Developing a Computer Software for Sensitivity Analysis of Mining Economics in Iran

In order to determine the uncertain parameters in mining economics iniran, a computer software was developed in visual basic environment. this softwarecan evaluate the sensitivity of economic indicators to the variation of inputparameters. the results can be expressed graphically in terms of a spider diagram. inorder to examine the accuracy of the software, data from a coal mine, zemestanyort,in golestan province in north eastern iran was used and it was shown that theselling price of commodity is the most influential variable in economic viability ofthe operation. even the smallest variation of this parameter can cause a pronouncedeconomic impact. a 10% decrease in selling price causes a 14% drop in rate ofreturn. in the other hand an increase of 10% in operating costs brings a 4.2%decrease in rate of return where more labor cost, 10%, or 25% increase in mine lifedid not show a considerable change in neither rate of return or net present value andthus proved not to be economically vital.