MELBOURNE, Australia — A consortium, led by the Global Maritime Forum and comprising BHP, Rio Tinto, Oldendorff Carriers and Star Bulk Carriers Corp., today signed a Letter of Intent (LOI) to assess the development of a Green Iron Ore Corridor between Australia and East Asia.
Mobilizing demand for green shipping and scaling to zero or near-zero greenhouse gas emissions shipping, governments and industry decision-makers are increasingly looking to enable and simplify the task of decarbonizing the maritime sector by establishing green corridors: maritime routes specific areas where zero or near zero economics, infrastructure and logistics – zero-emissions shipping is more feasible and rapid deployment can be supported by targeted policy and industry action.
“Zero greenhouse gasesemission pathways require the creation of a parallel value chain that involves new ways of working, new contractual relationships and drives the development of decarbonized fuel production and infrastructure. This new iron ore green corridor collaboration is an important step to enablezero-or close to zero shipping greenhouse gas emissions from the supply and demand side,” said Johannah Christensen, CEO of the World Maritime Forum.
Last year, the report of the Getting to Zero coalition The next wavedemonstrated how green corridors can be designed, prioritized and designed with a pre-feasibility study for an iron ore road between Australia and East Asia. the the study suggested that green ammonia is the likely fuel choice for this corridor based on favorable production conditions,a favorable regulatory environment and willing stakeholders.
To take the study further, the consortium parties intend to jointly assess the green ammonia supply, bunkering and first mover support mechanisms necessary for their participation in a viable green corridor for the iron ore between Australia and East Asia.
“BHP’s membership in this Green Corridor consortium demonstrates the importance we place on focused exploration and partnerships in identifying decarbonization pathways for the maritime sector. As one of the largest bulk shippers in the world, we recognize this opportunity and have announced a number of partnerships across our value chain to seek to accelerate the process,“ said Mr. Rashpal Bhatti, Vice President of Maritime Excellence and Supply Chain at BHP.
Byworking within the consortium and with inputs from the wider supply chain, the partners aim to develop a framework as a preparatory step for the real-world implementation of a green value chain d iron ore shipment.
Laure Baratgin, head of business operations at Rio Tinto,mentioned: “As a leading charterer, we recognize that we have an important role to play in decarbonizing our own shipping and the industry in general. This collaboration is another important step towards accelerating the realization of our climate commitments on shipping, as part of Rio Tinto’s broader commitment to net zero emissions by 2050 and a 50% reduction by 2030, and supports efforts to provide our customers and partners sustainable value chain solutions.”
The results of the Green Corridor collaboration aim to lay the foundations for the actual implementation of the Green Corridor.
“Focusing on the feasibility of decarbonizing specific trade routes around the world is an indispensable step in laying the foundation for the maritime energy transition. In line with our vision to lead industry efforts to phase out GHG emissions, Star Bulk is committed to partnering with other pioneers to enable progress in this multidimensional challenge, yet so crucial for our future, ” said Charis Plakantonaki, director of strategy at Star Bulk Carriers Corp.
The new consortium will facilitate robust public-private dialogue to explore the conditions that need to be in place to mobilize demand and feasibly reach zero. or close to zero-Expedition of GHG emissions on the corridor.
Peter Twiss, CEO and President of Oldendorff carriers, mentioned“Oldendorff Carriers is excited to work with like-minded industry leaders to accelerate shipping decarbonization solutions. We see our commitment to environmental stewardship as an urgent obligation and helping to establish a green corridor on one of the most important trade routes is a big step forward.“
About the Global Maritime Forum
The World Maritime Forum is an international non-profit organization dedicated to shaping the future of global maritime commerce to increase long-term sustainable economic development and human well-being.
BHP is a leading global resource company with approximately 80,000 employees and contractors, primarily in Australia and the Americas. BHP’s products are sold worldwide and are among the world’s leading producers of major commodities including iron ore, copper, nickel and metallurgical coal.
Learn more about our approach to climate change: www.bhp.com/climate
About Oldendorff Carriers
Operating a fleet of approximately 700 vessels, Oldendorff Carriers is one of the largest dry bulk shipping companies in the world. The company transports around 380 million tonnes of bulk cargo annually, calling at ports in 118 countries. Additionally, Oldendorff Carriers provides its customers with deep-sea bulk transshipment solutions in 10 locations where port access is limited.
About Rio Tinto
Rio Tinto produces high quality iron ore, copper, aluminum and minerals that play a critical role in the low carbon transition. We have placed the low-carbon transition at the heart of our business strategy: combining investments in raw materials that enable the energy transition with actions to decarbonize our operations and our value chains. As a result, our strategy and approach to climate change is supported by strong governance, and we are strengthening our processes and capabilities to enable us to achieve net zero emissions by 2050.
Learn more about our approach to climate change: www.riotinto.com/invest/reports/climate-change-report
About Star Bulk Carriers Corp.
Star Bulk is the largest listed dry bulk shipping company in the United States and owns and operates a diverse fleet of 128 modern dry bulk vessels. Aspiring to lead the way in sustainable dry bulk transportation globally, Star Bulk transports major and minor dry bulk cargoes around the world safely, efficiently, and in an environmentally and sustainable way. society.