Tag Archives: LNG

Chart, Howden ready to showcase a ‘ventilation and more’ offering at MINExpo

Environmental, Mine ventilation, Mining services, Power supply for mines, Sustainable mining, , , , , , , , ,

Howden’s transition into the wider Chart Industries offering is allowing it to branch into new territory; territory that it will be showcasing at MINExpo INTERNATIONAL® 2024 in Las Vegas later this month.

For over a century, Howden has supplied underground ventilation fans to every major global mining company. Today, its fully integrated ventilation air quality control approach can, it says, dramatically reduce energy usage by 50%.

Chart Industries, which Howden is now a part of following its acquisition in March 2023, says it is a leading global solutions provider to clean energy and industrial gas markets across the Nexus of Clean™ – clean power, clean water, clean food and clean industrials.

The combination between Chart and Howden is broadening business, according to Leo Botha, Director of Global Mining Sales at Chart.

“At Howden, we have traditionally focused on the underground mining sector, whereas Chart Industries has significant exposure to the surface mining industry,” he told IM.

The legacy Howden business supplies a variety of fans – main, booster and auxiliary fans – that provide versatility, economic advantages for efficiency and maintenance, low noise and outstanding aerodynamic performance. It combines this with mine cooling and mine heating systems to ensure the optimal solution for each mine site.

Underpinning this is the Ventsim® platform.

Ventsim DESIGN enables the 3D design, modelling and simulation of underground mine and tunnel ventilation systems with controls for safe and efficient operations. It originated as mining management software in 1993 and, today, ensures operations within mines and tunnels are safe and efficient through a suite of solutions.

Ventsim CONTROL is designed to reduce energy consumption, associated costs and improve energy efficiency in underground mining ventilation systems, supporting customers’ net-zero goals. The software suite uses advanced algorithms to analyse real-time data and adjust ventilation equipment to maximise energy savings while maintaining safe working conditions.

“We continue to enhance Ventsim capabilities and leverage advancement in technologies like AI,” Chart says. “We’re furthering our energy management and control tool kit and implementing a carbon calculator, building on the energy dashboards we have in place to visualise energy consumption, energy savings and, more recently, carbon emissions.”

The company can also highlight LNG and hydrogen storage, system, transport and fuelling options.

Chart provides LNG energy storage and fuel delivery solutions for natural gas power generation, on-board LNG fuel tanks for mine haul trucks and service vehicles, and related fuel station equipment. It now also offers the exact same solutions for energy and power generation using gaseous or liquid hydrogen with its onboard LH2 vehicle fuel tanks and fuel stations, LH2 storage tanks and vaporisers, H2 compressors and related supply chain equipment.

Botha says some of the early conversations with customers have already gone into specifics on how they can access some of these hydrogen solutions at their sites.

“Chart, which has a remit of ‘cleaning up’ the industries it works in, has hydrogen and LNG storage solutions that could allow these mines to reduce their carbon dioxide emissions drastically,” he said. “We’re now just looking to align on whether that may be hybrid solutions involving diesel and H2/LNG, or a single energy source.

“These solutions aren’t likely to be integrated at mine sites tomorrow, but they are commercially-available in other sectors and, in some instances, present a strong mining business case.”

In the field of carbon capture, utilisation and storage, Chart has significant knowledge of and solutions for the processes and challenges of energy-intensive, hard-to-abate industries such as mining and mineral processing.

Lastly, Chart’s water business, ChartWater™, can offer the most efficient, cost-effective, environmental solutions for contaminant removal, including antimony and arsenic, oxygenation for remediation of rivers/lakes/reservoirs, aerobic biological processes, pH control for mineral acid replacement, enhanced metal flotation and remineralisation, the company says.

Botha continued: “We look forward to continuing to offer our customers different commercial solutions and increased functionality. This, for instance, includes leasing and rental options – options that Howden customers have not previously had before becoming a part of Chart.”

