Ontario - A Progressive Tech Center
From pickaxes to pixels, how innovation is reshaping the future of mining
Across North America, there is a malaise threatening the mining industry: Its public perception. For Ontario, the long-term impacts could be nothing short of life-threatening. The present situation paints a dire picture: Visiting the classrooms of Ontario high schools, Marla Tremblay, executive director at MineConnect, found that for students mining means “putting on overalls and working in a dirty environment for long hours.”
Mining companies are looking to advances in technology for the solution to this problem. Ontario is home to over 1,400 mining supply and service companies, many of which are technology focused. Surveying the technology landscape during 2022, Canada’s national statistical agency found that 30.9% of mining businesses adopt advanced technologies, the highest adoption rate of any industry in Canada. These technologies are advancing rapidly: “If you look at technology from the last 50 years, we are not 50 years ahead of the linear curve, we are thousands of years ahead,” said Kevin Dagenais, CEO of Cascadia Scientific.
In 2021, Canada’s Centre for Excellence in Mining Innovation (CEMI) launched a C$112.4 million initiative, dubbed the Mining Innovation Commercialization Accelerator (MICA) Network, to accelerate the development and commercialization of innovative mining technologies. Supporting the project, the Government of Canada’s Strategic Innovation Fund invested C$40 million, and BHP, Vale, Glencore and Teck are all members. MICA has invested over C$28 million in mining innovation technologies across Canada in the two years since its founding. Having secured an additional C$30 million for the MICA in 2023, CEMI’s president and CEO, Doug Morrison shared how the MICA’s contributions to Ontario’s mining technology start-ups extend beyond just financial support: “The strategic strength of the network lies in its ability to combine the solutions provided by [its] solution providers, offering tailored answers to specific challenges. This adaptability is essential given the varied locations and climates of mining operations globally.”
Technology and innovation can address diverse challenges that face Ontario’s mining sector. “Deposits are getting deeper, meaning higher processing costs due to harder and lower-grade ore, while global demand is at an all-time high, creating tension that puts pressure on the assets that perform the mining work,” said Ash Agarwal, president and CEO of Symboticware, that developed 4-Sight-ai, the industry's first vertically integrated IoT and AI platform allowing companies to monitor asset health and reduce fuel use and carbon emissions.
Underground electrification
In light of the green energy transition, the electrification of diesel-powered mining equipment and trucks provides the greatest avenue for innovation. Agnico Eagle’s Macassa mine in Kirkland Lake was the first to introduce battery electric vehicles into operations and commissioned the world’s first 50 t battery electric truck in 2020. Newmont’s Borden mine in Chapleau was the first all-electric underground mine in Canada. “We have noticed an uptick in mining companies asking us to assess the tradeoffs between BEVs, diesel vehicles, or mixed fleets,” said Morné Beukes, managing director at BBE Canada.
Despite these efforts, the electrification of mining equipment is not widespread. Currently, only 0.5% of mining equipment is fully electric, according to McKinsey & Company. Agarwal explained: “By 2030, not much will happen from an electric fleet conversion perspective. For example, large, publicly traded mining companies will only see a 5% impact on their electrification projects by 2030.”
For Ontario’s underground miners, it is not just carbon emissions reductions that are driving electrification, but also health and safety. In 2023, Ontario regulators updated the laws around diesel exposure limits in underground workplaces by reducing the maximum allowable level of exposure to diesel particulate matter (DPM). For Accutron Instruments, a Sudbury headquartered manufacturer that pioneered ultrasonic airflow monitoring, this change in the law could represent an opportunity: “This move brings Ontario in alignment with other jurisdictions that have similar or even more stringent requirements. We recognize that such regulatory changes will necessitate enhanced ventilation systems to ensure compliance. The demand for our products and services, particularly those addressing real-time monitoring of DPM levels, is expected to rise as mine operators strive to meet and exceed these new standards,” said Chad Methe, general manager, Accutron Instruments.
Regardless of the new exposure limits, Ontario’s mines will likely have to reconsider their ventilation requirements as their mines extend ever deeper, and climate change continues to make Canada’s already large annual temperature swings even wider. “In response to the Canadian mining industry’s shift towards deeper mining operations with many reaching 3 km or more, we established our Canadian office in 2016 and saw substantial growth. Deeper reserves and varying climatic conditions in Canada are now making refrigeration indispensable for these mine operations,” said Stephen Hardcastle, technical director, BBE Canada.
