Aurizon Holdings Ltd. · ASX:AZJ
Aurizon — Investor Day (October 2014)
96 slides from Aurizon's investor day presentation, Oct 27, 2014
Slide 1: Investor Briefing & Site Tour – Driving Value
Investor Briefing & Site Tour Driving Value 27 & 28 October Presentations
Slide 2: Important notice
Important notice No Reliance on this document This document was prepared by Aurizon Holdings Limited (ACN 146 335 622) (referred to as “Aurizon” which includes its related bodies corporate). Whilst Aurizon has endeavoured to ensure the accuracy of the information contained in this document at the da
Slide 3: Investor Briefing – Driving Value, Day 1
Investor Briefing – Driving Value Day 1 – 27 October 2014
Slide 4: Welcome & Introduction
Welcome & Introduction Lance Hockridge – Managing Director & CEO
Slide 5: Agenda
Agenda Welcome & Introduction 1 MD & CEO – Lance Hockridge FOR PERSONAL USE ONLY Network Introduction 2 EVP Network – Alex Kummant Network Operations 3 VP Network Operations – Clay McDonald Capital Expenditure / Network Regulation 4 VP Network Regulation – Lana Stockman VP Network Finance – Pam Bain
Slide 6: Safety performance, our target is zero
Safety performance, our target is Lost Time Injury Frequency Rate (LTIFR)1 Total Recordable Injury Frequency Rate (TRIFR)1 FOR PERSONAL USE ONLY 11.43 55.65 Lost time injuries per million person-hours worked 71% 52% improvement improvement Incidents per million person-hours worked 30.81 6.14 22.34 3
Slide 7: Aurizon's value creation fundamentals remain strong
Aurizon’s value creation fundamentals remain strong Network Above Rail Driving Returns Below Rail FOR PERSONAL USE ONLY Regulated Asset Base (RAB) Volumes growing despite Transformation: growing to ~$6bn by FY2017 negative sentiment − On track for 75% Operating Stable earnings, given regulat
Slide 8: Aurizon's focus to drive shareholder value
Aurizon’s focus to drive shareholder value Management’s core focus is driving returns – all investment and activities must meet or exceed hurdle rates (mid-teens, pre-tax) 1. Focus on achieving 75% Operating Ratio in respect of FY2015 and continuous improvements thereafter FOR PERSONAL USE ONLY Sa
Slide 9: West Pilbara Infrastructure Project (WPIP) – a growth option
West Pilbara Infrastructure Project (WPIP) – a growth OPTION, not yet a COMMITMENT to invest FOR PERSONAL USE ONLY Option cost $211m (15% investment in Aquila) Feasibility work commenced Key deliverable in 2015: − March 2015 indicative tariff (+/- 25%) − October 2015 binding tariff (+/- 15%)
Slide 10: Transformational and productivity capex driving incremental returns
Transformational and productivity capex driving incremental returns and operational improvements Capital expenditure FY2015 – FY2017 ($m) Growth capex ~$800m, including 1,100 − ~$400m Network (WIRP and Rolleston electrification) FOR PERSONAL USE ONLY ~$1,100m − ~$300m Operations (Whitehaven rollin
Slide 11: Network Introduction
Network Introduction Alex Kummant – EVP Network
Slide 12: About Aurizon Network
About Aurizon Network Aurizon Network controls, manages, operates and maintains the fixed rail infrastructure "below rail" assets of the Central Queensland Coal Network Aurizon Holdings Legal Structure (CQCN) • FOR PERSONAL USE ONLY – Regulated Asset Base (RAB) of A$4.5 billion(1) – Rated Baa1 / B
Slide 13: Stable regulated revenue base underpinned by global customers
Stable regulated revenue base underpinned by global customers Stable regulated revenue base Strong customer base Current UT4 negotiations FOR PERSONAL USE ONLY The form of regulation is a The CQCN delivers rail infrastructure to Increased level of stakeholder conventional revenue cap over 40 o
Slide 14: Network Strategy
Network Strategy Recognition of the CQCN as a world leading operation and a robust repeatable formula are necessary precursors to Growth in new markets Optimised performance growth in new markets FOR PERSONAL USE ONLY under UT4 and strong “Leverage repeatable formula into customer advocates are futu
Slide 15: We will unlock latent capacity through availability and utilisation
