Asset Life Cycle Cost Modelling – Case StudyNew Mining Fleet - QLD, Australia
The Challenge
Mobile equipment is often one of the biggest capital costs for large scale mining operations, with significant operating costs throughout its lifecycle.
To support our clients plan for the expansion of their gold mine operations, EnterpriseIS was engaged to develop lifecycle cost models for all of its Mobile fleet. These would be used as cost predictors in the development of a future state mining operation.
Through the development of effective lifecycle cost models, the client was wanting to accurately model the expected mine expansion capital and operational costs.
The Solution
Using the last 10 years of operating data for the mobile mining fleets, along with the EnterpriseIS lifecycle cost model, the team were able to develop models for each fleet type.
These models were then used to determine:
- Annual OPEX Labour and material costs
- Annual CAPEX Labour and material costs
- Estimated Breakdown Labour and material costs
- Availability and Utilisation (including life averages)
- Costs per operational hour
- Expected component usage rates.
The Results
- Developed lifecycle models for Haul Trucks, Water Trucks, Graders, Dozers, Excavators and Drills.
- Annual costs for each type of mobile were determined for each of the next 30 years.
- Whole of life asset strategies were developed including estimated consumable / component usage.
- The client inserted this information into the mine operating models, to support the approval process for the mine expansion