MINEX Forum

Tag: digital transformation

  • Erdenet Mining Corp Embraces Digital Transformation for Sustainable Operations

    Erdenet Mining Corp Embraces Digital Transformation for Sustainable Operations

    Erdenet Mining Corp, located on the outskirts of Mongolia’s second-largest city, Erdenet, is undertaking a significant digital transformation to enhance its operations at one of the country’s largest porphyry-copper deposits. With an annual processing capacity of 32 million tons of ore, producing 130,000 tons of copper concentrate and over 10,000 tons of molybdenum concentrate, the company is focused on optimising its operations through innovative technology. The chief operations officer, Batmunkh, emphasises the necessity for innovation within the mining sector, stating that the company has established an Innovation Center aimed at modernising its practices to match global standards.

    Historically reliant on paper-based data, Erdenet faced challenges in resource estimation and decision-making due to the cumbersome nature of managing vast amounts of information. The introduction of Seequent software in 2018 marked a turning point, enabling the exploration department to model geology using Leapfrog Geo and process geophysical data with Oasis montaj. This transition to digital has significantly improved efficiency, allowing for near real-time access to insights and models via Seequent Central, a cloud-based data management solution.

    The digitisation of historical data has streamlined operations, reducing the time required for 3D design and resource estimation from months to mere hours. This advancement has fostered collaboration among the 32 departments within Erdenet, breaking down silos and ensuring that all teams can work together effectively. Senior geologist Amarzaya notes that the quality of work has improved, with manual errors reduced and tasks completed in a fraction of the time previously required.

    As a government-run entity, Erdenet is committed to providing accurate information to stakeholders, including investors and regulatory authorities. The integration of advanced mining software has enhanced the company’s ability to deliver precise data, facilitating better decision-making processes. Looking ahead, Erdenet is not only focused on operational efficiency but is also preparing for future challenges, including mine closure and environmental remediation. The Innovation Center is exploring advanced solutions for tailings and dam modelling, ensuring that Erdenet is well-equipped for sustainable mining practices in the years to come. With a projected operational lifespan of another 60 years, the future of Erdenet Mining Corp appears promising, driven by its commitment to innovation and sustainability.

  • Kazakhstan’s Ministry of Ecology Implements AI and Digital Management System

    Kazakhstan’s Ministry of Ecology Implements AI and Digital Management System

    The Ministry of Ecology and Natural Resources of Kazakhstan is undergoing a comprehensive digital transformation aimed at streamlining the management of environmental processes. This initiative marks a significant shift from fragmented information systems to a unified digital management framework. Currently, 15 out of 29 process groups have been fully digitised, while an additional eight are partially digitised. According to the architecture of the digital government, 71% of sectoral data is now available in digital format.

    The next phase of this transformation will focus on reengineering the remaining processes, consolidating data, and integrating artificial intelligence tools. This strategic move is expected to facilitate a transition from reactive responses to environmental violations towards a proactive approach in identifying ecological risks. Furthermore, it aims to enhance the transparency of waste management, improve the efficiency of environmental monitoring, and increase the responsiveness to natural threats.

    This digital overhaul is not only a step towards modernising Kazakhstan’s ecological governance but also aligns with global trends in leveraging technology for sustainable development. By adopting advanced digital solutions, the Ministry seeks to bolster its capability in managing environmental challenges effectively and responsibly, ensuring a healthier ecosystem for future generations.

  • Kazakhstan Reviews 2025 Industrial Performance and Sets Ambitious Digital and Infrastructure Targets for 2026

    Kazakhstan Reviews 2025 Industrial Performance and Sets Ambitious Digital and Infrastructure Targets for 2026

    Kazakhstan’s Ministry of Industry and Construction has reviewed its 2025 performance and outlined strategic priorities for the coming years during a Board meeting chaired by First Deputy Prime Minister Roman Sklyar.

    Opening the session, Industry and Construction Minister Yersayin Nagaspayev said the sector had entered a new phase of development, supported by rising industrial output, record housing completions, major investment projects, and reforms in subsoil use.

    Manufacturing output grew by 6.4% in 2025, driven by gains in metallurgy, mechanical engineering, chemicals, construction materials, and rubber and plastics production. A total of 190 projects worth approximately 1.5 trillion tenge were commissioned, creating more than 22,000 permanent jobs. Three new special economic zones were established, and 13 major investment agreements were signed.

