Digbee Limited founder and CEO Jamie Strauss, discussed the finance markets in the mining industry and the importance of sustainability for financing large projects in a recent interview with Proactive London.
Strauss highlighted a significant decrease in specialised capital in the industry, from approximately $445 billion in 2010 to around $12 to $14 billion currently. This reduction coincides with the critical minerals megatrend and geopolitical rebalancing of the supply chain. Governments have responded by creating six funds aimed at investment in the sector, with more expected. This could potentially increase the available capital to $28 billion, with an additional $14 billion from the Saudi fund.
Strauss emphasised the mining industry's need to change its perception and build greater trust through sustainability. This is key to accessing the new pools of capital. The introduction of funds with a focus on sustainability indicates a shift towards responsible mining practices.
Strauss critiqued the current state of ESG reporting in the industry, suggesting it has pushed capital away. Digbee advocates for incorporating sustainability from the early exploration stages to establish a strong foundation for future operations.
The company was chosen by BHP Xplor to provide sustainability and ESG disclosure services to new juniors and was appointed the ESG assurance provider for Eden Natural Resources, a sustainability-focused fund launching soon.
