Optimising the Mining Fleet Series Part 5: The Optimised Fleet in Action

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1 Optimising the Mining Fleet Series Part 5: The Optimised Fleet in Action

2 Part 1: 22 March - Manufacturing the Future Fleet Part 2: 19 April - The Advanced Fleet Part 3: 17 May - Optimising Maintenance Measures Part 4: 21 June - Fuel Management and Alternate Energy Part 5: 19 July - The Optimised Fleet in Action

3 Part 4 Summary: Fuel Management and Alternate Energy Continued research has uncovered the health issues associated with emissions from diesel engines such as DPM and Nox. Leading to authorities to seek input into new standards and legislation. Innovation is impacting the typically slow-to-adopt diesel space to drive performance and improve environmental outcomes Mining companies must have fuel management systems in place to measure and control hydrocarbons, which are generally the second largest expense on a mine site Alternate fleet energies that are being explored include electricity and high density compressed natural gas VIEW RECORDING

4 Today s Speakers: Kobus Potgieter, Business Improvement Manager, AMC Consultants Stephen Williams, Managing Director, Concerto Analytics

5 The Optimised Fleet in Action Kobus Potgieter Principal Mining Engineer and Business Improvement Manager Thursday 19 th July from 12:30 1:30pm AEST

6 Optimising the Mining Fleet Series Overview Manufacturing the Future Fleet The Advanced Fleet Optimising Maintenance Measures Fuel Management and Alternative Energy The Optimised Fleet in Action March April May June July Jason Whiteley Pieter Prinsloo David Walker Liam Gannaway Kobus Potgieter Steve Turner Peter Woodford Ian Sedgwick Scott Kelly Stephen Williams Explored the latest advancements in high-tech machinery, components and technology Gareth Dean Looked at the advancements in mining technology and the power of harnessing digital capabilities in creating real improvements in fleet reliability, safety and productivity Liam Hewitt Delved into maintenance strategies that will keep your assets at minimal downtime and running at their best performance levels Craig James Explored procedures and practices for driving down one of the most significant recurring costs of any mining operation, oil and fuel Looking at the optimized fleet management system and how it fits in to the overall mining operation In the future Equipment do more, carry more, be more effective We are collecting more data from mining fleets today than ever before Improved machine health from better Condition Monitoring and understanding of risk based outcomes Equipment run more efficient, cheaper All equipment to perform at it s best 6

7 Data the foundation of maturity hidden but unmissable

8 Respect your data, then Crunch It! Various data sources are available But are they Complete? Accurate? Disparate? Discrete? Exclusive & Exhaustive? Data vs. Knowledge Analytical tools are freely available Human capability to comprehend analytical results improving Faster insight, faster action With increasing data availability, human capability decline The future fleet management with increased digitization will aim to deliver better results limiting human intervention, made possible with robotics, integration, automation, machine learning and IOT. But what does good look like?

9 Mining Intelligence because maximizing a mine s potential is a never ending challenge

10 AMC s Smart Data System Our Smart Data System, underpins everything Open Pit 65 Events 15 Countries 5 Commodities 21 Companies 41 Mines 27 MtPa Material Moved 342 Drills 299 Loaders 1427 Trucks 831 Ancillary Equipment Smart Database Cost 8,626 KtPa Ore Mined 1,918 LH Drills 1,087 Jumbos 740 LHD 729 Trucks Underground 127 Events 8 Countries 8 Commodities 35 Companies 61 Mines 10 Methods Location 9 Offices 5 Countries Expertise We re independent and always will be. It means the work we do is for our clients best interest Mining Engineers Geologists Geotechnical Engineers Experience > 30 Years 10

