PIT

OPTIMISATION
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Nana Sumarna
• S1 Teknik Pertambangan ITB 1997 - 2002
• 2002 – 2006, PT Arutmin Indonesia, Geology Dept
• 2007 – 2010, PT Arutmin Indonesia, Mine Plan Dept
• 2010 – 2015, PT Arutmin Indonesia, Operation Dept
• 2017 - now, Consultant PT Prasetya Abdi Persada (PAP)
• Resource & Reserve Statement KCMI/JORC
• Independent Technical Review
• Due Dilligence
• Pre Feasibility Study/ Feasibility Study
• Exploration Management
• Professional Organization :
• PERHAPI
• AusIMM
• CPI Estimasi Sumberdaya & Cadangan Batubara
“ To optimize the whole, we must sub
optimize the parts.

W Edwards Deming
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WHY ?

▸ Drilling Plan Recommendation / Further Exploration

▸ Determination of Most Profitable Pit by Considering
Technical, Environmental, and Financial Aspects
▸ Prevention of Technical Problems, Losses, and Social Issues
▸ Pit Sensitivity to Deal with Commodity Price Cycle
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Borehole
plan

yr
da
un
Bo
on
si
DRILLPLAN

es
nc
Co

Pit SR=3
(Coal = 8 Mt)
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Borehole
plan

yr
da
un
Bo
on
si
DRILLPLAN

es
nc
Co

Pit SR=4
(Coal = 19 Mt)
7

Additional
Drillplan

yr
da
un
Bo
on
si
DRILLPLAN

es
nc
Co
Review
Drillplan

Pit SR=5
(Coal = 37 Mt)
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MINE PLANNING
CYCLE
Ref. Runge
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Geological Pit Pit Practical Life Of Mine

Model Optimisation Mine Design Plan

Mine Financial Environmental

Reconciliation
Operation Assessment Assessment

MINE PLANNING
PROCESS
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Preparation

▸ Geological Model Review

▸ Resource Limit
▸ ROM Model
▸ Cost Revenue Model
▸ Surface Constraints
▸ Technical Parameters
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GEOLOGICAL MODEL REVIEW
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GEOLOGICAL MODEL REVIEW
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Coal (<30cm)  tidak

COAL ditambang
(5m)

max.pit
depth

ROM 10
cm(dibuang)

MODEL 5m Coal
4,8 m yang akhirnya
ditambang

10 cm
(ditinggalkan) Ref. Dwi Prasetya
14 Protected Forest

Pu
bl
ic
Ro
ad
Vil
lag
e

RIver COAL (PLAN

Preliminary VIEW)
prospect area

SURFACE
CONSTRAINTS
Concession
Ref. Dwi Prasetya
15 COAL PRODUCTION
SCHEME
COAL HAULING
COAL CRUSHING
ROM HANDLING &
MAINTENANCE
PIT

COAL HAULING
COAL LOADING TO
BARGE
COAL BARGING
ROM
STOCKPILE

PORT
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TOP SOIL DRILL & BLAST

REMOVAL

PIT
LAND
CLEARING
ACTIVITIES OVERBURDEN
REMOVAL

REVEGETATION COAL GETTING

DUMP
RECONTOURING
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BASIC
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BASIC
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BLOCK RANKING

FLOATING CONE – LERCH

GROSSMAN

METHOD

Ref. Micromine
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Software

 Whittle (GeoVia).
 Minex Optimiser (Geovia).
 NPV Scheduler – Datamine (CAE).
 Micromine Optimizer (Micromine)
 Minemax Planner (MineMax).
 Vulcan Pit Optimizer (Maptek).
 Block Ranking – (Minescape).
 Enterprise Optimisation (Whittle Consulting).
 Microsoft Excel (Ms Office).
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Break Even Stripping Ratio

Definition : Ratio of Overburden Volume vs CoalTonnage when

Coal Price equal to Production Cost

Formula :
(CP – CC)
BESR = ----------
WC

Where as,
CP = Coal Price
CC = Coal Cost
WC = Waste Cost
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BLOCK
RANKING
METHOD
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BESR = 5

BLOCK
RANKING SR = 3
SR = 5

METHOD SR = 8

SR Pit = 4
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BESR 17.99
Coal Price 75.68
Cost Component
Waste Coal 2.65
Coal Cost 27.98
Coal to ROM 1.81
Coal to Port 3.78
Port Operation 0.76
Royalty (13.5%) 10.22
Marketing Commission (4%) 3.03

