Examination of alternative mining methodologies that have the potential to increase productivity at the mine site

Transcription

1 Examination of alternative mining methodologies that have the potential to increase productivity at the mine site Keith Whitchurch PT SMG Consultants

2 SMG Consultants Who are we? SMGC has been consulting internationally for over 44 years with a staff of highly experienced and accredited full-time professionals. Consultants cover a comprehensive range of disciplines, and their international experience covers most types of mining and minerals

3 Founded 1966 Australian operation sold to GHD Mid 2009 Independent Jakarta Headquartered Consulting group

4 A slight change in Title Examination of alternative mining methodologies that have the potential to increase productivity at YOUR mine site

5 THE FOCUSING QUESTION which mining options on the basis of improved costs and productivities and reduced risks should be applied to your project?

6 Mining Methods Focus on Overburden Conventional Loader and Truck Excavator to Semi Mobile crusher Excavator to Mobile Crusher Bucket wheel to Conveyor Dozer to conveyor Dozer to Final spoil Dragline

7 Loader and Truck

8 Mining Technique - Truck Shovel Trucks can haul from anywhere in pit direct to waste

9 Dimension 1 Type of Excavator CONVENTIONAL HYDRAULIC EXCAVATOR OR ELECTRIC SHOVEL / TRUCK ON WASTE Options Large excavator (26 cu m) Large electric shovel (48 cu m) Dependent qualities Diesel power Trailing cable; ground pressure 2 Bench layout Bench height Panel dimensions Time between minor relocations Time between major relocations 3 Size of Truck Cat 777 / Komatsu HD785 (100t) Cat 785 (136t) Cat 789 (177t) Cat 793 (218t) Ground pressure Tyre availability

10 CONVENTIONAL LARGE EXCAVATOR / TRUCK Known methodology Minimum Capex by Client Contractor owns equipment Ease of changes in production rate Expected production = ~ 9 Mbcmpa per fleet Large fleet size for high production rates No leverage to reduce operating costs

11 ELECTRIC SHOVEL / TRUCK Larger bucket size Larger bench height (20m) for decreased bench moves Minimum Capex by Client Contractor owns equipment Ease of changes in production rate Expected production = ~18 Mbcmpa per fleet Uncommon methodology to Indonesia Ground conditions shovel prone to bogging ramification of wiping out cable reeler Needs larger trucks to realise produciton gains again ground conditions Electric shovels require operational discipline respect for cables; correct gradients on benches; correct blasting Limited leverage to reduce operating costs

12 Excavator to Semi Mobile Crusher

13 Excavator to Semi Mobile Crusher

14 Spreader Generation 1 & 2 Generation 1 Goonyella 7,000tph? Generation 2 Mae Moh, Thailand 20,000tph

15 Spreader Generation 3 and 4 Generation 3 Low Profile Spreader With track shiftable conveyors Generation 4 RAHCO system Fully mobile spreader conveyor (MSC)

16 Trucks can haul to crushers from anywhere in pit or haul direct to waste Mining Technique - Truck to Crusher

17 EXCAVATOR OR SHOVEL TO IN-PIT CRUSHING (ON WASTE) Dimension 1 Type of Excavator Options Large excavator (26 cu m) Large electric shovel (48 cu m) Dependent qualities Diesel power Trailing cable; ground pressure 2 Bench layout Bench height Panel dimensions Time between minor relocations Time between major relocations 3 In-pit crusher system Semi-mobile crusher Mobile crusher Bandwagon to feed pit conveyor Crusher rates Conveyor rates No. of pit conveyors No. of spreaders

18 Dictated by design capacity Same as for Loader/Truck Loading Type

19 DIGGER TO TRUCKS TO SEMI-MOBILE CRUSHER TO CONVEYOR Proven methodology in tropics (e.g. Mae Moh) Multiple installations give high production rates Expected production of 2 x 5000 tph crushers = ~ 25 Mbcmpa Potential to reduce operating costs Flexibility in trucks feeding from RL of +/- 20 to 30m from crusher level More flexible than full conveyor system Able to divert diggers to alternate work areas while coal / IB being extracted Able to divert trucks to lower levels when system is out-of-action Degree of Capex by Client Initial installation locks in production rate High Capex to increase production Optimum for large working area Requires balance of upper / lower pit production Failure of one component in continuous system stops upper pit production Less flexible than total truck system Geotechnical failure = catastrophic

