1. DPM Presentation #DISRUPTMINING Jan 15th , 2017
Charles Gryba P. ENG. Mining

2. Mine Proven August 2015

3. A “Step Change” Mining Method
USA requirements for patenting a new process or mining method include:
Unique features : pre-posting, double posting, 3D monitoring, continuous floors etc. are unique globally
The system must generate a 10 fold increase in productivity and safety vs. current mining technology
Secondary US and global patent applications commenced in Oct 2013 on how to set up the continuous DPM floors/roofs plus the unique, real time 3D monitoring of all DPM load changes
US patent issued in Oct coverage to 2033
Patented Worldwide
Secondary Patents Issued
The secondary patents cover setting up continuous floors and 3D instrumentation.. The DPM mining method is totally engineered thus all components can be optimized for individual mines.

4. Geological Block Model Generates the Mining Plan & Financial Model
DPM uses the enormous power of state of the art 3D geological block modeling programs to evaluate every 7.5m x 7.5m x 6m high (1,000t) ore block in the orebody.
DPM can assign ore grade, mining costs, mining profit, or after tax profit to every DPM block or “cell”
DPM creates a “spreadsheet” mining method
DPM block model outlines the mining plan every 6m.
Assays from drilling the next 7.5m x 7.5m grid of 6m deep post holes updates the production plan or “speadsheet”
Mining rate is scalable from 1,000 to 10,000tpd.
Life of mine updates are rapid & accurate; rerun the DPM block model using updated parameters for each cell.

5. DPM – Just Add Posts and Floor Every miner wants to mine prove the DPM system at their mine
Drift and fill mining allows:
Installation of 7.5m x 7.5m grid of precast 6m long concrete posts
Sets up the continuous concrete floor slab/roof
Ongoing mining is below a concrete roof; 90% less ground control work.
3D instrumentation monitors post and floor steel loading, changes in CRF loading, wall movement etc.
Seamless conversion to DPM from any existing drift and fill operation.
The sequence of work involved in top slicing is as follows:
Drift through the ore with a 6m high by a minimum 4m width drift.
Drill 6.0m deep post holes surveyed in to match a 7.5m x 7.5m grid pattern.
Insert a pre-caste concrete post into each hole.
If D&B techniques are to be used for mining; pre-break a 2 m diameter area around the post using small diameter holes drilled parallel to the post hole.
Fill and grade the drift floor to about 100mm from the top of the post.
Lay out the reinforcing steel - 6 inch x 6 inch x .5 inch diameter welded steel mesh
Pour a 300mm thick concrete floor slab and after allowing time to set
Tight fill with 6.0 % cemented rock fill using a large LHD equipped with a push blade.
The adjacent drift is done the same way forming a continuous floor slab.

6. DPM - Mining Terminology
Top slicing
DPM rooms
Filled with CRF
7.5m x 7.5m x 6m high
Double posting
5 major breakthroughs, room and pillar productivity , parallel mining and backfilling, rapid financial evaluation, no dilution, 100% ore recovery etc. Top slicing installs the initial set of red posts and sets up the continuous floor slab which becomes the roof on the next lower lift. Top slicing is standard drift and fill mining.
A DPM room matches the dimensions of the block size used in the 3D geological block model of the orebody.
Double posting provides a both temporary and a continuous support system.
Pre-breaking the area around the post prevents production blasting damage to the posts. Pre- posting allows checking the grade of the next mining lift and updating the 3D block model.
For weaker ore a road header could used as the primary excavation machine. EH jumbo’s can be used for roadheader backup especially if there are tough high quartz zones within a soft matrix.
Pre-posting next lift

7. DPM is Similar to Mining a Car Parkade from the Top Down
Access Ramp with Zoned Ventilation System

8. Penoles Searched the World for New Mining Methods
DPM was the only “break through” method found.
Penoles retained Wardrop to do a feasibility study.
Golder FLAC 3D Modeled DPM CRF - Post Loading
Positive Feasibly Study lead to DPM test mining.
A technical team of Penoles and DPM consultants was assembled – Madero detail design completed.
Test mining opened up a 15m wide panel under a concrete roof confirming the DPM mining method.
Funding now required to market the DPM platform

9. Backfill Loads - Arch to Walls
Backfill post loading is highest in the first DPM lift – Madero proved the DPM post design was conservative for panels 15m wide. Backfilled panels become pillars allowing 100% ore recovery in one pass of mining. Traditional 2D modelling indicated that post loading would increase lift by lift – new 3D modelling proved that loads reduce lift by lift.

10. Mining Under a Concrete Roof to the limits of the 6m lift

11. Madero DPM Test Mine Slides
Changes, back ream holes, rod handlers and larger stingers, 4.5m mast, walking cylinders on hiab, Cortez type loading of CRF

12. Penoles Madero Top Slicing

13. DPM Is Large Scale Mining

14. DPM Madero Program in 2015
Mine proved all DPM standard design features:
FLAC 3D modelling of CRF post loading was accurate.
Cubex drill drilled 6.3m holes in 2-3 hours.
Compressible precast posts installed as designed
The DPM steel reinforced concrete floor/roof/post installation worked as designed, no cracking.
Instrumentation package & wall hangers worked.
DPM worked as designed – production drill blast muck is regular mining with the addition of the DPM posting, concrete floor & CRF backfill cycle.

