Anglo American has reached a long-term agreement with energy company Stanwell to source renewable power for its Australian operations.

Under the ten-year agreement, Queensland government-owned power provider Stanwell will supply renewable electricity from its 800MW Clarke Creek Wind Farm and 200MW Blue Grass Solar projects.

Anglo American intends to use renewable energy from Stanwell to power its five steelmaking coal operations across Central Bowen Basin in Queensland.

From 2025, the move is expected to remove all Scope 2 emissions from Anglo American’s steelmaking coal business in Australia.

Anglo American Australia 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.”

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By GlobalData

Anglo American will use renewable power for its electrical equipment at mines in Moranbah, Middlemount and Moura, including draglines, longwall equipment, conveyors, and coal preparation facilities, among others.

Anglo American corporate relations and sustainable impact group director 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.”