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Mine Optimisation: Software and Planning
Mine Optimisation: Software and Planning
Mine optimisation
Big savings can be made on
the bottom line. As companies
get back to basics after the
global financial crisis, mine
and project planning return to
the fore. John Chadwick
examines new ideas and
products with an eye to
visualisation, integration and
optimisation
T
im Horsley, Mining Manager at global
specialist consultancy Coffey Mining, says
he stops work when he can’t save a client a
substantial amount of money in an hour of mine
optimisation analysis. He told IM that mine
optimisation doesn’t need to take a lot of time or
be an expensive exercise, but has very real
potential to add significant value, sometimes in
the order of hundreds of millions of dollars over
the life of an operation. However, he warns that New Whittle NPV Practical Push Backs module possible in good times. “The first things to go in a
such gains can only be made by looking at the enables push backs to be created in a single step downturn are exploration and drilling, and so it is
big picture of the entire operational process. the organisations that have planned for the
“Mine optimisation should be approached cyclical nature of the industry who will survive and
from a broad perspective, as it is rarely the case Horsley said that by looking at both the mining see the cycle out in relatively good shape.
that parts of the process can be optimised in method and the equipment used from a broader “Just as no battlefield general would go into a
isolation,” he said. “If you specifically focus on perspective, losses in the chain can be more fight without a backup plan, planning for a
one part of the value chain there is a risk of clearly identified and potential improvements downturn and optimising your operations so you
transferring costs or reducing revenue elsewhere.” made from there. are running to peak efficiency in good times as
Horsley believes in a balanced approach to Although the resources downturn meant that well as bad is the most prudent management
mine planning, emphasising that it is vital to work many mine operators are looking to make savings strategy.”
with understanding of the synergies that exist wherever they can, Horsley believes that mine Donald Polly, Senior Mining Engineer at Skelly
between different areas within a mine project. optimisation is such an important process that it and Loy, notes “the benefits of a well-designed
“Synergies between the processes can add or should be prioritised by organisations throughout mine are extraordinary, ranging from operational
destroy value and so it is vital that the project the price cycle. advantages, such as shorter haul distances and
process is assessed from the in-situ resource “The key to a mine’s longer term viability is to less waste handling, to economic gains for the
through to cash revenue generation. There is a maintain a continuous focus on optimisation in operator. Without proper planning, reserves may
significant amount of value to be realised by good times as well as bad,” he said. “A thorough be sterilised unnecessarily and it may be difficult
being able to model and understand these study can provide compelling ways of streamlining to meet certain product grade requirements.” A
synergies, particularly with respect to the a mine’s current operations and would provide a block model is one of the tools used by Skelly and
definition of ore locally within a mine and how life-of-mine optimisation model which can be Loy in mine planning when site geology and
this impacts on productivities, costs and the periodically updated, and optimisations re-run product grade are variable. “Within the context of
downstream processes,” he said. with minimal effort. Keeping such a model a mining operation, a block model refers to a
“This is particularly important in an underground current provides a valuable tool for scenario three-dimensional graphical representation of the
mine where the orebody geometry can have a analysis planning and allows a mine operator to physical and chemical properties of the mineral
significant impact on the mine layout and production react very quickly to changing circumstances.” resource,” Polly explains.
efficiency. For example, having a more flexible According to Norman Lock, Coffey Mining’s “Depending on the site-specific needs of the
approach to cut-off grade can allow for more stable Regional Manager - Canada, it is the cashed up operation, the block model can be as detailed or
stopes that are easier to drill and blast, resulting in companies that often neglect to pay attention to as generalised as so desired by the operator. The
higher production capacity and lower costs.” optimising value and keeping costs as low as process for creating a block model begins with a
drilling and sampling program and is followed by more sophisticated models that include millions of dollars in waste extraction over mine
data analysis, and then input into appropriate geotechnical and geometallurgical parameters as life. Datamine has made changes to Datamine
computer software that generates the 3D block well,” adds Technical Director, Andy Lapworth. “So Studio block modelling, and to NPV Scheduler, its
model. we have worked with those leaders to develop strategic open-pit planning system, to generate
“Carlson 2009 (CAD-based software) is the tools for what we call multi-parametric models.” pits and pushbacks using dynamic slope designs
most widely used design and mapping software Datamine has been collaborating with Anglo that are optimised to the modelled geotechnical
in the mining industry. In the summer of 2008, Platinum in South Africa and The WH Bryan parameters.
