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Keeping an on-premise Active Directory (AD) domain rather than moving entirely to Microsoft Entra ID (formerly Azure AD) can still be justified for a mining company in several scenarios, especially when considering operational, security, and legacy infrastructure needs. Here’s a breakdown of why you’d retain an on-premise domain:

πŸ”§ 1. Legacy Applications and Systems πŸ› οΈ 2. Industrial Control Systems (ICS) and OT Environment Integration 🧰 3. Group Policy and Local Machine Management πŸ” 4. Kerberos Authentication and Advanced Access Controls 🚧 5. Site Reliability and Offline Operation 🧾 6. Compliance, Audit, or Sovereignty Requirements πŸ›€οΈ 7. Hybrid Model…


πŸ”§ 1. Legacy Applications and Systems

  • Many mining environments still use legacy ERP, SCADA, or other operational systems that depend on traditional AD for authentication and cannot integrate directly with Entra ID.
  • Examples include:
    • Old Windows services or servers using NTLM/Kerberos
    • On-premise SQL Servers tied to domain accounts
    • Equipment management software that doesn’t support modern auth

πŸ› οΈ 2. Industrial Control Systems (ICS) and OT Environment Integration

  • Operational Technology (OT) in mining sites may not be internet-facing and often relies on air-gapped or isolated domains.
  • Integrating Entra ID directly into these environments is risky or impractical due to:
    • Limited or no cloud access from OT networks
    • Strict regulatory requirements
    • Need for real-time, local authentication with low-latency

🧰 3. Group Policy and Local Machine Management

  • Group Policy Objects (GPOs) are still only available via on-prem AD, not Entra ID.
  • This is crucial for:
    • Controlling security settings
    • Device configuration for domain-joined Windows machines
    • Managing shared resources (e.g., file servers, print services)

πŸ” 4. Kerberos Authentication and Advanced Access Controls

  • Some mining systems require Kerberos authentication, which Entra ID does not support in the same way as AD.
  • On-premise AD allows for:
    • Delegated authentication
    • Fine-grained service account permissions
    • Trust relationships between domains (for joint ventures, etc.)

🚧 5. Site Reliability and Offline Operation

  • Remote mining sites can suffer from limited or unreliable internet connectivity.
  • On-prem AD ensures:
    • Continued user and service authentication during outages
    • Access to local resources even if the cloud is unreachable
    • Independence from cloud-based identity during network failure

🧾 6. Compliance, Audit, or Sovereignty Requirements

  • Some mining companies are subject to Australian data sovereignty, ISO, or other compliance requirements that mandate local identity controls.
  • On-prem AD supports:
    • Centralized audit logging
    • Custom security models aligned with internal policies
    • Easier integration with local SIEM and compliance tools

πŸ›€οΈ 7. Hybrid Model is Often the Best Fit

  • Most mining companies today operate in a hybrid identity model:
    • On-prem AD + Entra ID via Entra Connect (Azure AD Connect)
    • Use Entra ID for M365, SaaS apps, and mobile workers
    • Retain AD for core infrastructure, OT, and reliability

Summary Table

ReasonOn-Prem ADEntra ID
Legacy apps supportβœ…βŒ
GPO supportβœ…βŒ
OT/ICS integrationβœ…βŒ
Offline operationsβœ…βŒ
Kerberos authenticationβœ…βŒ
Modern cloud-based servicesβŒβœ…
Mobile workforce & SaaS authβŒβœ…
Zero Trust & Conditional AccessβŒβœ…

If you’re modernising, the goal should be to minimize reliance on on-prem AD over time β€” but in mining, it’s rarely safe or practical to eliminate it entirely without a long and careful transition, especially in sites where uptime and legacy system integration are critical.

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