MINING INTELLIGENCE Sat 13/03/2010

Loaded with the wrong information

March 9 - 15, 2010

WHY do mines end up with trucks which are not able to carry their nominated payload? What is the problem with truck capacity? SAE Standard J-1363 is still used by most suppliers of truck bodies to define the capacity. However, with the advent of larger and larger trucks (and loaders) more sophistication is demanded of the truck tray capacity.

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Why truck and loader matching is so hard

February 23 - March 1, 2010

I HAVE seen many examples of trucks being loaded perfectly in two-and-a-half or three-and-a-half passes.  As I said in the last column, for many mines the issue of matching truck capacity to loader capacity is problematic and more often than not results in a majority of trucks being under-loaded. As trucks and loading units increase in size the number of passes required to fill the truck is decreasing and the difficulty in attaining the match is becoming more difficult.

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Truck and loader matching shouldn't be so hard

February 16 - 22, 2010

FOR MANY mines the issue of matching truck capacity to loader capacity is problematic and more often than not results in substantial inefficiency. As trucks and loading units increase in size the number of passes required to fill the truck is decreasing and the difficulty in attaining the match is becoming more difficult.

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Mining and complexity - paradigm, paradox or parody?

February 2 - 8, 2010

I INTRODUCED the issue of complexity in my last article and stated that there is little evidence in opencut equipment production data that “complexity” plays any role in decreasing equipment productivity over time. This is a controversial view in the mining industry, particularly the large mining companies where increasing complexity has been used as an excuse for falling equipment productivity rates for some years now.

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Complexity and productivity

January 19 - 25, 2010

IF YOU were to ask a mining executive why their mine’s equipment performance had reduced over time, apart from spluttered expressions of disbelief from some you would certainly get the issue of mining complexity fairly high in the excuses. This is because site people use this excuse almost universally when asked why their performance has reduced. It seems logical that mines dig the easiest/most profitable areas first and conditions do generally become more difficult over time.

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Equipment use the new battle front

December 21 - 27, 2009

WE WORK in an industry which has a seemingly unique ability to survive and prosper despite itself.  We can track the Australian mining industry back to 1846 when copper was discovered in South Australia and see that the vast majority of people and companies involved in mining do not succeed.  Obviously there are some notable exceptions. How many companies listed in the mining section of the stock exchange 20 years ago are still trading now? Very, very few.

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Recognising innovation

December 14 - 20, 2009

AUSTRALIANS on the whole are not overly innovative and regularly fall below average in measures of innovativeness across countries around the world. There is little doubt that this contributes to poor equipment performance.

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Mining and the CPRS

December 7 - 13, 2009

WHETHER you like it or not a carbon tax is coming. It may be delayed, but make no mistake it is coming. The coal mines alone are going to have to fork out an additional $A12.5 billion dollars over the next 10 years just to do business in the new “low-carbon” economy while gold mines will pay around $2 billion and nickel mines around $1.5 billion. I was in Canberra last week and managed to listen to some of the debate on the CPRS. It is pretty disturbing.

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Costs and mine planning

November 23 - 29, 2009

IN THE area of cost prediction and financial analysis the same issues with original equipment manufacturer (OEM) and third party provision of information exist as in production information. The bottom line is financial analyses are regularly not delivering the right answer for appropriate decision making.

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Proof is in the pudding

November 16 - 22, 2009

MINING companies don’t have the equivalent of the magic pudding (with apologies to Norman Lindsay for the analogy). They have limited resources with which to create a return for their shareholders and as they are mined they deplete. For all mining companies there is continual pressure to turn resources into a financial return.

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Productivity and mine planning (part II)

November 9 - 15, 2009

THIS WEEK we will again visit the subject of mine plans not delivering quality information for appropriate decision making. Why haven’t shareholders and the stock exchanges held company boards accountable for poor decisions on how to proceed with mining a particular resource or whether to proceed at all?

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Productivity and mine planning (part 1)

November 2 - 8, 2009

THE return from many mining operations has been continually undermined by mine plans which either can’t be implemented or when implemented simply don’t provide the expected results. There are some amazingly smart, technologically-advanced tools available for mine planning but they are being rendered useless by a poor approach to data and knowledge.

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Productivity prediction - fact or fantasy (part II)

October 26 - November 1, 2009

SO WHOSE fault is it that mining equipment routinely falls short of predicted performance?

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Productivity predictions - fact or fantasy?

October 19 - 25, 2009

LAST week I introduced the productivity paradigm; fill it up and do it more often. However, something came across my desk this week which has caused me to diverge.

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A productivity paradigm

October 12 - 18, 2009

I HAVE addressed issues relating to productivity and why working on a mining solution rather than a business improvement solution is important for the mining industry. The most important strategic ability a mine can have is to be able to implement value-adding change. It is interesting when studying data from best practice operations in Australia to see that performance levels increase each year. It might be 2% one year, 3% other years or it might flat-line, but the trend is unmistakable.

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Productive thinking needed most

October 5 - 11, 2009

THE mining community must think more about productivity, which is about attitude more than any other factor. Much can be learnt about the theory behind operating different pieces of equipment and improving productivity, but if the mine does not have a ‘culture of productivity’ then achieving best practice is virtually impossible.

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When to spend

September 28 - October 4, 2009

I HAVE introduced a number of broad-based productivity issues in the past few articles. The question is, when is the best time to invest in productivity enhancement?

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Improved performance through knowledge-intensive mining

September 21 - 27, 2009

IN PREVIOUS columns I addressed the issue of poor use of knowledge and value adding through innovation. I have been quite negative about how the Australian mining industry is performing in this area. So instead of continuing in this vane the aim this week is to describe the process and the culture which will form the foundation of improved performance through knowledge-intensive mining.

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From knowledge to innovation

September 14 - 20, 2009

PREVIOUSLY I discussed the creation of knowledge and adding value through change. The big step forward which is needed for the mining industry is a better understanding of the link between knowledge and innovation.

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Knowledge and innovation

September 7 - 13, 2009

THE two steps in improving equipment performance are to gain knowledge and to do something with the knowledge (innovation).

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Turning data into dollars

August 31 - September 6, 2009

THIS WEEK I intend to look at how the vast amounts of data which are generated on mining equipment can be turned into productivity and profitability. This is what I call “bottom line” services

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Low marks and the tests some people won’t take

August 24 - 30, 2009

IN THE last column I provided some data on the overall performance of the Australian mining industry. If I can reiterate; worldwide best practice excavator performance is up to 41% higher than what is currently being achieved on average. The same can be said for shovel performance where best practice is 37% higher than what is currently achieved on average; best practice trucks, 57%, draglines, 36%, and drills, 286%. I have the empirical data to prove it.

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Australian mine productivity in the dumps

August 17 - 23, 2009

MANY mine operators believe that 21st century opencut mining in Australia is a mature and efficient exercise. They are wrong. It might be mature but it is certainly nowhere near as efficient as it should be. This is despite significant changes achieved over the past 20 years which have come about through the reduction of restrictive work practices and structural change in the industry.

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