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Production OptimizationDigital Mining Transformation
Confidential Property of AVEVA Group plc.
Ammar Wahab
Global BDM – Mining, Minerals & Metals
Production Planning Vulnerabilities
Some Potential Solutions
Cause Effect
Forecasts• Predictive Analytics
• Feed Grade
• Weather Condition
Equip/Process Failures• Downtime / Delay Accounting
• Predictive Maintenance
Production Loss• Real-time OEE
Ore Grade• Reconciliation
• Quality tracking
Accurate Inventory• Inventory Accounting
• Metal Accounting
Scheduling• Rescheduling
• Optimisation
Teamwork• Digital Workflow
Conformance
To Plan• KPI Analysis
Cost Predictability• Production Accounting
Achieve
Financial
Objectives
Process Stability• APC / Optimisation
• Operator Training
Cause Effect
Production Planning Vulnerabilities
Example Implementation Sequence of Solutions
STABILIZE
Production Loss• Real-time OEE
Accurate Inventory• Inventory Accounting
• Metal Accounting
Cost Predictability• Production Accounting
Process Stability• APC / Optimisation
• Operator Training
Equip/Process Failures• Downtime / Delay Accounting
• Predictive Maintenance
Scheduling• Rescheduling
• Optimisation
Teamwork• Digital Workflow
Forecasts• Predictive Analytics
• Feed Grade
• Weather Condition
Ore Grade• Reconciliation
• Quality tracking
Conformance
To Plan• KPI Analysis Achieve
Financial
Objectives11
1Achieve
Financial
Objectives
Do
Check
Cause Effect
Production Planning Vulnerabilities
Example Implementation Sequence of Solutions
CONTROL
Production Loss• Real-time OEE
Accurate Inventory• Inventory Accounting
• Metal Accounting
Cost Predictability• Production Accounting
Process Stability• APC / Optimisation
• Operator Training
Equip/Process Failures• Downtime / Delay Accounting
• Predictive Maintenance
Scheduling• Rescheduling
• Optimisation
Teamwork• Digital Workflow
Forecasts• Predictive Analytics
• Feed Grade
• Weather Condition
Ore Grade• Reconciliation
• Quality tracking
Conformance
To Plan• KPI Analysis Achieve
Financial
Objectives11
1 2
22 2
Achieve
Financial
Objectives
Do
CheckAct
Cause Effect
Production Planning Vulnerabilities
Example Implementation Sequence of Solutions
OPTIMIZE
Production Loss• Real-time OEE
Accurate Inventory• Inventory Accounting
• Metal Accounting
Cost Predictability• Production Accounting
Process Stability• APC / Optimisation
• Operator Training
Equip/Process Failures• Downtime / Delay Accounting
• Predictive Maintenance
Scheduling• Rescheduling
• Optimisation
Teamwork• Digital Workflow
Forecasts• Predictive Analytics
• Feed Grade
• Weather Condition
Ore Grade• Reconciliation
• Quality tracking
Conformance
To Plan• KPI Analysis Achieve
Financial
Objectives11
1 2
22 2
33
3
Achieve
Financial
Objectives
Plan Do
CheckAct
How? Start with Achieving Financial Objectives
Are you
meeting your
financial
expectations?
Are meeting
production
targets a
challenge?
Are cost
containment
issues a
problem?
Is consistency
of work and
productivity an
issue?
Are your
processes
stable and
predictable?
How well can
you visualize
and monitor
your process?
• Plan/schedule conformance
• Cost control & predictability
• Accurate inventories
• Optimized capacity plan
• Agile schedule
• Production Accounting
• Consumable & cost tracking
• Effective work & task mgmt.
• Operator training
• Downtime management
• APC and Asset mgmt.
• De-bottleneck
• Situational Awareness
• Analytics & Intelligence
• Integrated ops
Asset OptimizationOperational EffectivenessSupply Chain Optimization
Production Optimization
– Stabilise and Optimise your operations
1. Weibull Analysis to define Maximum Sustainable Rates (MSR) • Real Time Productivity
2. Mining Operations Management-• Downtime/ Delay Accounting,
• Production, Metrics and Dashboards
• Energy Management
3. Advanced Process Control• Grinding, Crushing, Flotation, Smelting
Production Optimization
• All continuous operations should use production targets based on MSR and not on Demonstrated Rates.
MSR method is least used and often not understood as many processes do not know or have the means to
determine the metric, let alone measure it in real time.
• It is important to know the differences as small improvements at the bottleneck of a process is like a lever
that will produce significant productivity gains.
• The Weibull analysis method is used to determine the MSR of the process. This technique helps to define
what is physically achievable based on quantification of process reliability. It will provide answers to
questions such as:
• Do I have a reliability problem or a production problem?
• What is the MSR of my plant that will improve productivity?
• How are the efficiency and utilization losses impacting my operations?
• What are the asset and process reliability of my plant?
• What is the value and business case opportunity?
• Weibull analysis technique is used to define demonstrated rate and MSR of the process, identifying the
difference between asset reliability and productivity losses. This provides a clear understanding of the
potential productivity improvements, business case and ROI.
