Application of simulation and optimization to support mine plan execution

Suboptimal decisions introduced during the mine planning process are generally a consequence of both a myopic view of planning objectives as well as time and resources available to convert longer-term plans into execution plans. Erosion of strategic mine plan value in conversion to execution plans is likely to amount to billions of dollars each year. When integrated with operations data feeds, simulation and optimization tools can be used to preserve the value in the strategic mine plan. Optimization models are capable of both automating production of execution plans and improving performance. This reduces the manual burden of revising plans while improving alignment with long-term production objectives. Simulation models can also support the process of developing effective execution plans by providing forward visibility of mine operations performance. They can also be used to test the robustness of optimized execution plans and response to operational variability and disturbances.