Anglo American plc · LSE:AAL
Anglo American — Bulks Seminar & Site Visit, Brisbane 2019
22 slides from Anglo American's conference presentation, Nov 12, 2019
Slide 1: Operational Excellence & Technology
OPERATIONAL EXCELLENCE & TECHNOLOGY Dave Palmer, Head of P101 Bulks Seminar & Site Visit: Brisbane, 12 November 2019 Drone at Kolomela
Slide 2: Cautionary Statement
CAUTIONARY STATEMENT Disclaimer: This presentation has been prepared by Anglo American plc (“Anglo American”) and comprises the written materials/slides for a presentation concerning Anglo American. By attending this presentation and/or reviewing the slides you agree to be bound by the following con
Slide 3: Operational Excellence & Technology: Embedded in Everything We Do
OPERATIONAL EXCELLENCE & TECHNOLOGY: EMBEDDED IN EVERYTHING WE DO Redefining best-in-class Innovation, technology & performance digitalisation A more productive, more efficient, sustainable business 33
Slide 4: Delivering Significant Value Through Operational Excellence & Technology
DELIVERING SIGNIFICANT VALUE THROUGH OPERATIONAL EXCELLENCE & TECHNOLOGY $0.5bn delivered since 2017 of $1-1.5bn targeted by 2022 $1-1.5bn Met Coal longwalls ~$0.8bn Minas-Rio beneficiation ~$0.3bn $0.5bn Kumba beneficiation ~$0.15bn Nickel bulk ore sorting ~$0.1bn Open cut equipment performance ~$0
Slide 5: Operational Excellence
OPERATIONAL EXCELLENCE Double-sided loading at Kolomela
Slide 6: Operating Model Key to Transformation Journey
OPERATING MODEL KEY TO TRANSFORMATION JOURNEY Labour, materials & equipment Operational planning Set Work management expenditure Resourcing schedule Business expectations Set production Set strategy Set operating Approve work / Set Business Plan Schedule Execute Process performance master cost expec
Slide 7: Achieving & Redefining Best-in-Class Performance
ACHIEVING & REDEFINING BEST-IN-CLASS PERFORMANCE Open cut equipment performance Clarity of purpose & focus Operating Equipment Efficiency % Aspirational targets Operating Model 2009 2011 2013 2015 2017 2019 2021 2023 Seeking & sharing best practice Met Coal Thermal Coal Minas-Rio Minas Rio Kumba Kum
Slide 8: Met Coal: Longwall of the Future
MET COAL: LONGWALL OF THE FUTURE Establish foundations Improved performance Redefine best-in-class +100% cutting time +140% cutting time +200% output +370% output 50 hrs/wk cutting time 100 hrs/wk 120 hrs/wk at 1,300 t/hr 2,000 t/hr 2,550 t/hr 65 kt/wk output 200 kt/wk 306 kt/wk 88
Slide 9: Significant Large Rope Shovel Improvement Delivered Across Bulks
SIGNIFICANT LARGE ROPE SHOVEL IMPROVEMENT DELIVERED ACROSS BULKS Mine planning +26% +36% 45.4Mtpa 38.8Mtpa P100 Utilisation 28.6Mtpa (ave) Productivity Equipment 2015 2019 2024 target Collaboration Dawson Capcoal Sishen 99
Slide 10: Minas-Rio: Now Delivering
MINAS-RIO: NOW DELIVERING Plant performance Quality ore +28% +1% Consistent feed rates and quality 99% 100% Stabilised process 77% 2015 2019 2024 target Plant optimisation ROM kt/week Pipeline outage (2018) Grade decline (2017) 28% production increase from improved mass recovery 2015 2016 2017/18 20
Slide 11: Technology
TECHNOLOGY Grosvenor longwall
Slide 12: Technology: Key to Unlocking Full Potential
TECHNOLOGY: KEY TO UNLOCKING FULL POTENTIAL Identify, adapt & effectively deploy value adding technologies Productivity, Utilisation of Safety Sustainability efficiencies & resources effectiveness Identify game changer Prioritise value Whole value chain approach Leverage collaboration Technology as
Slide 13: Step-Change Beyond Operational Excellence: FutureSmart Mining
STEP-CHANGE BEYOND OPERATIONAL EXCELLENCE FutureSmart MiningTM Game-changing technology; data analytics; sustainability Kumba Ultra High Density Media Separation Longwall of the Future Nickel bulk ore sorting Advanced Process Control Technology for safety Technology for sustainability 13 13
Slide 14: Bulk Ore Sorting at Barro Alto
BULK ORE SORTING AT BARRO ALTO Nov 2019: First unit installed 2021: Next 2 units ~$10m Capex per unit 30% grade enrichment target 15% unit costs improvement target 14 14
Slide 15: Unlocking Sishen Resource Endowment
UNLOCKING SISHEN RESOURCE ENDOWMENT Ultra High Density Media Separation (UHDMS) Nitrogen gas atomisation produces a finer, more regular and better distributed separation media 15-20% potential reduction in cut-off grade 10-15% potential lower strip ratio Milled Steam atomised Nitrogen gas-atomised E
Slide 16: Digital Transformation: Advanced Process Control
DIGITAL TRANSFORMATION: ADVANCED PROCESS CONTROL Advanced Process Control Technology Uses process models APC controllers in place rather than manual control Honours the process & equipment operating constraints Optimises process performance Greenside, Thermal Coal Kolomela Moranbah North Minas-Rio 3
Slide 17: Technology for Safety: Examples
TECHNOLOGY FOR SAFETY: EXAMPLES Proximity Collision detection avoidance Incident avoidance Automatic control & underground by stoppage of trucks to preventing people- prevent collisions machine interactions Fatigue U/G mobile management devices Tablets used Detect & prevent low underground to assist
Slide 18: Technology for Sustainability: Met Coal Underground Gas Emissions Management
TECHNOLOGY FOR SUSTAINABILITY: MET COAL UNDERGROUND GAS EMISSIONS MANAGEMENT Gas is 97% of Met Coal GHG emissions Seam degassing required for safety Waste gas capture 145MW of power generation 63% reduction in GHG emissions Power generation from waste gas is: More than Enough to power Eq emissions r
Slide 19: The Next Step-Changes: FutureSmart Mining
THE NEXT STEP-CHANGES FutureSmart MiningTM Continuous innovation to stay 3-5 years ahead of the field Data analytics Mining low permeability coal Dry tailings storage Minas-Rio coarse particle flotation Barro Alto low grade ore leaching Sishen low grade beneficiation Minas-Rio in-pit crushing & conv
Slide 20: Digital Transformation: Data Analytics
DIGITAL TRANSFORMATION: DATA ANALYTICS Data platform Longwall cavity prediction Ingest data from sites, sensors, SAP & external Predicting cavity formation sources Enable P101 benchmarking and analysis 2020 value target of $45m Processing optimisation Asset monitoring, predictive maintenance Optimis
Slide 21: Coarse Particle Flotation: Minas-Rio
COARSE PARTICLE FLOTATION: MINAS-RIO 20% of feed rejected as silica sand Improved product quality & consistency Reduced tailings volumes ~$500m 15% 20-30% potential NPV uplift water saving mill energy reduction 21 21
Slide 22: Summary
SUMMARY Leading capabilities actively transforming a world class asset base to drive sustainable, competitive returns Redefining best-in-class performance Innovation, technology & digitalisation 22 22
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