IM 2020 March 20 | Page 52

HIGH PROFILE Steering the electric mine revolution The Electric Mine 2020 keynote speaker puts the latest mine electrification phenomenon into perspective andvik Mining and Rock Technology, last year, made a clear statement to the underground mining equipment sector with the acquisition of Artisan Vehicle Systems: the future is electric. With this acquisition having bedded in and International Mining Events’ The Electric Mine 2020 conference, in Stockholm, Sweden, just around the corner, IM caught up with Sandvik Mining and Rock Technology President, Henrik Ager, to get his views on current industry demand for electric solutions and what other elements could come into the OEM’s electrification offering in the future. S IM: In your keynote presentation title for the upcoming conference you have highlighted two benefits to electrification, namely ‘productivity’ and ‘sustainability’. Would you say these are the two most important criteria for companies adopting, or thinking about adopting, electrification solutions? HA: Productivity, or rather mining economics, is still the primary driver for any technology change. If applying new technology allows you to lower your cost or get more tonnes out of the operation, it tends to make sense. If it doesn’t, it rarely makes sense. For electrification, we are getting to the point where, when you compare a diesel machine with an electric machine, the economics are starting to be on a par. The electric machines tend to be more expensive from a capital expenditure (capex) point of view, but this upfront capital is coming down; we haven’t yet made that many machines but when we scale up production the price will likely fall further. Within this, the batteries are, of course, a big capex item. To get around this, we will most likely end up selling the battery as a service to customers, so they pay per kilowatt hour as opposed to investing outright in batteries. Some of the benefits of using electric machines include the maintenance costs being significantly lower than with diesel-powered equipment. You are also seeing you can get more productivity out of the machines – with any electric motor, you get a lot of torque. This latter point is of use in many applications. For example, when you are running an underground loader and loading your bucket, torque control is very important. Being able to precisely control this and get as much traction from the tyres as possible allows you to more accurately load the bucket. We should, therefore, see better fill factors on the bucket with these electric drivetrains; if you end up getting 10% more in your bucket every time, it makes a difference. From an economic point of view, you also have the potential ventilation benefits of having an Sandvik has just delivered its 600th cable-electric loader to LKAB’s Kiruna iron ore mine, in Sweden 48 International Mining | MARCH 2020 “We predominantly make expensive and productive machines. We don’t make low cost or low productivity machines,” Henrik Ager says electric drivetrain. The electric drivetrain will put out some heat, but it is about one eighth of what a diesel drivetrain puts out. Obviously, there are no diesel particulates either, so you need to ventilate a lot less. If you start inputting that into your mine plan, then you end up saving a lot of capex on ventilation shafts. That can bring an orebody into being economically viable where it wasn’t before. While that is not the case for all mines and orebodies, it is relevant for many of them. IM: Does that total cost of operations argument overcome upfront capex concerns in countries that are known to be more price sensitive? HA: There are some geographies where price is more prominent and others where it is less prominent. But, to put this into perspective, we predominantly make expensive and productive machines. We don’t make low cost or low productivity machines. So, we have been fighting with this same issue for a long time. Yes, it is more difficult to overcome capex issues in some places, but there are still customers in these areas that look at the full productivity dynamic and realise the cost of the machine is only one piece of the puzzle. In general, the more you