Over the past decade the Australian mining services sector has
ridden the wave of the Millennium Mining Boom. Recent commodity
price falls, and the resultant deferral of major mining projects,
have prompted some commentators to call the end of the mining boom.
Whilst such comments are premature, the mining boom is
transitioning and this will have fundamental implications for
Australian miners and the mining services sector.
The 'volume over cost' approach adopted by Australian
miners over the past decade is no longer sustainable. As the mining
industry shifts it focus to productivity and costs, the mining
services sector must do the same.
In this publication we provide an overview of the mining
services industry and the competitive environment it operates
within. We also examine how, in a new era of cost focus, mining
services players must respond by increasing productivity through an
analysis of their key value drivers and baseline costs. For those
contractors who
