New Technology & Innovation in mining

New Technology & InnovationFrom new to innovative – practical guidelines to enabling transformation in the mining industry

June 2016Mike Woodhall

New Technology & InnovationJune 2016 2

Copyright MineRP © 2016

New isn’t always new!

http://www.minerp.com/



Innovation versus Evolution…

Innovation requires change, and successful innovation means measuring the impact of that change on productivity, sales or growth

- Samsung Business Voice Team


DISRUPTIVE INNOVATION

New Ways of Computing Things

• Cloud Computing• Virtualization

New Ways of Doing Things

• Agile Enterprise Planning• Mining Automation

New Ways of Owning Things

• SaaS• PaaS



Is change really necessary?

Productivity

McKinsey, May 2015 Productivity in mining operations: Reversing the downward trend

Sustainability

52% of the Fortune 500

firms of year 2000 are gone

Fortune 500 Ranking 2015 - a Division of Time Inc

Agility

87% of CFOs believe they

need to analyze financial and

performance data more quickly

CFO Research – The next stage in creating the value added function

28% Decrease worldwide in mining operations over the last decade




Disruptive Innovation…

A disruptive technology is a new emerging technology that unexpectedly displaces an established one.

Clayton M. Christensen, an Harvard Business School professorThe Innovator’s Dilemma, 1997

DISRUPTIVE INNOVATIONNew Ways of

Computing Things

• Cloud Computing• Virtualization

New Ways of Doing Things

• Agile Enterprise Planning• Mining Automation

New Ways of Owning Things

• SaaS• PaaS




MTS Research

Proliferation of Mining Technical Applications due to a combination of factors including:• Geographical source

• Historical presence

• Mining method

• Technical disciplines

• Vendor competition

91323 VendorsExpert Systems

“Integrating fragmented systems cost up to 10 times as much as initial purchase price!”Paul Lucey, Head of Engineering and Projects, Gold Fields Australia




System C System F

Exploration Data

3D Ore body model, Block Model, Grade Model

Updated Geological Model

Design, Sequence, Schedule, Cost / Resource / Production Plans, LOM Plan

Tonnes removed, meters advanced, resources utilised

Utilities Bill of Materials, Equipment Plans

Sample data & Assay Results

Resource Reconciliation ReportPlan v Actual Reports

Mining Technical Systems are Fragmented

System BDiscover Beneficiate Sell RehabilitateEstablish Exploit

Health, Safety and Environment

Planning

Utilities and Engineering

Exploration Geo

Resource Geo

GeoTechnical

Surveyor

Production

Sampler

Safety, Hygiene, Medical, Env. Data

System ESystem A System D




Discover Beneficiate Sell RehabilitateEstablish Exploit

COLLABO

RATE

INTER-OPERATE323 Systems, 91 Vendors

System B

MineRP Amalgamates the Big Spatial Data

Survey

Safety

Mining

Geology

Environment

Engineering

System A System C System D System E System F

ERP INTEGRATIO

N

ENTERPRISE AN

ALYSIS & O

PTIMIZATIO

N

RELATE

TRANSLATE

AMALGAM

ATE





COLLABO

RATE


System B


Survey

Safety

Mining

Geology

Environment

Engineering


ERP INTEGRATIO

N

ENTERPRISE AN

ALYSIS & O

PTIMIZATIO

N

RELATE

TRANSLATE

AMALGAM

ATE

BIG NOISE





COLLABO

RATE


System B


Survey

Safety

Mining

Geology

Environment

Engineering


ERP INTEGRATIO

N

ENTERPRISE AN

ALYSIS & O

PTIMIZATIO

N

RELATE

TRANSLATE

AMALGAM

ATE

BIG NOISE

BIG DATA FOR MINING





COLLABO

RATE


System B


Survey

Safety

Mining

Geology

Environment

Engineering


ERP INTEGRATIO

N

ENTERPRISE AN

ALYSIS & O

PTIMIZATIO

N

RELATE

TRANSLATE

AMALGAM

ATE

BIG NOISE

BIG DATA FOR MININGBIG BUSINESS DATA




Spatial Big Data

Use Case – Fragmented to Amalgamated

Create RelateAmalgamate Relate

Standards-basedSpatial database

Spatial Information Visualization

323 Proprietary

file formats




Integrated Big Spatial Data for Mining

AmalgamateMTS Data

Lease Management

Exploration Data

Structural Models

Grade Models

Mine Designs

Planning Schedules

Survey Data


How Spatial Big Data will Digitally Transform your Enterprise

October 201515


Project FastForward in Anglo Platinum

In 2010, Frik Fourie, head of mining at Anglo Platinum was asked to optimize production and costs, safely.

