Frost & Sullivan: Australian Mining Sector's Need To Optimize Existing Assets Increases Adoption Of Condition Monitoring
SYDNEY, April 30, 2013 /PRNewswire/ -- In the Australian mining sector, reduced demand for mining products from end users such as China has led to a reduction in profit margins. To cope with the economic downturn, mining companies are looking to do more with less. They are optimizing plant performance and enhancing productivity by minimizing downtime. Lowering downtime will also help cut down operational costs. This is expected to be the key driver for the growth of the Australian condition monitoring market for the mining sector.
New analysis from Frost & Sullivan ( http://www.testandmeasurement.frost.com), Analysis of the Australian Condition Monitoring Market for the Mining Sector, estimates that the market revenues for 2012 were in the range of $40.0 to $60.0 million and expects this to reach $119.6 million in 2017.
As condition monitoring is a relatively new technology, mining companies are not fully aware of the benefits and consider it a capital-intensive product, rather than a tool that cuts operational expenditure. Market participants have to aggressively promote the advantages their product offers to make headway in the end-user sector.
"Mining companies need to be made aware that frequent machine failures and repairs can be avoided by performing predictive maintenance using condition monitoring," said Frost & Sullivan Measurement & Instrumentation Research Associate Vivek K Reghu. "The scaling up of automation in future mining operations is also likely to drive the demand for condition monitoring."However, straitened circumstances and a shortfall in adequately skilled device operators may still hold back investment in the technology in the short term. Once the mining sector rebounds, end users will be more willing to adopt the system, especially cloud-based condition monitoring systems, which have a more attractive cost versus benefit than traditional technologies.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV