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With commodity prices surging to all-time highs, accelerated production has become the mantra of most mining companies and costs are going up across the board.

Despite the cash companies have on hand, finding sufficient capital to fuel growth remains difficult, finds a Deloitte report.

The report reveals that the key to success in these efforts hinges on the mining companies’ ability to build the relationships they require to gain access to foreign markets, while gaining better insight into those regions.

The demand for heightened corporate social responsibility are also putting pressure on mining companies.

To meet the demands of a broad stakeholder base, mining companies will need to integrate risk-based corporate social responsibility strategies and develop and track key performance indicators with the same diligence they use to track production.

New taxes also threaten profits, as they are increasingly targeting the mining sector. The bid to increase national revenues now extends beyond the introduction of new tax legislation.

To maximise investor returns and manage political uncertainty, companies must engage more consistently in financial modeling when choosing jurisdictions and engage at a political level to help influence government policy.

Although “black swan events” are by definition rare, high impact, and hard to predict, they are finding their way onto corporate agendas, warns the report.

"Preparing for these unanticipated surprises is likely to require more of a creative license than mining companies are accustomed to exercising," says Deloitte.

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