The Rise of Internet of things (IOT) in mining report says despite the sector having been historically slow to adopt radical ideas and new technologies, “it is clear that new approaches are required to transform mining operations because the pressure on margins continues [as does] the need to extract raw materials more efficiently”.
As a result, it says, the mining sector has been cautiously investing in the development and deployment of IOT-based projects, with early benefits and return on investment being realised in some quarters.
The global report by mobile satellite communications firm Inmarsat explores the levels of IOT maturity among 130 organisations operating across the world.
It says the sector outlook for industry-wide adoption is bright as mining organisations are reporting successful deployments of IOT and the positive impact it has on their bottom line.
However, it cautions that “if the sector is to get the most out of its growing investment in IOT, there are significant challenges to overcome – connectivity is often unreliable, cybersecurity approaches are patchy”.
It adds there are too few employees with digital skills and data is not being collected and managed in a way that would best empower organisations.
The report found that only 15% of mining organisations consistently have access to reliable connectivity for their IOT-enabled projects.
Some 45% of respondents struggled to access connectivity across mine sites, which the report says hinders their ability to gather data.
Furthermore, the report says although the mining sector has increased its adoption of IOT in recent years, with 65% of respondents fully deploying a project, “33% have still only trialled or are currently trialling a project and 2% not having trialled or deployed, it is apparent that connectivity is impeding miners’ abilities to harness the benefits of IOT”.
Of the 130 respondents that have fully deployed IOT-enabled projects across their mine sites, 78% reported they were able to access connectivity, with 24% of them being able to access reliable connectivity.
By contrast, the report says, out of the 70 respondents yet to fully deploy an IOT-based solution, only 11% were able to access connectivity, and this 11% was only able to access unreliable connectivity.