What Are Some Common Challenges That Mining Companies Face?

common-challenges-mining-companies-face Credit: Monty Rakusen/Cultura/Getty Images

As of 2015, some challenges that mining companies face are innovation, decreasing the cost of power projects, and finding new skill sets and new talent. Another challenge for mining companies is keeping junior companies afloat.

Innovation is a challenge for mining companies because small improvements aren't good enough to deal with rising labor issues, higher costs and lower ore grades. Decreasing the cost of power projects is a challenge because energy supply shortages in the industry are becoming more prominent. There is demand for skills that are in short supply, and the younger generation is being pushed away from the industry, having to compete for jobs. Some junior mining companies are in survival mode, waiving current expenditures and launching new dividends.