TECHNOLOGY MODERNIZATION IN THE MINING SECTOR: MODELS AND EFFECTS

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Andrey Yu. Abrashitov1, Vladimir S. Zharov2

1, 2Luzin Institute for Economic Studies of the Kola Science Centre of the Russian Academy of Sciences, Apatity, Russia

1abrashit@mail.ru

2zharov_vs@mail.ru, ORCID 0000-0002-1877-9214

 

Abstract. Amidst the current shift towards sustainable development and a low-carbon economy, it is important to assess  the preparedness of mining companies for implementing large-scale technology modernization programs. The extent  of modernization and the level of the company’s involvement are the factors determining the nature of modernization transformations. Major modernization of production makes it possible to address the challenges of improving corporate social and environmental responsibility, including industrial safety issues in mining operations. When implementing technology modernization programs, it is important to focus on environmentally-oriented objectives while improving operational efficiency. The mining industry, characterized by unique technological solutions, often necessitates unconventional modernization measures, entailing substantial investments in research and development (R & D). In Arctic deposit development, a higher level of technological advancement, including digital technologies and automated control systems, is imperative. Digital solutions, automation, and robotization should be integrated into modernization programs  in the mining sector. Our research methodology is based on the summary and synthesis of theoretical and methodological approaches to assessing the effectiveness of modernization measures and developing a typology of technology modernization models. This study aims to refine conceptual approaches to the typology of organizational and economic models of technology modernization and to assess the effectiveness of modernization programs in the context of mining  in the Arctic. The article delineates the fundamental principles of technology modernization and substantiates the effects arising from modernization measures, using mining companies functioning in the Arctic economic zone as an illustrative case study. The article proposes a typology of technology modernization models based on criteria developed by the authors, among which are key technology, management effects, and key approaches to efficiency assessment. It is emphasized that advanced technology modernization models should holistically reflect both economic and socio-ecological effects.

Keywords: technology modernization, effects, efficiency, conceptual models, programs, mining industry, Arctic

For citation: Abrashitov A. Yu., Zharov V. S. Technology modernization in the mining sector: Models and effects. Sever i rynok: formirovanie ekonomicheskogo poryadka [The North and the Market: Forming the Economic Order], 2023, no. 4, pp. 71–84. doi:10.37614/2220-802X.4.2023.82.006.

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