Anglo American is on the pathway to achieving carbon neutrality across our operations by 2040. Further information can be found in the company’s Climate Change Report 2021, which contains information about how that is being translated into plans for emissions reduction and energy efficiency at our mining and processing sites around the world and the reductions already achieved. We encourage you to review and consider the report. Work is currently underway on the latest version of the report which will demonstrate Anglo American’s progress towards our goal of carbon neutrality.
The report notes the efforts of the steelmaking coal business in Australia. The steelmaking coal that we mine in Queensland is a vital part of the steel value chain. Steel is a material that will continue to form the backbone of the world’s infrastructure development for decades to come and is also fundamental to the transition to a low-carbon world.
Anglo American has made significant investments in reducing emissions from its steelmaking coal mines. More than a decade ago, Anglo American made major investments in methane capture infrastructure to deliver gas to onsite power stations developed and operated by EDL. The methane capture infrastructure captures around 65% of the methane produced and generates up to 145 MW of electricity, powering more than 90 000 Queensland homes. Importantly, this initiative reduces emissions by around 5 million tonnes of CO2e per annum.
Anglo American’s response to the Safeguard Mechanism reforms consultation paper recognises the need for further investment in emissions abatement technology and reinforces ways the scheme can incentivise this. Anglo American expects to make real cuts to emissions from our Australian operations by 2030 in line with our global targets. Further information can be found on our website and in the Climate Change Report 2021.
Anglo American is actively involved in research initiatives including developing the world’s first hydrogen-powered mining truck prototype and transitioning our grid supply to renewables. We recently announced an agreement with Stanwell Corporation that will supply Anglo American’s Australian operations with 100% renewable energy from 2025. The agreement supports Stanwell Corporation’s investment in projects that will add 650MW of renewable energy to the Queensland network.
Anglo American recognises that the world cannot decarbonise without many of the metals and minerals that we produce and also accepts that the company must seek to minimise the emissions related to the supply of those necessary products. This includes Anglo American partnering with a number of steelmakers around the world in research initiatives to accelerate the transition to lower carbon-intensive steelmaking production technologies.
The commitment to carbon neutrality will continue to motivate our efforts, including constructive engagement with the government in the development of the reformed Safeguard Mechanism.