scholarly journals An Application of Simultaneous Stochastic Optimization at a Large Open-Pit Gold Mining Complex under Supply Uncertainty

Minerals ◽  
2021 ◽  
Vol 11 (2) ◽  
pp. 172
Author(s):  
Mélanie LaRoche-Boisvert ◽  
Roussos Dimitrakopoulos
Keyword(s):  
Stochastic Optimization ◽  
Value Chain ◽  
Gold Mining ◽  
Net Present Value ◽  
Mineral Deposit ◽  
Open Pit ◽  
Supply Uncertainty ◽  
Geological Uncertainty ◽  
Processing Facility ◽  
Mining Complex

The simultaneous stochastic optimization of mining complexes optimizes various components of the related mineral value chain jointly while considering material supply (geological) uncertainty. As a result, the optimization process capitalizes on the synergies between the components of the system while not only quantifying and considering geological uncertainty, but also producing strategic mine plans, maximizing the net present value. This paper presents an application of simultaneous stochastic optimization at a large gold mining complex. The complex contains three open-pit mines, three stockpiles, a waste dump, and a processing facility. Material hardness management is integrated at the processing facility. The case study generated production schedules for each mineral deposit considered, as well as an overall assessment of the project and related forecasts. It resulted in an 18 year life-of-asset and identified the semi-autogenous grinder (SAG) mill as the bottleneck of the operation.

scholarly journals Project optimization

2015 ◽  
Vol 68 (1) ◽  
pp. 97-102 ◽  
Author(s):  
Carla De Carli ◽  
Peroni Rodrigo de Lemos
Keyword(s):  
Net Present Value ◽  
Underground Mining ◽  
Mineral Resources ◽  
Mineral Deposit ◽  
Economic Feasibility ◽  
Open Pit ◽  
Optimum Depth ◽  
Combination Of Methods ◽  
Definition Of ◽  
Project Optimization

A mineral deposit can be exploited by underground methods or by open pit methods, defined according to their characteristics, especially in relation to depth and geometry of the ore body and the economic feasibility of the methods. However, there are cases in which the alternative that represents the best return for the project is the application of combined methods, i.e., the open pit followed by underground mining. In these situations, the major difficulty is the definition of the transition point of methods, seeking to maximize the net present value of the project and the use of mineral resources. The premature suspension of activities in the open pit, as well as advancing beyond the optimum depth, can derail the implementation of the combination of methods, so it is important to analyze the project not only individually but also in an integrated way.

scholarly journals NPV analysis as a function of the discount rate and cost of rehandling implementing SIMSCHED DBS to open pit mining

2017 ◽  
pp. 81-86
Author(s):  
Carolina Navia-Vásquez ◽  
María Camila Monsalve-Hinestroza ◽  
Giovanni Franco-Sepúlveda
Keyword(s):  
Discount Rate ◽  
Return On Investment ◽  
Net Present Value ◽  
Mineral Deposit ◽  
Open Pit ◽  
Open Pit Mining ◽  
Present Value ◽  
Mining Project ◽  
Search For Information ◽  
The Cost

The function of all software is to model situations that look like reality, in order to find the most viable conditions for developing a mining project, since in these what is sought is to increase revenue and reduce costs by making better decisions. In this industry investors seek to obtain the highest income in exploiting underground resources, with the aim of achieving return on investment. In this article the discount rate and the cost of rehandling of a mineral deposit hypothetical gold and copper is evaluated using the SIMSCHED DBS software. In turn a search for information, which can give clarity to the concepts with which you are working, is done. Based on the simulations performed with the two economic variables you can select the optimal net present value (NPV) for future flows.

scholarly journals A new global optimum solution model based on multi-value dynamic programming for the cut-off grade optimization in a surface mining complex

2021 ◽  
Author(s):  
Pritam Biswas ◽  
Rabindra Kumar Sinha ◽  
Phalguni Sen
Keyword(s):  
Dynamic Programming ◽  
Net Present Value ◽  
Surface Mining ◽  
Copper Deposit ◽  
Global Optimum ◽  
Open Pit ◽  
Prime Objective ◽  
Mining Complex ◽  
High Level ◽  
Optimum Solution

