Fortescue has announced it is fast-tracking the development of a standalone clean-energy network to power its iron ore operations in Western Australia, with plans for a further expansion valued at up to $2.5 billion. The miner expects to have 290 megawatts of renewable capacity installed by early next year, allowing for “green processing” during daylight hours across its remote Pilbara sites.
The company aims to achieve a significant milestone by late next year, when the system is projected to power all operations for 24-hour periods without the use of fossil fuels. By the end of 2028, Fortescue targets a total generation capacity of 2 gigawatts. The move is intended to shield the company from volatile global energy supply chains and the inherent risks of fossil fuel dependency.
The shift is expected to deliver substantial financial returns, with Fortescue forecasting $100 million in fuel savings by next year and a reduction of $2-$4 per wet metric tonne in C1 unit costs upon completion. Looking ahead, the firm has identified a pathway to add a further 2 gigawatts of generation capacity and 4 gigawatt hours of battery storage for under $2.5 billion.
“The system will power all of Fortescue’s operations for 24-hour periods without fossil fuels,” the company stated, noting that the acceleration comes as “massive risks of fossil fuel dependence are exposed.”
