Mine-Mill Production Scheduling By Dynamic Programming

As in every business venture, the primary objective of a mining operation is to make money for those who supply the venture capital. Therefore, all decisions concerning the operation of the mining operation should be made in light of the resulting effect on profit. The ultimate control is on profit, but the process is controlled, for example, by aiming for a recovery or concentrate grade knowing its effect on profit. The normal procedure used to determi.ne the profitability of a venture is to "present worth" all costs and incomes back to some arbitrary year zero. Every company has formed a management decision as to what it will require as a minimum return before it will undertake an investment. Once the economic analysis is completed, investment will be made only if the venture shows a positive present worth. If two alternatives are available, the alternative with the larger positive present worth is the one chosen. The same principles can be applied to the selection of a production schedule.