bsi inspectorate - india international gold convention · trusted by hundreds of clients for 150+...
TRANSCRIPT
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BSI InspectoratePartners in global risk management
Presentation to:
India International
Gold ConferenceMumbai24th – 25th August 2005
Ian Gathercole, Sales & Marketing ManagerPrecious [email protected]: +44 1376 515081 mob: +44 7712 107 239
2About Us : Inspectorate
Top 4 analysis and inspections company
Over 3,500 people in 100+ countries worldwide
Minerals, Oil, Agricultural and Food Safety
Trusted by hundreds of clients for 150+ years
Independence, integrity, innovation
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BSI Inspectorate: investing in people, facilities and technology worldwide.
BSI acquires Inspectorate.
Inspectorate Shanghai established. One of the first major foreign inspection companies in China.
Inspectorate acquires D.C. Griffith.
Inspectorate established, covering Europe and Middle East.
D.C. Griffith established as assayer to Bank of England and Royal Mint.
About Us: 150 year track record
1998
1992
1987
1927
1885
present
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Vessel draft surveys
Load & discharge supervision
Visual inspection of bulk scrap, sampling of shredded scrap
Weighing system checks
Quality sampling, sizing & sample preparation
Moisture determination
Worldwide coverage
Highly trained inspectors
BSI Inspectorate inspection services
Services: Inspection | Analysis | Consultancy
5Services: Inspection | Analysis | Consultancy
Party and Umpire & Geochemical Analysis
Key labs ISO 17025 certified
ISO 9001:2000 (quality management) certified in all key operations
Technological capability:
Wet bench chemistry:
Fire assay
Instrumental techniques
BSI Inspectorate analytical services
6Services: Inspection | Analysis | Consultancy
Precision and bias testing of sampling and weighingsystems
Design of sampling and measurement systems
Auditing of sampling, weighing and production qualitysystems
Developing and implementing appropriate analyticalprocedures
Design of geochemical sampling programs
Review of contractual advice relating to weighing, sampling, assaying, exchange and arbitration services
Security audits to protect your metals and minerals
BSI Inspectorate consultancy
7About Us: Clients
8Services: Precious Metals
Precious metal ores & concentrates
Gold, silver and platinum group metals (PGMs) bullion/doré
Precious metal catalysts and gauzes – Au, Ag, Pt, Pd, Rh, Re
Residues/scraps (anodic slimes, nickel matte)
Precious metal solutions
LBMA (London Bullion Market Association) Associate Members and registered supervisor of pro-active monitoring scheme.
IPMI (International Precious Metals Institute) Patron Member and 2003/2004 Presidency.
9Services: Non-ferrous Metals and Minerals
UK and Singapore Laboratoriesrecognized and accredited by the LME
Non ferrous ores and concentrates – copper, lead, zinc, tin, antimony, molybdenum, tungsten
Intermediate products – matte, blister, anode, bullion
Electrolytic materials – slimes, residue
Refined products – cathode, ingots
Non ferrous scrap
10Services: Steel and Energy Products
Ores and concentrates - Fe lump, pellet & fines, Mn, Cr, bauxite
Coal and coke – we have preparation & testing facilities across around the world
Steel scrap
Ferro-alloys - inspection and verification of raw materials used in the steel industry
Members of the BIR, committed to recycling and the environment
11Services: Geochemical and Exploration Analysis
Coal
Metals (exploration samples, concentrates, refined metals and bullion):
Precious metals
Base metals
Non-metallic (industrial) minerals:
Limestone and clays
Silica sands
Specialist Geochem Labs in: USA & Peru
Sample prep labs throughout the Americas:
Mexico, Guatemala, Brazil
12Reno, Nevada
30,000 square foot laboratory in Sparks, NVNew LIMS with bar code sample controlSample Reception & pick-up throughout the AmericasCustomer sample trackingSample preparationPulp/reject storage
Fire Assay & Screened F.A.Approx 4,000 fire assays daily
Cyanide Extractable AuSingle & Multi-Element Packages
ICP-OESICP-MSAAS
High precision wet chem methodsComplex digestions
Production Built & Designed LaboratoryFor High Grade and Geochemical Analysis
13Witham, U.K.Largest independent lab of its kind in the world
Comprehensive range of materials handledPrecious metalsFerrous and heavy bulkFerro-alloysFinished steelSteel scrapNon-ferrous metalsCoal and cokeNon-metallic (industrial metals)Geochemical and exploration analysis
Most accurate methods and technologies
• £3.5m turnover• 3000 elements/month• 9000 tests/month• 27% elements party to umpire ratio
State of the art equipment, with exhaustive checks anaudits to ensure peak performance.Continual reviews of performance, internally and externally.Continual research and development in order to improve performance.