Frik: Delivering on these key performance indicators (KPIs) requires accurate and uniform information from across the mining value chain – “one version of the truth”.

The challenge was to implement a single platform to integrate and manage the entire cross-discipline Mining Technical Dataset and establish connection with the ERP environment.

Business Issue

Business Objective:Integrating Production Information at the world’s largest platinum producer to achieve the production of safe, profitable platinum

Development of a spatial production monitoring system incorporating inputs from mine planning, mineral resource management, ventilation, safety, rock engineering and other sources with ERP integration.

The Integration Demand

Anglo Platinum implemented the MineRP Spatial Resource Planning platform, integrating mining technical information for the purpose of automatically highlighting variances to rules, thus enabling quick and accurate reaction to production challenges.

MineRP’s platform was able to display wide-ranging information in a single dashboard, covered information from a variety of sources including Geology, Planning, Survey, Rock Engineering, Ventilation, Health and Safety, HR, and process information.

The MineRP Solution

“The accuracy in production forecast increased significantly from a 30% variation to less than 3%, which creates a huge amount of credibility for the team.”

- Frik Fourie, Head of Mining

The Outcome

How Spatial Big Data will Digitally Transform your Enterprise

October 201516


MTS Spatial Data Integration and Reporting at Petra Diamonds

In 2014 Petra Diamonds conducted a ‘brown paper’ analysis at Cullinan and Finsch Diamond Mines on existing business processes. The main focus was to map mining technical systems, associated business processes and reporting.

The challenge was to replace current, inefficient business management processes and systems with a spatially integrated, centralised mining information management platform.

Business Issue

Business Objective:Improved decision making and operational excellence through access to a centralised, standardised platform for mining data.

The integrated solution had to cater for both horizontal integration between previously fragmented mining technical systems, and vertical integration from remote sites to a central head office.

The Integration Demand

Petra Diamonds implemented the MineRP in One solution. The implementation covered the integration of 26 fragmented mining technical solutions from various providers onto three instances of MineRP SpatialDB. This allowed for local efficiencies as well as central head office access and oversight.

28 Production Key Performance Indicators spanning the areas such as Geology, Geotechnical, Long Term Planning, Survey, Block Caving , Sub Level Caving, Ring Drilling and Blasting and even Plant Production was addressed.

The MineRP Solution

Data generation inconsistencies prompted standardization across the business. Together with spatial integration, this resulted in reliable capabilities to do spatial analytics at any level of the organization.

- Lawrence Mokgalaka

The Outcome

Source: Lawrence Mokgalaka, SAIMM Diamonds Still Sparkling Conference, Botswana, Gaborone, 14-16 March 2016



3D Visualisation & Animation of combined KPI’s at Petra Diamonds• Use data from sources on the current business processes to provide amalgamated Mine Technical

Services (MTS) data, for Reporting on business KPIs, in a spatial format.




Planning Assumptions

Disruptively rethinking the way business planning works

Mediation

Platforms

Extraction Planning Financial Planning

Design

Schedule

Profile

Multiple Extraction Plan

Options


Production

Operational Control

Stores

Sales

Labour

Budget PlanningOptions

Costing

Demand

Operational Control

Multiple extraction scenarios delivered in a single day via MineRP Planner with continuous adjustments prompted by alternative budget planning and operational realities.

Multiple Budget scenarios based on both commercial assumptions and actual geology, mine plans and schedules, updated dynamically through advanced analytics

Actual operating costs, resources, durations, volumes, quantities and grades utilised as inputs into both mining and budget planning





Disruptively rethinking the way business planning works

Mediation

Platforms

Extraction Planning Financial Planning

Design

Schedule

Profile

Multiple Extraction Plan

Options


Production

Operational Control

Stores

Sales

Labour

Budget PlanningOptions

Costing

Demand

Operational Control

Multiple extraction scenarios delivered in a single day via MineRP Planner with continuous adjustments prompted by alternative budget planning and operational realities.

Multiple Budget scenarios based on both commercial assumptions and actual geology, mine plans and schedules, updated dynamically through advanced analytics

Actual operating costs, resources, durations, volumes, quantities and grades utilised as inputs into both mining and budget planning

Disruptive Enterprise Planning

Delivered through seamless integration of mining planning systems, enterprise

resource planning systems, and operational control systems.




iABOUT USwww.minerp.com

Mike WoodhallMining ExecutiveMineRP


New Technology & Innovation in mining

Technology

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