MAIN INNOVATION CHALLENGES AND DRIVERS IN MINERAL AND METALLURGICAL PROCESSING & LINK TO POLICY FRAMEWORK - AN INDUSTRY PERSPECTIVE

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1 MAIN INNOVATION CHALLENGES AND DRIVERS IN MINERAL AND METALLURGICAL PROCESSING & LINK TO POLICY FRAMEWORK - AN INDUSTRY PERSPECTIVE MIN-GUIDE policy lab 3, 2017, Luleå Kent Tano Principal R&D Expert

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3 The difficulty lies not in developing new ideas, but rather in giving up the old ones (John Maynard Keynes )

4 But what is the driving force behind innovation? What is the key to success?

5 EVERYTHING STARTS WITH AN IDEA What is an innovation? An innovation is usually defined as a new idea or a new solution to a problem. However, it is not enough to simply have a new idea. In order to be recognised as an innovation, the idea must be possible to implement, be generally accepted and create a value.. In other words, the idea must be capable of being commercialized and it must strengthen the company s competitiveness. IF YOU CARRY ON DOING WHAT YOU VE ALWAYS DONE, YOU WILL GET WHAT YOU VE ALWAYS GOT (Henry Ford)

6 THE WORLD S LARGEST UNDERGROUND IRON ORE MINE 1962 was a milestone for LKAB. It saw the closure of the open pit mine at Kiruna and the shifting of mining operations underground. LKAB would compete with the world s largest open-pit mines, despite the use of a technology that was both more expensive and more complicated. LKAB realised at an early stage that the path to success lay in increasing the efficiency of mining methods and logistics. Put briefly: mine more ore at a lower cost.

7 DRIVERLESS TRAINS AS EARLY AS 1971 One of the innovations that at an early stage increased productivity in LKAB s Kiruna Mine was the underground driverless trains that transport the ore from the orepasses to the crusher stations on the main haulage levels.. The first trials were conducted as early as in 1965, at a level of 420 m, and in 1971 driverless trains were introduced for the first time in regular operation. LKAB has recently taken into operation the ninth main level in Kiruna, at a level of 1,365 m. It will accommodate a fifth generation of remote controlled trains.

8 DIGITAL INFORMATION IN REAL TIME With different methods of efficiency improvement and greater automation underground, there was also an increase in the demand for information in real time.. LKAB introduced at an early stage a common system incorporating a standardised interface with the most common control systems in mines and processing plants.

9 REGULATORY FRAMEWORK MACHINE DIRECTIVE LIMITS THE USE OF AUTONOMOUS VEHICLES The automation system for loaders was in operation in The second generation system became operational in High-speed mucking-out is without doubt an important feature of tomorrow s effective and profitable underground mine.

10 INCREASED EFFICIENCY & TRANSPERANCY IN THE ENVIRONMENTAL PERMIT PROCESS A wildlife crossing spanning the Iron Ore Line in Kiruna.

11 LICENCE TO OPERATE TIMECONSUMING, REQUIREMENT & OUTCOME ARE UNCERTAIN

12 But what is the driving force behind innovation? What is the key to success?

13 DEVELOPMENT ORGANISATION WITH CROSS-FUNCTIONAL TEAM

14 R&D INFRASTRUCTURE LABORATORIES AND DEMONSTRATORS

15 FORMAL WORKING PROCESSES Why do we use a formal working process for process development? Communication and knowledge transfer Risk managenment Prioritization of projects Quality in project execution and less time spent Fact based descisions Higher involvment and acceptance from production Increased capacity for innovation

16 JOINT RESEARCH WITH ACADEMIA

17 OPEN INNOVATION EXTERNAL CO-OPERATION

18 The future holds major challenges, but at the same time offers major opportunities for LKAB. Demands for metals Orebody depth - safety (rockmechanics, seismicity) - productivity (automation) Decreasing average grade - new process technology - new products Energy management - efficient comminution Turning waste into products - Apatite (phosporous rich) - Rare Earth Elements - Vanadium, Titanium

19 LKAB IS DEVELOPING TOMORROW S MINE New ideas and innovation do not come on order, but by creating the right conditions the road to the next important innovation is already staked out. Precisely where the road will lead, however, is impossible to say. The answer lies in thoughts that have perhaps not yet been thought, in ideas that have not yet been born and in the commitment and responsibility that exist in each individual person. Innovation is created by people and is driven by people.

20 EVERYTHING STARTS WITH A BURNING PASSION ) Perhaps the next major innovation will be yours? 20

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