Risk Control in Ultimate Pits using Conditional Simulations
Daniel Espinoza, Eduardo Moreno,
In this work we study how to incorporate risk control to the generation of ultimate pits when orebodies are modeled through a finite number of conditional simulations. To control risk we consider a chance constraint on the value of the ultimate pit. We incorporate this measure into the generation of ultimate pits by solving a stochastic programming version of the ultimate pit problem. We compare this stochastic programming problem to previous approaches such as generating the ultimate pit for each simulation and the hybrid pit approach introduced by Whittle and Bozorgebrahimi. We also study the effect of using different
number of simulations in the generation and evaluation of ultimate pits.
Ultimate Pit, Stochastic Programming, Conditional Simulation, Conditional Value at Risk, Chance Constraints