Will 2025 Mark the “Tipping Point” for Mine Electrification in North America?
January 14, 2025
By Sachin Jari, General Manager Mining North America, Process Industries, ABB Inc.
New findings suggest strong near-term investment interest in mine electrification among North American companies
Several months ago, I attended my fourth MINExpo International and couldn’t help but smile (somewhat righteously) at the overwhelming presence of attendees evaluating the latest ideas and concepts for mine and fleet decarbonization via electrification. While the focus was on mining (we all understand and keep looking into potential gains via optimization of mineral processing), I couldn’t help but reflect on how things have dramatically changed in just a few short years.
You see… I participated in the same conference in 2021, where we launched ABB eMine™, our portfolio of fleet and mining electrification solutions. At the time, we were one of a few companies working with miners to realize it’s potential (with ABB’s mine electrification project experience dating back to the early 1990s). Yet, other mining suppliers were seemingly conducting business as usual and sharing new products and ways to improve safety, productivity & reliability.
Fast forward to 2024 and it was nearly impossible to turn a corner at this conference without talking about the benefits of safe and productive electrification for decarbonizing operations. Why now? What’s changed?
Perhaps the reason for the newfound industry embrace is that mine electrification is proven and continues to gain traction as a highly advantageous technology. Some examples include:
- eMine Trolley System to meet Copper Mountain Mining’s sustainable development goals in Canada
- Antofagasta Minerals to drive real progress in its mining industry decarbonization initiatives
- Nouveau Monde Graphite selects ABB to power up operations at its Matawinie Mine in Canada
- ABB and Komatsu to collaborate on electrification platform
Mining’s Moment is now!
I raise the question of whether 2025 will mark the tipping point for electrification in mining operations because of observations at MINExpo 2024 along with insights revealed in a new industry report we recently released called “Mining’s Moment”. The report is based on surveys with 400+ mining executives worldwide, including more than 100 representing North America sentiments on the topics. You can download the full report here.
Or, if you’d like to read a summary of findings in North America specifically, you can view ABB’s regional fact sheet.
Electrification is essential to mine decarbonization
On the topic of electrification in mining, the report uncovered that:
- Almost 95% of those surveyed in North America consider electrification essential, or part of, their decarbonization strategy, compared to 84% in Europe and 91% globally.
- Further, almost 75% consider vehicle electrification as having the greatest potential to increase efficiency and sustainability of mining operations.
These numbers are not surprising to me given the buzz in the industry as of late and the countless discussions I’ve had with mining executives the last several years. Obviously, it is a viable path to decarbonization. The only lingering question is… what’s been holding companies back?
Based on findings in the report:
- 51% consider unproven technologies as a barrier (perhaps they’re still talking to vendors with those BIG ideas).
- Yet, 77% agree significant decarbonization can be achieved using existing technologies
The latter data point couldn’t be more true. In fact, ABB has worked with mining companies around the world for years to decarbonize their operations using a combination of automation, electrification and digitalization solutions. In other words, we’re well beyond the time for conceptual ideas and pilot projects on proving grounds with our customers. Mining companies are making Real Progress in their journey to Net Zero with commercially available solutions from ABB today. The year 2030 is fast approaching along with its stakeholder-inspired emission reduction targets and the time to talk has passed.
Is that time now? I believe there is strong potential that this could be the year that companies stop kicking the dirt and really decide to “move earth” by decarbonizing their operations with electrification.
Given additional insights in the report:
- 54% of North American responses anticipate significant or complete transformation of their operations over the next 5 years
- 71% are planning to electrify at least 25% of their fleets by 2030
- 44% are planning to invest in the decarbonization of their haulage fleet by 2026, compared to 35% in Australia and 52% in South America
While there is still some uncertainty in North America currently with political changes a foot. The pressure on mining companies to deliver critical minerals sustainably is a new normal that all industry must contend with. As effective planning and construction is critical to the success of both brownfield operations and greenfield projects, there is no more time to waste. Are we prepared to lead, to rethink, to rebuild and refine; the time to act is now!
About the author
Sachin Jari
General Manager Mining North America
Process Industries, ABB Inc.
Sachin Jari is General Manager, Mining North America since 2020. He first joined ABB in 2000 as a Project Manager and held several positions of added responsibility including customer success management as well as business unit management with P&L oversight.
Prior to joining ABB, a strong foundation of influence based decision-making skills were built during seven years as a project and construction engineer in an EPCs environment. This has led to a growth focussed versatile leader with 32 years of win-winsuccess in business P&L management, sales & marketing, customer service, operations, project management & detailed engineering.
More Information
Mining’s Moment – North America Fact Sheet
Related Story
CIM 2024 Set to Dig Into Critical Minerals, Workforce and Sustainable Mining
The Canadian Institute of Mining’s annual convention and expo took place May 12-15, 2024, in the Vancouver Convention Center, Vancouver, BC, Canada. The year’s event was branded CIM Connect, and again dug into some of the hottest topics and most promising solutions for today’s mining industry’s challenges.
The conference theme that year was, “Brand Canada: Our Critical Advantage,” as it shone a spotlight on Canada’s unique role in the global minerals, metals, and energy landscape. Through three full days of immersive learning and knowledge exchange, it featured ample information and discussion around burgeoning critical minerals investments and sustainable mining practices.