In the fast-paced world of underground mining, operational efficiency and profitability are paramount. Yet, managing complex contracts often takes a backseat amid the daily hustle, leading to costly oversights. At Hevi, we're changing the game by harnessing Artificial Intelligence (AI) to revolutionize contract management in the mining industry.

The Hidden Pitfalls of Contract Oversights

Consider a real-world scenario from an underground gold mine in Western Australia. A contractor was performing exceptionally well, maintaining a solid 15% profit margin. But then, unexpected poor ground conditions emerged:

• Increased jointing and fracturing
• Decreased rock compressive strength
• A major slip plane complicating development

To tackle these challenges, the team had to ramp up roof and wall support, reduce the depth of cuts, and drill more holes. These adjustments led to soaring costs and slower progress. Under their contract—where they covered their own costs and were paid per meter advanced—the contractor's margins flipped from a 15% profit to a 10% loss.

The kicker? The contract had a latent condition clause. If the contractor had notified the client within seven days about the unforeseen ground conditions, they could have renegotiated terms to cover the extra costs. Unfortunately, the team missed this window, resulting in a $400k loss.

How Hevi's AI Solutions Make a Difference

This is where Hevi's AI-powered tools come into play. Built on advanced Large Language Models (LLMs), our solutions help mining professionals stay on top of their contracts effortlessly.

• AI Monitors: Automatically scan emails and daily reports to flag potential contractual issues in real-time.
• AI Document Chat: Allow team members to ask questions about contract clauses in plain English and get instant, clear answers.
• AI Email Search: Enable users to search through all communications using natural language to find crucial information quickly.

Had the contractor utilized Hevi's AI tools, the system would have detected mentions of poor ground conditions in reports and emails. It would have alerted the project manager and commercial team about the latent condition clause, prompting timely action. The AI could even draft the necessary notification to the client, ensuring compliance and safeguarding profits.

Beyond Preventing Losses: Building Stronger Relationships

Effective contract management isn't just about avoiding losses—it's about fostering better collaboration between contractors and clients. By proactively addressing issues, you can build trust, enhance transparency, and pave the way for future opportunities.

Unlock the Power of AI with Hevi

At Hevi, we're passionate about empowering the mining industry with AI-driven solutions that simplify contract management and protect your bottom line. We understand the unique challenges you face and offer tools designed to meet those needs head-on.

Don't let overlooked clauses or missed deadlines cost you. Reach out to us today to learn more about how Hevi can help transform your contract management process and keep your projects profitable.

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