Top 10 trends for mining companies in 2012
Predictions and outlook for miners for the coming year
Social, economic and political trends are affecting the mining sector to an unprecedented extent, requiring mining companies to incorporate more complex scenarios in their strategic planning.
In order to help companies manage their most pressing risks, Deloitte’s global network of mining professionals has identified 10 main trends that are shaping the sector. Tracking the trends 2012, our fourth annual report takes a look at the issues and suggests solutions that mining companies could adopt in response.
The following is an overview of the 10 trends identified and described in the report:
- Costs of business: The pace of production has picked up and overall costs are up. The report sets out various cost-control strategies
- Commodity prices: Are we at a new benchmark high or in the middle of a bubble that is ready to burst?
- Profits: Government taxes are targeting the mining sector and go above and beyond the introduction of new tax laws
- Corporate social responsibility: Demand is intensifying for corporate social responsibility which can translate into smoother project roll-out
- Talent shortages: Looking at how to bridge the talent gap and find willing workers
- Capital projects: As commodity prices fluctuate and the gap between supply and demand gets wider, companies will need to adopt more innovative solutions
- Non-traditional financing: new financing sources require new levels of knowledge and cultural engagement
- Risk: Big is getting even bigger: countering unexpected risk as companies diversify
- Volatility: Planning for the unpredictable
- Legislation: countries are competing to become the most vigilant regulators in the world. Companies need to take proactive steps to implement stronger compliance processes and policies.