Enterprise Optimization Case Study: PanAust’s Inca de Oro Project, Chile

Whittle Consulting’s (WCL) Enterprise Optimization (EO) solution is an integrated approach to maximizing the Net Present Value (NPV) of a mining business by simultaneously optimizing up to 10 different mechanisms across the mining value chain. The EO methodology which WCL has developed over the last 12 years draws from the manufacturing industry (theory of constraints) and cost accounting (activity-based costing) as well as advanced mining techniques such as cut-off grade optimisation and “skin analysis”. The principles behind Enterprise Optimisation accelerate cash flow through the business by applying a holistic planning approach over the whole business chain rather than conventional ‘silo’ based decision making. The EO methodology and techniques are underpinned by sophisticated in-house proprietary software and has proven to be an excellent strategic planning tool for mining businesses having consistently identified significant value uplifts to projects and operations alike.


This paper presents the findings from the EO Study for the Inca de Oro (IDO) Copper/Gold project located in the Atacama region of Chile. The Inca de Oro Project is a joint venture between PanAust Ltd of Australia and Codelco of Chile. The techniques and optimization mechanisms applied produced a 116.8% overall increase in pre-tax NPV above the PanAust’s best business case (referred to as the “base   case”).


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