Eric Smith Managing Director
CEMENTATION AMERICAS
"Our role has been pivotal in upgrading infrastructure, facilitating client development, and aligning them for low-carbon production in the future."
What is driving demand for Cementation Americas' services, particularly in the Western US market?
Demand for our services has been driven by the challenges faced by mining groups in initiating new projects, especially for juniors, more so in the US than in Canada. Major operating companies, however, have been funding projects and making improvements to infrastructure. In the Western US, the government's permitting process, marked by prolonged approval timelines with various agencies' involvement has been a driver of these limitations. Despite these hurdles, there is significant potential in the US, especially for precious metals and critical minerals. The US government's support is crucial, considering the nation’s substantial mineral consumption and commitment to reducing greenhouse gas pollution and promoting clean energy technologies. Clients in the region are predominantly focused on upgrading existing operations, decarbonization, and enhancing productivity and efficiency. Our role has been pivotal in upgrading infrastructure, facilitating client development, and aligning them for low-carbon production in the future.
How would you compare Ontario and the Western US as mining destinations?
In both the Western US and Canada we deal with abundant resources and robust environmental regulations that prioritize land protection, stewardship and sustainability. While there have been challenges in the past, modern ecological regulations are extremely effective. On the whole, Canadians show greater awareness and support for mining, whereas in the US there is often a lack of understanding when it comes to modern mining amongst the general public. Permitting in Canada seems to have a more measured approach, whereas in the US changes with each administration can impact years of progress. Despite challenges in both jurisdictions, Canadians typically display more support for mining, balancing economic benefits with stringent environmental expectations.
Have you struggled to find skilled labor?
In the US, while we have been successful in attracting skilled labor, the pool is inherently smaller than in Canada. We are anticipating a significant labor shortage due to retirements and less people entering the industry. To address this, we are exploring technological solutions, shifting towards mechanized equipment, and partnering with local stakeholders for enhanced and condensed training programs. In Canada we are collaborating with Indigenous partners to deliver regionally customized mining training programs, and in the US we are exploring partnerships with community colleges for new hire training to ensure a sustainable skilled workforce for the future.
How has the increasing trend of automation and digitalization impacted Cementation Americas as a contractor?
We have embraced digital innovations to enhance our operations. A couple of years ago we shifted from manual data collection to a computerized approach, eliminating the need for manual data entry. As a contractor, safety is a top concern, so our digital adoption journey focuses on improving safety and overall performance.
Of note, we have partnered with a software provider to implement short-interval control at our sites. Employees now use handheld devices to input real-time data, allowing supervisors to make immediate and informed decisions during shifts. This granular, constantly updated information not only facilitates continuous improvement, but also provides the ability to practice even more proactive safety measures and aggregates crucial records for assessing project costs and productivity. While we have not implemented this system everywhere due to network constraints, especially in areas without LTE or underground wireless networks, we are making remarkable strides as data continually becomes a valuable commodity for service providers like ourselves. The information on how work is done, costs, and resource requirements are essential for adding value to existing projects and bidding on future ones, enabling us to stay competitive and constantly refine our approach.
What are your priorities for the coming years?
In the Western US we are currently engaging with a major mining company in Nevada, marking an exciting opportunity for long-term collaboration. It can be difficult to secure large, new clients initially, but we aim to leverage our successful track record for repeat business. In Ontario, we are concluding a groundbreaking shaft project in northern Ontario, overcoming technical hurdles in constructing the deepest shaft in the Sudbury Basin. Looking ahead, we are enthusiastic about maintaining our skilled shaft team's momentum. Additionally, we are focused on innovative approaches, like mechanized equipment for ground support installation in the Canadian Shield, and plan to extend such practices to other project sites. Our goal is to not only meet but exceed expectations, fostering growth and success beyond 2024.