Computer-Based Design of Open Cut Mines

Three stages are involved in the complete design and evaluation of an open cut mine. These are:1. design of the optimu,m ultimate pit, and selectionof the optimum mill capacity,2. development of production schedules, with intermediate pit designs, and3. evaluation of the project, based on factors from stages 1 and 2, by means of discounted cash flow analysis.Stage 1 requires relatively complete information on metal distribution, metallurgical performance, and cost factors, which is used to design a series of pits, corresponding to a range of milling rates.For each milling rate considered there is a unique pit design which maximizes operating profitability. The computer outlines this design (in terms of size, shape, and location; tons and grade of ore; and tons of waste), by considering the effect on profitability of mining each block in the mineralized inventory in relation to every other block which would be affected by its removal.The computer selects only those blocks for mining which result in an overall increase in profitability, maintaining pre-determined wall slope conditions throughout.Both operating profitabilities and capital costs increase with throughput, and the two curves will combine to produce a flat peak in net profitabilities at a certain rate, with its associated pit design.Stage 2 can maximize head grades early in the life of the operation. This increases the projected present value, but there are good arguments for maintaining steady head grades throughout the life of the mine.A modification of the programme used in Stage 1 is used here.Stage 3 is a conventional discounted cash flow analysis, using factors obtained in stages 1 and 2. It can be computerised, but a manual treatment is probably just as fast overall.