Reducing Cost and Risk with Consignment Conveyor Belt Solution for Mining Company

Reducing cost and risk with consignment conveyor belt solution for mining company

Customer

A leading mining company in Peru.

Challenges

  • Supply high-specification conveyor belt to be available when the customer needs it, without having to make the immediate capital investment and wait for the manufacturer’s availability.
  • Repair steel cable belt as soon as possible, allowing the customer to operate while waiting for the new belt.

Solutions

  • Three-year consignment contract for the supply of steel cord conveyor belts.
  • Technical support in splice design suitable for grafting 700 meters in existing belt.

Results

  • Minimized conveyor belt downtime.
  • Reduced operating and inventory costs.
  • Optimized cash flow.

Analyzing the Customer’s Challenges

A mining company needed to repair a steel cord conveyor belt in one of the most important mines in Peru. To get the mine back up and running quickly, the most time- and cost-efficient solution was to splice two belts from different manufacturers together.

While this was a short-term solution, the customer needed to find a manufacturer that could supply the conveyor belt in the best possible delivery time for a future replacement, as they knew they would need to replace it again, but did not want to make the big one-time payment until the part was needed.

Coming Up With a Cost-Saving Consignment Solution

Conveyor belt image

Conveyor belts are an essential element in all material transport in industries such as mining, construction, agriculture business and industry in general since it is the most practical and economical way to transport materials over long distances.

Each conveyor belt consists of a rubber cover, the carcass—which can be made of textile or steel cables—and the cushion. There are an infinite number of variables depending on the type of materials and/or resources to be transported.

Therefore, when selecting a belt for a conveyor system, parameters such as length, speed, angle of inclination and size of material to transport must be taken into account.

Anixter and Continental provided pre- and post-sale service for the installation of a 700-meter graft to the customer’s belt. For this, a suitable splicing diagram was designed by Continental since two belts from different manufacturers would be joined. However, looking for improvements in the operational performance of the mine, teamwork between Anixter, Continental and the customer specified a better alternative in the compounds for the upper and lower covers according to the size of the material they transported regularly. Subsequently, the client hired an engineering specialist company that conducted an audit of the conveyor belt installed.

Additionally, Anixter and Continental delivered the conveyor belt in record time, one part to be installed and another to consignment. They also supplied splicing kits, cutting detection antennas and belt scanning services to measure the thickness and length of the belts, which the customer will use during the three-year consignment period to better align their financial and operational goals.

Reducing Costs and Providing Peace of Mind

  • The customer has been able to operate normally with the repaired belt and has peace of mind, knowing the consignment belt is available in case of an emergency.
  • Conveyor belt downtime has been minimized and the potential cost of halting production to repair a breakage has been mitigated.
  • By providing the belt as consignment, Anixter reduced the customer’s inventory and operational costs, while also optimizing cash flow.