Fortescue signs $350m electric drill deal

Fortescue (ASX: FMG) has confirmed it has signed a $350m major contract with mining equipment manufacturer Epiroc to acquire more than 50 electric drills. This decision is part of Fortescue’s progress towards operating at net-zero emissions.

The company has committed to purchasing a fleet consisting of both autonomous electric platform drills and autonomous electric contour drills.

The fleet is anticipated to be operational by 2030, aligning with Fortescue’s goal of replacing ageing diesel-powered equipment.

The autonomous electric fleet will be operated from Fortescue’s Integrated Operations Centre in Perth, WA and is expected to cut diesel consumption annually by more than 35ML.

Fortescue Metals chief executive Dino Otranto says that the company is thrilled to be collaborating with Epiroc to integrate cutting-edge electric mining equipment into their operations.

“The deployment of this new fleet of electric drills will immediately start reducing our carbon footprint, cutting more than 90,000t of carbon dioxide emissions annually once the fleet is operational,” he said.

This announcement follows the arrival of Australia’s first Epiroc Pit Viper 271 E, a fully electric drill, at Fortescue’s Solomon iron ore mine earlier this month.

The Pit Viper is expected to drill its first hole in the next few days at the site located roughly 60km north of Tom Price in WA.

Epiroc president and chief executive Helena Hedblom says that the company is aiming to swap out more than 800 heavy mining machines with zero emissions alternatives by the end of the decade and deploy renewable energy and battery storage across the Pilbara.

“Fortescue is at the forefront of the mining industry in reducing emissions from operations and in using automation to strengthen safety and productivity, and we are proud to support them on this important effort,” she said.

“Not only is this the largest contract we have ever received, but it is also a major step forward for our electric-powered surface equipment.

“We look forward to contributing to Fortescue’s continued success now and in the future.”

Fortescue has also announced the commencement of construction on its 190MW solar farm at its Cloudbreak site located in the Pilbara region of WA.

Cloudbreak produces more than 40mt of iron ore annually and the solar farm will generate enough renewable energy to power more than 70,000 households on average.

Once operational, the Cloudbreak solar farm will cut more than 125mt of  annual diesel consumption for Fortescue.

The construction at this site follows the commissioning of a smaller 100MW solar farm by the company at the North Star Junction south of Port Hedland in regional WA last year.