The big issues facing US & Canadian mining decision makers in 2023
We’ve reviewed the key issues impacting underground mining in the US and Canada this year – particularly those impacting operational development and profitability.
1. Skills & Labor Shortages
Staff turnover in areas such as drilling are both costly and time-consuming for mining operations. For decision-makers, this presents challenges with productivity, consistency, and efficiency of operations.
“In the US, 71 percent of mining leaders are finding the talent shortage is holding them back from delivering on production targets and strategic objectives.”
Source: McKinsey & Company.
2. Technology Adoption
The rate of progression in technology and its influence on modern mining methods means US and Canadian mining decision makers must always focus on trial and adoption of new technologies that can benefit the mine’s operations and profitability.
“Mining companies are seeing that they simply no longer have a choice as to whether to adopt new technologies into their operations if they want to remain competitive.”
Source: North American Mining.
3. Decarbonization in Mining
Arguably the most topical and important issue in mining globally. There are increasing pressures on miners in the US and Canada to reduce CO2 emissions and address climate risk in alignment with the Paris Agreement.
“The mining industry contributes approximately 4-7% of the global carbon footprint with its Scope 1 emissions and up to 28% when the Scope 3 emissions are included. Mining companies are faced with the tough challenge of producing these minerals while lowering carbon emissions for the 1.5 Celsius target to be feasible.”
Source: Mayer Brown.
4. The Impact of Operational Delays
Operational delays in mining can often be unavoidable due to both internal and external factors. Nonetheless, the impact of delays on productivity and subsequently profitability is an ongoing issue for senior decision makers. What can miners do to offset delays in operations and recover profitability?
“Although mining companies are often able to improve productivity and efficiency in the short term, many face challenges in sustaining these increases in productivity or keeping up the pace of improvements over time.”
Source: McKinsey & Company.
Minnovare represents over 10 years of experience and expertise in the optimization of underground drilling – from exploration through to development and production drilling. Our solutions:
– Ensure consistent and accurate drilling, regardless of the driller’s skill-level or experience.
– Are proven at operations globally and supported by our dedicated technical support team, 24/7.
– Reduce Scope 4 CO2 emissions through improved accuracy in production drilling, helping mining operations towards net zero.
– Help mining operations reduce all-in costs and offset profits lost from operational delays.