Leaders from around the globe convened at the Commonwealth Heads of Government Meeting last week, with a significant focus on sustainability, resilience, and the future of the planet. A standout moment at the associated business forum, titled “The Global Economy: What’s Next,” was marked by a surprising keynote address from Dino Otranto, the CEO of Fortescue, an Australian mining and energy company valued at over $66 billion.
Fortescue has made headlines for its ambitious plans to reduce its carbon footprint and reshape the public perception of the mining industry. Otranto emphasised the company’s responsibility in addressing emissions associated with steel production, which is primarily fuelled by coal.
“Ninety percent of our product out of Australia goes to China and is burnt with coal… you get exceptionally high volumes of CO2 emitted from the products we make,” Otranto stated, referring to what are termed “scope three emissions.”.
He says a major percentage of global CO2 emissions comes from the steel industry, making it their responsibility to take action.
In response to this environmental challenge, Fortescue is taking significant steps towards sustainability. Otranto announced plans for a green metal facility in Australia that aims to produce 95% iron metal without coal.
Fortescue has also developed a hydrogen fuel cell electric mining truck and has teamed up with a manufacturer for its production.
The company’s ambitious targets include achieving real zero scope one and two emissions by 2030, a goal that Otranto acknowledges is particularly challenging for heavy industrial emitters.
The outcomes of these initiatives will be closely watched, as they could set precedents for other companies within the mining sector and beyond.