Close-up of a mineral-rich rock – a striking example of the raw materials vital to the mining and metals industry.
Energy Transition

Mining's next chapter: driving innovation, resource stewardship and global progress

Deep dive

The mining and metals industry, often seen as one of the most traditional industries, is undergoing a multidimensional transformation to meet the demands of a growing global economy. Image: Getty Images

Tatiana Aguilar
Manager, Mining and Metals Industry, World Economic Forum
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  • The mining and metals industry is transforming to meet the rising demand for essential materials in electric vehicles, agriculture, construction and power infrastructure while addressing climate and geopolitical challenges.
  • Innovations in biomining, automation and circular practices are reshaping mining operations, improving environmental impact and operational efficiency, and emphasizing resource stewardship.
  • Collaborative efforts across sectors, alongside supportive policies and investments, are crucial in redefining the mining industry's role from extraction to a responsible, essential resource provider in the global economy. The industry must take the lead to seize this opportunity.

How are agriculture, the future of mobility and the rise of artificial intelligence (AI) connected? Unsurprisingly, the answer is through the materials that make them possible. Demand for minerals like steel, copper, phosphates and aluminium is surging, driven by their use in vehicles, advanced agriculture, construction, power technologies and other critical industries. The mining and metals industry, often seen as one of the most traditional industries, is undergoing a multidimensional transformation to meet the demands of a growing global economy, while addressing urgent challenges such as climate change and geopolitical disruptions.

The industry’s reaction to rising demand presents a chance for mining and metals to play central roles in sustainable innovation, resource management and global advancement. This article explores interconnected dimensions shaping the mining and metals industry's transformation journey towards an unknown but exciting future.

The technological innovations reshaping mining’s future

The mining and metals industry hasn’t traditionally been recognized as innovative. The industry’s technological innovation has been marginal, process-oriented, usually motivated by cost reduction, and, more recently, aimed at enhanced environmental performance – though not radically transformative. However, recent examples show that this might be changing. According to the World Intellectual Property Organization (WIPO), the number of mining-related patents presented from 2006 to 2018 increased by 41% compared to the period of 1970 to 2005, emphasizing an increasing interest in innovation in the industry.1

This growing interest is also reflected in the rise of open innovation initiatives, which use external knowledge and technologies to accelerate the development of new ideas in the industry. Companies are also making organizational changes to integrate innovation into their regular operations – the World Economic Forum, for example, introduced an open innovation challenge for mining in 2024. With over 100 solutions emerging from various start-ups and universities, all contributing new knowledge to transform industry operations, it’s clear that many exciting initiatives are under way.

Furthermore, there has been a notable rise in more radical innovations that could disrupt and structurally change the industry, driven by progress in information technology and AI.2

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Automation and machine learning (ML) are pushing the industry beyond traditional expectations. Recent innovations in the industry are automated mining operations, ranging from autonomous trucks and drone surveys to AI for predictive maintenance and optimization of resource extraction.3 These solutions have enhanced safety and efficiency in operations. Should these technologies continue to advance at the same pace we're seeing in other fields, we could witness a wholly transformed mining and metals industry and the related activities along the value chain.

The expanding use of biomining (the process of using microorganisms to extract metals from ores or mine waste),4 nature-based solutions, automatization and ML are advancing the industry beyond what was traditionally imagined. Although biomining was introduced over 60 years ago, and more than 20% of the world's copper production is currently extracted using microbes or bioleaching.5 These technologies are now evolving faster and could have a greater impact on what we know about mining, especially unlocking value for those low-grade deposits that were not economically viable decades ago.

For context, leaching extracts valuable metals from ore by dissolving them in a liquid solvent (usually chemical solutions), breaking down metal compounds while carrying the dissolved metals. This shift away from traditional approaches will involve replacing chemical solutions (often containing cyanide or sulfuric acid) with living organisms. In general, the latter pose fewer environmental risks, reducing energy consumption while recovering a higher quantity and variety of minerals – including metals not previously targeted for extraction. Samples of new technologies being explored include using plants' capacity to concentrate minerals and extracting minerals from a variety of sources.

