Production Schedule Optimisation – Meeting Targets by Hedging against Geological Risk while Addressing Environmental and Equipment Concerns

A long-term production schedule for the LabMag iron ore deposit in northern Quebec, Canada is derived using stochastic integer programming. The optimisation formulation maximises the schedule’s net present value while simultaneously managing the risk of deviations in production tonnages and qualities by considering stochastic simulations of the orebody instead of a single deterministic model. The formulation also smooths and minimises haul truck requirements and ensures that as mining progresses, space is created within the mined out pit for the return of waste material.CITATION:Spleit, M, 2014. Production schedule optimisation – meeting targets by hedging against geological risk while addressing environmental and equipment concerns, in Proceedings Orebody Modelling and Strategic Mine Planning Symposium 2014, pp 397–404 (The Australasian Institute of Mining and Metallurgy: Melbourne).