Spotlight Feature Articles DINGO Internet of things Nov16 | Page 2

INTERNET OF THINGS Bringing it all together The terms Big Data and Internet of Things do mean mine wide and complex solutions but at a smaller scale they also incorporate the smallest sensors and instruments, reports Paul Moore I n a recent interview with Canada’s The Globe and Mail, John Chambers, Executive Chairman of Cisco and John Thornton, Executive Chairman of Barrick Gold gave their take on how far behind mining is in terms of digitalisation and how they are working to address this in partnership: “Canada was built on its mining heritage. Today, the industry contributes about C$54 billion a year to Canada’s gross domestic product – a driving force of the national economy. Yet mining lags behind other industries in one critical aspect: digital innovation. That shortcoming significantly threatens the industry’s ability to meet future demands and survive in the digital age. By 2020, 75% of businesses will be a digital business or preparing to become one. Companies that fail to embrace this trend will not survive.” They continued: “Mining needs to reinvent itself. The only way companies will cut costs and increase efficiency will be to embed digital technologies in every dimension of how mines are operated and managed. This transformation will require technology companies and the mining industry to partner together in new ways. We are already seeing such partnerships take root. Last week, Cisco and Barrick Gold teamed up for the digital reinvention of Barrick’s International Mining | NOVEMBER 2016 business. Over the course of the partnership, Barrick and Cisco will bring digital capabilities to Barrick’s entire organisation, from its mines around the world to Barrick’s head office in Toronto. For instance, advanced sensing technology and real-time operational data will improve decision making. Equipment will be automated for increased productivity and worker safety. Predictive algorithms will enhance the precision and speed of maintenance and metallurgy. And real-time data will provide greater transparency to local partners, from indigenous communities to governments. Digital technologies will enable Barrick’s leaders to make decisions with greater speed, precision and productivity, and will better equip them to assess and mitigate risk. For example, real-time data, analytics and predictive tools will allow company leaders to work together across the organisation. An enterprisewide analytics hub will enable performance management and financial and operational benchmarking. And new digital tools will improve scenario planning and portfolio management.” The statement concluded: “Finally, digital technology will improve Barrick’s environmental and safety performance. Predictive data and analytics will improve management of energy, GE Predix-based applications connect mining and minerals processing assets – collecting and analysing data and delivering real-time insights for optimising infrastructure and operations water and emissions. Real-time data capture will allow the company to be even more transparent with, and accountable to, its local partners. And the use of digital technology will enhance Barrick’s permitting activities, further increasing transparency to stakeholders. Together, these innovations will enable Barrick to deliver better, faster and safer mining. Here is just one metric: Barrick expects to reduce its production costs from approximately $800 an ounce of gold to less than $700 on a sustainable basis – a quantum improvement that would be unmatched in the gold-mining industry. More broadly, the partnership could serve as a model for digital transformation across Canada’s business community, which has the potential to grow the economy and create jobs.” Over the course of the collaboration, Barrick and Cisco will focus on research and development, and jointly use their networks and expertise to drive Barrick’s digital reinvention. In the first step of the collaboration, Barrick and Cisco will work together to develop a flagship digital operation at the Cortez mine in Nevada – “embedding digital technology in every dimension of the mine to deliver better, faster, and safer mining. The goal at Cortez is to redefine best-in-class mining.” GE’s Digital Mine At MINExpo 2016, GE Mining, a division of GE Transportation, unveiled the Digital Mine, described as “a suite of technologies that can improve performance, reliability, safety and operations. Each mine is a mini-city, requiring power, water and transportation. Intelligent, real-time monitoring across the mine, allows operators to make data-driven decisions that improve equipment reliability and optimise mine