CITIC Pacific Mining implements SAP Leonardo

SAP Leonardo

CITIC Pacific's Sino Iron project. Photo: CITIC Pacific Mining

With a goal of becoming the lowest cost, large-scale magnetite miner in the world, CITIC Pacific Mining (CPM) has become one of the first organisations in the Asia-Pacific Japan region to implement SAP Leonardo technology.

As the miner ramps up production and seeks to put the Sino Iron project on a sustainable footing, CPM required a system that would streamline its business processes by collecting, mapping and analysing fleet and vehicle data in real time, and has become one of the first organisations in the Asia-Pacific Japan region to go live with SAP Leonardo technology.

Using SAP Leonardo IoT for SAP Vehicle insights, the company aims to increase vehicle utilisation to 80 per cent and reduce maintenance costs by 10 per cent, and accelerate its three strategic objectives – detect and monitor real-time changes, make informed decisions and execute on plans quickly and efficiently.

The technology was implemented across 230 light vehicles, buses and service trucks at Sino Iron, south of Karratha in Western Australia’s Pilbara region in July.

“SAP Leonardo has enabled us to use IoT, analytics and integration technologies to achieve greater insights into the utilisation and maintenance of our fleet,” said Ray Achemedei, general manager information services, CITIC Pacific Mining. “Physically we’re one of the largest mining operations in Western Australia – with fully-integrated mining, processing and port terminal facilities, as well as standalone accommodation precincts. At any given time, we’ve got hundreds of vehicles and pieces of plant operating around the site.”

“By harnessing real-time vehicle data, we can monitor accurate odometer and engine hours to help reduce maintenance costs, prevent failures and avoidable consequences, improve safety, and provide opportunities to optimise scheduling and reduce our impact on the environment.”

Additionally, CPM can streamline the way it calculates and claims monthly fuel tax credits.

“SAP Vehicle Insights is driving greater operational efficiencies within the business, which will underpin our long-term sustainability. For example, knowing when, where and how our mobile fleet is being used provides huge scope to deliver better operational outcomes,” Achemedei said. “Greater efficiency mean lower overall costs. For our industry, this is absolutely critical.”

Colin Brookes, president and managing director, SAP Australia and New Zealand, said, “SAP Leonardo has empowered CPM to improve maintenance processes, reduce reliance on rented vehicles and minimise its environmental impact. We share a vision of delivering value by streamlining processes.”

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