CCU 0.00% 5.8¢ cobar consolidated resources limited

Ann: Quarterly Activities Report , page-24

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  1. 2,026 Posts.
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    I'm not your buddy Dfast, but I'll give you some advice on mining from someone who knows a little about it.

    The process plant was designed on the basis of an everage grade to output ~200k ounces a month. So what they do is attempt to mine all the grades of ore above the cutoff grade and achieve a blended grade that matches the design input grade. Chasing the higher grades just to get higher output is fraught with risk.

    1. you have to dig up a lot of lower grade ore to get at it, which is more work.

    2. By chasing the higher grades and putting the lower grade ore aside, you will achieve higher production in the short term, but you lower the average grade of your remaining resource. So the cost to process the remaining ore will go up. This might be OK if the price of your resource goes up but it is risky.

    3. Also you want to get a consistent feed so you don't have to fiddle with the process all the time.
 
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