Getting the most out of your mine: Special steels as the smart choice for sustainability - Toni Hemminki, Chief Strategy Officer, Rautaruukki Corporation Mining On Top: Helsinki 16-17 September 2013 | Helsinki

1. Getting the most out of your mine:
Special steels as the smart choice for
sustainability
16 September 2013
Toni Hemminki, Chief Strategy Officer, Ruukki
16 Sept 2013
Toni Hemminki

2. Global trends create need for
energy efficiency

3. 16 Sept 2013 Toni Hemminki
Population growth and prosperity
0
2 000
4 000
6 000
8 000
10 000
12 000
14 000
16 000
18 000
1990 2009 2015 2020 2025 2030 2035
OECD Non-OECD
Source:IEAworldenergyoutlook2011.*Metrictonofoilequivalent
World primary energy demand
Billion

4. Tightening regulation is forcing industry to
change
16 Sept 2013 Toni Hemminki
• EU’s 20/20/20 climate and energy
goals by 2020
− Emissions trading
− Proposed energy efficiency directive
− Feed-in tariffs, etc. systems to create
more renewable energy production
• EU Energy Efficiency Directive
− Member countries to reduce energy
consumption annually by 1.5%
• More energy regulations for
transportation
− EU Commission white paper (2011)
states a 60% reduction target for CO2
by 2050
− Improved vehicle efficiency through
new engines, materials and design.
Source: EU 2013, IEA
Energy price is reacting to upward
trend in consumption, limited
resources and regulation

5. It’s the smart choice with special
steel

6. Energy efficiency with special steels
• Diesel is a significant energy source
for the mining industry
• Energy consumption of dump trucks
accounts for about 32% of the total
energy requirement in opencast
mines
• 100% recyclable high-strength and
durable steel-based solutions save
energy in end-user applications
• Longer lifetime and reduced
maintenance work provide efficiency
in material usage
Sources: IEA World Energy Outlook 2012
Sahoo et al., Energy Performance of Dump Trucks in Opencast Mine, Department of energy Science and Engineering, Indian Institute of
Technology Bombay, India, 2010.
Analyses of diesel use for mine haul and transport operations, Case study. Australian Government. 2009.
16 Sept 2013 Toni Hemminki

7. • Use phase savings due to smart re-designing
with Raex® and Optim® Special Steels
• Weight saving 17.7t (8.2%)
• Payload increase 5.7%
• Total vehicle fuel saving 1.7%
• Decrease in CO2 emissions 5.4%
New Design Old Design Annual
Savings %
Dump Truck
weight (t)
198 750 216 440 8.2
Payload (t) 329 464 311 774 5.7
Diesel
consumption
163 165.8 1.7
CO2
emissions
2478 2618 5.4
16 Sept 2013 Toni Hemminki
Old model
Assumptions: fuel consumption 165,8 l/h, driving time 6000 h/a, 50% empty kilometers, dump truck CO2 emission factor 2632 g CO2/l
Rigid Dump Truck savings with Raex® and
Optim® Special Steels
New model

8. New thicker Raex® grades for the mining
industry
• Ruukki recently launched
new thicker Raex steels
• For parts for heavy plant
and equipment designed
for excavation, loading,
transporting and crushing
ore in mines
• The service life time of
mining or recycling
equipment is longer
16 Sept 2013 Toni Hemminki

9. Special steels for the mining industry:
Sweden, Finland, Russia
Sweden:
Kiruna Wagon
Optim 700
Finland:
Eurosteel
Ruukki Raex
Finland:
Pajakulma
Optim and Raex special
steels
Finland:
Maakasi
Raex 400, Raex 500
Russia:
Automarket mining
Raex 400
16 Sept 2013 Toni Hemminki

10. Sustainability starts at home

11. Our sustainability work is recognised
16 Sept 2013 Toni Hemminki

12. 16 Sept 2013 Toni Hemminki
Top level energy efficiency as a base for
efficient products
We are among the best in the
world in iron making energy
efficiency. Ruukki uses nearly
the minimum amount of
carbon raw materials possible
with current technology.
0
20
40
60
80
100
120
140
160
180
Ruukki
EUaverage
NAFTA
Russia**
China**
India**
Source: Stahl-Zentrum. *The indexed carbon efficiency in iron-making based on coal consumed 2009. ** 2007 data.
Blast furnace carbon dioxide efficiency*

13. Ruukki in brief

14. Ruukki’s business areas
*) 2012
Ruukki Building Products
Net sales ~ 478 m€*
Ruukki Metals
Net sales 1 787 m€*
Ruukki Building Systems
Net sales~262 m€*
16 Sept 2013 Toni Hemminki

15. Global presence in the special steels
business
Sales office
Certified Partner
Production
16 Sept 2013 Toni Hemminki

16. Our development efforts never stop
• We invested €26m in R&D in
2012
• Close cooperation with an
extensive network of industry
experts
• Raex and Optim special
steels produced by direct
quenching technology
• Finnish Engineering
Award 2012
16 Sept 2013 Toni Hemminki

17. Q&A
16 Sept 2013 Toni Hemminki