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Case Studies

Grade Control Improvement – Reduction of Overmining

Type: Productivity

Site: Surface Gold Mine

Location: South America

Outcome: 75% reduction in overmining, 5% reduction in material mis-dumps.


The Task

A new gold mine in South America was experiencing challenges in meeting its material grade requirements due to excessive dilution. Despite investing in advanced high-precision machine guidance systems, the site was not achieving the expected grade control performance. This had become more urgent as the operation moved into higher-grade zones, where tighter control would directly affect recovery. MTS was engaged to review existing practices and identify opportunities to reduce overmining, improve block compliance, and ensure material was being correctly classified and sent to the right destination

The Solution

The operation had made a considerable investment in high-precision machine guidance systems to support grade control and improve excavation accuracy. However, these systems were not being used to their full potential. The technology had not been properly configured or integrated into daily operations, and as a result, operators lacked the tools and confidence to consistently follow block boundaries or maintain bench compliance. 

Compounding the issue was the fact that the site was relatively new and had limited experience with both mining processes and the supporting technology. Without clear operational procedures or sufficient training, key practices around loading, compliance monitoring, and stockpile management were inconsistent or missing altogether.

As a result, the site was regularly failing to meet its material grade requirements. This led to significant dilution, with valuable ore being mixed with waste or misclassified entirely. To put the impact in perspective, just a 1% decrease in dilution can deliver up to $2 million in extra value annually when benchmarking an average mine site. These inefficiencies not only reduced the value of material sent to the plant but also increased operational costs — making it critical for the site to regain control over how material was mined, moved, and classified.

The Analysis

The first step was to undertake a structured review of the site’s operating practices and the way existing technology was being used. This assessment aimed to uncover the root causes of material dilution and to quantify, where possible, the extent of overmining and misrouting. It quickly became clear that while high-precision machine guidance systems had been installed, their configuration and day-to-day application were inconsistent, limiting their effectiveness.

Based on the findings, MTS introduced new processes to support more disciplined loading practices. These were backed by custom-built dashboards and reports that gave supervisors and control room staff real-time insight into block and bench compliance. The solution tracked specific issues, such as validating bucket load positions, benches being mined too deep, trucks misrouted to the wrong dump, and shovels cutting outside the boundary lines. It’s also worth noting that high precision data can be a solid alternative for day-to-day checks, reducing the need for surveys and providing daily updates to assist with month end reconciliation. Including these checks made the problem clearer for the team and highlighted where action was needed. Most importantly, the dashboard was built to fit seamlessly with the site’s existing workflow, so supervisors and operators could adopt it without changing how they already worked. By surfacing key performance indicators and exceptions as they occurred, these tools enabled faster interventions and tighter control over material movement.

Screen showing data on dig compliance to elevation, with graphs and statistics about overmining blocks, materials, benches, and pits.

Customised dashboard example showing dig compliance by elevation

Alongside the technical and process improvements, operational teams were given direct support on the ground. Loading tool operators received in-cab mentoring to help them work confidently within block boundaries and make better use of onboard systems. Supervisory staff were also trained to interpret dashboard outputs and integrate compliance monitoring into daily routines.

Two screenshots of a surveying or construction site mapping software, showing measurements and terrain data, with a person operating multiple monitors in the middle.

Together, these actions helped shift the site from reactive to proactive control over grade quality, with data and technology used not just for tracking performance, but for influencing it in real time.

The Results

One of the most impactful results was a 75% reduction in overmining, with bench compliance improving from a deviation of 1–2 metres to within ±0.25 metres. This was achieved through the proper calibration and configuration of the high-precision machine guidance systems, allowing operators to position buckets more accurately and mine strictly within the designed block limits.

In addition, a 5% reduction in material sent to the wrong destination was recorded. This equated to around 3,500 tonnes annually of high-grade ore not being dumped on the waste pile, while also avoiding hundreds of hours of rehandle. By reorganising and correctly configuring stockpiles within the FMS, the site gained tighter control over ore and waste movement, reducing misclassification and minimising blending errors at the plant.

Operators, having received focused training and in-cab mentoring, demonstrated improved confidence in using the technology to maintain block and bench accuracy, even in challenging field conditions. Real-time dashboards and reporting tools allowed supervisors to track compliance and address issues as they emerged, further reinforcing disciplined excavation practices.

Summary

Through its collaboration with MTS, the operation established a more data-driven and disciplined approach to managing grade control. Real-time visibility and structured processes enabled faster responses to compliance issues, while improved training gave operators and supervisors the tools to make confident, informed decisions in the field. The key takeaway being that success is driven not only by the technology purchased but by how it is configured and integrated into daily workflows. These improvements strengthened alignment between planning and execution, reduced material losses, and positioned the site for more consistent, high-quality mining performance going forward.

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