We will unlock latent capacity through a relentless focus on availability and utilisation… Network Time Throughput Rate Train Density Throughput FOR PERSONAL USE ONLY (hours/year) (metres/hour) (tonnes/metre) (tonnes/year) Train Separation Availability Train Length Higher Axle Load Utilisation Train
Slide 16: Achieved through a series of targeted projects
… this will be achieved through a series of targeted projects Availability Utilisation Capacity increases Project Impact Impact FOR PERSONAL USE ONLY Mech Plant PACE New track machines – Ballast Undercutting and ✓ Upgrades Resurfacing Network Asset Management System (NAMS) – Cumulative Investment1 ✓
Slide 17: Operating cost efficiencies to benefit supply chain
Operating cost efficiencies to benefit supply chain Benchmarking Maintenance Costs - ARTC Benchmarking Maintenance Historically our maintenance costs are lower than the most comparable network Best practice is the de facto competitor FOR PERSONAL USE ONLY Evans & Peck Cost report increase with fav
Slide 18: Network Operations
Network Operations Clay McDonald – VP Network Operations
Slide 19: Aurizon Network Overview
Aurizon Network Overview Central Queensland Coal Network (CQCN) The CQCN comprises 4 major coal systems and 1 connecting system link serving Queensland’s Bowen Basin coal region: Newlands, Goonyella, Blackwater and Moura with GAPE the connecting system link – 2,670 kilometres network length of whi
Slide 20: Introduction
Introduction Increased Network FOR PERSONAL USE ONLY The last three years have been focused on operational performance Utilisation improvements: Structure Increased Focus Network Capability Availability Value Add In parallel there has been an emphasis on transformation: Unlocking Network Mod
Slide 21: Our focus is leading to operational performance improvements
Our focus is leading to operational performance improvements BR Delays > 15 mins per Service Cancellations due to Traction Faults -33% FOR PERSONAL USE ONLY 50 -44% 350 45 40 300 35 250 30 25 200 20 150 15 100 10 5 50 0 0 FY2011 FY2012 FY2013 FY2014 FY2011 FY2012 FY2013 FY2014 Below rail delays (exc
Slide 22: Performance improvements enabling increased network utilisation
Performance improvements are enabling increased network utilisation Aurizon Network Volumes (mt) Network is working to address the biggest capacity 283.0 consumption factors to increase utilisation of the FOR PERSONAL USE ONLY Theoretical Capacity existing infrastructure: 255.4 238.8 80% 224.5 Plann
Slide 23: Network strategic projects unlocking additional capacity
Network strategic projects unlocking additional capacity in the future Additional Capacity Generated by Strategic Projects Our strategic improvement program seeks FOR PERSONAL USE ONLY to unlock capacity within the existing network. PACE A key theme is using technology as an Mech Plant Upgrades enab
Slide 24: Effective asset management delivers a sustainable reliable network
Effective asset management delivers a sustainable reliable network Asset Management Asset Management Benchmarking FOR PERSONAL USE ONLY Major asset categories: − Civil − Electrical − Telecoms and Signals Triggers for maintenance and renewal works are defined in the Aurizon Maintenance and Renewa
Slide 25: Effective asset management underpins Asset Renewal Program
Effective asset management underpins targeted Asset Renewal Program Asset Renewal Capex1 FY14 Capital Program by Spend Category FOR PERSONAL USE ONLY 160 140 120 100 80 60 40 20 0 FY11 FY12 FY13 FY14 Annual asset renewal capex is in line with Total spend is dominated by civil assets scope consis
Slide 26: Further drives sustainable operational performance improvements
Which further drives sustainable operational performance improvements FOR PERSONAL USE ONLY Telemetry fault 44% improvement 10 incidents to 3 incidents Obsolescence Safety 5% Culverts repairs 11% Reliability Improve asset performance 10% through new technology End of Life Replacement 74% Maintain a
Slide 27: We are modernising the way we do standard work
