“Energy costs accounts for 20 to 25% of our operating cash costs and we are systematically looking for ways to improve energy efficiency, reduce overall energy costs and associated greenhouse gas (GHG), in all aspects of our operations,” says Pedro Marujo de Almeida, Global Energy Efficiency Program Manager at Kinross Gold. “Energy is a strategic issue; there are all kinds of security issues, cost issues, price volatility and this needs to be taken seriously at the top level of all organizations.”
Marujo de Almeida is presenting at the upcoming Energy and Mines Toronto Summit on October 22-23 and provides an interesting overview of Kinross’ energy strategy and efficiency goals this week.
Q: What are some of the key considerations in developing your energy efficiency strategy for your global operations?
A: Every mining site has different operational priorities. Understanding what they are so that the strategy for energy efficiency is aligned with site objectives is important. At existing operations, we focus on continuously improving our energy efficiency by understanding how and where the energy is used, measure performance with “enhanced” KPIs, perform on-site energy assessments to identify new energy saving opportunities, support and track implementation and quantify the dollars benefits of each initiative. All these are aligned with our stakeholder’s needs and priorities. For new projects, we incorporate energy efficiency from the initial design stage.
As part of our strategy, we have created a company-wide energy committee, with members from different departments to maximize benefits. We have regular conference calls to share “best practices” and new technologies in order to facilitate replication of cost reduction initiatives. We aim to maintain a sustainable Energy Management Culture within all levels in our organization in order to continuous improve our energy, productivity, reliability and environmental aspects.
Q:How does energy efficiency fit with and inform your broader energy strategy?
A: Energy costs accounts for 20 to 25% of our operating cash costs and we are systematically looking for ways to improve energy efficiency, reduce overall energy costs and associated greenhouse gas (GHG), in all aspects of our operations. Our energy strategy manages both supply and demand. We take into consideration alternative power and fuel supply options. Our decision-making incorporates life-cycle assessment (and not only initial capital cost), thereby placing an emphasis on efficiency over the life of the project.
Q: What advice would you offer another mining operator who is looking to implement an energy savings strategy?
A: Mining is by its nature very energy-intensive process and tends to increase as more sophisticated processes are needed to process the low grade ore. Energy is a strategic issue; there are all kinds of security issues, cost issues, price volatility and this needs to be taken seriously at the top level of all organizations. The best thing is to have someone at Sr. Management level taking an interest in energy and energy efficiency and then implementing measurement, targeting and driving through a program of change and thinking holistically about energy. Assign an Energy Champion to assess and identify opportunities aligning the energy saving strategy with business and operational priorities. Have the commitment from local management and have local accountability for energy efficiency is a key element for a successful energy efficiency programs.
Q: What are you looking forward to at this year’s Energy and Mines Toronto Summit on October 22-23?
A: I am looking forward to meeting new technology and solution providers for renewable and energy