A Presentation by ECL Issues related to Technology & Spares Management 20 th January, 2015

Production built-up Program of ECL ECL’s share in 1 billion te coal by CIL in is 62 million te.

Technology Requirement for UG Production

Technological Issues for increasing UG Production Sl. No IssuesDescriptionBenefits 1 Increasing working height of CM At present, CM is permitted to extract seams up to 4.5 Mts. It should be increased to extract coal seams of more than 4.5 Mts - preferably up to 6.0 Mts; maximum upto 8m, in single lift Increase in % extraction of coal for higher production & productivity Single stage extraction by CM (i.e., only development by Room & Pillar method) Practised in other countries like South Africa & USA Low gestation period, Better % recovery 2 Use of diesel operated machine in gassy mines of higher degree Restriction in use of Diesel operated RAM -CAR/ SHUTTLE CAR in gassy mines of Degree -II & Degree -III for coal transport Higher Productivity and scale of Production Restriction in use of Diesel Operated Multi purpose Free Steered vehicle for man & material transport in gassy mines of Degree-II & Degree-III Reduced travel time will improve effective working hour and hence, productivity

Technological Issues for increasing UG Production Sl. No IssuesDescriptionBenefits 3 Thick seam mining by Longwall method Non availability of Top Coal Caving Equipment for thick seam Long wall Mining Increase in % extraction of coal for very high scale of production 4 High speed stowing/ void filling technology Coal extraction rate in depillaring panels is restricted due to unavailability of high speed Stowing Technique Extraction of seams below water-logged and heavily built-up areas at increased rate 5 High speed drivage of incline i.e., Speed > 80 m per month Gestation period will reduce; early start of coal production; continuous coal evacuation through belt. 6 High speed Shaft Sinking & Deepening Fast access to deeper/ lower virgin seams

Technology/HEMM requirement for OC Production Sl. No Equipment Description (No) I ER SHOVEL 120 m m /5 m IIHYD SHOVEL 110 m 3 & above m m m IIIDUMPERS 1170T/190T T T/60T T/40T IVCR DOZER 1410HP HP40 853

Technology/HEMM requirement for OC Production Sl. No Equipment Description (No) VW DOZER 1410HP VIRBH DRILL 1250mm mm VIIGRADER HP1-222 VIII CRANES 1More than 40T IX WATER SPRINKLER 1 28Kl

Issues with Equipment manufacturing Cos. BEMLPerformance of dozers and 35T dumpers requires improvement  Frequent problem being faced with newly supplied D155 & D355 Dozers with Joy stick arrangement.  Failure to supply spare parts within delivery time stipulated in Depot Agreement. Issue: To improve the quality of newly supplied equipment and ensure supply of spare parts within delivery time. L&TPerformance of recently supplied hydraulic shovel  It has gone down because of failures of major assemblies like cracking of boom, final drive failures, fast wearing of bucket assy., hoses etc. HECPerformance of recently supplied 5 cum electric rope shovel, model EKG 5A  It is not upto the mark. There are number of failures of major sub-assemblies.  HEC is also not supplying spares against Guaranteed Availability Contract in time.

Issues with Equipment manufacturing Cos. CaterpillarSince it has taken over BE, they have to take care of supply of spare parts of Dragline and Electric rope shovel of Marion and BE making respectively. Joy GlobalPresently the Company takes 6 months to 9 year to supply spare parts after LC  Long supply time : This hampers the availability of high capacity equipment like 10 Cum & 20 Cum electric rope shovel. Should make arrangement to supply spares within 3 to 4 months time.  Not supplying PLC & SLC system components and spares for 20 cum rope shovel deployed in Rajmahal whereas they are supposed to support ECL for supplying these spares for whole life of the equipment. This is going to affect availability of 20 cum shovel, the main digging equipment at Rajmahal OCP.  To rationalize price of Spares: The Company increases the price of spares at their will. This should be rationalized as per market trends.

Issues of Technology upgradation Technology upgradation: Present StatusIssues to be addressed (a) Higher capacity and technologically advanced equipment: being procured. (100 T dumpers have replaced 85T Dumpers & 190T dumpers have been proposed as replacement of 170T Dumpers) (b) Equipment with self-diagnostic tools: being procured. (e.g., Vehicle Health Monitoring System, Payload Monitoring System, etc. which provide data to analyze and improve mine efficiency, reduce failure and improve maintenance practices.) (c) HEMM with more safety and comfort features: being procured. (e.g., AC cabin, proximity warning device, rear vision camera etc. for safety & productivity of the operator and the equipment.)  Proximity Warning Device in dumpers presently provides an audio- visual warning to the operator when it detects objects in front or rear of the dumper up to 8 meters from the sensor mounting. This should be enhanced to at least 25 to 30 meters.  Tail Gate Protection system in dumpers is not full proof. It has to be redesigned by the OEMs in consultation with DGMS.

Issues related to Maintenance & Spares Management Maintenance and Spare Parts Management: Present Status Issue to be addressed (a) Equipment Procurement in ECL is with one year warranty followed by two years guaranteed availability.  to ensure that the bidder (both global & domestic) has sufficient service support & spares backup  to ensure high availability of newly procured equipment  to ensure smooth availability of spares  to have sufficient time for finalizing spares procurement process (RC or Depot Agreement ) in case of new equipment model. (b) Depot Agreement: ECL is having depot agreement with all major OEMs to ensure smooth supply of spares. Consignment Store concept for prompt supply of quality spares with zero inventory (like BEML consignment store at Rajmahal Area) - May be considered for other High Producing Areas or at some central location for a group of smaller Areas, by BEML and other major suppliers.

Issues of Technology upgradation 1. Extensive use of Surface Miner & Ripper especially near habitation & near to sensitive structures. 2.OB disposal through belt after sizing. 3.Transport of coal through tube conveyors. 4.Use of highwall technology wherever possible/feasible.

Thank You