Sustainable mining operations escalate as demand for critical materials to double

Electrical Power & Protection

April 2025 Electrical Power & Protection

The mining sector is at the forefront of the energy transition due to its role in extracting essential materials and minerals necessary for green technologies. As demand for renewable energy, electric vehicles and other sustainable technologies increases exponentially, so will the demand for these necessary materials. According to a new report from global technology intelligence firm, ABI Research, demand for critical materials is expected to grow from 8,253 kt in 2023 to 17,711 kt in 2030 at a CAGR of 11,5%.

“The rising demand for renewable energy and electrification technologies presents a paradox,” explains Alex McQueen, sustainable technologies analyst at ABI Research. “Increasing demand for materials needed for these technologies will lead to an intensification of mining activities, contributing around 4 to 7% of global emissions. The challenge for mining companies today centres around meeting emission reduction expectations while increasing output of critical materials and minerals to meet consumer demand.”

The solution to this is the integration of sustainable technologies that support the decarbonisation of mining operations. These include:

• Renewables and energy storage: Integrating renewable energy is one of the most effective levers to decarbonise the mining sector. With around 40% of mine emissions coming from energy consumption, shifting to solar, wind and hydroelectric power offers significant potential for emission reduction. Leading solution providers include Honeywell, GE Vernova, and Schneider Electric.

• Digital and automation technologies: The mining industry is on the brink of a transformative era driven by digital technologies. Their ability to enhance productivity and safety will boost operational efficiencies and sustainability within mining operations. Technologies such as IoT, AI and digital twins have become fundamental to reducing emissions at mines. Leading solution providers include Schneider Electric, Siemens and SAP.

• Electric equipment and vehicles: In addition to renewable integration, mining companies can achieve significant emission reductions through the electrification of mine vehicles and equipment, and improvements in energy efficiency. Electrification may occur through the purchase of new electric vehicles or by considering retrofit options, which provides a more cost-effective alternative. Leading solution providers include ABB, Hitachi Energy and Caterpillar.

• Waste management and circularity tools: The mining sector is key to enabling circularity by ensuring that metals and materials are extracted and managed efficiently. Reprocessing and repurposing waste help extend the life of materials, while digital technologies can support efficient waste management practices. Leading solution providers include Rockwell Automation, Dassault Systèmes and AspenTech.

“Recognising the critical importance of sustainable mine operations is essential for driving energy transition and sustainable growth. Technology holds significant potential in enhancing operational efficiencies and sustainability. The industry must continue to embrace innovation, collaboration and environmental stewardship to ensure the stability and security of essential materials,” concludes McQueen.

For more information contact ABI Research, +44 203 326 0140, [email protected], www.abiresearch.com

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Sustainable mining operations escalate as demand for critical materials to double

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