Mining at the lowest cost per ton: Innovations for large shovels

With its 2011 acquisition of rival equipment company Bucyrus International, Caterpillar added underground mining and large shovels to its line of products and further solidified its standing as the leading mining equipment manufacturer in the world with solutions for every aspect of mining. When Caterpillar spent $8.8 billion to acquire Bucyrus, the global mining business was flourishing, as mining companies around the world worked to keep up with demands for nearly every commodity. Flash forward to 2013, and the global mining landscape looks very different. Lower demand for raw material from China and India and falling commodity prices have forced most mining companies to pull back on their production. The reductions from the mining industry have hit equipment makers like Caterpillar and Komatsu hard. In October, Caterpillar reported that its quarterly earnings had fallen 44 percent. The changing conditions have also changed the narrative from Caterpillar and other equipment makers to customers from offering solutions to move the most tons per hour, to now offering solutions for the lowest cost per ton. In September, Caterpillar hosted some of its mining customers and the trade press at its Tinaja Hills Demonstration and Learning Center near Tucson, AZ to talk about its range of products, from its MineStar System designed to help increase efficiency through better equipment management and planning, all the way up to the massive Cat 7495 and 7495HF electric rope shovel lines acquired through the Bucyrus takeover