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Rio Tinto reinforces strategy, technology and climate change focus

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Rio Tinto has added a new role to its Executive Committee as it considers the next phase of its transformation to, it says, reinforce the company’s commitment to strategy, technology and climate change in a new era.

Peter Toth will become Group Executive, Strategy and Development with a focus on leading Rio Tinto’s transformation efforts around portfolio, climate change, and closure, working in partnership with the product group and commercial teams. He will also assume responsibility for Rio Tinto Exploration and Ventures.

Stephen McIntosh, Group Executive of Growth & Innovation and Health, Safety & Environment (HSE), has decided to retire after more than 30 years with Rio, leaving the company on September 30. McIntosh joined the company as an exploration geophysicist in 1987 and led the exploration team from 2011 to 2016, joining the Executive Committee in 2016. During his time with the company, he built strong exploration, project and technology capabilities, Rio said.

With McIntosh’s departure, Mark Davies will assume the role of Group Executive, Safety, Technical and Projects, with a focus on maintaining the company’s longstanding commitment to safety, health and environment, while further building on the company’s efforts in technology and project delivery to support operational excellence in the years ahead, Rio said.

Both Toth and Davies will join the Rio Tinto Executive Committee on October 1, reporting to Chief Executive, J-S Jacques.

Toth, a dual Hungarian and Australian citizen, joined Rio Tinto in 2014 as Global Head of Strategy. In 2015, he became Head of Corporate Development with responsibility for corporate strategy (including climate strategy) and business development. He was the Chief Executive of ASX-listed OM Holdings, an integrated manganese and silicon company, between 2008 and 2014 and, prior to this, spent 14 years with BHP Billiton in a range of roles, including the Head of Marketing for carbon steel materials. He is based in London.

Davies, an Australian citizen, brings extensive international experience gained over 25 years with Rio Tinto in Australia, the US, the UK and Singapore, Rio says. He joined the company in 1995 as a senior mechanical engineer and has worked in various operational and functional leadership roles during this time. These include Chief Commercial Officer and interim CEO for the Iron and Titanium business unit, head of Group Risk and most recently, Vice President, Global Procurement. He will move to Brisbane.

J-S Jacques said: “We remain committed to strong performance, disciplined capital allocation and a focus on value over volume as we transform our business to make the most of future opportunities in an increasingly complex world. With Peter and Mark joining the executive team we will enhance our focus in areas that will be absolutely vital for Rio Tinto’s future performance and success – strategy, technology and climate change. I welcome them both to our team.

“As we welcome our new team members we also say goodbye to Steve, who has significantly contributed to our company over many decades. We are very grateful for his support and leadership in areas from exploration to innovation. We thank him for his commitment, and I wish Steve and his family all the very best for the future.”

Anglo American on the potential of bulk sorting technology

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Anglo American has talked up the use of bulk sorting in its operations as one of several projects it is spending $100-$500 million/y on as part of its technology and innovation investments.

The company, which reported earnings before interest, taxes, depreciation and amortisation of $9.2 billion for 2018 (up 4%), said bulk sorters could potentially be applied to all of its copper assets, in addition to mines in its Platinum Group Metals and Iron ore divisions.

An Anglo spokesman told IM late last year that the technology was going into the El Soldado copper mine in Chile and the company had plans to introduce it at the Barro Alto nickel operation in Brazil and the Mogalakwena platinum group metals mine in South Africa (pictured) as “next steps”.

The bulk sorters in question use sensors to determine ore content prior to processing, with gangue removed using the natural heterogeneity of orebodies.

In the company’s 2018 results presentation, Anglo said this technology provides immediate grade assays, unlocks production capacity by rejecting waste early in the process, allows for lower cutoff grades – as a result extending mine lives – and reduces both mining costs and complexity.

In a copper-related context, Anglo said the use of bulk sorters could reduce water and energy intensity by more than 10%.

In British Columbia, Canada, Teck Resources is currently using sensors mounted on shovels – MineSense’s ShovelSense product – to carry out effective bulk sorting at the Highland Valley Copper operations.

Technology revolution set to transform mining jobs in Australia: EY report

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Innovation, people and skills combined with technological advances will deliver a more globally competitive minerals sector that delivers fulfilling careers in highly paid, high-skilled jobs, according to a report released by accountancy firm EY.

The release of EY’s Skills Map for the Future of Work – commissioned by the Minerals Council of Australia (MCA) – provides a comprehensive examination of future skills and training and technology trends in the Australian minerals industry, according to the MCA.

The key findings by EY, according to MCA, include:

  • Seventy-seven per cent of jobs in Australia mining will be enhanced or redesigned due to technology within the next five years;
  • Productivity increases up to 23% can be achieved with the rollout of new technologies, costing more than A$35 billion ($25 billion);
  • An injection of A$5 billion to A$13 billion in workforce capability will be needed over the next decade to unlock future productivity gains, and;
  • Australia education and training systems need to be modernised to deliver higher certification and fit-for-purpose degrees.

“New technology and innovative practices will enhance the performance and productivity of 42% of Australian mining jobs, with a further 35% of occupations being redesigned and up-skilled leading to more valuable employment opportunities,” MCA said. “Automation will give the opportunity for reskilling into other areas.”

EY’s study also identified Australia’s education and training system needs to be modernised by offering improved course structures and enhanced movement between universities and the vocational education sectors, according to the MCA.

“Future university degrees will need to have a mix of the latest scientific, technical and trade skills along with soft skills including collaboration, team building, communication and creativity,” the council said.

“A decade-long investment by industry and government in general skills incorporating mathematics, data analytics, computing and change management will boost productivity in the minerals sector.”

Jobs that will be made future-ready through large investments will include metal fitters, machinists, building and engineering technical and experts in electronics and mechatronics, the MCA added. “For example, a shot-firer working on a drilling team will have the opportunity in Australia’s future minerals workforce to use drone technology to monitor automated rigs.”

The MCA said: “Australian mining will continue to take advantage of innovation, technology and new ways of working to create high-paying, high skilled jobs.”

The Skills Map includes two major reports: The Future of Work: the Changing Skills Landscape for Miners and The Future of Work: The economic implications of technology and digital mining.