Pacific Energy to introduce LNG to Pilbara Minerals’ Pilgangoora power plant

Energy minerals, Environmental, Mine operation news, Power supply for mines, Sustainable mining, , , , , , ,

Pacific Energy is pleased to announce it will be converting its diesel power plant at Pilbara Minerals Limited’s Pilgangoora Operation, in Western Australia, to a combined natural gas-diesel power station, helping to deliver a lower-emissions future for Pilbara Minerals.

The announcement comes off the back of the recent Pilbara Minerals’ ASX announcement detailing the lithium miner’s medium-term power strategy, a three-stage plan slated to significantly reduce its power related emissions intensity.

The 15-year power station upgrade agreement is an amendment to Pacific Energy’s existing build-own-operate contract to supply power to the Pilgangoora Operation. The agreement supplements a separate 6 MW solar power agreement in place between the two companies. The upgrades will play an important role in Stage 1 of Pilbara Minerals’ medium-term power strategy, which aims to further displace diesel fuel use with a lower-emissions fuel.

Under the agreement, Pacific Energy will convert its current on-site power plant to a combined natural gas-diesel power station, expand overall power generation to support its client’s P1000 expansion project, and integrate a battery energy storage system, initially to improve system reliability and efficiency, and subsequently to support future solar integration.

Pacific Energy’s upgrades will comprise 12 new 2.5 MW high-efficiency gas generators and a 13 MW/8 MWh BESS at the main power station. A portion of the existing diesel generators will remain on-site to provide additional power security across both the Pilgan and Ngungaju power plants.

Pacific Energy’s Chief Executive Officer, Jamie Cullen, said the project is further demonstration of the company delivering on its ambition to transition the world to a clean energy future.

“Decarbonising both our own and our clients’ operations is absolutely front of mind for Pacific Energy,” he said. “We know we play a critical role in helping our clients to reduce their emissions intensity by transitioning their power supplies to lower-emissions alternatives.

“We’re really pleased to be partnering with Pilbara Minerals on their journey towards net zero. Projects like this one lead to emissions intensity reductions, and they also enable the cleaner production of critical minerals like lithium, which are essential for our growing global renewable energy technology market. That’s something we’re really proud to support.”

Pacific Energy’s LNG conversion will help Pilbara Minerals substitute 90% of the diesel it currently uses for stationary power generation, replacing it with trucked LNG, a lower emissions-intensive fuel source, which is expected to reduce power related carbon emissions intensity by approximately 20%.

Pacific Energy expects project works to commence in early 2024, with the upgrades due for completion by mid-2025.

Liontown Resources banks LNG supply for Kathleen Valley hybrid power plant

Energy minerals, Environmental, Mineral project development, Mining services, Power supply for mines, Sustainable mining, , ,

Liontown Resources has awarded a contract for the supply of LNG to its Kathleen Valley lithium project in Western Australia to Mid-West LNG Pty Ltd, a group company of Clean Energy Fuels Australia (CEFA).

LNG-fuelled thermal power is a key component of the 95 MW hybrid power station at Kathleen Valley, which is expected to be among the largest off-grid wind-solar-battery storage renewable energy facilities in Australia.

The initial LNG supply will commence in January 2024 in time for planned early commissioning activities and the contract contemplates renewable energy penetration in line with Liontown’s target to be at least 60% renewably powered from start-up while providing surety of supply, the company says.

The LNG supply contract is a key deliverable for the 95 MW hybrid power station. The power station comprises wind turbines, solar panels, battery storage, diesel and gas-fired generators, which are designed to operate in ‘engine off’ mode enabling Liontown to operate from 100% renewable energy during periods of high wind and solar penetration.

LNG will be produced at the CEFA Mount Magnet Mid-West LNG Hub located at Mt Magnet, around 370 km from Kathleen Valley. The hub is directly connected to the Mid-West Gas Pipeline, which connects to the Dampier to Bunbury Gas Pipeline, providing access to natural gas fields in the mid-West and North-West

The 15-year supply contract aligns with the Zenith Power Purchase Agreement and enables flexibility for quantities and access to ‘sprint’ capacity as required throughout the contract period, the company says. This will support the company’s target to be at least 60% renewably powered from start-up, while having 100% thermal power redundancy for the operation. The contract comprises fixed and variable charges for gas supply, liquification and transport.

