XCMG Australia has taken a giant leap forward in sustainable mining after securing a landmark deal with mining giant Fortescue.
The project — signed at Bauma CHINA 2024, the world’s premier construction machinery event in Shanghai — involves the supply of more than 100 units of zero-emission heavy mobile equipment (HME).
This collaboration represents not only the largest mining equipment order XCMG has secured outside of China but also a significant milestone in Fortescue’s journey to achieve net-zero emissions by 2030.
The agreement, valued at about US$400 million, will see XCMG supplying advanced battery-electric machinery, including wheel loaders, wheel dozers, graders, trucks for certain applications.
These state-of-the-art machines will replace Fortescue’s diesel-powered fleet, reducing carbon emissions and contributing to the decarbonisation of its Pilbara mining operations in WA.
A shared vision for sustainability
This deal underscores both companies’ commitment to advancing sustainable practices in the mining industry.
Fortescue CEO Dino Otranto said the company was moving rapidly to decarbonise the Pilbara iron ore operations and eliminate Scope 1 and 2 terrestrial emissions by 2030.
“To achieve this target, we will need to swap out hundreds of pieces of diesel mining equipment at the end of their life with zero-emissions alternatives,” he said.
“As the global mining industry continues to evolve, we’re proud to be at the forefront of driving innovation in value adding green technology and showing the world that industry can decarbonise.”
XCMG’s Chairman, Yang Dongsheng, emphasised the company’s dedication to sustainable development.
“XCMG is proud to deliver high-end, intelligent and green full life cycle solutions to our global customers,” he said.
“The company has achieved green electrification across its entire product range, with new energy products accounting for 18 per cent of revenue, leading the industry’s green and low-carbon transformation.
“Since 2023, XCMG has fully launched its “No. 1 Project” for intelligent transformation, digital transformation and networking.
“This initiative promotes a shift from traditional, single-point and local informatisation to a global, full value chain and comprehensive business domain digital transformation. XCMG is committed to building a smart, green, and world-class company.
“XCMG and Fortescue have formed a long-term partnership based on ‘value resonance, cultural resonance and win-win cooperation’. This collaboration will significantly contribute to global environmental protection and the development of a green, sustainable economy.”
A transformative partnership
This partnership comes at a pivotal moment as the mining sector increasingly embraces electrification and innovative technologies to enhance efficiency and reduce environmental impacts.
The deployment of XCMG’s electric equipment between 2026 and 2030 is expected to eliminate millions of litres of diesel fuel consumption, significantly reducing Fortescue’s reliance on fossil fuels.
Additionally, the integration of electric HME aligns with Fortescue’s Real Zero target, aiming to eliminate emissions from its Australian terrestrial iron ore operations within the next decade.
XCMG’s expertise in manufacturing cutting-edge machinery positions the company as a key player in the global shift toward sustainable mining practices.
Setting a new standard
The scale and ambition of this project highlights the importance of international collaboration in achieving sustainability goals.
By working together, XCMG and Fortescue are setting a powerful example for the mining industry, demonstrating that decarbonisation and productivity can go hand in hand.
As the demand for sustainable solutions grows, this agreement signals a transformative shift in mining operations, paving the way for other industry leaders to follow suit.
With its innovative technology and commitment to excellence, XCMG is poised to play a pivotal role in shaping a greener, more sustainable future for mining worldwide.
A bright future ahead
By combining XCMG’s cutting-edge electric equipment with Fortescue’s ambitious sustainability targets, this collaboration showcases the potential for industry leaders to drive meaningful change and achieve tangible environmental benefits.
As XCMG Australia continues to innovate and expand its reach, the company reaffirms its commitment to delivering exceptional solutions that align with global sustainability goals.
Together with partners like Fortescue, XCMG is charting a bold new course for mining—a course defined by innovation, sustainability, and a shared vision for a better tomorrow.
Unlock the potential of your projects with XCMG’s innovative machinery. Explore the full range and find the perfect solution for your needs at www.xcmg.net.au