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Mining’s Mission to Net Zero

The Global Energy Transition

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The mining industry is undergoing a meaningful energy transition – from traditionally relying on diesel for power generation to moving towards renewable and alternative fuel solutions.

Driven by the world’s leading mining companies committing to net-zero emissions by 2050, there has been significant investment in the electrification of equipment, process improvements, hybrid energy systems, and on-site power generation across the sector.

Investors, regulators, insurers, governments, and customers have also been major drivers of the transition, as there are increasing expectations about Environmental, Social, and Governance (ESG) criteria – the set of standards for a company’s operations that socially conscious investors use to screen potential investments. It is of no surprise that “ESG” is listed in three of the top 10 issues miners were concerned about in Deloitte Insights’ Tracking the trends 2021 report for the mining sector. In its report , Deloitte states miners are revising their commitments to local communities, and to society at large, by enhancing their ESG performance. Getting serious about decarbonization would turn corporate governance frameworks into a competitive advantage – initiatives that could also drive value for their broader stakeholder groups. The report cited that most mining companies were also working to link their social investments to sustainable outcomes and playing an active role in the world’s transition to a clean energy future.

How Will We Power the Mines of the Future?

At Aggreko, we have witnessed these changes – particularly during the past few years – as greener technologies have gone from being boardroom discussions to being adopted at the coal face. Where traditionally, the sector was reluctant to adopt new technologies, many mining companies are embracing the energy transformation. In fact, some have become market drivers and are leading the change: they are approaching energy suppliers asking for big, bold, and creative ideas for power generation to combat climate change.

As power generation for mining has become more complex, we have tailored our solutions to simplify and de-risk these decisions for our customers. Using a combination of diesel, gas, battery storage, and wind, we can assist miners in reducing carbon emissions while increasing overall energy efficiency. In addition, our modular equipment – combined with our “build, own, and operate” model – allows us to flex to suit the requirements of every mine through its entire lifecycle or for part of it as and when needed.

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At Aggreko, our own goal is to achieve net zero carbon dioxide emissions across our fleet and for our customers by 2050. We also aim to reduce the diesel used in our customer solutions by at least 50% by 2030.

In the coming years, careful collaboration is needed between mining and energy companies to create flexible power solutions that transition mines towards cleaner power sources without compromising reliability.

In this Whitepaper, we will explore insights from Aggreko’s mining specialists and industry analysts about what the next few years might look like in mining’s energy landscape.

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