Mining giant Rio Tinto has announced the launch of a new biofuels pilot project in Australia, focusing on the development of Pongamia seed farms.
The initiative aims to explore the potential of Pongamia seed oil as a feedstock for renewable diesel production, offering a cleaner alternative to traditional fossil fuels.
Rio Tinto is in the final stages of acquiring approximately 3,000 hectares of cleared land near Townsville in north Queensland.
This land will be used to establish farms dedicated to studying growth conditions and measuring seed oil yields of Pongamia trees.
The company has partnered with Midway Limited, a wood fibre processor and exporter, to oversee the planting and management of the Pongamia seed farms.
Midway Limited will engage with nurseries, agricultural experts, and research organisations throughout the pilot, prioritising opportunities for Traditional Owners and local communities.
This pilot project is part of Rio Tinto’s broader strategy to achieve net-zero Scope 1 and 2 carbon emissions by 2050.
The company sees biofuels as a crucial avenue to reduce reliance on fossil diesel while fleet electrification technologies continue to mature.
Jonathon McCarthy, Rio Tinto’s Chief Decarbonisation Officer, explained the significance of the project, stating: “Diesel accounts for around 10 per cent of our emissions footprint in Australia. While we continue to pursue electrification as the long-term solution for displacing the majority of our diesel use, the Pongamia seed pilot is an important parallel pathway that could reduce our reliance on diesel in the mid-term.”
The pilot aims to determine if Pongamia seed oil can contribute to Rio Tinto’s renewable diesel needs while potentially fostering the growth of a new biofuel sector in Australia.
McCarthy highlighted that Australia currently lacks a biofuel feedstock industry sufficient to meet domestic demand.
“A sustainable biofuels industry here could enhance the region’s fuel security, create local economic opportunities, and contribute to emissions reduction targets,” McCarthy added.
This project builds on a smaller-scale trial conducted at Rio Tinto’s Gove operations in the Northern Territory, where Pongamia saplings were planted to assess their response to low soil quality, heat, and other climatic conditions in northern Australia.
In 2023, Rio Tinto’s Boron, California operations became the first open-pit mine globally to fully transition its heavy machinery to renewable diesel.
The company’s Kennecott copper operation in Utah is also set to replace its fossil diesel consumption with renewable diesel in 2024.
As the project unfolds, it may pave the way for a more sustainable and locally sourced biofuel industry in Australia, potentially transforming the country’s energy landscape and contributing to global decarbonisation efforts.