Calculations of grade and tonnage for two co-products from a projected South African gold mine

Consideration is given to the problem of the estimation, from limited data, of the likely grade and tonnage for a new mining property that is to be exploited by the selective mining of two metals that have substantial contributions to make to the total revenue. In particular, the case of a new gold and uranium mine in South Africa is analysed as follows. (I) The applicability of the underlying lognormal bivariate model for different support (i.e. ore unit) sizes is examined. (2) The necessary parameters for the bivariate lognormal models for different block sizes are estimated from abundant chipsampling data from a section of the Hartebeestfontein Gold Mine using alternative approaches, and the results are compared. (3) A method is given for obtaining the necessary parameters for a tonnage-grade relationship relative to a joint pay limit from the very limited information likely to be available at the end of the exploration stage of a gold mine, and the results are compared with those obtained from the large volume of data available from a minedout area.