AUTOMATIC LOADER EQUIPMENT PRODUCTIVITY IMPROVEMENT IN UNDERGROUND DOZ MINING OPERATION PT FREEPORT INDONESIA

Grasberg open pit mine production will gradually slow down and stopped in 2018. PT. Freeport Indonesia <br /> <br /> (PTFI) initiating Grasberg Transition program as a part of the long-term strategy on shifting its operation <br /> <br /> model from open pit mine to the under...

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Bibliographic Details
Main Author: MUTAQIN 29115141 , ZAINAL
Format: Theses
Language:Indonesia
Online Access:https://digilib.itb.ac.id/gdl/view/24846
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Institution: Institut Teknologi Bandung
Language: Indonesia
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Summary:Grasberg open pit mine production will gradually slow down and stopped in 2018. PT. Freeport Indonesia <br /> <br /> (PTFI) initiating Grasberg Transition program as a part of the long-term strategy on shifting its operation <br /> <br /> model from open pit mine to the underground mine operation. During transition period, all underground <br /> <br /> mines expected to achieve its production target to back up shortcoming of ore from Grasberg mine (currently <br /> <br /> contributes to 70% of total PTFI production). In 2016, Underground DOZ mine (UG DOZ) planned to <br /> <br /> contribute for 12%. However, the production target was unachieved with average of variance 2.15% (5,379 <br /> <br /> tons per day). It is a serious condition for PTFI, as the decrease of production will potentially lead to the <br /> <br /> deficit of ore during transition period. <br /> <br /> <br /> One of the proposed initiatives of above problem is analysis and study of Automatic Loader equipment as the <br /> <br /> key equipment in UG DOZ operation. The study conducted by analyzing equipment usage hours to measure <br /> <br /> current effectiveness of the Automatic Loader operation through data driven analysis, identifying issues and <br /> <br /> inefficiency, root causes analysis from the aspects of people, process and technology. The main goal is to <br /> <br /> provide the best recommendation solutions to improve productivity of Automatic Loader equipment in UG <br /> <br /> DOZ and identify other improvement opportunities to maintain production target achievement the future. <br /> <br /> <br /> The methodology used is Six Sigma with DMAIC as a tool that most often used within a simple performance <br /> <br /> model improvement of existing business process. Root cause and solution analysis come up with eight <br /> <br /> proposed initiatives, communication & coordination improvement, workflow & assignment system <br /> <br /> implementation, competency training, reward & punishment system, downtime analysis & improvement, <br /> <br /> utilize Minestar capability, utilize MST tracking system and add loader equipment. <br /> <br /> <br /> The implementation divided into three phases with the estimated time execution in the three quarters <br /> <br /> involving several parties such us Production Team, Engineering Team, MIS, etc. It is estimated will <br /> <br /> increasing productivity of Automatic Loader equipment through reduction of unproductive hour usage up to <br /> <br /> 14.16% from overall unproductive hours or 8.64% from total production hours during 2016. Analysis result <br /> <br /> shows that unachieved production target in 2016 potentially resolved through the proposed improvement <br /> <br /> initiatives with additional ore from reduction of the unproductive hours reaches 5,387.12 tons per day or <br /> <br /> 1,966,299.30 tons annually (equivalent to $ 26,387,737). <br /> <br /> <br /> With the estimated cost requirement is $660.000, the net benefit will be $ 25,727,737. It is bigger than the <br /> <br /> production loss caused by unachieved production target during 2016 in Underground DOZ operation that <br /> <br /> reached $ 26,626,094. <br />