Trusted worldwide for Party and Umpire Analysis
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profiterosion
process control
weight measurement
health, safety & environment
quality measurement
material security
contract disputes
time delays
quality of analysiscompliance/integrity
Minimizing Risks: Inspectorate’s Proposition
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Financing a 120,000mt coal shipment can cost $5,000/week.
A 1 day delay in assay results can add $1,000 on a 5,000mt copper concentrate cargo.
Minimizing Risk: Time Delays
Vessel demurrage costs
Letter of credit expiry
Additional finance cost
Late customer delivery / material shortage
Consequential losses
Potential costs
Causes and impact
Disputes, poor analysis, unreliable port attendance, slow response can cause:
16Minimizing Risk: Time Delays
Dedicated personal contacts
24/7 inspection capability worldwide
Prompt and accurate assay results
Laboratory Scheduling System - reliable target dates, highlighted opportunities for early completion
Sample Tracking System - track your sample’s progress and access preliminary results
Development of quicker or optimum methodology
On-site reporting
Quick Check preliminary assays using mobile XRF
Inspectors reportremotely
BSI Inspectorate risk minimization
BSI Inspectorate service advantages
17Minimizing Risk: Weight Measurement
A 0.1% variance in weight determination can result in $15,000 loss on a 5,000mt copper-gold
concentrate.
Weight and quality errors can be a result of:
Poor equipment
Low quality procedures
Unknown or incorrect vessel parameters
Poor calibration
Inexperienced staff
Non-compliant operators
Spillage, theft, contamination
Potential costs
Causes and impact
18Minimizing Risk: Weight Measurement
BSI Inspectorate recognize the costly risks of poor measurement and offer:
Qualified, expert supervision
Immediate reporting of concerns
Spillage recovery
Loss minimization
Hold cleanliness checks
ISO-based measurement andsupervision procedures
Vessel database (global)
BSI Inspectorate risk mitigation
19Minimizing Risk: Material Security
Material stockpile loss cost one operator $2m.
A shipment of lead concentrate was switched in transit at a cost of $250,000.
Material losses occur through:
Stockpile theft
Switching in transit
Non-compliant operators
Poor consignment management
Receiver bankruptcy
Potential costs
Causes and impact
20Minimizing Risk: Material Security
BSI Inspectorate Staff are familiar with security threats at many locations world-wide.
Our service protects your interests through:
Professional security audits
Remote Stockpile monitoring
Ethical inspection and supervision, enforced through BSI’s Fair Trading Policy
BSI Inspectorate risk minimization
Concentrate “fingerprinting”
Material ID tagging
21Minimizing Risk: Quality of Analysis
A 0.2% variance in Copper grade $30,000 financialrisk to a 5,000mt copper concentrate cargo
Poor material analysis can impact:
Shipment value/profit
Mine productivity
Element penalty charges
Smelter hazards/productivity
Potential costs
Causes and impact
22Minimizing Risk: Quality of Analysis
UKAS /ISO 17025 and ISO 9001 ensure:
Standard processes
Consistent operations over time
Reliable results
Six Sigma methodology to:
mize variation
Improve speed, cost and accuracy
Certified Reference Material (CRM) to:
Control each and every batch
Calibrate process
Ensure global consistency
ISO standards representation to raise industry standards
Round robin participation to benchmark facilities
Acknowledged global recognition for leadership in quality
BSI Inspectorate risk minimization BSI Inspectorate advantages
UKAS / ISO 17025 compliance
7163
BSI Inspectorate has over 150 years’experience in the laboratory analysis of metals and minerals.