The numerous alternative solutions currently in development highlight the industry’s ongoing transformation and the potential disruptions that could impact efficiency, profitability and compliance with regulations. However, innovation is a journey, and some challenges remain:

  • Many solutions still need to be developed into commercially viable processes – more importantly, they need to be implemented on a broad scale to make a real impact.
  • Looking ahead, the mining and metals industry should shift its focus from isolated technological advancements to integrated, solutions-based approaches. By promoting collaboration, the industry can drive deeper, systemic transformations to address broader sustainability challenges.
  • Finally, the industry and its ecosystem must keep pushing for creative solutions. Building greater trust among stakeholders – including academia, the private and public sectors, and the financial industry – will be key to success.

Although the industry is on the right track, more momentum is needed – and there's plenty of curiosity about what might unfold in the near future!

From extraction to long-term resource stewardship

Mining and metals companies are embracing new responsibilities beyond extraction and refining, which are conventionally at the industry's core. For example, the industry has expanded its traditional capacities, moving towards recycling and incorporating nature-positive principles. This could redefine the industry’s role along the entire value chain – not just as providers, but as stewards of the resources that fuel sustainable technologies and enable industries worldwide. It would also reinforce the idea that metals and minerals can continually contribute to the global economy.

Mining companies are now embracing recycling processes, facilitating the reintroduction of metals into the supply chain and enhancing opportunities for secondary use. With knowledge of metals that can be recycled almost infinitely, the industry is not only well-positioned to lead but has a competitive advantage. Some companies have already entered the business – examples include the development of new recycling capabilities and partnerships with key stakeholders to enhance the recycling process and create closed-loop solutions.

Source: Adapted from International Energy Agency (IEA)

Arcelor Mittal and Nucor are among the companies with experience in steel recycling. Companies like Rio Tinto are establishing closed-loop recycling systems and installing in-house capacity to recycle post-consumer aluminium scrap. At the same time, Vale SA is starting to deliver production via circular processes in their operations in Brazil and Vale Base Metals is starting to offer "Circular Solutions" to customers downstream. Glencore and SQM are moving towards battery recycling, and other companies like Anglo American, Norsk Hydro, UMICORE, Jhonson Matthey and Aurubis are also leading the way in the recycling of metals. Recent regulations, like the Critical Raw Materials Act, are incentivizing companies to embrace circularity. This act sets a target for the EU’s recycling capacity to cover at least 15% of the annual consumption of each strategic raw material by 2030.6 Strong steps towards the comprehensive incorporation of circularity principles for metals are increasingly important in a world where electronic waste (which contains various valuable metals) is the fastest-growing waste category.7

Additionally, mining and metals companies are increasingly introducing land and water restoration, renewable energy, and ecosystem health strategies, and adopting principles that prioritize nature. The World Economic Forum is developing guidance to help mining companies deliver positive biodiversity outcomes. This guidance showcases examples of practices and solutions that businesses can adopt within mining operations across landscapes, the value chain and systems. Furthermore, understanding the economic value of environmental assets and ecosystem services – such as freshwater, carbon sequestration and flood protection – and incorporating this into business decision-making could strengthen the business case for action on nature.

The industry should ensure the responsible management of minerals and metals throughout their entire life cycle. Moving forward, the industry must take clear steps to position itself as a resource steward:

  • Investing in end-of-life material recovery technologies and working with manufacturers and recyclers could help mining firms ensure that metals are continually reprocessed. This would reduce the demand for new extractions and lower environmental impacts.
  • The circular economy requires more than just recycling, and there is still significant room for improvement in incorporating circularity principles in mining operations to reduce waste. Beyond recycling, designing for circularity is an area with significant untapped potential. More importantly, a change in mindset along the value chain will be needed to advance circularity practices and advance at a faster pace. There is a business case, and the mining industry should take the first step.
  • Decarbonizing the value chain and meeting emissions reduction targets through cleaner energy technologies and energy efficiency will be crucial.
  • Resource stewardship requires inclusive development and a more comprehensive approach. Larger companies, in collaboration with governments and stakeholders, can help address the unique challenges of artisanal and small-scale mining (ASM), promoting a more inclusive and sustainable mining ecosystem.
Source: Adapted from International Energy Agency (IEA)

The progress in these approaches must come from a business case that will yield results in higher market share, environmental, social and governance (ESG) recognition and revenues. Some innovations mentioned in the previous section will also help the industry move in this direction. As more miners engage in initiatives beyond primary extraction, the industry as we know it might be transformed, from focusing on extraction to playing a leading role across the entire materials value chain.

