Application of Systemic Flow-Based Principles in Mining

"SynopsisMining value chains are dynamic systems and should be managed according to systemic flow-based principles. This includes a detailed focus on the impact of variable geological conditions on material flow, product quality, and production cost, visibility of the total mining system to operators and managers, as well as the synchronization of resources and activities in downstream processes. Thirty mining operations across the African continent were studied to establish to what extent systemic flowbased principles are applied in day-to-day operations. The study indicated that although most mining operations have identified the relevant geoprocessing variables, only a small number apply this information in a flow-based management approach. Most mining operators do not focus on developing a clear flow view of the mining value chain and on making it visible to operators and managers to enable them to optimally set and reset operations. Daily synchronization of geoprocessing variables is limited to a small number of variables, e.g. synchronizing ore hardness with drilling or milling requirements, in less than 30% of the operations evaluated. Operations where these principles have been adopted reported a noteworthy improvement in performance. The study indicates that notable potential exists in most of the operations evaluated to implement flowbased management principles, including geometallurgical principles. This can significantly improve value chain performance without exorbitant capital layouts and enhance ROCE. IntroductionObjective of the studyThe study seeks to establish to what extent systemic flow-based principles have been adopted in the southern African mining industry and the implications thereof. Specific attention is given to the importance of defining and managing geoprocessing dependencies (geological variables directly impacting mining and plant performance – the geometallurgical approach), establishing a flow view of the mining system, which typically includes a dashboard of the flow of ore/product quality and cost from the mining face to the customer, and limiting the impact of dependencies through synchronization of activities and resources, e.g. ensuring that a continuous miner does not wait for a roofbolter, or that reagent addition rates are matched with a specific ore/concentrate composition."