Skelly and Loy worked closely with Carlson Mining and Geology Research Centre (University The geotechnical models can also be used to
representatives to revamp the software’s block of Queensland) to develop techniques and derive short-term improvements by optimising
modelling capabilities to meet or exceed current software for 3D modelling of geotechnical fragmentation profiles to operational activities.
mining industry standards.” parameters. It has wrapped the technology and Datamine has reworked its blast design software
The detailed block model discussion can be the techniques into an integrated service offering Geotech Modeller so that individual blasts use a
found at http://www.skellyloy.com/Pressroom/ and working with the Bryan Centre has now Blastability Index to adjust the spacing, charging
MiningPortal/mp/Volume VII, Issue 3 Portal.pdf taken the technology to mines all around the and detonation according to the demands of the
world. local geotechnical model. It claims customers have
Maximising NPV With a detailed model of the main seen the optimised fragmentation profiles improve
Datamine has been taking a fresh look at mine geotechnical parameters like RMR rock mass the loading rates of shovels at the face as well as
optimisation. “Three years ago we asked our rating, UCS uniaxial compressive strength, FF improve throughput times for ore in the SAG mills.
customers what concerns them most about mine fracture frequency and rock quality domain, It sounds simple but the approach is quite
planning,” explains CEO Nick Beaton. “And engineers can achieve a whole new level of mine sophisticated. The first stage is to collect all the
almost every time it boiled down to the same optimisation; slope design can be altered geotechnical data in the mine into one database
issues - orebody knowledge, optimised mine dynamically depending on the position, and then determine the location of (and controls
design and integrated production scheduling. So orientation and depth of the proposed pit, saving on) the geotechnical domains within the orebody.
we’ve been making radical changes to our
products and consulting services to address these
basic needs.”
Datamine started by rethinking the block model.
“Most mines use models comprised of two
components: geological structure and metal
grades, but today’s thought leaders are using much
THE PEAK OF EXCELLENCE Once those have been established, sophisticated integrates seamlessly with the other products in
geostatistical techniques are used to model rock Datamine’s “solution footprint”.
properties within the domains and add them to James Newland, Operations Manager in
the multi-parametric model. Datamine’s R&D centre in England brings another
Each project is reviewed by experts from the perspective to this. “We recently released our
Bryan Centre to ensure the model is calibrated Interactive Short Term Scheduler (ISTS) which is a
19 – 25 APRIL and workable. They also work with Datamine to great product. It’s for short term open pit
MUNICH assess whether the data coverage is patchy or out scheduling and can schedule right down to a
of date in order to establish a “sustainable shift-by-shift basis driven by the engineer co-
geotechnical model” for the customer. ordinating production targets, the available
As part of this initiative Datamine has also shovels, the maximum truck hours and of course
formed an alliance with the CSIRO in Australia to what blast blocks are available in the next few
integrate the Sirovision product into its data days or weeks. It gives the planner complete
capture line up. Sirovision is a new technology for visual control of every aspect of the schedule,
automated remote mapping and capture of rock while at the same time giving them automated
mass properties and it is one of the tools to tools for blending and optimisation.”
ensure the geotechnical model is “kept alive” Newland elaborates further, “Most of the
with new data. mining technical products on the market are
Collaborating with the top research bodies single user, ‘practitioner’ software systems. There
around the world is a deeply seated philosophy are a lot of sophisticated software tools available
within Datamine. For the last three years it has from Datamine and our competitors, and they
also been a sponsor of AMIRA’s P843 project for may be targeted at geologists or the mine
++
T++
Geometallurgical Mapping and Mine Planning planners, but they are used by individual users,
+ + + + BES (GEM III). This project (and the follow on P843a not groups of users working as a team.”