We are modernising the way we do standard work SAP Integrated Asset Management System Track Defect Inspection Reporting Whole of life asset management with tools to FOR PERSONAL USE ONLY improve the velocity, access & accuracy of asset information Mobile tablets for real time fault reporting in the
Slide 28: Less intrusive inspection techniques improving asset data
…with less intrusive inspection techniques improving the quality of asset data Unmanned Aerial Vehicles (UAV) / Drones High definition images Use of the drones reduces time Infra-red required on track for inspections analysis while providing data for pre- emptive maintenance activities Dewirements a
Slide 29: Maintenance program focused on better track performance
The maintenance program is focused on delivering better track performance Speed Restrictions CQCN is split into North and South regions FOR PERSONAL USE ONLY 200 6 major strategically located depots 450 maintenance staff in teams focusing on: 150 − Maintenance and Response 100 − Civil & Track
Slide 30: Technology & Systems – Better Ballast Management
Technology & Systems – Better Ballast Management Ground Penetrating Radar Custom Designed for CQCN FOR PERSONAL USE ONLY Test track panel - Yukan: Calibrated specific conditions vs. Old Method Sampling Standard Approach PVC Manual spot sampling every Category Description PVC range (%) New Approach
Slide 31: Technology & Systems – Coal Fouling Prevention
Technology & Systems – Coal Fouling Prevention Veneering Spray System & Garden Bed Profile Opacity Dust Monitoring Results FOR PERSONAL USE ONLY Installation Completed Reduction of coal dust emissions improves the integrity of the network while benefiting local communities in close proximity to ra
Slide 32: Modernisation & Mechanisation – increased productivity
Modernisation & Mechanisation – increased productivity from time on track Resurfacing Ballast Cleaning FOR PERSONAL USE ONLY The Mechanised Maintenance team of 171 FTE consists of: Resurfacing (North & South) Ballast Cleaning (Pre-work & Operations) Plant Maintenance Resurfacing Fleet 1 Interi
Slide 33: Systems & Technology – Planning and product integration
Systems & Technology – Planning and product integration FOR PERSONAL USE ONLY Integrated Planning Improvement Strategies Possession Assessment and Capacity Evaluator Integrated Planning optimisation is Collaborating with GE and Norfolk a key element of world‘s best Southern to leverage Class 1 pract
Slide 34: Regulation
Regulation Lana Stockman – VP Network Regulation
Slide 35: Revenue protection mechanism
Revenue protection mechanism Aurizon Network’s regulated revenue is protected through a combination of contractual and regulatory mechanisms that are included in the Access Undertaking and Access Agreements Primary revenue protection mechanism available to Aurizon Network Take-or-pay mechanisms
Slide 36: Aurizon Network's RAB expected to double since IPO
Aurizon Network’s RAB expected to double since IPO • Aurizon Network’s RAB1 over time (A$bn) QCA determines Aurizon Network's access pricing based on the estimated value of the RAB +96.7% RAB value of A$4.5bn (excluding assets subject to 5.9 access facilitation deeds1) as at June 30, 2013, was a
Slide 37: UT4 Timeline
UT4 Timeline QCA issue UT4 Aurizon Network QCA issue UT4 Draft Aurizon Network Receive Final Draft Decision Response to UT4 Decision Policy Response to UT4 Decision FOR PERSONAL USE ONLY MAR 2014DAU Draft Decision 2014DAU Aurizon Network Policy Response to: QCA issue UT3 Draft Decision UT4 Draft Q
Slide 38: QCA MAR Draft Decision
QCA MAR Draft Decision 2014 Draft Access Undertaking (DAU) Position QCA Proposal Maximum Headline DAU MAR submitted in April 2013 - A MAR of $3.88bn (‘proposed MAR’) which includes UT3 capital Allowable Revenue $4.78bn expenditure carryover account adjustments (MAR) Headline DAU MAR revised in
Slide 39: Beyond UT4
Beyond UT4 Strengthen stakeholder engagement focus to build trust and credibility Stakeholder Engagement - Miners - Operators FOR PERSONAL USE ONLY - Legislators Engagement of transparent cost build up processes for both maintenance and Costing Processes opex Transition to full standalone bott
Slide 40: Capital Expenditure and WIRP
