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24-MMP-A4 Mine Valuation and Mineral Resource Estimation · May 2017

Question 7 of 18: Nested Spherical Variogram – Numeric Evaluation

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Notes on this paper

EGBC National Exam — Mining and Mineral Processing Engineering, 09-MMP-A4 Mine Valuation and Mineral Resource Estimation, 2017-May. 3 hours duration; one handwritten 8.5×11 in reference sheet permitted (not an open-book exam); only approved Sharp or Casio calculators allowed. Question 1 is compulsory (40 marks, parts 1.1–1.6); candidates then select THREE of the five optional Questions 2–6 (20 marks each) to complete the paper.

Reference texts: Isaaks & Srivastava, An Introduction to Applied Geostatistics (variogram modelling, kriging estimators, volume–variance relations); Hustrulid, Kuchta & Martin, Open Pit Mine Planning and Design (mine valuation, NPV and cut-off grade methodology, mineable reserves); Gentry & O'Neil, Mine Investment Analysis (Canadian mining taxation, smelter/refining contract terms, net smelter return, transportation logistics); SME Mining Engineering Handbook, 3rd ed. (cost-estimating relationships, mineral exploration/evaluation stages, ore reserve classification); Evans, An Introduction to Ore Geology and Guilbert & Park, The Geology of Ore Deposits (ore deposit models); CIM Best Practice Guidelines and NI 43-101 (Canadian Securities Administrators).

Question 2.1: Nested Spherical Variogram – Numeric Evaluation (5 marks)

Question text not reproduced: the examination questions are © Engineers and Geoscientists BC. Open the official past paper (linked at the top of this page) to read the question, then follow the worked solution below.

Given.

ParameterValue
Nugget, C00.05 %Cu²
Structure 1: sill contribution C1, range a10.10 %Cu², 15 m
Structure 2: sill contribution C2, range a20.5 %Cu², 100 m

Find. γ(h) at h = 0, 10, 50 and 150 m, and a to-scale sketch of the nested model.

Lag distance h (m)gamma(h) (%Cu^2)Sill = 0.65C0=0.05a1=15a2=100(0, 0.000)(10, 0.210)(50, 0.494)(150, 0.650)
Fig. 2.1 – The nested two-structure spherical model, to scale, with the four requested evaluation points marked: (0, 0), (10, 0.210), (50, 0.494), (150, 0.650 = sill).

Approach. Evaluate each structure's spherical function Sph(h/ai)=1.5(h/ai)−0.5(h/ai)³ while h≤ai, clamped at 1 once h exceeds that structure's own range, then sum γ(h)=C0+C1·Sph(h/a1)+C2·Sph(h/a2) for h>0 (with γ(0)≡0 by definition).

  1. Total sill. $$\text{Sill} = C_0+C_1+C_2 = 0.05+0.10+0.5 = \boxed{0.65\ \%\text{Cu}^2}$$
  2. γ(0). By definition γ(0)=0 exactly (no separation → no variance); C0 is the discontinuous jump the model makes as h→0+, not a value AT h=0. $$\boxed{\gamma(0)=0}$$
  3. γ(10). h=10 lies inside both ranges. Structure 1: x1=10/15=0.6667, Sph(x1)=1.5(0.6667)−0.5(0.6667)³=1.0000−0.1481=0.8519. Structure 2: x2=10/100=0.100, Sph(x2)=1.5(0.1)−0.5(0.1)³=0.150−0.0005=0.1495. $$\gamma(10)=0.05+0.10(0.8519)+0.5(0.1495)=0.05+0.08519+0.07475=\boxed{0.210\ \%\text{Cu}^2}$$
  4. γ(50). h=50 has passed structure 1's range (50>15, Sph1=1, fully saturated) but is inside structure 2's range (50<100). Structure 2: x2=50/100=0.500, Sph(x2)=1.5(0.5)−0.5(0.5)³=0.6875. $$\gamma(50)=0.05+0.10(1)+0.5(0.6875)=0.05+0.10+0.34375=\boxed{0.494\ \%\text{Cu}^2}$$
  5. γ(150). h=150 exceeds both ranges (150>15 and 150>100), so both structures are fully saturated and the variogram has reached the total sill. $$\gamma(150)=0.05+0.10(1)+0.5(1)=\boxed{0.65\ \%\text{Cu}^2 = \text{Sill}}$$
QuantityValue
Sill (C0+C1+C2)0.65 %Cu²
γ(0)0.000
γ(10)0.210 %Cu²
γ(50)0.494 %Cu²
γ(150)0.650 %Cu² (sill reached)