Background 

ArcelorMittal Prijedor has the largest iron ore mine in the Balkans, which employs about 800 workers. Since its founding in 2004, the company’s primary activity is producing iron ore concentrate, with an annual output of 1.5 to two million tons. Other activities include producing stone aggregates, mechanical and electrical maintenance, and transport services.

Facing a drop in the reliability of their mining equipment, ArcelorMittal Prijedor began searching for options to prevent breakdowns and after extensive research, purchased a MicroLab 40 unit from Spectro Scientific.

The Challenge

ArcelorMittal Prijedor faced three major challenges when their mining equipment declined in reliability. The first was determining the reasons for the equipment breakdowns. Sudden engine stoppages were the biggest problem, and the equipment downtime resulted in production delays and rising costs. The Maintenance Department spent approximately €1 million annually on unscheduled repairs.

The company sent oil samples from the machines to local laboratories for testing, but because the results were imprecise and inconclusive, it was difficult to identify the causes of the engine failures.

Second, the Maintenance Department faced budget constraints that prohibited investing in new equipment and parts. There was also disagreement about how to spend money on maintenance—whether to purchase new or refurbished parts, repair the equipment, or replace the equipment.

Third, the limited availability of local service technicians forced the company to rely on internal expertise and equipment. After unsuccessful negotiations with local laboratories for device recommendations, the management team decided to purchase a predictive maintenance tool for onsite oil analysis.

The Solution

The management team selected Ametek Spectro Scientific’s MicroLab 40 unit for its reliability and accuracy in identifying equipment issues and recommending effective solutions. The MicroLab’s Expert Rules System predicts problems, so maintenance personnel can resolve them before an equipment breakdown. Also, the MicroLab helped establish consistent tasks for regular maintenance, which reduces downtime and increases the lifespan of the equipment.

The Results 

Since the MicroLab 40 was introduced into maintenance operations four years ago, ArcelorMittal Prijedor has saved approximately €2 million in machine downtime and repairs. The biggest savings are in longer engine lifespans. Now, thanks to the MicroLab’s predictive analysis features, the Maintenance Department invests €10,000 for each engine repair compared to the previous standard overhaul cost of €100,000. The average turnaround time for maintenance has dropped to three hours, which further reduces repair costs and downtime.

Benefits

1. Breakdowns prevented before they can happen

2. Reasons for equipment failures identified quickly and effectively

3. Consistent routine activities established for regular equipment service

4. Significant cost savings

5. Extended engine life

6. Less equipment downtime