Capital Expenditure and WIRP Pam Bains – VP Network Finance
Slide 41: Network's capital expenditure
Network’s capital expenditure Capacity Completion / Construction Period Total Capital Major Growth Projects Increment Notes Estimated Completion1 (years) ($m) (mtpa) On time, GAPE January 2012 2.0 1,100 33 FOR PERSONAL USE ONLY on budget On track, WIRP2 March 2015 / December 2015 4.0 858 27 on budge
Slide 42: WIRP Fast Facts
WIRP Fast Facts Wiggins Island Rail Project (WIRP) Stage 1 will facilitate transport of 27mtpa of coal to the new Wiggins Island Coal Export Terminal (WICET) 33% increase in export tonnage transported in the Blackwater and Moura systems (81mtpa to 108mtpa) $858m investment in new and upgraded
Slide 43: WIRP Project Status
WIRP Project Status WIRP1 is currently being delivered on time and within budget with three of six stages already complete FOR PERSONAL USE ONLY Segment Scope Delivery Status Segment 1 – WICET Balloon Construction of a 13km single rail loop Aurizon Network works completed in Loop May 2014 Segmen
Slide 44: WIRP Returns
WIRP Returns ± 2.5% Regulated Returns contingency WIRP fee saving overrun WIRP regulated returns are recovered under the Access Agreements that Network must enter into with each WIRP As costs increase or FOR PERSONAL USE ONLY decrease above or below customer or the WIRP customer’s haulage provider
Slide 45: Above Rail Operations
Above Rail Operations Mike Franczak – EVP Operations
Slide 46: Operational improvements will drive margins and ROIC
A range of identified operational improvements will drive margins and ROIC past near term annual targets FOR PERSONAL USE ONLY Note: Implied Return on Invested Capital (ROIC) guidance only based on a 10.5% average ROIC for three years ROIC and operating ratio projections are illustrative only 46 46
Slide 47: Transformational capital is a critical component of multi year plan
Transformational capital is a critical component of the multi year spend and improvement plan Transformational Renewal Growth FOR PERSONAL USE ONLY Upgrading Basic Fleet upgrades Rollingstock Information technology (FMT1) − Improved fleet overhauls Fleet expansion ratios (i.e. 3 AC electrics
Slide 48: FMT – re-engineering the contract to cash process
FMT- Technology is helping Aurizon re-engineer its contract to cash process to drive leading edge improvements Benefits of FMT FOR PERSONAL USE ONLY What is FMT? Self-service customer portal Nationwide view of services, A world class ‘Transportation Management ‒ Standard business performance a
Slide 49: Aurizon will continue to improve fuel consumption
Aurizon will continue to improve fuel consumption towards Class 1 levels FOR PERSONAL USE ONLY 49 49
Slide 50: Four key initiatives will drive consumption rates to class levels
Four key initiatives will drive consumption rates to class 1 levels Driver Advisory System (DAS) Fuel Link What is it? What is it? FOR PERSONAL USE ONLY On-board technology that provides real time Live data on locomotives enabling better information to drivers performance management DAS curren
Slide 51: Key initiatives in Rollingstock Maintenance transformation
Key initiatives in the Rollingstock Maintenance transformation are underway Facilities rationalisation FOR PERSONAL USE ONLY Policies and practices Underway Fleet reduction Materials reduction and Labour reduction rationalisation In train repair Focus on reliability and availability 3
Slide 52: Equipment condition monitoring changes the way we work
Equipment condition monitoring changes the way we work and improves service, safety and productivity Condition monitoring key facts RSM currently executes a time based maintenance program FOR PERSONAL USE ONLY − Rollingstock must be stopped and physically examined − Maintenance issues are only ide
Slide 53: Rollingstock Maintenance transformation to improve core metrics
Investment in Rollingstock Maintenance transformation to drive improvement in core metrics Maintenance cost ($/Net Tonne Kilometre) Maintenance headcount (FTE1) Key Maintenance metrics FOR PERSONAL USE ONLY 100 Availability2 2,618 -34% 80 -45% 60 1,436 Reliability (Faults per loco per year)3 40 20 0
