Quantifying Domain Uncertainty for an Iron Ore Deposit

Normal practice in the mining industry is the creation of a single geological model. These models provide a single interpretation of the geological and mineralisation domains. These interpretations infer the exact behaviour of ore domain contacts at shorter scales when resource definition drilling is done on wider scales and are thus locally highly uncertain. The interpreted geological model provides a single number for the volume and tonnes of mineralised material enclosed by the mineralisation envelope. It is on this single number for volume and tonnage that capital intensive mine development decisions (mine design and scheduling, stockpile strategy, waste management, closure planning, dewatering strategy, product quality, etc) are based. Some of these decisions require knowledge of grade variability for small volumes of material such as quarterly production periods. It is generally recognised that this information cannot be derived from single kriged geological models, but can potentially be modelled by conditional simulation techniques. Uncertainty in the extent and continuity of the mineralised envelope and its effect on grade variability for shorter production periods is thus recognised as a major source of uncertainty in new mine development.CITATION:Jewbali, A, Boyle, C and Phillips, J, 2013. Quantifying domain uncertainty for an iron ore deposit, in Proceedings Iron Ore 2013 , pp 157-168 (The Australasian Institute of Mining and Metallurgy: Melbourne).