Global Connected Mining Market Size Analysis Report - Market Share, Forecast Trends and Outlook (2024-2032)

Connected Mining Market Overview

Connected mining refers to multi-value solutions that leverage analytics, cloud technology, tracking, and mobility to effectively manage industrial mining operations. The deployment of connected mining is one of the major factors driving the growth of the connected mining market as it aids in providing sustainable, safer, cleaner, leaner, and more profitable intelligent mining operations by improving efficiency and enhancing performance.

Moreover, as mining companies focus on reducing their carbon footprint, connected mining systems help optimise resource use, reduce emissions, and monitor environmental conditions. Automation and data-driven approaches contribute to lower energy consumption and more sustainable practice.

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Connected Mining Market Trends

Growing Deployment of IoT

The key market trends include increasing utilisation of Internet of Things (IoT) sensors along with near real time analytics for improving operational efficiency and productivity. It is achieved by enabling predictive maintenance, thereby reducing operational costs and downtime due to unplanned maintenance. There is also an increased implementation of advanced predictive maintenance systems that leverage IoT sensors to foresee equipment failures and reduce downtime in mining operations can aid connected mining demand growth.

According to the World Mining Data platform, from 2018 to 2022, global minerals production exhibited modest growth, with a CAGR of 1.1%, increasing from 17.85 billion tons in 2018 to 18.67 billion tons in 2022. Asia significantly contributed to this growth, with its production rising from 10.34 billion tons in 2018 to 11.52 billion tons in 2022, reflecting a CAGR of 2.7%. The growth of the industry was driven by robust industrial demand and economic expansion in countries like China and India. The year-on-year growth for Asia was notably strong in 2022 at 6.6%, following a 5.0% increase in 2021.

Better Usage of Assets

Improved asset utilisation is another prominent trend of connected mining market expected to boost market growth in the upcoming years. It is achieved by using special optimisation algorithms and by modelling entire mining sites to determine the required asset utilisation rates to meet the target shifts.

As per the data from the World Mining Data platform, North America's production remained relatively stable, increasing slightly from 2.77 billion tons in 2018 to 2.87 billion tons in 2022, resulting in a 0.9% CAGR. Despite a decrease in 2020 of 7.2%, the region recovered in the subsequent years with a 3.0% rise in 2021 and a 4.5% increase in 2022. Oceania's production also remained stable, with a slight increase from 1.22 billion tons in 2018 to 1.24 billion tons in 2022, showing a 0.3% CAGR. Year-on-year data indicates minor fluctuations, with a notable decline of 2.3% in 2021, boosting the demand for robust asset utilisation efforts.

Industry News

October 2024

Vale, a global mining leader, has partnered with Nokia Bell Labs to implement a cognitive monitoring network service aimed at boosting productivity and safety in mining operations. This system integrates advanced connectivity technologies to automate planning and performance tracking in mining environments.

October 2024

Micromine’s Pitram solution was successfully implemented at the Çayeli Bakir copper and zinc mine in Türkiye. This system improved the mine's productivity by 18%, demonstrating the impact of real-time monitoring and data analytics in optimising mines operation.

Opportunities in Connected Mining Market

The deployment of 5G networks has facilitated the use of smart ventilation control and monitoring systems which allows for operational efficiency and ensures workers' safety in connected mining. Customisation and scalability of solutions also cater to diverse project needs and boost connected mining demand, while a focus on sustainability addresses growing environmental concerns.

Key contributions to the market growth came from non-ferrous metals (USD 152.7 billion) and mineral fuels (USD 1,173.5 billion). The United States held a 13.5% share, totalling USD 1,015.0 billion, primarily from mineral fuels (USD 968.1 billion). Furthermore, Russia accounted for 9.6% of the global value, producing USD 719.9 billion, with a significant portion of mineral fuels (USD 637.6 billion). Saudi Arabia had a 6.1% share, with production valued at USD 459.4 billion, mainly from mineral fuels (USD 452.7 billion). Canada contributed 4.3% to the global total, with USD 322.3 billion in production value, largely driven by mineral fuels (USD 255.1 billion).

Connected Mining Market Restraints

The significant investment required for implementing connected mining technologies can be a barrier for many mining companies and affect connected mining demand forecast. Increased connectivity and data sharing also heighten the risk of cyberattacks and data breaches. Moreover, there is a shortage of skilled professionals capable of managing and maintaining advanced mining technologies which affects the market expansion.

Europe experienced a substantial decline, with its production falling from 1.42 billion tons in 2018 to 1.13 billion tons in 2022, marking a CAGR of -5.5%. Economic slowdowns and stringent environmental regulations likely contributed to this decline. Europe's year-on-year data showed a significant drop of 9.9% in 2019 and 8.1% in 2020, followed by a minor recovery of 3.2% in 2021, but another decline of 6.6% in 2022.  Africa and Latin America both also showed a declining trend that affected the industry revenue. Africa's production decreased from 0.99 billion tons in 2018 to 0.91 billion tons in 2022, with a CAGR of -2.1%.

