BHP calls for LNG-powered iron ore vessels

Original article by Peter Ker
The Australian Financial Review – Page: 18 : 15-Jul-19

BHP is seeking to reduce the greenhouse gas emissions its products create once they have been acquired by its customers. As part of that effort, it has launched a tender that would see around 10 per cent of its iron ore exports to China transported in ships powered by LNG by around late 2021. BHP executive Rashpal Bhatti notes that LNG can achieve a 25 per cent reduction in greenhouse gas emissions when compared to low sulphur fuel oil.

CORPORATES
BHP GROUP LIMITED – ASX BHP

Fuel rule boost for Australian iron ore

Original article by Matthew Stevens
The Australian Financial Review – Page: 30 : 20-Jun-19

The sulphur emissions of shipping fleets must be reduced by 80 per cent under the International Maritime Organisation’s rules that take effect on 1 January. BHP expects the new rules to give Australian iron ore producers a competitive advantage over their Brazilian rivals. It estimates that the cost of retro-fitting bulk cargo ships and higher fuel costs will increase the cost of shipping iron ore from the Pilbara to China by $US2-$US3 per tonne. In contrast, BHP expects Brazilian miners to incur increased costs of between $US3 to $US5 a tonne.

CORPORATES
BHP GROUP LIMITED – ASX BHP, INTERNATIONAL MARITIME ORGANISATION, VALE SA, WOODSIDE PETROLEUM LIMITED – ASX WPL, WOOD MACKENZIE