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Gawie Reyneke MESA Africa Conference Presentations 2016 - 16 Nov

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Mastering the Fourth Industrial<br />

Revolution – Smart MOM 4 Industrie<br />

17/18 <strong>Nov</strong>ember <strong>20<strong>16</strong></strong><br />

Operational Management Systems In The<br />

Mining Environment<br />

<strong>Gawie</strong> <strong>Reyneke</strong><br />

Do you know <strong>MESA</strong>?


Agenda<br />

• Lonmin<br />

• Where did Lonmin OMS start<br />

• System Framework and Modules<br />

• LoT & Integration<br />

• System Acceptance<br />

• Conclusion<br />

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Company Background<br />

Lonmin is listed on the stock exchange in<br />

London and Johannesburg. The company<br />

engages in the discovery, extraction,<br />

refining and marketing of platinum group<br />

metals and is one of the world’s largest<br />

primary producers of PGM’s<br />

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Introduction<br />

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Journey<br />

Where did it all Start?<br />

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Metals Accounting<br />

• Principles of System<br />

– Common across the business in South <strong>Africa</strong> and London<br />

– Web based and accessible from any internal web location<br />

– Architecture that allows for easy storage, search and<br />

retrieval of information.<br />

• Common data warehouse<br />

• One version of the truth<br />

– Single point entry of data<br />

• Quality control at source<br />

• Eliminate spreadsheets as repository<br />

• Eliminate data re-entry and manipulation<br />

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MII<br />

MII<br />

Original Architecture<br />

OMS<br />

Integrated Objects<br />

Wonderware<br />

ArchestrA<br />

CSense<br />

MII<br />

Central Production<br />

Repository (S95)<br />

Mincom<br />

MII<br />

Portal<br />

Concentrator<br />

Control Systems<br />

Raw Data<br />

Non Validated<br />

Transactional & Batch Data<br />

Shift, Day, Week, Month<br />

Feed Product and MIP<br />

Calculations<br />

Real vs Published Data<br />

Data Sign off and approval<br />

Instrumentation<br />

- Flows<br />

- Weightometers<br />

- Density<br />

•LIMS<br />

•Weighbridge<br />

•Batch Systems<br />

•Material Tracking<br />

MII<br />

Implementation of<br />

business Logic<br />

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Registered Users<br />

• 200 Registered Users 30-40 active users<br />

508<br />

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Was Metals Accounting Successful?<br />

