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Blockchain-based Rock Sample Movement Tracking in Mining

Sector: Primary sector · Industry: Mining and raw materials · Organisation: Wipro, BHP · Maturity level: Pilot

BHP utilizes blockchain technology to record movements of wellbore rock and fluid samples to secure real-time data during delivery. The system enables complete traceability of valuable samples throughout the supply chain and ensures data integrity and authenticity. This solution addresses the critical challenge of sample management in the complex mining industry, where secure and verifiable handling of material samples is crucial for quality and compliance requirements.

Documentation status

Description

BHP, one of the world's largest mining companies (copper, nickel, iron ore, coal), operates blockchain pilots to trace three raw material types: nickel (Western Australia → Tesla Gigafactory Shanghai via Circulor), iron ore (Pilbara → China Baowu) and copper concentrate (via MineHub, pilot with China Minmetals). BHP's Chief Commercial Officer Vandita Pant: "Customers are increasingly interested in where products come from — their environmental and ethical footprint, but also the efficiency and transparency of supply chains."

BHP operates several parallel blockchain pilots: (1) Nickel pilot: BHP tracked nickel deliveries from its Nickel West operation in Western Australia to Tesla's Gigafactory in Shanghai via the Circulor platform. The pilot documented CO₂ emissions along the supply chain and checked for "raw material dilution." Result: the world's first CO₂-neutral copper freight by combining with carbon offsets and credits. (2) Iron ore pilot: Two blockchain trials with China Baowu — the first for paperless handling of iron ore deliveries from the Pilbara region, the second for CO₂ reporting along the iron ore value chain. (3) Copper pilot: MineHub blockchain, pilot with China Minmetals for copper concentrates — digital handling of post-trade processes: contract fulfilment, payment notifications, document exchange, assay data, CO₂ data. (4) Tyre pilot: BHP procures over 6,000 giant tyres annually; internal tracking pilot for tyre rubber (modern slavery and illegal deforestation) — external supplier trials planned. BHP is listed on Forbes Blockchain 50 (2021).

Perspectives

B2B — organisations perspective

Mining customers such as Tesla, China Baowu or Southwire receive direct CO₂ and provenance certificates for their raw materials via blockchain — without their own audit programmes or manual paper documentation. This enables OECD-compliant due diligence and ESG reporting with less effort.

Employees perspective

Logistics and commerce teams benefit from paperless handling of international freight transactions via blockchain — critical especially during the pandemic when banks were closed and social distancing made manual document handovers impossible.

Benefits

General

B2B — organisations

Employees

Challenges

General

B2B — organisations

Employees

Technology foundation

The system is based on blockchain technology, which acts as a decentralized ledger and records every movement of rock and fluid samples immutably. This technology is particularly suitable for the mining industry as it enables tamper-proof documentation of sample transfers and provides real-time data to all involved parties.

Implementation examples

BHP sample tracking system

BHP wanted to solve the critical challenge of secure and verifiable sample tracking in their complex mining operations. The need for tamper-proof documentation of sample movements was crucial for compliance and quality assurance.

BHP has implemented a blockchain system to track wellbore rock and fluid samples.

BHP launched a project to use blockchain technology to record movements of wellbore rock and fluid samples. The system secures real-time data during delivery and enables seamless tracking of the valuable samples. The implementation aims to improve the integrity of sample tracking and provide all stakeholders with up-to-date information.

The system addresses issues such as sample losses, inaccurate documentation, and lack of real-time information about sample status. The blockchain solution eliminates manual sources of error and improves transparency throughout the supply chain.

Tags

Sample tracking, Supply chain management, Mining, Transparency, Real-time data

Sources

  1. How will blockchain technology change the mining industry