Coal Charged with IT
Russia’s coal sector, often viewed as one of the most traditional segments of the extractive industry, is undergoing a digital transformation. The case of Primorskugol, a leading enterprise in Primorye, shows that industrial IT solutions can turn challenges into opportunities, enhancing efficiency and opening access to international markets.
Focus on the Far East
Despite global trends moving away from coal, the industry retains strategic importance in Russia, though it is shifting to a new level—technologically advanced and more sustainable. In the Far Eastern Federal District (FEFD), coal remains a key economic driver. Primorskugol’s performance provides a compelling case of how systematically integrating high-tech solutions can strengthen the foundations of a resource-oriented region’s growth.
In this case, strong state and regional support formed the financial and infrastructural framework for private investment. The company’s main and long-term consumer remains the Primorskaya State District Power Plant, giving Primorskugol a head start for digital and technological modernization of its facilities.
Digital systems, in turn, have increased transparency, speed, and oversight across multiple processes, minimizing risks of misused funds. Looking forward, the company aims to achieve a qualitative leap by entering international coal markets, with China and other Asia-Pacific countries identified as priority customers.
Recipe for Success
Primorskugol actively introduces innovations, particularly in digitalizing workflows. All equipment is equipped with sensors, enabling optimized mining processes, equipment monitoring, and prevention of premature breakdowns. Operators now receive a wide range of real-time data, down to tire air pressure.
One of the key systems implemented is the ASD-Karier dispatching platform. It provides real-time information on equipment conditions, greatly simplifying process management. Dispatchers can monitor the location and load levels of haul trucks directly on their screens. Excavators are also included in the monitoring system, minimizing downtime and boosting overall productivity. Another system, called Oko (“Eye”), monitors driver attentiveness in haul trucks.
The innovation rollout is far from over. The company is working to ensure that every employee can check daily earnings at the end of a shift—a clear and effective motivator.
Primorskugol’s approach goes beyond automation. It includes AI-driven geological exploration and mining planning, the use of autonomous vehicles in open-pit mines, predictive analytics for equipment maintenance, and advanced safety solutions such as computer vision for monitoring compliance with safety regulations. This marks a transition to fundamentally new, “smart” coal mining.
IT as an Anti-Crisis Tool
Primorskugol’s strategy of boosting efficiency and minimizing costs with AI has proven to be an effective anti-crisis mechanism. It helps offset risks tied to global price volatility and sanctions pressure.
In the near term, efficiency in budgeting and oversight will continue to improve as full-scale digital project management platforms are deployed. The company’s ambitious international expansion plans will also require optimization of FEFD logistics capacity. Ultimately, in this region, coal has the opportunity to evolve from an extensive resource industry into a high-tech sector with greater added value—exporting not only raw material but also expertise in digital mining practices.
