Mining Geometrical Modelling Approach for the Estimation of Cut-Off Grade of Open-Pit Mines, Through Maximization of the Net Present Value
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The theory of cut-off grade estimation has taken a new dimension since Lane's proposal of maximum net present value criterion for cut-off grade estimation. However, whereas this criterion is widely accepted by mine planners, Lane's analytical method of its realisation has been subjected to several criticisms. In this paper a geometrical modelling approach has been proposed for realisation of the maximum net present criterion which overcomes the shortfalls of Lane's analytical approach. This geometrical modelling approach was applied to a hypothetical deposit with five ore bodies of varying grades. The approach is applicable to situations of varying production rates, costs of production and prices and can be utilised when multiple processing streams are available.
Publication Info:
Author: Nwosu, J.I. and Williams, W.N.
Volume: 57
Issue: March
Published By: Journal of Mining and Geology, 2024-03-01