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Ore reserve and mineral resource estimation methods - current


practices and comparisons

Conference Paper · September 2003

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Methods for Ore Reserve and
Mineral Resource Estimation

Ben Whiting, P.Geo.

Mine Financing & Mineral Management


Canadian International Development Agency
Queen’s University, Canada
Ministry of Land and Resources, China
August 2003

Methods For Ore Reserve and Mineral Resource Estimation August 2003
All Ore Reserve and Resource
Estimates are Wrong!
 They are “estimates”, not “calculations”,
based on limited geological observations,
sampling and testing.

Methods For Ore Reserve and Mineral Resource Estimation August 2003
All Ore Reserve and Resource
Estimates are Wrong!
 They are “estimates”, not “calculations”,
based on limited geological observations,
sampling and testing.
 Deposits can vary from simple to complex
in shapes, grade distributions, deleterious
elements, specific gravities, rock
mechanics, etc..

Methods For Ore Reserve and Mineral Resource Estimation August 2003
All Ore Reserve and Resource
Estimates are Wrong!
 They are “estimates”, not “calculations”, based on
limited geological observations, sampling and
testing.
 Deposits can vary from simple to complex in
shapes, grade distributions, deleterious elements,
specific gravities, rock mechanics, etc..
 It is important to minimize the errors so as to
approach the correct answers.

Methods For Ore Reserve and Mineral Resource Estimation August 2003
“Art” vs “Science”
 Reserve and resource estimating is as much
an “art” as it is a “science”.

Methods For Ore Reserve and Mineral Resource Estimation August 2003
“Art” vs “Science”
 Reserve and resource estimating is as much
an “art” as it is a “science”.
 The judgement of the Qualified Persons
(QP) doing the estimating is very important.

Methods For Ore Reserve and Mineral Resource Estimation August 2003
“Art” vs “Science”
 Reserve and resource estimating is as much
an “art” as it is a “science”.
 The judgement of the Qualified Persons
(QP) doing the estimating is very important.
 Overly strict regulations can hamper the QP
from determining an optimum approach for
a specific deposit being studied.

Methods For Ore Reserve and Mineral Resource Estimation August 2003
“Art” vs “Science”
 Reserve and resource estimating is as much an
“art” as it is a “science”.
 The judgement of the Qualified Persons (QP)
doing the estimating is very important.
 Overly strict regulations can hamper the QP from
determining an optimum approach for a specific
deposit being studied.
 Guidelines of “best practices” can improve the
performance of the QP.

Methods For Ore Reserve and Mineral Resource Estimation August 2003
How much is sampled?
 The amount of sampling required depends on
the complexity of the deposit.
 The following example illustrates the
proportion of the deposit that is actually
physically sampled and analysed.

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Example – Tabular Deposit (1)

 Example: A tabular deposit 5 m thick may be


initially drilled at 25 m centres.
 One drill hole would represent 25 x 25 x 5 m =
3,125 m3. At a specific gravity of between 3.0 and
3.1, this block would equal about 10,000 tonnes.
 Drill core of NQ size has a diameter of 0.048 m.
The 5 m length of drill core would weigh about
0.1 tonnes.
 Thus the physical sampling of the deposit is 1 part
in 100,000.

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Example – Tabular Deposit (2)
 However, the laboratory analysis is
performed on a smaller split, or sub-set of
the core sample.
 One sample per metre of core and 50 g per
sample would yield 0.00025 tonnes being
analysed.
 Thus, the analytical sampling of the deposit
is 1 part in 40,000,000.

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Methods For Ore Reserve and Mineral Resource Estimation August 2003
Preferred Estimation Methods
 There are often preferred approaches to ore
reserve and resource estimation, but there is
seldom a single correct answer.

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Preferred Estimation Methods
 There are often preferred approaches to ore
reserve and resource estimation, but there is
seldom a single correct answer.
 Using multiple methods and examining the
differences in the results is herein
recommended.

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Preferred Estimation Methods
 There are often preferred approaches to ore
reserve and resource estimation, but there is
seldom a single correct answer.
 Using multiple methods and examining the
differences in the results is herein recommended.
 The most mathematically intensive, computerized
modelling is not always the best method.

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Preferred Estimation Methods
 There are often preferred approaches to ore
reserve and resource estimation, but there is
seldom a single correct answer.
 Using multiple methods and examining the
differences in the results is herein recommended.
 The most mathematically intensive, computerized
modelling is not always the best method.
 Reconciling reserve estimates against mining
results can help to refine the estimation process.

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Underlying Principles (1)
 Each method of estimation has its strengths
and weaknesses in application.
 The “rule of gradual change” and the “rule
of nearest points” are the two underlying
principles for all methods.

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Underlying Principles (2)
 Rule of Gradual Change
– Factors of an ore deposit, expressed
numerically, change gradually along a straight
line, or numeric function, between two
adjoining measurement stations.

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Underlying Principles (3)
 Rule of Nearest Points
– Differs fundamentally from gradual change in
its application.
– It incorporates a “sphere of influence”
surrounding a specific sample location and its
associated values.

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Examples of Conventional Methods

 Polygonization
 Triangulation
 Metre-% Contouring
 Cross Sectional
 Longitudinal Sectional

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Polygonization

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Polygonization - 2

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Polygonization - 3

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Triangulation

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Metre-% Contouring

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Cross Sectional

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Examples of Geostatistical Methods

 Block Modelling
 Gridded Terrain Modelling
 Cutback-Slice Modelling
 Wire-Frame Modelling
 3D Solids Modelling

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Block Modelling

Methods For Ore Reserve and Mineral Resource Estimation August 2003
3D Solids Modelling

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Distribution of Grades
 Variography
– Linear models
– Spherical models
– Exponential models
– Nested variograms

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Variography

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Assigning Grades to the Models
 Inverse Distance Weighting Methods
– Power Functions
– Block Splitting Conditional
 Kriging Methods
– Simple Kriging
– Ordinary Kriging
– Indicator Kriging
– Multiple Indicator Kriging
– Cokriging
– Nonlinear Kriging, etc.

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Examples of Experimental Methods

 Many computer intensive, mathematical


methods are being developed, but are not
yet in regular use.
– Neural Network Modelling
– Expert System Modelling
– Fuzzy-Logic Modelling
– Realtime Geosensing, etc.

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Conclusions
 Ore Reserve and Resource estimation is an
“art” as well as a “science”.

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Conclusions
 Ore Reserve and Resource estimation is an
“art” as well as a “science”.
 Judgement plays a key part in interpreting
geology, selecting sample density,
estimating tonnages and grades, and
designing appropriate mining and milling
methods.

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Conclusions
 Ore Reserve and Resource estimation is an “art”
as well as a “science”.
 Judgement plays a key part in interpreting
geology, selecting sample density, estimating
tonnages and grades, and designing appropriate
mining and milling methods.
 Many estimation methods are available and their
results will vary.

Methods For Ore Reserve and Mineral Resource Estimation August 2003
Conclusions
 Ore Reserve and Resource estimation is an “art”
as well as a “science”.
 Judgement plays a key part in interpreting
geology, selecting sample density, estimating
tonnages and grades, and designing appropriate
mining and milling methods.
 Many estimation methods are available and their
results will vary.
 Reconciling estimated reserves against mining
results on a bench or stope basis is recommended
to help refine the estimation process.
Methods For Ore Reserve and Mineral Resource Estimation August 2003
Methods For Ore Reserve and Mineral Resource Estimation August 2003
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