Of course, eliminating diesel engines and electrifying underground fleets is an alternative, albeit potentially more expensive way, of adhering to the new regulations. However, EVs are not a silver bullet. Despite providing opportunities to reduce mine ventilation demands and providing environmental benefits, EV failure in an underground mine could be catastrophic from a health and safety perspective. EVs on the surface have shown that they pose significant health risks if they catch fire, which could be even more pronounced in the confined space of an underground mine. “The risk-to-reward ratio for underground battery use is uncertain,” said Jaha Sohail, COO, Maestro Digital Mine.
Cascadia Scientific CEO Kevin Dagenais developed: “No available technology will replace diesel-powered haulage equipment in the near term. For large and ultra-class haul trucks, we are probably a decade away from a fully deployable electric solution. Our tools offer a lens for companies to evaluate alternatives for immediate incremental decarbonization.”
Cascadia Scientific’s tool, SmartRView, resulted in average fuel savings of 15%, equivalent to 2,738 t CO2e at New Gold’s Rainy River operation.
It will likely take a few more years to see how, or if, the new exposure limits will influence mine operators when deciding on the type of vehicles they want to deploy in their underground mines. “In terms of the recent legislation in Ontario, I would not view the electrification of mining equipment as a complete solution to the challenges of mine ventilation. It is a relatively new development, and its deployment is ongoing. The full extent of the implications, especially regarding large-scale batteries underground, is not yet fully understood,” said Jacob Lachapelle, CEO-in-training at Maestro Digital Mine
The switch from diesel-powered to electric requires a reliable and robust electrical infrastructure, especially in remote mining operations where the existing electrical grid may not support the increased electricity demand. This will likely be the case in Newmont’s fly-in, fly-out Musselwhite mine, for example. The Pickering Nuclear Generating Station, responsible for 14% of electricity generation in Ontario in 2022, is set to shut down in 2025 or 2026, adding to the challenge of meeting demand. Luckily, a solution is on the horizon: “Moving to renewable sources of electricity is becoming increasingly feasible, even in off-grid environments, as the cost of battery packs is projected to decline 50% from 2017 to 2030,” according to McKinsey & Company.
“Historically, technology providers disappointed the industry because they did not offer solutions. Vendors transferred the burden of integration onto mining companies, resulting in failed projects.”
Ash Agarwal, President and CEO, Symboticware
Ontario is due to see the opening of a few new precious metal mines in 2024, and likely many more critical mineral mines in the coming years. In such cases, there is an opportunity for mine operators to electrify from day zero, rather than going through the often difficult and expensive process of replacing or retrofitting existing diesel machinery. “We have significant greenfield projects in the pipeline, incorporating battery equipment. These projects, when initiated, contribute substantially to the adoption of electrification,” shared Charlie Ekberg, general manager, Epiroc Canada.
This trend extends beyond electrification and into automation: “Greenfield projects embrace our technology, especially for reliability, incorporating it from the start. Brownfield transitions pose more significant roadblocks as there are challenges to integrating new technology into existing processes,” said Greg Houston, president and CEO of Lakeside Process Controls, a provider of process automation solutions to the local mining sector.
For existing diesel vehicles, new technology can be integrated to partly automate some processes without having to spend millions refreshing an entire fleet with the latest vehicles on the market, as Jannatec Technologies’ sales manager Marc Brunet explained: “Proximity Detection is an attainable solution that can be effective and seamlessly implemented. However, some are bypassing it, focusing instead on collision avoidance systems, which can be financially and operationally unattainable for many smaller companies.”
As EV technology advances at breakneck speed, Ontario’s miners will have to think carefully about their adoption strategies and how they navigate the ever-growing list of electrification solutions available. “The ongoing evolution of battery chemistry adds another layer of complexity to the decision-making process. The rapid pace of change in this domain makes it challenging for end-users to predict the trajectory of BEV technology accurately. Simultaneously, many traditional mining entities find themselves in a position where they lack the capacity to conduct in-depth evaluations,” said Jean-Guy Coulombe, vice president - North America, Normet Canada.
Article header image courtesy of Epiroc