Tag Archives: battery-powered equipment

Sandvik on the growth path with Artisan as mine electrification takes hold

Sandvik’s Artisan business unit is continuing to ride the battery-electric vehicle wave in mining, having just moved premises in California, USA, to expand its production and testing capabilities.

Based in Camarillo, Artisan has been on a steep growth trajectory since it was established just over a decade ago. Having initially manufactured machines for several OEMs in the mining sector, the company was acquired by Sandvik in 2019. It had revenues of $12.3 million and approximately 60 employees back in 2017.

Both of these numbers have accelerated in line with increased take-up – and an expansion – of its battery-electric solutions for mining since it became a business unit of Sandvik.

Artisan’s 4-t (A4) and 10-t (A10) battery-electric underground loaders have found their way into mines in Canada and the US, while its 50-t Z50 haul truck has found a home in mines in Canada, the US and Australia. One of the bigger deployments has been at the Barrick Gold majority-owned Turquoise Ridge underground mine in Nevada, USA.

More recently, the portfolio was broadened with an 18 t LHD called the LH518B. This machine is the first true collaborative design effort between Sandvik and Artisan, marrying Sandvik’s underground mining engineering expertise with the Artisan™ battery system and electric driveline to “best leverage the possibilities that the battery technology brings”, the companies say.

This machine’s first deployment will be at a gold mine in British Columbia, Canada, but Artisan has also booked several orders for it in Australia, one of these being for Kirkland Lake Gold’s Fosterville gold mine, in Victoria.

With a range of new battery-powered equipment in the pipeline, Artisan has moved into a larger facility in California that will help it build these new vehicles from the ground up.

“We’re definitely growing in Camarillo,” Artisan’s Vice President of Technology, Brian Huff, told IM recently. “The move to a larger facility comes at the same time we are ramping up a lot of hiring in terms of engineering and manufacturing personnel.”

Artisan’s new facility comes with a test ramp with a 20% grade and a whole area for mucking on the property (pictured above).

“This will allow us to do a lot more development testing in a short period of time, giving us an advantage in terms of validation testing and trials of new designs and tools,” Huff said.

The potential for speeding up Artisan’s time to market will be increasingly important as more mines replenish fleets with battery-electric equipment.

As COVID-19-related restrictions ease, expect the new testing facility – and the manufacturing plant – to be regularly frequented by mining companies eyeing these new solutions.

Rokion battery-powered vehicles hit new depths at Vale Creighton

As Vale continues to go deeper at its Creighton nickel mine, in Sudbury, Canada, it is adopting alternatives to its fleet of diesel-powered haulage, loading and utility vehicles in a bid to lower operating costs and improve environmental conditions for personnel that could eventually be working nearly 3 km underground.

Vale’s PowerShift strategy, part of the miner’s 2030 sustainability goals, aims to make the company’s energy matrix “clean” by focusing on the use of renewable energy and alternative fuels, greater efficiency of operations using new technologies, and forest promotion. As part of this strategy, it will test and adopt existing ‘green’ solutions as well as develop technologies with the potential for greater impact on its carbon footprint.

This has involved the use of Rokion’s battery-powered personnel carriers/utility vehicles at Creighton.

The company has been working with Rokion for close to two years after placing an order for three of its vehicles for the Creighton mine. Alongside these vehicles are other battery-powered haul trucks, loaders and production support machines supplied by the likes of Epiroc and MacLean Engineering. All these machines are being added to the fleet as the company looks to access deeper, more ventilation-constrained areas of the mine.

Todd Van Den Enden, Process Superintendent at Creighton Mine, told IM recently that the Rokion R100, R200 and R400 units had been “very well received at Creighton Mine” and the company had moved forward in purchasing more of these units to further its battery-electric vehicle development at the operation.

The units are currently used by Vale’s service groups – such as industrial mechanics, electrical and planning departments – and generally run for the entirety of a 10.5-hour shift.

The ramps at Creighton, which go from 15-20% on both the incline and decline, according to Van Den Enden, will aid the continual operation of these battery-powered machines. Equipped with lithium-iron phosphate battery technology, the Rokion units recharge their batteries on descent thanks to regenerative braking. This translates to not only a longer operating time without charge, but also greater savings per vehicle over the life of the mine, according to Rokion.

