1. Australian Technology: Inspiring Global Mining Innovation
Kevin Fitzpatrick
Chief Operations Officer | MICROMINE

2. Australia’s Mining Industry
Mining industry represents approximately 8% of GDP
Minerals exports account for $138 billion – more than 50% of Australia’s exports
Annual investments over $50 billion – $4 billion in R&D
Directly employs some 200,000 Australians (2% of total national employment)
Total government revenue payments (taxes and royalties) of US$4 billion
Global supplier – 2nd largest minerals sector by value of production (after USA)
Commodity exports will reach $480 billion in 2030 from a base of $210 billion in 2010.

3. Mining Industry Challenges
Unprecedented demand driven by the needs of emerging economies
Mature ore bodies and fewer tier one surface deposits being discovered
Inevitable migration from surface to underground operations
Lower grades with longer haul distances combined with massive volume demand
Next generation ore bodies bringing inherently complex mineralisation.
Stakeholders demanding less environmental impact from their operations
Carbon constrained future framed by the context of Global warming
Structurally higher energy prices and possibly real energy constraints
Future being different from the past in some fundamental, unavoidable ways.

4. Out of Crisis is the Emergence of the “Technology Age of Mining”
“Boom Age of Mining” 2004 to 2007
High commodity prices
Easy access to capital
High Labour costs/low availability
More volume = more equipment
Exploit known deposits, marginal new ground.
Historical
High
“Financial system repair 2012”
Massive government stimulus
Growth returns
Emerging nations power ahead
Confidence returns
“Shell shock” hangover
2012
Global Mining Activity Index
“Technology Age of Mining”
Unprecedented volume challenge
Combat declining grades
Productivity focus/low cost
Autonomy & Smart Systems
Safety via technology
Less people = more technology
>2012
“Global financial melt down ’07 to ‘09”
Banker driven risk taking stalls system
Distorted balance sheets uncovered
Housing market distortions spread panic
Monopoly money mentality grinds to a halt
’07 to ‘12
Post crash
Low
Time (Year)

5. Australia’s Mining Technology Sector
Australian exports of mining technology, equipment and services represents 3.3% of total goods and services exports
Sector directly employs over 5% of total national employment
Global supplier – 2nd largest exporter of mining products and services (after USA)
Leader in mining innovation in terms of funding of R&D – estimated $4 Billion per annum

6. Leader in Technology Innovation
World recognised leader in mining software technology
World leader in mining automation technology – long haul driverless trucks remotely controlled
Leading ‘underground communication’ technologies
Leading surface to underground “through the rock” communications

7. Global Demand for Technology
The demand for resources continues to expand in China, India, Russia, the FSU, Brazil and smaller emerging economies
This is driving the demand for Mining Technologies like never before, particularly in the areas of exploration, mine development tools, automation and communication, and advanced mineral processing
All economic predictions continue to emphasise the probability of an ongoing Supercycle in the demand for resources

8. Global Demand for Technology
“We believe the coming years will see the highest ever demand for resources and therefore technologies to find, mine and process these commodities and convey them to market safely with the highest level of productivity.”

9. About MICROMINE Founded in Perth, Western Australia in 1986
Services over 12,000 clients in 90 countries
20 offices in the worlds major mineral producing countries
Intuitive solutions for the entire mining process
I am going to tell you something about MICROMINE, which was started in Perth, 25 years ago. Importantly, MICROMINE is an Australian company that is still privately owned. We now have an impressive global footprint with offices in (and I will try to list them alphabetically) Australia, Brazil, Canada, Chile, China, India, Indonesia, Kazakhstan, Mongolia, Russia, South Africa, Turkey, United Kingdom, Ukraine, USA and Uzbekistan. Three of these are agencies, the remainder are staffed by MICROMINE personnel.