    The construction sector also delivered record results, with 20.1 million square metres of housing commissioned, exceeding the planned target. A new Construction Code was adopted to support long-term sector stability.

    In subsoil use, the updated Subsoil Code introduced legislative and institutional reforms to strengthen the country’s mineral resource base. Seventeen new deposits were registered, and detailed geological mapping at a 1:50,000 scale will cover 100,000 square kilometres this year.

    Digital transformation featured prominently in the review. The Unified Subsoil Use Platform now provides 22 online public services and has issued more than 700 licences. Approximately 4.6 million geological reports have been digitised. AI-based construction monitoring and a digital project management system for energy and utilities modernisation were also launched.

    Looking ahead to 2026–2027, the ministry plans large-scale digital reforms in construction, mandatory digital twins for industrial enterprises from 2027, expanded smart utility metering, and broader use of Big Data and AI in geological exploration. Around 200 industrial projects worth 1.7 trillion tenge are scheduled for launch in 2026, with nearly 19,400 new jobs expected.

    Concluding the meeting, Sklyar stressed the Ministry’s heightened accountability under Kazakhstan’s evolving constitutional framework and instructed officials to accelerate investment planning, expand geological exploration to 2.2 million square kilometres, strengthen rare earth and rare metal strategies, and advance nationwide digitalisation initiatives.

  • Kazakhmys Overhauls Safety Protocol Following Jomart Mine Tragedy

    Kazakhmys Overhauls Safety Protocol Following Jomart Mine Tragedy

    Kazakhstan’s mining and metallurgical giant Kazakhmys is implementing sweeping safety reforms following the February 2025 methane explosion at its Zhomart copper mine, which claimed seven lives. The tragedy exposed systemic risks in the sector, long regarded as one of the most hazardous in the country, and prompted regulators to issue 45 safety directives, over half of which have already been addressed.

    The company has since launched a comprehensive modernisation programme under its Digital Kazakhmys initiative. Key measures include real-time GPS tracking of all underground staff, predictive gas monitoring via advanced sensors integrated into the DMMS digital platform, and the installation of an in-house gas analysis laboratory. Additional safeguards—such as automatic equipment shutdowns when methane thresholds are exceeded—aim to reduce reliance on human intervention.

    Kazakhmys is also working with scientific institutes to study gas emissions in copper ore deposits, a relatively new phenomenon for the industry, with the aim of shaping updated mining regulations by 2026. The Zhomart mine has effectively become a testing ground for technologies that could transform Kazakhstan’s mining sector from one of the deadliest into a more predictable and manageable industry.

  • Kyrgyzaltyn Confident in Kumtor’s 2025 Gold Production Target

    Kyrgyzaltyn Confident in Kumtor’s 2025 Gold Production Target

    Bishkek, Kyrgyzstan – Kyrgyzaltyn OJSC, the sole shareholder of Kumtor Gold Company (KGC), has declared that Kumtor’s gold production plan for 2025 is “realistic and fully achievable.” This assertion comes from Kubat Abdraimov, Chairman of the Board of Kyrgyzaltyn, following a recent visit to the Kumtor mine.

    Abdraimov’s confidence stems from KGC’s strong production performance in 2024. Kumtor Gold Company’s 2024 revenue from gold sales reached $989.1 million, significantly exceeding the planned $739.3 million. The mine produced 12,552 kilograms of gold, surpassing its target of 12,509 kilograms.

    During his visit, Abdraimov thoroughly inspected various operations at the mine, including the progress of the underground gold mining project, the testing of recovered tires on dump trucks, the functioning of the gold processing plant, and the condition of the Central and Sary-Tor pits.

    Focus on Equipment and Efficiency

    Abdraimov paid particular attention to the heavy mining equipment repair workshop and the fueling complex. He emphasized the critical role of maintenance in Kumtor’s continuous operation. “The most modern special mining and auxiliary equipment is currently operating at the mine,” he noted. “Considering that the equipment operates in high-altitude and often in harsh weather conditions, and the mine itself does not stop for a minute, various breakdowns are inevitable. Much depends on the repairmen, whose high professionalism no one doubts.”

    He also highlighted the positive impact of the newly commissioned fueling complex, which has strengthened control over diesel fuel usage and resulted in “significant financial resources” being saved.

    Looking ahead, Abdraimov affirmed Kyrgyzaltyn’s commitment to continuous improvement and active promotion of digital transformation initiatives at the mine.