20 Mobile Crusher Generation 1 & 2 O&K Generation 1 Ulan MMD / P&H Generation 2 Goonyella Tertiary Overburden

21 Mobile Crusher Generation 3 Krupp Generation 3a China Generation 3b Clermont Mantakraf / Abon

22 Excavator to Mobile Crusher

23 Excavator to Mobile Crusher

24 Mining Technique - Combination System System can only operate efficiently in large interburdens

25 DIGGER TO MOBILE CRUSHER TO CONVEYOR Multiple installations give high production rates Expected production of 1 x tph crusher = ~ 12 Mbcmpa (fed by L996 excavator) Potential to reduce operating costs by eliminating trucks Unproven methodology in tropics Degree of capex by Client High capex (incl. 4 x conveyors) Initial installation locks in production rate No flexibility Needs large working area Unable to work system in coal / IB zones Requires balance of upper / mid-level / lower pit production Needs mid-level system such as semi-mobile crusher fed by trucks Failure of one component in continuous system stops production Bogging of tracks of mobile crusher Geotechnical failure = catastrophic

26 Bucket wheel excavator to Conveyor

27 Bucket wheel excavator to Conveyor

28 Bucket wheel excavator to Conveyor

29 Mining Technique - Combination System System can only operate efficiently in large interburdens

30 BUCKET WHEEL EXCAVATOR TO CONVEYOR Dimension 1 Type of Excavator Options Compact unit Design to specific site Dependent qualities Dig rate anything to bcm/hr Ground pressure 2 Bench layout Bench height Panel dimensions Time between minor relocations Time between major relocations 3 Materials handling system 4 x conveyors Bandwagon to feed pit conveyor Spreader Conveyor rates No of pit conveyors No. of spreaders

31 BWE TO CONVEYOR Proven methodology in tropics (e.g. Jorong; Bukit Asam) Single installation for high production rates Expected BWE production up to 1 x bcm/hr = ~ 18 Mbcmpa Potential to reduce operating costs by eliminating trucks Degree of capex by Client High capex (incl. 4 x conveyors) Initial installation locks in production rate No flexibility Needs large working area Unable to work system in coal / IB zones Requires balance of upper / mid-level / lower pit production Needs mid-level system such as semimobile crusher fed by trucks Failure of one component in continuous system stops production Suited to material blasting? stickiness? Geotechnical failure = catastrophic

32 Push Dozer to Mobile Crusher

33 Push Dozer to Mobile Crusher

34 Mining Technique - Combination System System can only operate efficiently in large interburdens

35 DOZER TO FEEDER TO CONVEYOR (ON WASTE) Dimension 1 Type of Excavator 2 Bench layout 3 Materials handling system Options Dozer D11R Carry Dozer Komatsu 575 Super Dozer Bench height Panel dimensions Size & capacity of Stammer breaker / feeders 4 x conveyors Dependent qualities Dig rate est. 450 to 500 bcm/hr per dozer Time between minor relocations Time between major relocations Bandwagon to feed pit conveyor Spreader Conveyor rates No of pit conveyors No. of spreaders

36 DOZER TRAP TO CONVEYOR Single installation for high production rates Expected dozer trap production of 2.5 to 3 Mbcmpa per dozer Potential to reduce operating costs by eliminating trucks Relatively cheap capex and opex of dozers compared to other continuous systems Dozers may be used on other tasks during system outages Unproven methodology in tropics Degree of capex by Client High capex (incl. 4 x conveyors) Initial installation locks in production rate No flexibility Needs large working area Unable to work system in coal / IB zones Requires balance of upper / mid-level / lower pit production Needs mid-level system such as semi-mobile crusher fed by trucks Failure of one component in continuous system stops production Suited to material able to increase face height beyond 25m? Geotechnical failure = catastrophic

37 Push Dozers To Final spoil

38 Push Dozers To Final spoil

39 Example Dozer Method X Section Truck Spoil Dozer Spoil Mined out Dozer Truck Shovel Blast Dozer Pass and Then Truck Shovel Pass Truck Spoil Dozer Spoil Mined out Dozer Truck Shovel

