Tag Archives: Metso

Metso breaks records as it looks forward to more growth

Bulk handling, Comminution of minerals, Environmental, Mineral processing, Mining equipment, Mining services, Sustainable mining, Water management, , , , , , , , , ,

It was a record year in terms of profitability for Metso in 2019; a year that saw the minerals processing company make several strategic decisions to fundamentally change its group structure.

Orders received across the group increased 5% to €3.7 billion ($4.1 billion), with sales growing 15% to €3.635 billion. Adjusted EBITA rose from €369 million in 2018 to €474 million (13% of sales) in 2019, while operating profit jumped to €418 million from €351 million.

Metso President and CEO, Pekka Vauramo, said 2019 was in many ways historical and transformational for the company.

“It also marked a record in our financial performance, as our sales increased in both segments and our profitability was higher than ever in the company’s history,” he said.

The company also launched some major new products – including the Metso Truck Body and the VPX filter – in addition to publishing the Metso Climate Program, which aims for notable reductions in emissions.

The year will be remembered for two major strategic decisions from Metso.

“The first was the acquisition of McCloskey, a Canadian supplier of mobile aggregates crushers and screens,” Vauramo said. “After the closing of the acquisition in October, Metso’s offering strengthened in the mobile aggregates equipment market, which is estimated to see the industry’s fastest-growing demand.”

“The second and truly transformative step was the decision related to the partial demerger of Metso, after which Metso’s Minerals business will be combined with Outotec to create Metso Outotec, a unique company in the minerals, metals and aggregates industries,” Vauramo said.

At the same time as this, the company took the decision to allow its valves business to continue as an independent listed company named Neles.

Vauramo said: “We are confident that, as a result of this transaction, both companies will be well-positioned to grow and create value for our customers and other stakeholders.”

Shareholders of both Metso and Outotec approved the transaction in October at respective meetings and internal preparations have proceeded according to plan, Vauramo said.

The completion of the transaction still requires approvals from the competition authorities in various markets, but according to the company’s estimate, closing should take place on June 30, 2020.

Metso looks at centralising warehouse operations in Europe

Equipment maintenance, Mining equipment, Mining maintenance, Mining services, , , ,

Metso, as part of its global distribution and logistics footprint development, is initiating consultations to evaluate the potential centralisation of its warehousing operations in Europe.

The move will see Metso look at the different options related to the continuation of its current warehouse operations in nine locations, in Norway, Sweden, the UK, France, Spain, Czech Republic, Turkey, and Russia, it said. The consultations could affect around 40 warehousing employees.

Jarkko Aro, SVP for Customer Logistics at Metso, said: “Our target is to enable world-class logistics with easy scalability of operations.

“Flexible, state-of-the-art warehouse operations would allow orders to be collected and dispatched to customers directly from central warehouses. It would also enable considerable savings in end-to-end freight costs and reduced CO2 emissions.”

Mikko Keto to head up FLSmidth’s mining division

Automation, Bulk handling, Comminution of minerals, Equipment maintenance, IoT, Mineral processing, Mining equipment, Mining maintenance, Mining people, Mining services, Sustainable mining, Water management, , , , , ,

Mikko Keto is set to join FLSmidth as President, Mining Industry, less than two weeks after leaving his post as President of Minerals Services and Pumps at Metso.

Keto, who will embark on his new role from early July 2020, will also become a member of the Group Executive Management team at FLSmidth. The appointment follows current President, Mining Industry, Manfred Schaffer’s decision to retire in 2020.

Keto worked for Metso for 10 years, the last two of which he headed up the Minerals Services and Pumps business area, where he delivered growth in services along with profitability improvement, FLSmidth said. He also served as a member of the company’s Executive Team.

His prior roles for Metso include Senior Vice President, Spare Parts, Senior Vice President of Performance Services business line, President of Automation Services, Vice President of Flow Control Services, and various line management positions. Before joining Metso, he was Head of Sales for the Maintenance business unit at KONE Corp and held senior management and sales positions at Nokia Networks, with assignments in multiple countries.

