Climate-Smart Mining

Paving the Way for Minerals in the Fight Against Climate Change

Climate-smart mining is a paradigm-shifting concept that has emerged in a world increasingly devoted to combating climate change. This novel approach to mineral extraction seeks to harness the mining industry’s capacity to actively contribute to global climate action. By recognizing the critical role minerals play in renewable energy technologies and adopting sustainable practices, the mining industry could become a key ally in the fight against climate change.

Priority number one is the reduction of greenhouse gas emissions from mining operations. Adopting sustainable energy technologies, such as solar and wind power, can help reduce reliance on fossil fuels in mining operations. Implementing energy-efficient practices and investing in low-carbon technologies can further reduce the carbon footprint of the sector.

Second, in climate-smart mining, minimizing environmental footprints is crucial. This includes the implementation of strict land reclamation practices, the restoration of biodiversity in mining areas, and the prevention of air and water pollution. Recycling and reusing mine residues are examples of waste management innovations that can help reduce environmental impacts.

renewable energy technologies, energy storage systems, and electric vehicles. The demand for these minerals could have unintended environmental and social effects in the absence of a sustainable and responsible mining strategy.

Globally, the concept of climate-smart mining has acquired traction, with numerous stakeholders recognizing its potential. Governments, mining corporations, and civil society organizations are collaborating to establish sustainable frameworks and standards. Initiatives such as the Climate-smart Mining program of the International Council on Mining and Metals (ICMM) pave the way for a more sustainable future by promoting innovation and best practices throughout the industry.

DEMAND FOR CERTAIN MINERALS AND metals has skyrocketed as the world endeavors to transition to a clean energy future. The development and implementation of renewable energy technologies, energy storage systems, and electric vehicles are dependent on these vital resources. These minerals, from lithium to cobalt and beyond, are the backbone of the renewable energy revolution, enabling a sustainable and low-carbon future.

Critical Minerals: Powering the Clean Energy Revolution

Demand for certain minerals and metals has skyrocketed as the world endeavors to transition to a clean energy future. The development and implementation of renewable energy technologies, energy storage systems, and electric vehicles are dependent on these vital resources. These minerals, from lithium to cobalt and beyond, are the backbone of the renewable energy revolution, enabling a sustainable and low-carbon future.

8 Lithium, also known as “white gold,” is a key mineral propelling the transition to clean energy. It is an indispensable component of lithium-ion batteries, which power electric vehicles and store renewable energy. As the demand for electric vehicles rises and the number of renewable energy installations multiplies, lithium demand has skyrocketed. Australia, Chile, and Argentina have become significant players in the global supply chain due to their lithium reserves.

8 The production of lithium-ion batteries is dependent on cobalt, another essential mineral. It improves battery efficacy and stability. However, the mining of cobalt has been scrutinized due to ethical concerns and human rights

Deforestation, water contamination, and greenhouse gas emissions are often associated with conventional mining techniques. The mining industry is enduring a transformational shift toward sustainability and environmental stewardship as the urgency to reduce carbon emissions increases. Climate-smart mining acknowledges this change by reimagining the sourcing, extraction, and utilization of minerals. It focuses on minimizing environmental footprints, reducing greenhouse gas emissions, and fostering responsible resource management.

Lastly, responsible resource management is an essential component of climate-smart mining. This includes promoting supply chain transparency and accountability and supporting initiatives that guarantee the ethical extraction of minerals. Mining companies, governments, and local communities can establish responsible practices that protect ecosystems and respect human rights through collaborative efforts.

It is impossible to exaggerate the significance of minerals in the transition to a low-carbon economy. Minerals such as lithium, cobalt, and rare earth elements are indispensable for

Although climate-smart mining is a relatively novel concept, it has the potential to have a significant impact on climate action. The mining industry can become a crucially in the transition to a low-carbon economy if it adopts sustainable practices and prioritizes environmental and social responsibility. As global efforts to mitigate climate change intensify, it is crucial to recognize and support the role of climate-smart mining. Only through concerted action can the potential of minerals for climate action be unlocked and a sustainable future secured for future generations.

8 issues in some regions. There are efforts being undertaken to promote responsible cobalt sourcing, including efforts to improve working conditions and ensure supply chain transparency.

8 The rare earth elements (REEs) are a group of 17 minerals integral to a variety of renewable energy technologies. Particularly, neodymium, praseodymium, and dysprosium are used to manufacture potent magnets for wind turbines and electric vehicle motors. China currently dominates the global production of rare earth elements, highlighting the need for regional exploration and diversification.

8 Copper, a metal extensively employed in electrical wiring and infrastructure, is in high demand due to the expansion of renewable energy systems. Wind farms, solar power plants, and charging stations for electric vehicles rely on copper for the efficient transmission and distribution of electricity. Copper prices have risen due to the global shift toward renewable energy, highlighting the significance of sustainable mining practices to meet demand.

