The move will make use of GE’s Predix, an open, cloud-based system that connects industrial equipment, data analysis and instant insights. 

It will help South32 make better use of the data its disparate systems turn out. In many cases that data is already available. Much of the equipment on mine sites has some form of data reporting. It is just a matter of making use of it.

South32 believes the system will help it make fast informed decisions and provide the opportunity to optimise entire operations rather than individualised assets and equipment.

This is GE’s first partnership with an Australian mining company in the digital space. 

Mining is an area the US giant is keen to break into.

From South32’s point of view it is an opportunity to use technology to get a better handle on its diverse mining portfolio spanning 10 operations and five countries.

The Predix system was part of GE’s Digital Mine display at last year’s Minexpo.

That Digital Mine was a suite of technologies that could improve performance, reliability, safety and operations.

It came from the premise that each mine was a mini city needing power, water and transportation – areas GE is already strong in.

At Minexpo GE argued intelligent real time monitoring across the mine allowed operators to make data-driven decisions that improved equipment reliability and optimised operations and could yield up to US$5 billion annually in savings.

“Mining, as an industry, faces strong headwinds and must drive productivity and improve operational savings,” GE Mining vice-president and CEO Scott Phillips said.

“Digital Mine, through advanced sensor technology and analytics seizes the industry’s untapped data to help make a difference.

“As we’re doing successfully for the rail industry, we’re using our industrial internet mindset to actively monitor and diagnose equipment and operations to improve assets, maximise efforts, boost fuel efficiency and lower costs.”

For South32 CEO Graham Kerr it is a way for the company to do its job better.

“Bringing the world of operational technology and informational technology together to monitor equipment and systems remotely and predict future behaviour is a game changer,” he said.

“It has the potential to identify and solve a problem before it affects operations.”

South32 chief technology officer Ricus Grimbeek said the partnership with GE was a way for South32 to change the way it worked.

“If we get this right the result won’t just be an incremental improvement but a new level of efficiency and performance,” Grimbeek said.

For GE it is a chance to get into a whole new industry.

“The future of mining is digital,” GE CEO and chairman Jeff Immelt said.

“With data and analytics we can achieve greater levels of productivity, operational efficiencies and improve safety.”

GE has a suite of condition-monitoring sensors that collect information such as vibration data, temperature and pressure to inform mine operators of machine health. These can also detect impending failures before they occur.

That is in addition to those pieces of equipment that can already report vital health and operational metrics.

Data from disparate systems creates an insight into what is happening across machines and processes. This can lead to greater productivity and the reduced likelihood of accidents.

GE points to some examples where its digital solutions have helped customers reduce equipment failures, deliver up to 5% improvement in mineral recovery and optimise. It cites the example of a gold miner that maximised recovery by 1.5%, the equivalent of nearly $1 million a year. Another example is the platinum miner increasing smelter throughput by 10% while improving recovery.

GE Australia CEO Geoff Culbert said the partnership opened up the potential for a whole new market.

“Successfully transforming the mining sector for the digital age poses an enormous opportunity for Australia,” Culbert said.

He called it innovation on an industrial scale.