Understanding the Two Primary Mining Methods

Choosing between open-pit and underground mining is one of the most consequential decisions in any mining project. The choice affects capital expenditure, operational safety, environmental impact, and ultimately, profitability. This guide breaks down both methods so you can understand the key factors that drive the decision.

What Is Open-Pit Mining?

Open-pit mining — also called open-cast or open-cut mining — involves extracting rock and minerals from the surface by excavating a large, terraced pit. As miners remove ore, the pit gradually deepens and widens. This method is best suited for large, low-grade ore bodies located near the surface.

  • Typical commodities: Copper, gold, coal, iron ore, diamonds
  • Typical depth: Surface to ~500 metres
  • Equipment used: Draglines, shovels, haul trucks, blasting systems

What Is Underground Mining?

Underground mining accesses ore bodies that are too deep or too narrow to extract economically from the surface. Miners create shafts, tunnels, and drives to reach the deposit. There are several underground methods, including room-and-pillar, cut-and-fill, and block caving.

  • Typical commodities: Gold, silver, platinum, zinc, lead
  • Typical depth: Hundreds to thousands of metres
  • Equipment used: Raise borers, jumbos, LHDs (load-haul-dump machines), hoisting systems

Key Comparison: Open-Pit vs. Underground

Factor Open-Pit Underground
Capital Cost Lower for large deposits Higher per tonne mined
Operating Cost Lower overall Higher due to ventilation, hoisting
Ore Recovery High (85–90%+) Variable (60–90%)
Safety Risk Lower (open environment) Higher (confined spaces)
Environmental Footprint Larger surface disturbance Smaller surface impact
Ore Grade Required Low to moderate Higher grade needed to justify cost

The Breakeven Stripping Ratio

A critical concept in choosing between the two methods is the stripping ratio — the amount of waste rock that must be removed per tonne of ore extracted. When the stripping ratio becomes too high, open-pit mining loses its cost advantage and underground mining becomes more economical.

The breakeven stripping ratio is calculated by comparing the operating cost of open-pit mining per tonne of waste to the cost difference between underground and open-pit ore processing.

Transitioning from Open-Pit to Underground

Many mines begin as open-pit operations and transition underground as the pit deepens and ore grades improve at depth. This "open-pit to underground" transition is technically complex, requiring careful geotechnical analysis to ensure the underground workings are not destabilised by the open pit above.

Environmental Considerations

Open-pit mines create large voids and waste dumps visible from the surface, requiring extensive land rehabilitation. Underground mines have a far smaller surface footprint but generate risks of subsidence and groundwater disruption. Both methods must comply with environmental impact assessments and rehabilitation bonds.

Conclusion

There is no universally "better" method — the right choice depends on the geometry, grade, and depth of the ore body, combined with economic, environmental, and safety factors. A thorough feasibility study comparing both approaches is always recommended before committing to a mining method.