Cost-Benefit Analysis of Mine Water Recycling and Reuse in Mining Operations
Description
Mining operations are among the most water-intensive industrial activities in the world, drawing large volumes of freshwater for ore processing, dust suppression, slurry transport, and worker amenities, while simultaneously generating contaminated mine water streams such as acid mine drainage, tailings supernatant, and pit dewatering effluent. Increasing water scarcity, tightening environmental regulation, and rising community expectations have made mine water recycling and reuse an operational and strategic priority rather than an optional add-on. This project undertakes a cost-benefit analysis (CBA) of mine water recycling and reuse technologies in mining operations, using representative industry data and literature-based cost figures rather than a single proprietary case study.
The study reviews the capital and operating costs of common treatment technologies, including sedimentation and clarification, high-density sludge (HDS) lime treatment, membrane filtration, reverse osmosis, ion exchange, mechanical evaporation, and passive systems such as constructed wetlands. These costs are weighed against quantifiable benefits, including reduced freshwater abstraction charges, avoided discharge and compliance penalties, extended mine life through water security, and revenue from water reuse, as well as broader social and environmental benefits.
A methodology combining recycling-efficiency calculations, net present value (NPV), benefit-cost ratio (BCR), and payback period analysis is applied to a representative mid-sized my scenario. Results indicate that most mine water recycling interventions achieve a benefit-cost ratio greater than one over a 10 to 15-year horizon, with membrane systems offering the greatest quality improvement and evaporation or passive systems offering the lowest unit cost. The study concludes that a hybrid treatment approach offers the most favourable cost-benefit outcome and provides recommendations for mine planners, regulators, and researchers.