MiningMath

MiningMath

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Improve your strategic analysis through risk assessments unconstrained by stepwise processes

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Uncertainties at the Beginning

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One of the many possibilities offered by MiningMath’s approach is to have multiple overview scenarios to evaluate different project assumptions, before doing a more detailed work. It does not demand an arbitrary/automated trial-and-error cutoff definition, nor a fixed input in form of pushbacks that will guide further optimization steps within the boundaries of a simplified problem. A subtle but substantial implication is the possibility of seeing a totally different mine development throughout the mine life cycle for each project assumption change. This allows mine managers to have a clearer view of the decision-tree and the possibilities on their hands, to improve economic, technical, and socio-environmental performances.

Considering this context, mine managers can judge greenfield projects to know whether or not they should prioritize a geotechnical study. This could be done by running multiple scenarios, considering the expected variability for slope angles for a given deposit. For example, in a given deposit, benchmarks from similar deposits indicate the overall slope angles might vary between 35-45 degrees. Before reaching the conclusion using an in-depth geotechnical study, multiple scenarios can be used to estimate the economic impact of each possible assumption for the overall slope angle. The conclusion might, then indicate a low economic impact, that could postpone the need for a detailed study.

The same idea applies to any parameter, which ultimately represents a project assumption.

MiningMath conducted an illustrative example with 2000 simulations varying multiple parameters independently. The results produced the chart from Figure 1, showing the probability (Y-axis) and the Project’s Value (X-axis). In this case, a detailed geotechnical study might be postponed, as the Project’s Value varies between 700 to 1100 MU$, in function of the OSA.

Figure 1: What would 2000 simulations say about NPV distributions?
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CONTENTS

Ask GPT

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Multivariate Sensitivity Analysis

Multivariate Sensitivity Analysis is the process of creating and analyzing scena...

Bottleneck Analysis

Bottleneck Analysis is the process of creating scenarios to conduct extensive se...

NPV Enhancement

NPV Enhancement is the process of creating scenarios to conduct extensive search...

Design Enhancement

Design Enhancement is the process of creating scenarios to conduct extensive sea...

Selectivity Analysis

Selectivity Analysis is the process of generating and analyzing scenarios to mea...

Best-Worst Range Analysis

Best-Worst Range Analysis is the process of generating and analyzing scenarios t...

NPV Upside Potential

NPV Upside Potential is the process of generating and analyzing scenarios to mea...

Protected: Getting Started

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Protected: Validation stage

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Protected: Formatting stage

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Protected: Destinations and economic values​

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