Case Study 10 | Global Mining Co. – Saving $4.6m in Oil Costs

Escalating Maintenance Costs: the Challenge

A Tier-1 global mining operator faced escalating maintenance costs due to extreme environmental dust and moisture contamination. High-viscosity gear oils and hydraulic fluids in critical machinery required frequent, costly replacements. Component wear rates were increasing, threatening costly unscheduled downtime across processing assets.

The Solution

Following a comprehensive engineering assessment, the client deployed an $880,000 targeted installation of Lubemaster filtration systems and oil analysis laboratory equipment.

The Impact

By installing a state-of-the-art laboratory and implementing online lubricant conditioning and restoring fluid cleanliness to levels exceeding those of new oil, the operator successfully eliminated premature oil replacement. Over the first 12 months, savings from lubricant purchases alone totalled $4.6 million, with the investment paying for itself in under 10 weeks. Additional benefits included substantial reductions in waste disposal costs and improved equipment reliability through extended component service life – all results were laboratory supported.

The Problem: Environmental Contamination vs. Component Life

Operating in a very remote, high-dust and fluctuating thermal environments, the client’s machinery was highly vulnerable to sub-micron particle ingress and emulsified water.

• Accelerated Component Wear: Fine silica dust particles bypassed standard OEM filtration, acting as an abrasive paste inside high-value gearboxes.
• Premature Fluid Degradation: Moisture contamination triggered rapid additive depletion and oil oxidation, forcing short drain intervals.
• Escalating Operational Costs: The operation was purchasing hundreds of thousands of litres of replacement oil annually, alongside soaring hazardous waste disposal fees.

The Engineering Intervention: The Lubemaster Approach

It was determined that standard element-based filters were inadequate and cost-prohibitive due to constant clogging. The mining company installed customized Lubemaster units capable of continuous, high-volume conditioning.

Key Technical Deployments:

1. On-Line Conditioning: Lubemaster systems were connected directly to live reservoirs, cleaning high-viscosity gear oils at full flow rates without stopping production.
2. Submicron & Total Water Removal: The equipment simultaneously extracted fine wear debris and all phases of water (free, emulsified, and homogenised) down to trace levels.
3. Zero-Element Filtration: By using Lubemaster’s wash-and-reuse system, the site avoided the ongoing procurement and disposal costs of traditional replacement filter elements.

The Financial Impact: Annual Savings $4.6m

• Oil Cleanliness Exceeded New Oil Standards: Lubemaster systems successfully brought the fluid contamination levels significantly lower than those of fresh, unconditioned drum oil.
• Additive Protection: Because the filtration process is mechanical and non-chemical, vital anti-wear and extreme-pressure additives remained fully intact.

From the Client’s Engineering Team

“We use the Lubemaster Oil Cleaning Systems on our primary/secondary crushing and grinding milling machine; these machines are susceptible to water and dirt ingress whilst in operation. The oil is not subjected to extreme temperatures nor internal combustion, therefore there are no residual contaminants such as carbon.

The Lubemasters are working exceptionally well keeping the oils clean. In addition to the cost savings on new oil purchases, we have had a reduction in the consumption of costly lubrication pumps, filters and internal components such as eccentric bushes etc. resulting in lower operating costs and more importantly machinery availability. The $4.6M annual savings are verified, but the peace of mind regarding plant reliability is worth even more.”
— Principal Mechanical Engineer, Global Assets Division

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