BHP trials renewable fuel at Yandi iron ore operations in Western Australia

Yandi operations. Credit: BHP.

The world’s biggest miner BHP (NYSE, ASX: BHP) said Thursday it is trialling the use of hydrotreated vegetable oil (HVO) to help power mining equipment at its Yandi iron ore operations in Western Australia.

Supplied through a collaboration with BP, the renewable diesel made from HVO will be used in haul trucks and other mining equipment over an initial three-month trial period.

“About 40% of BHP’s operational greenhouse gas emissions come from using diesel fuel, and this is a core focus of our decarbonization strategy,” BHP Western Australia Iron Ore asset president Brandon Craig said in the statement.

“Ultimately, our aim is to have fully electric trucking fleets at our sites, but alternative fuels like HVO may help us reduce our emissions in the meantime while the electrification transition takes place,” Craig said. “This collaboration with the teams at Yandi and BP is really exciting to see, given the potential application in our WAIO business and BHP’s operations globally.”

BP president, Australia and SVP fuels and low carbon solutions, Asia Pacific, Frederic Baudry said BP plans to increase its investment in low carbon energy globally. “Forging strategic partnerships with companies like BHP enables BP to create solutions that satisfy the increasing demand for lower carbon fuels in sectors like mining and transport,” Baudry said.

BHP has a medium-term target to reduce operational greenhouse gas emissions by at least 30% by FY2030, from an FY2020 baseline. Approximately 40% of BHP’s operational emissions in its FY2020 baseline year came from diesel-powered equipment.