Cummins Inc. (NYSE-CMI) is announcing several new initiatives focused on reducing miners’ total cost of ownership (TCO) related to engine operation.

Zach Gillen, Cummins Executive Director – Mining Business, said, “Faced with challenging economic conditions, our customers are keenly focused on conserving cash and optimizing equipment operation. Over 60 percent of a miner’s TCO is tied to fuel, parts and service, and we have developed solutions which can be applied in a wide range of mining applications. These upgrades lower fuel and servicing costs, and are available for engines currently in use, providing immediate cost savings to cash-strapped miners around the world.”

Cummins fuel consumption reduction initiative, called Fuel Saver, is currently available for QSK50 and QSK60 engines, with plans to extend it to other high-horsepower engines. There are a number of options to reduce fuel consumption for mining trucks by 1 percent to 5 percent annually, which equates to an average annual saving of $6,000 to $30,000 per vehicle. The fuel-economy improvement also generates an equivalent percentage reduction in CO2 emissions of approximately 10 kg (22 lb) CO2 per gallon of fuel saved.

“The improvements are achieved through base engine modifications, fuel system upgrades and electronic calibration changes. Our technicians will offer a tailored solution based on the customer’s specification to achieve the best possible savings. They are available for Tier 1 and Tier 2 engines in service now,” added Gillen.  Cummins is also able to reduce engine-servicing costs with the latest air, lube, fuel, hydraulic and water filtration technology, along with proprietary coolants. Nanofibers with a diameter smaller than a human hair are combined with a cellulose-based media to capture particles at a submicron level before they can reach engine components such as pistons, rings and liners.

Field studies around the world have successfully validated TCO improvements of over 60 percent, by extending service intervals to a minimum of 1,000 hours. In addition, the NanoNet® technology has helped miners reduce costly equipment downtime.

“Our technology leadership, coupled with a collaborative focus on helping customers win, is putting us in a position to deliver market-leading total cost of ownership. Our latest TCO improvements are a good example of our commitment to the mining industry, and we will have experts on our stand at MINExpo to talk with anyone interested in learning more,” concluded Gillen.

About Cummins Inc.

Cummins Inc., a global power leader, is a corporation of complementary business units that design, manufacture, distribute and service diesel and natural gas engines and related technologies, including fuel systems, controls, air handling, filtration, emissions solutions and electrical power generation systems. Headquartered in Columbus, Indiana (USA), Cummins currently employs approximately 55,000 people worldwide, and serves customers in approximately 190 countries and territories through a network of approximately 600 company-owned and independent distributor locations and more than 7,200 dealer locations. Cummins earned $1.4 billion on sales of $19.1 billion in 2015. Press releases can be found on the Web at cummins.com or cumminsengines.com. Follow Cummins on Twitter at twitter.com/cumminsengines and on YouTube at youtube.com/cumminsengines.

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Note to editors: A case study on filtration service interval improvement is attached.

Cummins Filtration has proved in global trials that new technology filters deliver major cost benefits.

A filter optimization program carried out by Cummins Filtration and Komatsu® at Anglo American’s Dawson coal mine in Queensland has realized major cost savings through use of new-technology Fleetguard® filters to extend service intervals.

Cost savings of 60 percent through reduced filter and oil consumption alone were confirmed following a 12-month field test involving a Komatsu 830E haul truck powered by a Cummins QSK60 HPI engine. Applied to the fleet of 14 Komatsu 830E trucks at the Dawson mine, savings in excess of $220,000 per year will be realized while slashing downtime for servicing by 74 percent, or 439 hours. Add reduced labor costs resulting from the 439 fewer hours of servicing time, and total savings will exceed $250,000 across the fleet of 14 trucks.

All 14 Komatsu 830E trucks have since been fitted with the new-technology filters. The Dawson mine project was part of a global program by Cummins Filtration aimed at delivering cost reductions to mining companies in the wake of plummeting commodity prices. “Our objective with the Dawson field test was to demonstrate that new-technology Fleetguard filters provide both better protection and lower total cost of ownership for mine operators,” said Gary Ross, Director – Global High-Horsepower Business, Cummins Filtration.

The testing confirmed a service life of 1,000 hours or greater for all primary filter products. In all cases, the historical filter service intervals at the mine for the Komatsu 830E were exceeded. For example, conventional fuel filters were being changed every 500 hours. The target interval for the field trial with new technology filters was 1,000 hours, and the actual interval achieved was 3,316 hours. A new interval of 2,000 hours was set to fit in with existing servicing strategies.

New service intervals were also established for the:

¦ Lube oil filter of 1,000 hours (previously 500 hours)

¦ Lube oil of 1,000 hours (previously 500 hours)

¦ Fuel filter of 2,000 hours (previously 500 hours)

¦ Air filters of 2,000 hours (previously 1,000 hours)

¦ Water filters of 4,000 hours (previously 500 hours)

The new-technology Fleetguard filters fitted on the test truck to achieve the extended service intervals were: Dual Tall Industrial Pro fuel/water separators with NanoNet media; a SpiraTec rotor for the Cummins Eliminator centrifugal oil filtration system; NanoForce air filters; and ES (Extended Service) water filters.

“The field testing was carried out scientifically so there could be no doubts about the validity of the results,” said Ross. Data loggers and pressure transducers were fitted to the air, fuel and lube oil filtration systems. Pressure readings along with truck operational data from the engine Electronic Control Module (ECM) (load factors, fuel consumption etc.) were downloaded at 5 second intervals for live monitoring by Cummins engineers. An alarm system, on detecting any potential issues, notified on-site personnel. Both laboratory and on-site analysis of the filters, fuel and oil was also carried out to confirm media integrity, oil stability and fuel cleanliness levels.

John Soar, principal mechanical engineer for Anglo American Coal Australia Asset Management, confirms the validity of the testing. He says the testing was innovative, and showed the new technology filters provide “exceptional enhancements at basically no additional cost.”

“It is always best with testing such as this to have the OEMs (Original Equipment Manufacturers) involved…there was a lot of value in us being able to work with Komatsu and Cummins,” he said.

Scott Keevers, Komatsu 830E fleet project manager at the Dawson mine, was the site person responsible for the field test and subsequent implementation of the new service intervals. “The post-implementation cost savings for the fleet to date are consistent with the field test data and advertised benefits,” he confirms.

Warren Smith, a man with extensive experience working for mining companies and contractors in Australia prior to joining Cummins Filtration as global mining program manager, believes a new era has arrived in maintenance cost reduction through use of new technology products. He said that trials around the world have proven that using oil analysis, data loggers with telematics support and visual inspections, service intervals for new-technology filters can be extended to suit the equipment and environment on each customer’s site.

“Some of these trials have delivered results beyond our 1,000-hour target, and the customers have seen the benefit in a significant reduction in parts cost and maintenance time,” Smith said.

Cummins and Komatsu wish to thank the Anglo American management team at the Dawson mine for allowing the stringent testing to be carried out, and also for authorizing the implantation of the new-technology Fleetguard filters.

CATEGORY

 

HISTORICAL MINE SERVICE INTERVAL

ACTUAL INTERVAL ACHIEVED

NEW SERVICE INTERVAL

Fuel filter

500

3,316

2,000

Lube oil

500

1,057

1,000

Lube filter

1,000

1,973

1,000

Air filters

1,000

3,400

2,000

Water filters

500

4,000

4,000

 

 

 

 

Maintenance hours per truck per year

43

12

74% reduction of maintenance hours and 60% reduction in costs.