MATERIALS TRANSPORT: RACING TO NET ZERO - COMPARING HAULAGE OPTIONS FOR REDUCED GREENHOUSE GAS EMISSIONS AND COSTS - SME Annual Conference 2023

As the world progresses toward the renewable energy transition, the demand for minerals increases exponentially. According to the International Energy Agency (IEA) 2021 Net Zero by 2050 Report, critical mineral production needs to grow six times to combat climate change. It’s estimated that four to seven percent of global greenhouse gas (GHG) emissions come from the mining sector’s Scope 1 and 2 (direct and indirect) emissions. Including Scope 3 (upstream, downstream, and embedded) emissions, the sector accounts for 28% of global GHG emissions. In a typical mining operation, diesel fuel is the biggest source of direct GHG emissions, and haulage is often the main source of diesel emissions. Large haul trucks have been the industry standard for over 50 years and offer flexibility, relatively low capital cost (especially with equipment lease options), and guaranteed technology with known maintenance. The challenge will be to justify their continued use when there are more economical options that lead to significant reductions in GHG emissions. The purpose of this study is to compare five haulage options in terms of GHG emissions, using the methodology defined by the Greenhouse Gas Protocol Scopes 1, 2, and 3 (Category 2). Additionally, this analysis compares operating and capital costs associated with the five haulage options (emerging and proven technologies): 1) Diesel-Electric Haul Trucks, 2) Battery-Electric Haul Trucks, 3) Fuel Cell Haul Trucks, 4) Railveyor, and 5) Conveyor. This analysis looks at the emissions and costs associated with operating the equipment (fuel and electricity), the embedded emissions and costs associated with the construction and installation of the equipment itself, and the associated infrastructure (roads, powerlines, and rail).