Application of a Localized Direct Conditioning Mineral Resource Modelling Technique for Medium- and Long-Term Planning of Underground Mining Operations

At the exploration stage for new mining projects or for medium- and long-term areas of existing mines (typical of South African gold mines), drilling data is on a relatively large grid. This grid is normally larger than the selective mining units (SMUs). Direct estimates for the SMUs and also of much larger block units will then be smoothed due to the information effect and the high error variance. Any capital-intensive project decisions made on the basis of any of the smoothed estimates will tend to misrepresent the economic value of the project or operation, i.e. the average grade of blocks above cut-off will be underestimated and the tonnage overestimated for cut-off grades below the mean grade of the orebody. This paper presents a direct approach technique for deriving recoverable resources, referred to as localized direct conditioning (LDC), designed to correct smoothing effects and also to provide support corrections.