Overview of key industry challenges and ABB’s vision & best-practice approaches for: - Evaluating reserves and mine schedules - Tracking and optimizing mined product - Optimizing work of equipment and people

1. © ABB
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November 10,
2015
Intelligent Mining
Integrated Mine Planning and Operations
Rafal Walecki – Head of EMEA Delivery, Mining Solutions, ABB

2. © ABB
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November 10,
2015
 Challenges & History
 Our vision
 ABB’s Solution Components
 How it all fits together

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November 10,
2015
OUR VISION

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November 10,
2015
Challenges driving shareholders returns
Depleting Reserves
Export Tonnage
Inland Tonnage
Declining Grades
PrimaryGrade,%
1.5
1.4
1.3
1.2
1.1
0.9
Increasing Costs
80
60
40
20
0
2000 2011
Consumables
Labor
Energy
Other
Source: Xstrata Copper
Ore grade quality is
declining
Reserves are
depleting in some
commodities. Assets
and ore bodies are
becoming more
complex.
Labor is more costly,
energy costs are
going up and the
doing business in
new markets puts
pressure on margins
The bottom line: how to continue to deliver high returns to shareholders
1980 2000 20202000 2015 2030

5. © ABB
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November 10,
2015
Step-changes in mining technology
• Standardization of processes
• Mechanization means dramatic
shifts in production capabilities
• Operation of equipment still
requires human interaction
• Integrated modeling and planning
for higher quality yield
• Greater visibility into parts of the
value chain
• More detailed information coming
from equipment and plant to enable
remote mining
• More responsive demand and
supply
• Higher level of automation driven
by labor shortages and remote
mining locations
• Limiting bottlenecks by adopting
more continuous processes
• High levels of visibility across the
value chain and between operations
Mechanization Automation Optimization
The mining industry has been through a
number of technology ‘step-changes’ which
have driven dramatic increases in productivity.
Research into mining technologies indicate
significant new technologies heralding the next
era of mining productivity

6. © ABB
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November 10,
2015
ABB Mining Vision Coverage
To drive fundamental
change in the way a
Mining Enterprise works,
creating dramatic
increases in
Health and Safety
Productivity
Predictability
Asset Availability
Energy Efficiency
Quality

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November 10,
2015
Mining Conveyer Asset Health
Temperature sensors
detect overcurrent
condition on conveyor
drive and create alarm
Control system slows
belt speed to reduce
risk of an issue
Work order
automatically raises a
parts requisition
Work order is sent to
maintenance crew
mobile devices and
work is completed
Condition, inspection,
and work combines for
a unified view of
conveyer health and
optimization of the
current maintenance
programs
1 2 3
456
The old way:
 No information on upstream
downstream impact
 Cant prioritize significant data
volumes - manual
 Production, equipment and
other control systems not
integrated
 Work order scheduling in
disparate systems
 No optimization of assets
Value Proposition
Transform real-time and
historical asset data into
strategic insights on the
health of your mission-critical
assets.

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November 10,
2015
Mining Plant Operations Optimization
Advanced process
control (APC) manages
reagent dosing and
flow rates in real-time
(OT)
Geological model and
real-time material
tracking provides short
term feed
characteristic schedule
to APC
Sales system monitors
global index pricing for
products
Sales system
periodically provides
relative pricing updates
to APC
APC refines control set
points to maximize
returns for current
feed material and
product pricing
On stream analyzers in
plant reconcile actual
feed with model to
further improve
predictability and
optimization
1 2 3
567
The old way:
 No information on relative
product pricing
 No information on feed
material
 Plant set points static
 Production, equipment and
other control systems not
integrated
Value Proposition
Increase plant recovery and
optimize product mix based
on current pricing.
4

9. © ABB
Slide 11
November 10,
2015
SOLUTION COMPONENTS

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November 10,
2015
Solution Components
Plant Reporting
Mass Balance
Plant Efficiency
Material Logistics & Blending
Inventory Management
Sales & Marketing
Enterpise Asset Management
Work and Projects Management
Maintenance Management System
Lab Management
Sample Tracking
QA/QC Quality
Geological Modeling
Mine Planning/Scheduling
Mine Operations

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November 10,
2015
Geoloigical Modeling & Mine Planning
Geology &
Mine Planning
Other Geological
Database
Geological Model Excavations Model
Production SchedulingMine Design
Geological
Database
Exploration
Survey
Asset & Work Management Product Logistics & Sales

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November 10,
2015
Material Logistics and Sales
Mining Activities
Processing
Transportation
Top Soil Drilling Overburden Waste Dump Parting Removal Loading Hauling Reject Disposal Rehabilitation
ROM StockpilesHauling Processing Plant Product Stockpiles Load Products
Transporting Train Loading Ship LoadingPort StockpilesTrain UnloadingRail Head Stockpiles

