Process Plant Asset Optimization & Production OEE
The customer is a tier one company based in Australia and is one of the largest gold producers listed on the Australian stock exchange to date. They are also one of the world’s largest gold mining companies with several operations based globally. MPPIglobal was engaged to help restructure their downtime reporting system as well as implement a Production OEE model at their key operating asset in PNG.
papua new guinea (png)
The Customer had a strong desire to maximize production from their PNG operation in a sustainable way. They had already invested in multiple layers of technology across the value stream, including at the main processing plant, which has been noted to be the main constraint of the operation. With a typical Downtime deployment producing only basic information, production had continued to remain below the desired levels. The challenge was to implement a new Production OEE module while minimizing regret capital spend.
MPPIglobal provided the Production OEE solution from the Optimum software package to the PNG operation as an integrated solution across the site’s pre-existing technology platform. Production OEE brings a sophisticated logic developed software to deliver insight on production restrictions across the complete processing value chain. Production restrictions and losses are presented in actual ounces of gold lost for any given time period analyzed. With the implementation of this software, supported with a strong continuous improvement program, rapid production gains were made.
The Production OEE project in PNG involved a brief period of discovery to establish a working model and detailed system logic. Based on the defined logic the site-specific Production OEE model was launched. The software module included integrates with the metallurgical accounting system and the automatic reporting system. These systems highlight the biggest production losses and opportunities for improvement on a daily, weekly, and monthly basis.
The site’s morning meetings were revised to focus on the data provided from the new Production OEE reports, and priority issues are now being addressed on a daily basis. A culture of continuous improvement is becoming an integral part of the plants operating philosophy.
After the implementation of the optimum module Production OEE, improvements are as follows:
- The previous Noise created by solely recording downtime events was restructured in a way so that loss in metallurgical recovery, Maintenance Downtime, Operational Delays, and Utility Impacts are incorporated.
- Maintenance was further improved by the implementation of MTBF and MTTR reliability indicators for equipment.
- Production losses are now identified and ranked based on the impact to gold production
- Each production loss event is assigned an Oz of gold loss derived using MPPIglobal’s Production OEE equation and Metallurgical Accounting
- Structured Daily, Weekly and Monthly reports highlight the priorities for actions with potential revenue available to support improvement projects.
- Management now have clear listing of priorities as well as information listing the likely additional revenue that will be generated by each project.
- Site achieved record results within the first week, delivering well above the previous record by 7%
- Record gold production was achieved after the first few months of implementation delivering well above the previous record by 19%
- ROI was estimated to be between 3-5 days