WHAT EXACTLY DOES REVENUE FACTOR 1 MEAN?
When I started in mine planning back in the day, everybody was talking about this Revenue Factor 1 thing. At some point I couldn't contain myself anymore, and I asked my manager what does it mean, and he explained: When doing a Whittle Open Pit Optimisation, the software generates an array of Nested Shells, or incremental shells, say in 0.25 intervals. Revenue factor is defined as: (incremental cost)/(incremental revenue). At a RF =1 pit, the incremental cost = incremental re