LNG supply will commence in January 2024 to support planned early plant commissioning activities.

Westgold’s Clean Energy Transition initiative accelerates with start up of first hybrid power station

Mine operation news, Mining services, Power supply for mines, Precious metals, , , , , , , , , , , , ,

The Tuckabianna hybrid power facility – the first of four new hybrid power stations being developed for Westgold Resources – has commenced operations, in Western Australia; a major milestone for the gold miner and its Clean Energy Transition initiative.

The four facilities – at Tuckabianna, Bluebird, Fortnum and Big Bell – are expected to provide substantial reductions in emissions and power costs across Westgold’s operations in the Murchison and Bryah regions of Western Australia, according to Pacific Energy, the provider of these solutions. The system will have a combined installed capacity of 82 MW, providing an expected annual reduction of 38 million litres in diesel fuel usage and approximately 57,000 t/y less CO2-equivalent emissions.

Westgold Chair, Cheryl Edwardes, and Managing Director, Wayne Bramwell, joined business partners, local officials and Traditional Owners on site to open the 17.9 MW facility this week.

The Tuckabianna facility includes a 6 MW solar farm fitted with 11,088 photovoltaic panels, a battery energy storage system with 2.4 MW installed capacity, and a 9.5 MW gas-fuelled power station.

The gas-fired power stations, battery storage and solar farms are owned and operated by Pacific Energy under an Electricity Purchase Agreement, and the LNG is provided by Clean Energy Fuels Australia (CEFA) under an LNG supply agreement. These agreements were signed last year.

These agreements will deliver substantial operating cost savings to Westgold in its 2023-2024 financial years onwards of around A$100/oz ($68/oz) at the then current diesel price and supports its commitment to environmental, social and governance initiatives that will reduce the company’s long term greenhouse gas emissions, it said.

Westgold’s Bramwell said: “Westgold continues to innovate to reduce our greenhouse gas emissions and drive our operating costs down. This new hybrid power facility at Tuckabianna incorporates renewable energy and is a great first step along this journey, with power generated from these facilities energising our mines and processing hubs for decades to come. The successful commissioning of Tuckabianna is a testament to the tireless work of Westgold’s project and operational teams, business partners at Pacific Energy and CEFA and construction crews who have delivered our first power station safely and on schedule.”

Pacific Energy CEO, Jamie Cullen, said: “Congratulations to the Pacific Energy and Westgold project teams for delivering the Tuckabianna hybrid station – on time, and most importantly safely and incident free. Tuckabianna is part of a larger project to consolidate six existing power stations into four high efficiency hybrid power stations that incorporate gas, solar and battery storage systems. Collectively this represents one of the largest fully integrated hybrid power systems in the Australian mining sector.

“As a valued client of Pacific Energy since 2015, we are delighted to join Westgold on its transition to a cleaner energy future.”

Anglo American loads first LNG dual-fuelled vessel in chartered fleet with Kumba iron ore

Environmental, Mining industry recognition, Mining services, Steel and iron ore, Sustainable mining, , , , , , ,

Anglo American says its newly launched LNG dual-fuelled Capesize+ vessel, the Ubuntu Harmony, has loaded its first cargo of iron ore from its Kumba iron ore operations in South Africa.

The vessel is the first of 10 LNG dual-fuelled new-build ships that Anglo American will introduce to its chartered fleet during the course of 2023 and 2024, delivering an estimated 35% reduction in CO2 emissions compared with ships fuelled by conventional marine oil fuel, the company said. The use of LNG will also lead to a significant reduction of nitrogen oxides and particulate matter from vessel exhausts, while new technology also eliminates the release of unburnt methane.

The Ubuntu fleet is a key component of Anglo American’s ambition to achieve carbon neutrality for its controlled ocean freight by 2040 – with an interim target to reduce emissions from these activities by 30% by 2030 – all part of Anglo American’s wider ambition to halve Scope 3 emissions by 2040.

