Capital Equipment News September 2016

4 / 44

CAPITAL EQUIPMENT NEWS SEPTEMBER 2016 2
EDITOR'S COMMENT
There is no better time to kick-start my
Capital Equipment News editorship
than just before Electra Mining, a major
capital equipment exhibition in Africa. It is an
ideal platform for the supply chain to announce
their new offerings to the local market, while
fleet owners have a perfect platform to shop
around for their equipment and technological
requirements, all in one place.
For a fleet owner, an exhibition of this na-
ture is often an ideal occasion to learn of the
new technologies that offer improved ways
of executing jobs, safely and cost-effectively.
The adoption of new technologies is increas-
ingly becoming essential for businesses to
remain competitive and prosper, especially
in the face of challenging economics and a
cutthroat trading environment.
One of the industries that needs to inno-
vate, or risk stagnation, is the local mining
industry. Local miners are in hasty need to
innovate to ensure they keep pace with glob-
al industry trends. Judging by what a host of
OEMs will be highlighting during their exhib-
its at this year’s Electra Mining, newer min-
ing technologies that benefit every aspect of
the mineral industry – exploration, mining,
mineral processing, beneficiation, health and
safety, as well as environmental issues – will
take centre stage.
Like many, I share the sentiment that our lo-
cal mining industry is at an inflection point, in
which digital technologies have the potential
to unlock new ways of managing variability
and enhancing productivity. The large-scale
adoption of four different clusters of technol-
ogies in mining – data, computational power
and connectivity; analytics and intelligence;
human-machine interaction; and advances in
robotics – is accelerating.
It is no secret that the mining industry is
under pressure. In the short term, dwindling
commodity prices are squeezing cash flow.
Looking ahead, many existing mines are ma-
turing, resulting in the extraction of lower
ore grades and longer haul distances from
the mine face.
What is more, especially for our local
mining fraternity, is the daunting legislation
requirements these operations have to ad-
here to. Governments are also demanding a
fair share of the mining proceeds, while they
call for many more jobs at every opportunity.
But, surely for mines to remain in business,
achieving a breakthrough in productivity per-
formance demands radical rethinking of how
mining works.
The idea of mechanised operations is
not far-fetched. As reflected by McKinsey
& Company in its recent report, increased
mechanisation through automation offers the
potential to reduce operating costs, improve
operating discipline and take people out of
harm’s way. Some OEMs such as Caterpillar
and Sandvik are already pioneering technolo-
gies such as automated haulage and drilling,
which have since moved into full-scale com-
mercialisation.
McKinsey & Company’s analysis suggests
that the economics of haulage are sound –
reducing total cost of ownership by 15 to
40%, depending on the cost of labour. Fur-
thermore, at a time when mines are battling
with increased fatalities due to hazards posed
by continuously unsafe mine faces, automat-
ed mining operations are said to reduce the
number of people working in areas considered
most dangerous by more than 50%.
I am of the view that the opportunity
offered by these new technologies is mas-
sive; innovation represents a fundamental
shift in both potential safety outcomes and
how value can be captured in the mining
sector. Technology is changing every aspect
of the industry, and companies that refuse
to adapt accordingly risk being outdone by
tech-savvy rivals.
It is for this reason I believe that rethink-
ing the processes of using, managing and
owning heavy equipment by incorporating
new technologies, such as data analytics
and human-machine interaction systems,
is of essence. This helps make equipment
more productive and efficient, while busi-
nesses remain profitable, even when times
are this tough.
Innovateor die
Munesu Shoko – Editor