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Resource
Throughput Management
A new and predictable approach to
dramatically reducing variability in Mining
Operations that has delivered dramatic EBIT,
Throughput and Life of Mine improvement.
Coal Mine
Improved ROI from 7% to
43% and decreased cost per
ton by 30%
Iron Ore Mines
How to get the most out of my mine, in pure business terms, over
its life and at any given point in time? is the question ubiquitously
posed by Mine GMs, Mining CxOs and Operational Managers.
It is this two part question that Mineral Resource Throughput
Management (MRTM) method answers. MRTM is the only mine
optimisation approach that tackles, and is able to tame, variability
in all the key drivers of a mining operation.
The ability to synthesise ore, plant and supply chain constraints has
enabled the flow based approach of MRTM to predictably deliver
step change improvements in material throughput, product
payability1, EBIT and life of mine within short delivery time frames.
Chrome
Up to 700% increase in
ROM tonnes
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MRTM Origins
The revolutionary MRTM methodology was developed by PG Laurens and Andre Dunne over 15
years, based on vigorous debates with Theory of Constraints (TOC) founder Eli Goldratt, and through
the application of its principles in real-world successes in mining business optimisation.
MRTM applies TOC principles to mining by merging key product payability and physical material flow
attributes to optimise value output.
On-going research, refinement and education around the concepts of MRTM are driven through
collaboration with the University of the Free State, South Africa, which has offered a MRTM Masters
qualification program for over 10 years.
Variability in
the Ore
Body
Variability in
ore
characteristics
and plant
configuration
Material
Movement
Variability
Price and
Market
Fluctuation
MRTM
Orebody
(Shape / Location/
Pits/Grade /Tonnes)
In Ground
Material
Movement
(Grade / Tonnes)
Processing
(Material
Characteristics)
Maximum Yield
MRTM applies TOC principles to the entire mining process in an integrated manner,
addressing physical and non-physical characteristics to minimise variability. It is
true optimisation, focusing on sustainable EBIT for the entire operation.
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TOCs optimised flow decision logic is extended with the merging of the variability in ore and
ore body characteristics with material flow and matching these with plant processing
thresholds. Traditional business improvement methods, such as TOC, originate from the
manufacturing sector and therefore assumes that component and raw material quality has
negligible variability (i.e. components and raw materials not compliant to specifications are
always discarded).
In mining, TOC has typically been limited to physical material throughput and the
management of related flow constraints. MRTM includes the above, but incorporates
recoveries and quality by integrating specific and detailed characteristics of the ore, the ore
body and the plant beneficiation thresholds in the analysis and simulation process.
Typically, flow and production capability evaluation has been limited to a reductionist
approach (i.e. using on average, most probable, single values) to measure and manage
operational output. MRTM removes the uncertainty associated with these approaches and
uses actual values for measuring and managing the key output drivers.
MRTM is the only mining optimisation methodology that considers all inter/dependencies,
constraints and related variability.
MRTM creates a framework for the effective management of complex mining environments
Focus
Drivers
Improvement
approach
Outcome
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Simulated and proven recommendations for physical capacity flow, yield & grade blends to
maximise product payability and the strategies to balance these factors to achieve
maximum EBIT
The real value chain KPIs of a given mine. These may be different to boiler plate Value
Driver Tree based KPIs and may be fewer in number than imagined, simplifying
management identification of both logical and physical value drivers (Logical value drivers
are non physical value drivers such as policy and ore body attributes)
Decision making attribute strategies (roles, policy, systems , governance and reward
systems)
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Subordinate and
synchronise to the
constraint
Compile Ore Body Classification
and Condition Driven Standards
to support recommendations
Define additional Decision
Making attribute strategies e.g.
Mine Planning
Geological Modelling
Operational KPIs
Grade Control
Met/Ore accounting
Logistics
IT systems
Roles & Governance
Mining Variability Diagnostic - A detailed, cross functional tool that constructs a clear view
of the operations current reality logic and the complete set of factors affecting
operational output. The diagnostic enables drill-down into all relevant areas of the mining
value chain. Its outputs include physical and product payability flow analysis, root cause
analysis and value chain flow diagrams, clearly depicting dependencies, interdependencies
and constraints that impact output. These analytical outputs combine to identify the key
focus areas for flow and EBIT improvement.
Analytical and syndication tools - quantified and diagrammatic views of the impact of the
existing variability. These analytical tools also provide a communication framework to
stakeholders for key findings that enable effective critique and validation.
Investigation
1
Mining Variability
Diagnostic
Design
2
Implementation
Implementation
Objectives
Typical
Duration
Outcomes
12-16 Weeks
Plan Based
Anticipated improvements and benefits are quantified. Projects can be delivered on a Fee for Service
basis or through a negotiated Shared RiskReward model.
BEDROCKmg
BEDROCKmg has a proven track record in delivering MRTM engagements with successes spanning
the worlds leading miners. As the Australian licensee of xRTMSM, our team comprises some of the
most experienced mining professionals and MRTM practitioners, including MRTM founders, PG
Laurens and Andre Dunne . The MRTM masters degree, to which we are prime contributors, has
trained transformative leaders in the worlds largest and smallest miners. Our team continues to
draw in this remarkable talent pool to deliver our projects with the best people.
Australia
Australia Patrick Bernau : +61 (0) 434 307 859
:patrick.bernau@bedrockmg.com
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