BHP is retaining its gas dependence to meet growing power demands. 

In a move that shows the enduring role of fossil fuels in powering major industries, BHP has announced plans to significantly boost its gas-fired power generation at the Yarnima Power Station in Western Australia's Pilbara region. 

The company says its decision is aimed at reducing its carbon footprint, particularly in its iron ore division. 

By 2040, BHP's iron ore operations are expected to demand nearly seven times more electricity than current levels due to the shift from diesel to battery-powered trucks and trains.

Currently, the Yarnima station, with a capacity of 154 megawatts - comprising 119 MW from gas and 35 MW from diesel - falls short of future requirements. 

BHP's recent proposal to the Western Australian government seeks to add an additional 120 MW of gas-fired generation, effectively retiring the diesel component and increasing the station's total output to 274 MW. 

Despite the increase in gas-fired power, BHP has indicated that the diesel generators will remain as a backup.

This expansion is not without its environmental cost. 

Over the 26-year lifespan of the new gas engines, an estimated 11.8 million tonnes of greenhouse gases will be emitted. 

However, BHP projects that this will still result in a net reduction of around 3 million tonnes of emissions compared to continued diesel use, assuming the diesel generators are not used outside of emergencies.

BHP’s reliance on gas, set to continue until 2053, emerges as a pragmatic yet somewhat paradoxical approach within the broader context of global shifts towards renewable energy. 

The company says the flexibility of gas power plants allow it to complement intermittent renewable sources like solar and wind.

More broadly, the Pilbara is witnessing transformative changes, with significant investments in renewable energy projects. 

Notably, BP recently increased its stake in the Australian Renewable Energy Hub near Pardoo, pivoting from a green hydrogen export model to focusing on local supply of renewable electricity and hydrogen. 

This project, along with others targeting the use of hydrogen in steel production and renewable energy generation on Indigenous lands, suggests traditional and renewable energy sources will continue to coexist.