The Critical Role Of Geology In Reserve Determination

The application of geology does not cease with the discovery and delineation of a mineral resource, but continues in the calculation of the economic parameters that determine reserves. Reserve determination, reduced to essentials, is the determination of the cost of production of a mineral commodity from a resource. This cost comprises mining, processing, waste disposal, reclamation and marketing costs. Geological input is vital in the calculation of the individual cost parameters from mining to reclamation, and even has same impact on marketing. Geology thus has a critical role in the determination of reserves.