23Minimizing Risk: Contract Disputes
A one month delay in settlement of a 120,00mt coal shipment could add $25,000 costs to the transaction.
Contract disputes are caused by:
Poor material analysis
Non-compliant operators
Material security
Loss or theft
Weight/volume differences
Potential costs
Causes and impact
24Minimizing Risk: Contract Disputes
Umpire Analysis
Process and risk evaluation
Buyer/seller joint representation
Umpire loss ratio evaluation
Historical material records
BSI Inspectorate risk minimization
BSI Inspectorate upholds its reputation for fair trading, impartiality and the highest levels of integrity.
25Minimizing Risk: Compliance/Integrity
Management:
BSI takes issues of compliance very seriously; it’s our business.
Directors are accountable and take responsibility.
Employees:
All our staff are trained and committed to our global compliance standards.
Full details publicly available at: www.bsi-global.com/fair+trading
Open door policy:
All your files and results openly available for review, no notice required.
Our laboratory results are your results. Nothing hidden.
Report register of all issues along with a confidential line to report concerns.
Audits:
Internal auditors conduct random checks on Code compliance.
Comprehensive external audits conducted annually.
Not all companies enforce a fair trading policy. Risks in this area are difficult to measure but are potentially of the highest level.
Causes and impact
BSI Inspectorate risk minimization
26Minimizing Risk: Health, Safety & Environment
An un-inspected shipment of scrap exploded, causing 12 fatalities with a potential cost of millions of dollars.
A poor record of Health, Safety and Environment can result in:
Loss of life or serious injury
Legal proceedings
Closure of operations
Poor employee relations
Loss of shareholder value
Major impact on profit
Poor government relations
Negative publicity/brand impact
Potential costs
Causes and impact
27Minimizing Risk: Health, Safety & Environment
Risk assessment and management procedure to provide a safe environment for all employees
Fully equipped and trained personnel
Full awareness, training and adherence to customer/partner policies
BSI Inspectorate risk minimization
BSI Inspectorate recognize the risks and impact of Health, Safety and Environment issues and provide seamless policies with their customers.
28Minimizing Risk: Process Control
Potential costsIn a large mining-concentrating operation, decreased metal recovery due to sub-optimal plant performance can cost... $5,000/dayin lost income.
Poor metal recoveries are caused by:
Poor or biased sampling
Poor equipment or calibration
Inexperienced staff
Low quality procedures
Skilled, experienced operators worldwide
Information you need to make the right decisions:
Sampling and sample processing
Audit of existing procedures, operators and equipmentBias & precision testing
BSI Inspectorate risk minimization
Causes and impact
29Minimizing Risk: Profit Erosion: gold
Processing plant Plant optimisation for material quality. ±1% Au recovery $2,300/day
Transit - 500kgAu dore (90%)
Theft 0.1% $5,800Damage 0.1% $5,800Total: 0.2% $11,600/shipment
Smelting/refining@ 3rd party site
Weighing ± 0.3% $17,400Sampling errors ± 0.3% $17,400Fraud ± 0.1% $5.800Total ± 0.7% $12,000/shipment
Open-cut mine, Australia – e.g. 200,000 oz./year Au
30About Us: Technical Papers
Sampling Methods and Errors
Draft Surveys
Material Analysis and Method Selection
Security
Laboratory Quality Measures
Supporting technical papers
Ask your BSI consultant for these documents to find out more about our services.
31About Us: Contact Us
BSI Inspectorate Ltd.2 Perry Road, Witham, Essex CM8 3TU, UKTel: +44 1376 515081 Fax: +44 1376 [email protected]
UK headquarters
BSI Inspectorate Americas Inc.12000 2 Aerospace Avenue, Houston TX 77034Tel: +1 713 944 2000 Fax: +1 713 947 0300
US regional hub
Asia regional hubBSI Inspectorate Singapore Pte Ltd.Blk 28 Ayer Rajah Crescent 01-03, Singapore 139959Tel: +65 6778 9033 Fax: +65 6778 [email protected]
India regional hubBSI Inspectorate India Pvt Ltd608 Central Plaza 2/6 Sarat Base Rd, Kolkata 700 020
Tel: +91 33 2485 2901 Fax: +91 33 2485 [email protected]