History of Mining - Mining Industry

Mining Industry

Mining exists in many countries. London is known as the capital of global "mining houses" such as Rio Tinto Group, BHP Billiton, and Anglo American PLC. The US mining industry is also large but it is dominated by the coal and nonmetal minerals, and the various regulations have worked to reduce the significance of mining in the United States. In 2007 the total market cap of mining companies was reported at US$962 billion, which compares to a total global market cap of publicly traded companies of about US$50 trillion in 2007.

While exploration and mining can sometimes be conducted by individual entrepreneurs or small business, most modern-day mines are large enterprises requiring large amounts of capital to establish. Consequently, the mining sector of the industry is dominated by large, often multinational companies, most of them publicly listed. See this list of Mining Companies, or Mining Companies by Category . It can be argued that what is referred to as the 'mining industry' is actually two sectors, one specializing in exploration for new resources, the other specializing in mining those resources. The exploration sector is typically made up of individuals and small mineral resource companies ("juniors") dependent on venture capital. The mining sector is typically large and multi-national companies sustained by mineral production from their mining operations. In addition to these two sectors, various other industries such as equipment manufacture, environmental testing and metallurgy analysis also rely on and support the mining industry throughout the world. Canadian stock exchanges have a particular focus on mining companies, particularly junior exploration companies through the TSX Venture Exchange; Canadian companies raise capital on these exchanges and then invest the money in exploration globally. Some have argued that below juniors there exists a substantial sector of illegitimate companies primarily focused on manipulating stock prices.

Mining operations can be grouped into five major categories in terms of their respective resources. These are, oil and gas extraction, coal mining, metal ore mining, nonmetallic mineral mining and quarrying, and support activities for mining. Out of all these categories, oil and gas extraction remains one of the largest in terms of its global economic importance. Prospecting potential mining sites, a vital area of concern for the mining industry is now done using sophisticated new technologies such as seismic prospecting and remote-sensing satellites.