Peter Whitcutt, CEO of Anglo American’s Marketing business, said: “We are proud to see the Ubuntu Harmony begin its voyage transporting future-enabling products from our mines to our customers around the world. This milestone cements our vision to be a leader in low carbon shipping, a natural extension of our commitment to achieve carbon neutrality across our operations by 2040.”

Nolitha Fakude, Group Director of Anglo American for South Africa, said: “The metals and minerals we provide play an important role in helping key industries decarbonise. Transporting them in a sustainable way is a key part of this effort and the introduction of the Ubuntu fleet – named after the Zulu word meaning ‘humanity to others’ – helps us accelerate our transition to sustainable ocean freight.”

Anglo American has established a framework of initiatives for the decarbonisation of its maritime activities, including energy-saving devices fitted to existing vessels, the use of voyage optimisation software, and a focus on exploring, trialling and adopting alternative, sustainable fuel options – such as LNG, sustainable biofuel, green methanol and ammonia, and – further down the line – hydrogen.

Bellevue Gold on its way to achieving ‘holy grail’ with EDL pact

Environmental, Mining industry recognition, Mining services, Power supply for mines, Precious metals, Sustainable mining, , , , , , , , , , , , , , , , , , , ,

Bellevue Gold Limited says it has taken a pivotal step towards its aspirational goal of becoming Australia’s first ASX-listed gold miner with net-zero emissions by signing an Early Works Agreement with Energy Developments Pty Ltd and locking in long-lead items for its power station, ready for the processing plant commissioning in mid-2023.

The purchasing of the long lead items will see the company continue its carbon mitigation strategy, based off proven technologies with a Tier 1 power supplier, it said.

This agreement is a key step in Bellevue’s strategy to be powered by a forecast average of 80% renewable energy each year using a wind, solar and battery hybrid power solution.

EDL built, owns and operates a similar turnkey power solution at the Agnew gold mine, around 35 km south of the Bellevue gold project.

Bellevue and EDL are currently negotiating a Power Purchase Agreement for the project, which is subject to approval by the boards of both EDL and Bellevue.

Bellevue says its power solution is central to the company’s goal of generating the lowest carbon emissions per ounce of gold produced by any major Australian gold mine, with forecast emissions of between 0.15-0.20 t of CO2e/oz.

“As well as being the lowest emitter on a per ounce basis, the project is forecast to have the lowest total Scope 1 emissions of any major mine in Australia,” it said. “This will give the project the cleanest power supply in Australia based on a greenhouse gas per kilowatt hour basis of power generation.”

By reducing greenhouse gas emissions, with a renewable energy power station and undertaking other sustainable initiatives, Bellevue aims to produce carbon-neutral gold, giving the company a major competitive advantage in global investment markets, it says. This also provides potential for the company to seek a premium for the sale of ‘green gold’, it added.

The power station will prioritise the use of renewable energy and will also include a gas engine configuration, which, it says, will ensure there is sufficient power for the mine, even in the rare absence of solar and wind resources.

EDL will supply trucked LNG to the project to maintain optionality for any future technological innovations in thermal generation alternative fuels. Trucked LNG provides a much cleaner fuel than diesel, which was an important consideration to reduce emissions as far as possible, it said.

At a steady-state production rate of 1 Mt/y, renewable energy is expected to meet up to 80% of the project’s annual electricity needs, taking advantage of the region’s strong solar and wind resources.

Bellevue says it has been modelling the wind speeds and direction with a SODAR unit, which has allowed for the integration of wind turbines to increase the renewable energy penetration rate.

Maximising renewable energy uptake has been a key design consideration for the processing facility. The facility will have the ability to use more power – such as crushing and heating – when increased renewable energy is available, reducing thermal requirements, according to the company.

The planned infrastructure includes an oversized crushing circuit to facilitate a processing rate of more than 1.5 Mt/y (against current throughput rate of 1 Mt/y), allowing the operational flexibility in this area for an optimised match up of the renewable energy demand to the renewable energy resource.