Market Dynamics

Adoption of real-time fleet management solutions that track and optimise the usage and performance of mining vehicles and equipment is increasing in the market. This has also led to increased integration of smart drilling technology that uses connected devices to enhance precision and efficiency, leading to reduced operational costs and improved resource extraction. Furthermore, strong cybersecurity measures protect data, and comprehensive service offerings, including installation and support, fuel demand of connected mining market.

The global mineral production saw modest growth primarily driven by Asia. Economic conditions and regulatory environments played key roles in shaping these regional trends. In 2022, the total global mineral production by value was USD 7,494.8 billion, which further contributed to the connected mining market value. China led the market with a 19.1% share, producing USD 1,435.1 billion worth of minerals.  Cost competitiveness remains crucial, attracting price-sensitive customers without compromising quality.

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Connected Mining Industry Segmentation

Global Connected Mining Market Report and Forecast 2024-2032 offers a detailed analysis of the market based on the following segments:

Market Breakup by Component

• Solution
• Services

Market Breakup by Solution

• Asset Tracing and Optimisation
• Fleet Management
• Industrial Safety and Security
• Workforce Management
• Analytics and Reporting
• Process Control
• Others

Market Breakup by Mining Type

• Surface Mining
• Underground Mining

Market Breakup by Deployment Mode

• On-Premises
• Cloud

Market Breakup by Application

• Exploration
• Processing and Refining
• Transportation

Market Breakup by Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East and Africa

Connected Mining Market Share

By Component Insights

Services are projected to account for a significant connected mining market share over the upcoming years, due to the essential role played by services in the operation, integration, functioning, and implementation of connected mining. Additionally, services also aid in the deployment and optimisation of assets in content mining systems by ensuring proper maintenance; such advantages are further aiding the expansion of the service component of the market for connected mining.

By Solution Insights

Asset Tracking and Optimization currently holds the highest market share. This segment is crucial because it enables mining companies to monitor the location, usage, and condition of assets in real-time. This optimisation helps reduce operational costs, improves productivity, and enhances decision-making through predictive maintenance and better resource management. Additionally, real-time tracking of assets helps minimize downtime and optimize equipment usage, leading to reduced operational costs.

By Mining Type Insights

Surface mining holds the highest share in the market compared to underground mining. This dominance is due to the larger scale of surface mining operations, which involve extensive use of heavy machinery and vast areas of operation, making it ideal for connected mining technologies such as asset tracking, fleet management, and process control, and boosting the connected mining market value. Surface mining operations typically cover larger areas, making technologies like IoT and automation more beneficial for tracking and optimising equipment over vast distances.

By Deployment Mode Insights

The cloud deployment mode is expected to grow at a CAGR of 14.3% between 2024 and 2032. Cloud solutions offer the ability to scale resources up or down depending on operational needs, making it ideal for large, fluctuating mining operations. Cloud platforms reduce the need for heavy investments in physical IT infrastructure, which is particularly beneficial for remote mining sites. Cloud platforms support integration with IoT devices, AI, and machine learning, which are key drivers in the market.

By Application Insights

As per the connected mining industry analysis, the exploration segment is expected to witness a CAGR of 14.7% in the forecast period. This is due to the increasing adoption of advanced technologies like IoT, AI, and machine learning for real-time data analysis, which enhances mineral exploration efficiency and accuracy. New technologies such as remote sensing, AI-driven geological modelling, and predictive analytics are revolutionising mineral exploration by allowing companies to locate new deposits faster and with greater accuracy.

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Connected Mining Market Regional Analysis

North America Connected Mining Market Trends

Major factors increasing the connected mining market revenue include advancements in IoT and AI technologies, which enhance operational efficiency and safety, and the increasing demand for real-time data analytics to optimise mining processes and reduce costs.

Regional market players such as Rockwell Automation Inc. are focusing on scalable automation solutions and leveraging IoT to enhance mining operations. Key initiatives include developing control systems that reduce downtime and increase operational efficiency. The dominance of the United States in mineral production indicates strong potential for market growth, as it is likely to invest heavily in advanced technologies to optimise and sustain its mining operations.

Asia Pacific Connected Mining Market Growth

The Asia Pacific region is anticipated to witness a CAGR of 13.9% in the forecast period. This can be attributed to the growth of the mining industry in various countries in the region including China and India, among others. The markets in India and China are expected to witness CAGRs of 15.2% and 13.6% respectively in the forecast period. Increasing emphasis on safety, reliability, and automation is also anticipated to aid the market expansion in the Asia Pacific region. Moreover, the growing adoption of automated machinery and robotics to enhance operational efficiency and reduce human intervention can boost market opportunities.

