India’s mining landscape is undergoing a transformative revolution, fueled by the power of automation, IoT, and AI.

Vinay Kumar
Director (Technical) and (Production & Personnel, Addl. Charge), NMDC

How do you view the current state of the Indian mining sector, particularly in the context of demand for key minerals?

India’s mining sector is on the cusp of a revolutionary transformation, driven by an unprecedented surge in demand for essential minerals like iron ore, coal, and bauxite. This surge is fueled by the nation’s ambitious infrastructure development and industrial growth, unlocking unprecedented opportunities for expansion.

The recent Union Budget 2024 has further electrified the sector, with a strong emphasis on self-reliance in critical minerals like lithium and rare earth elements. As the government strives to reduce import dependence and boost domestic production, the sector is primed for a significant leap forward. However, to fully harness this potential, the industry must confront and overcome challenges related to regulatory frameworks, infrastructure, and environmental clearances. Embracing innovation and responsible mining practices will be crucial in navigating this evolving landscape.

At NMDC, we’re actively tapping on opportunities in critical minerals, both within India and globally, to support the government’s critical mineral mission and propel the nation towards a mineral-secure future.

How are new technologies such as automation, IoT and AI transforming mining operations in India?

India’s mining landscape is undergoing a transformative revolution, fueled by the power of automation, IoT, and AI. These cutting-edge technologies help in reshaping the way we extract minerals, making our operations more efficient, sustainable, and safe. The integration of automation, digitalisation and AI-powered analytics enables real-time monitoring, predictive maintenance, and data-driven decision-making, thereby optimizing resource planning, allocation and reducing time for higher production with efficiency.

Automation is minimizing manual labor, reducing errors, and transforming traditional mines into smart mines with enhanced productivity. Another key to this transformation is digital advancements, streamlining operations from pit to boardroom.

By embracing innovation and technology, we have achieved a momentous milestone by producing 45 MT of iron ore in FY24 and becoming the first iron ore mining company in India to achieve that volume and targeting to reach 50 MT in this FY25. Continuing our growth trajectory, we are targeting to reach 100 MT production capacity by 2030.

We’re leading this technological evolution, with our Resource Planning Systems which integrate business processes seamlessly, optimizing production, sales, and inventory management. At NMDC, we’re shaping a sustainable future for mining and contributing to the country’s growth story.

Could you provide a brief overview of how your company has incorporated “Smart Mining” practices into your operations? What are the key technology trends you are focusing on to improve productivity, safety, and sustainability in your operation?

NMDC is pioneering a new era in mining with our ‘Smart Mining’ initiatives, revolutionizing the way we extract minerals while prioritizing productivity, safety, and environmental sustainability. By seamlessly integrating cutting-edge technologies like automation and business intelligence tools, we’re transforming our operations to achieve unprecedented efficiency and safety.

Our comprehensive smart mining approach encompasses innovative technological interventions - Drone Based Exploration, Fleet Management System, Automatic Sample Collection System, Rapid Wagon Loading System, and automated capturing of production and despatch information in real time, optimizing our operations and enhancing our capacities. SAP S4HANA is another key initiative in our digital and smart transformation that enables real-time management dashboard, which delivers immediate data of our mining operations, improves operational visibility, and enhances agility, sustainability and decision making.

Diving into our commitment to environmental stewardship, we are working towards ‘Zero-Waste Mining’ by innovatively utilizing diverse grades of iron ore. NMDC has set up a Beneficiation and Pellet Plant in Donimalai and a similar plant on a larger scale is underway in Bailadila, solidifying our leadership in responsible mining.

How is your company addressing the increasing focus on sustainability and environmental responsibility in mining operations? What initiatives have you undertaken to reduce carbon emission, minimize waste, and promote energy-efficient mining processes?

NMDC is spearheading sustainable revolution with the integration of responsible practices into every facet of our operations. We are dedicated to reducing our carbon footprint by investing in renewable energy initiatives, cutting-edge and energy-efficient solutions. We have established Sewage Treatment Plants at our major townships to treat domestic sewage and our Effluent Treatment Plants are installed at Auto Workshops and Service Centres across all our mines to treat effluents containing suspended solids, oil, and grease, reusing the treated water for horticulture.

NMDC has taken significant strides in tracking and reducing our carbon footprint. We have achieved a remarkable 24% decrease in GHG emission intensity over the past decade and boosted our renewable energy usage by 40% in FY 2023-24, harnessing an impressive 1.8 million units of solar power. Furthermore, we are actively supporting the national initiative to create carbon sinks through extensive afforestation efforts, ecological monitoring, and collaborative Green Action Plans with State Forest Departments, underscoring our commitment to environmental stewardship.

We are also dedicated to preserving biodiversity and restoring mined-out areas through reforestation and rehabilitation efforts. Moreover, our digital transformation enables us to optimize operations and reduce environmental impact. These initiatives showcase NMDC’s unwavering commitment to responsible mining practices, striking a delicate balance between industrial growth and environmental responsibility.

What are your company’s investment and expansion plans in the mining sector over the coming years?

NMDC is embarking on an ambitious growth journey with a clear vision to become a global mining leader through a multi-faceted expansion strategy. We are dedicated to broadening our mineral portfolio and extending our footprint across the globe, driving both domestic and international growth. We are actively tapping on opportunities in critical minerals with a focus on strategic minerals like lithium, cobalt, and nickel, which are critical for India’s growing renewable energy and EV sectors.

Domestically, we are developing new mining assets in Chhattisgarh - Deposit 13 and Deposit 4, through a JV NMDC-CMD Ltd (NCL) and are diversifying our portfolio by acquiring 8 MTPA coking coal block in Jharkhand, to reduce imports and boost self-reliance. To reach our goal of 100MT by 2030, we are also ramping up our capacity of the KK railway line from 28 MTPA to 40 MTPA, laying a 15 MTPA slurry pipeline, and building stockyards.  Internationally, we are exploring opportunities in Australia, Africa, Southeast Asia, and Latin America. NMDC recently commenced gold mining at Mount Celia in Western Australia. This year, we successfully produced and exported coal from NMDC’S JV partner, International Coal Venture Limited (ICVL) Benga Mine, and are pursuing further leases in Western Africa, Australia, and other regions. Our exploration endeavors in South Africa and Australia for minerals of strategic interest signal the fillip to diversification and global growth.