Building Services in Underground Mines – Significance from a Cost Estimators Perspective

"The execution of classical building services in underground mining operations is more truth than myth. From small concrete foundations for conveyor belts to the construction of huge workshops for large machinery maintenance, nearly every operation requires building services. By creating such fixed facilities, these services ensure the efficiency of the production. A distinction must be made between fixed facilities which directly enable the production and auxiliary facilities which only indirectly support the production. The construction costs of such auxiliary facilities are often roughly estimated because they do not immediately contribute to mineral extraction. The research project ‘Development of a systematic cost-calculation method for building services in underground mines’ seeks to address the question: ‘Can the construction costs concerning fixed auxiliary facilities be neglected e.g. within a prefeasibility study?’ The presentation will show the monetary relevance and significance of these auxiliary facilities and introduce a guideline for cost estimators. PROBLEM DEFINITION The overriding interest of an underground mining operator is to exploit the commodity with the maximal quality by minimum cost and time expenditure. If a new operation shall be installed, it has to promise profitability. Therefore, predictive economic feasibility studies are performed in advance of installation. Herein, all cost expenditure for installation and operation of the future underground mine is determined and compared to the expected income by selling the raw material. The described interest of the mining operator is the starting point of the research project ‘Development of a systematic cost-calculation method for building services in underground mines’. While economic feasibility studies for future operations are focused on the profitable exploitation of raw materials and the efficiency of the accompanying necessary production processes, auxiliary actions are only considered rudimentary. Necessary production processes, as well as auxiliary actions regularly require classical building services, which are normally performed in construction business on the surface in the same manner. By performing building services like masonry or concrete works in underground mines, fixed facilities shall be set up in order to enable or support the raw material production. Production enabling fixed facilities are varying from small concrete foundations for conveyor belts or other infrastructural elements to upstream processing plants situated in the mine workings. While such fixed facilities are essential parts of the production process chain, supporting facilities underground shall increase the efficiency of the mining operation. Workshops, control rooms and social installations are only a few examples for supporting facilities. Those could be situated on the surface as well, but the efficiency increases significantly by installing them underground. Especially supporting facilities are evading from the main interest of the mine operator, since they are only indirectly connected to the production process. The building costs are oftentimes only roughly assumed."