SANDVIK EXPLORATIONiMachines & Automation and Next Generation Drilling Tools

Sandvik’s objective is zeroharm to our people, the environment we work in, our customers and our suppliers.

SAFETY FIRST

PROTECTIVE EQUIPMENT

ASSEMBLYPOINT

EMERGENCYEXIT

EMERGENCYNUMBER

ALARMFIRST AID KIT

RESEARCH AND DEVELOPMENT

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A DRIVER FOR GROWTH AND PROFITABILITY

Sandvik Mining

R&D drives ourfuture product and

service development

and continuedprofitable growth.

3 BSEK in R&D

3 BSEK

> 2,700 employees

> 2,700 employees 8,000 active patents

800 patents granted in 2014

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DESIGN PROCESS

Sandvik Mining

EDEEP Process – EMESRT Design Evaluation for EME Procurement EDEEP – EMESRT Design Evaluation for EME Procurement

A task-based, design evaluation process providing both OEMs and operators a means to effectively identify the degree to which a piece of equipment meets the intent of the EMESRT design protocol.

EDEEP enables OEMs to provide information to the purchasers of EME, demonstrating their actions towards minimizing and mitigating risk within maintenance and operability tasks, through the use of design controls.

EDEEP includes key sections to enable the user of create a final document to supply to the purchaser for evaluation. These include:

1. CTI (Critical Task Identification) information2. DP Reference Information3. TBRA (Task Based Risk Assessment) Document information4. Design feature information from the TBRA

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DESIGN PROCESS

Sandvik Mining

EDEEP Process – EMESRT Design Evaluation for EME Procurement EMESRT – Earth – Moving – Equipment – Safety – Round – Table

EMESRT is a global initiative of mining companies to engage with key mining industry OEMs to advance the design of equipment to improve safe operability and maintainability beyond current standards.

EMERST aims to enable change by acting as a conduit between stakeholders and designers, setting the stage for communication that matters, to accelerate safer equipment design

The harmonized voice approach of EMERST creates a unified story, enabling manufacturers to have a clear understanding of the issues, empowering their designers to work to eliminate the hazard in subsequent models. The results will be safer equipment by design, requiring fewer modifications upon arrival, and, safer equipment is more productive equipment.

EMESRT members include: Anglo American, Barrick, BHP Billiton, Centennial Coal, Cliffs, Collahuasi, Newcrest, Newmont, Peabody Energy, Rio Tinto, Sasol, Suncor, Syncrude, Vale, and Xstrata.

iMACHINES & AUTOMATION

• Past to Present• iMachines

− Benefits of Electronics on-board−Rod Handling with iMachines−Remote Support with iMachines

• Automation For Exploration− Automated Operations – future − Process to implement Automation

• Next Generation Tools−Core Barrel Innovation−Coring Bit Development

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Overview

PAST TO PRESENT

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iMACHINES & AUTOMATION

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iMACHINES BACKGROUND

• Based on globally-supported Sandvik software platform used across all product lines

• Expandable to accept new features and applications

• User-friendly fault diagnostics• Drill settings can be limited for learner drill

operators • Latest rig safety developments, including

interlocks• SanReMo Ready (Sandvik Remote

Monitoring)

Sandvik next generation drills with electronic control system

CONTROL SYSTEM

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Pulldown Pressure

Water Pressure

Rotation Pressure

Tab 1: Rotation Speed and Engine SpeedTab 2: Pull down and Holdback

iMACHINES & AUTOMATION

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Benefits of Electronics onboard

• User-friendly fault diagnostics

• Drill settings can be limited for learner drill operators

• Interlocks which reduce risk of operator misuse

• Enables Remote Tramming and Rod Handling

• Increases efficiency of machine reducing fuel consumption

• Ability to deploy Smart Services such as remote login, GPS and retrieval of data for reports

• Ability to Automate operations

• Capability to talk to iTools in the future

iMACHINES & AUTOMATION

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Rod Handler with iMachines

• New DA555 rod Handler for RC and DC rods

• New upper kicker and clamp integrated to the cup

• Electronics added to rod handler control

• With iMachines rod loading and unloading is a prime candidate for automation

• Hands Free Breakout Tool

1. Data Logger 2. USB Modem - Communications 3. External Antenna

iMACHINES & AUTOMATIONRemote Support with iMachines

• SanReMo creates reports on;Drilling Hours Engine HoursRod Handler Active

HoursWater Pump Active HoursFuel ConsumptionEngine SpeedWater and System

PressurePulldown/HoldbackWork Mode BreakdownDrill ModeFleet Location

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SANREMO (Sandvik Remote Monitoring)

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iMACHINES & AUTOMATION

Sandvik Mining

Remote Support with iMachines

iMACHINES & AUTOMATION

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Automated Operations – Future

• Auto level & Setup – Onboard Inclinometers, Azimuth and GPS • Auto Rod Load – Using DA555 • Auto Drill – Recipes setup for drill parameters (Rod size, pen rate etc.) • Auto Drill Multi-rod• Auto Rod Trip – When changing bits or tools• Auto WLW retrieval

iMACHINES & AUTOMATION

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• Operating @ Cerrejon Mine in Columbia• 90%+ availability• Working for 2 years• Drillers no previous experience with electronic

drills• Operating in NSW for 2 years by contractor• 90%+ availability• Driller take up exceptional

iMachine Case study

NEXT GENERATION DRILLING TOOLS17

SU WIRELINE CORE BARREL SYSTEMGAIN THE ADVANTAGE

INTRODUCTIONSU WIRELINE CORE BARREL SYSTEM

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• Multifunctional core barrel for both H and N size including triple tube.

