MechChem Africa July-August 2026

‘Breaking New Ground: Shaping a Successful Future for Mining’ is a new whitepaper from Shell that explores the biggest challenges facing miners over the next 3-5 years and examines how they can overcome them. Four factors that could shape the future of mining

to address 3 . Water and soil contamination are also key issues. A quarter of miners cite societal expec- tations (25%) and regulatory influence (23%) as factors shaping their operations 3 . Miners are also facing increasing pressure to improve how they assess risks and opportunities and to become more rigorous in their reporting, in part to avoid accusations of greenwashing 4 . The opportunity miners should not overlook is how more sustainable operations can also be more profitable. Businesses with higher environmental, social and governance (ESG) ratings on the MSCI index, a leading provider of investment research and tools, showed a 10% higher-than-average shareholder return 5 . Because of its importance in driving pro- ductivity and sustainability, the digitalisation of mining is accelerating. Miners are looking to new digital tools and technologies to help them build smarter mines, automate processes, and unlock efficiency gains. Three-quarters (75%) are already investing in digital tools to drive operational efficiency, or plan to do so in the next two years 3 . While digital technology is already a key enabler for mining, it will continue to be a disrup- tor as well. Roughly a quarter (24%) of miners see the emergence of technologically advanced equipment as a significant change they must adapt to in the next 3-5 years 3 . The next challenge will be adopting the tools behind smart mining to scale. Not only could this help to reduce emissions by 20% 7 . It could also help the sector save up to $390-billion each year 8 . Digitalisation is key to improving opera- tional efficiency, which helps in meeting their commercial and sustainability goals. Addressing the shortage of new skills required across the sector Digitalisation can significantly improve mining productivity and sustainability. But it is also a challenge. Miners face an acute skills shortage – particularly in digital. The more mines bring digital tools onto their sites, the more they need people with digital and data skills. Along with the growing transi- tion to data-centric, autonomous and remote operations, this shift is changing the skills profile needed for mining 5 . One in five (20%) of the mining leaders sur - veyed expressed concern about their workforce lacking these digital skills or qualifications3. Most mines (78%) are working to train their workforces in digitalisation and sustainability practices to address the issue, but 75% remain unsure they can resolve the current labour shortage 3 . Cross-sector collaboration is essential to mining success Three-quarters of miners do not feel well- equipped to tackle rising costs, and 71% say

Shell’s ‘Breaking New Ground: Shaping a Successful Future for Mining’ whitepaper can be accessed by scanning this QR code.

M iners face an unprecedented chal- lenge. The world relies on them for the materials that power today's advanced digital busi- nesses, while supporting the drive towards a zero-emissions tomorrow. By 2050, annual copper demand will more than double 1 . And decarbonising transport alone will require a sixfold increase in global lithium production 2 . Whether it is the transi- tion to electric vehicles (EVs) or renewable energy, mining is crucial to a more sustainable, advanced, digitalised future. Additionally, miners are under pressure to deliver on their own commercial and sustain- ability goals. They must produce more while emitting less. And with this, the challenge lies in finding feasible ways to achieve this. The ‘Breaking New Ground’ white paper from Shell explores the biggest challenges facing miners over the next 3-5 years and examines how they can overcome them. Building on more than 500 interviews with mining decision- makers worldwide, it provides insights into how mines can operate more productively and sustainably – while accelerating the digitalisa- tion of operations and addressing a growing skills shortage. This Shell paper identifies four challenges that miners must overcome to meet society and industry’s needs and achieve miners’ own

ambitions.

Delivering more cost-effective site operations Cost is miners’ number-one priority over the next 3-5 years. One in three (33%) say the rising cost of consumables such as fuel and lubricants will have the biggest impact on site operations. 3 One in five (19%) identify supply disruption and production shortages (18%) as major concerns. 3 Despite this, 21% believe that addressing shareholder demand to increase profits and maintain low operating costs will remain a top priority for their business. 3 This is especially challenging as soaring inflation and talent costs are significantly increasing mining overheads, squeezing productivity, and delaying expan- sion plans. 4 There might be no easy route, but work- ing towards more cost-effective operations is a journey that all miners will need to make if they are to set themselves up for success in the future.

Reducing CO 2 emissions and environmental impact

In addition to meeting commercial targets, miners must prioritise sustainability. Pressure to reduce CO 2 emissions is the factor that will have the biggest impact, say 26% of miners. But emissions are not the only element they need

6 ¦ MechChem Africa • July-August 2026

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