The designed infrastructure will allow Bellevue to have a cost-effective renewable energy supply and optimise the power demand curve to better align with key daytime (solar) and night time (wind) energy peaks and troughs. Through the generation of power from renewable energy sources, it will create the optionality for the crushing circuit to maximise crushing in peak renewable energy generation periods. This will have the potential to offset more than 1 MW in demand on thermal power generation and lead to a direct cost saving and emissions reduction.

Bellevue Managing Director, Steve Parsons, said: “EDL is a leader in hybrid off-grid power stations. Their skills and experience will help ensure we maximise the use of renewable energy at the Bellevue gold project.

“Bellevue is forecasted to be a 200,000 oz a year gold miner with low all-in sustaining costs of A$1,000-A$1,100/oz ($644-$708/oz) powered by circa-80% renewable energy, with a pathway to net-zero emissions as a world-leading company in the race to decarbonise the mining sector.

“Our pre-production carbon mitigation strategy has been strategic and is world leading. It achieves the ‘holy grail’ of lower emissions and a direct cost reduction in power generation.

“The combination of these metrics is expected to will position Bellevue as one of the most sustainable and financially successful Australian gold miners, maximising returns for all stakeholders. It will also underpin the company’s strong appeal to global investors, who demand performance on both financial and ESG measures.”

On the same day as the EDL announcement, the company signed a Native Title Agreement with Tjiwarl (Aboriginal Corporation) RNTBC, being the native title rights and interests holders and traditional owners of the land which hosts the Bellevue gold project.

Westgold signs gas and renewables agreements with Pacific Energy, CEFA

Environmental, Mine operation news, Mining services, Power supply for mines, Precious metals, , , , , , , , , ,

Westgold Resources, in line with its ongoing objectives to enhance profitability and focus on cost optimisation, has executed a new Electricity Purchase Agreement with independent power provider Pacific Energy and a new LNG Supply Agreement with Clean Energy Fuels Australia (CEFA).

These agreements will deliver substantial operating cost savings to Westgold in its 2023-2024 financial years onwards of around A$100/oz ($68/oz) at the current diesel price and supports its commitment to environmental, social and governance (ESG) initiatives that will reduce the company’s long term greenhouse gas emissions, it said.

Under the build-own-operate agreement with Pacific Energy, Westgold will materially reduce diesel consumption by replacing six diesel-fired power stations (two owned and operated by Pacific Energy) with four new, highly efficient gas-fired power stations to incorporate renewable energy options and use solar power and battery storage across the Bryah and Murchison Operations. Critically for Westgold, this transition to a mixed generation platform includes renewables and gas and is expected to reduce carbon emissions from diesel-powered generators by over 57%, due to the higher integration of renewables (34% solar) and cleaner fuel (gas versus diesel), the company said.

Westgold’s first new Pacific Energy power station will be commissioned in July 2023 at the Tuckabianna processing hub, with the three additional new power plants scheduled for commissioning from September 2023.

Westgold has concurrently signed a bulk LNG supply agreement with CEFA. CEFA will supply Westgold from its expanded LNG plant located at Mt Magnet (pictured), 80 km south of Cue. This plant is currently providing LNG to another Pacific Energy power plant in the Murchison region and provides a substantial advantage due to its proximity to Westgold’s operations. CEFA will fund and construct satellite LNG facilities (primarily comprising LNG storage and re-gasification equipment) at Westgold’s project sites, with the LNG trucked direct from its plant at Mt Magnet.

The new gas and solar power station to be commissioned at Westgold’s Meekatharra operations will also serve to simplify power generation by removing smaller diesel fired power stations at the Paddy’s Flat and Bluebird underground mines and providing them power from a larger gas-fired power station via overhead powerlines, according to the company.

Westgold Managing Director, Wayne Bramwell, said: “The transition to a cleaner, more efficient energy platform that utilises renewables and gas in financial year 2023 is strategic for Westgold. It is an important step in meeting our ESG targets but is pivotal to reducing the operating cost of our business.