  • Uzbekistan and Austria Deepen Ties with Focus on Energy, Digitalization, and Infrastructure

    Uzbekistan and Austria Deepen Ties with Focus on Energy, Digitalization, and Infrastructure

    On 20 May, the Ministry of Economy and Finance of Uzbekistan held high-level talks with an Austrian delegation led by Andreas Reichhardt, Deputy Minister of Finance and Director General for Telecommunications, Postal Services, and the Mining Industry of Austria. The meeting underscored a mutual commitment to expanding economic cooperation and advancing practical joint initiatives.

    Representatives from both nations discussed the implementation of priority bilateral projects, focusing on enhancing energy efficiency, modernizing heating systems, and applying innovative technologies across key sectors of Uzbekistan’s economy. The sides agreed to prepare and sign a memorandum of cooperation in the energy sector.

    The Austrian delegation proposed closer collaboration in the digitalization of small and medium-sized enterprises (SMEs), aiming to support sustainable business growth. Additionally, detailed discussions were held on the modernization of tax audit and administration systems, with a goal to boost transparency, oversight, and digital governance.

    Cybersecurity, legal reforms, and institutional strengthening in the area of information security were also on the agenda, reflecting a shared interest in digital resilience. The Uzbek side expressed keen interest in leveraging Austria’s experience with energy-saving technologies and smart urban infrastructure as part of the country’s broader development strategy.

    This dialogue marks a pivotal step toward deepening economic and technological ties between Uzbekistan and Austria, aligning both countries around shared goals of innovation, efficiency, and sustainable growth.

  • Mining Industry Faces Growing Cyber Threats Amid Digital Transformation

    Mining Industry Faces Growing Cyber Threats Amid Digital Transformation

    As mining companies increasingly adopt cloud technologies, AI, and IoT, the industry faces a surge in cyber threats. Over the past decade, digital transformation has improved efficiency and safety, but it has also exposed mining operations to sophisticated cyberattacks.

    According to Jeff Pick, cybersecurity director at Freeport-McMoRan, cyber threats are now a daily reality, ranging from phishing to brute-force attacks. “The question isn’t if a cyber event will occur, it is when,” Pick told Mining Technology. The latest Annual Report 2024 from the Mining and Metals – Information Sharing and Analysis Centre (MM-ISAC) highlights that cyberattacks in the mining industry tripled from 10 in 2023 to 30 in 2024.

    Notable recent incidents include ransomware attacks on major mining firms such as Alamos Gold, Northern Minerals, Sibanye-Stillwater, and Evolution Mining. The BianLian and BlackBasta ransomware groups have increasingly targeted the industry, disrupting operations rather than simply stealing data.

    AI is both a security risk and an opportunity. Cybercriminals now leverage AI for more deceptive attacks, while companies use it for efficiency gains. “AI is making life way easier for cybercriminals,” warns MM-ISAC CEO Rob Labbé. The paradox of AI-driven innovation versus security concerns has led to delays or cancellations of nearly 40% of new mining technology projects.

    Despite rising cyber threats, many mining firms underinvest in cybersecurity, prioritizing cost-cutting over protection. Labbé emphasizes resilience as the key to mitigating attacks. “If a determined attacker targets your company, they will succeed. What matters is how prepared we are to minimize damage and recover quickly,” he says.

    As cyberattacks are expected to rise further in 2025, the mining sector must balance security and innovation to ensure continued digital transformation without compromising operations.

  • Ukrainian Steel Industry Embraces Digital Transformation for Environmental Sustainability

    Ukrainian Steel Industry Embraces Digital Transformation for Environmental Sustainability

    In a bid to enhance environmental sustainability, Yuriy Ryzhenkov, CEO of Metinvest Group, emphasizes the pivotal role of digital technologies in revolutionizing the Ukrainian steel industry. Speaking at the B7 Italy 2024 conference, Ryzhenkov highlighted the transformative potential of IT and artificial intelligence (AI) in steering traditional sectors towards greener practices.

    Ryzhenkov underscored the remarkable strides made by the Ukrainian steel sector, leveraging AI and analytics to bolster process efficiency. Notably, Azovstal surpassed competitors in 2021, courtesy of AI applications, while augmented reality expedited maintenance tasks and advanced computer vision systems elevated product quality standards. Despite the challenges posed by geopolitical tensions, internal data management systems ensured operational continuity during tumultuous times.

