The Spatial Aspect of the Long-Term Open Pit Mine Sequence Optimization

"The paper treats the spatial aspect of mine sequence optimization. This aspect is revealed in the context of determination of the optimum number of cutbacks of an open pit mine. Cutback mining is a dominating method currently in base\precious metal mining and it is based on a pseudo-economic discretization of the pit space by using advanced pit design algorithms. The result of the implementation of such approach of pit design is the generation of pit shells, which need to be grouped into an optimum number of cutbacks for maximization of the project value. A mathematical solution of this problem is developed with the utilization of a combinatorial analysis. The solution provides a multi-variant investigation of the optimum mine sequence with the implementation of an author’s method for production scheduling optimization, which uses the Net Present Value as a criterion for assessing the economic efficiency of mine sequencing. A case study is provided for the conditions of a hypothetical open pit gold mine to illustrate the applicability of the approach. The results obtained reveal the complex nature of the variation of the Net Present Value as a function of the cutback geometry. INTRODUCTION The mine sequence optimization in open pit mining is a procedure that predetermines the efficiency of the production scheduling optimization. From a technological standpoint, the mine sequence optimization deals with two aspects – spatial and time. Each of them plays a tremendously important role in searching for the optimum solution of the open pit design problem. Original results on the time aspect of mine sequence optimization are published by Halatchev [2002]. They reveal a wide range of the Net Present Value (NPV) variation for a multi-variant arrangement of mine sequence over time and using a fixed geometry of the cutbacks, which determines the economic potential of a single open pit mine from a deterministic standpoint. The results show a range of NPV variation up to 30% depending on the stripping ratio of the mine. The effect of this variation is mainly due to the implementation of the mine planning principle of waste deferment in the scheduling optimization and using all theoretically possible variants of mine sequence arrangement by the inclusion of the bench sequences over the Life-Of-Mine (LOM) in the production process."