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Internet of Things World Forum Chicago John McGagh – Head of Innovation October 2014

Internet of Things World Forum - Rio Tinto · Internet of Things World Forum Chicago . John McGagh – Head of Innovation . October 2014

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Internet of Things World Forum Chicago John McGagh – Head of Innovation October 2014

©2014, Rio Tinto, All Rights Reserved

I will address three points during our time together:

1 Our world

2 Connectivity

3 Our internet of “big” things

About this presentation

October 2014 2

©2014, Rio Tinto, All Rights Reserved

Who are we? A journey from 1873 to 2014

3

From

To

October 2014

©2014, Rio Tinto, All Rights Reserved

Mining is physical, it is connected to “places”

4

Large mines trigger significant parallel development through towns, schools, hospitals, roads etc. This further drives the concept of self- sufficiency.

Mining is a physical activity, the ore bodies cannot be moved. This drives a locally focused self-sustaining management culture that has been very successful over time.

October 2014

©2014, Rio Tinto, All Rights Reserved

Technology enablers reduce geographic boundaries

Sophisticated mathematics is being developed to interpret

large data sets to develop new insights

Cloud-based systems are interconnecting “everything”, the physical world is

becoming part of the data pool

Power & cost of computer chips Cost & capacity of data storage

Interconnectivity & cloud systems Proliferation of sensors

October 2014 5

©2014, Rio Tinto, All Rights Reserved

Stepping out – our location experiences

Western Australia, the world’s first and largest integrated Iron

Ore operations centre

Integrated global multi commodity Processing

Excellence Centre

2009 – regional 2014 - global

Collaboration

Skills leverage

Productivity

Value add

Exploit Big Data

Distance irrelevant

Human systems

Advanced models

Intelligent analytics

Network partners

October 2014 6

©2014, Rio Tinto, All Rights Reserved

Snapshot – remote operations and autonomy

October 2014 7

©2014, Rio Tinto, All Rights Reserved

We have moved >200,000,000 tonnes using autonomous technology (~ 3,500 Sydney Harbour Bridges or 540 Empire State Buildings)

Our autonomous fleets have covered ~3,900,000km hauling material in our operations (x 5 trips to moon and back)

Rio Tinto and Autonomous Haulage (today*)

We own and operate the world’s largest autonomous haulage fleet operating in full production mode on three mine sites

We have over 1,000 Rio Tinto person years of experience operating autonomous haulage embedded in our business

x5

x3,500

x58

x1,000 *Correct as of August 6 2014

September 2014 8

©2014, Rio Tinto, All Rights Reserved

Concentration – Fixed Mining – Mobile

Two worlds - fixed and mobile infrastructure

October 2014 9

©2014, Rio Tinto, All Rights Reserved

Fixed infrastructure, connected sensors

Concentration

Well instrumented Processes reacting to changes in mineral feed driven by geology

Fixed infrastructure Significant capital investment Low levels of uncertainty

Significant theoretical process models developed by academia over decades

October 2014 10

©2014, Rio Tinto, All Rights Reserved

Mobile infrastructure, machines are sensors

11

Mining

Machines individually instrumented Equipment used on board the machine

Mobile infrastructure Individual operating units High levels of uncertainty

Operating within a constantly changing geographic/geologic landscape

October 2014

©2014, Rio Tinto, All Rights Reserved

Value, frequency and use of information

s min hr d m y

Information time scale

Typical plant

Typical mine

Future mines

Low

High

Relative information value for decisions

October 2014 12

The information required to make the “correct” decision has a significant time driven

value component

©2014, Rio Tinto, All Rights Reserved

Mines look simple - how hard can this be?

Turn into information

Grab the (sensor) data

Improve shorter-term decisions

October 2014 13

©2014, Rio Tinto, All Rights Reserved

Thinking model - the 737 index

14

100

20

10

x107

x21

x7 x6

x2

x2

x1

Mul

tiple

s of

the

wei

ght o

f a 7

37 (t

ake

off w

eigh

t)

737 weighs 79 tonnes t/o

Machines commonly used in the mining industry

October 2014

©2014, Rio Tinto, All Rights Reserved

Grasping the scale

15 October 2014

©2014, Rio Tinto, All Rights Reserved

example

Machines are our mobile sensor platform(s)

32 Sensors

120 Sensors

40 Sensors

Rio Tinto has ~900 HME trucks

Useful data produced by trucks

~4.9 Tb/day (fleet)*

Significant value to leverage

October 2014 16

* Note; 70% utilized fleet, x5 overhead wrap on raw sensor data

©2014, Rio Tinto, All Rights Reserved

An integrated strategy – data is the glue

• Rio Tinto Mine Automation System (MAS) − A seven year programme, partnership with University of Sydney − Embed many learnings and technologies from the defence sector

• One version of the “truth” in mining − Autonomy is one component in the mine − One part of our Sense/Think/Act strategy

Stitching it all together Vehicles are components in the wider complex mine landscape. Rio Tinto believes we have to integrate many mining systems to capture most value

Run 2 min MAS Video

October 2014 17

©2014, Rio Tinto, All Rights Reserved

Mine Automation System (MAS)

Mine Automation

System

Dispatch – (i.e. Modular®)

CAT - Aquila™

Vulcan™

Plants – control & historian

Sensors

Anything, anything, anything

Visualization

October 2014 18

SENSE

THINK

ACT

©2014, Rio Tinto, All Rights Reserved

Mine Automation System (MAS)

October 2014 19

©2014, Rio Tinto, All Rights Reserved

I addressed three points during our time together:

I hope the presentation was interesting and challenging.

The world is wired and the internet of “big” things is upon us.

This is the end of the beginning.

1 Our world is physically connected to an ore body

2 Connectivity provides new opportunities to improve

3 Our internet of “big” things Fixed v/s Mobile - MAS

Summary

October 2014 20

Internet of Things World Forum Chicago John McGagh – Head of Innovation October 2014