    Acknowledging the global momentum towards environmental initiatives like the Green Deal, Ryzhenkov emphasized the indispensable role of metallurgy in this trajectory. While the industry grapples with traditional frameworks, digitalization emerges as a catalyst for fostering sustainability, efficiency, and competitiveness. Ryzhenkov stressed the necessity of integrating digital and green transitions within heavy industries to align with evolving global paradigms.

    However, Ryzhenkov cautioned against the inherent challenges in navigating this transition, citing a shortage of IT specialists adept at facilitating transformation. The evolving landscape necessitates a paradigm shift in talent acquisition, with Metinvest now training IT professionals to spearhead green and digital initiatives, marking a significant departure from conventional recruitment strategies.

    The B7 Italy 2024 conference, hosted by Confindustria, provided a platform for dialogue among G7 nations’ businesses and governments, amplifying discussions on sustainable industrial practices. Amidst geopolitical uncertainties, Ryzhenkov reaffirmed Metinvest’s unwavering commitment to green strategies, aligning with Ukraine’s accelerated pursuit of EU integration.

  • AMMC and Navoiyuran: cooperation in the field of digital transformation

    AMMC and Navoiyuran: cooperation in the field of digital transformation

    On August 17 of this year, the Almalyk Mining and Metallurgical Plant was visited by a delegation of representatives of the state enterprise “Navoiyuran” engaged in activities in the field of digitalization.

    In the executive office of the plant, a meeting was held between the Deputy Chairman of the Board of JSC “Almalyk MMC” for digitalization Abdulla Azizov, profile specialists of the plant with representatives of the state enterprise “Navoiyuran”.

    During the meeting, the guests were provided with information about the work carried out as part of the digital transformation of the AGMK. According to A. Azizov, during the past year, the plant implemented 48 projects (23 of them planned, 25 unplanned) in this direction. These are projects related to the improvement of business process management systems, automation of the mining and transport complex and production automation. This year, more than 40 projects and other tasks are planned to be implemented. Of these, 17 have already been implemented (business process management – 5, infrastructure and cybersecurity – 4, production management – 2 and process automation – 6). For example, in order to improve the efficiency of the management system and digitalization of office work in the department of road transport, an information system for managing vehicles and logistics (Transport Management System) was introduced, through which more than 1,000 units of vehicles and equipment are monitored. Also, the submission and acceptance of applications for transport is carried out completely electronically.

    In accordance with the concept of paperless office work (Paperless work) and a unified identification system, the AMMC introduced the E-Talon information system, within which more than 36,000 employees were provided with new ID-cards. As a result, the amount of paper work has been reduced, and the reporting process now takes less than 7 times less time. More than 20 electronic templates have been created in the information system “Journals”. The system made it possible to keep 70% of paper journals in electronic form and analyze the data.

    Thanks to the information system of interactive dashboards (BI), the speed of automatic collection and processing of “online” information of production and business processes, as well as various automated systems, has increased by 80%. 6 types of paper reports were digitized, which reduced the time of their formation by 3 times.

    Also introduced: digital archive (paper consumption reduced by 25%); project management system (25% more efficient management, analysis and control); a new digital radio station at the Yoshlik I quarry (100 vehicles and 35 workers are provided with radio communications); IP telephony in the Kochbulak, Semguron and Kairagach mines (10 km of fiber optic communication lines have been laid).

    In order to automate production processes and use modern information systems, 27 modern digital strain gauges were installed at the copper processing plant. This made it possible to achieve an accuracy of measuring the weight of ore in the technological process up to 99.8%. Also, in order to automate the technological process of the seventh monosection, 405 instrumentation and 26 control cabinets were installed. Adjusted and put into operation 320 dosing pumps and 14 new tanks for reagents.

    Together with specialists from Metso-Outotec and Engineering Dobersek, the uninterrupted operation of the control system, instrumentation of the Vanyukov furnace and the sulfuric acid shop of the copper smelter was ensured.

    As part of the introduction of automatic control of mills (SAU-3M) in the Khandiza mining department, instrumentation cabinets were completely updated, which made it possible for the operator to control deviations from the technological regulations and monitor the state of the technological equipment.

    During the visit, the guests also visited the Kalmakyr mining department, a copper processing plant, where they could personally observe the operation of all information technology systems introduced as part of digitalization.

