Overview of EMESRT. Mike Thuesen (Anglo American) (On behalf of EMESRT)

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1 Overview of EMESRT Mike Thuesen (Anglo American) (On behalf of EMESRT)

2 STATUS OF MINING EQUIPMENT DESIGN ISSUES IN AFRICA

3 General Mining Issues Coal Gold Platinum Other Surface and underground Majority of mining activities situated in 300km diameter Significant reliance on contractor miners with own equipment Ageing work force High HIV positive workforce 1 in 6 HIV + people in the world lives in South Africa Continued risk of nationalisation of mines which could slow equipment replacement Mining workforce not growing at pace of requirements Africa appears to have a higher tolerance for risk taking

4 Equipment Specific Issues Tendency to keep equipment in operation for longer. On a global scale Africa is a strategic market for OEMs but appears to be a dumping ground for old technology. Large proportion of equipment operators only operate mining machinery does not have own vehicle or license to operate one could limit cognative abilities.

5 Equipment Specific Issues Larger mining operations equipment safety expectations exceed current equipment design compliance. Very limited OEM design capability on African continent. Geographic time zone delays in getting urgent issues resolved. Limited use of training simulators and accelerated operator training limited emergency capabilities. Large proportion of fatalities in underground hard rock mines relates to rail and other mobile equipment and people on foot.

6 Equipment Specific Issues Limited active standards participation by SABS Increasing expectations from DMR of engineered solutions to reduce fatalities and injuries. Increased technical complexity of equipment is a challenge for current maintenance capabilities.

7 Our Objectives Reducing risk related to equipment operation and maintenance Understanding each other better Working together toward a common goal

8 EMESRT Vision & Purpose EMESRT Vision A global industry free of fatalities, injuries and occupational illnesses associated with operating and maintaining exploration and mining equipment. EMESRT Purpose Accelerate development and adoption of leading practice designs to minimise the risk to Health and Safety through a process of Original Equipment Manufacturers (OEM), contractors and end user engagement.

9 EMESRT historical pathway Initial discussions (4 companies) Surface strategy developed and initial surface OEM engagement nd round of OEM engagement Mine EXPO Technical Groups established (UG Coal & Soft Rock, UG Hard Rock, Expl. Drilling, and Surface) Tier membership made available - 3 rd round of OEM engagements

10 Think differently Engage marketing to influence product development Establish a critical mass to influence marketing Define problems rather than stipulate solutions Help the OEM designers develop their solutions Critique solutions

11 We will: EMESRT Terms of Reference Listen, consider and value OEM contributions Provide information on industry practices to OEMs Assist end users with achievement of H&S goals through sharing leading practice Include consideration of international regulatory philosophies and Standards

12 2009 Expanded Scope

13 EMESRT Risk Concepts Coal Safe 2011

14 EMESRT and mining risk concepts Hierarchy of Control Human Error Analysis Industry Maturity Models

15 Hierarchy of Controls Elimination Most effective Substitution Engineering Administrative PPE Least effective

16 Slips/Lapses Human Error Design issues - Not forgiving enough Mistakes Competency - Training or job aids Violations Routine - Strategy to find out why and address Exceptional - Discipline

17 Systems Culture No care culture Apathy/resistance Near misses not OEM Sales focus only no customer involvement EMESRT OEM Design Maturity Chart recognized Negligence Dishonesty Hiding of incidents Blame culture Compliance culture Ownership culture Acceptance Some participation OEMs Involvement embark at all levelsl Some near miss reporting Near Some miss discussions Near miss involvement Partners Some Customer on the journey window Acceptable training/awareness High on level beyond of training/awareness complaints dressing e.g. pre-inspection Established customer and good Communication at a high level cleanups and light duty communication input standards designing channels hiding nothing are Disciplinary addressed action Regular people Minimum / inconsistent training involvement is gathered and focus with customer involvement Way of life Comes natural Personal involvem Customers & by all to prevent incidents OEMs Complete understanding All are informed engaged at all times about Cost drives all Regressive We react to our customers Reactive We care about our customers concerns Planned Proactive We work together With our customers for better design Resilient Engagement with our customers is how we do business Reactive approach Administrator driven No systems Loose systems, elements of No risk Limited assessment a Most HS Management Standards System Legal Standards non compliance Re-active Considered risk assessment Accept equipment / Minimum legal compliance process Use in decay Design Apply PPE in as Design a way of Superficial incident eliminating exposure investigation Incident investigation but Waste No Systems a necessary evil limited Customer analysis Poor equipment condition Focus on what happened for Customer Compliant Permit non-compliance No systems focus Potential Input illegal practices Human Action error System focus Waste recognised but no plans Ad hoc occupational hygiene No Incident environmental Limited surveys Reactive medical monitoring Investigation Ad hoc Investigation inspections / audits Backwards OH&S Coord. driven Line driven Individually internalised OH&S stds system and ISO ISO and OHSAS or Integrated Integrated management 9002 Systematic or equivalent equivalent Standards plus systems Stds & HFE Risk assessment Standards through Pro-active Proactive formal risk assessment Risk assessment integted existing systems Beyond legal compliance into all Design systems Total Based legal compliance Design Seek to HFE actively Design engineer out Self regulating style Strictly enforce the use of PPE process/equipment inadequacies Eliminate problems before where required (knowing risk) Incident knowledge sharing at all OEM-Customer they occur Causal Customer incident investigation levels Some between individuals OEM- Waste elimination as as with good sharing of info Active waste reduction initiatives Design possible Process Issue Survey Customer Design Waste sorting at source Focus on control rather than Systems development Planned Methods occupational hygiene / monitoring Input Mechanisms through external environmental monitoring Integrated audits evaluation Customer / auditing Periodical medical examinations Peer evaluation and discussion Supplied Planned Regular HS inspections Incident / audits Joint Incident Safety meetings & talks Incident Info Some Follow task observations Up Investigation is Integrated Forwards

