Unlocking value in mining through the development of digital services

Introduction

The mining industry has traditionally been known for its labour-intensive and capital-intensive operations. However, the digital revolution is reshaping this landscape by introducing innovative technologies and digital services that have the potential to unlock significant value. Mining companies are increasingly leveraging digital solutions to enhance operational efficiency, safety, sustainability, and decision-making. In this article, we will explore fifty ways through which mining companies can unlock value by developing and implementing digital services, along with real-world examples.

I. Operational Efficiency and Productivity

1. Predictive Maintenance: Implement sensors and analytics to predict equipment failures and schedule maintenance proactively, reducing downtime. Example: Rio Tinto's use of sensors on mining equipment to predict and prevent breakdowns.
2. Autonomous Haulage: Deploy autonomous trucks to improve haulage efficiency and reduce operating costs. Example: BHP's Escondido copper mine in Chile uses a fleet of autonomous trucks.
3. Remote Operations: Enable remote monitoring and control of equipment to optimise operations and reduce the need for on-site personnel. Example: Remote operation centres for mining equipment by Komatsu.
4. Real-time Data Analytics: Utilise real-time data analytics to optimise processes and make informed decisions. Example: Newmont's integration of data analytics to optimise milling processes.

II. Safety and Health

1. Virtual Reality Training: Use VR simulations for training to enhance safety and reduce accidents. Example: Gold Fields' VR training program for underground miners.
2. Wearable Technology: Provide miners with wearable devices to monitor vital signs and ensure their well-being. Example: Ericsson's "Connected Miners" solution.
3. Collision Avoidance Systems: Install collision avoidance systems to prevent accidents involving vehicles and personnel. Example: Hexagon Mining's collision avoidance technology.
4. Air Quality Monitoring: Implement digital systems to monitor air quality in real-time and safeguard workers' health. Example: Newtrax's air quality monitoring solutions.

III. Sustainability and Environmental Impact

1. Digital Twin of Mine: Create a digital twin of the mine to simulate and optimise processes for reduced environmental impact. Example: The Prominent Hill copper-gold mine's digital twin by OS Minerals.
2. Water Management: Use IoT sensors and data analytics to manage water usage efficiently and minimise waste. Example: Teck Resources' water management initiatives.
3. Energy Optimisation: Employ AI algorithms to optimise energy consumption and reduce greenhouse gas emissions. Example: Glencore's use of AI for energy optimisation in its mines.
4. Biodiversity Monitoring: Develop digital services to monitor and protect local biodiversity around mining sites. Example: Anglo American's "Biodiversity Net Gain" program.

IV. Exploration and Resource Management

1. Geospatial Analysis: Utilise geospatial data and satellite imagery for more accurate exploration and resource estimation. Example: De Beers' use of satellite imagery for diamond exploration.
2. Drone Surveys: Conduct aerial surveys using drones for faster and more comprehensive data collection. Example: Rio Tinto's use of drones for topographical surveys.
3. Machine Learning for Targeting: Apply machine learning algorithms to identify potential mineral deposits. Example: Goldspot Discoveries' AI-driven exploration targeting.
4. Real-time Assaying: Develop technologies for real-time on-site mineral assaying to optimise ore processing. Example: Scantech's real-time elemental analysis solutions.

V. Supply Chain and Logistics

1. Blockchain Transparency: Implement blockchain to track and verify the origin and movement of minerals, ensuring ethical sourcing. Example: IBM's and Ford's joint blockchain pilot for cobalt sourcing.
2. Digital Contracts: Utilise smart contracts to automate and secure transactions along the supply chain. Example: MineHub's blockchain platform for digital transactions in mining.
3. Inventory Management: Use IoT sensors and data analytics for efficient inventory management and reduced stockpile losses. Example: Rio Tinto's "Smart Stockyard" system.
4. Route Optimisation: Develop algorithms to optimise transportation routes and reduce fuel consumption. Example: Sandvik's OptiMine? software for route optimisation.

VI. Decision Support Systems

1. Integrated Data Platforms: Create centralised platforms that integrate data from various sources for better decision-making. Example: Barrick Gold's "Digital Command Centre."
2. Simulation Modelling: Use simulation models to test scenarios and optimise mine planning and operations. Example: Maptek's Vulcan software for geological modelling and mine planning.
3. Real-time Dashboards: Develop dashboards that provide real-time insights into key performance indicators. Example: Newcrest Mining's real-time operational performance dashboards.
4. Predictive Analytics for Markets: Employ predictive analytics to anticipate market trends and make strategic decisions. Example: Rio Tinto's use of predictive analytics for iron ore markets.

VII. Collaboration and Communication

1. Cloud Collaboration: Utilise cloud-based platforms for seamless collaboration among teams and stakeholders. Example: Microsoft Asure's cloud services for mining collaboration.
2. Digital Twin for Stakeholders: Create a digital representation of the mine for stakeholders to enhance communication and understanding. Example: Boliden's digital twin for stakeholder engagement.
3. Social Media Monitoring: Develop tools to monitor and manage public sentiment and social media discussions. Example: Rio Tinto's use of social media analytics for reputation management.
4. Remote Expert Support: Provide remote expert assistance using augmented reality and collaboration tools. Example: Sandvik's "My Sandvik" portal for remote support.

VIII. Innovation and Research

1. Open Innovation Platforms: Establish platforms for external partners to collaborate on innovation and research. Example: Nexa Resources' "Mining Lab Challenge."
2. Hackathons and Challenges: Organise hackathons and challenges to source innovative ideas from internal and external participants. Example: Goldcorp's #DisruptMining challenge.
3. Digital Incubators: Set up digital incubators to nurture and develop digital solutions for mining challenges. Example: Newmont's "Digital Incubator" program.
4. Startup Collaborations: Partner with startups to access cutting-edge technologies and ideas. Example: South32's collaboration with Unearthed to source innovative solutions.

IX. Community Engagement

1. Digital Storytelling: Use digital media to share positive stories about the mining industry's impact on communities. Example: New Gold's "New Afton Life" digital storytelling platform.
2. Virtual Site Tours: Provide virtual tours of mining sites for communities and stakeholders. Example: Anglo American's virtual mine tours.
3. Educational Platforms: Develop digital educational resources to inform communities about mining processes and benefits. Example: The Responsible Mining Foundation's online learning platform.
4. Community Feedback Apps: Create apps to collect and respond to community feedback in real time. Example: Rio Tinto's "Gudai-Darri Listen" app.

X. Regulatory Compliance

1. Environmental Monitoring: Utilise digital solutions for continuous environmental monitoring to meet regulatory requirements. Example: Alcoa's digital environmental monitoring system.
2. Digital Reporting: Implement digital reporting systems for transparent and accurate compliance reporting. Example: Gold Fields' digital sustainability reporting.
3. Automated Compliance Checks: Develop automated tools to ensure adherence to regulatory standards. Example: SAP's compliance management solutions.
4. Remote Audits: Conduct remote audits using digital tools to ensure compliance without on-site presence. Example: BHP's use of remote audits during the pandemic.

Conclusion

The mining industry is undergoing a transformation fuelled by digital technologies, opening up numerous opportunities to unlock value across various aspects of the business. By embracing digital services, mining companies can enhance operational efficiency, safety, sustainability, and collaboration while making informed decisions. The examples provided in this article illustrate the diverse ways in which mining companies are leveraging digital solutions to overcome challenges and seize opportunities. As the digital landscape continues to evolve, mining companies that proactively embrace digital transformation are poised to thrive in this new era.