Automation is a key trend within the mining industry in the 21st century, offering safety, efficiency, productivity, and financial health benefits to mines. This article will examine the autonomous mining market, looking at key trends, factors, technologies, challenges, and players.
Introduction to the Autonomous Mining Equipment Market
The mining sector is undergoing a technological revolution, embracing Industry 4.0 technologies. The industry's goal is to move from the traditional, labor-intensive mine that has been the norm for millennia to a more automated, integrated mine ecosystem.
There are two forms of automation taking hold in the mining industry: process/software automation (IT automation) and the use of autonomous equipment, such as trucks, loaders, and extractors (OT automation.)1
Many autonomous technologies have existed in the mining industry for several years, but recent advances have made them more prevalent. This has brought autonomous mining to the forefront of many online studies over the past few decades.
Overview of Key Market Players and Products
Several of the largest names in mining equipment and associated technologies are key players in the automated mining equipment market, such as Hitachi, Caterpillar, Komatsu, Scania, Sandvik, Rockwell, and Volvo.2
Caterpillar, for instance, has developed the Cat® MineStarTM Command AHS system. This automated system can operate 24/7, allowing companies to operate with fewer workers. The company reports that this system can improve productivity by 30%, reduce safety-related incidents by half, and provide a 20% reduction in operational costs. Since 2013, this solution has hauled over 2.5 billion tons.
Komatsu’s FrontRunner AHS allows dozers, graders, and loaders to interact with each other and be controlled remotely. The system is equipped with GPS and advanced sensors. Hitachi and Rajant have successfully implemented an AHS solution at an Australian coal mine since 2020.
Scania’s AXL is a cab-less autonomous concept truck first demonstrated in 2019. This autonomous solution is powered by renewable biofuel, further enhancing its sustainability. Sandvik offers AutoMine for Trucks, whereas Volvo has developed the TARA transport solution.2
Market Size and Growth Trends
The global autonomous mining equipment market is expected to grow over the next few years as more companies embrace automation, robotics, and other Industry 4.0 technologies to meet critical environmental and economic challenges.
According to a 2024 report by Research and Markets, it is predicted that the market will be worth $3.68 bn USD by 2028, representing a 5.6% CAGR (compound annual growth rate) from a current estimated market value of $2.96 bn USD.3
Factors Driving Adoption of Autonomous Mining Equipment
Mines are inherently dangerous environments, with many well-publicized incidents over the years leading to loss of life and disruption to mining activities. Furthermore, in financial terms, mining is a high-margin activity, with slim profits for mining companies being the norm.
Image Credit: mineronbaystreet/Shutterstock.com
Improving mine safety, efficiency, productivity, and cost-efficiency is the main driver of automation and other Industry 4.0 technologies in the mining sector. For example, automated hauling trucks with advanced proximity sensors improve collision avoidance, saving lives and protecting other equipment.
Automated machinery can also work 24/7, whereas human workers cannot work in potentially dangerous and labor-intensive environments for more than a few hours. This is a significant boon to efficiency, productivity, and cost-effectiveness. Fewer workers also means more productivity for companies.
Another factor driving the adoption of autonomous mining equipment is sustainability.
Challenges and Barriers to Market Expansion
While the benefits of automation are well-publicized, some key challenges and barriers remain if autonomous mining equipment is to become a mainstay of the mining industry.
Some key challenges include initial cost outlay, security and safety risks, mine planning and design adaptations, and the social impacts of changing workforce size and shape and accommodating new technologies by transforming system infrastructure. Despite these challenges, automation is a crucial aim of many companies within the mining sector.
Regulatory and Safety Considerations
As mentioned above, several challenges must be overcome for automation to be considered a safe and effective tool in the mining industry. For instance, while AI and sensors can significantly enhance an autonomous haulage system’s ability to detect human workers and objects, there is still some risk involved with the technology’s safety.
