Strategic mine planning and optimization

When: Where : Instructor: 23 - 24 July Sheraton Hotel, Santiago, Chile Dr. Hooman Askari-Nasab, School of Mining and Petroleum Engineering Department of Civil and Environmental Engineering, University of Alberta, Canada Language: English with simultaneous translation to Spanish

TECHNICAL BACKGROUND The Strategic Mine Planning and Optimization course is a two-day course designed for mine planners, mining engineers, managers, geologists, and decision makers in the mining industry. Principles and fundamental concepts involved in strategic mine planning and design of open pit mines are presented. Subjects covered are open pit limit optimization using floating cone, and 2D & 3D Lerchs and Grossmann algorithms, production planning, and mine-life estimation. The course complements theory with comprehensive instructions and hands-on experience using Whittle strategic mine planning software. Participants will complete a project using GEOVIA Whittle software.

PARTICIPANTS The course covers introductory to intermediate concepts and techniques in strategic mine planning and is designed for mining professionals such as mine planners, mining engineers, managers, geologists, and decision makers in the mining industry.

LEARNING OUTCOMES On completion of this course, attendees will: Understand concepts of strategic mine planning. Understand principles of final pit limit optimization. Understand principles of Lerchs Grossman 2D and 3D algorithms. Calculate mining, processing, rehabilitation, and general and administrative costs to be used in final pit limit optimization. Conduct a pit limits optimization with sensitivity analysis. Conduct strategic mine planning study using Whittle. Generate optimal shells, reports and schedules. Practical push back design enforcing minimum mining width. Analyse the results of a series of optimizations using economic analysis techniques. Use advanced techniques including mining direction and mining constraints.

CONTENTS AND PROGRAM Day 1 07:30 -08:30 Registration Introduction to Strategic Mine Planning & Optimization Pit Limits I Manual Method and Floating Cone, Pit Limits II - Lerchs and Grossmann Method Block Value Calculations Mining recovery Dilution factor Mining and processing cost adjustment factors Rock type and positional cost adjustment factors Coffee break AM 11:00 12:30 What Costs to Include in Pit Optimization? Cost calculation rules Mining & processing costs Overheads, capital costs, and sunk costs What to do when the operation is mining, mill, or market limited Lab01 - Open Pit Limit Optimization in Whittle Creating a project Setting up block model formats Overall slope setup by region or rock types Setting up revenue factor Set up Pit Shells node and run pit optimization Pit by Pit Graph and Operational Scenario Lab02 Production Scheduling Using Contractors Fixed Lead Schedule Node Add Milawa Schedules Export Schedule to Excel Minimum mining width Auto pushback chooser Hiring contractors

08:30 10:30

10:30 -11:00

12:30-13:30

Lunch

13:30 15:00

15:00 -15:30

Coffee break PM

15:30 17:30

Day 2 08:30 10:30 Lab03 - Production Scheduling Practical Push Backs NPV Fixed Lead Milawa NPV Milawa Balanced Sensitivity analysis and running scenarios Lab04 - Mining Direction Control Mining direction control rules Run scenario west to east Run scenario north-west to south-east Lab05 - Buffer Stockpiles Pre-stripping Store material above economic cut-off but below current process cut off Top up processes at the end of period when there is a shortfall Rehandling cost calculations Introduction to cut-off optimization Introduction to simultaneous optimization

10:30 -11:00 11:00 12:30 12:30-13:30

Coffee break AM

Lunch

13:30 15:00

15:00 -15:30 15:30 17:00 17:00 17:30

Coffee break PM

Final comments, course/instructor evaluation and diploma distribution

METHODOLOGY The course material will be presented using: Power point presentations. Step by step documented computer lab instructions using GEOVIA Whittle. The course complements theory with comprehensive instructions and hands-on experience using Whittle.

COURSE MATERIALS Participants will receive a binder with black and white copies of the PowerPoint presentation the instructor will use as well as computer lab step by step instructions. Should the instructor authorize it, the participants will also receive a digital copy of the PowerPoint presentation. Materials will be distributed in the official language of the course.

EQUIPMENT Participants are required to bring a laptop. The Tutorial version of Whittle is going to be used for the course.

INSTRUCTORS BIO NOTES Dr. Hooman Askari-Nasab has a PhD in Mining Engineering from University of Alberta, Edmonton, Alberta, Canada; a MSc in Mining Engineering from Amir Kabir University of Technology, Tehran, Iran; a BSc in Mining Engineering, University of Kerman, Kerman, Iran; and a Course work towards MSc in Information Systems, Athabasca University, Alberta, Canada. Today, Dr. Askari is an associate professor of mining engineering in the School of Mining and Petroleum Engineering, Department of Civil and Environmental Engineering at the University of Alberta, Canada. He teaches and conducts research into mine planning and design and simulation of mining systems. He is the director of the industrial research consortium, Mining Optimization Laboratory (MOL) (www.ualberta.ca/MOL) - sponsored by mining companies. He is a registered Professional Engineer in Alberta. He offers consulting services to mining industry through OptiTek Mining Consulting Ltd (www.optitek.ca) in the area of open pit mine planning and design and simulation of mining systems.