Fortescue Metals Group (ASX:FMG) has quietly abandoned its ambitious Uaroo Renewable Energy Hub project, signalling a significant departure from its earlier commitment to green energy initiatives within its iron ore operations in Western Australia.
Multi-billion-dollar initiative scrapped
The multi-billion-dollar project, around 120 kilometres south of Onslow in WA, was planned as a key component of Fortescue's green energy strategy.
It seems that Uaroo, once celebrated as a cornerstone of owner Andrew ‘Twiggy’ Forrest’s commitment to sustainability, no longer holds relevance in the company's evolving strategy.
The project had entailed the construction of 340 wind turbines and a solar farm with a capacity of up to 5.4 gigawatts, supported by battery storage and spanning more than 10,000 hectares across the Uaroo and Emu Creek cattle stations.
Part of the plan was to install a 225-kilometre transmission line to connect the renewable energy hub to Fortescue's Eliwana mining hub.
Approvals abandoned
The approval processes for Uaroo were initiated early last year, and a timeline of seven years was projected for its completion, aligning closely with Fortescue's 2030 target to achieve carbon neutrality in its iron ore operations.
Those approval applications were terminated for the project last month. Fortescue new chief executive Dino Otranto said that Uaroo no longer aligned with the company's decarbonisation energy requirements and had been rendered redundant.
Instead, the company now hopes to acquire two to three gigawatts of renewable energy and battery storage to phase out the use of gas and diesel in its mining operations.
The quiet scrapping of this flagship sustainability project raises questions about broader industry readiness for and long-term commitment to sustainability initiatives.