Rokion trucks can navigate mine sites with 20% grade at a full gross vehicle weight and full speed while traveling more than 70 km per charge, according to the company. This is more than enough to get through a full shift without charging.

This means the vehicles are typically only charged after the 10.5-hour shift is complete at Creighton, according to Van Den Enden. The larger R400 (pictured), which includes a six- to 12-passenger crew truck and a three- to nine-passenger utility option, has completed two shifts on a single charge during testing.

When charging is required, the Rokion units can rely on existing mine power infrastructure, with the charging procedure no different to the way people top up the charge on their Tesla vehicles, Rokion says. The company worked within the Global Mining Guidelines Groups’ BEV guidelines to design this standardised system.

Vale’s Van Den Enden said the operation of both the R100, which includes a four-passenger crew truck and two-passenger utility truck option, and the R200, which has a four-passenger crew truck and two-passenger utility truck option, has “exceeded our expectations”.

He explained: “We have roughly 1,200 hours on these units and we see advantages with the availability.”

While availability is a key selling point, Rokion says its battery-powered vehicles have been designed for simple and easy maintenance. The modular change-out options – which extend to both the battery and drive system – are “ideal for remote mining locations where the priority is to have dedicated service personnel with expertise in production mining equipment”.

Rokion explained: “A mine is not going to hire an expert in battery power when introducing a new truck such as this, so we take that aspect out of the equation, compartmentalising our battery systems into a modular form so that they can be easily switched out.”

Mine operators can visualise the operation of their vehicle assets by accessing a live fleet management system that streams data between the truck and site operations team, according to Rokion. This helps customers identify vehicles that are low on power or may need servicing. Customers also have the option of having this data routed to Rokion for additional support, the company says.

“Managing this data into useful information has become a valuable tool in helping to improve operational efficiencies for our customers,” the company said.

While there is the very real prospect of Rokion selling more units to Vale’s Creighton operation, it is also working with the miner on refining its latest R400 unit, which, it says, was engineered to be the company’s most adaptive and modular truck platform.

Van Den Enden said the R400 unit was just finishing up the testing phase with the Creighton mining department, with the machine having performed well. He said the two firms were currently working on a “minor update” for the next series of this unit.

Growth and innovation on the agenda, Epiroc’s incoming CEO says

The timing of the announcement of Helena Hedblom becoming Epiroc President and CEO might have caught investors off-guard, but the actual appointment is no big surprise.

The news came just 12 days after the company held its second annual Capital Markets Day where Hedblom and Per Lindberg, current President and CEO, gave investors an update on the progress the company has made on its strategy since starting operations under the new brand in November 2017.

Hedblom, who currently heads up the mining and infrastructure divisions for Epiroc and is due to take on the top role from March 2020, has been a major part of Epiroc’s Group Management team since it was formed. Her ties to Atlas Copco, meanwhile, date back to 2000, with her roles including Head of Research and Development and General Manager for rock drilling tools business Secoroc and, then, becoming President of Atlas Copco Rock Drilling Tools.

Epiroc has launched a number of new initiatives in the mine automation, digitalisation and electrification spaces since the end of 2017, and Hedblom has been instrumental in all of these, spelling out the business case to investors, making sure the engineering capacity is available and taking all of the technical questions that may come Epiroc’s way.

With mining making up 76% of order intake for Epiroc in the nine months to the end of September – and the company keen to build on its leading position in the sector – it is logical for someone with Hedblom’s experience to take the top job following the successful establishment of Epiroc under Lindberg.

On a conference call today following the announcement, Ronnie Leten, Chairman of Epiroc, said current company head, Per Lindberg, had achieved the goals set for him by the board and that Hedblom had been given a new mission: to achieve “higher levels” of growth for Epiroc.

That is a bold statement considering the company has achieved a compound annual growth rate (CAGR) of 10% over the period from 2015 to 2018 through a number of organic and inorganic investments, and a 14% CAGR in the 12 months to end-September 2019. This is all while retaining a comparatively high average operating margin of 18.3% and 20.1%, respectively, over those same timeframes.