Slide 54: Targeted capital investment in IOP and reduced terminal footprint
Targeted capital investment in our IOP and reduced terminal footprint delivers improved value Capital requirement to maintain current state with Additional investment will enable step change in FOR PERSONAL USE ONLY minimal benefit improvement for future state Requirements Outcomes of consolidation
Slide 55: IOP improving unit costs and capacity in Intermodal
The IOP and other programs are improving unit costs and capacity in our Intermodal business Aurizon Intermodal business National reach FOR PERSONAL USE ONLY Example: With a flat cost base and reduced assets, the Integrated Operating Plan (IOP) is delivering: - Reduced Sydney – Perth transit ti
Slide 56: IOP, fleet modernisation and standardisation lower replacement requirements
IOP, fleet modernisation and standardisation will lower basic replacement requirements below attrition rate Aurizon’s fleet retirement and replacement profile Insights FOR PERSONAL USE ONLY Aurizon’s fleet has an age profile that requires overhaul or replacement in the upcoming years Operational
Slide 57: Q&A
Q&A
Slide 58: Investor Briefing – Driving Value, Day 2
Investor Briefing – Driving Value Day 1 – 27 October 2014
Slide 59: Investor Briefing – Driving Value, Day 2
Investor Briefing – Driving Value Day 2 – 28 October 2014
Slide 60: Agenda
Agenda Performance of Aurizon Network Operations 1 VP Network Operations – Clay McDonald Network Planning, Scheduling and Execution 2 GM Network Operations, Central Queensland Coal Network – Sarah Dixon Control Centre Tour 3 Control Centre Manager – Darryl Johnson 60
Slide 61: About Aurizon Network
About Aurizon Network Controls, manages, operates and maintains the fixed rail infrastructure “below rail” assets of the Central Queensland Coal Network (CQCN) CQCN is regulated by the Queensland Competition Authority (QCA) Regulatory framework is designed to provide OPEN access to accredited
Slide 62: Performance of Aurizon's Network Operations
Performance of Aurizon’s Network Operations Clay McDonald – VP Network Operations
Slide 63: Central Queensland Coal Network Fast Facts
Central Queensland Coal Network Fast Facts Assets Blackwater Moura Goonyella Newlands CQCN Track (km) 1,110 260 980 320 2,670km Electrified track 965 0 980 0 1,945km Rail 2,220 520 1,960 640 5,340km Turnouts 512 45 353 81 975 T/O Culverts 1,600 450 1,100 593 3,743 Bridges 154 37 63 32 286 Sleepers 1
Slide 64: Blackwater system overview
Blackwater system overview System consists of: 14 mines 2 export coal terminals 4 domestic unload locations 335 kilometres (208 miles) of single line track 242 kilometres (150 miles) of duplicated track Average train size is 4 locomotives and 99 wagons hauling 8,040 tonnes of coal From FY2
Slide 65: Moura system overview
Moura system overview System consists of: 4 mines 2 export coal terminals 4 domestic unload locations 266 kilometres (165 miles) of single line track Average train size is 3 locomotives and 83 wagons hauling 6,000 tonnes of coal From FY2010 to FY2014 average payload increased by 27% in Moura
Slide 66: Goonyella system overview
Goonyella system overview System consists of: 20 mines 2 export coal terminals 1 domestic unload location 634 kilometres (394 miles) of duplicated track Average train size is 3 locomotives and 120 wagons hauling 9,820 tonnes of coal From FY2010 to FY2014 average payload increased by 2% in Go
Slide 67: Newlands system overview
Newlands system overview System consists of: 4 mines 1 export coal terminal 3 domestic unload locations 187 kilometres (116 miles) of single line track Includes Goonyella to Abbott Point Expansion (GAPE) Average train size is 3 locomotives and 81 wagons hauling 6,500 tonnes of coal From FY
Slide 68: Network Operations on a page
Network Operations on a page Teams Responsibilities KPIs Projects and Initiatives Value Add Maintenance and Renewals Delays > 15 Network Asset Management Asset Assurance mins System (NAMS) Strategy for Civil, Signals, Telecoms Increased Management Capital Track Recording Vehicle (TRV)
