1

Komatsu IR-Day 2020

The pursuit of safety and productivity

at mine sites

December 16, 2020

Director, Senior Executive Officer
President, Mining Business Division

Masayuki (Max) Moriyama

 2

Mid-Term Management Plan

(FY2019～FY2021)
Mid-Term Management Plan (1/2) 3
Mid-Term Management Plan (2/2) 4
 Voice of customer 5

Major mining companies are focused on safety enhancement and

productivity increases capable through automation, and greenhouse
gas reductions.

<Customer A> < Customer B>

• AHS Expansion
• Elimination of Live Work Voice Of • AHS Expansion
• Trolleys & Electrification
• Electrification of Mining Customer • Expansion of
truck and loader Underground Hard Rock
• Automation other than Business
trucks (Loader, dozers,
etc.)

International Council on
Mining and Metals (ICMM)
Innovating to provide cleaner, safer vehicles
• Introduce greenhouse gas emission-free surface mining vehicles by 2040.
• Minimize the operational impact of diesel exhaust by 2025. (For underground)
• Make collision avoidance technology available to mining companies by 2025.
 Future mining technologies 6

By investing in these technologies, Komatsu will expand its

capabilities and provide customer value in a form that fits the
evolving needs of our customers.

Operation Centre
Speed control and CAS

Automation Safety ProVision &

MineAlert

Tele-operation

IAHV Hawkeye Vehicle

Future
Intervention

010101010
Value Chain Integration
01010000101 01000
Mining

Trolley
Digitalization Sustainability
(Data Driven Operation) (Electrification, etc)

SR motor
Analytics and prognostics Sensing (e.g. Real time Ore analysis) & KESS Battery drive
 7

Autonomous Haulage System（AHS)

 History of Komatsu AHS 8

• Komatsu started Autonomous Haulage System (AHS) research and

development in Japan in 1990 with the 32-ton class dump truck HD325.
• The company launched the world's first commercial application of AHS in
2008 and has been leading the AHS market since.

Research and
development Test operation Registration of trademark AHS over
started In Chile for FrontRunner 100 units
joint work

1997 2008 2016 2019

1990 2005 2014
The world's first Launch in AUS Launch in Launch in
GPS commercial Brazil
Canada
HD325 Available
launch in Chile
(32tone) 930E
(290tonne)
 AHS system configuration 9

①Central control room

②AHS truck： 980E/930E/830E

③Communication ④AHS device for

network system manned vehicle
 AHS Overview 10

Experience Matters Zero Harm Footprint

Zero system-related
injuries involving 268
Komatsu's AHS Units
Since our first commercial AHS
deployment in 2008, we've
been building a steady track
0 FY2019

221
FY 2020
(FY2Q)

268
FY2021

380
record of success.

West AUS Canada Chile

Iron mins Oil sand mine Copper mine
• launch since • Launch since • launch since 2008
300
2008 2016,Over 50 units. • Over 20 units
• Over 180units Coal mine operation 250
Number of
operation in 6 ・ launch since 2020
200 AHS truck
site
150 Over
高稼働による 様々な鉱物掘削現場への対応: 現場への更なる
268 unit
高運土量を実現 銅, 鉄鉱石, 石炭、オイルサンド 100 価値提供
50
East AUS
Brazil 0
Coal mine
Iron mine
・ launch since 2020
• launch since 2019
 Customer benefits of AHS 11

AHS provides Komatsu customers cost and productivity improvements such as:
・Improving machine utilization by reducing operating shift times and truck downtime
・Extending tire life and reducing fuel consumption by optimizing truck
operations (reduce sudden steering and acceleration)

Reducing costs Extending tire life Minimize footprint

Load and haul unit Optimized automatic controls reduce With AHS, operations consume less fuel
sudden acceleration and abrupt and emit less CO2
cost reduced by up to steering resulting in up to

15% 40%
Improvement in tire life compared to
manned operations

VS.

Productivity increases of up to 15%

 Strengths of Komatsu’s AHS 12

コマツAHSシステムの強み：
Strength of Komatsu AHS: 競争力のある配車管理システムとの組み合わせ
Technology
鉱山No.1シェア モジュラーマイニング社の“DISPATCH”を組み合わせることで、鉱山内の渋滞を
Bundled with the company’s Modular Mining DISPATCH fleet management system to
削減するなどAHSエリア内における安全で効率的な稼働を実現。
optimize mine operation, and enable safe and efficient truck operation within the AHS area.

Leader in market share: Modular Komatsu’s AHS

Mining fleet management system supervisory system
DISPATCH FrontRunner
Strength of Komatsu AHS：Safety
Komatsu puts the highest priority on safety. With AHS, manned vehicles (e.g. light vehicles) are protected
by a sensor radius that provides permission to the AHS truck. There have been no system-related injuries
reported since our first AHS commercial deployment in 2008.

Experience Matters Zero Harm

Sensor radius
Zero system-related
injuries involving
Komatsu's AHS
Since our first commercial AHS
deployment in 2008, we've
been building a steady track
0
record of success.
 Truck interoperability standard 13

Komatsu’s interoperability capability enables other OEM’s trucks to be operated

in Komatsu’s AHS system through FrontRunner. Komatsu is working to
standardize related protocol as the industry standard. Komatsu’s AHS system
provides an open protocol and allows other OEM’s trucks to work within the
system for safe and optimized machine control.