Abstract In techno-economic concern, cut-off grade (COG) optimization is the key for efficient mineral liquidation from thehuge metalliferous surface mining sector. In this paper, a sequentially advancing algorithm based on discretemulti-value dynamic programming (MDP) has been developed to calculate the global optimum COG of alarge-scale open-pit metalliferous deposit. The proposed COG optimization algorithm aims to overcome thelimitations of straightforward classical techniques in determining the optimum COG. This discrete COG-MDPmodel is the first of its kind and has the novelty of dealing with the simulation of eight dynamic possibilities toachieve the maximal global Net Present Value (NPV). A high-level programming language (Python) has been usedto develop the computer model to deal with the complexity of handling a minimum of 500 series of dynamicvariables. This model can generate results in polynomial-time from the complex of mining, milling, and smeltingand refining system corresponding to various limiting conditions. The prime objective considered in the model isto optimize the COG of a metalliferous deposit. A working open-pit copper mining complex from India has beenused to validate the model. In this study, the optimum COG for the Malanjkhand copper deposit has been found tobe (0.33%, 0.23%, 0.52%, 0.26%, 0.27%, 0.22%, 0.24%) with a maximum NPV of ₹ (12204, 14653, 16948, 14609,21454, 26717, 38821) million corresponding to various scenarios. The findings also show that the present valuegradually hits zero after the project’s life cycle, confirming the typical pattern of other mining firms.

IMPROVEMENT OF INNOVATIVE ACTIVITY OF THE ENTERPRISE

2017 ◽  
Author(s):  
Nataliya Stoyanets ◽  
◽  
Mathias Onuh Aboyi ◽  
Keyword(s):  
Value Chain ◽  
Net Present Value ◽  
Successful Implementation ◽  
Innovative Development ◽  
Technological Equipment ◽  
Alliance Partner ◽  
Innovation Potential ◽  
Wide Range ◽  
Technological Platform ◽  
The Cost

The article defines that for the successful implementation of an innovative project and the introduction of a new product into production it is necessary to use advanced technologies and modern software, which is an integral part of successful innovation by taking into account the life cycle of innovations. It is proposed to consider the general potential of the enterprise through its main components, namely: production and technological, scientific and technical, financial and economic, personnel and actual innovation potential. Base for the introduction of technological innovations LLC "ALLIANCE- PARTNER", which provides a wide range of support and consulting services, services in the employment market, tourism, insurance, translation and more. To form a model of innovative development of the enterprise, it is advisable to establish the following key aspects: the system of value creation through the model of cooperation with partners and suppliers; creating a value chain; technological platform; infrastructure, determine the cost of supply, the cost of activities for customers and for the enterprise as a whole. The system of factors of influence on formation of model of strategic innovative development of the enterprise is offered. The expediency of the cost of the complex of technological equipment, which is 6800.0 thousand UAH, is economically calculated. Given the fact that the company plans to receive funds under the program of socio-economic development of Sumy region, the evaluation of the effectiveness of the innovation project, the purchase of technological equipment, it is determined that the payback period of the project is 3 years 10 months. In terms of net present value (NPV), the project under study is profitable. The project profitability index (PI) meets the requirements for a positive decision on project implementation> 1.0. The internal rate of return of the project (IRR) also has a positive value of 22% because it exceeds the discount rate.

scholarly journals A Techno-economic Evaluation of Adding Silica Nanoparticles to Enhance the Demulsification Process in a Crude Oil Central Processing Facility

2021 ◽  
Author(s):  
Shireen Hassan ◽  
Babiker Abdalla ◽  
Mustafa Mustafa
Keyword(s):  
Economic Evaluation ◽  
Crude Oil ◽  
Silica Nanoparticles ◽  
Production Cost ◽  
Net Present Value ◽  
Central Processing ◽  
Oil Processing ◽  
Software Model ◽  
Processing Facility ◽  
Demulsification Process

In this study, a techno-economic evaluation of the use of silica nanoparticles to enhance the demulsification process, in crude oil, has been investigated. A software model has been developed in MS Excel of the central processing facility (CPF). A sensitivity analysis of key parameters on production cost and Net Present Value (NPV) has been carried out for different flowsheet selection options. Comparison of flowsheets on an equal plant capacity basis results in a 19% reduction in the production cost whereas comparison on a fixed annual crude oil processing basis results in a reduction in production cost of only 3.7%.

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