8 In addition to these minerals, nickel, aluminum, and graphite are also required for numerous renewable energy applications. Nickel is utilized in the production of nickel-metal hydride batteries and is in high demand for its potential use in lithium-ion batteries of the next iteration. Aluminum plays a crucial role in reducing the weight of structures, thereby increasing the energy efficacy of transportation and building projects. Graphite, a crucial component of lithium-ion batteries, is used to store and discharge energy in their anodes.

8 The escalating demand for these essential minerals has prompted global discussions regarding their sustainable sourcing and responsible mining practices. Governments, mining companies, and international organizations collaborate to resolve issues including environmental impacts, social responsibility, and supply chain transparency. To reduce environmental and social risks, efforts are undertaken to diversify mineral sources, develop recycling technologies, and promote ethical extraction practices.

To maintain the momentum of the renewable energy revolution, it is essential to ensure a responsible and sustainable supply chain for critical minerals. Collaboration between industry stakeholders, research institutions, and governments is essential for the development of innovative solutions, the reduction of reliance on limited mineral reserves, and the promotion of circular economy approaches.

As the world recognizes the urgency of combating climate change, it is impossible to exaggerate the significance of essential minerals. These resources power the renewable energy systems that will lead the world’s transition to a low-carbon economy. By investing in sustainable mining practices, supporting technological advancements, and fostering international cooperation, we can secure the essential minerals required to power the renewable energy revolution and create a more sustainable future for future generations.

∙ Mineral purchase agreements, leases and options

∙ Land assembly and mineral rights acquisition

∙ Severed mineral registration and title work

∙ Environmental permitting and compliance

May 2023 Crude Steel Production

World crude steel production for the 63 countries reporting to the World Steel Association (worldsteel) was 161.6 million tonnes (Mt) in May 2023, a 5.1% decrease compared to May 2022.

Crude steel production by region

Africa produced 1.3 Mt in May 2023, up 18.6% on May 2022. Asia and Oceania produced 119.5 Mt, down 6.0%. The EU (27) produced 11.6 Mt, down 11.2%. Europe, Other produced 3.7 Mt, down 7.7%. The Middle East produced 4.4 Mt, up 4.3%. North America produced 9.6 Mt, down 3.7%. Russia & other CIS + Ukraine produced 7.9 Mt, up 11.5%. South America produced 3.6 Mt, down 5.2%.

The 63 countries included in this table accounted for approximately 97% of total world crude steel production in 2022. Regions and countries covered by the table:Africa, Asia and Oceania, European Union (27), Europe,other, Middle East,

North America, Russia & other CIS + Ukraine, South America.

Top 10 steel-producing countries

China produced 90.1 Mt in May 2023, down 7.3% on May 2022. India produced 11.2 Mt, up 4.1%. Japan produced 7.6 Mt,

2022 Global Crude Steel Production Totals

Source – World Steel Association down 5.2%. The United States produced 6.9 Mt, down 2.3%. Russia is estimated to have produced 6.8 Mt, up 8.8%. South Korea produced 5.8 Mt, down 0.1%. Germany produced 3.2 Mt, up 0.2%. Brazil produced 2.8 Mt, down 5.5%. Türkiye produced 2.9 Mt, down 10.4%. Iran produced 3.3 Mt, up 8.8%.

The 63 countries included in this table accounted for approximately 97% of total world crude steel production in 2022. Regions and countries covered by the table:Africa: Egypt, Libya, South Africa, TunisiaAsia and Oceania: Australia, China, India, Japan, Mongolia, New Zealand, Pakistan, South Korea, Taiwan (China), Thailand, Viet Nam,European Union (27),Europe, Other: Macedonia, Norway, Serbia, Türkiye, United Kingdom,Middle East: Iran, Qatar, Saudi Arabia, United Arab Emirates,North America: Canada, Cuba, El Salvador, Guatemala, Mexico, United States,Russia & other CIS + Ukraine: Belarus, Kazakhstan, Russia, Ukraine,South America: Argentina, Brazil, Chile, Colombia, Ecuador, Paraguay, Peru, Uruguay, Venezuela e – annual figure estimated using partial data or non-worldsteel resources. * The world total production figure in this table includes estimates of other countries that only report annually.

World Steel in Figures 2023 now available

The World Steel Association (worldsteel) has published the 2023 edition of World Steel in Figures. The publication provides a comprehensive overview of steel industry activities, stretching from crude steel production to apparent steel use, from indications of global steel trade flows to iron ore production and trade.

Edwin Basson, Director General, worldsteel, said, ‘World Steel in Figures shows that most countries around the world saw a small decrease in both steel production and use in 2022; the lingering effects of COVID restrictions.

Any increase in steel production and demand going forward needs to take the Paris Agreement framework into account, as our policy paper on climate change makes clear. The steel industry needs to simultaneously improve the efficiency of the technologies that we are currently using, and swiftly create and deploy new steelmaking technologies on a large scale. Many of our members are working hard on this and I applaud their efforts.”