Hauling” ourselves into the future · IN-PIT CRUSHING & CONVEYING +Continuous operation +Low OPEX...
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@FutureofMining #FOMAMERICAS Wifi – Sheraton Meeting Room Password – FOM2019 “Hauling” ourselves into the future Thomas Kirk, Senior Associate, Rocky Mountain Institute
Transcript of Hauling” ourselves into the future · IN-PIT CRUSHING & CONVEYING +Continuous operation +Low OPEX...
@FutureofMining#FOMAMERICAS
Wifi – Sheraton Meeting RoomPassword – FOM2019
“Hauling” ourselves into the future
Thomas Kirk, Senior Associate, Rocky Mountain Institute
Transforming global energy use to create a clean, prosperous, and secure low-carbon future.
HAULING OURSELVES INTO THE FUTURE
TJ Kirk | 10.22.19 | Denver, CO
IMPROVING THE SUSTAINABILITY OF HAULING OPERATIONS
TABLE OF CONTENTS
• Introduction
• Sizing the Challenge
• Decarbonization Options
• Strategies for Meeting Emissions Targets
• Carbon Accounting for the Future
INTRODUCTION
We Transform Global Energy Use to Create a Clean, Prosperous, and Secure Low-Carbon Future
Our Mission:
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RMI OVERVIEW
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DECARBONIZATION IN MINING: ENERGY-CENTRIC INNOVATION
WE WANT TO DEVELOP STRATEGIES AND PATHWAYS TO TURN LOW-CARBON ENERGY
TECHNOLOGIES AND BUSINESS MODELS INTO A COMPETITIVE ADVANTAGE FOR THE MINING INDUSTRY.
Legacy Sites
Operating Mines
Customers and Community
New Mine
Design
• Establishes a vision for the future of the mining industry, shaped by current trends and technologies
• Uses systems thinking to identify pathways to achieve production, safety, financial, and sustainability goals
• Tailors solutions to address the unique needs and challenges of mining firms
Renewables redevelopment
PPAs / VPPAs
Automation
Fuel switching
Demand-side management
Energy efficiency
Rural electrification
Economic development
Fully autonomous mining
100% mine electrification
Renewable microgrids
Mines as a grid asset
Digital transformation
Mobility transformation
De-commoditization
Zero carbon mining
SIZING THE CHALLENGE
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HAULING ACCOUNTS FOR UP TO 50% OF MINE ENERGY
28,000 large mine hauling trucks
x
900,000 liters of diesel per truck
per year
= 68 million tons of CO2e per
year
By Dan Fleet 00:22, 9 February 2007 (UTC) / - Self-produced digital photograph / Transferred from en.wikipedia to Commons by harfang., Public Domain,
https://commons.wikimedia.org/w/index.php?curid=12809980
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TRUCKING DEMAND ON TRACK TO INCREASE 125% BY 2050
• Commodity Demand + 50-100%
• Ore Quality - 50-100%
• Trucking Need +25%
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TRUCKING NEEDS TO BE 108% MORE EFFICIENT BY 2050
DECARBONIZATION OPTIONS
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THREE GENERAL SOLUTION SETS
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BIO-DIESEL
+Considered Carbon-Neutral
+B20 can run in diesel engines without
modification
+Reduces CO, SOx and Particulates
- Higher concentration blends may
damage engines
- Supply Chain Concerns in consistency
and environmental impact
SUPPLY UNCERTAIN BUT FUEL IS FUNGIBLE WITH DIESEL AT LOW % BLENDS
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NATURAL GAS
+Demonstrated applications in medium &
heavy duty trucks
+Reduces CO2 emissions by 20-25%*
+Dual-Fuel blending has been proven to
work
- Emissions reduction potential depends
on upstream supply chain
- Retrofitting required to run trucks
entirely off LNG
- On-site cryogenic storage tanks
required
READILY AVAILABLE AND PROVEN FOR TRUCKS BUT NOT HAULERS
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TROLLEY-ASSIST
+With grid power, can reduce CO2 emissions by up to
30% from reduced diesel
+Trucks move faster up-hill
+System becomes cleaner as power supply becomes
cleaner
- High capital cost
- Fixed asset*
- System downtime will impact mine operations
VALIDATED RETROFIT TECHNOLOGY FOR SPECIFIC APPLICATIONS
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IN-PIT CRUSHING & CONVEYING
+Continuous operation
+Low OPEX
+Fully electric allows operations to become
cleaner with supply
+Multiple designs available
- High capital cost
- Fixed asset*
- System downtime will impact mine
operations
- Best for new mine design, not retrofit
- Ramp slope less than 10 degree
WELL-ESTABLISHED METHOD FOR BULK MATERIAL TRANSPORT AT LOW COST
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ELECTRIC TRUCKS
+No on-site emissions
+Supply of energy storage can enable more
renewables & load-shifting
+Potentially much lower OPEX
+Integration with Trolley-Assist
- Requires more down-time for charging
- Not commercially available at scale
- Higher CAPEX than diesel haulers
EXCITING BUT NOT AVAILABLE AT SCALE
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HYDROGEN FUEL
+No on-site emissions
+Supply of energy storage can enable more
renewables & load-shifting
+Higher energy density than batteries
+Provides all the flexibility that traditional fuels provide
- Not commercially available
- Higher CAPEX than diesel haulers
ALSO EXCITING BUT NOT AVAILABLE YET
STRATEGIES FOR MEETING EMISSIONS TARGET
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IMMEDIATE SHALLOW CUTS ONLY BUY A FEW YEARS
DEEP CUT NEEDS TO HAPPEN BY 2028 - 2033
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THREE BROAD STRATEGIES
1.Expand the Problem
2.Over-Deliver on Select
Assets
3.Accelerate Technology
Readiness
CARBON ACCOUNTING
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Minerals industries pressured from multiple directions
Industry-led certification
Disclosure Programs
Sustainability Regulations Products & Procurement
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Dynamic that drives change throughout a mineral value chain
A. Technology and Process Design• Break-through• Adoption
B. Energy / CO2 Footprint• Energy Efficiency• Energy Supply
C. Value Chain of The Future• Supply / Demand balance• Product differentiation
D. Demand and Requirements• Commercial Market Drivers• Investors / Community / Policy
…enables
changes to…
…to improve
competitive
position in…
…to capture
opportunities
of a market
tracking to 1.5C
…driving
innovation in…
…requiring
drastic
changes to…
...change the
fundamental
dynamics of…
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