Anglo American, the globally diversified mining company, yesterday said it had sourced the supply of 100% renewable electricity for its operations in Australia from 2025.
In a statement, the group said the agreed terms for the 10-year partnership was with Stanwell Corporation, the Queensland government-owned provider of electricity and energy solutions.
According to Anglo American, the deal will effectively remove all Scope 2 emissions from Anglo American’s steelmaking coal business in Australia from 2025, supporting Anglo American’s progress towards carbon-neutral operations by 2040.
Anglo American Australian CEO Dan van der Westhuizen said: “Sourcing 100% renewables supply from Stanwell Corporation, linked to two major wind and solar projects in Queensland is a big step towards our target of carbon neutral operations in Australia, and globally by 2040.
“We are committed to playing our part to help combat climate change, including accelerating a number of technologies to abate our on-site emissions, from electrifying our truck fleet and other mobile equipment to capturing the methane from our steelmaking coal seams,” Van der Westhuizen said.
“I am delighted that we are able to support Stanwell Corporation in its investment in 650MW of renewables capacity for Queensland. Today’s deal brings significant environmental benefits and is NPV (net present value) positive compared with our current energy mix, while underwriting a large investment in renewable energy generation for Queensland,” he said.
Anglo American’s group director of corporate relations and sustainable impact, Anik Michaud, said: “We are working tirelessly across our global footprint to reduce emissions. Many of the metals and minerals we produce are critical to the infrastructure and technologies required to decarbonise the world’s energy and transport systems – and this includes the ingredients needed for steelmaking. Our commitment to being part of the solution to climate change begins in our own business by meeting our emissions reduction targets and our 2040 operational carbon neutrality goal.
“Combined with the agreements we already have in place for all our South America operations from 2025, we expect to be drawing 60% of our global electricity requirements from renewable sources, and transforming our Scope 2 emissions profile. We are committed to producing the metals and minerals that we need to mitigate the extent of global warming in the most responsible and sustainable way."
The group said the partnership between Anglo American and Stanwell underwrote investment in the two major Queensland renewable energy projects – Clarke Creek Wind Farm in Central Queensland, and Blue Grass Solar Farm near Chinchilla.
BUSINESS REPORT