FLSmidth CEO, Thomas Schulz, said: “Mikko Keto will lead the FLSmidth Mining organisation in capturing profitable business opportunities. He comes with an extensive experience in Service Line Management, Spare Parts and lifecycle offerings. He brings a strong commitment to customer partnerships, and believes strongly in delivering significant enhancements in performance, sustainability and asset optimisation.”

Keto said: “I am excited to join FLSmidth and help drive profitable growth in the mining business and further develop FLSmidth’s portfolio of solutions towards zero emissions. FLSmidth has close to 140 years’ experience, excellent technologies and outstanding competencies in its global workforce.”

On the retirement of Manfred Schaffer, Schulz said: “Since joining FLSmidth in 2014, Manfred Schaffer helped navigate an extended mining industry downturn and led the mining organisation through the transition to a new way of working. In the face of market headwinds, Manfred travelled extensively in order to meet with as many customers as possible and support sales opportunities. I am very thankful for Manfred’s strong contribution to our mining business over the last five years.”

Metso switches up pumps and mineral services heads following Keto’s departure

Comminution of minerals, Mineral processing, Mining equipment, Mining people, Water management, , , , , , ,

Metso has made changes to its minerals services and pumps business areas after Mikko Keto, President of the two segments, terminated his employment with the company.

Giuseppe Campanelli has been appointed President of the Minerals Services business area and a member of Metso’s Executive Team from January 2 onwards. Previously he has been a member of the Minerals Services business area management team heading Professional Services, according to Metso.

Kalle Sipilä has been appointed President of the Pumps business area and a member of Metso’s Executive Team, also from January 2. Sipilä was previously in charge of the Pumps business area (from an operational point of view) in addition to his role as head of Finance and Business Control of the Minerals Services business area.

Metso’s President and CEO, Pekka Vauramo, said: “I want to congratulate Giuseppe and Kalle for their appointments and wish them welcome in the Executive Team. At the same time, I want to thank Mikko for successfully driving profitable growth while heading the Minerals Services business area.”

Metso is currently going through the process of merging with Outotec in a transaction that will create a major mineral processing powerhouse.

Future Neles valves business bolsters service strength in Portugal, France

Equipment maintenance, Metallurgy, Mineral processing, Mining equipment, Mining maintenance, Mining services, Water management, , , , , , ,

Metso’s valve business – to be renamed Neles Corp after a partial demerger – has strengthened its valves service availability with new service centres in Portugal and France.

The company will establish two new facilities in Lisbon, Portugal, and in the Mulhouse area, France, to increase its valves’ service availability and improve its customer presence, it said. These service centres will offer valve repair services as well as predictive maintenance services, eg digitalised process diagnostic services and shutdown planning, to help customers to increase their plant reliability, it said.

Timo Hänninen, Vice President of Valve Services at Metso, said: “We are constantly developing our operations to fulfil our customers’ needs. We have a comprehensive service portfolio, ranging from genuine quality parts to complex shutdown solutions. We want to be a reliability partner by helping our customers to reduce the risks of valve failure and expensive unplanned shutdowns.”

The service centre in Portugal was opened during the September quarter of 2019, with the France facility planned to open in the June quarter of 2020.

Neles currently has 40 service sites in more than 20 countries.

“Our valve services experts are involved in more than 150 large-size shutdowns globally every year, and today we have more than 100 valve service agreements with our customers,” Hänninen says.

Neles Corp is planned to be created in a partial demerger of Metso, in which Metso’s Flow Control business would become the independent Neles. Simultaneously, Metso’s Minerals Business would combine with Outotec to create Metso Outotec.

The partial demerger is targeted to be completed in the June quarter of 2020, subject to the receipt of all required regulatory and other approvals. The Extraordinary General Meetings of both Metso and Outotec approved the transaction on October 29, 2019.

