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The Energy Blind Spot in Mining Operations – and What It’s Costing You

by Kyle Archad
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Energy remains one of the largest and most poorly managed operating costs in mining. Yet most sites still treat it as a monthly accounting figure rather than a real-time operational variable. Electricity and fuel can easily account for 20-40% of total site costs depending on the commodity, mining method, and power source. The problem isn’t lack of data — it’s lack of actionable visibility at the right time.

This is the central thesis of Yokogawa’s new eBook, Beyond Compliance: Lower Operating Costs Through Energy Efficiency. The book makes a compelling case that energy efficiency is not a sustainability side project — it is one of the most powerful levers available for reducing cost per tonne while building a credible decarbonisation pathway.

Where the Blind Spot Actually Hurts

The eBook highlights a critical insight: energy waste in mining is rarely caused by one big obvious failure. It is the cumulative effect of hundreds of small deviations that go unnoticed because energy data is fragmented across different systems and teams.

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  • Comminution (crushing and grinding) is typically the largest electrical consumer. The book stresses that even modest improvements in throughput stability and specific energy consumption (kWh/t) create massive financial impact due to the scale of material processed. A key insight: variability in ore hardness and feed size often drives far more energy waste than people realise — and this variability is invisible without energy intensity metrics linked to real-time production data.
  • Pumping and dewatering, especially underground, is frequently the second-largest opportunity. As the eBook explains, pumps rarely fail dramatically. Instead, they gradually move away from their best efficiency point (BEP) as wear occurs, pipelines scale, or operating conditions change. Power consumption rises long before reliability issues appear. The book calls this “hidden pump degradation” — one of the most common and expensive blind spots in mining.
  • Ventilation underground often represents another major untapped lever. Demand rarely matches actual need. Fans frequently run at high speed during low-activity periods because control logic is based on fixed schedules rather than real occupancy, gas levels, and activity states.

The Core Insight from the Book

The most valuable contribution of Beyond Compliance is its reframing of energy from a reporting metricto a leading operational indicator.

The authors argue that the moment you can see energy intensity (kWh/t) by circuit, by operating mode, and by shift, everything changes. You stop guessing and start diagnosing. You can now connect abnormal energy use directly to root causes — suboptimal setpoints, worn equipment, poor ore blending, or incorrect operating modes.

This visibility enables a completely different type of decision-making:

  • Maintenance can be prioritised based on actual energy waste, not just calendar time or vibration alarms.
  • Operators can receive real-time feedback on the energy cost of their decisions.
  • Production and energy teams begin working toward the same goals instead of competing priorities.

The European Reality

For European operations, this capability is becoming business-critical. High energy prices, rising carbon costs (direct and indirect), and increasing pressure from customers and regulators mean that “good enough” energy management is no longer viable. At the same time, the shift toward electrification, hybrid power systems, and renewable integration adds new layers of complexity. The eBook notes that sites attempting major decarbonisation without first mastering energy efficiency are essentially “building an energy-efficient future on top of an energy-inefficient present” — an expensive mistake.

A Practical, Low-Disruption Path Forward

The eBook presents a staged framework that avoids the “big bang” approach:

  1. Visibility First — Establish energy intensity metrics by process area and operating mode.
  2. Anomaly Detection — Identify and quantify avoidable energy losses in real time.
  3. Control & Optimisation — Implement tighter day-to-day control of the biggest loads.
  4. Sustained Improvement — Embed energy performance into daily operating rhythms and management systems.

Most importantly, this approach delivers measurable reductions in cost per tonne before major capital decisions on electrification or renewable projects are made. The data foundation built during energy optimisation becomes invaluable when justifying and tracking decarbonisation investments.

Final Thought

The mining industry has spent decades optimising for tonnes. The next competitive edge will belong to those who optimise for tonnes per unit of energy — intelligently and consistently.

Beyond Compliance: Lower Operating Costs Through Energy Efficiency provides a clear, practical roadmap for turning energy from a monthly headache into a daily lever for profitability and sustainability.Download the eBook [here] to explore the full framework and see how leading 

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