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November 10,
2015
Mining Laboratory Management System (LIMS)
Q
B
L Lab Status
QA Flag
Budget / Actual
Sample
Analytical Result
Dispatch
S
A
D
Legend
Assay Mgmt
Lab
Instrument
Integration/Interface Layer
ABB CCLAS Modules
Lab
Config.
Web Interface, Dashboards & Reporting
BI
Reporting
Rules User Forms
QA &
SPC
ERP
System
D A AS
DataAudit
Sample
Registrat’n
Data
Capture
& MDE
Data
Calculat’n
Scripting
Sample
Tracking
Lab
Maint.
L
Invoice &
Revenue
Task
Automt’n
Consum-
ables
Instr.
Mgmt
Archive/
Retrieve
A A

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November 10,
2015
Production Accounting
Management Systems (e.g. ERP)
Total production by period, KPIs, qualities, inventories
tons, volume, grade, moisture, hardness, penalty elements - transaction, shift, day, week, month
METAL ACCOUNTING BUSINESS PROCESS

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November 10,
2015
Asset Management
Enable PAS 55
• Standardize Asset Management practice
Mobile Workforce Management
• Manage assets from the point of inspection
• Automate field-based processes
• Optimize mobile workforce, including 3rd party contractors
Asset Management Paradigms for Critical Assets
• Manage in terms of both Risk and Criticality
• Location based asset management with GIS integration
Advanced Work Planning
• Closed-loop long and real-time work planning and scheduling
Materials Management
• Total asset visibility
• Financial fidelity of assets and improved inventory management
Enterprise Visibility
• Highly flexible, open analytics and reporting

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November 10,
2015
How it fits together – Complete Integration
PA MineScape
CCLAS
• Supply Chain Network Configuration
• Inventory & Stockpile Management
• Material Tracking
• Waste Dump Management
• Outbound Logistics Scheduling
• Blending to and Optimization
• Port operations & Ship loading
• Sales & Invoicing
• Shipping documents
• Supply & Demand Balancing
• Contract Fulfilment & Management
• Mining Data Reconciliation
• Transaction assays
• Transport assays
• Ship loading assays
MineMarket
Laboratory Information Management System
Resource block model
Production Schedule
Pit/UG Surveys
Actual Production
Aggregated transactions
Daily stock balance
End of period survey
Reconciled transactions
• Sample ID
• Transaction details
Block ID
Assay data
Moisture
Assay data
• Geological DB
• Stratmodel
• Block model
• Opencut design
• Underground design
• Ring design
• Scheduling
• Mine & pit survey
• Dragline
• Haul roads
• Drill & blast
• Auto data acquisition
• Auto data validation
• Statistical validation
• Data checks
• Data sign-offs
• Auditing
• Cascading calculations
• Check in – Check out
• Statistical balancing
• Data locking (quarantined)
• Data publishing
Ellipse
ASSETS
• Asset Policy
• Capital Work
• Register Asset
• Develop Strategy
• Deploy Strategy
• Asset Analysis
WORK
• Create
• Plan
• Schedule
• Execute
• Complete
• Work Analysis
MATERIALS
• Requirements
• Source Materials
• Procure
• Use Materials
• Distribution
• Performance Analysis
PEOPLE
• Maintain Organization
• Workforce Planning
• Organizational Development
• Time & Attendance
• Pay & Benefits
• HSSRE
FINANCIAL
• Financial Model
• Accounts Payable
• Accounts Receivable
• Fixed Assets
• General Ledger
• Performance & Compliance
ProductionSchedule
EquipmentData
Equip.Availability
Productionbyperiod
Qualitydata
Inventories
Financial&KPI
Reserves
• Production by period
• Stock balance
• Equipment delays
• Equipment usage
• Shipment actuals
• Invoicing details
• Budget & Forecasts
• Production plans
• Contracts details
• Shipment schedule
• Equipment master

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November 10,
2015
How it fits together - Operations Visibility
VP Health,
Safety &
Compliance
VP OPS
CFO
CIO
VP
Procurement
KW-hours/ton
Delay penalties
per month
Equipment-
incidents /
month
Ship over-under
load/month
Drill-blast
cost/ton
Reagents/ton
Fuel/ton
Metric per
Unit-Product-
Produced
Dig rate by
shovel
Dilution
Availability
Throughput
Shipping
queue length

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November 10,
2015
How it fits together - Intelligent Operation
Data Processing
and Analytics
Subject Matter Workbench
Geology & Mine Planing Product Logistics
Equipment
Performance
Work Parameters
Technical Specifications
Sensors
SCADA
SCADA
Feedback Information
Volume
Mass
Quality
Feedback
Conditional
Monitoring
Operations Control Center
InformationDecisions
Results
Historian
Enterprise Data Sources
EA
M

19. © ABB
Slide 21
November 10,
2015
How it fits together - One Control Room

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Slide 23
November 10,
2015
FIND OUT MORE
Visit www.abb.com/enterprise-software
Email info.PGES@abb.com