Innovative Management Models and Strategies for Silica Sand Mining Based on Circular Economy Principles A Case Study of Virut Silica Sand Company Limited

Abstract

This study aims to (1) examine the operational context of Virut Silica Sand Company Limited within the silica sand mining industry under a circular economy and sustainable development framework, (2) analyze factors contributing to management challenges, and (3) develop innovative circular economy based management models, using the company as a case study. A qualitative case study approach was employed. Fifty-four key informants were purposively selected across four groups: company executives and personnel, mining and circular economy experts, local stakeholders, and supply chain operators. Data were collected through structured in-depth interviews, focus group discussions, and field observations, then analyzed using descriptive content analysis and systematic synthesis.

The findings reveal three principal outcomes. First, the company has successfully transitioned from a linear to a circular production model, achieving a 25% reduction in virgin resource use and a 40–50% decrease in waste generation, alongside expanded rehabilitation areas. Second, four key management challenges were identified: mineral resource limitations, environmental impacts, conflicts with local communities, and increasingly stringent regulatory compliance, particularly under the Mineral Act B.E. 2560 (2017). Third, the study proposes the CIRCULA-MINE Management Framework, comprising six approaches across three strategic dimensions: (1) Resource and Process Management closed-loop resource management and energy and carbon reduction; (2) Value Creation and Innovation integrated land use and proactive rehabilitation, product value-added innovation, and circular supply chains and collaborative networks; and (3) Relationship Management and Social Sustainability stakeholder management. The framework demonstrates that applying circular economy principles to extractive industries requires integrating technical efficiency, business innovation, and social acceptance extending beyond conventional frameworks that address only environmental and economic dimensions by incorporating ecosystem restoration and the Social License to Operate. Effective implementation further depends on supportive public policies, economic incentive mechanisms, and genuine community participation.