s: project) is doing for geometallurgy what has Newland is correct, these products aren’t really
lative
ir o f super s,
A fa ation already been done in the geotechnical arena – enterprise systems the way ERP systems are. They
innov
With res and all enabling detailed 3D models of multiple may be used by the resource management team
ie
prem yers.
la parameters – all a part of modern mine or the short term planning team, but in the end
key p
optimisation. Datamine has developed case they are single user systems and co-ordination is
studies with the research team and is already up to the team. It is a bit like everyone trying to
bauma has half a million
actively working on bringing geometallurgical use the same Microsoft Excel file at the same time
square meters of exhibition
space. Not only is it the lar- modelling tools to the market. to complete the company budget.
gest exhibition in the world. It has also been sponsoring AMIRA’s P884 This where Datamine’s new MineTrust product
It is also a key inter-national PRIMO (Planning & Rapid Integrated Mine comes in. “This is a real breakthrough,” says
driving force behind inno-
Optimisation) project that aims to bring the types MineTrust Project Manager Mike Lafferty.
vations in the industry that
gives visitors a comprehen- of optimisation tools available in open pit to the “MineTrust is the glue that holds all of these
sive look at the market. world of underground mining. The first products systems together, whether they have been
resulting from that research are emerging now, developed by Datamine, by our partners or even by
Use bauma‘s leading inter-
with Mineable Stope Optimiser (MSO) currently our competitors. Every mine has lots of products
national position for your
success. being released around the world. This automates from different vendors. MineTrust is the framework
the detailed task of finalising the design of for data management and process workflow
Information: Pattern Ltd. underground stopes within an identified ore zone. management for all of them. It can convert any
Tel: 020 8940 4625 “This is a great product,” says Datamine’s General product in mining into a multi-user system, and do
Fax: 020 8948 1442
info@pattern.co.uk Manager in Australia, Brad Barker. “It is the that over a LAN, a WAN or a global corporate
perfect follow on for our very popular Mineable network. Our customers will fire up Datamine
www.bauma.de Reserves Optimiser and takes the back-breaking Studio and see it as the product they are familiar
work out of stope design.” with, but within a fully managed multi-user
“No one has a monopoly on innovation,” says environment.”
Lapworth. “So we look for areas of expertise MineTrust should become a major tool for
around the world. We have always had a knack mine optimisation. It will allow teams to
for commercialising the work of development collaborate and follow the same process
partners such as GijimaAst and Century Systems. workflows regardless of their level of skill with the
Our next product to be released shortly was individual products. The system is strong on
developed by the Canadian research institute visualisation and allows users to search for, and
MIRARCO, so finding leading research, then visualise, the data and files of many of the
collaborating with the developers on the software industry’s well known products. It also allows the
and commercialising it around the world is a core user to define workflows for how processes such
skill for Datamine.” In all cases the software is as generating block models, creating blast design
reviewed very carefully with the original and performing scheduling tasks. “This is the way
developers and then amended so that it of the future,” says Newland.
Make the most out of your assets. Use SimMine® for optimised resource
planning and scheduling of underground development. Make sure your
development project is completed on time within budget.
SimMine® Development Package is an easy-to-use and powerful software to plan, simulate and evaluate
the development process in underground mining. By using SimMine® as the method of verification
of plans, you will get more accurate results than from commonly used spreadsheet based schedulers.
