Effect of digitalization on performance of the mining industry

The article discusses evaluation of efficiency of digital technologies in the mining industry. The industry and its individual entities lack systematic evaluation of actual effects. It is necessary to investigate the multi-factor efficiency of resources and contribution of individual factors, including investment in information technologies. The long-term trends of change in the multi-factor efficiency is analyzed in terms of the Australian and Russian mineral resources sector of economy. It is found that the present-day long-term trend shows a decrease in the multi-factor efficiency. The efficiency reduction of the production capital and labor force is mostly governed by the uncertainty and degradation of the natural capital in the course of time, by the appreciation of geological exploration at its decreased effectiveness, by the aggravation of market environment and cycling of mineral prices. The information technologies have contributed greatly to balancing the adverse impact of the natural capital degradation over certain time spans owing to cost saving in mineral mining and processing. Nevertheless, the decreasing trend of the multi-factor efficiency yet remains. It is stated that the highest contribution to the increased efficiency of resource exploitation should be expected in case of a united system of production management within the framework of integration of mathematical models and methods of optimization, big data analysis, digital twin technologies, communication technologies and monitoring systems. The expectation-driven potential of such system should enable a next-level management of resource efficiency through the control of the uncertainty and variability of mineral mining parameters and thanks to monitoring of reproduction of mineral resources.

Keywords: multi-factor efficiency, labor efficiency, capital efficiency, natural capital quality, investment in information technologies, digital transformation, digital technologies, digital innovation efficiency.
For citation:

Matsko N. A., Kharitonova M. Yu. Effect of digitalization on performance of the mining industry. MIAB. Mining Inf. Anal. Bull. 2025;(10):153-166. [In Russ]. DOI: 10. 25018/0236_1493_2025_10_0_153.

Acknowledgements:

The study was carried out under state contracts with ISA RAS and ICCT SB RAS, Projects Nos. FFNG-2024-0002 and FWES-2021-0014, respectively.

Issue number: 10
Year: 2025
Page number: 153-166
ISBN: 0236-1493
UDK: 622, 658.5
DOI: 10.25018/0236_1493_2025_10_0_153
Article receipt date: 24.03.2025
Date of review receipt: 30.04.2025
Date of the editorial board′s decision on the article′s publishing: 10.09.2025
About authors:

N.A. Matsko, Dr. Sci. (Eng.), Senior Researcher, Federal Research Center «Computer Science and Control» of the Russian Academy of Sciences (FRC CSC RAS), 119333, Moscow, Russia, e-mail: matsko@inbox.ru, ORCID ID: 0000-0001-8690-5369,
M.Yu. Kharitonova, Cand. Sci. (Eng.), Senior Researcher, Institute of Chemistry and Chemical Technology of the Siberian Branch of the Russian Academy of Sciences — a Separate Unit of the Federal Research Center «Krasnoyarsk Science Center of the Siberian Branch of the Russian Academy of Sciences», 660036, Krasnoyarsk, Russia, e-mail: margaret.ok@yandex.ru, ORCID ID: 0000-0001-6768-6754.

 

For contacts:

N.A. Matsko, e-mail: matsko@inbox.ru.

Bibliography:

1. Oh K., Kho H., Choi Y., Lee S. Determinants for successful digital transformation. Sustainability. 2022, vol. 14, article 1215. DOI: 10.3390/su14031215.

2. Jin Zhang Huang, Zhijiang Li, Biao Chen, Xiang Xu, Zhao Lin Liu, Wei Dai, Min Zhao, Chen Long Duan, Lian Dong. Operational control of the elemental composition of coal ash based on machine learning and X-ray fluorescence. Journal of Mining Institute. 2022, vol. 256, pp. 663—676. [In Russ]. DOI: 10.31897/PMI.2022.89.

3. Lukichev S. V., Nagovitsyn O. V. Digital transformation of the mining industry: past, present, and future. Gornyi Zhurnal. 2020, no. 9, pp. 12—18. [In Russ]. DOI: 10.17580/gzh.2020.09.01.

4. Soto Setzke D., Riasanow T., Böhm M., Krcmar H. Pathways to digital service innovation: The role of digital transformation strategies in established organizations. Information Systems Frontiers. 2023, vol. 25, pp. 1017—1037. DOI: 10.1007/s10796-021-10112-0.

5. Young A., Rogers P. A. Review of digital transformation in mining. Mining, Metallurgy & Exploration. 2019, vol. 36, pp. 683—699. DOI: 10.1007/s42461-019-00103-w.