Weibull Analysis to define Maximum Sustainable Rates (MSR)
Delta between DR & MSR -
11,660 vs 12,332
Approx 6% improvement
Indicates potential improvement
opportunity of
672 t/shift or
1,344 t/d or
490,560 tpa
Actual Case study for mining operation
Slope of 3 = poor performance
Slope of 6 = good performance
Production OptimizationWeibull Analysis Method
Overview
• Ampla Real Time Productivity (RTP) offer is a packaged
Ampla solution that is pre configured to include all
reporting points, hierarchy and reports to quickly deploy
the offer on top of existing Ampla projects or can be
delivered in the traditional way.
• Aveva’s MES offering Ampla and subject matter
expertise are being used in a new approach that has
taken the old OEE lag indicator to real time lead
indicator.
• The solution utilises the integration of instrumentation
and control systems to provide information to Ampla that
help Operators to operate the process on the fly to run
their plant just below the point of failure at the Maximum
Sustainable Rate (MSR).
Focus On Increasing Productivity
Business Benefit
• High business impact – focus on burning business
issue (constraint) with high visibility & high ROI
within 3 months of deployment
• Rapid deployment model – 2 months from business
requirement definition to installed solution
• Scalable – can extend functionality to cover asset
performance management without any impact or
loss of focus to productivity through the bottleneck.
• Minimal CAPEX – by organically growing the
solution to cover asset downtime minimises CAPEX
and maximises return on investment.
Production OptimizationAmpla Real Time Productivity
Production Optimization
Ampla Downtime facilitates the capture of downtime information, which is an important indicator of
production performance and reliability.
Downtime is time during which production has stopped or production is below a specified target
rate. Recording the root cause of production downtime is the first step to reducing production
losses
> Key Functions
• Data collection – Automatic record creation on occurrence of a downtime event or manual entry.
• Editing and validation – Adding of additional downtime details and downtime event confirmation
through the client interface.
• Information view and analysis – Data presentation for analysis.
> Need to understand the root cause of delays for the following reasons
• Delivers the information needed to improve efficiency, optimize uptime, and increase profit.
• Breaks down complex issues into common causes and enables managers to address problems
proactively.
• Identifies the cause and effects of the production process to enable managers to prioritize
maintenance and optimize uptime.
• Enables you to continuously improve in reducing costs and streamlining operations by increasing
visibility in operating process and equipment dynamics.
• Automatically captures downtime events to remove the inaccuracies and inconsistencies of
manual reporting systems.
AmplaDelay Accounting
From: Historian Manual Entry
Loss Events and process data at time of
loss event (for root cause analysis)
To Operations
Constraints, Losses
and Process
Performance
To Business
Improvement
Loss root-cause
analysis
Delay Accounting
Production Optimization
Ampla Production generates an accurate and real-time picture of exactly
what is happening during your production process. It does this by
automatically logging all the inputs and outputs of the plant, including
materials, consumables, energy, waste, emissions, reject and product
output.
• Key benefits:
• Generates clear and concise product information that allows for continuous efficiency
improvements, increased production and reduced time wastage, errors and costs.
• Produces powerful production reporting across multiple production lines or plants.
• Compares production lines quickly and efficiently using a data roll-up function.
• Connects seamlessly to existing business systems, which allows for tight integration
with the company’s IT infrastructure.
• Allows quick access to real-time intelligence tailored to your needs anywhere on your
intranet, including:
• Actuals versus targets
• Consumption per unit output
• Emissions and compliance with regulatory restrictions
• Production information grouped by field (for example, shift, crew, product type)
Production Management
Production Optimization
Ampla Metrics aggregates data from other Ampla modules to calculate real-time Key Performance
Indicator (KPI) results that accurately reflect the status and trend of production. KPIs focus on efficiency
and effectiveness in production. Digital dashboards present the KPIs to management (and stakeholders)
by using a variety of easy-to-use dials, graphs, and indicators to suit each user’s requirements.
• Key Functions
•Consolidation of reporting across the plant and across the supply chain•Includes Delay Reporting and Metal Balance Reporting
•Custom reports for specific roles within the operations
•Key Performance Indicators (KPI) to track actual versus plan
•Performance analysis to allow for actions and/or business improvement initiatives
• Important to Operations staff because:
• Improves process efficiencies with a real-time overview of production status and trends.
• Presents a real-time summary of current production through a digital dashboard that you can customize to suit users’
needs.
• Allows access to more detailed information through ‘drill-down’ dashboards.
• Uses data, definitions, and values used by other Ampla modules, thereby reducing the time required for
configuration.
• Enables fast and accurate reporting for better business decisions by giving all users access to the same source
data.