• Logictip® Safety Overshot

• Interchangeable components

• Standard and pump-in applications in a single system

Lighter with more safety features – EHS • Intelligent overshot

• Automatically latch-locking

• Shorter head assembly • Shorter and lighter back end makes handling easier

• Knuckle joint on overshot• Enables easy handling, especially in confined spaces

• Load-rated breakaway safety pin • Provides a safer way to release the overshot from stuck

inner tubes

SU wireline core barrel systemSAFETY PROPOSITION

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New innovative design features = Increased Productivity

• iQ-FCV Fluid Control Valve • Ensures positive latching at all times

• Simplified overshot attachment to wireline• No cable eyes or cable splicing required

• Intelligent logic tip on overshot • Allows for in-hole dry releasing of inner tube

• Pump-in overshot with ball valve indicator • Alerts operator of positive latching onto the core barrels

back end

SU wireline core barrel systemVALUE PROPOSITION

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• Three core sizes sizes, one system! • Introduces a third core size option for H size

drilling• Increased core size gives a larger sample for

analysis – up to 11% more sample

Increased core size = Value for Money

• Utilises existing rod string and head assembly

• Less rotational torque required• Reduces load on the machine• Faster penetration rates

H2SU wireline core barrel systemH SIZE INNOVATION

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KERF AND CORE SIZE COMPARISON

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LARGER SAMPLE SIZEH Size H3 Size H2SU Size

Hole Size – 96.1 mm Bit Size – 95.6 mmCore Size – 63.5 mmKerf Size – 16.05 mm

Hole Size – 96.1 mm Bit Size – 95.6 mmCore Size – 61.1 mmKerf Size – 17.25 mm

Hole Size – 96.1 mm Bit Size – 95.6 mmCore Size – 68.0 mmKerf Size – 13.8 mm

Images not to scale

• The new Sandvik SU wireline core barrel system is a first of its kind that features interchangeable components and offers both standard and pump-in applications in a single system – a truly multifunctional core barrel system

• The main benefit is flexibility, which translates into several customer values:• EHS• Cost savings • Productivity

• The wireline core barrel system is available as NSU, N2SU and N3SU, HSU, H2SU and H3SU

Sandvik SU – a multifunctional wireline core barrel system

SUMMARY

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DIAMOND CORING TOOLSRZ400 SERIES BITS

RZ400 IMPREGNATED CORE BITSFREE CUTTING = HIGHER RPM

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Features• Optimised matrix recipe utilising DB4

Alloy• Softer matrix• Multiple face designs

Benefits• Less WOB required• Helps eliminate hole deviation• Reduced wear on machine• Increased down hole tool life

RZ400 CORE BITS CRITICAL FACTORSHigh and Low Powered Machines

A. Low RPM Drill A. Low Powered DrillUse a freer cutting bit that continually exposes new diamonds for cutting –high rpm and bit loads not required

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Use a bit with a harder matrix to ensure it can withstand the forces provided by the more powerful drill

B. High RPM Drill

Use a freer cutting bit that continually exposes new diamonds for cutting –high rpm and bit loads not required

B. High Powered Drill

Use a bit with a harder matrix to ensure it can withstand the forces provided by the more powerful drill

SANDVIK BIT SELECTION

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DURABLE MATRIX FREE CUTTING MATRIX

09/1108-09 13 14

0704-06

0302

TalcHard ShalesLimestoneSandstone

SchistDolomiteSerpentinite

BasaltDioriteDolerite

GabbroQuartzPegmatite

DioriteGraniteGneissQuartziteAndesite

GlassyQuartziteRhyolitePorphyryGranite

JaspiliteChertIronstone

12/1409

RV400

RZ400

06-07

200

Medium to Hard Rock

100 300

Very Soft Rock Ultra Hard RockHigh Powered Drills Low Powered Drills

COARSE GRAINED,ABRASIVE,FRACTUREDGROUND FINE GRAIN, NON ABRASIVE,COMPETENTGROUNDRock Strength ( MPa)

CORE DRILLING BITSFACE DESIGNS• Various configurations of waterways are

available to maximize recovery and bit life• Standard• Tapered• Turbo• Face Discharge• NFD (Non-face discharge) – triple tube

systems• Wide

STANDARD FACE DISCHARGE

TAPERED WIDE

THANK YOU FOR YOUR ATTENTION

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