Slide 69: Network Operations Key Focus Areas
Network Operations Key Focus Areas Deliver maximum system through-put at the lowest total cost of operation both safely & sustainably We are actively working towards a Zero Harm environment Safety We are reducing: - Network cancellations We provide capacity for our - Network delays - CQCN turnaround
Slide 70: Focusing on Improving the Run Rate
Focusing on Improving the Run Rate1 800,000 700,000 600,000 500,000 tonnes 400,000 300,000 200,000 100,000 0 FY10 FY10 FY11 FY11 FY12 FY12 FY13 FY13 FY14 FY14 FY15 Record H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 Q1 (7 Sep 14) Notes 70 1. Average daily CQCN volumes for each six month period
Slide 71: Less wear, longer life – New Rail
Less wear, longer life – New Rail Network expects to achieve a 15% reduction in the total cost of ownership of its rail assets in Central Queensland as a result of the superior performance of the new rail 71
Slide 72: Innovative sleeper design
Innovative sleeper design Traditional Timber and Concrete Composite Sleepers Sleepers Allows like-for-like replacement of timber turnouts Improved total cost of ownership: o Greater service life o Lower maintenance requirements o Stronger and more consistent engineering properties o Easier to pr
Slide 73: Remote Points Monitoring
Remote Points Monitoring Train Protection Systems Signalling Fault by type JB11C SNX current draw - Red (stone in rodding), Green (stone removed) 1% Lamp Failure Train Control System 3% 0% Other 3% Crossings 5% Interlockings and Housings 6% Points 33% Points Tracks Signals Axle counter 8% Signals In
Slide 74: Operational Technology – Supersite Program
Operational Technology – Supersite Program Site to include: Wheel impact detectors Inline weighing system Hot and cold bearing detectors Pantograph monitor Below rail predictive equipment Supersite Location WILD (Wheel Impact Load Detector Client Screen) -> 74
Slide 75: Supersite Strategy
Supersite Strategy Main Line Pantograph Wheel Impact Load Inspection Detector Main Line Rollingstock Condition Space for future systems (Network, Weighbridge Monitoring Rollingstock, PN, BMA etc) 75
Slide 76: Improved mechanisation – leading to velocity improvements
Improved mechanisation – leading to velocity improvements 76
Slide 77: Network Planning, Scheduling & Execution
Network Planning, Scheduling & Execution Advanced Planning and Execution System (APEX) Sarah Dixon – GM Network Operations CQCN
Slide 78: Presentation outline
Presentation outline 1 Managing Australia’s largest export rail network 2 Network Operations CQCN on a page 3 Network Operations CQCN strategy and vision 4 Network Operations CQCN activities 7 outcomes 5 Planning and scheduling 6 Day of Operations 7 Business systems and improvement 8 Recent transfor
Slide 79: Managing Australia's largest export rail network
Managing Australia’s largest export rail network Managing track access to 2,700km of rail network with 1,800kms of overhead equipment Loading at 44 mines Delivering to 5 export coal terminals and 7 domestic customers Communicating with 6 Rail Operators 5 year tonnage profiles showing conti
Slide 80: Network Operations CQCN on a page
Network Operations CQCN on a page Teams Responsibilities KPIs Transformation Value Add 4 x 6 month Closure Calendar and Utilisation of Planning Reset Process Review Capacity Forecast capacity APEX¹ Planning & Scheduling Planning & Alignment of maintenance Increased module Scheduling activi
Slide 81: Network Operations CQCN Strategy & Vision
Network Operations CQCN Strategy & Vision Network Operations CQCN Vision for FY16 is that we are To achieve this vision, we consistently act in line with our valued partners in our supply chains through: five Golden Rules: World class results that are mutually beneficial We We deliver communicate Pr
Slide 82: Network Operations CQCN Activities & Outcomes
Network Operations CQCN Activities & Outcomes Short Term Day of Performance Capacity Planning Tactical Planning Scheduling Planning Operations (DOO) Review Main activities for Network Operations CQCN: Critical Asset Activity and Capacity Planning (with respect to long term capital programs, networ