11 Data based improvement Mining Intelligence works alongside you, providing data-driven advice that helps you understand where your next win is, fast because maximizing a mine s potential is a never ending challenge - AMC Benchmarking, how? We collect your Data FMS, PLOD,SAP, Management Reports, plans, schedules, etc. We review your data integrity We match your data with the AMC Benchmarking database We create graphical relative positioning of your performance against industry performance Ad Hoc / Monthly / Annually 1 2 Focussed Improvement, Where is the bottleneck? Where is most effective Improvement? What is value chain impact? How do we enable BI? What results do others get? What does good look like? How do we drive leverage crossfunctional improvement? Actionable Insight 3 and building momentum Generate conversation. Short term changes identified. Debottleneck operation. Optimise individual equipment. Monthly review of improvement plan. Deep dive into concerning practices Coaching 11

12 Load Rate (BCM/hr) Time (hr) Volume Use of Availability% Frequency Optimising the Mining Fleet We compare your performance with the best in class 50 M BCM % Drill Rig Benchmark 45 M BCM 40 M BCM 35 M BCM 30 M BCM Potential Gain at AMC Benchmark - Top Quartile YTD Performance % 60% 7000 hrs 6000 hrs 5000 hrs 25 M BCM 20 M BCM 15 M BCM 10 M BCM Annual Forecast >5 Bin (Minutes) 2.6 min 5.4 min 0.8 min Queue Spot Loading Travel Full 40% 20% 4000 hrs 3000 hrs 5 M BCM 0 M BCM DRILL LOAD HAUL 1.1 min 7.6 min 3.0 min Dump+Spot Travel Empty 0% 50% 60% 70% 80% 90% 100% Availability% YTD-2018 LOADING Operating Standby Maintenance and Breakdown 1,912 5,728 66% 1,120 1,800 1,600 1, May ,471 74% 982 1,306 Operating time (%) 1,200 1, Ave ,898 67% 1,611 1, ,460 2,920 4,380 5,840 7,300 8,760 Performance (Hours) Primary Bucket Size (m 3 ) Major Relocation Clean-Up Repositioning Lhd Operator Inspection Total Event Duration Avg. Event Duration 12

13 The Optimised Fleet in Action Series Wrap-Up

14 Series Wrap-up A wrap-up of the fleet series and summation of the key learnings throughout the five webinars Mine Cost Breakdown Mining Cost Breakdown Key considerations: The cost of mining comprise more than half of a open mine s cost. Most of this cost is a factor of equipment condition and performance. Mining Overhead Processing 27% 20% 54% 15% 43% 19% 12% Ancilary Haul Load Blasting Drilling 12% Improvements target equipment design Series 1 Improvements target improved equipment health Series 3 Improvements target equipment energy efficiency Series 4 Improvements target equipment generated data Series 2 Equipment capability develop at a fast pace, followed by sensing and detecting technology Legislation and physical constraints hamper development in fuel industry, although a step change is viable here. Data is generated at a astronomical pace, analysis and advisory capability is adequate to optimise fleets today. Improvements target best practice Series 5 14

15 The Future? Undersea Mining More Drones / Robots New design Equipment In-pit crushing Autonomous Equipment 15

16 Thank you Kobus Potgieter

17 Panel Discussion 1. When considering current fleet management strategies and procedures, what continuous improvements can be explored to drive results now?

18 Panel Discussion 2. What innovations do you believe will lead to the next great step changes in fleet productivity?

19 Panel Discussion 3. Data remains a major consideration for mining companies in fleet management strategies, with significant amounts of information being generated in this space. How can miners derive greater value from their fleet data and what are the first steps to take on this journey?

20 Panel Discussion 4. The mining industry is often considered risk averse when it comes to innovation, possibly delaying deployment of new fleet technologies. What role does organisational culture play in changing this paradigm? In your experience, is it best to be a fast adopter or slow follower?

21 Panel Discussion 5. Looking at a decade from now and beyond, what does the mining fleet look like to you?

22 Audience Q&A

23 Optimising the Mining Fleet Series: On-Demand Part 1 Manufacturing the Future Fleet Part 2 The Advanced Fleet Part 3 Optimising Maintenance Measures Part 4 Fuel Management and Alternate Energy

24

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