Jan Classon and Mario Inostroza S. April, 2010 Underground mining seminar ABB in the future of underground mining © ABB Group April 12, 2010 | Slide 1 AGENDA 1. © ABB Group April 12, 2010 | Slide 2 ABB & Business Unit Overview 1. A global leader in power and automation 2. Innovation is competitive advantage 2. Market Trends & Driving Force in Mining 3. Underground Mines Challenges 4. Future of Underground Mining 5. ABB Building the Future 6. References in underground mine 7. Conclusion and Question A global leader in power and automation technologies Leading market positions in main businesses © ABB Group April 12, 2010 | Slide 3 117,000 employees in about 100 countries $32 billion in revenue (2009) Formed in 1988 merger of Swiss and Swedish engineering companies Predecessors founded in 1883 and 1891 Publicly owned company with head office in Switzerland ABB portfolio covers: Electrical, automation, control and instrumentations for power and industrial processes Power transmission, distribution solution and low voltage products Robots and robot systems. Innovation is key to ABB’s competitive advantage Leadership built on consistent R&D investment * Comprises non-order related R&D and order-related development More than $1 billion invested annually in R&D* 6,000 scientists and engineers Collaboration with 70 universities © ABB Group April 12, 2010 | Slide 4 MIT (US), Tsinghua (China), KTH Royal Institute of Technology (Sweden), Indian Institute of Science (Bangalore), ETH (Switzerland), Karlsruhe (Germany) Market trends & driving forces Safety, health and live quality – a strong driving force! Deeper and remote location © ABB Group April 12, 2010 | Slide 5 Increasing share of underground mines in the future Decrease in capital expenditure, cost and energy used Environmental issues Closure mines Water and waste treatment Energy efficiency Emissions - Kyoto agreement More regulations – MINER Act 2006, EU Difficulty to recruit fully-qualified workforce and the necessity of new organization structure Intelligent integrated mine operations Underground Mine Challenges © ABB Group April 12, 2010 | Slide 6 Decreasing copper grade of the mineral and deeper mining exploitation. Harder Complex minerals, less joints and presence of contaminants. Mines are located in remote areas Bigger transport distances for minerals Intensive fuel energy used with high C02 emissions Many real time information Material movement is a huge burden - thus goals of more primary separation as early in the process as possible Harsh environment and risks inside the mine Increasing demands in sustainable development, live quality of workers, intensive bargaining with Communities and high environment requirements. Future Underground Mining* FUTURE PRESENT Con Min s imum tinuous ou mini A u to m w o o n rker nom g n g s ins ous uto inin ide t equi A h p me M nt an e mine d pr oces ses A u to mate Som d pr e re oces mote ses Cen trali oper zed a t i ons cont rol room s All work ers Low Intensiv insid e u e th tech se o nolo e m f fo ine gica l an ssil d au ener toma g ted y proc esses PAST *Future mining conference 2008, CODELCO and ABB © ABB Group April 12, 2010 | Slide 7 e Tim l g a Re inin M l na o i t i g ad Tr inin M Surface plants ABB in Mining Concentration plants Pelletizing plants (Train) loading systems Ventilation Systems Water Treatment Plant Earthworks Electrical Substation Sewage Water Systems Domestic Water Systems Process Water Systems Surface Pumps Conveying/Crushing ELS Refill plants (paste) Main control room - Surface Hoisting systems On demand ventilation Instrumentation Ventilation Process equipment Fan control Door control Blasting Fire handling Mobile assets Water handling Pump systems Machine Tracking Manpower tracking Train control © ABB Group April 12, 2010 | Slide 8 Machine control Loading pockets Crushers Sheeders Feeders Conveyors ABB Building the Future Workplaces Servers Control Network Integration Electrical, Automated control and Instrumentation Process through DCS (800xA) Regenerative Variable Speed Motor Drives for conveyor belt and hoist system Development in Ultrahigh voltage Partnership with GIA Industri AB in Kiruna Electric Truck Partnership between IBM and ABB: main strengths are: Enterprise application and Industry automation expertise. Controllers Fieldbus Network AIS GIS Proxies MV MV Switchgear Drives HV Power trafo © ABB Group April 12, 2010 | Slide 9 LV Switchgear Distribution trafo Drives LV Products Remote I/O to other buses Valves Instrumentation Electrical Integration with ABB System 800xA MES and Business Systems Knowledge Portals as Thin Clients Remote Operator and Engineering Clients ECS, ISA-95, OPC… Extended Operator Workplace Serial, OPC.. Maintenance Operation Operation Engineering 3rd party PLC’s System Servers Ethernet Control Network Process Electrification LV & MV Process Automation - Switchgears - Smart MCC’s - Frequency converters - Multi-drive Local Panels Power Distribution Power Management Process Instrumentation - Network control & protection - Load Shedding © ABB Group April 12, 2010 | Slide 10 TCP/IP IEC61850 Safety ABB references in underground mines CANADA: ABB Scope A full suite of automation and power solutions New hoisting plant Ventilation on demand system Automation system in pumping, drills, Scoops and truck Haulage Fixed and mobile asset monitoring Manpower tracking and Energy savings programs CHILE: COM © ABB Group April 12, 2010 | Slide 11 Business Model which includes: Technology + APS First 8-year Contract signed by Codelco for Technology Supply, Performance Based Maintenance Service, and Financing. First centralized real time Assets Management system for Underground Mines. ABB references in mines (Cont.) Sweden Very long experience in the Underground Mining Industry Currently more than 650 mine hoists delivered to > 30 countries First system delivered Boliden Sweden 1937 LKAB Kiruna, Sweden 2008 Brazil © ABB Group April 12, 2010 | Slide 12 Robotic truck washing: Cycle time reduction Increase truck availability Productivity Better working conditions Conclusion ABB could be a good partner for CODELCO in order to build the future. © ABB Group April 12, 2010 | Slide 13 © ABB Group April 12, 2010 | Slide 14