Modern Mining November 2021

mining post COVID-19

mining companies have gained more control over the years. Decarbonisation in mining, which is grow- ing in importance within the industry, impacts what, where and how we mine. “Interesting about this issue,” says Cawood, “is that it fell outside the control of mining houses a few years ago. However, it has come under companies’ control through lobbying and partnerships, among others, and companies have started to change their investment portfolios to reduce their carbon footprints. The world of work (WoW) remains beyond com- panies’ control as it can be impacted by a number of factors including the announcement by government of another hard lockdown to combat COVID-19 at any moment. These issues require innovation to con- vince government that the mining industry is capable of working responsibly and safely in terms of curbing the spread of the virus. Trend analysis The issues that fall within companies’ control are divided into three groups: investment and business; technological innovation, and ESG & climate change. In terms of investment and business, companies are faced by growing economic, technological and repu- tational pressures. The cost of mining is also rising, especially for companies with longer supply chains. Added to these is the fact that mining becomes more difficult and complicated as we mine deeper. Investment portfolios made volatile by the

and the procurement of local services to reduce the supply chain post-COVID-19.” He says governments around the world are gaining control over all sectors of the economy – not only mining operations. This has wide-ranging implications for mining in terms of increased taxes, allowable deductions for income tax purposes, resource nationalism and other issues where gov- ernments would prefer greater authority. “This can be seen in the Uni ted Nat ions Conference on Trade and Development (UNCTAD) statistics. There was an increase of around 30% in mining agreements where the state had a bigger say and more control over the agreements in 2021.” Youth disillusionment, too, has increased over the past year since the COVID-19 outbreak as young people feel dissatisfied and are losing patience because they have no entry into the world of work. Cawood also points to a miss-match between the growth in population and that of job opportunities in Africa, creating a problem for the future in terms of employing the youth. Issue analysis He says analysis of these issues is done to ascertain where innovation is required. Innovation required at the moment relates to structural changes in the economy. These changes fall either within or with- out the control of mining companies. Climate change and environmental, social, & governance (ESG) management are examples of changes over which

The Wits DigiMine lifesize mining stope panel.

November 2021  MODERN MINING  31