Industry Analysis & Industry Trends
Contract miners provide services that support mining production. Demand for industry services depends on the relative advantages that mining companies derive from outsourcing production, compared with controlling production in-house. Contract miners typically have access to a large pool of machinery and skilled employees that they leverage to win business. The strength of the Mining division is also a crucial factor in industry performance.
Over the past decade, demand for commodities has been strong. During these periods of strong demand, miners (the industry's client base) shift focus to planning new capacity. The core in-house functions undertaken by mining companies include exploration, supply chain management and marketing... purchase to read more
Industry Report - Starting a New Business Chapter
Barriers into the industry are considerable. In particular, a large amount of capital is required to establish an operation. Firms need to invest heavily in large-scale equipment. Work also tends to be won by firms offering not only a competitive price, but also with an established track record. The industry has substantial working capital requirements. Firms need to be able to fund activity until progress payments are made. In some cases (mainly mine development), firms may be required to lodge a bond with their customer. Firms also need to be globally competitive, since mining is dominated by large multinational operators accustomed to dealing with a range of service providers across the globe... purchase to read more