Just a year after establishment of the company, all open-pit mines were transferred to KRU-Vzryvprom.
The most important decisions on the increase of production were made by Sergey Grishin, who headed the company from 2004 to 2015. Sent to the Kedrovsky open-pit mine by the Kuzbass Polytechnical Institute in 1989, Sergey Grishin worked his way up from an Engineer to Deputy Technical Director for Drilling & Blasting Operations.
So the company’s management offered suppliers to take loans from banks and lease machines secured against supplies. A program to increase production and long-term contracts for the supply of explosives were developed for each enterprise. The price calculated on the basis of the cost and 5% profitability was fixed for 2003.
But the income of explosives suppliers increased due to the increase of supplies for KRU-Vzryvprom and optimization of special transport management. Initially, 53 vehicles transported explosives. In 2003, the number was reduced to 16. The next step for increasing the efficiency was to reduce the number of explosive storages.
From 2003 to 2007, productivity has doubled. Mechanized charging of boreholes reached 99%. Costs in the first years decreased by 500 million rubles per year. The cost of production decreased from 15% to 8%, resulting in savings of up to 2 billion rubles per year.
Exploding success
amounted the volume of the blasted rock mass in 2006−2007, meaning growth of more than 1.5 times compared to 2002.
Shofirers at the open-pit mines did not accept the innovation as they used to work at their own sites. Igor Saprykin, who was the General Director of Karakansky open-pit mine before joining KRU-Vzryvprom, played an important role in the formation, building and motivation of the team. He showed by his example not to be afraid of change so people moved to the service company to conduct blasting operations.
For this purpose, the suppliers of explosives Kuznetskvzryvprom, Krasnobrodpromvzryv and KRU-Sibirit had to increase production by 2−3 times, which meant huge investments in equipment, mobile explosive manufacturing units and complete reorganization of the production process. Kuzbassrazrezugol had no funds for such investments.
The first step towards the improvement of the efficiency of blasting operations was the launch of in-house manufacture of the Granulit NP explosive at the Kedrovsky open-pit mine. The second step was to increase mechanized charging, and the third step was to move to 100% use of the basic explosives.
Production of basic explosives increased to 250 thousand tons a year. KRU-Sibirit became the leader in terms of growth of production — from 12 to 150 thousand tons a year. The company became one of the largest explosives manufacturers in the world.
Krasnobrodpromvzryv also increased production from 9 to 60 thousand tons. Production output of Kuznetskvzryvprom increased from 5 to 30 thousand tons a year.
An increase in explosives manufacture triggered an increase in ammonium nitrate supplies. It was transported by rail in large volumes in the form of granules. Due to the lack of storages, railcars stayed unloaded for months.
The problem was solved by purchasing an ammonium nitrate solution directly from the Kemerovo-based Azot plant, thus eliminating the need for storages and granulation. Together with our partner Nitro Sibir, we developed innovative insulated trucks for transportation of ammonium nitrate, which were then used only in the USA and Australia.