The energy transition: More challenges than opportunities for mining?

Climate change brings opportunities for mining, although “not enough has been invested in innovation and digitization,” according to Paul Mitchell, EY global mining and metals leader.카지노사이트

It is time to design new strategies and advance environmental, social and corporate criteria, Mitchell told an event organized by EY and Chilean copper studies center Cesco in Santiago on Tuesday.

The pandemic, the war in Ukraine and inflation are some factors that have made the global economic framework more complex and have impacted mining, according to the expert, citing:

Inflation has limited investments in exploration and new mining projects.
Higher volume targets “at any cost” have led to lower productivity in the mining value chain.
The risk-return profiles of miners have led them to expand into new countries or regions, which are potentially riskier.
The increase in resource nationalism by some governments that seek higher income from the industry, through taxes or royalties, implies greater control over foreign participation.
The greater cash flow that mining companies have has allowed them to diversify into new products, as well as consolidate new markets.
These approaches require new strategies with a holistic approach, where technologies and digitization serve as a connecting base, according to Mitchell.바카라사이트

The demand for minerals that arises from the global energy transformation implies “more investment, more projects and more deposits” but through responsible mining focused on ESG, said René Aguilar, VP of corporate affairs and sustainability at Antofagasta Minerals.

In Chile, the copper miner has four operations: Los Pelambres, Antucoya, Centinela and Zaldívar. “In each one we have established specific goals for the reduction of greenhouse gases and this year they’re all running on renewable energy,” said Aguilar.

He said the company has worked on reducing scope 2 gases, but scope 1 remains a challenge. “45% of our emissions are scope 1. Of these, 70% come from trucks that use diesel,” added Aguilar.

To achieve the reduction, Antofagasta Minerals has carried out pilots at Centinela with the aim of incorporating hydrogen-based engines. The miner has also promoted electromobility and is about to implement an electric trolley system for CAEX trucks at Los Pelambres, its biggest mine.

On the reduction of scope 3 gases, the company established mutual commitments with suppliers and has incorporated the practice of defining an internal carbon price, in order not only to deliver technical requirements to customers, but also a definition of emissions, the Antofagasta executive said.

Reaching carbon and water consumption neutrality will involve more costs. “Green taxes continue to increase. In Chile today it costs US$5 a ton, while in Europe it is already reaching US$100,” he said.

With these challenges, recycling and public-private collaboration are key to meeting zero emissions commitments by 2050, said José Miguel Benavente, VP of Chilean development agency Corfo.

Talk of green mining, a decarbonized supply chain and a mining industry that is on the way to electrification has become commonplace.

And the energy transition is not a new phenomenon. Since the beginning of humanity, better energy options have been constantly sought, said Trinidad Castro, director of the World Energy Council.온라인카지노

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