18 Engagement Process Understanding each other better Establishing communication Reviewing existing materials Providing feedback to EMESRT

19 2010 Surface Group OEM Engagements

20 Overview of the EMESRT Resources Coal Safe 2011

21 Existing EMESRT resources Design Philosophies EMESRTgate Operability & Maintainability Analysis Technique (OMAT)

22 Australia fatality accident Jan 2009

23 Yanacocha accident Oct. 08

24 Lessons learned Inadequate access for mining conditions Site Installation

25 Access Risk As Low As Reasonably Achievable?

26 Do it yourself outcome

27 The Need Mine Site Issues Health and Safety performance requiring improvement Duty of Care model Systems Approach OHS expectations steadily increasing Mining Companies expanding globally Minimal alignment between companies MINE SITE ISSUES

28 The Need - OEM issues OEM ISSUES MINE SITE ISSUES Base equipment with limited safety options No alignment with broad customer needs Too much Static in the message from customers Note that major supply agreements have lead to some safer design at the factory level

29 The Need - The Design Vacuum OEM Designs Design Vacuum MINE SITE Compliance Requirements Sites have committed resources to improving designs Sites have encouraged 3 rd party designs But there is potential conflict with add on designs Residual risk is not always identified

30 Local Dealer Issues OEM Designs LOCAL DEALERS CUSTOMER Compliance Requirements Lack appropriate design resources Not core business Liability not fully understood Long lead time to Users Higher costs and low level of support from dealers

31 Dealer outcome

32 Dealer outcome

33 20 Years Ago OEM outcome

34 Accessible moving parts risk As Low As Reasonably Achievable?

35 OEM outcome

36

37 Current Situation Summary Customers still dictating add on solutions Poor integration of multiple solutions No consistency in application globally Hierarchy of controls is not applied effectively Major Customers trying to influence OEM designs OEM s are in the best position to provide a quality solution

38 Randy Baker "The best way to get an engineer to change the filter location is to get that engineer to change the filter."

39 The General Strategy Safer equipment is a global mining need Global mining companies need to work together Critical mass is needed to influence OEMs EMESRT can define the problems OEM designers can develop solutions

40 EMESRT Resource Materials EMESRT DPs 1. Equipment Access & Egress 2. Working at Heights 3. Noise 4. Whole-body Vibration 5. Fire 6. Dust, DPM & other airborne hazards 7. Isolation of energy, including parking EMESRT DPs 8. Visibility/collision detection & avoidance 9. Machine stability/slope indication 10. Guarding 11. Controls & Displays 12. Tires & Rims 13. Manual Handling 14. Operator Workstation 15. Confined spaces

41

42 Design Philosophies PROBLEM PROCESS Operability & Maintainability Analysis Technique (OMAT) OEM DESIGN SOLUTION QUALITY INFORMATION EMESRTgate portal

43 Christopher Davis "One of the really powerful things about this group is that we can reach agreement on a common control to solve a specific risk. We hear you talking: this is the risk we see and this is what we want you as an OEM to address. Our challenge is to find the global solutions."

44 Operability & Maintainability Analysis Technique

45 Asset Life Cycle OMAT OMAT OMAT OMAT OMAT can supplement Standards at phase

46 Issues are still appearing on new designs

47

48 What do you do in an OMAT? Priority Assessment What do people have to do?

49 What do you do in an OMAT?

50

51 What do you do in an OMAT?

52 Software available for download from the OMAT section of EMESRTgate. Seeking OEM trials and feedback. Contact us if you need help

53 EMESRT Resource Materials EMESRT DPs 1. Equipment Access & Egress 2. Working at Heights 3. Noise 4. Whole-body Vibration 5. Fire 6. Dust, DPM & other airborne hazards 7. Isolation of energy, including parking 8. Visibility/collision detection & avoidance 9. Machine stability/slope indication 10. Guarding 11. Controls & Displays 12. Tires & Rims 13. Manual Handling 14. Operator Workstation 15. Confined spaces

54

55 Thank you for engaging with EMESRT

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