Geostatistics and Conditional Simulations

GEOSTATISTICS AND CONDITIONAL SIMULATIONS ENERGY MINERALS

Geostatistical resource modeling is the practice of creating rigorous block models of the insitu coal resource using geology drilling and grade data and geostatistics. Geostatistical modeling can be used to create the high-level production forecasting program required for a coal preparation plant. Geostatistical modeling weights each sample in your database using deposit-specific parameters and then generates a spatial model contrived by location coordinates. This approach uses the same block structure as the resource model, and will assign an uncertainty to a circuit design or forecast. A more rigorous and reliable production forecast will result of applying geostatistical modeling to your production optimization.

SGS uses geostatistical analysis to generate coal quality and overburden maps (isoquality maps) based on information from the drill program and analysis of the core samples. Geostatistical methods are based coal samples taken close to each other are more likely to have similar values than those located far apart. For this reason the geostatistical method is particularly well adapted to detailed coal reserve evaluations provided that the sample density is sufficient and that the drill program has been properly designed.

SGS geostatistical resource models take into account variability throughout a coal deposit and are used to quantify the uncertainty associated with reserve estimations. Once the isoquality maps are corrected, they can be can be used to develop or update a mine plan resulting in a consistent quality coal feed.

Conditional Mining Simulations
Conditional mining simulations are computerized simulations that theoretically ‘mine’ the geostatistically generated the coal reserve. Calculating block-b-block based on the anticipated mine plan, simulations not only determine the run-of-mine quality, but also generate data that will enable you to

• Determine storage requirements
• Design an optimized mine-plan
• Optimize and design a preparation plant
• Determine preparation plant yield
• Understand future resource requirements
• Determine cash flow and optimize net present value

Useful conditional simulations are the result of a valid drill program design, reliable core analysis and effective geostatistical modeling. Each step in the process must be done with care and precision by professionals with years of experience, and who have access to the right technological services.  SGS can provide both the personnel and the technologies to do the job right.