Tag Archives: biofuels

Rio Tinto to explore Pongomia seed-based biofuels optionality in Australia

Rio Tinto says it will develop Pongamia seed farms in Australia as part of a new biofuels pilot to explore the potential of Pongamia seed oil as a feedstock for renewable diesel, a cleaner alternative to traditional fossil fuels.

The pilot aims to determine if Pongamia seed oil can contribute to Rio Tinto’s renewable diesel needs while potentially contributing to the growth of a new biofuel sector in Australia. Rio Tinto is in the final stages of acquiring approximately 3,000 ha of cleared land near Townsville, in north Queensland, to establish farms to study growth conditions and measure seed oil yields.

Rio Tinto has partnered with Midway Limited to oversee the planting and management of the Pongamia seed farms. Midway Limited will engage with nurseries, agricultural experts and research organisations throughout the pilot, and prioritise opportunities for Traditional Owners and local communities.

As part of its ongoing efforts to achieve net-zero Scope 1 and 2 carbon emissions by 2050, Rio Tinto says it is actively exploring the potential of biofuels in the low-carbon energy mix. The company sees biofuels as an avenue to reduce reliance on fossil diesel, while fleet electrification technologies mature. Rio Tinto is also investigating how biofuels could be used in scenarios where electrification may face practical limitations.

In the US, Rio Tinto’s Boron, California operation became the first open-pit mine in the world to complete the full transition of its heavy machinery to renewable diesel. The company’s Kennecott copper operation in Utah will also replace its fossil diesel consumption with renewable diesel this year.

Rio Tinto Chief Decarbonisation Officer, Jonathon McCarthy (pictured above), said: “Diesel accounts for around 10% of our emissions footprint in Australia. While we continue to pursue electrification as the long-term solution for displacing the majority of our diesel use, the Pongamia seed pilot is an important parallel pathway that could reduce our reliance on diesel in the mid-term. It also presents a compelling option for other applications that are challenging to electrify, including blasting and non-haul equipment.

“Australia does not yet have a biofuel feedstock industry sufficient to meet domestic demand. A sustainable biofuels industry here could enhance the region’s fuel security, create local economic opportunities, and contribute to emissions reductions targets. We are excited about the potential of the Pongamia seed pilot and look forward to partnering with Midway Limited and north Queensland communities.”

Midway Limited Managing Director, Tony McKenna, said: “We are very excited to be partnering with Rio Tinto on this innovative pilot project. We are proud to be playing an important role in helping develop a sustainable domestic biofuel industry.

“The collaboration continues the growth of our position as trusted providers with the capability and experience to deliver a variety of projects for emitters who are committed to seeking alternative solutions to reduce their net emissions.”

This pilot follows a smaller-scale trial at Rio Tinto Gove operations in the Northern Territory where Pongamia saplings were planted to learn more about their response to low soil quality, heat and other climatic conditions in northern Australia.​

Pongamia (Millettia pinnata) is a legume tree native to Australia. It is fast-growing, resilient and produces oil-rich seeds that can be processed into renewable diesel, which offers a significant reduction in life-cycle carbon emissions compared to fossil fuel diesel, Rio Tinto says. Pongamia seed can be harvested annually, leaving the trees and soil intact to store carbon dioxide. ​

Kati makes biofuel drilling switch at Keliber lithium project

Oy Kati Ab, a drilling contractor, has started to use biofuel in the drill rig operating at Keliber’s lithium exploration site in Central Ostrobothnia, Finland.

Tapani Niskakangas, Acting Managing Director at Kati, said: “Taking the environment into consideration and minimising the negative impacts is a guiding principle for us at Kati as well as Keliber. When we learned that Neste MY Non Road Diesel™ was available also in northern Finland this autumn, Keliber was the first company we proposed to introduce it, and we received a positive answer right away.”

According to calculations made at Kati, the switch from regular fuel oil to biofuel makes it possible to reduce emissions by at least 50%. It is estimated that, during 2020, drilling at the Keliber work site generated emissions of 78.04 t of CO2e, of which 95.2% was caused by fuel usage. If biofuel had been used, the estimated emissions would have been 37.90 t CO2e or 51% less. The emission reduction (40.14 t CO2e) is equivalent to a 286,714.3 km journey by car.

Keliber’s CEO, Hannu Hautala, regards the fuel switch as a good example of sustainable operation, which Keliber is committed to: “We are continuously looking for ways to reduce our environmental impact and improve our operations when new possibilities emerge. I am happy about this opportunity to switch to renewable energy at the drilling site.”

Kati started to use biofuel at the Keliber site during the second week of December. According to Niskakangas, the switch was easy: the machines run on biofuel as smoothly as they do on fossil fuels. And there is an added safety benefit as biofuels do not endanger water organisms or human health. This more than offsets the additional 25% price tag for biofuel over fossil fuels, which translates into an increase of about 2% in the total drilling cost.

Niskakangas said: “Keliber is the first of our customers to use biofuel. We are interested in expanding its use, but its popularity has a lot to do with logistics. Today, we transport the MY renewable fuel from Kemi harbour to our storage tank in Kalajoki.”

Kati has been working with Keliber on its lithium project for some 20 years. In recent years, Keliber has had continuous exploration and resource drilling operations, and the annual total drilling has varied from 10-20 km.

The planned Keliber operations include lithium mine sites and a concentrator plant in Kaustinen, Kokkola and Kruunupyy, and a lithium hydroxide plant in Kokkola.