Examples abound, with a few of the most up-to-date and noteworthy being Horizonte Minerals’ (LON, TSX: HZM) Araguaia nickel challenge in Brazil’s Amazon area. The corporate was put into administration final month after it did not safe financing to complete constructing the $1-billion challenge. Prices had virtually doubled from the earlier estimate of $537 million.
One other working example is Teck Sources’ (TSX: TECK.A, TECK.B) (NYSE: TECK) Quebrada Blanca copper challenge in Chile. The Canadian miner spent a lot of 2023 combating off a hostile method from Glencore (LON: GLEN), final stated its Quebrada Blanca 2 challenge would price between $8.6 billion and $8.8 billion, in contrast with an unique $5.3 billion estimate.
As a part of the actions advised, the authors spotlight the necessity to undertake a scientific portfolio considering. “Main firms are starting to view their tasks as a part of an aggregated system moderately than in isolation,” the report says. By doing so, they will seize synergies and construct resilience throughout their total portfolio.
Bain and Co. additionally name firms to realign working fashions. This, the consultants say, would be certain that vital selections are made with a broader perspective, addressing the blind spots that always happen in siloed organizational constructions.
The adoption of digital options, automation, and AI instruments is proving to be a game-changer for capital tasks. Of their analysis, Bain and Co. Discovered that these applied sciences assist eradicate waste and scale back friction, delivering instant efficiencies and streamlining challenge administration processes.
Tech effectivity
By considering systematically throughout portfolios, realigning working fashions, and embracing digital expertise, mining and power firms can mitigate dangers and guarantee extra dependable challenge outcomes.
The consultants consider the way forward for challenge administration for the sector lies in built-in, technology-driven methods that improve effectivity and resilience, making certain sustainable progress and success in an more and more aggressive panorama.