40 Example Dozer Method X Section Dozer Pushes Ramp through Blast at Panel Truck Spoil Dozer Spoil Mined out Dozer Truck Shovel Prestrip mined and hauled cross pit Truck Shovel Truck Spoil Dozer Spoil Mined out Dozer

41 Example Dozer Method X Section Dozer Push to Final Leaves Highwall Wedge Truck Shovel Truck Spoil Dozer Spoil Dozer Shovel Truck Clears Highwall Wedge and Low wall rehandle Rehandle Wedge Highwall Wedge Truck Shovel Truck Spoil Dozer Spoil

42 DOZER PUSH TO FINAL Expected dozer production of 2.5 to 3 Mbcmpa per dozer Relatively cheap capex and opex of dozers compared to other systems Dozers may be used on other tasks Unproven methodology in Indonesia Needs large working area Requires highly disciplined approach Unable to work system in coal / IB zones Requires truck/loader support Geotechnical failure Application limited by deposit geometry/geology Bulk dozer push requires specially rained operators

43 Dragline

44 Dragline

45 Truck Shovel Prestrip

46 Blast Top Pass

47 Dozer Push Top Pass to Form Bench

48 Dragline to bench

49 Dragline Removes First Pass Truck Shovel mines Coal

50 Blast Second Pass

51 Dragline chops Highwall and extends bench

52 Dragline sits on bench and removes remainder of second pass

53 DRAGLINE Single installation for high production rates Expected 14Mbcm to 25Mbcm pa Potential to reduce operating costs by eliminating trucks Very low opex Not impacted by Rain Very long asset life > 30 years Unproven methodology in Indonesa Degree of capex by Client High capex Initial installation locks in production rate No flexibility Needs large working area Limited application by deposit geometry/geology Unable to work system in coal / IB zones Generally needs a prestrip system Exposure to failure of a single unit Modern high productivity spoil side operations unlikely due to geotechnical constraints Geotechnical failure = catastrophic

54 WHICH ONE IS FOR YOU? which mining options on the basis of improved costs and productivities and reduced risks should be applied to your project?

55 HOW DO WE DECIDE WHAT IS BEST IN YOUR DEPOSIT

56 Decision Criteria Starting List by consensus Capital Cost Operating Cost Exposure to escalation of Operating Costs Practicality degree of compatibility with this site Mining complexity Risk of technical failure % of production applicable to the method Operating hours per year Material conditions (as applied to impact on method) Timing of implementation (lead time) Availability of technology and parts Local Skills Geotechnical stability / consequences of failure Acceptability to international banks for finance Hydrology consequences of water inflow

57 Weightings determined independently and pooled Weighting 1 = unimportant, 10 = important SMGC Contractor SMGC Client Average Description of Criteria weighting weighting weighting weighting Weighting Capital cost (size of capital cost) Operating cost (indicative relativity for method) Exposure to escalation of Operating Costs Practicality - degree of compatibility to TOP site Boxcut (implications of external dumps) Mining Complexity Risk of Technical Failure % of Production Applicable to method Operating hours per year Material Conditions (as applied to impact on method) Timing of Implementation / lead time Availability of Technology and Parts Local Skills (degree where lack of skill = high probability of failure?) Geotechnical - Consequences if geotech failure Acceptability to International Banks Hydrology - Consequences on method of water inflow

58 Capital Cost Operating Cost Exposure to escalation of Operating Costs Practicality degree of compatibility with this site Mining complexity Risk of technical failure % of production applicable to the method Operating hours per year Material conditions (as applied to impact on method) Timing of implementation (lead time) Availability of technology and parts Decision Criteria Rank From 1 to 10 average of participants Local Skills (degree whereby lack of skill = high probability of failure Geotechnical stability / consequences of failure Acceptability to international banks for finance Hydrology consequences of water inflow

