The contract – years the contract – years

THE CONTRACT – 6 YEARS

• THE CONTRACT – 6 YEARS

• Mobilize September 2006

• Start Mining 1st October

• Stage 1, Mining Infrastructure – Dec 2006 (completed)

• Stage 2, Ore to ROM – March 30 2008 (mine depth 100m)

• 40bcm in 18 months

Mine Infrastructure - WORKSHOP

• Mine Infrastructure - WORKSHOP

THE EQUIPMENT

• THE EQUIPMENT

• Progressive Mobilization

• Key Components

• 3 x Liebherr 996 Exc
• 24 x CAT 793Ds

A big difference!

Another big difference !

At the Start - THIESS OBSERVATIONS

• At the Start - THIESS OBSERVATIONS

• Mining culture not widespread in SA

• Few experienced open pit mining operators

• Support in SA for large scale open pit mining limited

THIESS CONCLUSIONS !

• THIESS CONCLUSIONS !

• Recruit 75% experienced operators

• Focus the recruiting of operators outside SA

• Import mining knowledge from outside SA

• Experienced management, supervisory team to be imported

RECRUITMENT REQUIREMENTS

• RECRUITMENT REQUIREMENTS

• Overall Numbers – 150+ Staff

• Desire of Oxiana to maximise SA recruitment

• Oxiana sponsored trainees from Coober Pedy

• Required levels of experience

• Advertising

• National press - “Crow Eaters come home”
• State and regional press

RECRUITMENT REQUIREMENTS

• RECRUITMENT REQUIREMENTS

• High standards set from the start

• Candidates put through high level of scrutiny

• Reference checks
• Medical, including drug and alcohol
• Physio - full muscular skeletal
• Psychological

RECRUITMENT OUTCOMES

• RECRUITMENT OUTCOMES

• Poor response generally outside SA

• Huge interest in SA

• Successful candidates from SA - 89%

RECRUITMENT OUTCOMES

• RECRUITMENT OUTCOMES

• Wide regional spread in SA

RECRUITMENT OUTCOMES

• RECRUITMENT OUTCOMES

• Experienced or not?

• Only 23% judged to have required level of experience

PROMINENT HILL AT THE START

• PROMINENT HILL AT THE START

• Very large open pit

• Very large mining equipment

• Critical targets

• High level of inexperienced operators

• New management/supervisory team

PROMINENT HILL AT THE START

• PROMINENT HILL AT THE START

• What was the impact of these factors on safety?

WAS THIS A CRISIS?

• WAS THIS A CRISIS?

EARLY OBSERVATIONS

• EARLY OBSERVATIONS

• Operators

• Level of experience was not as planned
• Level of information required to be absorbed by operators too much

• Training

• Industry standards
• Extent of “Greeny” levels

• Supervision

• gave mixed messages
• imported cultures an issue

• Morale & enthusiasm on site still high!

EARLY OBSERVATIONS

• EARLY OBSERVATIONS

• Poor understanding of and application to procedures

• People believed they were doing the right thing for the company – shortcuts !

• Too much information too quickly

• Heaps of enthusiasm

• Realisation “Rome not built in a day”

OUR CONCLUSIONS

• OUR CONCLUSIONS

• We needed to act immediately and

• Our ability to influence culture was at its highest

THE NEED FOR “INTERVENTION”

• THE NEED FOR “INTERVENTION”

• Belief that changing behaviour was crucial

• Focus people on the consequence of choice

• Ensure our systems became entrenched

• Take advantage of good morale

• Re focus our training

ACTIONS AGREED

• ACTIONS AGREED

• Stronger, more measured application of training

• Procedural
• Hazards identification

• Mobilise senior safety professional

• Senior management led “Day of Action”

• Introduction of Training Simulator

THE DAY OF ACTION

• THE DAY OF ACTION

• What did we set out to do?

• Demonstrated that management cared

• Put a “line in the sand”

• Look at the implications of behaviour & choice

• Reinforced our ‘Safety Messages’

• Safety is Everyone’s business
• Safety is not a choice – it is the way we do our business
• Everyone needs to demonstrate safety by their actions

THE DAY OF ACTION

• THE DAY OF ACTION

• The Process

• 1) We asked people to

• Look at what has happened so far on the project

• Tell us what they thought was good or bad on their work site

• Tell us what they thought could be improved

• Make personal commitments

• 2) Management made commitments

DAY OF ACTION

• DAY OF ACTION

• Messages

• Used humour

• Reality

Training Simulator

• Training Simulator

OUTCOMES SINCE “THE DAY OF ACTION”

• OUTCOMES SINCE “THE DAY OF ACTION”

• 120 identified actions – 95% closed out

• The strength of feedback

• Significantly less incidents - minor

• Productivity improved

FOLLOW UP – WHERE TO FROM NOW ?

• FOLLOW UP – WHERE TO FROM NOW ?

• Another ‘Day of Action’

• Simulator

• Continuing reinforcement of Procedures

• Management contacts to continue

• Up skill Supervisors - ‘Field Leadership Programme’

• Captain and the Coach Programme

OVERALL CONCLUSIONS

• OVERALL CONCLUSIONS

• The time to influence a mine site culture is at the beginning

• Focus on behaviour

• Harness enthusiasm and committment

• Senior management intervention is powerful

• Commitment by employees is better achieved if feedback is continuous and issues raised closed out