SimMine® can be used both for existing and future mines. www.simmine.com
be easily visualised, interrogated and reported Kuntz continues: “Successful mining schedules ahead of time to see if development
to the executive, operations and systems operations depend on the availability and targets can be met, and also to compare
management teams. reliability of information in order to make different scenarios to yield an improved
Glen Kuntz, Runge’s VP Enterprise Mining critical every day decisions. Because of the development schedule. It also provides for:
Solution says: “The overall methodology and complexity of mining data and the spatial ■ Analysis of multiple infrastructure scenarios
system patent can be summed up as the three characteristics associated with it, rapid ■ Identifying critical paths and critical start
Cs of simplicity - communication, co-ordination universal access to trusted and accurate date in development projects
and collaboration to deliver the right information has traditionally been difficult. ■ Evaluating best shift schedules to meet
information to the right people at the right Basing decisions on data that is misplaced, not development rate demands
time. This methodology provides the ability to universally accessible, out-dated, or incomplete ■ Testing what priorities will best achieve your
quickly collaborate in order to harmonise new can at best become a bottleneck in the development goals
ideas, win support and deliver ground breaking decision making process and at worst be ■ Simulating drift development with both
initiatives. These in turn generate short and operationally and financially devastating. single and multiple headings for long access
long-term growth while significantly driving a Mining Dynamics reliably co-ordinates and drives
competitive advantage.” manages both the common and unique data ■ Finding the most cost effective way to
Mine planning is non-linear and dynamic types associated with any mining operation develop a mine and finding the optimal
and the use of Enterprise Resource Planning and enables the integration, visualisation, and fleet size, number of operators and best
(ERP) systems is widespread. Whilst predictable comprehensive management of the wide shift schedule
supply inputs have been successful in the use variety of mining data, regardless of its origin ■ Reducing bottlenecks and equipment
of ERP systems, mining operations are different or software platform”. conflicts
and have inherently unique characteristics. The When it comes to mine development, the ■ Determining the effectiveness of changing
planning components of ERP systems, SimMine Development Package is easy-to-use fleet size, either by acquisition or removal of
designed for other industries and deployed and powerful software to plan, simulate and equipment
within a mining operation, are not suitable evaluate the development process No programming skills are needed, nor use
without the direct coupling and integration of underground. SimMine says that by using the of outside consultant’s expertise. The first step
spatial mining information with transactional software “as the method of verification of is to import your existing mine layout, design
financial information. In order to achieve this plans, you will get more accurate results than the simulation model and set your parameters.
level of integration Runge has formed business from commonly used spreadsheet based Then create your development plan according
and technology partnerships with ERP schedulers.” to time limits, predecessor and priority. Step 3
companies, such as SAP. It allows users to test long- and short-term is to simulate your development plan and
§ Mining
§ Geomechanics
§ Geology
§ Coal & Energy
AMC Experience
§ Feasibility Studies
§ Expert Reports
§ Mine Analytics
www.amcconsultants.com.au
Screen capture from SimMine evaluate the results and then, find the best geology professionals to manage the entire
solution by using the SimStat function or by lifecycle of a mining enterprise. During the recent
performing repeated tests. economic downturn Mintec significantly ramped
You can watch ongoing operations (e.g. up production of new features and applications.
daily operations, development progress and The vision was simple: “to ensure our clients had
equipment movement) animated on the screen the tools needed to work even more efficiently
to validate equipment assignments and section during difficult times.” The company now offers
LOWER
priorities. This allows analysis of machine many improvements and new features in its
interactions and development delays for better current software packages.
increases in project value over and above pit optimisation. The software AFRICA 4 +ALGOORLIE 4
incorporates the strategic mine planning capabilities needed to achieve mine E paulalmonte@iinet.net.au AFRICA 4
optimisation: strategic scheduling; detailed cost, price and recovery modelling; WWWALMONTECOMAU % SUPPLY WESTERNEXCOMAU
stockpiles; multiple mines; blending; and cutoff optimisation. WWWWESTERNEXCOMAU
New for Whittle 4.3 is the NPV Practical Push Backs module which provides
a single-step process for creating push backs that address both maximum NPV
Model project
Hatch Associates won a 2008 Be Award of
Excellence in the Innovation in Metals and Mining
category for Barrick Gold’s Pueblo Viejo mining
project in the Dominican Republic. The primary
goal of this complex undertaking was to design
and build facilities for the extraction and
processing of gold from a refractory sulphide ore
body at a throughput rate of 24,000 t/d. The use
of Bentley’s PlantSpace and other intelligent 3D
modelling tools enabled Hatch to save design
Database management
After extensive analysis of vendors Kinross Gold
selected Century Systems Technologies, with its
head office in Sudbury, Canada, as its global
supplier of geo data management and collection
solutions. The analysis was carried out by members
of the Kinross team including the Database
Manager, Exploration Group and IT team to ensure
the correct solution was chosen. Century Systems clients and its rapid and lower cost deployment collaborate with project teams at the company's
develops solutions for mining and exploration through Mincom Accelerator. “Mincom’s Eritrea subsidiary, the Bisha Mining Share Co.
