Author:
Mr. Jean Marais
Group Executive Chairman, Sanodea Group | Sanodea Advisory
Rooted in Africa. Connected to the World.
Presence: Africa, Europe, Middle East, Asia, North America
Abstract
Mining operations across Africa represent both a tremendous economic opportunity and a complex operational challenge. Fuel is one of the largest controllable costs, often accounting for up to 50% of total operational expenditure, yet inefficiencies, theft, and paper-based tracking can lead to losses exceeding 15%.
Sanodea Advisory, in partnership with TMS, provides a comprehensive Digitally Integrated Fuel & Asset Management Solution (DIS) that monitors fuel from receipt to machine-level consumption, integrates fleet tracking, and leverages predictive analytics to enhance operational efficiency, cost control, and sustainability. This article examines the structural challenges in African mining fuel management and presents a transformative roadmap for digital adoption and measurable impact.
1. Introduction
Mining is a strategic pillar in many African regions, driving employment, infrastructure, and export revenues. Yet, across Southern, West, East, and Central Africa, mining companies face persistent operational constraints related to fuel and fleet management. Common issues include:
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Fuel inefficiencies and wastage due to manual tracking systems.
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Unauthorized withdrawals and theft of fuel.
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Poor integration between fuel consumption and fleet allocation.
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Inconsistent reporting and limited ESG compliance.
Recent audits across African mining regions show fuel discrepancies of 50–60%, highlighting the urgent need for digitally integrated solutions. Sanodea Advisory, leveraging its pan-African footprint and TMS technologies, provides a holistic approach to fuel and fleet management that delivers measurable operational and financial benefits.
2. The African Fuel Management Landscape
2.1. Fuel as a Strategic Cost Component
Fuel powers machinery, haul trucks, generators, and auxiliary operations. Inefficiencies directly impact profitability and operational continuity. Key observations include:
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Idle fuel burn contributes to 10–15% of total consumption without adding productive output.
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Paper-based fuel logs result in frequent inaccuracies, delayed reporting, and slow audits.
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Unmonitored fleet operations cause suboptimal equipment deployment and higher maintenance costs.
Effective fuel management is no longer optional; it is a strategic lever for operational excellence and ESG compliance.
2.2. Theft, Loss, and Operational Leakage
Fuel theft remains a significant challenge across multiple African mining regions. Without real-time monitoring, unauthorized withdrawals can account for up to 20% of monthly fuel supply, translating into substantial financial losses. Additionally, poorly monitored dispensing leads to operational downtime, reduced productivity, and higher maintenance costs.
2.3. Legacy Systems and Manual Processes
Despite the technological revolution in mining, many operations still rely on manual, paper-based fuel tracking, creating:
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High error rates (50–60% discrepancies).
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Delays in reporting and auditing.
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Difficulty in enforcing compliance or investigating irregularities.
The absence of real-time insights also limits predictive maintenance, fleet optimization, and ESG monitoring.
3. Sanodea | TMS Digitally Integrated Solution (DIS)
Sanodea Advisory, in partnership with TMS, provides a comprehensive, end-to-end digital solution for fuel and fleet management. The DIS platform integrates:
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Fuel monitoring from receipt to machine-level consumption.
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Fleet tracking via GPS and telematics.
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Predictive maintenance using AI analytics.
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Centralized dashboards for real-time oversight and decision-making.
3.1. Bulk Fuel Management (Wetstock Architecture)
The first stage of the DIS ecosystem focuses on bulk fuel management — ensuring accountability from the point of delivery. Automated delivery systems, such as actuators and flow meters, reduce human error and validate OilCo billing. Automatic tank gauging provides near real-time monitoring, alarm management, and a single point of reconciliation for all dispensed fuel.
This foundation secures the most vulnerable part of the supply chain: bulk deliveries, which are often subject to manipulation in paper-based systems.
3.2. Site Architecture for Dispensing
The second stage introduces tight control over site dispensing. At fixed sites, dispensers are linked to controllers and RFID-enabled NanoNozzles that ensure only authorized assets are refueled. For mobile operations, such as refueling haul trucks in-pit, onboard flow meters and gateway terminals provide equally robust controls.
This architecture harmonizes fixed and mobile refueling processes, reducing unauthorized withdrawals and ensuring consistency across the entire mining operation.
3.3. GSM Fuel Probe for Fleet and Equipment Monitoring
The final piece of the DIS ecosystem is granular monitoring at the machine and tank level. GSM-enabled fuel probes provide precise measurements of fuel received, dispensed, and consumed. They integrate with fleet tracking solutions to measure kilometers traveled, engine hours, and vehicle speed — enabling accurate fuel efficiency analysis.
With real-time dashboards accessible across devices, operators gain visibility into staff transport, yellow equipment, and auxiliary mining machinery, reducing theft and ensuring optimal utilization.
4. Benefits and Measurable Outcomes
The Sanodea | TMS DIS solution delivers measurable improvements, including:
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Up to 90% reduction in fuel theft through controlled dispensing and automated alerts.
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Real-time visibility for strategic allocation of fleet and fuel resources.
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Reduced idle fuel consumption and operational waste.
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Enhanced ESG reporting and regulatory compliance.
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Improved productivity and planning, ensuring reliable operations across remote mining environments.
5. Strategic Partnerships Enabling DIS
The DIS platform leverages world-class partners:
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Gilbarco Veeder-Root – Advanced fuel metering and secure dispensing.
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Teltonika – GPS and telematics for comprehensive fleet monitoring.
Together, these partnerships enable a fully integrated, end-to-end system that tracks fuel from receipt to final machine consumption in real time.
6. Key Performance Indicators (KPIs)
To measure success, the DIS solution monitors:
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Fuel consumption per ton mined (L/t).
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Idle time fuel burn (%).
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Unauthorized fuel withdrawals (litres/month).
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Fleet utilization (%) and operational efficiency.
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CO₂ emissions for ESG compliance.
7. Future Trends in African Mining Fuel Management
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Predictive and AI-driven maintenance to reduce inefficiencies.
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Hybrid and electric fleet adoption to cut diesel dependency.
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Blockchain-enabled fuel tracking for transparency and auditability.
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Integration with ESG and carbon offset initiatives.
8. Conclusion
Fuel is a strategic asset. Proper management not only reduces costs but also drives efficiency, sustainability, and compliance.
Through the Sanodea | TMS Digitally Integrated Fuel & Asset Management Solution, African mining operations can:
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Mitigate theft and losses.
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Optimize fleet allocation and productivity.
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Enhance regulatory compliance and ESG outcomes.
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Unlock efficiencies that translate into measurable cost savings.
Sanodea leads. Africa transforms.
The Process Flow From Stage 1 to 7:
References
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Gilbarco Veeder-Root. Wetstock Management Solutions. https://www.gilbarco.com
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Teltonika Telematics. Fleet Management Systems. https://teltonika-gps.com
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TMS Fuel Management Systems. Integrated Fuel & Asset Management. Sanodea Advisory (2025).
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Deloitte Africa. Mining and Fuel Cost Control in Africa. 2023 Report.
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World Bank. Fuel Efficiency and Resource Optimization in Sub-Saharan Africa. 2022.