Mining's next chapter

Source: World Economic Forum

Charting a sustainable path forward for mining and metals

To drive the meaningful transformation towards technological disruption and resource stewardship, the mining and metals industry must harness a range of key enablers – from forward-thinking policies and robust regulatory frameworks to collaborative partnerships, innovative business models and strategic capital allocation. This transformation unfolds within a global context marked by geopolitical shifts, regulatory pressures, community expectations and environmental challenges, making adaptability and resilience essential.

Collaborative partnerships, innovative business models

Implementing technological innovations, increasing recovery of metals and a full transformation won’t be achieved by escalating individual efforts. Collaboration is shaping how innovation penetrates the industry. More joint efforts to scale new technologies are increasing project-level benefits and enabling the industry to better address both economic and environmental challenges on a global scale. Increasing collaboration between mining companies and technology providers has escalated to develop solutions for targeted problems. For instance, BHP and Rio Tinto have partnered to expedite the first trial of Komatsu and Caterpillar's battery-electric haul truck technology in 2024.

Amid potential mineral shortages and supply chain disorders, joint ventures or vertical integration have also proven effective for managing risk on large-scale projects. Collaborations along the value chain have also increased. Offtake agreements have underscored the importance of mineral provenance to downstream industries. Integrated approaches across the supply chain can streamline processes and enable more precise demand planning.

Automotive companies such as Mercedes-Benz, BMW and Volkswagen, for instance, are securing long-term supplies of battery minerals and other essential materials and sending demand signals for cleaner products. Meanwhile, agricultural partnerships are customizing mineral solutions to support sustainable farming practices. Tech companies, too, are prioritizing secure access to both minerals and power sources crucial to their operational resilience.

Forward-thinking policies and robust regulatory frameworks

Policies and regulations play a key role in shaping and enabling the industry's transformation. Governments are increasingly adopting a more active and forward-looking role in the minerals market. Many have enacted new policies aimed at enhancing regulations, improving access to resources, and bolstering infrastructure and development, all of which significantly influence industry operations. Leading policies like the Inflation Reduction Act (IRA), the Critical Raw Materials Act (CRMA) and the CHIPS and Science Act have enhanced minerals supply security – many strategies worldwide reflect a heightened awareness of critical minerals’ strategic importance for countries and governments.8 Between 2020 and 2022 alone, more than 100 new policies were passed, reflecting the growing recognition that policy intervention is necessary to meet the demands of the energy transition, both sustainably and responsibly.9

However, more policy support will be needed to decarbonize the industry. Collaboration between companies and governments could also be encouraged to develop projects. Engaging with governments and policy-makers underscores the mining and metals industry’s commitment to gaining wider support and adopting a more collaborative approach to its role. Through these partnerships, the industry might help shape policies for sustainable development, ethical sourcing and emissions reduction, creating lasting benefits that reinforce its role as a vital force for positive societal impact.

Top 10 risks and opportunities for mining and metals companies in 2025 vs 2024

Source: Mitchell, P. (2024). Top 10 risks and opportunities for mining and metals companies. EY.

