by The surface mining market involves mining techniques to excavate minerals or fossil fuels lying near the ground surface. The major elements of surface mining include drilling, fracturing, transporting minerals such as coal, metals, and minerals. It provides cost-effective mining compared to underground or shaft mining techniques.
The Global Surface Mining Market Is Estimated To Be Valued At US$ 43.84 Bn In 2024 And Is Expected To Exhibit A CAGR Of 3.3% Over The Forecast Period 2024 To 2031.
Key Takeaways
Key players operating in the surface mining market are BHP, Rio Tinto, VALE, MMC Norilsk Nickel, and Glencore.
Key opportunities in the Surface Mining Market Growth include rising demand for energy and base metals from emerging economies of Asia Pacific and Latin America. Rapid urbanization and industrialization have increased for electricity generation using coal. This has boosted surface mining activities globally.
Major players are focusing on mergers and acquisitions to expand their surface mining operations globally. For instance, in 2022, Rio Tinto acquired the Rössing uranium mine in Namibia to become a major supplier of uranium. Mining companies are also investing in automation and digitization of surface mining equipment to improve productivity.
Market Drivers
The major driver for the growth of the Surface Mining Market Size and Trends
is the rising demand for coal from power generation and steel industries. According to the Energy Information Administration (EIA), coal accounts for over 37% of electricity generation worldwide. Growing consumption of electricity owing to rapid industrialization and urbanization has increased reliance on coal-fired power plants globally. This will drive surface coal mining activities in the coming years.
PEST analysis
Political: Governments policies regarding land acquisition and environment protection related acts have significant impact on surface mining activities. Stringent environment protection laws and regulationspose challenges for companies. Economic: Global economic growth drives demand for commodities and fuels expansion of surface mining projects. Focus on infrastructure development activities in emerging nationsboosts demand. Social: Local communities resistance against land acquisition and dust pollution concerns related to surface mining operations.Improving safety and community engagementprograms helps address such issues.Technological: Adoption of autonomous hauling vehicles and drilling equipment helps improve productivity and safety. Use of analytics and Internet of Things solutions enables remote operations management and optimization.
North America accounts for the largest share of the surface mining market in terms of value. Established mining industry, presence of major mining companies and focus on coal, metal and mineral extraction drives the North America market.Asia Pacific region is poised to be the fastest growing market during the forecast period on account of increasing infrastructure development projects in China and India. Rising demand for steel and cement from construction sector boosts metal and mineral mining across the region.
Latin America surface mining market is predominantly driven by iron ore and bauxite mining in Brazil and copper mining in Chile. Brazil accounts for majority share of the Latin American market. Middle East & Africa market is primarily driven by coal, copper, bauxite and iron ore mining in South Africa. Coal mining in Colombia dominates the surface mining industry in rest of Latin America.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
About Author - Vaagisha Singh
Vaagisha brings over three years of expertise as a content editor in the market research domain. Originally a creative writer, she discovered her passion for editing, combining her flair for writing with a meticulous eye for detail. Her ability to craft and refine compelling content makes her an invaluable asset in delivering polished and engaging write-ups. LinkedIn