companies around the globe and currently has its reputation as well as its deep expertise in mining Other project stakeholders include the Eritrean
solutions deployed in over 43 countries. guided our selection of Mincom’s EAM solution,” National Mining Corp, a shareholder of Bisha
Built on the premise of accuracy and efficiency, said Jim Camacci, Information and Business Mining Share Co, and Senet, the South African
the Century Systems suite of solutions includes Systems Manager, Molycorp. “We are pleased engineering company that is providing EPCM
applications for the collection and management with our decision as the implementation was services for the mine. Unifier enables all team
of all upstream geo data. From collecting drillhole deployed in half the time at half the cost of other members to securely access up-to-the-minute
and surface sample data with DHLogger and large enterprise-wide software implementations, project information over the Internet for
Sample Station respectively to mapping the due to the technology as well as Mincom’s managing cost accounting and reporting.
geological, geochemical and geotechnical features professional and knowledgeable consultants who “Skire Unifier and its hosting option enable us
of open-pit and underground mines in 3D with invoked good mining business processes.” to provide comprehensive project management
MineMapper 3D, Century Systems data collection “In today’s economic climate, businesses can’t capabilities to users in a location with limited IT
tools are easy to use. Regardless of the module afford to waste time and money on long, drawn- options,” said Peter Hardie, Nevsun's CFO. “Its
being used, all data entered into the system is out software implementations,” said John flexibility and ease of use are indispensable
validated at the point of entry so at the end of Benders, Vice President, Solutions for Asset features in helping us successfully bridge
the day, the data can be relied on for modelling, Intensive Industries, Mincom. “This successful Go- operations across Vancouver, Eritrea and South
reporting, GIS, planning, and auditing purposes. . Live underscores our commitment to developing, Africa. Unifier gives us highly efficient forward-
maintaining and supporting best-in-class solutions looking project management.”
Costing and reporting for asset intensive businesses so that our clients Nevsun uses the Unifier Cost Manager to
Molycorp Minerals, a U.S.-based rare earth remain competitive and agile in a challenging establish project cost controls for internal
producer and technology company, has economic environment.” accounting and reporting for the Bisha project.
successfully implemented, through Mincom Nevsun Resources (gold and base metal The Document Manager allows everyone to share
Accelerator, Mincom’s core enterprise asset resources) has completed its deployment of Skire documents and have access to current
management solution in approximately half the Unifier™ for use in its $250 million Bisha project information and project status. Vendor bidding
time and half the cost of an average EAM in Eritrea. Unifier will provide comprehensive cost, and selection is supported through the
implementation. Mincom Accelerator is a pre- document and schedule management capabilities, automation of an enquiry and adjudication
configured version of Mincom’s core EAM as well as advanced reporting, for project teams process. Budget management, order placements,
solution that includes finance, maintenance and based in North America and Africa. change orders, invoicing and other business
materials management. The Accelerator is based The Bisha mine and processing plant is located processes are deployed in Unifier. Nevsun also
on Mincom’s 30 years of experience in asset- west of Asmara, Eritrea's capital, and is expected loaded existing project data into Unifier, giving
intensive industries and its expertise in best-in- to be a long-lived, high-grade mine for gold, managers visibility into project progress and
class business processes for those industries. copper and zinc production. The initial ore enabling them to co-ordinate efforts more
Molycorp selected the EAM solution as well as production is forecast to yield high percentages of effectively than had been previously possible.
MineMarket, the only solution specifically gold and silver, which will deliver accelerated John Leet, Director of Marketing for Skire explained:
designed to address the supply chain challenges return on investment. Production is expected to “As the mine project moves forward, Unifier will
faced by the mining industry, due to Mincom’s begin in 2010. Project managers at Nevsun's provide the company with robust cost controls and a
proven success with referenceable US-based Vancouver, BC headquarters use Unifier to new level of management efficiency.” IM