“Westgold has selected two industry leaders in Pacific Energy and CEFA to work with us in this transition and we look forward to seeing the benefits that integrating renewable power and cleaner energy alternatives can deliver to our business and the communities within which we work.”

Vale clears another hurdle in pursuit of lower-carbon fuel adoption in shipping operations

Bulk handling, Environmental, Mining services, Steel and iron ore, Sustainable mining, , , , , , , , ,

Vale says it has achieved a major advance in the adoption of alternative, lower-carbon fuels for shipping, with the company’s design to incorporate multi-fuel tanks on iron ore carriers having received an Approval in Principle (AIP) from the leading classification society, DNV.

The independent assessment performed by DNV verifies the technical feasibility of the design and indicates that, based on this system, developed in partnership with Norwegian companies Brevik Engineering AS and Passer Marine, vessels chartered by the mining company could be adapted to store fuels as liquefied natural gas (LNG), methanol and ammonia in the future.

The multi-fuel tank design is part of the Ecoshipping program, developed by Vale to adopt new technologies and renew its fleet with the aim of reducing carbon emissions from shipping. A preliminary study for ships of the Guaibamax category estimates that emissions reductions can range from 40-80% when powered by methanol and ammonia, or up to 23% in the case of LNG.

Currently, dozens of second-generation VLOCs (Very Large Ore Carriers) already in operation, with 400,000 t and 325,000 t capacities, have been designed for future installation of an LNG system, including an under-deck compartment to receive a tank with capacity for the entire voyage. Having received the AIP for the multi-fuel tank design, a pilot project will now be developed in the coming months for the implementation of this system on a Guaibamax.

Vale says it has invested heavily to incorporate state-of-the-art efficiency and environmental innovation in the shipping area. Since 2018, the company has been operating second-generation Valemaxes and, since 2019, Guaibamaxes, with capacities of 400,000 t and 325,000 t, respectively. These vessels are among the most efficient in the world and can reduce CO2-equivalent emissions by up to 41% compared with a capesize ship of 180,000 t built in 2011, the company claims.

Vale’s Shipping Technical Manager, Rodrigo Bermelho, said: “The multi-fuel tank system removes some of the main barriers to the adoption of alternative fuels, which include regulatory and infrastructure uncertainty in defining the optimal fuel. It is a solution for the future, but one that could also impact existing ships, many of which have more than 20 years of service life ahead of them. Allied to other energy efficiency technologies in progress at Vale, such as rotating sails and air lubrication, it allows us to have more efficient vessels with very low carbon emissions.”

In addition to adopting alternative fuels, Vale says it has developed innovative energy-efficient technologies: last year, it presented the first ore carrier equipped with rotating sails and the first Guaibamax ship with air lubrication installed. These initiatives are part of Ecoshipping.

Vale has announced investments of up to $6 billion since 2020 to reduce its Scope 1 and 2 emissions by 33% by 2030. The company has also committed to a 15% reduction in Scope 3 emissions by 2035, related to the value chain, of which shipping emissions are part, since the ships are not owned by the company. The targets are aligned with the ambition of the Paris Agreement.

Fresnillo completes conversion of Herradura haul truck fleet to Cat dual-fuel system

Environmental, Mine operation news, Mining equipment, Mining services, Precious metals, Sustainable mining, , , , , , , , , ,

In its recently released 2021 financial results, Fresnillo confirmed it had completed the conversion of its haul truck fleet at the Herradura gold mine in Mexico to a dual-fuel system leveraging both diesel and liquefied natural gas (LNG).

The company started its dual-fuel journey all the way back in 2016 when, together with Caterpillar, it trialled/piloted the mining OEM’s Dynamic Gas Blending™ (DGB) dual-fuel technology on two prototype trucks as part of a strategy at Herradura to reduce both its carbon footprint and costs.

Caterpillar’s dual-fuel DGB technology works by blending lower cost LNG with diesel fuel, with the resultant improvements in fuel, emissions and maintenance adding up to millions of dollars each year in cost savings, the mining OEM says.

