Cummins Inc.

Cummins to Double High-horsepower Engine Reman Capacity by 2016

Cummins Inc. announced plans at MINExpo to increase high-horsepower engine remanufacturing capacity by 100% in order to meet demand for a rapidly expanding population of mining equipment powered by the popular QSK and K Series engines. Cummins Distribution Business will double total high-horsepower rebuild capacity to around 7,000 units per year by 2016, compared with the 2011 capacity of around 3,500 units per year, covering mining and other high-horsepower applications.

Cummins engine rebuild process ensures that the equipment operator receives a rebuilt engine with "as-new" standards of reliability and performance. Spanning the 500- to 3500-hp range (373-2610 kW), Cummins QSK and K Series engines are designed with inherent capability for multiple-life operation, often capable of achieving as many as four rebuilds.

A global network of highly specialized rebuild facilities are located in areas aligned with high populations of Cummins-powered haul trucks, loaders, excavators, drill rigs and other mining equipment. The investment program will establish a number of additional engine rebuild facilities in new locations, as well as expand many of the existing facilities. This follows a major expansion in capacity in progress since 2008, when annual capacity stood at 1,600 rebuild units compared with 3,500 units today.

By 2016, rebuild capability will be available at some 40 locations, including Cummins Master Rebuild Center (MRC) regional hubs and localized Cummins Rebuild Workshops, with a total site space of around 1 million square feet (92,900 square meters).

"We are doubling our current high-horsepower remanufacturing capacity to 7,000 units per year by 2016 to stay ahead of customer demand for engine rebuilds, due to a significant increase in the population of Cummins-powered mining equipment," said Pamela Carter, President - Cummins Distribution Business.

"The certified engine rebuild process is a key pillar of Cummins customer support, helping operators reduce the total life-cycle cost of their engines and achieve the lowest possible cost per ton of material extracted," added Carter.

The capacity expansion will be a phased ramp-up over the next four years, building on the capabilities, tools and processes already in place. The program is intended to serve mining customers better, as well as improve Cummins return on investment and facility utilization as the rebuild volume increases.

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