Anglo American offsets carbon emissions from iron ore shipment

20 May 2019 (Last Updated May 20th, 2019 14:30)

Mining firm Anglo American has offset carbon emissions from an iron ore shipment from South Africa to Europe, in partnership with RightShip and South Pole.

Mining firm Anglo American has offset carbon emissions from an iron ore shipment from South Africa to Europe, in partnership with RightShip and South Pole.

As part of the charter party agreement, the mining company was offered to offset the carbon emissions for the entire mining cargo shipment. Anglo American plans to reduce 30% of net greenhouse gas (GHG) emissions by 2030.

The voyage, from Saldanah Bay in South Africa to Europe, equates to around 5,880t of carbon dioxide equivalent.

Anglo American has been using RightShip’s GHG Rating for several years to make sustainable choices on charter party vessel selection.

The RightShip’s GHG Rating compares a ship’s theoretical carbon dioxide emissions with other similar vessels and awards a rating to the ships on an ‘A to G scale’ with ‘A’ indicating the most efficient and ‘G’ the least.

Anglo American Shipping head Peter Lye said: “Anglo American has set ambitious goals for its overall sustainability agenda including carbon emissions and a verified tool like RightShip’s GHG Rating is a key part of monitoring and meeting those targets.

“When the shipowner suggested boosting the GHG Rating with carbon offsetting, ensuring that the entire journey had a carbon neutral environmental outcome in line with our environmental policies, we were happy to agree.”

“More and more companies are seeing the need to account for the carbon emissions along their supply chains.”

The carbon credits purchased to offset the voyage will support South Pole’s Gunung Salak Geothermal Energy project in Indonesia.

RightShip sustainability manager Kris Fumberger said: “As the calls from industry grow louder for dramatic action to reduce carbon emissions, more and more companies are seeing the need to account for the carbon emissions along their supply chains.”

Last month, Anglo American reported 6% drop in total production in the first quarter of this year, compared to the last three months of 2018.