Fortescue signs $350m deal to switch diesel drill rigs for electric in pursuit of “real zero”

Andrew Forrest’s iron ore giant Fortescue Metals continues to put its money where its mouth is on decarbonisation, this week signing a $A350 million deal to buy more than 50 autonomous electric drill rigs to replace existing diesel-powered  kit.

The deal, with the Australian arm of Swedish outfit Epiroc, is part of Fortescue’s plan to swap out around 800 pieces of heavy mining equipment with zero emissions alternatives by 2030, and deploy 2-3GW of renewable energy and battery storage across the Pilbara.

Fortescue’s goal of reaching “real zero” by 2030 means that it will not burn any diesel or gas for transport or electricity by the end of the decade. It is a world-leading target, and one that Forrest hopes others will follow, if not in the same time frame.

Late last year, the miner announced a deal to spend more than $A600 million on zero emissions mining equipment from Chinese heavy machinery manufacturer XCMG, and a multi-billion dollar deal for electric trucks and bulldozers.

And in December last year, Fortescue was awarded $A10 million in federal funding to develop 6 megawatt (MW) fast charger to support the hundreds of massive 240 tonne haul trucks it has agreed to buy in a landmark $4 billion deal.

This week’s deal follows the delivery of Australia’s first Epiroc Pit Viper 271 E electric drill to Fortescue’s Solomon open cut iron ore mine in Western Australia earlier this month.

Fortescue says the all-electric drilling vehicle – pictured above –  is expected to drill its first hole in coming days, marking Australia’s first Pit Viper 271 E drill in operation.

The autonomous electric fleet of Epiroc machines will be operated from Fortescue’s Integrated Operations Centre in Perth and is expected to wipe around 35 million litres a year of diesel consumption from the mining giant’s operations.

“The deployment of this new fleet of electric drills will immediately start reducing our carbon footprint, cutting over 90,000 tonnes of CO₂ emissions annually once the fleet is operational,” Fortescue Metals CEO Dino Otranto said on Wednesday.

Epiroc president and CEO Helena Hedblom says the deal with Fortescue marks the largest contract the company have ever received – and a major step forward for its line of electric-powered surface equipment.

“We look forward to contributing to Fortescue’s continued success now and in the future,” Hedblom said on Wednesday.

Construction is now also underway on a 190MW solar farm at Fortescue’s Cloudbreak site, capable of generating enough solar energy to supply more than 70,000 households on average.

Once fully operational, this will reduce Fortescue’s annual diesel consumption by around 125 million litres. It follows the commissioning of a 100MW solar farm at North Star Junction near Iron Bridge last year.