Hedblom, speaking to IM shortly after that call, explained the growth mission given to her by her incoming Chairman.

“It’s a combination of organic initiatives within the company, as well as inorganic initiatives,” she said. “But, of course, within that, the big technology shifts with automation, digitalisation and electrification give us an opportunity to help our customer gain safety, productivity and energy benefits. That is a big focus area for us.”

She is also looking to grow the company’s aftermarket business – which already accounts for 65% of revenue – explaining: “This is where we can make a difference with our customers and really be a productivity partner. It also gives us resilience across the cycle.”

Looking to the “initiatives”, specifically, she said there could be some organic product developments to close some “gaps we have in the portfolio”, but also strengthening “our presence… in some areas where we don’t have the market reach today”.

While these growth initiatives will most likely be in markets the company has already deemed to be core, she said all divisions within the company had a roadmap looking into opportunities that are “adjacent to core”.

One area of Epiroc investment Hedblom was keen to talk up was R&D, which in recent years has enabled the company to retain a leading position in the likes of autonomous surface drilling, battery-powered underground vehicles, and mine digitalisation and automation.

“We have a good level of investment in R&D,” she said, adding that, at the moment, it is heavily skewed towards automation, digitalisation and electrification.

“Bear in mind that 65% of our revenue is in the aftermarket and we are already investing 2-3% of revenue in R&D – that represents quite a big investment on the capital equipment side,” she said.

She concluded: “That (R&D investment) is needed. For me, innovation is key. That is how we stay ahead of technology leaders in all of these areas.

“I expect R&D investments to stay at this level, and this is extremely important to creating sustainable growth for the company over the long term.”

Epiroc M&A likely to continue, Per Lindberg says

The President and CEO of Epiroc, Per Lindberg, says the mining equipment maker is likely to continue making acquisitions as it strives for long-term growth over the latest business cycle.

In the company’s first full year of operation, Epiroc has, among other transactions, acquired a minority stake in mining autonomy major ASI Mining, agreed to buy rock tools manufacturer Fordia, and purchased Sautec.

Lindberg said in the company’s December quarter results that Epiroc is targeting to grow at least 8% per year on average over a business cycle.

“While we grew well beyond that in Q4 and in 2018, we believe we continuously need to make acquisitions to secure long-term growth as well as access to new technologies, markets and geographies,” he said.

On the recent Fordia, New Concept Mining and Sautec buys, Lindberg said Epiroc expected strengthened positions in exploration, rock reinforcement and service, and an additional SEK 1.2 billion ($132 million) in annual revenues.

In the December quarter, Epiroc said its orders received increased 17% to SEK9.47 billion, revenue jumped up 25% to SEK10.56 billion and its operating profit went from SEK1.53 billion to SEK2.16 billion, including costs related to the split from Atlas Copco and change in provision for long-term incentive programmes of net SEK8 million.

Lindberg reflected on this quarterly performance, saying: “We have been able to ramp up our capacity in manufacturing and service to support our customers, and revenues reached a record SEK10.56 billion, up 19% organically.”

He added: “In our first year as Epiroc we achieved strong growth in both top and bottom line, in parallel to a successful split and introduction of the new company. Reported orders and revenues increased 16% and 22%, respectively. Our operating profit increased by 25% and the operating margin, adjusted for split costs and provision for long-term incentive programmes, increased from 19.4% to 20.3%.”

Lindberg said customer demand for Epiroc’s equipment, services and tools remained at a good level during the quarter. “In mining we continue to see that the majority of the equipment orders are for expansion, including also some orders for greenfield projects,” he said, while aftermarket business was supported by high activity among its customers, leading to strong growth.

During the most recent quarter, Epiroc launched the second generation of its battery-operated equipment at an event in Örebro, Sweden.

Lindberg said the event created strong interest from Epiroc’s customers and orders have already started to come in.

In terms of the future technology transition in mining, in general, Lindberg said: “Our customers are ready for a major technology shift towards more automation, digitalisation and battery power.

“While the complete transition will take time, it is exciting to already now see the positive customer reactions.”

Looking into 2019, Lindberg said: “We will continue to focus on improving our customer offerings, our efficiency, agility and resilience. These are, and will continue to be, the strengths of Epiroc.”