An Open Pit Design Model

"The model described is a design and economic planning tool for analyzing surface mineral deposits. Mineralization, topography, costs and significant geologic features are input to the model. The results are:(i) final pit limits yielding the maximum total profit,(ii) annual cut-off grades and plant sizing yielding the maximum present value, and(iii) annual maps of the pit and annual production statistics for the mine, concentrator and smelter.Additionally, summaries are printed of the block mining sequence and cash flow. A special feature is an option to include dump-leaching operations. Stockpiling of material can also be simulated by the model. The model is built around theories of dynamic cut-off grades and a pit design algorithm. The dynamic cut-off grades maximize present value by examination of all economic and physical constraints for the optimum combination. The pit design algorithm is a set of rules formulated to find the maximum value from a special graph. The graph is different from graphs of analytical geometry, being made up of points and arrows connecting some of the points. These graph elements describe the relationship between any point in the deposit and the material which must be mined to get at that point. The model was designed to bring together the interdependent theories of economics, pit design and production scheduling."