Mining capital projects has been saved
Mining capital projects
Are you ready for the next CapEx investment cycle?
Over the past decade, the mining sector has witnessed significant ups and downs. With the fall of commodity prices, the focus shifted to OpEX efficiencies and delivering returns, rather than investing in major greenfield developments. Mining CapEx has declined heavily since the US$80bn+ peaks of 2012. With improved commodity prices, how can mining companies focus on delivering capital projects effectively while still achieving sustainable growth?
A recent market study indicates that CapEx is increasing—at some point a new CapEx boom could take over and plug a supply shortfall. As mining companies prepare for the next uptick in the CapEx cycle, the sector needs to rebuild trust with stakeholders in its ability to deliver value in the longer term.
This paper asks whether mining companies have learnt the lessons from the last cycle and outlines five levers for mining companies to improve both project success and scalability throughout the next upcycle, and beyond.