10. Our Clients Include…

11. Technology and Industry Awards
C.Y.O’Connor Award for Excellence in Engineering Australia China Business Award BRW Private Business Awards Information and Communication Technology Export Award Austmine Craig Senger Top Exporter Award
In 1990, MICROMINE was the first software company ever to win an Australian Design Award. Some of our more recent efforts, in 2009 and 2010, are shown here.
Just as significant is our commitment to R&D. We have received 3 separate Federal Government Grants totalling over AU$9 million.
2008 Positioned in BRW’s list of fastest growing 100 companies in Australia
2008 Awarded the Western Australian government’s C.Y. O’Connor Award for Engineering Excellence
2008 Awarded the Western Australian government’s Information and Communication Technology (ICT) Exporter of the Year Award
2008 Finalist at the Australian Mining Prospect Awards for its PITRAM solution
2009 Received a Certificate of Merit at the iAwards
2009 Austmine Craig Senger Top Exporter Award
Western Australian Industry & Export Award Winner and Entrant in the Hall of Fame in recognition of winning the Award three times
Winner of the WAiTTA 2012 Exporter Award
Micromine Awarded for Industry Excellence
Micromine, the global leader in innovative software solutions and services to the exploration and mining industry, has recently been recognised and awarded at the Western Australian Industry & Export Awards, and by Business Review Weekly (BRW) and Australian Mining. The awards and recognitions are for its productivity enhancing software solutions, success in the international marketplace and pace of growth.
Micromine won the prestigious C.Y. O’Connor Award for Excellence in Engineering and Technology, and the Information and Communication Technology (ICT) Export Award. The awards were held on 31 October 2008 at the Hyatt in Perth. Micromine’s success in the two categories has ensured its position as a finalist in the Australian Export Awards (AEA). The AEA showcase the ‘best of the best’ Australian enterprises in exporting. All winners will be announced on the 5th December 2008 in Melbourne at a National Awards Presentation. The presentation will be attended by the Prime Minister of Australia, the Hon. Kevin Rudd MP.
Micromine was also a finalist in ‘The Australian Mining Prospect Awards’ in the category of ‘Innovative Mining Solutions’ for its mine production control software solution, PITRAM. The award category recognised those with a mining solution that has led to real mining improvements. PITRAM is a real time mine production control solution that records and manages mine site operations. It allows for the most productive use of resources on a mine site, therefore improving operations underlying business fundamentals. The awards were held on the 22 October 2008 in Sydney and are an initiative of the mining technology magazine ‘Australian Mining’.
Micromine was also ranked in the ‘BRW Fast 100’. This publication ranks Australian companies with up to 200 staff according to their average annual turnover growth over three years. While Micromine has been achieving rapid growth over the last three years, it has been successfully growing since its inception in 1986.
The C.Y O’Connor award for Excellence in Engineering and Technology recognised Micromine’s commitment to commercialized technological innovation. Micromine currently invests 30 per cent of its annual revenue into research and development (R&D), and has a program worth over $11 million. With such a robust R&D budget and a highly specialised team driving the program, Micromine is developing solutions that both meet and pre-empt the needs of the global exploration and mining industry.
The ICT Export award recognised Micromine’s ever expanding presence and growth in international markets. This growth comes out of the need to be geographically close to clients and their operations to service them effectively. It is also derived from the need to offer a solution that is market specific. Micromine’s solutions are currently available in four languages including Chinese, Russian, Mongolian, Spanish and English.
The BRW ranking recognised the strength of Micromine which has been established over the 25 years it has been in operation. It also recognised the company’s presence and growth in international markets.
“We are extremely proud to have received these prestigious awards. Our recent successes showcase the strength of our organisation in the exploration and mining industry, and our continual quest to provide more innovative solutions in tune with our global client needs. The awards also highlight our commitment to service our clients more effectively.

12. Solutions for the Mining Lifecycle

13. What is Field Marshal?
An application created specifically for collecting and manipulating geological field data

14. What is Geobank?
Geobank is a flexible, reliable and secure Data Management System that validates, stores and presents data from a variety of sources.
Here is a schematic description of Geobank, out Data Management System

15. What is Micromine?
A geological exploration, modelling and mine design solution for all stages of the mineral extraction process
Micromine is a winner when it comes to Total Cost of Ownership. (Talk about buying a car – see below) The same applies when making a software purchase decision. Consider elements such as:
Ease of use
Productivity
Annual fees – how much and what do you get?
Updates and Service Packs – how often?
As a user can you drive the development direction?
What support facilities are provided? What is the turnaround time?
What training courses are available?
For example, the TCO defines the cost of owning a car from the time of purchase by the owner, through its operation and maintenance to the time it leaves the possession of the owner. Factors include:
Some of the key elements incorporated in the cost of ownership for a vehicle include:
Purchase price
Depreciation
Fuel
Insurance
Repairs and Maintenance
Taxes and Fees

16. What is Pitram?
Mine management and control solution that helps achieve business sustainability and operational improvement goals
Systems like Pitram are often categorised under the Fleet Management heading. They are capable of recording material movements and reporting on equipment KPIs like availability and utilisation.
Pitram is better described as a Mine Control System, because it can be the basis of informed decision making when things don’t go to plan.

17. What is Micromine Consulting Services (MCS)?
MCS provides geological and mining consulting services to mineral resource companies worldwide

18. Why the MICROMINE Solution?
“The one thing that you cannot buy is lost time.”
Why the MICROMINE Solution?
Industry leadership in mining solutions from exploration to mining output
Global expertise in consulting compliant with local and industry standards
Solutions for the entire mining lifecycle
Best-of-breed data management solution
A solutions approach tailored to meet your requirements

19. MICROMINE’s Global Footprint

20. MICROMINE in Kazakhstan
Established presence for more than 10 years
Employ more than 20 people – staff are local not expatriates
Development base in Almaty and Tashkent
Invest in business growth and job creation
Permanent MICROMINE owned office, NOT an agency
Local staff trained in Australia

21. MICROMINE in Kazakhstan
Local reporting standards - collaboration with GKZ
Education investment – collaboration with East Kazakhstan State Technical University and Tashkent State Technical University
Sponsorship and participation in Kazakhstan and Australia cultural exchanges
Kazakhstan contributes 6% of MICROMINE annual revenue before EBITDA

22. Thank you