The metal and mining industry is recovering from a very difficult time with the pandemic. Commodity pricing and the volatility in the market has made it hard to predict what will be normal for profitability. A series of industry-specific issues have also made it more difficult on businesses such as upcoming regulations, geopolitical risks and legal limits on natural resources. The future of the mining industry is uncertain but we have identified a series of trends that will shape the mining industry moving into the future.
Low Carbon Mining
The energy transition is happening worldwide and in order to improve the living standards of our worldwide citizens, many countries are making an effort to reduce their greenhouse gas emissions. Mining companies that are powering their operations with renewable energy and operating delivery standards with electric and hydrogen powered truck fleets are initiating new value chains within the industry.
Gaining Access To Resources
Companies will need to gain access to the new frontier of mining. As mineral resources in low risk areas become exhausted, mining companies will need to master new technologies for efficiency in extraction and processing or breakthrough into new mining jurisdictions.
New Financial Agreements
Alternative financing solutions have been developed such as metal stream and royalty agreements reducing the burden on mining companies. There are many worldwide economies that are willing to fuel growth in mining and it’s possible to develop joint ventures similar to agreements that have been published in the oil and gas sector to reduce risk.
A lot of businesses that are looking to get into minerals and mining need to hire the best legal teams to build compliance, secure permits and start business operations. In recent years, a number of companies have started expanding to the Middle-East in the hopes of improving their business opportunities. They have been required to go through lengthy legal processes, sign JVs and open up financial accounts in the countries. This is an area where a legal firm that is proficient in the setting up a foreign business can help. If you want to explore about how a legal firm can help you, read more.
Big Data
Big data and monitoring technology are becoming a part of every major industry. In mining, data is often shared to create transparency between governments and to improve energy efficiency and safety. Big data solutions lead to less loss in resources, energy and improvements to the bottom line.
This post was written by Justin Tidd, Director at https://beckersmcusa.com/. For nearly a half a century, Becker Mining has been at the forefront of mine electrical systems. Becker/SMC is the industry’s leader in increasingly more sophisticated electrical control systems. Most of the major innovations, design features and specialized electrical components have been developed by Becker/SM
