The potential value here is enormous –we have the example of a digital twin that went far beyond its original mandate and continues to find improvements even now. What success looks like Digital projects succeed when they start with a high-value use case, build incrementally, tie to strategy, demonstrate quick wins, show clear ROI and improve daily work rather than complicating it. Advanced Process Control solutions delivered 10-15% productivity improvements for some miners. So, insight five is: Start with value. Build the data backbone. Involve the users. Prove the use case. Then scale. Supply chain as a margin opportunity Insight six reminds us that value is not only created at the face or in the plant. Supply chain, inventory, warehousing and spend are opportunities to find margin. Unlocking margin The full study says South African mining companies are increasingly turning to local and strategic sourcing to improve cost management and efficiency. They are focused on resilient supply chains, risk diversification, procurement optimisation and planning for continuous operations. They told us about several practical use cases: automated stock-level monitoring, AI-driven demand forecasting, supplier risk dashboards, digital procurement platforms and predictive replenishment for critical consumables. The study also describes examples such as suppliers updating information through portals, underground stores integrated into stock-level systems, diversified sources of supply, longer-term supplier contracts and automated reordering of consumables. The message is: Margin is not only mined underground. It is also found in better inventory, smarter sourcing, lower waste, improved resilience and better spend visibility. AI is changing the world Insight seven asks: what does AI mean for miners? Many CEOs have engaged with narrow AI in areas like meeting minutes and theme identification, but two-thirds of interviewees had not yet engaged with AI in their businesses at all. That finding is important: the mining sector is aware of AI, but adoption remains cautious. AI is not a silver bullet Two thirds of CEOs have yet to implement AI. AI is not a silver bullet, and its value depends on the specific use cases selected. The full study captures this caution well. One CEO likened AI to a powerful Porsche, emphasising that AI holds immense potential, but the journey must be planned carefully with governance frameworks, rules and standards. The study also highlights concerns about AI’s limited understanding of complex business environments and risks associated with exposing sensitive information to AI systems. So, the balanced message is: AI is powerful, but it must be governed, focused and connected to real mining problems. Strong use cases Here we list a strong set of potential AI use cases: from illegal mining detection, underground safety improvement, predictive
Mining generates millions of data points every day across geology, equipment, safety, ventilation, energy and production.
maintenance, exploration, real-time insight, productivity optimisation, value-over-volume support, supply chain resilience, compliance automation, digital twins, logistics planning, training, worker augmentation, environmental performance and rural skills development. This is not a recommendation to do everything at once. The study’s message is more disciplined: select the right use cases, collaborate with technology partners, implement carefully, and stop projects quickly when they do not create value. So, insight seven is: AI adoption should be ambitious, but not reckless. Start narrow, prove value, govern properly and scale what works. Line management: the pragmatic voices Insight eight is where the study becomes very grounded. CEOs create vision, but line managers turn strategy into reality. The study intentionally includes line-management perspectives as a counterpoint to CEO views. The line managers made several practical points: a digital programme is not a quick win; people do not like change; and organisations often only understand the problem once they are in the middle of it. They proposed Digital Activation Teams to take people on the journey, raise awareness and improve engagement. The full study says these teams are distinct from change management and are dedicated to digital operations. This is a very useful idea because it recognises that adoption does not happen through policy alone. It happens through practical support, communication, coaching and momentum.
OCTOBER 2026 | www.modernminingmagazine.co.za MODERN MINING 39
Made with FlippingBook flipbook maker