Skip to main content
Conference Proceedings

Application of Computers & Operations Research in the Minerals Industry (APCOM) Proceeding 2025

Conference Proceedings

Application of Computers & Operations Research in the Minerals Industry (APCOM) Proceeding 2025

PDF Add to cart

AMC's Hill of Value® - modelling sequential decisions to transfer strategy optimisation into an operational mine plan

Mine strategy optimisation techniques such as AMC's Hill of Value® (HoV") use numerical modelling of an operation to rapidly explore a wide range of strategic options. This is achieved by testing and flexing variables such as the cut-off grade, throughput rates, mining methods, scheduling sequences and more to understand which of these decision variables are strategically important. The output of the HoVe process is an optimal set of decision variables, guided by one or more objectives (eg NPV, strategy resilience, mine life) which can be converted into an operational mine plan. It enables a high number of strategic options to be rapidly assessed for long-term planning guidance, but at the expense of tactical resolution. Once an optimal strategy is chosen and committed to for a long-term plan, tactical deviations or modifications from this plan may be required to minimise short-term disruptions and achieve better operational alignment. Ideally, value-accretive tactical deviations could be undertaken without compromising the overall strategy. This is attainable with confidence if the appropriate level of detail is modelled for the strategy selection. A robust strategy selection process requires that any potential tactical choices fall within its bounds, albeit at a higher resolution. This will enable the promotion of tactical modifications that create value while constraining decisions that destroy it. To account for these tactical deviations within a strategy, they must also be represented in the numerical model. Tactical decision-making becomes difficult to model numerically when multiple sequential decisions are possible. This is especially the case for underground mines, where the sequential decisions of mine scheduling, capital commitment, access development, and production phase of selecting and extracting the ore, stockpiling and processing typically exist. Each of these sequential decisions can have an upstream and downstream impact on the overall mine value chain. This paper investigates a practical method for capturing high resolution sequential decisions in a strategy optimisation model and enables these to coherently transfer to the operational mine plan.
Return to parent product
  • AMC's Hill of Value® - modelling sequential decisions to transfer strategy optimisation into an operational mine plan
    PDF
    This product is exclusive to Digital library subscription
PD Hours
Approved activity
  • Published: 2025
  • Unique ID: P-04825-R7H1H9

Our site uses cookies

We use these to improve your browser experience. By continuing to use the website you agree to the use of cookies.