Fortescue will invest US$680 million to develop new green energy infrastructure, positioning the company to meet growing demand for green power, particularly from the energy-hungry data centre sector.
The investment will fund the rapid development of the 200 megawatt (MW) Pilbara Green Energy Project.
This additional capacity goes beyond what is required for the company’s own Real Zero by 2030 decarbonisation strategy, effectively turning the iron ore giant into a major green energy provider for third-party industrial customers.
This new capital injection is in addition to the previously approved US$6.2 billion decarbonisation program.
By 2028, the company’s integrated Green Grid is expected to be a powerhouse of sustainable infrastructure, consisting of 1.2GW of solar and 600MW of wind generation, 4-5GWh of battery storage for firmed, reliable power and 620 kilometres of transmission lines across the Pilbara landscape.
Fortescue Executive Chairman, Andrew Forrest AO, noted that the project proves heavy industry can thrive without fossil fuels.
“Fortescue is already demonstrating in the Pilbara that heavy industry can operate on a fully integrated renewable grid – eliminating fossil fuels while improving cost, reliability and control.
“We are now extending this model to new customers, particularly data centres, helping meet one of the fastest growing sources of demand in the world.”
The project is slated for completion by 2028, providing a scalable blueprint for multi-gigawatt expansion after 2030.
Amid volatile global energy markets, Fortescue is pitching its off-grid system as a way for industries to gain total control over their energy costs and supply chains.
Fortescue is engaging with interested parties and will develop this project with key partners, including government and traditional custodians.