Estimation of Capital and Operation Costs of Backhoe Loaders

Citation

Oraee K, Lashgari A, Sayadi AR & Oraee B (2011) Estimation of Capital and Operation Costs of Backhoe Loaders. In: SME Annual Meeting & Exhibit and CMA 113th National Western Mining Conference 2011. 2011 SME Annual Meeting & Exhibit and CMA 113th National Western Mining Conference "Shaping a Strong Future Through Mining", Denver, Colorado, USA, 27.02.2011-02.03.2011. Colorado, USA: Society for Mining, Metallurgy, and Exploration, pp. 228-231.

Abstract
Accurate estimation of equipment costs is a key factor in feasibility study and evaluation of design alternatives of mining projects. In this paper, capital and operation costs of backhoe loaders are estimated using multiple linear regression (MLR), based on principle component analysis (PCA). These cost functions are consisted of five independent variables; bucket size, digging depth, dump height, weight and horse power. The MLR is conducted in two steps. At the first correlation between independent variables is omitted using PCA technique. Thereafter, MLR functions are established using selected significant PCs and total cost functions are constituted as functions of initial variables. At the end, accuracy of functions are evaluated using mean absolute error rate method.

Keywords
; Mining design; Industrial productivity; Labor productivity