Canada Post Publications Agreement Number: 40609661 Magazine Canadian Fall 2019 Digital Disruption Digital Disruptionwww.canadianminingmagazine.com 5 ContentsScan this QR code to learn more about Canadian Mining Magazine and what it has to offer! Canada Post Publications Agreement Number: 40609661 Magazine Canadian Fall 2019 Digital Disruption Digital Disruption Email sales@matrixgroupinc.net to receive a copy of the 2020 Media Kit. Scan Me INDUSTRY GREETINGS 09 At a Crossroads: Canadian Mining May Seem Down, but it’s Hardly Out In this message Heather Cheeseman discusses the future of mining in Canada. FEATURES 11 The Digital Age of Mining What do advancements in automation and digitalization mean for the mining industry? 15 Reducing Wear with Deep Cryogenics A breakthrough cold thermal process that’s fast, low cost, scalable, and environmentally friendly. 20 Getting to the Core of Mineral Resources Education Mining Matters celebrates 25 years of revealing the wonders of rocks, minerals, metals, and the minerals industry. 24 Remote-Controlled Results Australian autonomous solutions provider RCT is helping Teck advance its steelmaking coal operations in British Columbia. 26 Ahead of the Trends As miners adjust to disruption and volatility in the industry, what trends are emerging and how are workers adapting? 28 Safety First Reduce your injury rates without overhauling your safety program. ALSO INSIDE 33 Tools of the Trade 36 Mining Events: Canada and Worldwide 38 Index to Advertisers On the cover: While there have been major strides in automation and digitalization in recent years, some mining equipment manufacturers are already developing beyond their current capabilities in the area and envisioning the future of the industry. Learn more on page 11. Photo courtesy of Sandvik.6 Follow us on Facebook for current mining news. For Industry, By Industry CMM’s Contributors Fall 2019 Published By Matrix Group Publishing Inc. Return all undeliverable addresses to: 309 Youville Street Winnipeg, Manitoba R2H 2S9 Toll-Free: (866) 999-1299 Toll-Free Fax: (866) 244-2544 www.matrixgroupinc.net Canada Post Mail Publications Agreement Number: 40609661 President & CEO Jack Andress Operations Manager Shoshana Weinberg sweinberg@matrixgroupinc.net Publisher Jessica Potter Editor-in-Chief Shannon Savory ssavory@matrixgroupinc.net Senior Editor Alexandra Kozub akozub@matrixgroupinc.net Junior Editors Jenna Collignon, Kaitlin Vitt Finance/Administration Lloyd Weinberg, Nathan Redekop accounting@matrixgroupinc.net Director of Circulation & Distribution Lloyd Weinberg distribution@matrixgroupinc.net Sales Manager – Winnipeg Neil Gottfred Sales Manager – Hamilton Jeff Cash Matrix Group Publishing Inc. Account Executives Albert Brydges, Andrew Lee, Bonnie Petrovsky, Brenda Mc- Phee, Brian MacIntyre, Cheryl Klassen, Emerance Kitenge, Frank Kenyeres, Jim Hamilton, Julie Welsh, Kevin Harris, Mackenzie Carare, Marlyn Beek, Renée Kent, Rob Gibson, Sandra Kirby, Tanina Di Piazza, Tenisha Myke, Terri Erkelens Advertising Design James Robinson Layout & Design travisbevan.com © 2019 Matrix Group Publishing Inc. All rights reserved. Con- tents may not be reproduced by any means, in whole or in part, without the prior written permission of the publisher. The opinions expressed in this publication are not necessar- ily those of Matrix Group Publishing Inc. Printed in Canada Magazine Canadian Email sales@matrixgroupinc.net to receive a copy of the 2020 Media Kit. Do you want to become a CMM Contributor? Get in touch! WHERE TO FIND THE NEXT ISSUE? The Fall 2019 issue will be available to attendees at these upcoming events: Oil Sands Trade Show & Conference September 11-12, 2019 Fort McMurray, Alberta Xplor 2019 October 23-24, 2019 Montreal, Quebec New Brunswick Exploration, Mining and Petroleum Conference October 27-29, 2019 Fredericton, New Brunswick Québec Mines + Énergie November 18-21, 2019 Quebec City, Quebec Energy and Mines World Congress December 2-3, 2019 Toronto, Ontario 6 Follow us on Facebook for current mining news. For Industry, By Industry CMM’s Contributors Fall 2019 Published By Matrix Group Publishing Inc. Return all undeliverable addresses to: 309 Youville Street Winnipeg, Manitoba R2H 2S9 Toll-Free: (866) 999-1299 Toll-Free Fax: (866) 244-2544 www.matrixgroupinc.net Canada Post Mail Publications Agreement Number: 40609661 President & CEO Jack Andress Operations Manager Shoshana Weinberg sweinberg@matrixgroupinc.net Publisher Jessica Potter Editor-in-Chief Shannon Savory ssavory@matrixgroupinc.net Senior Editor Alexandra Kozub akozub@matrixgroupinc.net Junior Editors Jenna Collignon, Kaitlin Vitt Finance/Administration Lloyd