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Logistics optimization for mineral supply chains using interior point methods

Abstract

This research project aims to solve mining problems by applying interior point methods for solving sub-problems arising from Branch and cut/price type methods. It has been shown that interior point methods are superior solving the relaxed problem and sub-problems in some branch and cut/price applications in comparison with the simplex method. Among such as variations there arelogistics problems, transport and cutting and packaging problems. There are no studies that combine interior point and branch and cut/pricemethods applied to problems in the mining field. In this way, this project could obtain important scientific advances. The model to be studiedconsists of transporting ore from the mining area to processing plants such as smelters, with the aim to optimize supply chain logistics systemsperformance. This is an important component in the costs of mining as mines are usually located far from the processing industries. Numerical experiments with large problems will be performed to compare the new approach with instances of this model using the simplex method. (AU)

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