24-MMP-A4 Mine Valuation and Mineral Resource Estimation · December 2018
Question 12 of 29: Nested Spherical Variogram — Gamma Values
Nivaar worked solution (AI-drafted; not reviewed by a licensed engineer)
Notes on this paper
EGBC National Exam — Mining and Mineral Processing Engineering, 09-MMP-A4 Mine Valuation and Mineral Resource Estimation, 2018-Dec. 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 1.1–1.8); 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, anisotropy); Hustrulid, Kuchta & Martin, Open Pit Mine Planning and Design (mine valuation, NPV/IRR and cut-off grade methodology); Gentry & O'Neil, Mine Investment Analysis (smelter/refining contract terms, net smelter return, taxation and risk); Guilbert & Park, The Geology of Ore Deposits, and Evans, Ore Geology and Industrial Minerals (VMS/SEDEX and porphyry deposit models); SME Mining Engineering Handbook, 3rd ed. (mineral exploration/evaluation stages, ore reserve classification); CIM Best Practice Guidelines and NI 43-101 (Canadian Securities Administrators).
Find. The scaled diagram (2 marks) and γ(h) at h = 0, 50, 250, 1000 m (7 marks: 1+2+2+1 for the four values plus 1 for indicating them on the diagram).
Nested spherical model — nugget 0.1, structure 1 (dashed red, sill 0.5/range 100 m), structure 2 (dashed green, sill 0.4/range 500 m), nested total (solid blue). Filled dots mark the four requested distances; the open circle at h=0 marks γ(0)=0 by definition.
Approach. Apply $\gamma(h)=C_0+C_1\,Sph(h/a_1)+C_2\,Sph(h/a_2)$ where $Sph(x)=1.5x-0.5x^3$ for $x<1$ and $Sph(x)=1$ for $x\ge1$, checking whether h has exceeded each structure's own range before substituting.
h = 0 m. By definition γ(0) = 0 exactly — a pair of points at zero separation has zero difference, so the semi-variogram itself starts at the origin; the nugget C0 is the DISCONTINUOUS JUMP the fitted curve makes for any h>0 (representing micro-scale variability/sampling error below the shortest sampled lag), not a value the curve takes at h=0 itself. $$\boxed{\gamma(0)=0}$$
h = 50 m. Both ranges exceed 50 m, so both structures use the cubic form. x1 = 50/100 = 0.500, Sph(x1) = 1.5(0.500) − 0.5(0.500)3 = 0.750 − 0.0625 = 0.6875. x2 = 50/500 = 0.100, Sph(x2) = 1.5(0.100) − 0.5(0.100)3 = 0.150 − 0.0005 = 0.1495. Substituting: $$\gamma(50)=0.1+0.5(0.6875)+0.4(0.1495)=0.1+0.34375+0.0598=\boxed{0.504}$$
h = 250 m. h has passed structure 1's range (250 > 100 m, so Sph1 = 1, fully saturated at its sill) but is still inside structure 2's range (250 < 500 m). x2 = 250/500 = 0.500, Sph(x2) = 0.6875 (as computed above). Substituting: $$\gamma(250)=0.1+0.5(1)+0.4(0.6875)=0.1+0.5+0.275=\boxed{0.875}$$
h = 1000 m. h exceeds both ranges (1000 > 100 m and 1000 > 500 m), so both structures are fully saturated and the variogram has reached the TOTAL SILL: $$\gamma(1000)=0.1+0.5(1)+0.4(1)=\boxed{1.00}$$