17 November 2022
Anglo American’s steelmaking coal business in Australia will be powered by 100 per cent renewable energy from 2025, as part of a ten-year deal with Queensland government-owned energy generator, Stanwell.
The clean energy will power five steelmaking coal operations across Central Queensland’s Bowen Basin and will power all electrical equipment at their mines in Moranbah, Middlemount and Moura, including draglines, longwall equipment, conveyors, coal preparation facilities, lighting and ventilation and cooling infrastructure, water treatment plant and administration facilities.
CEO of Anglo American in Australia, Dan van der Westhuizen, said the energy supply would effectively remove all Scope 2 emissions from Anglo American’s steelmaking coal business in Australia from 2025.
“Securing of 100% renewables from Stanwell is a major step towards our target of carbon neutral operations in Australia.
“I am delighted that we have been able to support Stanwell Corporation in its investment in 650MW of renewables capacity for Queensland, resulting in today’s mutually beneficial arrangement that brings both environmental and economic benefits compared with our current energy mix and provides a large investment in renewable energy generation for Queensland.”
“Steel – and its key ingredient of steelmaking coal – remains a key raw material supporting both economic development through housing and transport, and the transition to renewable energy, as an essential component of solar, wind, hydro, bioenergy and hydrogen power generation,” Mr van der Westhuizen said.
Stanwell CEO, Michael O’Rourke, said Stanwell is proud to be supporting Anglo American to accelerate its carbon neutral goals through our retail arm, Stanwell Energy.
“As a long-standing customer, we are pleased to be able to provide Anglo American with a bespoke, new energy solution.
“Stanwell is able to secure flexible and secure agreements like this one, because of our extensive pipeline of renewable energy projects.
“Stanwell Energy is unique in its approach when it comes to its service offering. Our dedicated account managers work with customers to develop tailored energy contracts that provide flexibility, security, and access to renewable options.
“Our energy team is committed to sourcing renewable energy projects that allow us to provide exceptional value to our customers,” Mr O’Rourke said.
The partnership with Anglo American Steelmaking Coal Pty Ltd will be linked to renewable energy from the Clarke Creek Wind Farm and Blue Grass Solar projects.
The Clarke Creek Wind Farm is an 800 MW wind project located in the heart of Central Queensland, approximately 150 km north-west of Rockhampton.
It will become one of the largest wind farms in the southern hemisphere upon completion and is part of a wider 1,200 MW project being developed by Squadron Energy which also comprises 400 MW of solar power and battery energy storage.
The first stage of the project is planned to include 100 wind turbines exporting 450 MW of electricity into the national electricity grid in 2024.
Stanwell will take 346.5 MW from the Stage 1 generation to sell to commercial and industrial customers and will act as intermediary for the wind farm taking responsibility for the dispatch and the bidding of the electricity generated into the National Electricity Market.
The Blue Grass solar farm project is a 200 MW solar facility that will produce 420 GWh of green electricity a year, sufficient to power approximately 80,000 Queensland homes.
The project is located 14km from Chinchilla in the Western Downs council area of Queensland and is being developed by Spanish renewable energy producer X-ELIO.
The electricity generated at the facility will be supplied to the national electricity market through an existing 132kV Chinchilla to Columboola transmission line network in the Western Downs, which is operated by Queensland’s transmission network provider Powerlink.
A new substation is proposed to be constructed at Cameby to connect the solar farm with the transmission network.
Stanwell has signed an agreement with X-ELIO for 49MW offtake from the solar farm.