BLOCK
Barging 3.27
Site Fixed Cost 4.07
Support Offi ce Cost Allocation 0.71
Other Cost 0.33

RANKING
METHOD
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FLOATIN Revenue = $16

G CONE Cost = $15

-----------------
Profit = $1
METHOD
Profitable
Pit
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FLOATIN
G CONE
METHOD
Pit-1, Profit = -2, unprofitable pit Pit-2, Profit = -3, unprofitable pit
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LERCH
GROSSM
ANMETH Profit = 1, Profitable pit

OD
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MINEX OPTIMISATION
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BESR = 5.76

Total Pit Quantity

Average
Pit - ID OB Incremental
Coal (kt) SR
(kbcm) SR (bcm/t)
(bcm/t)
OPAM030 539,285 72,973 7.39
OPAM010 439,727 64,856 6.78 12.26
OPAM00 376,556 58,624 6.42 10.14
OPA010 270,014 45,991 5.87 8.43
OPA015 223,998 40,292 5.56 8.07
OPA020 183,012 34,726 5.27 7.36
OPA025 127,632 26,422 4.83 6.67
OPA030 87,015 19,368 4.49 5.76
OPA035 60,289 14,380 4.19 5.36
OPA040 31,161 8,166 3.82 4.69

LERCH GROSSMAN - BESR

 Total Pit Quantity Profit Margin Evaluation
Average
30 Pit - ID OB
(kbcm)
Coal (kt) SR
Incremental
SR (bcm/t)
OB Costs
(US$'000)
Coal Costs
(US$'000)
Indirect Costs
(US$'000)
Total Costs
(US$'000)
Coal Price
(US$/t)
Revenue
(US$/t)
Total Profit
(US$'000)
(bcm/t)
OPAM030 539,285 72,973 7.39 1,312,689 1,169,383 361,581 2,843,654 34.71 2,532,694 - 310,960
OPAM010 439,727 64,856 6.78 12.26 1,070,353 1,039,301 321,359 2,431,013 34.87 2,261,610 - 169,403
OPAM00 376,556 58,624 6.42 10.14 916,586 939,440 290,481 2,146,507 34.94 2,048,324 - 98,183
OPA010 270,014 45,991 5.87 8.43 657,249 737,007 227,888 1,622,144 35.10 1,614,338 - 7,806
OPA015 223,998 40,292 5.56 8.07 545,240 645,666 199,645 1,390,550 35.22 1,418,996 28,446
OPA020 183,012 34,726 5.27 7.36 445,475 556,472 172,065 1,174,012 35.33 1,226,972 52,960
OPA025 127,632 26,422 4.83 6.67 310,672 423,409 130,921 865,002 35.52 938,510 73,509
OPA030 87,015 19,368 4.49 5.76 211,806 310,376 95,971 618,153 35.63 690,045 71,893
OPA035 60,289 14,380 4.19 5.36 146,752 230,443 71,255 448,450 35.64 512,453 64,004
OPA040 31,161 8,166 3.82 4.69 75,851 130,861 40,463 247,175 35.74 291,865 44,690

LERCH GROSSMAN - PROFIT MARGIN

OPTIMISATION
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Sensitivity Analysis

Profit Sensitivity :
 Coal Price
 Mining Cost
 Capital Cost
 Mining Parameter
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FINAL PRACTICAL PIT DESIGN PURPOSES

▸ Determining ore reserves

▸ Inputting into a schedule for Life of Mine planning
▸ To provide the guidance for the excavation of the pit to be
detailed and laid out by the short term design engineers
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PIT DESIGN NEEDS TO FOCUS ON

▸ Operational Efficiency (trucking and digging, drilling)

▸ Cost Minimization/ Value Maximization (less waste, more
ore)
▸ Schedule flexibility (is it practical to schedule and maintain
productivity)
▸ Safety (don’t build hazards and risks into the design)
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PIT DESIGN PARAMATERS

▸ Berm width ▸ Switchback ▸ Drainage

▸ Batter angle width and gradients for
gradient benches &
▸ Bench height
▸ Minimum berms
▸ Inter-ramp angle
Radius for ▸ Minimum
▸ Overall slope Curves mining width
angle
▸ Truck Stopping ▸ Safety Features
▸ Ramp width Distances ▸ Geotechnical
▸ Ramp gradient (Loaded & zones to avoid
Unloaded) for ramp
placement
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PIT DESIGN
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THANKS!