Metso equipment to rough up diamonds at De Beers Venetia mine

Comminution of minerals, Gem stone mining, Mine operation news, Mineral processing, Mining equipment, , , , , , ,

Metso is to install high-performance crushing and material handling equipment underground at the De Beers Group’s Venetia diamond mine, in South Africa, as part of an order booked in the September quarter.

In the throes of a transition from open-pit mining to underground operations, Venetia is reported to produce around 4 Mct/y, making it one of South Africa’s biggest diamond mines.

In 2013, an underground extension project commenced with plans to start producing carats in 2022, climbing to full production in 2025 and extending the mine life to 2046.

Metso said Venetia approached Metso to deliver two primary jaw crushers and a number of feeders. All the equipment will be installed underground, which is a very challenging installation, especially given the shaft constraints (dimensions) and weight limitations for transportation underground, the company added.

Venetia decided on Metso’s Nordberg® C Series™ jaw crusher range as the pinned and bolted design of the crusher allowed for the extensive disassembly, Metso said. “This enhances ease of transportation and installation, especially where there are critical space constraints such as an underground installation – as is the case with this project.”

The Metso apron feeders, meanwhile, are used for extracting or feeding ores that are wet, sticky, dry or even frozen.

Boliden Kevitsa collaborating on process plant maintenance

Base metals, Comminution of minerals, Communications in mining, Equipment maintenance, IoT, Mine operation news, Mineral processing, Mining equipment, Mining maintenance, Mining services, Mining software, , , , , , , , , , , , ,

Boliden is a front-runner when it comes to applying technology and innovation to its Europe-based mines, and the company is now leading an industry move in condition monitoring and predictive maintenance in its process plants.

At its Kevitsa copper-nickel mine, 130 km north of the Arctic Circle in Finland, Boliden has been collaborating with the likes of IBM Maximo, OSISoft, SKF and Metso on condition monitoring and predictive maintenance solutions, according to Sami Pelkonen, Maintenance and Engineering Manager at Boliden Kevitsa.

Expansion in the plans

The mine is in the throes of an SEK800 million ($82 million) expansion that will see plant throughput go from 7.8 Mt/y to 9.5 Mt/y. This involves the addition of a new autogenous mill and peripheral equipment (including a new Metso MF series screen), and a new mill building. Commissioning of the new equipment is expected in 2020, with the mine reaching full 9.5 Mt/y capacity in 2021.

With this expansion going on, plant maintenance has moved up the agenda.

Some 80% of process plant maintenance is currently pre-scheduled, with the Kevitsa mine achieving, on average, 93% availability from its equipment, according to Pelkonen, but Boliden Kevitsa is looking to increase these numbers.

Pelkonen told IM late in October that the Kevitsa mine has been looking to acquire “good quality…and useful data to support our daily maintenance operations and procedures” at its plant. This is all part of the company’s plan to increase uptime and cut costs at the operation.

As part of this initiative, it installed the IBM Maximo asset management system in May of this year. At the same time, the operation has been working with the Boliden Mines Technology Department on a wider asset management program.

When it comes to plant reliability, Boliden Kevitsa has enlisted the help of SKF (for condition monitoring of bearings throughout the plant), OSISoft for process data acquisition, and Metso to ensure uptime of mineral processing equipment is maximised and unplanned downtime is reduced.

Partnering for performance

The partnership with Metso dates back to before the mine was acquired by Boliden in 2016, but in recent years the two have collaborated on crusher and mill uptime projects, with the OEM supplying mill liners and wear parts that can be switched out quickly and cost effectively. The two firms have also been in constant communication about accessing and analysing valuable process plant data during the last three years.

When the mine acquired a new MF screen from Metso in May (pictured), it decided now was the time to trial the new Metso Metrics predictive maintenance platform in this part of the flowsheet.

Pelkonen explained: “After the increase in production (to 9.5 Mt/y), the front end will be even more critical for us, so we have to be aware if any failures are developing in our front end; especially in our screen.”

