Kinross Gold and Caterpillar renew global alliance; agree on five-year deal
Canadian miner Kinross Gold announced today they have renewed their global alliance with equipment manufacturer Caterpillar, agreeing on a five-year deal that will include discounts on parts, services and machinery.
Kinross said the agreement represents the framework for doing business with its single biggest supplier for its mining equipment. The company revealed it was able to capitalize on savings of roughly $13 million last year in maintenance, supply chain and continuous improvement projects from the partnership.
“Cost savings aren’t the only benefit,” said Nicholas Macan, Kinross senior manager, supply chain enablement and mobile equipment. Macan, who negotiated the new agreement, expects the alliance to have many operational and supply chain benefits, including helping with continuous improvement innovation – a main driver in lowering operating costs for the company.
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“The alliance brings a global relationship with Caterpillar, and their direct support in resolving technical and dealer issues. For example, when we wanted to deliver a 6060 shovel to Round Mountain that had originally been purchased for Tasiast, Caterpillar facilitated the transfer of the sale to the alternate dealer at no additional cost.”
Headquartered in Toronto, Kinross Gold Corp. engages in the production, acquisition, exploration and development of gold bearing properties in the Canada, the United States, the Russian Federation, Brazil, Ecuador, Chile, Ghana and Mauritania.
Coal India Secures First-Of-Its-Kind Digital Deal
Coal India Limited (CIL) has appointed Accenture Solutions to digitally transform seven of its open-cast mines as the company strives to improve performance and increase coal production. Accenture is due to lay down digitalisation groundwork until March 2022.
The deal aims to increase coal production by 100 million tonnes (MT) by the end of FY’23. Once the minimum quantity has been surpassed, an agreed sum will be paid to the consultant for every additional sum of coal produced. This success fee will only be paid on the procurement of the minimum assured quantity.
The move will see heavy earth moving machinery (HEMM) fitted with digital sensors to monitor performance efficiency at all levels. Additionally, modern data analytic techniques aim to increase mine productivity and project monitoring through functional system management and effective observation.
An Exciting Venture For Global Mining
CIL, which aims to provide energy security in an environmentally and socially sustainable manner, hopes the move will help transform the entire business of mining operations and ensure higher volumes of coal are acquired at a lower cost.
“This is a first of its kind initiative by the company utilising digitalisation to ramp up coal output,” CIL has said.
A Digital Step Towards Enhanced Performance
Digitalisation is expected to take place at open-cast mines in Kusmunda, Gevra, Dipka of Southern Eastern Coalfields (SECL), Migahi, Jayant, Dudhichua, and Khadia of Northern Coalfields (NCL). Nearly 32% (188 MT) of CIL’s 596 MT output in FY’21 was accounted for by the seven selected mines. However, this new deal is set to see a large increase following the subsequent digital changes due to be made.
“Learning from the outcome and success of this model, we may replicate it in our other large mines,” says CIL, optimistic about the future following the modernisation of their mining.
It is expected that the move will help address roadblocks and guarantee corrective measures are put into place, ensuring the company is able to move forward with its aim of increasing output whilst remaining sustainable and eco-friendly.