Weinberg, Nathan Redekop accounting@matrixgroupinc.net Director of Circulation & Distribution Lloyd Weinberg distribution@matrixgroupinc.net Sales Manager – Winnipeg Neil Gottfred Sales Manager – Hamilton Jeff Cash Matrix Group Publishing Inc. Account Executives Albert Brydges, Andrew Lee, Bonnie Petrovsky, Brenda Mc- Phee, Brian MacIntyre, Cheryl Klassen, Emerance Kitenge, Frank Kenyeres, Jim Hamilton, Julie Welsh, Kevin Harris, Mackenzie Carare, Marlyn Beek, Renée Kent, Rob Gibson, Sandra Kirby, Tanina Di Piazza, Tenisha Myke, Terri Erkelens Advertising Design James Robinson Layout & Design travisbevan.com ©2019 Matrix Group Publishing Inc. All rights reserved. Con- tents may not be reproduced by any means, in whole or in part, without the prior written permission of the publisher. The opinions expressed in this publication are not necessar- ily those of Matrix Group Publishing Inc. Printed in Canada Magazine Canadian Email sales@matrixgroupinc.net to receive a copy of the 2020 Media Kit. Do you want to become a CMM Contributor? Get in touch! WHERE TO FIND THE NEXT ISSUE? The Fall 2019 issue will be available to attendees at these upcoming events: Oil Sands Trade Show & Conference September 11-12, 2019 Fort McMurray, Alberta Xplor 2019 October 23-24, 2019 Montreal, Quebec New Brunswick Exploration, Mining and Petroleum Conference October 27-29, 2019 Fredericton, New Brunswick Québec Mines + Énergie November 18-21, 2019 Quebec City, Quebec Energy and Mines World Congress December 2-3, 2019 Toronto, Ontario 6 Follow us on Facebook for current mining news. For Industry, By Industry CMM’s Contributors Fall 2019 Published By Matrix Group Publishing Inc. Return all undeliverable addresses to: 309 Youville Street Winnipeg, Manitoba R2H 2S9 Toll-Free: (866) 999-1299 Toll-Free Fax: (866) 244-2544 www.matrixgroupinc.net Canada Post Mail Publications Agreement Number: 40609661 President & CEO Jack Andress Operations Manager Shoshana Weinberg sweinberg@matrixgroupinc.net Publisher Jessica Potter Editor-in-Chief Shannon Savory ssavory@matrixgroupinc.net Senior Editor Alexandra Kozub akozub@matrixgroupinc.net Junior Editors Jenna Collignon, Kaitlin Vitt Finance/Administration Lloyd Weinberg, Nathan Redekop accounting@matrixgroupinc.net Director of Circulation & Distribution Lloyd Weinberg distribution@matrixgroupinc.net Sales Manager – Winnipeg Neil Gottfred Sales Manager – Hamilton Jeff Cash Matrix Group Publishing Inc. Account Executives Albert Brydges, Andrew Lee, Bonnie Petrovsky, Brenda Mc- Phee, Brian MacIntyre, Cheryl Klassen, Emerance Kitenge, Frank Kenyeres, Jim Hamilton, Julie Welsh, Kevin Harris, Mackenzie Carare, Marlyn Beek, Renée Kent, Rob Gibson, Sandra Kirby, Tanina Di Piazza, Tenisha Myke, Terri Erkelens Advertising Design James Robinson Layout & Design travisbevan.com ©2019 Matrix Group Publishing Inc. All rights reserved. Con- tents may not be reproduced by any means, in whole or in part, without the prior written permission of the publisher. The opinions expressed in this publication are not necessar- ily those of Matrix Group Publishing Inc. Printed in Canada Magazine Canadian Email sales@matrixgroupinc.net to receive a copy of the 2020 Media Kit. Do you want to become a CMM Contributor? Get in touch! Check out our latest Blog posts: www.CanadianMiningMagazine.com/blog Follow us on Facebook: @CanadianMiningMagazine WHERE TO FIND THE NEXT ISSUE? The Fall 2019 issue will be available to attendees at these upcoming events: Oil Sands Trade Show & Conference September 11-12, 2019 Fort McMurray, Alberta Xplor 2019 October 23-24, 2019 Montreal, Quebec New Brunswick Exploration, Mining and Petroleum Conference October 27-29, 2019 Fredericton, New Brunswick Québec Mines + Énergie November 18-21, 2019 Quebec City, Quebec Energy and Mines World Congress December 2-3, 2019 Toronto, Ontario Jack Cahn, Deep Cryogenics International Jack Cahn is the founder and prin- cipal researcher at Deep Cryogen- ics International. Since 1999, he has used DCT on machine shop tooling, developed DC test procedures for use on JPL's Mars Exploration Rover, worked with researchers at NIST’s cryogenic processing lab and served as the lead investigator in two US Army CRADAs. He is the author of one USPTO-issued patent and five patents-pending. Sarah Hahn, Mining Matters Sarah Hahn works as the Coordin- ator of Operations, Communi- cations and Events for Mining Matters. In addition to managing the office and daily operations, she is responsible for coordinating the Min- ing Matters Hockey Tournament and Diamond in the Rough Golf Classic. Before joining Mining Matters, she worked as a teacher and in digital marketing. Wymen Ho, eCompliance