The remote location of Kevitsa, situated some 40 km by road from Sodankylä, is also behind the need for this type of condition monitoring and predictive maintenance.

“If something happens like we have an equipment failure, it takes around one hour for our employees to get to the mine,” he said. “Condition monitoring helps us address the need to get resources to site in the correct time.”

The Metso Metrics test paid off almost instantly, when, soon after installation, the company noticed there was something wrong with the running speed of the screen.

“The indication we received from Metso Metrics helped us map out that there were two broken V belts. We were able to cut the downtime to a minimum thanks to the information coming from Metrics,” Pelkonen explained.

Sami Pelkonen was speaking to IM as part of an upcoming Insight Interview with experts from Boliden Kevitsa and Metso that will be published in early-2020

Metso’s Ersmark rubber and poly-met wear parts facility to close

Comminution of minerals, Equipment maintenance, Mineral processing, Mining equipment, Mining maintenance, Mining services, , , , , ,

Following a review in its Minerals Consumables business area in EMEA, Metso has decided to discontinue operations at the rubber and poly-met wear parts manufacturing facility in Ersmark, Sweden.

Metso announced back in September it was starting “personnel negotiations” to review the implications at rubber and poly-met wear part production units in Ersmark and Trelleborg, Sweden. It has now decided to ramp down operations at Ersmark in stages from the beginning of the June quarter, with full closure expected in September quarter, it said.

The decision affects approximately 150 manufacturing related positions in Ersmark.

Sami Takaluoma, President, Minerals Consumables business area, said: “Our strategy is to improve productivity and reduce logistics costs by building on the most efficient manufacturing and sourcing opportunities at a regional and global level to ensure the best value and availability for our customers.

“During the negotiations, we evaluated the EMEA region as a whole and came to the conclusion that consolidating the rubber and poly-met manufacturing operations in Sweden was the only feasible solution.

“This is a very unpleasant yet necessary action. Going forward, our focus will be on ensuring a sustainable transition for Ersmark as well as uninterrupted service to our customers.”

The company concluded: “Today, Metso is the leading player in the rubber and poly-met mill lining business with a strong service network in all the main mining markets. In addition to Ersmark, Metso has another factory continuing synthetic wear part production in Trelleborg, Sweden, and nine other factories for synthetic solutions globally.”

Outotec refines minerals and metals focus with planned divestments

Comminution of minerals, IoT, Mineral processing, Mining equipment, Mining mergers and acquisitions, Mining services, Sustainable mining, Water management, , , , , ,

Outotec has taken a strategic decision to divest three of its businesses in the Metals, Energy & Water segment’s portfolio as it focuses on its core technologies in minerals processing and metals refining.

These businesses relate to aluminium, waste-to-energy and sludge incineration, the company said.

This news comes as Metso is going through the process of gaining approval for the acquisition of Outotec, a deal that will create a mineral processing giant.

Outotec said the aluminium business to be divested includes the green anode plant, rod shop (an example, pictured) and certain cast-house technologies as well as related service operations; while the waste-to-energy business to be divested comprises of biomass, wood waste and various other fuel plants including related service operations.

The last business – the sludge incineration segment – comprises delivery of plants for treatment of municipal and industrial sludge and related service operations.

In total, around 250 experts are working in these three businesses, which will be affected by these moves. In the company’s 2019 financial results, the businesses to be divested will be classified as discontinued operations, Outoect said.

For the financial year 2019, the intended actions will lower the expected sales by around €50 million ($55.5 million) but increase the adjusted EBIT by some €40 million, the company said.

Outotec’s CEO, Markku Teräsvasara, said: “Pursuing these strategic actions will enable Outotec to better focus on its core technologies in minerals processing and metals refining. We, of course, remain committed to serving our energy and aluminium customers until these divestments have been completed.”