Slide 83: Planning & Scheduling
Planning & Scheduling Weekly Path Availability Capacity Forecast Team size: 23 staff in Mackay and Rockhampton Planning Horizons: Long term (1 - 2yrs); Tactical (6mths - 21days); and Short term (21 day, 7 day, 48 hrs & 24 hrs) Network Operations Pathing Planner Main Activities: Balancing t
Slide 84: Day of Operations
Day of Operations Team size: 108 staff in 24/7 live run environment of Network CQCN Control Centre, based in Rockhampton 18 staff in Jilalan, Callemondah and Gladstone yards 7 staff based across CQCN Fault Control Centre Main activities: Managing train movements and track access and possessi
Slide 85: Business Systems and Business Improvement
Business Systems and Business Improvement Team size: 16 staff across Brisbane, Rockhampton and Mackay Main activities: Analysing and reporting on performance across CQCN Identifying opportunities to improve volume throughput or increase velocity Implementing change through disciplined projec
Slide 86: Network Operations CQCN Transformation
Network Operations CQCN Transformation Recent Transformation Activities Remaining Business Need Consolidation of Mackay and Support planning and execution with Rockhampton based Control Centres increasing complexity to form CQCN Control Centre in − More mine to port combinations Rockhampton (201
Slide 87: APEX – Advanced Planning and Execution
APEX – Advanced Planning and Execution APEX is a transformational tool integrating industry proven technologies into a single solution to optimise planning, scheduling and day of operations for the Central Queensland Coal Network Network Forecasts Plan and Schedule Real-Time Planning Conflict Resolu
Slide 88: APEX delivered in three phases
APEX delivered in three phases… Now 2012 2013 2014 2015 2016 Movement Planner (Foundation) Release 2 Planning & Scheduling Release 2 Movement Planner (Advanced) Movement Planner (Foundation) Planning & Scheduling Movement Planner (Advanced) Electronic time-distance graphs Network plan and schedu
Slide 89: Visible change from APEX
Visible change from APEX Paper Train Diagrams currently used Paper Train Control diagrams are currently used by Network Controllers These are created through manual manipulation of templates to find a ‘best fit’ for services requested by Rail Operators APEX will replace paper diagrams with ele
Slide 90: Benefits & opportunities for the entire coal supply chain
Benefits & opportunities for the entire coal supply chain APEX integrates across Network long term planning to scheduling and day of operations execution to provide throughput, customer satisfaction & planning efficiency benefits. KPIs Utilisation Capacity Throughput Increase in On Time Port Arrival
Slide 91: Control Centre Tour
Control Centre Tour Darryl Johnson – Control Centre Manager
Slide 92: Presentation outline
Presentation outline 1 Network Day of Operations 2 Network Operations CQCN Control Centre 3 Network Controller Training 92
Slide 93: Network Day of Operations
Network Day of Operations Managing 2,700km of network with 1,800kms of overhead equipment Loading at 44 mines Delivering to 5 export coal terminals and 7 domestic customers Communicating with 6 Rail Operators 9 x Control Boards in consolidated Control Centre − Newlands − Goonyella (West, F
Slide 94: Network Consolidated CQCN Control Centre
Network Consolidated CQCN Control Centre Manage the interface between coal and freight trains, high and low speed passenger trains, livestock, level crossings, occupational crossings and maintenance works Direct the movement of trains and maintenance rollingstock across the network Network Con
Slide 95: Network Controller Training
Network Controller Training Network Control needs to perform highly skilled and safety critical work that carries with it a high level of responsibility The transformation of the Network Controller Training Programme has delivered increased safety and production performance Five key training and
Slide 96: Investor Briefing – Driving Value
Investor Briefing – Driving Value Day 2 – 28 October 2014