Course Introduction

Conventional Methods of Resource / Reserve Estimation

Version: 22 June 2006

Alastair J. Sinclair

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Introduction

The title of this course was changed on 17 November 2009 from "Empirical Methods of Resource / Reserve Estimation".

The investment necessary to start a mine is of the order of 10's to 100's of millions of dollars. In order for the investment to be profitable, the potential product in the ground must be present in adequate quantities and quality to justify a decision to invest. Mining and processing systems used to extract the products must then operate so as to produce revenue to offset the planned investment and to provide an acceptable profit. Clearly, all technological and financial decisions regarding planned production are built on an understanding of the mineral assets available.

Thus, the estimation of grade and location of material in the ground (in situ resources) must be known with an acceptable degree of confidence. This is especially true of certain large, low grade deposits for which grade is only slightly above minimum profitable levels, and for some precious metal deposits where only a small percentage of mineralized ground can be mined at a profit. Mining profits are strongly leveraged to product price and to realized grade of material mined. A small difference between planned (estimated) and realized production grade, or a small change in metal price, can have a large impact on mine profitability.

The three undertakings, ore estimation, mine planning and grade control, are complementary in an efficient mining operation and are natural progressions one to another. The integration of these three endeavors is important because the grade control system must balance with the ore reserve as well as with the final products of the operating plant, and both estimation and grade control are influenced by planned operational procedures. If this balance is not achieved then the original investment may be in jeopardy. Reappraisals of mineral inventories can be necessary many times both prior to and during the life of a mine.

Resource/reserve estimation procedures commonly are considered in two categories, empirical and geostatistical. This course is confined to the principal empirical methods of estimation.

Course Content

The principal topics covered include ...

• Essential Concepts, Geological Continuity, Value Continuity

• Dilution, Regionalized Variables, Accuracy and Precision, Block Estimation

• Ore/Waste Boundaries, Conditional Bias, Cross Validation, Systematic Approach

• Sectional Methods, Polygonal and Triangular Methods, Inverse Distance and Contouring

The course comprises 16 working sessions, 5 exercise sessions, numerous figures and supporting materials, and 4 interactive review sessions designed to confirm the learning objectives. Course duration is equivalent to approximately 18 hours of viewing content.

Learning Outcomes

Participants who successfully complete this course and the certification requirements will be able to perform the following.

• Discuss the essential concepts of mineral reserve estimation using empirical methods, including the concepts of geological continuity and value continuity.

• Discuss the effects of dilution, regionalized variables, accuracy and precision, ore/waste boundaries, and conditional bias on mineral reserve estimation.

• Discuss the requirements of block estimation, the advantages of a systematic approach, and use of cross-validation.

• Discuss empirical methods of mineral reserve estimation, including sectional methods, polygonal and triangular methods, and inverse distance and contouring methods.

• Apply the knowledge gained to understanding, reviewing, and performing mineral reserve estimations.

Course Requirements

Basic requirements for successful completion of this course include the following.

• A degree in geology, mining or related discipline.

• An understanding of the basic principles and methods of statistics.

• An understanding of the basic principles of geostatistical semi-variograms.

Course Certification

This course qualifies for EduMine Certification. A certificate will be issued to an EduMine enrollee who registers for certification and successfully completes the certification requirements. The total certification fee for this course is Can$238.

1.8 CEUs  (Continuing Education Units) will be awarded for successful completion of certification requirements for this course. EduMine meets the Criteria for Certification established by the Authorized Provider Commission of The International Association for Continuing Education and Training, 1620 Eye Street, N.W., Suite 615, Washington, DC 20006.

To register for certification for this course use the "Course Certification Entry or Registration" link above or below on the right.

UBC Certificate in Mining Studies

This course qualifies as online learning for the University of British Columbia - Certificate in Mining Studies in the Mining Methods and Mine Planning stream. Students who complete the certification requirements for this course may optionally register for the Certificate in Mining Studies program and complete the associated classroom component. For further information click UBC Certificate in Mining Studies

[Note: Participation in the UBC Certificate in Mining Studies program is optional. For EduMine certification proceed as described under Course Certification above.]

Start the Course with an Orientation Session	Review the Course at the Summary Level	Start the Course at the Detailed Text Level	Course Certification Entry or Registration
(first time viewers)	(reviewers)	(serious viewers)	(certification)