Strategic capital allocation and finance

Evolving stakeholder expectations, resource scarcity and climate concerns are driving the shift towards sustainable finance – and the mining and metals industry is no exception. Financing strategies for mining projects are undergoing a transformation to support projects that deliver positive impacts, long-term sustainability and financial returns. As a capital-intensive industry, mining requires substantial additional investment to meet these evolving demands. To satisfy the rising global demand, annual investments ranging from $300-400 billion will be needed until 2030.10 It’s no surprise, therefore, that capital is the most prominent risk reported by seniors in the industry, reflecting increased scrutiny from investors and challenges of accessing sustainable finance.11

To address these challenges and drive sustainable growth in the sector, innovative financing models that integrate diverse funding sources and actively involve multiple stakeholders will be crucial. While the traditional financial ecosystem will keep playing a role, given the local impact of mining, more local and regional financiers will be critical in bringing capital into the industry. For instance, multilateral development banks and governments are becoming key to derisking investments through guarantees and support for value chain activities, making mining projects more attractive to investors. Finally, international investors will be key to providing liquidity and flexibility, ensuring the mining industry has access to scalable and adaptable funding sources.

Looking forward

The "go-together" approach needs to gain more momentum across the industry, cultivating the resilience, accountability and productivity needed to meet evolving expectations. As we look towards a world that increasingly demands both sustainability and technological advancement, the mining industry is poised to transform far beyond traditional extraction and processing. Evolving from simply a source of raw materials, the mining and metals industry must become a secure, responsible provider of critical resources, collaborating across sectors to address urgent global challenges in climate, energy, agriculture and infrastructure, among other areas. By advancing environmental and social responsibility, the industry can create a productive and responsible future, positively influencing socioeconomic systems around the world.

This vision redefines the industry as more than a step in the supply chain; it becomes a foundational pillar of global progress. Mining has the power to uplift communities, create jobs and encourage partnerships in underserved regions, setting standards for resource management and environmental stewardship. As the world moves towards low-carbon energy, smarter cities and sustainable food systems, mining can lead by example, championing a collaborative, resilient and sustainable future where industry progress aligns with the needs of society and the planet alike.

Note: This article aims to provide a comprehensive overview of the transformative trends in the mining industry, particularly focusing on technological advancements, some sustainability initiatives and their connections to global systems. However, it does not specifically address the unique challenges and circumstances of artisanal and small-scale mining (ASM). While some of the trends discussed may also impact ASM, it is essential to recognize that a differentiated approach is needed to address the distinct social, economic and environmental contexts of these operations. We encourage further exploration and dialogue around ASM to fully understand its role and importance in the broader mining landscape.

Endnotes

1. Fernandez, V. (2021). Patenting trends in the mining industry. Resources Policy, vol. 72. https://www.sciencedirect.com/science/article/abs/pii/S0301420721001057.

2. Ibid.

3. Abbasi, I. (2024). Major Mining Technology Innovations in 2023. AZoMining. https:/ https://www.azomining.com/Article.aspx?ArticleID=1800/www.azomining.com/Article.aspx?ArticleID=1800.

5. Dresher, W. H. (2004). Producing Copper’s Nature’s Way: Bioleaching. Copper Development Association Inc. https://www.copper.org/publications/newsletters/innovations/2004/05/producing_copper_natures_way_bioleaching.html.

6. European Commission. (2023). Critical Raw Materials: ensuring secure and sustainable supply chains for EU’s green and digital future. https://ec.europa.eu/commission/presscorner/detail/en/ip_23_1661.

7. United Nations Institute for Training and Research (UNITAR). (2024). Global E-Waste Monitor 2024. https://globalewaste.org/.

8. For more information on policies, explore the Critical Minerals Policy Tracker covering over 35 countries and 450 policies; International Energy Agency (IEA). (n.d.). Critical Minerals Policy Tracker. https://www.iea.org/data-and-statistics/data-tools/critical-minerals-policy-tracker.

9. International Energy Agency (IEA). (2022). Introducing the Critical Minerals Policy Tracker. https://www.iea.org/reports/introducing-the-critical-minerals-policy-tracker.

10. World Economic Forum. (2024). Securing Minerals for the Energy Transition: Unlocking the Value Chain through Policy, Investment and Innovation. https://www.weforum.org/publications/securing-minerals-for-the-energy-transition-unlocking-the-value-chain-through-policy-investment-and-innovation/.

11. Mitchell, P. (2024). Top 10 risks and opportunities for mining and metals companies. EY. https://www.ey.com/en_gl/insights/energy-resources/risks-opportunities.