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Designing a Resilient Future: Innovation & Digital Transformation in Natural Resources

Buzzing Perth roundtable picks the brains of sector leaders to help shape the resources future

Autodesk
Designing a Resilient Future: Innovation & Digital Transformation in Natural Resources

Credits: Autodesk

Miners and resources companies are required to operate more efficiently, more sustainably, and more safely than ever before, while at the same time being made to navigate complex regulatory processes and permitting hurdles.

It's easy for leaders in the space to point to governments to fix the problem, but resources executives will often in the same breath speak to the importance of government changing and the speed — or lack thereof — at which such change occurs.

However, the onus is not just on regulatory bodies. Resources companies have the ability — nay, the responsibility — to drive innovation across the sector by revolutionising their digital practices.

At an exclusive roundtable event in Perth led by Autodesk Natural Resources Lead David van Driel and Bechtel Digital Delivery Manager Bill van Butzelaar, a key point for discussion among some of Australia's most influential resources sector leaders was that digital transformation is as much about regulatory adherence as it is about lower costs, faster operations, stronger staff and greater output.

At the event, facilitated by Autodesk and AMM publisher Aspermont, mine operators, service providers, plant designers and equipment manufacturers shared their experiences and ideas around artificial intelligence, ESG compliance and workforce retention.

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Attendees at the roundtable event in Perth lead by Autodesk & Bechtel | Credits: Autodesk

The AI-generated elephant in the room

Naturally, AI was one of the immediate hot topics at the roundtable — indeed, van Driel and van Butzelaar at times struggled to get a word in as the attendees discussed their own thoughts and practices.

The consensus was that fears about AI taking over the workforce and replacing all our jobs are unfounded; rather, the technology will demand that the workforce adapt to its use.

Those who use AI well, van Butzelaar argued, will be the leaders of their respective sectors.

Because data — and the way AI can revolutionise how it is gathered and dissected — is king.

"If everything's running fine, I'm not interested in all the data streaming into these databases. I'm only interested when things start going wrong, and that data is really important," van Butzelaar said.

He said warehouses that were currently full of paper were getting replaced with virtual databases that were much easier to sift through to identify shortcomings in operations.

The challenge, then, is for resources businesses to transform their digital systems to generate the most reliable data — and have humans available who can find and rectify the problems.

Getting this right means plants and systems can be optimised even before they're commissioned; if a miner or METS business can anticipate problems at a future operation, it can design its equipment to mitigate these problems even before the implementation and optimisation process.

Bechtel is emerging as a leader in this space with its in-house AI and digital developments — particularly in the ESG space.

Solving the problem before it emerges

The roundtable acknowledged that even compared to two years ago, the current ESG space looked very different.

From an environmental perspective, the Trump administration's revived "drill, baby, drill" mantra and a declining focus on carbon emission means it can be easy for resources businesses to throw ESG to the wayside in favour of maximising profits.

However, van Driel and van Butzelaar — and much of the roundtable — warned that the ESG space was constantly evolving, and the current shift in focus would only be temporary.

"We believe in the next couple of years, the ESG and carbon focus is going to come back again," van Butzelaar said.

"It's not going to disappear."

It means businesses who stop investing in ESG now risk being caught lacking — and paying much higher costs — in the future.

In this vein, van Butzelaar said Bechtel's products were still designed to include the full scope of carbon emissions, and the drafting and planning process always included options for minimising emissions and environmental footprints.

The rationale goes beyond just preparing for the worst from a future cost perspective.

The roundtable discussed that while stronger ESG practices were typically more costly to implement, they could often lead to lower future operating costs; renewable energy- versus diesel-powered operations is a key example.

Businesses who figure out the optimal way to introduce more environmentally friendly practices will emerge as long-term winners on the global cost curve. But they need to invest now to drive lower costs in the future, when they may have no choice.

One attendee put it eloquently:

"Yes, it might cost more now, but there will eventually be a level of acceptable risk and return where shareholders finally will say, ‘This is what we have to do.' It's just a matter of time.

"If you're going to wait for 2050, then you're losing 20 years of optimisation."

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Attendees at the roundtable event in Perth lead by Autodesk & Bechtel | Credits: Autodesk

The next generation of employees

The roundtable wrapped up by discussing the ageing workforce of the resources sector, and how Bechtel and Autodesk have noticed that the digital transformation coincided with attracting younger talent to the industry.

"I see clients that have gone on a significant digital transformation journey typically have less challenges bringing young talent in and keeping the talent in-house once they're employed," van Driel said.

The challenge is this: young workers are typically hungry for innovation and the latest tech, but old workers are typically set in their ways and resistant to change.

It means for any resources business, the key to unlocking the talent of the new generation of employees is seamlessly transitioning the experienced generation to new technology.

It means the digital innovation must be simple and intuitive, and the benefits it brings must be clear.

It's not something businesses can ignore and leave to someone else, or they'll be left with a drought of new workers to keep operations running.

The resources companies must be proactive and innovative in their own digital transformation to avoid getting left in the lurch.

It's why Autodesk and Bechtel place such importance on delivering digital innovation to clients — and why so many in the sector came out to hear from the sector leaders after lunch on a Tuesday afternoon.

The digital transformation isn't optional; it's inevitable. The challenge for resources companies, then, is whether they adapt now and help drive the innovation, or whether they prioritise short-term comforts at the expense of the world evolving without them.

If you'd like to learn more about how Autodesk is helping shape the future of digital innovation in the resources sector, Click here

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