Simultaneous stochastic optimisation of

Simultaneous stochastic optimisation manages risk and capitalises on the unique interactions that occur in a mining complex, where materials are transferred between mines, processors, stockpiles, and waste facilities to achieve a marketable product. Typically, when optimising the production schedule, the primary focus is to deliver valuable products to the market. However, this tends to ignore the environmental and economic impact of simplifying waste management requirements, including the storage and disposal of waste material. Stricter regulations and engineering requirements are transforming past mining practices to develop more sustainable operations. These transformations increase the financial cost of waste management and identify the requirement to integrate waste management into the production schedule. Additionally, misrepresenting the material uncertainty and variability associated with the amount of waste produced can impact, both, the stakeholders and the profitability of a mining complex. In this case study, a simultaneous stochastic optimisation approach is applied in a gold mining complex that integrates waste management into the long-term production schedule. The resulting schedule leads to a 6% increase in the net present value when compared to a conventional approach, while minimising the likelihood of deviating from production targets and ensuring the rent constraints are satisfied.