• Provides insights into the operational variables that impact operations performance and plans• Gives the planners/schedulers better understanding of cause-effect of operational events
• Used to create tasks and/or action plans to mitigate the unplanned losses that occurred
LIMSMES Delay
Accounting
MES
Inventory
Planning &
Scheduling
Production
Dashboards- KPI’s
- Analytics
- Production Reports
- Asset Performance
- Production Plans
- Logistics
Historian
To Business Users
Examples: Production, Planners,
Schedulers, Maintenance,
Reliability, Accountants, Managers,
etc
Statistical
Mass
Balance
Production Reporting and Metrics
Pag
e 14
“The asset utilization project is already delivering
significant results. We have achieved around 10-20%
capacity improvement globally. Sepon and Kinsevere
continue to operate 12% and 34% above nameplate
capacity respectively, contributing a further 29,422
tonnes of copper production in 2015 compared to the
year ended 2014.’’
Dan Curry, Group Manager Processing Operations
The Company
MMG operates and develops copper, zinc and other
base metals projects across Australia, the
Democratic Republic of the Congo (DRC), Laos and
Peru. It also has significant exploration projects and
partnerships across Australia, Africa and the
Americas.
Case Study Online
MMG OEE Case Study
Case StudyIncrease Production by 10% by Improving Overall Equipment Effectiveness (OEE)
Confidential Property of Schneider Electric
Operations Improvement Enabler for Mining & Metals Industry (100+ sites)
Moranbah North
Kimberley Diamonds
Venetia Diamonds
Voorsped Diamonds
Minas Rio Iron Ore
Rio Tinto Coal (3 sites)
ERA Uranium
WA Iron Ore (15 sites)
Argyle Diamonds
Dampier Salt
Queensland Alumina
Rio Tinto Alcan Gove
Tomago Aluminium
Kennecott Utah Copper
Iron Ore Canada
Townsville Ports
Copper Refinery
MacArthur River Zinc
Newlands Coal
Clermont Coal
WA Iron Ore (9 sites)
Nickel West (5 sites)
BMA Coal (8 sites)
Olympic Dam
Cannington
GEMCO Manganese
Illawarra Coal (3 sites)
New Mexico Coal
Hotazel Manganese
Wambo Mine
Wilpinjong Mine
Coppabella Mine
Moorvale Mine
Bear Run Mine
NARM Mine
Twenty Mile Mine
Sino IronMagnetite
Wiggins IsCoal ExportTerminal
Aditya BirlaNifty Copper
OneSteel Sydney
Sibelco Mineral Sands
Nyrstar Zinc Refinery
Bluescope Mills (3 Sites)
MMG Copper (1 Site)
MMG Zinc (2 Sites)
CBMM Niobium
Vale Iron Ore
Gerdau &
Votorantim
Steel Mills
Impala PlatinumRefinery (SA)Kinsevere Copper (Congo)
Diamond(Namibia)Husab UraniumMine (Namibia)
Bloom Lake Iron Ore
Sesa Sterlite Smelter(Jharsuguda, India)
Sepon Copper(Laos)
Phu Kam Copper-GoldBan Houayxai Gold-Silver(Both in Laos)
Ok Tedi Mining (Copper)Papua New Guinea
China Shenhua Coal
Shanxi Coal Import & Export Group Corporation
Other relevant
companies
Las Bambas Copper(Peru)
AMPLA
Page 16Confidential Property of Schneider Electric |
> Advanced Process strategies target
unit operations delivering less
variability, increased throughput and
consumables reduction
> Big data & Analytics allow process
improvements identifying hidden
correlations
> Real-time data based on current
economic and process conditions,
giving operators the ability to make
informed decisions at an expedited
rate
Leveraging an integrated
and holistic approach for
mineral process optimization
SimSci APC combines a modern and intuitive graphical user interface with a
rigorous and robust calculation engine that reduces variations in the process,
allowing for operation much closer to the operation limits which improves
process profitability
Production OptimizationAdvance Process Control
Page 17Confidential Property of Schneider Electric |
APC References
• Increased mean bath temperature by 6 oC
(achieved setpoint)
• Reduced bath temperature variability by 39%
• Reduced time of operation in red zone by 52%
• Increased Cu in White Metal by 0.8% (achieved setpoint)
• Reduced Cu in White Metal variability by 32%
The largest copper producer in the world
Advanced Process Control : Teniente
Copper Converter (Highly interactive
process with complex dynamics)
Realised benefits:
Challenges
• High energy consumption
• Interactive process
• Large unmeasured disturbances
• Frequent shutdowns
Benefits:
• Stabilized furnace
• Reduced energy consumption / Increased production
• Optimized Grinding Lines for Maximum Throughput
• Applied Patented Ball Mill Overload Detection Algorithm
• Increased Throughput by 11.4 Tons Per Hour
• Savings: Approximately $1.9M per year
Diversified mining company producing
copper, nickel, aluminum, lead and zinc
Advanced Process Control: Nickel
Reduction 12 Shaft Furnaces
Major supplier of iron ore pellets to
the North American steel industry from its
mines and pellet plants located in Michigan
and Minnesota
Advanced Process Control: Taconite
Production
Page 18Confidential Property of Schneider Electric |
Contact Information
Ammar Wahab
• Global Business Development Manager
• Mining, Minerals & Metals
• +61-450576692
Questions?
Page 19Confidential Property of Schneider Electric |