    Thus, the representatives of the delegation were familiarized in detail with the ERP, SCADA, LIMS, SAP systems, as well as programs for monitoring and analyzing production processes and data.

    – “Today we managed to witness the active work carried out at the AMMC in the field of information technology. Currently, our company pays great attention to the processes of digitalization of production. During the visit, we managed to learn a lot of new and useful things for ourselves. We also decided to purchase software systems from AGMK for their further implementation at home. Another important point that we drew attention to is that the processes of digitalization at the AGMK are proceeding quite quickly. And it pays off at a relatively low cost. We plan to further strengthen our cooperation with the plant,” Khasan Khaydarov, Deputy General Director for Transformation of Navoiyuran Group of Companies, shared his impressions of the visit.

    It should be noted that the purpose of this visit is to ensure the implementation of the Decree of the President of the Republic of Uzbekistan dated July 14, 2022 No. PP-319 “On measures to increase the volume of production, processing of uranium and the transformation of the State Enterprise Navoiyuran in 2022-2030”.

  • Explained: The EU’s handicap in the global race for critical raw materials

    Explained: The EU’s handicap in the global race for critical raw materials

    The EU is highly dependent on third countries for the raw materials needed to engineer its energy transition and digital transformation.

    Russia’s war in Ukraine and the need to wean itself off fossil fuels in order to reach climate targets have prompted the EU to accelerate its green transition in recent months but also forced it to acknowledge its dependencies over access to critical raw materials.

    In the global race for raw materials, the EU faces multiple challenges.

    The first one is China, which recently started restricting exports of gallium and germanium, two metals essential for the production of semiconductors, in response to Western curbs on Beijing’s access to micro-processing technology.

    The EU considers both materials of high strategic importance. As well as semiconductors and other electronic devices, they are used for military applications such as missile defence and radar systems.

    Beijing’s restrictions come as a stark warning as the EU attempts to diversify and boost domestic supply of raw materials to reduce dependency on third countries.

    Reliance on ‘low-governance’ countries

    But diversifying supply chains could mean the EU has to source these materials from countries that don’t adhere to the same standards.

    Recent data suggests the EU’s supply is highly dependent on countries that have a low governance level, based on indicators including political stability, rule of law and corruption control.

    The EU’s Critical Raw Materials Act (CRMA), adopted in March this year, stipulates that EU strategic projects to scale up supply must be assessed taking into account all aspects of sustainability, including environmental protection, socially responsible practices and respect for human rights such as the rights of women.

    But many countries feeding EU supply are not aligned with European values. This raises concerns about the impact on the local communities where materials are mined, as well as the potential exploitation of natural resources.

    For example, the Democratic Republic of Congo, whose governance indicators are among the lowest in the world, supplies 63% of the EU’s cobalt, which is essential for manufacturing batteries for electrical vehicles.

    Diversifying supply a challenge

    The EU is also highly dependent on single countries for key materials such as Magnesium (China, 97%), Lithium (Chile, 97%), Iridium (South Africa, 93%) and Niobium (Brazil, 92%). These dependencies make supply chains vulnerable.

    The Critical Raw Materials Act aims to ensure no third country provides more than 65% of the Union’s annual consumption of any raw material.

    But diversifying supply is complex when refineries of many essential materials are monopolised by one or more global powers. China dominates the refining market for many critical raw materials.

    Russia’s invasion of Ukraine and the ensuing energy crisis has shown the acute dangers of over-reliance for supplies of raw materials. China’s increasingly antagonistic stance and the political instability in many African countries have also served as reminders of the fragility of the EU’s trading relationships.

    A spiralling global demand

    The demand for raw materials is growing steeply, as developed countries race to digitalise and decarbonise their economies. This can only happen with sufficient supply of raw materials, meaning countries must scale up extracting, refining and recycling operations.

    The global demand for lithium, for example, is set to increase a staggering 89-fold by 2050, according to the European Commission. Demand for gallium will multiply 17-fold during the same time.

    The Critical Raw Materials Act sets targets for the Union to extract 10%, process 40% and recycle 15% of its annual consumption of raw materials by 2030.

    To meet these targets and compete on the global stage, European Commission President Ursula von der Leyen has said the EU needs to speed up investments in research and development, recognising that the bloc’s global share of R&D expenditure has fallen 10% in the last 20 years.