Pit Optimization Settings: Variable Factors Example

The Sequencing tab of the Pit Optimization Settings screen lets you configure parameters for LG phases by varying net profits (block values), product prices or mining costs.

Pit optimization requires that you set a 'primary goal' when optimizing the ultimate pit.

  • Use profit factors—select if your primary goal is to obtain high NPV.

  • Use price factors—select if your primary goal is to obtain high NPV and you are interested in “price sensitivity” analysis.

  • Use mining cost factors—if you are interested in “mining cost sensitivity” analysis. This option also permits variable cost factors, but they are specified in a different way. See Pit Optimization Settings: Sequencing.

For both profit and price options, consider the following example:

You want to generate an ultimate pit with a 10 % incremental factor between 1 to 50 % of revenue factor, 5 % of incremental factor between 50 to 90 % of revenue factor and 1 % of incremental factor between 90 to 100 % of revenue factor.

So, your application will generate the following LG Phases.

  • LG Phase= 1 %

  • LG Phase= 10 %

  • LG Phase= 20 %

  • LG Phase= 30 %

  • LG Phase= 40 %

  • LG Phase= 50 %

  • LG Phase= 55 %

  • LG Phase= 60 %

  • LG Phase= 65 %

  • LG Phase= 70 %

  • LG Phase= 75 %

  • LG Phase= 80 %

  • LG Phase= 85 %

  • LG Phase= 90 %

  • LG Phase= 91 %

  • LG Phase= 92 %

  • LG Phase= 93 %

  • LG Phase= 94 %

  • LG Phase= 95 %

  • LG Phase= 96 %

  • LG Phase= 97 %

  • LG Phase= 98 %

  • LG Phase= 99 %

  • LG Phase= 100 %

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