Metso looks to grind down GHG emissions with energy-efficient technology

Comminution of minerals, Environmental, Mineral processing, Mining equipment, Mining industry recognition, Power supply for mines, Sustainable mining, , , , , , , , , ,

Having recently won the approval of the Science Based Targets initiative (SBTi) for its greenhouse gas (GHG) targets, Metso’s Climate Program now has the recognition it deserves.

The GHG goals are applicable to all relevant emission sources: production, procurement, inbound and outbound transportation as well as the use of Metso’s products.

Following on from this environmental win, IM put some questions to Metso’s Director of Sustainable Business Development, Kaisa Jungman, to find out what impact these climate change aims might have on the mining equipment manufacturers’ product offering and how the company is already leading from the front with its environmental sustainability initiatives.

It’s worth acknowledging, first, that these GHG goals are all-encompassing.

As a scope 1 and 2 GHG target, Metso has committed to a 25% reduction in carbon emissions in production by 2030, while 30% of its suppliers – in terms of spend – are required to set science-based emission targets by 2024. Metso also aims for a 20% reduction in transportation emissions by 2025 (scope 3 GHG emissions target) by streamlining transportation routes and optimising warehouse locations.

Through extensive research and development work, Metso says it has been able to significantly reduce the energy consumption in customer processes. To continue this development, the company is aiming for a 10% reduction in GHG emissions in the most “energy-intensive customer processes” using Metso products by 2025.

The company is also demanding energy-efficiency targets in its Metso R&D projects, and offsetting flight emissions by 100% by 2021.

The target to lower GHG emissions by 10% in the most “energy-intensive customer processes” stood out in these targets, and it was hardly surprising to find out grinding falls into this category.

“Grinding is the most energy-intensive stage of minerals processing,” Jungman said. “Overall, it is estimated that comminution counts for 3-5% of the energy consumption in the world and grinding is part of this.”

In the company’s climate program it has included three of its products – the HRC™ high pressure grinding roll, Vertimill® and stirred SMD (stirred media detritor) – to help achieve this 10% cut in GHGs.

“We have estimated, based on our installed base, in 2018, that approximately 1,073,648 t of CO2 emissions were saved through these energy efficient grinding technologies,” she said, explaining that these savings were calculated by comparing its three solutions with conventional technology.

At this stage, it is only the HRC, Vertimill and SMD included in this calculation – due to their substantial energy and emission reduction credentials and the company’s ability to quantify accurately the estimated savings – but Jungman said Metso plans to widen the scope of the technologies to be included.

“In addition to our climate program, we are also looking into other environmental benefits the customers are gaining through our solutions,” she said.

“To improve energy and emissions efficiency in the future, our target is that all our R&D projects will set energy-efficiency targets by 2021.”

She concluded on these technologies: “I would say that this climate program is an important first step and we will continue developing even more comprehensive sustainability targets for our technologies.”

When it comes to displaying evidence of where the company is reducing scope 1 (generated from fuels used in production) and 2 (generated from purchased energy) emissions, Jungman could point to several examples.

“We have installed solar panels in some of our locations already and are looking now for opportunities to install more in several locations in the coming years,” she said.

In some of the company’s facilities, a percentage of the electricity it purchases is already from renewable sources, and Metso is investigating the possibilities of expanding this, Jungman added.

“In addition to electricity consumption, we are also searching for renewable alternatives for the other forms of our energy consumption, including, for example, replacing natural gas consumption with renewable alternatives.”

The company has also, in recent years, invested in many energy efficiency and renewable energy projects, according to Jungman.

“As an example, in our foundry in China, we have invested in a new type of melting furnace to gain better energy efficiency.

“In another production location, we have installed technology to recover process heat from the exhaust air to be used as heating energy. We have also invested in the process automation and insulation of the furnaces to gain better energy efficiency.”

She concluded: “Reducing greenhouse gas emissions is something we take seriously, and to which Metso is fully committed. We want all our stakeholders to be involved in the work to reach these important targets and to aim even higher.”