COMMS CONNECT 2014 Presentation Title: TETRA – Heavy Haul Rail Speaker: Bela Felsner @CommsConnectAus #comms2014 COMMS CONNECT 2014
Nov 22, 2014
COMMS CONNECT 2014
Presentation Title: TETRA – Heavy Haul Rail Speaker: Bela Felsner
@CommsConnectAus #comms2014 COMMS CONNECT 2014
TETRA – Heavy Haul Rail Application
Comms Connect 2014
Important Notice The purpose of this presentation is to provide general information about Fortescue Metals Group Limited ("Fortescue"). It is not recommended that any person makes any investment decision in relation to Fortescue based on this presentation. This presentation contains certain statements which may constitute "forward-looking statements". Such statements are only predictions and are subject to inherent risks and uncertainties which could cause actual values, results, performance or achievements to differ materially from those expressed, implied or projected in any forward-looking statements. No representation or warranty, express or implied, is made by Fortescue that the material contained in this presentation will be achieved or prove to be correct. Except for statutory liability which cannot be excluded, each of Fortescue, its officers, employees and advisers expressly disclaims any responsibility for the accuracy or completeness of the material contained in this presentation and excludes all liability whatsoever (including in negligence) for any loss or damage which may be suffered by any person as a consequence of any information in this presentation or any error or omission therefrom. Fortescue accepts no responsibility to update any person regarding any inaccuracy, omission or change in information in this presentation or any other information made available to a person nor any obligation to furnish the person with any further information.
Additional Information This presentation should be read in conjunction with the Annual Financial Report as at 30 June 2013, the half year financial statements as at 31 December 2013 and together with any announcements made by Fortescue in accordance with its continuous disclosure obligations arising under the Corporations Act 2001. Any references to reserve and resource estimations should be read in conjunction with Fortescue’s 2013 Annual Report which is available on the Fortescue website. Fortescue confirms that it is not aware of any new information or data that materially affects the mineral resources and ore reserves statement included in the 2013 Annual Report. All amounts within this presentation are stated in United States Dollars consistent with the Functional Currency of Fortescue Metals Group Limited. Tables contained within this presentation may contain immaterial rounding differences.
Disclaimer
3
4
• First ore 2008
• 100mt expansion 2011-2013
• Over 320mt shipped to end of Feb 2014
• Sites are located approximately 1500km north of Perth
Building a world class company
Our first decade – setting audacious goals
5
Delivering results
A differentiated model
China Leveraging China’s growth and manufacturing capability
Speed Speed of delivery - time is money
Planning Planning for scale today and efficiency into the future
Relationships Direct relationships with sub contractors and local suppliers
Culture Fortescue’s unique culture is the key
6
• Record revenue US$5.9bn Ç 77%
• EBITDA of US$3.2bn Ç 184%
• NPAT US$1.7bn Ç 260%
• Debt paid/called US$3.1bn – interest savings of US$300m
• Dividend A$0.10 fully franked
Highlights 1H14 Record financial results
7
Man hours • Over 8 million man hours
Earthworks and Civils • 11.5 million cubic metres of earthworks
• 282 km of rail embankment and sidings constructed
• 5 million BCM of drill and blast
• 5 Bridge structures built
• 33,500 lineal metres of culverts
T155 Expansion Rail Focus
8
Trackworks • 1.15 million cubic metres of ballast
• 447 033 sleepers ordered
• 31,890 tonnes of rail ordered
• 27,830 rail joints welded and NATA tested
Signals and Communications • 185 communications masts erected
• 9 new radio base station masts erected
• 370 new signals added to the network
Rail Focus
T155 Expansion
9
Locomotives and Ore Cars
• 30 additional locomotives
• 2006 additional ore cars
• 18 fuel tanker cars
• 542m stopping distance
240 loaded ore car train at 80kph
Rail Focus
T155 Expansion
10
• Vast and diverse operations, large distances, harsh and isolated environment
• Highly dependable radio communications platform
• Rapid scalability and advanced safety features
• Area-wide interoperability and long term cost effectiveness
Why Tetra
11
• Spectrum efficiency • Reduced infrastructure
• Solar site friendly
• Size, weight, pricing and battery life of handheld terminals
• Duplex call capability
• DMO options
• IP connectivity
• API flexibility
• Emergency features and GPS in terminals
• Choice of suppliers for terminals
Key Advantages
Why Tetra
12
• Local support
• Distributed IP based architecture
• Scalability of infrastructure
• Remote management capabilities
• Suitability of terminals for a harsh mining environment
• Long term cost effectiveness
Key Factors
Vendor Selection
13
• Rapid implementation
• 9 week project installing: • 2 dual carrier sites • 1 quad carrier site with log server • 3 tri carrier sites • 8 dispatcher consoles • analogue gateway for external
parties • PABX gateway • 1300 terminals average connection • Bi-Directional channelised amplifier
for underground vaults
• More than 2200 terminals now in operation
Current TETRA deployments Christmas Creek Mine
14
• 4 dual carrier sites
• Leaky feeder distributed antenna system
• Gateways for VHF Port Hedland Port Authority located at the Wharf
• 200 terminals average connection
• PABX gateway
Port Operations
Current TETRA deployments
15
• Four dual carrier redundant TETRA sites
• 5 Dispatchers in operation
• PABX gateway
• Analogue gateway for external parties
• 1200 terminals average connection
Solomon Mine
Current TETRA deployments
16
• SINAD voted system with 4 primary channels
• Difficult to expand without large investment
• Limitations when adding extra capacity
Rail Operations
Before TETRA deployment
17
• 24 dual carrier sites with dual redundant log server
• 26 November ‘13 implementation
• MPLS Ring topology high availability
• GIS mapping solution implemented on dispatcher consoles
• More than 1100 terminals now in operation
• Averaging 250 registrations at any one time
Rail Operations
Current TETRA Deployment
18
Rail Operations
Network Topology - MPLS
19
• Dual systems in operation for 30 days
• Gateways were utilised to bridge between two radios
• Staged deployment of TETRA
• Comprehensive user training program
• Regular site employee communications
Rail Operations
Cutover strategies
20
• The MPLS network has performed very well, coping with the harsh environment, allowing uninterrupted critical communications
Rail Operations
Current Performance
21
• Creating a good Fleetmap is crucial for success
• Numerical numbering allows changes to be made without reprogramming
Fleetmap
Current Performance
22
• Replacement of SINAD voted analogue radio network
• Commissioned the first mobile repeater site
• Bi-Directional channelised amplifier for underground vaults
• 1100 handhelds and 900 mobile units
• Integrated commissioning scheduled for completion September 14
Cloudbreak
Current Projects
23
• Green fields site
• Two mobile repeater sites deployed with 7+1 carriers
• Development of one radio broadcast solar hybrid site 7+1
• Delivered in time for major construction to commence
North Star
Current Projects
24
Rail Operations – Mainline Coverage
TETRA Coverage
25
Solomon Rail Coverage
TETRA Coverage
26
Tetra Coverage across Fortescue
TETRA Coverage
Proudly supporting:
Sign up to alerts online: www.fmgl.com.au
27
COMMS CONNECT 2014
www.comms-‐connect.com.au
Conference materials available soon at
COMMS CONNECT 2014 @CommsConnectAus #comms2014