Implementing a Production Schedule at LKAB's Kiruna Mine

Published Online:https://doi.org/10.1287/inte.1030.0059

LKAB's Kiruna Mine, located in northern Sweden, produces about 24 million tons of iron ore yearly using an underground mining method known as sublevel caving. To efficiently run the mills that process the iron ore, the mine must deliver planned quantities of three ore types. We used mixed-integer programming to schedule Kiruna's operations, specifically, which production blocks to mine and when to mine them to minimize deviations from monthly planned production quantities while adhering to operational restrictions. These production schedules save costs compared to schedules produced manually by meeting desired production quantities more closely and reducing employee time spent on preparing schedules.

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