6. Bryn M. Ya., Mustafin M. G., Bashirova D. R., Vasiliev B. Y. Studies of the accuracy of constructing digital relief models of man-made massifs based on satellite coordinate definitions. Journal of Mining Institute. 2025, vol. 271, pp. 95—107. [In Russ].

7. Saadoun A., Fredj M., Bukar R., Haji R. Fragmentation analysis using digital image processing and an empirical model (KuzRam): A comparative study. Journal of Mining Institute. 2022, vol. 257, pp. 822—832. [In Russ]. DOI: 10.31897/PMI.2022.84.

8. Klebanov A. F. Automation and robotization of open-pit mining operations: experience of digital transformation. Russian Mining Industry Journal. 2020, no. 1, pp. 8—11. [In Russ].

9. Kalenov O. E. Digitalization of the mining industry. Vestnik of the Plekhanov Russian University of Economics. 2021, vol. 18, no. 5 (119), pp. 184—192. [In Russ]. DOI: 10.21686/2413-2829-2021-5-184-192.

10. Lööw J., Abrahamsson L., Johansson J. Mining 4.0 — the impact of new technology from a work place perspective. Mining, Metallurgy & Exploration. 2019, vol. 36, pp. 701—707.

11. Rylnikov A. G., Pytalev I. A. Digital transformation of the mining industry: technical solutions and technological challenges. News of the Tula state university. Sciences of Earth. 2020, no. 1, pp. 470—481. [In Russ].

12. Jang H., Topal E. Transformation of the Australian mining industry and future prospects. Mining Technology: Transactions of the Institutions of Mining and Metallurgy. 2020, vol. 129, no. 3, pp. 1—15. DOI: 10.1080/25726668.2020.1786298.

13. Balashov A. M. Prospects for the use of digital solutions and capabilities of «Industry 4.0» in production processes of mining enterprises. Theoretical Economics. 2024, no. 2, pp. 46—53. [In Russ].

14. Matsko N. A., Kharitonova M. Yu. Digitalization of the mining industry and the state of the mineral resource base. Bulletin of the far Eastern federal university. Economics and management. 2022, vol. 103(3), pp. 37—47. [In Russ]. DOI: 10.24866/2311-2271/202 2-3/37-47.

15. Zabolotina E. S. The current state and development of technologies in the mining industry. Vestnik nauki. 2024, no. 12(81), vol. 4, pp. 2187—2193. [In Russ].

16. Topp V., Bloch H., Parha D. Productivity in the mining industry: Measurement and interpretation. Productivity commission staff, Australia, 2008, 150 p.

17. Humphreys D. Mining productivity and the fourth industrial revolution. Mineral Economics. 2020, vol. 33, pp. 115—125. DOI: 10.1007/s13563-019-00172-9.

18. Daly A., Humphreys D., Raffo J., Valacchi G. Global challenges for innovation in the mining industries. Cambridge University Press, 2022, pp. 1—24. DOI: 10.1017/9781108904209.

19. De Solminihac H., Gonzales L. E., Cerda R. Copper mining productivity: lessons from Chile. Journal of Policy Modeling. 2018, vol. 40, pp. 182—193. DOI: 10.1016/j.jpolmod.2017.09.001.

20. Atakhanova Z., Azhibay S. Assessing economic sustainability of mining in Kazakhstan. Mineral Economics. 2023, vol. 36, pp. 719—731. DOI: 10.1007/s13563-023-00387-x.

21. Mikhnenko P. A. Modeling of labor productivity indices in manufacturing industries and mining. Vestnik Ural'skogo federal'nogo universiteta. Seriya ekonomika i upravlenie. 2019, vol. 18(4), pp. 505—521. [In Russ]. DOI: 10.15826/vestnik.2019.18.4.025.

22. Khanh V. H. Accounting for natural capital in mining MFP: Comparing user costs for nonrenewable resources. 35th IARIW General Conference. Copenhagen, Denmark, 2018, 32 p.

23. Sánchez F., Hartlieb P. Innovation in the mining industry: Technological trends and a case study of the challenges of disruptive innovation. Mining, Metallurgy & Exploration. 2020, vol. 37, pp. 1385— 1399. DOI: 10.1007/s42461-020-00262-1.

Подписка на рассылку

Подпишитесь на рассылку, чтобы получать важную информацию для авторов и рецензентов.