15. Continuous Cost Improvements
Complete 3D Instrumentation
DPM post loading will be monitored for safety in real time; which includes:
Post loading and movement
Post compression and tension changes
Pressure changes within the CRF
Stress loading of floor steel (mesh)
Movement/deflection; floors, back, walls
By monitoring all these items DPM can calibrate the FLAC 3D Model to optimize the cost of every DPM room component - size of posts, post spacing, floor steel reinforcement and thickness, % cement in CRF, mining panel width etc.

16. DPM - Mechanical Mining Thick Orebodies in 6m Lifts
Current focus is speeding up development and mechanical mining thin, flat dipping orebodies.
DPM concrete roofs eliminate falls of ore that would otherwise bury or jam the cutter head.
DPM mining design supports road header technology
Ramp access
Maneuvering room
Ventilation & dust control
Roof support
Multiple faces
Can mix and match with
drill-blast equipment
Falls of ground and cutter costs have defeated all mechanical mining in hard rock. DPM can mix and match with drill and blast techniques thus softer material is mechanically mined and very hard material drilled and blasted. The concrete roof prevents falls of ground. If the rock or ore is soft enough to cut; it usually fails or falls or caves easily as well. DPM eliminates this problem.

17. Independent DPM Costing
PEA Type Cost estimate of a 1mtpy ramp mine using 50t trucks
Production & Backfill Labor Per Room Cost/t
Miners – 35 men x $152,000 /year $ 15, $15.96
Material and supplies $6, $6.14
Backfill Cycle Cost
Post holes, pads, bolts m depth $2.00
Steel – posts and floors $ $1.50
Cement – floors, posts, 7% CRF $150t $9.00
CRF aggregate, sand, gravel $ $3.30
Direct labor & material cost $38.10
Indirect OPEX – GME, ongoing dev. etc $24.41
Capex - $30m for 10m ton orebody $3.00
Total Cost per tonne to Surface $65.51

18. Blasthole Mine – On Sedar
2015 Feasibility Study
Dilution – 11%
Stoping Recovery – 95%
Clipping Loses – 10%
Mining 24 stopes / year
Mining Cost - $165t
DPM Type Numbers
Dilution – maximum 1%
Stoping recovery ~100%
Mining – 3 rooms /day
Increase head grade – 10%
Tons ore milled - 15% more
DPM 1mtpy - $65t

19. The DPM mining method is now mine proven - at the Madero mine in Zacatecas Mexico with Penoles. DPM mines standard 1,000 ton ore blocks from the top down in 6m lifts under a concrete roof supported by a grid of pre-caste posts. DPM creates a safe work environment for both men and equipment. Most ground control work is eliminated; maximizing equipment and labor productivity.
CEMI President Doug Morrison quotes – “Mine production in North American U/G mines has gone down a compounded 4% per year for the past 10 years.” “Mine development advance rates have dropped from 7.2m/day in 2001 to 3.8m/day in 2011.”
DPM mining creates a new approach to increasing mining profits - 50% less mine development, up to 100% increased labor productivity, 99% orebody recovery, 20% less ore dilution, no backfill dilution etc.
DPM generates up to 40 individual innovations that cumulatively increase the orebody free cash flow and NPV vs. standard mining methods such as small blasthole, room and pillar, post pillar, underhand drift and fill or various cut and fill mining methods.

20. #DisruptMining Background
Since 1980 underground mining research has focused all optimizing all aspects of blasthole stoping using paste fill for backfill.
Blasthole development and mining productivity has dropped 3% per year compounded for the past years neutralizing all the productivity benefits of “big data”, automation, mining software, fiber optics, better designed jumbos, scooptrams, trucks etc.
Perhaps the mining research industry should refocus on inventing new mining methods or platform that solves the geological and mining problems and provide a better platform for improving safety, productivity, grade control and ore recovery.
Three new platforms are required, a narrow vein platform, a mid sized mine platform and a large scale platform for mining below large open pits
DPM provides an “spreadsheet” of 1,000t stopes that is an ideal platform for mining higher grade, mid sized orebodies.

21. DPM Mining Breakthroughs 40 Main Areas identified that improve the mine economics by reducing dilution, faster mining, higher revenue etc.
Geological block model is the DPM mining plan
Standardization – 7.5m x 7.5m x 6m - 1,000t rooms
Mined from the top down – 50% less development
One pass of mining, no pillars, 100% ore recovery
Ore and backfill – target less than 1% dilution
Max. safety : mining under pre posted concrete roof
Simple scheduling rooms top sliced = 1,000 tpd
Mining rate is scalable – 1000 to 10,000tpd+
Platform for automation, mechanical mining etc.
NPV ROI maximized – lower capital, higher mining rate, more revenue faster, less dilution, longer mine life etc.