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This document reports a research effort directed at compiling the field theory, noise theory, and communication theory necessary to perform systems analysis and optimization of an electromagnetic communication system for use within a mine. The field equations and power transfer between loops placed in an infinite, homogeneous, lossy medium is examined and relationships between parameters are determined that provide optimum transfer of signal power. This analysis is extended to cover the case of an infinite, homogeneous, lossy half-space used to model the actual mining situation. Approximate solutions are found to greatly simplify systems analysis. Noise, bandwidth, false alarm rate, missed message rate, threshold level, receiver sensitivity, and transmitting antenna arrays are analyzed for their effect on system performance. An example is given, utilizing the methods developed in this study, to evaluate and optimize a mine paging system. Measured power transfer between loops taken in various mines is presented as verification of theory developed in this study. Measured noise data is also presented.