Cost estimation and development of cash flow on mining operation (IML/A) (category quarry operation)

Abstract

More than 70 quarry operations are conducted under the IML/A Category licence all over the country. The high demand of metal aggregates for the construction industry (road and buildings constructions) has made industrial quarry operations one of the most profitable mining operations in Sri Lanka. However, present economic situation and increase the number of I ML/ A category quarries in Kaluthara District (13 quarries) causing problems in aggregate industry in this area. Manufactured sand produced in quarries has become a better solution for scarce sand resources as well as to increase the quarry operation revenue. During this study three quarry sites in Kaluthara District were studied in detail and cost benefit analysis was made. Among these TAMAC quarry site was the main source for the study. Selection of a quarry site with low operation cost with minimum damage to the environment plays the major role in success. Proper blasting techniques, crusher plant design, selection of machinery and friendly environmental could increase net profits and help to continue operations in a sustainable manner.