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Mining companies worldwide are underperforming regarding AI adoption, leaving a productivity windfall on the table, according to consulting firm PwC’s latest report on the global industry.The report, published on Thursday, warns that a lack of investment in AI and outdated data frameworks is threatening not just the industry’s profit outlook but also the world’s ability to secure the critical mineral supplies it needs.Comparing the AI integration and AI-driven financial performances of more than 1,200 companies worldwide, PwC found that mining ranked lower than any other sector in its use of AI to boost productivity, lift revenue and cut costs.That is because scaling AI in the mining sector presents hurdles that few other industries face. The unpredictable, physical nature of mining, the sheer scale of operations and its outdated data systems are simply at odds with AI’s need for real-time, high-quality data streams.Overcoming this gap requires that companies fork over much capital to potentially risky innovation programmes.However, in a world where technology adoption will increasingly set miners apart from their peers, those who do invest stand to enjoy outsized gains, says PwC.“Mining currently ranks lowest among sectors in AI readiness,” while “the most AI-fit companies enjoy an AI-driven performance boost that’s 7.2 times higher — through a combination of increased revenues and cost reductions — than their peers.“Productivity surges when companies engineer AI to make routine, high-frequency decisions without human intervention.”Mining currently ranks lowest among sectors in AI readiness.— PwCIn a separate PwC survey earlier this year, two of every five of the nearly 4,500 CEOs interviewed said that their company’s technology performance was below expectations.Among South Africa’s mining heavyweights, many executives are already eyeing the seismic effect that AI could have on their businesses, particularly regarding safety.Precious metal heavyweight Sibanye-Stillwater reportedly uses AI in its underground camera systems to monitor whether employees in high-risk areas are wearing personal protective equipment correctly and block their access accordingly. Others, such as Harmony Gold, hope that AI tools will soon provide mine managers with constant updates about the conditions of working areas.But PwC warned that meaningful productivity gains, which keep mining in stride with other AI-adopting industries, may require a more aggressive overhaul of data and governance systems: for example, a broad overhaul of data systems, incorporating machine learning into drilling and blasting plans and tying investment in data to executives’ key performance indicators.Meanwhile, the pressure to innovate is mounting as demand for the commodities used in solar panels, electric cars and other emerging technologies steadily grows, boosting miners’ margins and putting critical minerals at the centre of dealmaking.Meanwhile, investors are flocking to precious metals as a hedge against geopolitical uncertainty. In 2025, 70% of mergers and acquisitions came from copper, lithium, silver and gold.Fortunately, efforts by governments to secure their supplies of critical minerals could offer a new source of funding for the mining industry’s technological advance.According to PwC, mining development capital was about $55bn last year, a tiny share of the $3.3-trillion invested in global energy systems, despite mining’s essential role in major global industries.“Closing this gap will require innovative financing structures, public-private partnerships and mechanisms such as offtake agreements and price guarantees.“Mining companies, governments and investors must collaborate to convert ambition into action.”
