Global Resource Estimation and Change of Support at the Enterprise Gold Mine, Pine Creek, Northern Territory - Application of the Geostatistical Discrete Gaussian Model

The geostatistical Discrete Gaussian (DG) model is demonstrated to be capable of providing an effective means of implementing change of support for Enterprise-style mineralisation and thus providing reliable global recoverable resource estimates. At Enterprise, sample grade distribution proves to be highly positively skewed, therefore significant deskewing of the histogram and reduction of variance occurs when going from sample to block support. The DG model was experimentally tested in'the Southern Primary Zone (SPZ) at Enterprise, where high anisotropy ratios and pronounced short range structures are observed in variograms. The experimental test was run for a change of support for which the variance reduction was. approximately 60 per cent. This reduction is similar to that predicted by Krige's Relationship ('the volume-variance relationship') for the practical situation of a change of support from 5 m vertical blasthole samples to 3 m x 8 m x 5 m selective mining unit (SMU) blocks. The DG model was found to correctly predict the grade tonnage relationships for a wide range of cut off grades. The experimental test indicated that, given a representative histogram and variogram, the DG change of support provides a computationally efficient and practical means of reliably assessing global mineable resources at the early stages of a mining project. Further, it allows a range of selectivity strategies to be meaningfully and comparatively considered prior to mining.