The document proposes the creation of the Mining Technology Research Center (MTRC) in Chile as a collaboration between universities and the mining industry. The MTRC would conduct applied research and development to help solve challenges in mining operations, processes, safety, and sustainability. It would focus on areas like mine planning, asset management, robotics, and modeling. The goal is to establish core competencies, develop tools and technologies, train students, and transfer innovations to industry partners to boost productivity and safety in mining. A multi-phase development plan and financing model are presented to establish the MTRC as a world-leading mining research center.

1. Mining Technology Research Center (MTRC) Enrique Rubio Dpto. Ing. Minas, Universidad de Chile Rodrigo Pascual Dpto. Ing. Mecánica, Universidad de Chile et al.

2. Agenda Mining Industry needs MTRC & PAM Lab concepts ABB performance systems strategy Draft a collaboration/development program

3. R &D Industry Needs Priorities: LT, Long term >3 years MT, Mid term 1-3 years NT, Near term 1 year Source: Copper Technology Road Map December 2006 Amira International

4. Evidence “… managers feel that they do not get their ideas through to the floor, while supervision and artisans feel that management are in a ivory tower - totally divorced from reality… managers want to implement new concepts, while supervision and artisans want to get on with the job... managers arrange meeting upon meeting to effect change, but without much result. On the other hand, supervision and artisans go with the flow, but keep on doing the job as ‘they know best’…” Fuente: J.L. Coetzee, Maintenance success using a holistic approach, Maintenex Conference, 2000

5. Strategy implementation triangle Typical to develop one or other level, i.e. developing a maintenance plan using RCM Install a new ERP/CMMS … Maintenance operations Maintenance information/ Operational Systems Maintenance plan Procedures Policy Gap

6. Divide & Conquer Slice-centered holistic approach Limited nr of people Team Management & operations belong to the same project Increases group cohesion Permits Use of world-class decision-aid tools Accelerate improvement

7. MTRC Team Mathematics, U de Chile Computing Science Nelson Morales Industrial Engineering, U de Chile Operations Research Daniel Espinoza U. Adolfo Ibañez Operations Research/ logistics Marcos Goycoolea Mathematics, U. Adolfo Ibañez Operations Research Eduardo Moreno Computing Engineering, U de Chile Fast computing Maria Cecilia Rivara Mining Engineering, U de Chile Mine Design Raúl Castro Mining Engineering, U de Chile Geostatistics Julian Ortiz Mechanical Engineering, U de Chile CFD modeling Alvaro Valencia Electrical Engineering, U de Chile Robotics Javier Ruiz del Solar, Mechanical Engineering, U de Chile Risk & Reliability Rodrigo Pascual Mining Engineering, U de Chile Mine Planning Enrique Rubio

8. Vision Be a major player in world-leading research and development to provide new process technologies and decision aid tools to the mining industry using local challenges and knowledge

9. Mission Deliver innovative tools and expert human resources to increase productivity and safety to our mining partners and ensure a future of wealth to all members of the consortium Mining and basic technologies Health, Safety and Environment Operations Research Mining Business Performance Excellence & Continuous Innovation

10. Core Competences & Synergy Holistic mine planning Robust modeling Planning horizons Integrates the whole production chain Geo-Metallurgical planning Risk and Reliability modeling Equipment Resources Mining Systems Uncertainty Systems simulations Contract Management Robotics View Navigation Communications Control Numerical Modeling Fast computing Geometries

11. MTRC International Team Sean Desserault , Information Systems, Arizona University Alexandra Newman , Operations Research, Colorado School of Mines Kadri Dagdelen , Mine Planning, Colorado School of Mines Roussos Dimitrakoupolos , Mine Planning, Mc Gill University Matt Pierce , Rock Mechanics, Itasca Italo Onederra , Blasting technologies, JKMRC Emmanuel Chanda , Mining Technology, Curtin Peter Knights , Reliability Modeling, Queensland University, CRC Mining Andrew Jardine , Maintenance and Reliability Optimization Lab, University of Toronto

12. MTRC Performance excellence facilitator inside the organization MTRC Tactical Decision Makers Strategic Decision Makers Communication & cultural gaps Tech layer

13. MTRC Performance excellence facilitator across the industry Mining company Partner L1 Partner L2 Partner L2 Partner L1

14. Multidisciplinary Approach Example: Mine Planning- Open Pit Optimization Traditional Concept Ore Body Model Formulation Algorithms and MetaHeuristics Computer Science Proposed Model Formulation Concept Ore Body Algorithms and metaheuristics Computer Science

15. Deliverables Commercialization and Technology transfer Development of hardware and software products Services Spin-offs Small & Medium enterprises Research & Education Industry-guided Expert human resources Provides Dissemination seminars Publishing in top notch journals Presenting in seminars, conferences, workshops and training courses

16. IP of Developments Belongs to the Center and researchers Free use to the project sponsors

17. Potential sponsors BHPbilliton Xstrata Freeport Antofagasta Minerals Anglo American ABB Komatsu Michelin others

18. Board Membership 1 member per sponsor company Functions Analyze strengths, weaknesses and opportunities Set strategic policy & direction Focus the research Oversees commercialization & tech transfer

19. Organization chart Chairman CEO VP-Business Development VP Research & Education VP Commercial Mine planning program Risk & Reliability program Robotics program Process modelling program

20. Centre partners Open, project-oriented collaboration Best in class center2center collaboration Other research centres Universities

21. Development Plan Phase I (2008-2009): Acquisition and Implementation Building rehabilitation Consolidate Mine Planning Lab Physical Asset Management Lab Robotics Lab Computational Mechanics Lab Create the Distributed Mining Laboratory Decision aid tools Integrated Reliability Modelling for Mining Systems Integrated Mine planning and control systems Phase II (2010-2011): Development/ Maturity Implementation full scale and performance measurements Technology transfer Phase III (2012-2014): Center Sustainability Spin offs IP commercialization Technology implantation

22. Financing Capital 80% Sponsors 20% Government research funds Operating 70% sponsors 30% government research funds

23. On-going research projects at Universidad de Chile Mine planning Lab Dpto. Ing. Minas supported by BHPbilliton

24. Aplicación a DOZ ESZ PT Freeport Indonesia Panel caving mecanizado 800 puntos de extracción a la mina completa 320 ptos activos 50 ktpd

25. Mining plan reliability tons

26. Physical Asset Management Lab Dpto. Ing. Mecánica http://pascual.ing.uchile.cl/pamlab/

27. PAM++ http :// opam.ing.uchile.cl

28. Optimal preventive maintenance interval Acceptable CBM cost rate

29. Condition based maintenance Proportional Hazards modelling Risky zone Component age(Ton, Km, hours, op. cycles) Condition variable Jan’08: batch Jun’08: online

30. Symposiums on Physical Asset Management Encuentro en Gestión de Activos Físicos (EGAF) http:// pascual.ing.uchile.cl /egaf4

31. CORFO Proyectos Programa de Innovación del Cluster Minero Integrated Reliability Modeling for Mining Systems