Open-cut Mine Planning via Closed-loop Receding-horizon Optimal Control

To obtain maximal return from a mining operation it is important that the sequence of mining steps be carefully planned. In this chapter we show how this problem can be converted into a closed-loop receding-horizon optimal control problem. Of particular interest is the formulation of the associated optimization problem in the face of uncertainty, e.g., future ore prices. We show how one can formulate “open-loop”, “reactive” and “closed-loop” policies to deal with price uncertainty. A “toy” example is presented to give insight into the problem. Also, a realistic mine-planning exercise is briefly described to highlight discrepancies between theory and practice.