It’s costing your mine more than you think…

WHEN IT HAPPENS

Have you ever experienced that sinking feeling in your gut, the kind that hits you when you think something bad just happened?

It happens to everyone when they’re getting ready to blast and there is still a name on the tag board. Did we forget someone underground? Did someone not come up today because they’re hurt and still underground?

That sinking feeling turns frantic, as you and some of your co-workers start trying to get a hold of his crew members. Most of them have left for the day, but one of you managed to get a hold of someone. They saw him in the dry earlier and think he already went home.

THE WAITING GAME

Now you have to stay late and wait for the person to drive back to the mine and remove their tag. An hour or so passes and you stand there, sometimes with a few of your co-workers, waiting so you can do the blast and go home.

The next day, there’s a pep talk during the safety meeting about the importance of remembering to tag out. The shift supervisor explains that the guy will be getting disciplined and that the mine lost 1-hour of production because of a delayed blast.

THE TRUE COST TO A MINE

These incidents add up to lost production really fast. An underground gold mine producing 150k oz a year with a 12 year mine life could lose $1.3 million in productivity over the life of the mine.

XYZ Mining Company

Annual Mine Production

156,000oz Gold

Mine Life

12 Years

Production Schedule

24hr/365days

Shift Size

50 Workers

Hourly Rate (1)

$35.00/hour

Number of warnings before termination

2 Warnings

Total cost of finding and replacing an underground worker

3 Month’s Pay


Cost of Lost Production

$28,493/incident

Cost of Idle Workforce

$1,750/hour

Share of Cost to Replace an Underground Worker

$5,833

Total Cost Per Incident

$36,076


Annual Cost to the Mine

$108,228

Incidents per year

3 Times

Total Cost during Mine’s Lifespan

$1,298,736

There is a solution

Digitization in the mining sector has been a hot topic lately but here is an example of how simple digital information can generate a return on investment.

Vandrico has implemented a simple solution that allows mines to keep their existing tag-in/tag-out process and solve the problem of forgotten tags. You can learn more about the solution here.


ConnectedWorker™ Tagboard

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