59 Raw Scores per Option Determined by technical analysis (SMGC) HE / shovel HE / shovel Dozer to Dozer push; Hydraulic Electric Front End to Truck to to fully Bucket feeder Dragline; combination Excavator Shovel Loader Semi-mobile mobile Wheel to breaker to proportion excavator Description of Criteria to Trucks to Trucks to Trucks Crusher Crusher Conveyor Conveyor of waste & trucks Capital cost (size of capital cost) Operating cost (indicative relativity for method) Exposure to escalation of Operating Costs Practicality - degree of compatibility to TOP site Boxcut (implications of external dumps) Mining Complexity Risk of Technical Failure % of Production Applicable to method Operating hours per year Material Conditions (as applied to impact on method) Timing of Implementation / lead time Availability of Technology and Parts Local Skills (degree where lack of skill = high probability of failure?) Geotechnical - Consequences if geotech failure Acceptability to International Banks Hydrology - Consequences on method of water inflow

60 Raw Scores per Option Determined by technical analysis (SMGC) HE / shovel HE / shovel Dozer to Dozer push; Hydraulic Electric Front End to Truck to to fully Bucket feeder Dragline; combination Excavator Shovel Loader Semi-mobile mobile Wheel to breaker to proportion excavator to Trucks to Trucks to Trucks Crusher Crusher Conveyor Conveyor of waste & trucks

61 Comments on Ranking Ranking 1: Conventional hydraulic excavator and trucks has been ranked as the highest or equal highest in 14 of the 16 categories. Such systems benefit from flexibility and simplicity, low total capital cost and acceptability to international banks. The only negative aspects are high operating cost and likelihood of future increases in those costs. Ranking 2: The second choice is a variation of the top ranking, with dozer assist to conventional hydraulic excavator and trucks. This system scored similarly in most categories as the conventional use of hydraulic excavator and trucks; but lost points from the additional complexity and probability of technical failure. Ranking 3: The third choice is the loading mechanism of an hydraulic excavator or electric shovel dumping to a semi-mobile crusher. This system gains in terms of operating cost criteria; but loses against capital costs, size of boxcut to establish, the degree of complexity added by a conveyor spreader system and the related issue of acceptance to international banks. Ranking 4: The fourth option is waste moved by a fleet of dozers pushing to a lowcapital cost but high throughput feeder-breaker to a conveyor system. Such a system scores well on operating cost and practicality to the thick overburden task at this project. The dig side of a dozer operation is not affected by rain; the dozer faces could be designed in excess of 20m to decrease the frequency of system moves, and the method handles poor material conditions. The downside would be the high capital cost of conveyors and spreader, size of boxcut to establish and the degree of complexity added by a conveyor spreader system.

62 Ranking 5: Waste mining up to 50Mbcm per year with a fleet of large front-end-loaders is a poor option on both practical and technical grounds. These machines would not be able to match the superiority of hydraulic excavators for production time or ability to handle the soft ground conditions Ranking 6: The ranking of the waste systems has eliminated the concept of the fully-mobile MMD-style crusher being fed directly by an hydraulic excavator or electric shovel. Again this option scored highly on the operating cost factor. It suffered on non-suitability to the pit geometry due to high inherent system capacity (to match peak production later in mine life); need for frequent moves down 20m high benches and resultant low work hours per year; high capital costs; size of boxcut to establish; the degree of complexity added by a conveyor spreader system and the related issue of acceptance to international banks. Ranking 7: The option of electric shovel to trucks loses against the hydraulic excavator in the two aspects of complexity (relating to the need to design, plan and maintain procedures associated with the electric cables and substation) and in material conditions (being the consequences of machine bogging with resultant damage to rear cable reel). Ranking 8: The dragline option has been ruled out on the basis of poor technical application. The concept of a single large and unique (to Indonesia) dragline operation with the responsibility of all coal exposure task would be a high risk option with multiple areas for failure (such as high degree of complexity; poor material stability under the machine; lack of local skills and discipline vital to successful dragline application). Ranking 9: The ranking of the waste systems has eliminated the BWE which scored highly on one factor only (cost). It scored badly on material conditions (due to the likely presence of soft sticky material in small buckets); and on all other criteria.

63 Conclusions These conclusions are for this example project only Options 1 to 3 are Conventional Hydraulic excavator to truck Dozer assist of Conventional Hydraulic excavator to truck Hydraulic excavator or Electric shovel to fully mobile in pit crusher/conveyor These 3 options require further detailed study

64 Conclusions A range of options are open The best option depends on a wide range of factors The best option for someone else's project is not necessarily the best option for your project There is no substitute for in country experience in guiding this decision making process

65 Thank You