Wymen Ho has spent almost 10 years assisting companies in high- ly hazardous verticals to transform their safety program by leveraging software. He is cur- rently a Team Lead at eCompliance and is dedicated to helping companies reduce their incidents and increas- ing safety performance by leveraging a front-line mo- bile solution. Andrew Swart, Deloitte Andrew Swart is Deloitte's Global Mining and Metals Leader. He is based in Toronto and has more than 23 years of industrial experience, 18 of which have been in consulting. CMMT 03-19.indd 62019-08-27 11:07 PM Jack Cahn, Deep Cryogenics International Jack Cahn is the founder and prin- cipal researcher at Deep Cryogen- ics International. Since 1999, he has used DCT on machine shop tooling, developed DC test procedures for use on JPL's Mars Exploration Rover, worked with researchers at NIST’s cryogenic processing lab and served as the lead investigator in two US Army CRADAs. He is the author of one USPTO-issued patent and five patents-pending. Sarah Hahn, Mining Matters Sarah Hahn works as the Coordin- ator of Operations, Communi- cations and Events for Mining Matters. In addition to managing the office and daily operations, she is responsible for coordinating the Min- ing Matters Hockey Tournament and Diamond in the Rough Golf Classic. Before joining Mining Matters, she worked as a teacher and in digital marketing. Wymen Ho, eCompliance Wymen Ho has spent almost 10 years assisting companies in high- ly hazardous verticals to transform their safety program by leveraging software. He is cur- rently a Team Lead at eCompliance and is dedicated to helping companies reduce their incidents and increas- ing safety performance by leveraging a front-line mo- bile solution. Andrew Swart, Deloitte Andrew Swart is Deloitte's Global Mining and Metals Leader. He is based in Toronto and has more than 23 years of industrial experience, 18 of which have been in consulting. He has worked with clients in multiple geographies and in a range of industries includ- ing mining, oil and gas, and government. CMMT 03-19.indd 62019-08-29 2:51 PM Jack Cahn, Deep Cryogenics International Jack Cahn is the founder and prin- cipal researcher at Deep Cryogen- ics International. Since 1999, he has used DCT on machine shop tooling, developed DC test procedures for use on JPL's Mars Exploration Rover, worked with researchers at NIST’s cryogenic processing lab and served as the lead investigator in two US Army CRADAs. He is the author of one USPTO-issued patent and five patents-pending. Sarah Hahn, Mining Matters Sarah Hahn works as the Coordin- ator of Operations, Communi- cations and Events for Mining Matters. In addition to managing the office and daily operations, she is responsible for coordinating the Min- ing Matters Hockey Tournament and Diamond in the Rough Golf Classic. Before joining Mining Matters, she worked as a teacher and in digital marketing. Wymen Ho, eCompliance Wymen Ho has spent almost 10 years assisting companies in high- ly hazardous verticals to transform their safety program by leveraging software. He is cur- rently a Team Lead at eCompliance and is dedicated to helping companies reduce their incidents and increas- ing safety performance by leveraging a front-line mo- bile solution. Andrew Swart, Deloitte Andrew Swart is Deloitte's Global Mining and Metals Leader. He is based in Toronto and has more than 23 years of industrial experience, 18 of which have been in consulting. He has worked with clients in multiple geographies and in a range of industries includ- ing mining, oil and gas, and government.Email sales@matrixgroupinc.net to receive a copy of the 2020 Media 8 Follow us on Facebook for current mining news.www.canadianminingmagazine.com 9 INDUSTR Y GREETINGS At a Crossroads: Canadian Mining May Seem Down, but it’s Hardly Out Heather Cheeseman Toronto Mining Leader KPMG in Canada WHAT DO CANADIAN MINING executives have in common with their counterparts in other sectors? They’re all optimistic about the role technology will play in driving future growth and competitiveness. Where do they differ? Mining executives tend to express higher levels of confidence in their ability to make this work to their advantage. KPMG’s latest Global Mining Risk Report found that miners increasingly believe that innovation and advances in technology will reshape the industry over the next few years. And nearly three- quarters (73 per cent) of them see this as more of an opportunity than a threat. By contrast, while KPMG’s most recent CEO Outlook found that Canadian CEOs rank emerging, disruptive technologies as the third biggest threat to the growth of their organizations, only 60 per cent see