Europe Connected Mining Market Dynamics

UK and Germany markets are expected to grow at CAGRs of 12.6% and 11.7% between 2024 and 2032 respectively. Italy is further expected to hold a market share of 2.9%. Developmental efforts by market players also boost the regional connected mining market opportunities. For instance, Hexagon AB has developed sensor-based solutions and autonomous systems for smart mining. Key initiatives include creating integrated platforms that improve mine planning, operations, and safety through real-time data.

Meanwhile, SAP SE integrates ERP systems with advanced analytics and IoT for streamlined mining processes. Their initiatives involve providing comprehensive software solutions that improve resource management and operational efficiency.

Latin America Connected Mining Market Drivers

Brazil market is expected to grow at a CAGR of 13.8% in the forecast period. The utilisation of real-time data analytics for predictive maintenance, operational optimisation, and informed decision-making is gaining prominence in the market.  As per the connected mining market dynamics and trends, Latin America experienced a drop from 1.11 billion tons to 1.01 billion tons during the same period, with a CAGR of -2.3%. Latin America's year-on-year data displayed significant declines of 6.3% in 2019 and 7.6% in 2020, with minor recoveries in the following years.

Middle East and Africa Connected Mining Market Outlook

Many countries in Africa, such as South Africa, Botswana, and Namibia, are rich in minerals like diamonds, gold, and platinum. The demand for improved operational efficiency and the need to optimise resource extraction have led to the adoption of connected mining solutions and enhanced the connected mining industry revenue.

There is also an increased emphasis on sustainable mining practices, including energy-efficient technologies and reduced environmental impact. This aligns with the broader goal of diversifying away from oil dependence and utilising connected mining technologies to optimise operations and reduce environmental impact.

Innovative Connected Mining Startups

Some startups are leveraging AI, data analytics, and cloud computing to optimise mining operations which can boost the demand of the market. Their strategic initiatives include providing tailored digital transformation solutions to enhance decision-making processes and operational performance. Some startups also enhance connectivity and cybersecurity for mining infrastructure. Their initiatives in connected mining market may involve providing robust networking solutions that ensure reliable data transmission and protection against cyber threats.

SafeAI (USA)

SafeAI provides autonomous mining solutions by retrofitting existing mining vehicles to become fully autonomous. Their AI-powered software suite, along with an advanced sensor system, allows vehicles to operate independently within mines, optimising safety, and productivity. SafeAI’s approach reduces human involvement in hazardous areas and improves operational efficiency, aligning with the growing demand for automated mining technologies.

Arventek (Turkey)

Arventek specializes in mine inspection automation using unmanned aerial vehicles (UAVs). Their solution, RemoteSite, utilises UAVs with vertical take-off and landing (VTOL) capabilities to perform automated, high-resolution aerial inspections of mining sites. The UAVs capture geographic and operational data, which is transformed into digital maps and 3D models to enhance decision-making processes regarding mine safety, expansion, and inventory management.

Competitive Landscape

Competitive factors by several market players boosting the connected mining market include technological innovation, with companies investing in AI, IoT, and advanced analytics to enhance efficiency. Strategic partnerships and collaborations expand capabilities and market reach.  Several companies are focusing on integrating digital and automation solutions to enhance mining operations. Key initiatives include the development of advanced electrification and automation systems to improve efficiency and safety.

Key Industry Players

ABB Ltd is an automation machinery manufacturing company that was founded in 1988 and is headquartered in Zurich, Switzerland. This company is known for automation and electrification and for enabling a resource efficient and sustainable future.

Accenture plc is an IT services and consulting company in the connected mining industry with leading capabilities in security, digital, and cloud and was established in 1989 and is based in Dublin, Ireland. Their specialities include business process outsourcing, infrastructure outsourcing, and management consulting, among others.

Cisco Systems, Inc is a software development company that was founded in 1984 and is headquartered in California, United States. They offer hardware, software, and services for creating internet solutions and specialise in unified computing systems, among others.

Other connected mining market players include Hexagon AB, IntelliSense.io, Rockwell Automation Inc, SAP SE, Symboticware Inc., Trimble Inc., and LTIMindtree Limited, among others.

Recent Developments

September 2024

Caterpillar introduced its Precision Mining initiative to bring mine-to-mill integration into reality. This technology suite connects various mining processes through advanced data analytics, allowing real-time optimisation of equipment and energy usage to lower costs and improve sustainability in mining operations.

August 2024

At MINEXPO 2024, Rockwell Automation showcased its latest solutions for creating a connected and sustainable mine. Their technology integrates data-driven processes from mining equipment to enterprise-level decision centers, helping mining companies optimise operations and reduce environmental impact.