A recently published white paper by the Global Mining Guidelines Group has emphasized the importance of a system safety approach to help guide the safe employment of autonomous systems within mines. The paper highlights the importance of considering human-system integration, risk assessment, hazard identification, and functional safety.5
Aside from safety considerations, regulatory barriers are a key roadblock to adopting new technology, particularly in a safety-critical industry such as mining. Equipment approval can be delayed as the process can be time-consuming. In the US, any new equipment must conform to specific standards set forth by the Mine Safety and Health Administration.6
Regional Market Analysis
Companies in many different regions are developing autonomous mining equipment. In 2023, according to researchandmarkets.com3, the Asia-Pacific was the largest region in this market, closely followed by North America. Both these regions are expected to undergo market growth in the coming years.
According to the US Geological Survey, over 22% of the world’s active mineral exploration sites are in Canada alone. Canada and the US host over 34% of these sites globally. According to Mordor Intelligence, US-based regional players will likely play an increasing role in the global market. US regulations specifically concerned with sustainability are likely to drive the market in this region.7
Emerging Technologies and Innovations
Artificial intelligence (AI) is currently one of the key disruptive technologies in the mining industry. Its benefits for automation include smarter data analytics and data visualization capabilities, which allow equipment to make better decisions and give human operators unparalleled data insights.
AI-controlled systems using GPS, sensors, and wireless connectivity are increasingly sophisticated, enhancing autonomous capabilities. Big data analytics allow information to be processed and actioned in real-time. Advanced computer systems help prevent accidents by providing positional and velocity data.
Wearable technology also enhances the safety of machine-human hybrid working environments, addressing one of the key challenges associated with automation in the 21st-century mine.
Future Outlook and Market Opportunities
Significant mining industry automation will likely occur over the next 5-10 years. However, balancing innovation with employment, safety, and security concerns requires careful consideration. Moreover, due to initial cost concerns, many companies may be reluctant to invest in new technologies such as AHS.
Overcoming these barriers should be relatively easy due to the significant opportunities automation represents regarding safety, efficiency, productivity, sustainability, and cost-effectiveness.
One thing is clear: if the mining industry is to stay profitable and meet its environmental goals, innovation in areas such as automation will continue to play a key role in the coming decades.
References and Further Reading
- Brunel (2021) Exploring Autonomous Mining [online] brunel.net. Available at: https://www.brunel.net/en/blog/mining/autonomous-mining (Accessed on 6 April 2024)
- Mining Technology (2021) Autonomous haulage systems for mining industry: Leading manufacturers [online] mining-technology.com. Available at: https://www.mining-technology.com/features/autonomous-haulage-systems/ (Accessed on 6 April 2024)
- Research and Markets (2024) Autonomous Mining Equipment Global Market Report 2024 [online] researchandmarkets.com. Available at: https://www.researchandmarkets.com/reports/5735062/autonomous-mining-equipment-global-market-report (Accessed on 6 April 2024)
- Tiwari, A (2021) How intelligent automation can power sustainable economies [online] World Economic Forum. Available at: https://www.weforum.org/agenda/2021/09/how-intelligent-automation-can-power-sustainable-economies/ (Accessed on 6 April 2024)
- GMG Group (2021) System Safety for Autonomous Mining [White paper, online] Global Mining Guidelines Group. Available at: https://gmggroup.org/wp-content/uploads/2021/09/GMG_System-Safety-for-Autonomous-Mining-2021-09-29.pdf (Accessed on 6 April 2024)
- Snyder, D (2022) Regulatory Issues for Automation in U.S. Mines [online] Holmes Safety. Available at: https://www.holmessafety.org/wp-content/uploads/2022-09-15-0950-1-Snyder-Regulatory-considerations-for-automation.pdf (Accessed on 6 April 2024)
- Mordor Intelligence (2024) Automated Mining Equipment Market Size & Share Analysis – Growth Trends and Forecasts (2024-2029) [online] mordorintelligence.com. Available at: https://www.mordorintelligence.com/industry-reports/automated-mining-equipment-market (Accessed on 6 April 2024)
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