Komatsu system Komatsu system strengths

① Open protocol
Dispatch Komatsu’s open protocol released to other
OEMs to enable automation.
AHS system (FrontRunner)

FrontRunner FrontRunner light vehicle bus fuel car

onboard onboard
② No Komatsu AHS kit development /
installation is required
Komatsu protocol &
standardization
Utilize OEM’s truck
Komatsu Other OEM control system
control control ③ Utilize machine control by various OEMs
Can utilize other OEM’s vehicle within the system for
safe and optimized machine control.
Machine
controlled by
Komatsu Other OEM each OEM
truck truck
 Dantotsu productivity by system integration 14

・Bundle with Modular Mining’s fleet management system DISPATCH

・Connect all equipment with mining process to enhance productivity

Integrate with Modular Mining’s Interface with mining process (e.g. crusher)
DISPATCH system <Partially completed>
Optimize truck assignment to minimize
No.1 market share
Pioneer of FMS Komatsu AHS Supervisory system truck queuing time at crusher

＆
DISPATCH
Assignment

We provide higher productivity

than competitors

Komatsu’s differentiation
Dantotsu productivity through system integration

Utilize real-time truck data Loading optimization <Development

<Plan> (Payload management） is in progress>

Traffic management at intersection Linkage between shovel and truck payload

meter stabilizes and maximizes productivity
158 180 Liked with
Not link
ton ton Payload
Payload Shovel
Meter
Mete r Payload
Truck
Payload

Truck Payload
 Customer value enhancement 15

AHS is advancing mine operation visualization since AHS is rich in data.

Enhancing data analytics to accelerate mine productivity Kaizen
(improvement) activity to strengthen customer value.
Example of Kaizen activity Example of analytics
① Visualization of truck slow down factor Truck operating time: Productivity improvement
Visualize hot spot of truck slow down and its factor for opportunity by maximizing effective utilization
improvement (Haul road improvement)

Operating delay time

Factors of slow down

Truck speed heatmap

Operating delay breakdown: Factor of lowering
effective utilization time
Wait for loading
② Optimize truck assignment by DISPATCH system
Optimize truck assignment to avoid congestion

Delayed by
loader

Wait for crusher

 Loading Optimization 16

Optimization (matching) with preceding process (loading) is

important to improve truck productivity
Loading optimization (Payload management）
Reduction of volatility Increase truck payload
Truck payload through real-time monitoring

Under load Over load

Unused Activate

Efficient loading (operator guidance, online coaching/offline coaching)

Scan
laser

Geography
mapping and Loading guidance Simulator Training
loading of material display
guidance
 Automation initiatives for other equipment 17

• Komatsu is developing a tele-remote operation system to remove

operators from harm’s way to further enhance mine safety
• The system aims to improve productivity beyond manned operation
supported by automation and AR technology

Tele-remote operation console utilizes

technologies of Komatsu companies
including Immersive Technologies,
MineWare and Modular Mining.

AHS truck with excavator

(Tele-remote operating system is in progress
of development)
 18

Mine-wide optimization
 Open Technology Mining Platform 19

• Major mining companies are pursuing continuous improvement by targeting

zero wait time between processes for mine wide optimization
• Komatsu is developing an open technology mining platform to support
customers, discussions are ongoing to interface with customers ERP system
Mine-wide optimization
Cyber
Security

Data Komatsu
01101111010010101010010101010100001100011010010100010101001 analytics
Mines
Worldwide
Komatsu
Platform

Komatsu solutions

Equipment Improvements
Dispatch

AHS Technology Improvements

Value
PLM

Other Applications
Consulting / Services
 20

Sustainability
 GHG Reduction Initiatives - Electrification of Mining Equipment 21

• Major mining companies are committed to obtaining zero (or

significant reduction of) greenhouse gas emissions
• Komatsu prioritizing work on trucks with high GHG emissions, and
will deploy trolley assist system, followed by full electrification

Electrification and Greenhouse Gas Reduction Timeline

Tier 1 Today Stage II Stage III
MCRS
Advantage

Stage I Electrification Stage II Electrification Stage III Electrification

+ Tier 4 + Trolley + Battery/Hybrid

Potential for: • Selectable Option Power Systems

• Removed Drive System Cooling Fan • Electric Driven Hydraulic Pumps • Continued use of Power Module for
• Electric On-Demand Cooling • Electric HVAC System field power system changes
• Optimized Resister Grid Cooling Fan • Choose from:
Pre-Electrification • Electric Engine Cooling

Progression to Stage III requires a • Diesel • Electric Hybrid

• Trolley • Fully electric
common power interface.
Diesel/Trolley Electric
Fuel Consumption Fuel Consumption (Stage I + Tier 4) Fuel Consumption (Stage II + Trolley) Fuel Consumption Fuel Consumption
100% 98% 48%-68% 48%-68% 0
%
*Emissions Emissions (Stage I + Tier 4) Emissions (Stage II + Trolley) Emissions Emissions
100% 1.9 .17%-.46% .17%- 0
% .46% %

*Emissions reduction includes; NOx, Hydrocarbons, and Particulate Matter

*Emissions reductions are a result of improvements made in Fuel Consumption and Engine Design including the addition of SCRs and DEF
 22

Thank you for your attention

【 Picture : Cabless truck prototype (Arizona, USA) 】