their own growth tied to the ability of their organization to challenge and disrupt business norms. Should this be surprising? Aren’t we supposed to be concerned about the future of mining in Canada in the wake of recent trends in mergers and acquisitions? Well, yes and no. Readers of this magazine no doubt fully understand that consolidation is a natural approach to a variety of challenges, chief among them is attracting investment and cost management. And while the main driver of growth in mining will likely always be organic, Canadian executives increasingly see technology – as well as M&A and partnering – as critical to expansion. Moreover, notwithstanding recent international interest in Canadian players, we are seeing some domestic players go on offence and expect over the next year some will become buyers themselves. Key themes to watch for in 2020 M&A and partnerships: As noted, many companies expect to grow through consolidation; an expectation we’re seeing not just from the companies themselves, but also from investors. That said, it can be challenging to source accretive opportunities, and companies are increasingly looking at partnerships and alliances. For those who have completed a deal, the focus should be on effective post-merger integration in order to realize the projected benefits. This is more difficult than it sounds, but it is entirely doable. Innovation and technology: Also as noted, advances in technology and the imperative to innovate rightly continue to be key areas of attention for mining companies, many of which are evaluating how to best leverage technology not only in the field but also in the back office. We are seeing more and more examples of innovative technology, and miners are poised for real transformation in how they drive value in their operations – but it takes time. For many, the systems just aren’t in place yet. In those cases, that first step should be their next. Workforce: Attracting, developing, and retaining employees remains a challenge. Here, too, mining companies are in the same position as everyone else. According to the CEO Outlook, 63 per cent of Canadian CEOs say finding the workers they need is negatively impacting growth. The double whammy is that everyone is competing for similar talent and skills – and mining has the added recruitment challenge of frequently remote foreign operations and a reputation for limited diversity and innovation. Correcting for these factors also takes time, but it is very much underway. Capital markets: Fundraising is rarely easy, especially as environmental scrutiny mounts and as other sectors, some of them new (such as cannabis), draw investor attention away from resource development. We have seen a slowdown in capital market activity for mining in Canada generally. However, we are starting to see some uplift in some commodity prices, which may buoy demand – and interest. Environmental and social risk: If it wasn’t obvious beforehand, the need to thoroughly assess and actively manage risks to communities and the surrounding environment was brought fully home with the January failure of the Brumadinho tailings dam in Brazil. Catastrophic events such as this are, of course, not exclusive to the mining sector. But nor is everything a “black swan.” Standards can and must not be only updated but also adhered to – assiduously. Fortunately, we are seeing a good deal of positive progress on this front, such as the Responsible Gold Mining Principles being developed by the World Gold Council. Transformational times So, the bottom line is, yes, the Canadian mining industry is at a crossroads. But while the conditions driving change will continue, the sector overall should remain robust, provided its current enthusiasm for transformational opportunities is tempered with a healthy recognition of the associated risks – including most especially waiting too long to respond (which will lead to weakening competitiveness) and not being able to attract the talent needed to undertake those changes successfully. On these and other issues, miners must dig – and dig deep. Fortunately, that’s what they’re best at. M HEATHER CHEESEMAN IS A PARTNER IN KPMG’S CANADIAN MINING PRACTICE AND IS THE GTA MINING INDUSTRY LEADER. HEATHER HAS SPECIALIZED IN THE INDUSTRY FOR CLOSE TO 15 YEARS AND HAS AN IN-DEPTH UNDERSTANDING OF THE RISKS AND CHALLENGES FACED BY MINING COMPANIES. SHE HAS SIGNIFICANT EXPERIENCE PROVIDING INTERNAL AND EXTERNAL AUDIT, RISK AND CONTROL SERVICES, AND ACCOUNTING AND TRANSACTION ASSISTANCE TO COMPANIES AT ALL STAGES IN THE MINING LIFE CYCLE. OVER THE COURSE OF HER CAREER, HEATHER HAS VISITED OVER 20 MINE SITES ON SIX CONTINENTS.Next >