"We aim to be technology enablers by consolidating multiple operational solutions into a single interface."
What is Hexagon’s unique value proposition in the mining space?
Hexagon the global leader in digital reality, combining sensor, software and autonomous technologies, and we are the only company putting the power of an integrated digital mine in the hands of our customers.
Can you update us on Hexagon's activities in Brazil since last year?
Since our last discussion, there has been significant momentum in data integration solutions being adopted and demanded across the industry. Major miners like Vale are now seeking technology integrators who can deliver comprehensive solutions across various platforms, rather than relying on single OEM suppliers. This trend towards OEM-agnostic suppliers highlights the necessity for integrating different systems. Safety continues to be a top priority in mining, alongside ESG initiatives. We aim to be technology enablers by consolidating multiple operational solutions into a single interface. For instance, a typical truck in a mine may have five screens, each representing different technologies. This setup divides the driver's attention and can lead to accidents. We are intent on minimizing the number of screens in the cab, significantly reducing maintenance and operational complexity.
Can you discuss Hexagon's autonomous solutions projects in Brazil?
We have a significant agreement with a client to develop future-focused mining project that will include semi-autonomous and fully autonomous operations. We have also introduced the 'Green Cubes' initiative to the mining industry, a metric to measure environmental impact by digitally mapping biodiversity before and after operations. This approach helps clients apply for carbon credits and ensures we contribute positively to the community and the environment. A significant advantage of Hexagon’s approach is the retrofitting of older trucks with our autonomous and semi-autonomous solutions. This strategy supports cost savings and aligns with ESG objectives, allowing for sustainable operations while maintaining economic viability.
Additionally, the "mine to mill" concept is integral to the logistics strategy of our customers, enabling us to integrate the entire supply chain from the mining site to shipping ports.
Can you update us on your tailings management solutions in Brazil?
Decommissioning of tailings dams is a sensitive and core area of activity in Brazil. Our partnership with Scania has led to the development of a new truck explicitly designed for tailings dam management, which now operates autonomously. This initiative is crucial due to the safety risks associated with tailings areas, where human presence is often restricted. We already have customers using our TeleOp solution in that environment and we aim to serve this market with full autonomy capabilities by the end of 2025. The shift in the mining sector involves companies increasingly outsourcing material movement, allowing them to leverage external expertise. This is evident with clients who are adopting semi-autonomous or fully autonomous operations based on contractual agreements. Looking forward, the Brazilian mining sector anticipates significant investment in semi- and full autonomous solutions by 2033 to address rising demands for tailings management, which is already outpacing workforce capacity. This creates a substantial market opportunity for both delivery and autonomous solutions. By adopting these technologies, we can reduce the need for large on-site teams, which is essential given the challenges of maintaining a stable workforce in remote mining operations, such as in Pará.
What distinguishes Brazil in terms of innovation and technology adaptation?
Brazil's mining sector benefits from a diverse industrial landscape, allowing for the application of technology developed in other sectors, such as computer science and oil and gas. Additionally, there are clusters of software expertise in Brazil that facilitate the implementation of innovative solutions in mining. R&D plays a vital role in our strategy, focusing primarily on data analytics and integrating various technologies, and a significant portion of our R&D talent is sourced and based in Brazil.
What are Hexagon's plans for the next 12 months?
We anticipate continued growth in both semi-autonomous and fully autonomous operations. In terms of Latin American expansion, Argentina is increasing its investments in mining, especially after the shift in government, making it an interesting opportunity. We are also pursuing new projects in Chile and Peru, where there is a growing demand for efficient mining solutions. We are making substantial investments in AI and establishing smart centers to enable large companies to manage their operations more effectively and efficiently.