Following some good initial results from Herradura, the company made plans to roll out this technology across its fleet, converting its haulage fleet’s diesel engines to a dual-fuel system, which optimises consumption by automatically switching between diesel and LNG depending on the terrain.

The Herradura fleet consists of Cat 785C and 793D haul trucks, among others.

A Fresnillo spokesperson told IM: “The 785C series consume approximately a 40:60 diesel-LNG mix, while the 793D has a 65:35 ratio, thus achieving, in 2021, a reduced energy factor of 20.97% and 18.68%, respectively.

“To date, we’ve recovered 35% of our investment through fuel savings, which considers both the LNG conversion kits and the biomodal supply station.”

The company has now converted 31 of its 785Cs to run on this mix, along with 10 793Ds. It has also invested in infrastructure to ensure it has the appropriate LNG storage capacity at Herradura.

BHP achieves shipping first as it extends funding for steelmaking decarbonisation

Environmental, Mining services, Steel and iron ore, Sustainable mining, , , , , , , , , , , , , , , , , , , ,

BHP has welcomed the arrival of MV Mt. Tourmaline – the world’s first LNG-fuelled Newcastlemax bulk carrier – that will transport iron ore between Western Australia and Asia from 2022.

The mining company has chartered five LNG-fuelled Newcastlemax bulk carriers from Eastern Pacific Shipping (EPS) for five years and awarded the LNG fuel contract to Shell.

On her maiden voyage, the vessel arrived at Jurong Port in Singapore for her first LNG bunkering operation (the process of fuelling ships with LNG) which will take place through the first LNG bunker vessel in Singapore, the FueLNG Bellina. FueLNG, a joint venture between Shell Eastern Petroleum and Keppel Offshore & Marine, operates the bunker vessel.

After LNG bunkering, the 209,000-deadweight tonne vessel will leave for Port Hedland in Western Australia for iron ore loading operations.

BHP Chief Commercial Officer, Vandita Pant, said: “BHP works with our suppliers to embed innovative and sustainable solutions in our supply chain. This vessel delivers significant improvements to energy efficiency and emissions intensity, as well as reduced overall GHG emissions in our value chain. These achievements demonstrate BHP, EPS and Shell’s shared commitment to social value through innovative emissions reduction initiatives.

“These LNG-fuelled vessels are expected to reduce GHG emissions intensity by more than 30% on a per voyage basis compared to a conventional fuelled voyage and will contribute towards our 2030 goal to support 40% emissions intensity reduction of BHP-chartered shipping of our products.”

EPS CEO, Cyril Ducau, said: “Today’s historic LNG bunkering is further evidence that the industry’s energy transition is in full swing. These dual-fuel LNG Newcastlemax vessels are a world’s first, but more importantly, they represent a culture shift in shipping and mining.”

In a separate announcement, BHP confirmed it would extend its partnership with the Centre for Ironmaking Materials Research (CIMR) at the University of Newcastle with a further A$10 million ($7 million) in funding to support ongoing research into decarbonising steelmaking.

The expanded research program will focus on low carbon iron and steelmaking using BHP’s iron ore and metallurgical coal, including conventional blast furnace ironmaking with the addition of hydrogen, and emerging alternative low carbon ironmaking technologies.

The collaboration, with funding from BHP’s $400 million Climate Investment Program, will last five years and help train the next generation of PhD researchers and engineers.

Dr Rod Dukino, BHP VP Sales & Marketing Iron Ore, said: “Greenhouse gas emissions from steelmaking represent around 7-10% of global total estimated emissions and the industry remains one of the most difficult sectors in the world to abate. Research and innovation have a critical role to play in accelerating the industry’s transition to a low carbon future.

“The expanded research program with the University of Newcastle complements BHP’s existing partnerships with our key steelmaking customers in China, Japan and South Korea. We are pursuing the long-term goal of net zero Scope 3 greenhouse gas emissions by 20501. Recognising the particular challenge of a net zero pathway for this hard-to-abate sector, we are continuing to partner with customers and others in the steel value chain to seek to accelerate the transition to carbon neutral steelmaking.”