The global mining industry is expected to accelerate investment into the Internet of Things (IoT), cloud computing and cybersecurity over the next three years, says global mobile satellite communications provider Inmarsat mining director Nicholas Prevost.

According to new research from the company, mining organisations across the world are already achieving a healthy return – and benefits, such as improved health and safety and staff productivity – on their investments into IoT technologies and solutions.

The latest edition of ‘The Rise of IoT in Mining’ from Inmarsat’s research programme into IoT trends found that cost savings of an average of 5.1% are currently being achieved and this is expected to increase by 18.9% in five years’ time.

As a result, the sector is expected to accelerate and increase the IoT spending portion of their Information technology budgets over the next three years to bolster its commitment to safety and sustainability and become more resilient in the face of the ongoing challenges and restrictions associated with Covid-19.

“This level of planned spend on IoT marks it out as a critical next-generation technology as mining companies continue to navigate the Covid-19 pandemic, giving them the tools to become more resilient, more flexible and quicker to adapt and react to change,” says Prevost.

Over the past three years, cloud computing, cybersecurity and IoT have seen the highest percentage of budgetary investment at 5.7%, 4.2% and 3.9% respectively.

The percentage of investment into these three technologies are expected to grow to 9.8%, 8.4% and 7.6% respectively.

The IoT deployments are continuing to make a positive impact on mining companies’ bottom line, he says.

“Currently, cost savings amounting to an average of 5.1% are being reported. Hopes of a future impact on cost savings are more pronounced, rising steadily from 7.7% in 12 months, 13.8% in three years and a significant 18.9% in five years’ time,” Prevost notes.

This compares favourably with the outcomes of the 2018 ‘The Rise of IoT in Mining’ edition, when mining organisations reported average current cost savings of 1.76%, with expectations that this would rise to 16.02% by 2023.

“Mining companies are starting to place more faith in IoT technologies, and with increased adoption they are starting to see an increase in cost savings, among other tangible benefits,” he says, noting that this also illustrates the immediate return on investment (RoI) that IoT has brought to the sector over the past few years.

Over the next five years, the RoI is expected to grow further, and companies investing in IoT will lead the pack.

“However, accessing the benefits of IoT is dependent on a number of factors that contribute to successful deployments: the right skills and leadership, a commitment to cybersecurity, the right use of data and, perhaps most importantly, the right connectivity,” Prevost points out.

“IoT relies on a number of interconnected connectivity technologies to work optimally,” he concludes.