FLEET CONVERSION PROJECT

Abstract

INDUSTRY OVERVIEW
The mining industry suffers an old legacy of conflict between environment and wealth society.
The current trends demand the extraction of minerals using green technologies to mitigate the
impact in the environment and the communities. In this sense electric vehicles (EV) emerge like
a potential solution to carbon emission from internal combustion (IC) cars. Nevertheless, the EV
are not currently offered at affordable prices which prevent their widespread utilization. This is
the reason why a conversion of the current fleet of used and old combustion cars into EV can
be performed at reasonable prices is a paramount concern.
The benefits of using EV are considerable and the drawbacks are minimum.
• Environmental – A litre of petrol emits 2.3 kg of carbon dioxide when it burnt.i EV will demand
the consumption of more minerals than conventional cars. Global warming and air pollution
are the most critical negative effects of combustion cars.

• Reputation – The adoption of green energies enhances the perception of the society about
the mining industry. The company can have a competitive advantage over other corporations
to be perceived as global leader.

• Local regulations – The present regulations of the countries embrace an adoption of

environmental friend solutions to comply with their low carbon emission commitments. For
instance, New Zealand is leading initiatives towards a conversion from fossil fuels to
renewable energies.

• Use of old fleet – According to the US Department of Transportation the standard

specification for mileage given by the department is 145,000 milesii. Nonetheless, the car
chassis can last longer. Hence, vehicles powertrain can still be converted from combustion
engine to EV with a consequent reduction in the investment necessary in a new fleet.

• EV motors last longer – EV last 15 – 20 years under normal conditions because they
operate at 40 oC whereas IC cars are exposed to extreme conditions such as 600 oC due to
the nature of its operation. Also, an EV has 1/10th of its counterpartiii. Overall, the
maintenance costs are lower.

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Abstract

• Safety – In case of and accident the fossil fuels ignite very quickly leaving less time to
passengers’ reaction to evacuate the vehicle. In contrast, the battery last longer to ignite, are
protected by fuse and can be encapsulated to isolate them from passengers’ safe space.

• Financial statements – Emissions trading scheme can be classified as intangible assets in

the financial statements whenever possible like in the New Zealand operations.

• Stability – Fossil fuels prices have become very unstable in the last years. It affects the
certainty in the return of the investment based on the expenses in petrol and diesel
consumption.

• Energy efficiency – The concept of energy efficiency is closely related to the renewable
energies. EV transform electrical energy into mechanical energy whereas IC car convert it
from chemical energy. Also, due to the simplicity of EV transmission the overall efficiency
“EVs convert over 77% of the electrical energy from the grid to power at the wheels.
Conventional gasoline vehicles only convert about 12%–30% of the energy stored in gasoline
to power at the wheels”.iv

• Incentive to employees – The company normally generates their own electricity projects,
then the car ow by employees can be provided with electricity generated in house at
preference prices as a benefit for your associates. This positive aspect can be capitalised to
attract the best talents.

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FLEET CONVERSION PROJECT
Abstract

VALUE PROPOSITION
I propose to invest in a fleet conversion from combustion motors to electric driven vehicles based
on a technical, economic and financial approach which let us decide the best choice from an
independent opinion, not driven for the interest of the EV manufacturers.
EV converted from IC vehicle can offer a balance between price, quality and value.

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Abstract

ABOUT ME
I am Petroleum Engineer graduated from the National University of Engineering (UNI) located in
Lima, Peru. I have tertiary studies in renewable energies from the IL3 of the University of
Barcelona (Spain) and the University of Auckland (New Zealand). I hold MBA by the ITESM,
Mexico and specialization studies in geothermal technologies and electric vehicles. I am Project
Manager Professional certified by the Project Management Institute.

I own more than 20 years of relevant international experience working in operations, projects,
commercial and leadership positions at Schlumberger, IPS, GE and Hool Energy, the largest oil,
gas and geothermal services companies. In the last years, I have developed research projects
in renewable energies.

My Linked in profile is: https://www.linkedin.com/in/rodolfotorressuarez/

i
https://getelectricvehicle.com/electric-vehicle/
ii
https://wheelzine.com/car-life-expectancy
iii
https://wheelzine.com/car-life-expectancy
iv
https://www.fueleconomy.gov/feg/evtech.shtml

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