Zinc · Mineralogy · Smelting · Economics
Introduction
Mine production of lead and zinc comes primarily from sulphide deposits that contain
lead, zinc and silver. Lead is typically present as galena and zinc as sphalerite. Silver is
often associated with galena but may also be present in a range of silver minerals such
as tetrahedrite or pyrargyrite. Most ores are processed using grinding and flotation.
Historically, Australia and Canada were major mine producers of zinc and lead,
but their production has waned in the last 20 years. This is particularly true for
Canada, which was the world’s largest zinc mine producer in 1996 but had fallen
to 8th by 2017. Canadian lead mine production virtually disappeared by 2017. This
was due to the depletion of two major mines (Sullivan and Brunswick). Australian
zinc production peaked in 2015, but fell dramatically the following year, due to the
closure of the large Century mine. USA, Mexico and the European Union have also
L. Reemeyer (B)
Resourceful Paths, Vancouver, BC, Canada
e-mail: laurie@resourcefulpaths.com
© The Minerals, Metals & Materials Society 2020
A. Siegmund et al. (eds.), PbZn 2020: 9th International Symposium
on Lead and Zinc Processing, The Minerals, Metals & Materials Series,
https://doi.org/10.1007/978-3-030-37070-1_43
507
Development and Industry Structure
on Primary Lead and Zinc Economics
in Australia, North America and Europe
L. Reemeyer
Abstract The economics of primary lead and zinc production are influenced by
geological attributes of deposits and geographical factors such as access to transport
infrastructure and markets. Characteristics of deposit types such as SEDEX, VMS,
CRD and MVT influence both revenue and costs. Resulting mine economics are
reviewed with focus on Australia, Canada, USA and Europe. Mine development and
depletion and changes in smelting due to tightening environmental standards and
changing concentrate availability are reviewed for the last 25 years. This includes
major changes in smelting flowsheets to adapt to feedstock supply shifts. Changes
in industry structure including consolidation, changes in vertical integration and the
rise of Chinese production are examined. The role of byproduct recovery, particularly
silver, on economics of both mines and smelters is reviewed. A future outlook on leadzinc industry structure in Australia, Canada, USA and Europe to 2040 is included.
Keywords Lead · Zinc · Mineralogy · Smelting · Economics
Introduction
Mine production of lead and zinc comes primarily from sulphide deposits that contain
lead, zinc and silver. Lead is typically present as galena and zinc as sphalerite. Silver is
often associated with galena but may also be present in a range of silver minerals such
as tetrahedrite or pyrargyrite. Most ores are processed using grinding and flotation.
Historically, Australia and Canada were major mine producers of zinc and lead,
but their production has waned in the last 20 years. This is particularly true for
Canada, which was the world’s largest zinc mine producer in 1996 but had fallen
to 8th by 2017. Canadian lead mine production virtually disappeared by 2017. This
was due to the depletion of two major mines (Sullivan and Brunswick). Australian
zinc production peaked in 2015, but fell dramatically the following year, due to the
closure of the large Century mine. USA, Mexico and the European Union have also
L. Reemeyer (B)
Resourceful Paths, Vancouver, BC, Canada
e-mail: laurie@resourcefulpaths.com
© The Minerals, Metals & Materials Society 2020
A. Siegmund et al. (eds.), PbZn 2020: 9th International Symposium
on Lead and Zinc Processing, The Minerals, Metals & Materials Series,
https://doi.org/10.1007/978-3-030-37070-1_43
507