BHP Inks Renewable Electricity Supply Deal for Copper SA Operations

Core Insights - BHP Group Limited has signed its third and largest renewable electricity supply arrangement for its Copper SA operations, marking a significant step in its operational decarbonization journey while generating investment in renewable energy in South Australia [1][9] Renewable Electricity Supply Arrangement - The new arrangement will supply 100 megawatts (MW) of renewable electricity to power the Olympic Dam mine, smelter, refinery, and the Carrapateena and Prominent Hill operations, sourced from Neoen's Goyder North Wind Farm and supported by the Goyder Battery [2][3] - This deal ensures that 70% of Copper SA's electricity needs will be powered by renewable sources by fiscal 2030, aligning with BHP's commitment to invest in renewable electricity supply [3] Emission Reduction Targets - BHP aims to lower operational greenhouse gas emissions (Scopes 1 and 2) by at least 30% by fiscal 2030 from a fiscal 2020 baseline, with a long-term goal of achieving net zero operational greenhouse gas emissions by 2050 [4][9] Industry Peers' Decarbonization Goals - Rio Tinto has set a target to reduce net emissions by 15% by 2025 compared to 2018 levels, aiming for a 50% reduction by 2030 and net zero by 2050, with a capital budget of $5-$6 billion for decarbonization initiatives [5] - Fortescue Ltd is targeting Real Zero terrestrial emissions (Scope 1 and 2) by 2030 and Net Zero Scope 3 emissions by 2040, investing $6.2 billion in decarbonization [6][7] - VALE S.A. plans to reduce Scope 1 and 2 emissions by 33% by 2030 compared to 2017 levels, with a goal of achieving net zero emissions by 2050 and 100% renewable electricity consumption in Brazil by 2025 [8]