For sure….But!!!<br />

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#ItsAlone<br />

#Ping AnyOne<br />

• Production Requires<br />

• Process Reporting<br />

• Production Reporting<br />

• Weighbridge Movements<br />

• Delays<br />

• Charting<br />

• Material Tracking<br />

• Logsheets<br />

• Metals Accounting<br />

• Trending<br />

• …<br />

This is not my system it is for somebody else<br />

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Framework Core<br />

MES Framework<br />

ecWIN<br />

Integration<br />

Engine<br />

Datapoint<br />

Manager<br />

Data<br />

Collection<br />

Engine<br />

Event<br />

System<br />

Time Period<br />

Scheduler<br />

Databroker<br />

Aggregation<br />

Engine<br />

Calculation<br />

Engine<br />

Entity Relationship Model<br />

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Hardware Platform<br />

• Virtual Servers (Hyper-V Server 2012 R2)<br />

• Internal<br />

– Application server<br />

– Database server<br />

– Web server<br />

• 3 rd Party<br />

– LIMS Sever<br />

– Mincom Server<br />

– MII Server<br />

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Integration<br />

Locally Stored<br />

DataBroker<br />

Locally Stored<br />

DataBroker<br />

Locally Stored<br />

Virtual<br />

DataBroker<br />

IOT<br />

DataBroker<br />

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Modules<br />

…<br />

Tanker<br />

Plan<br />

LOS<br />

Balancing<br />

Block<br />

OPM<br />

OMS<br />

LIMS<br />

RockIT<br />

Loop<br />

Monitoring<br />

OEE<br />

Processing<br />

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LOS<br />

1. Need for a clear “line of sight” from the highest to lowest level in<br />

company focusing on:<br />

• Safety;<br />

• People;<br />

• Production and<br />

• Cost<br />

2. Line of sight Project were designed to:<br />

• Integrate current systems and processes which are imbedded within<br />

Lonmin (MineRP, SACO, Planning)<br />

• Tool for production gangs to manage and control performance<br />

• Inform line management with real time data regarding daily<br />

performance, actions taken and assistance required through automated<br />

escalation.<br />

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LOS – The Difference<br />

1. No Real time Data from Devices and PLC’s<br />

2. Nothing to do with S95 (Sites, Enterprises, PU, Units and<br />

Cells)<br />

3. No Manufacturing<br />

300<br />

20,000<br />

Time:<br />

20 mMonths<br />

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LIMS Reporting<br />

• Real Time Reporting<br />

• Have visibility of LAB results across business<br />

Marikana Operations 3500<br />

120<br />

Brakpan Operations 4300<br />

10,000<br />

Time:<br />

2 mMonths<br />

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Metals Accounting<br />

• Single version of the truth<br />

• Sustainability<br />

• Speed<br />

47<br />

1500<br />

Time:<br />

9 Months<br />

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Processing Module<br />

• Logsheets<br />

• Checklists<br />

• Charting<br />

380<br />

32000<br />

Time:<br />

As Required<br />

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RockIT<br />

• Capture inspection results<br />

• Generate an initial risk classification based on results captured.<br />

• Integrate with Line of Sight for better inspection planning.<br />

• DMR Requirement<br />

• Benefits:<br />

– Improved reporting turn-around time.<br />

– Improved accuracy.<br />

– Designed with various validation and checks<br />

– Improved inspection planning.<br />

– Accountability for inspections.<br />

20<br />

850<br />

Time:<br />

6 mMonths<br />

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OEE<br />

• Align with industry<br />

• Manage performance of plant<br />

• Part of Bonus Incentive<br />

80<br />

1500<br />

Time:<br />

1 mMonths<br />

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OPM Automation<br />

• By doing the Automation as an Internal Team an estimated<br />

saving based on previous experience is calculated between<br />

R20m-R30m<br />

• A combined effort between Processing technology and<br />

Automation, enabled Lonmin to implement a process which<br />

resulted in an overall efficiency increase of more than 10% on<br />

one of the precious metals products which translates to a once<br />

off cost saving of R300m<br />

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OPM Automation<br />

• Difference<br />

– Full Automation, PLC, SCADA and MES<br />

– Batch System<br />

– Logsheets<br />

– Reporting • Batch<br />

• Aggregate<br />

• Calculate<br />

100<br />

2500<br />

200<br />

Time:<br />

8 Months<br />

150<br />

100<br />

50<br />

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Loop Monitoring<br />

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Chemical Forecasting<br />

Chemical Forecasting supports the business to<br />

simply the planning process with regards to<br />

Variable costing at the PMR.<br />

• Benefits<br />

– Finance team has the ability to run What-If scenarios<br />

and find optimized solutions for different production<br />

scenarios<br />

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Bulk Chemical Costing<br />

Provides a model used by the PMR that enables<br />

them to draw a line between the variable cost<br />

and fixed cost per plant or process.<br />

• Benefits<br />

– PMR is a chemistry plant thus this functionality<br />

allows them to plan, forecast accurately and<br />

enable them to determine the efficiencies in their<br />

variable consumptions.<br />

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Planned Maintenance<br />

• The strategy from the Engineering<br />

Maintenance department is to move from a<br />

fixed term to a utilization or condition based<br />

maintenance module.<br />

– Notification<br />

– Measurements<br />

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Weighbridges<br />

• 5 Weighbridges<br />

• Configuration centralised<br />

• Ability to run offline<br />

• Automatic sync of master data<br />

• Automatic sync between weighbridges<br />

• Automatic sync of data<br />

• Fully Integrated to framework<br />

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Event System<br />

Tanker Model<br />

Smelter Tanker Plan<br />

Assist with improved pre-blending of the<br />

concentrate to the furnaces.<br />

– The % of Cu+Ni in the concentrate<br />

– The % of Sulphur in the concentrate<br />

Weighbridges<br />

LIMS<br />

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Balancing Block<br />

• Metals Accounting<br />

• Water Balance<br />

• Energy Balance<br />

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Client Side Architecture<br />

Modules<br />

Balance Block<br />

Assay Data<br />

Calculation 1<br />

Calculation 2<br />

Mass Data<br />

Calculation 3<br />

Energy Data<br />

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System Acceptance<br />

1000<br />

900<br />

800<br />

700<br />

600<br />

500<br />

400<br />

300<br />

200<br />

100<br />

0<br />

RockEngineeringModule<br />

WeighbridgeAdministration<br />

Processing Module<br />

MSTPC<br />

LIMS Reporting Module<br />

70000<br />

60000<br />

50000<br />

40000<br />

30000<br />

20000<br />

10000<br />

RockEngineeringModule<br />

WeighbridgeAdministration<br />

Processing Module<br />

MSTPC<br />

LIMS Reporting Module<br />

0<br />

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System Statistics<br />

• 600 Gig Database<br />

• 380,000 Entities<br />

• 27,000 Datapoints<br />

• 3,000 Calculated Datapoints<br />

• 8,300 Relationships<br />

• ~750,000 events per day<br />

• 4-6 Developers<br />

• 2 System Administrators<br />

• Standby < 3 calls per month<br />

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#ImAlone<br />

#PingAnyOne<br />

#PingReply<br />

OEE<br />

#PingReply<br />

Mat Tracking<br />

#PingReply<br />

LOS<br />

#PingReply<br />

Lims Report<br />

Metal<br />

Accounting<br />

#PingReply<br />

RockIT<br />

#PingReply<br />

Charting<br />

#PingReply<br />

Forecasting<br />

#PingReply<br />

Tanker Plan<br />

#PingReply<br />

Loop Mon<br />

#PingReply<br />

Planning<br />

#PingReply<br />

Proc Data<br />

#PingReply<br />

Logsheets<br />

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Lonmin Roadmap<br />

Mobile<br />

Modelling<br />

Smart Mining<br />

APC<br />

<strong>20<strong>16</strong></strong><br />

LOT<br />

IOT<br />

ML<br />

Optimize<br />

Control<br />

2013 - 2015<br />

2011-2012<br />

2010 – 2011<br />

•KPI Calculations<br />

•Systems Integration<br />

•Reduce Complexity<br />

•Log-Sheets<br />

•OEE & Downtime<br />

•Production Tracking<br />

•Material Tracking<br />

•MES Framework<br />

•Common Tools<br />

•Common Building Blocks<br />

Standardize<br />

&<br />

Cross Plant Rollout<br />

Rollout Base<br />

Functionality<br />

Create Platform<br />

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Conclusion<br />

• Started for a Need Metals Accounting<br />

• Build a solid Foundation<br />

• Rolled out functionality as requested by<br />

business<br />

• Touching a huge user base<br />

• Have a solid Base for Smart Manufacturing<br />

• Will Lonmin continue In-house Development<br />

– ??<br />

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Q & A<br />

<strong>Gawie</strong> <strong>Reyneke</strong><br />

gawie.reyneke@lonmin.com<br />

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To Improve Your Success…<br />

www.mesa-africa.org<br />

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