Will 2025 mark the “tipping point” for mine electrification in North America?

Will 2025 mark the “tipping point” for mine electrification in North America?

New findings suggest strong near-term investment interest in mine electrification among North American companies

Thumbs up from the teams at ABB and Nouveau Monde Graphite during a visit at MINExpo 2024
Thumbs up from the teams at ABB and Nouveau Monde Graphite during a visit at MINExpo 2024
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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:

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 our regional fact sheet.

North American executive perspectives from the Mining's Moment report
North American executive perspectives from the Mining's Moment report
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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.

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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.

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