The critical mineral called coal
The role of coal Adam Lancey, Asset President BHP Mitsubishi Alliance (BMA)
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s the world changes, so too does the role of coal. BHP produces resources the world needs to decarbonise and develop more sustainably, and we’re proud of our part in the world’s efforts to pursue a lower greenhouse gas (GHG) emission future. This includes bold change in the way we operate, including the introduction of renewable power and working towards the transition of fleets to electrification, as well as aligning our resource mix for the future. Capitilising on growing demand for critical and other key minerals is becoming increasingly important not only to support the energy transition, but also the diversification, growth and future resilience of the Australian economy.
With this in mind, the tradition of coal and iron ore underpinning Australia’s prosperity won’t continue, but they still have a huge role to play. Provided the world keeps growing and pursuing decarbonisation, demand for steel will continue, and it is metallurgical coal, or hard coking coal, essential for today’s global steelmaking, which we expect will champion our commodities’ place in the industry for decades to come. As steel insiders know, metallurgical coal will remain essential to the viability of the global steel industry for the foreseeable future. It’s in the steel required for cars, buses, our household appliances and the schools, hospitals, bridges and technologies needed to accommodate the 200,000 people relocating to cities across the globe, every single day. Metallurgical coal is also expected to lift its weight in the decarbonisation agenda, helping to supply the steel needed for building transmission lines, wind turbines or electric vehicles. Equally, we expect higher quality coking coals to be valued for reducing the greenhouse gas emission intensity of steelmaking blast furnaces. As one of Australia’s largest seaborne exporters of metallurgical coal, at BHP
Photo: Kestrel
BBMC Yearbook 2023
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