Case Study: Peñoles (Magnelec) achieves $4.6M projected five-year savings with GE Digital Asset Performance Management

Magnelec Expects Savings of $4.6 Million in Five Years with Asset Performance Management

Peñoles, through its Magnelec division, sought to improve Operational Excellence at a large chemical plant producing sodium sulfate and magnesium oxide by improving data processes, equipment reliability, and by reducing production losses and maintenance and capital expenditures. To address these challenges, Magnelec implemented Asset Performance Management (APM) from GE Digital to consolidate asset data from multiple sources and drive risk mitigation and reliability improvements.

Using GE Digital’s APM, Magnelec established an asset taxonomy, updated criticality metrics, and used root cause analysis to identify a major bad actor—the additive dosing system on “Boiler Five,” which had 123 repairs in one year—and developed a remediation plan. The initiative identified potential savings of $4.6 million over five years (10.8% of the maintenance budget), with 46% of benefits from failure-elimination processes and 40% from asset strategy; applying first-year recommendations alone would save about $200,000.

Peñoles