Diversified mining major BHP is stepping up its electrification efforts through preliminary agreements with two leading Chinese battery companies, aimed at expanding the use of battery technologies across its global operations.

The Melbourne-headquartered miner on Monday announced two memoranda of understanding (MoUs); one with Contemporary Amperex Technology Co Limited (CATL) and the other with FinDreams Battery (FDB), a subsidiary of BYD Group.

Under the agreement with CATL, BHP will explore opportunities in battery development for mining equipment and locomotives including rapid charging infrastructure. The partnership will also assess energy storage systems and battery recycling options for its mining applications.

Another key focus of the CATL collaboration will also be to advance the circular economy by enhancing battery recycling processes, especially leveraging BHP’s copper operations to establish more sustainable value chains within the mining sector. 

“CATL is a global leader in advanced battery technology, energy storage solutions, and battery recycling and is a natural partner for BHP.  Working with organisations such as CATL, BHP is continuing to seek solutions that can drive a more efficient and sustainable future for the resources industry,” commented BHP procurement officer Rashpal Bhatti.

The MoU with FDB will see BHP investigate powertrain battery solutions for heavy mining equipment and locomotives with their adjacent flash-charging infrastructure. The companies will also explore BYD commercial vehicles and light vehicles for use in BHP’s mining applications to support its diesel displacement journey. 

“BYD [is] a global leader in battery cell development and a rapidly growing name in electric light vehicle production. . . ,” said BHP. “By engaging with BYD, BHP aims to assess the relevance and development of these technologies for mining applications, whilst also exploring applications for BYD’s broader portfolio in energy storage and battery recycling,” stated the mining company.

FDB general manager of global commercial vehicles Jack Li described the MoU with BHP as a “pivotal milestone” and said BHP’s vision to achieve net-zero operational greenhouse-gas (GHG) emissions aligned with the company’s mission.

BHP’s long-term goal is to achieve net zero operational GHG emissions (Scopes 1 and 2 from its operated assets) by 2050.

These new partnerships follow last week’s announcement of an emission-reduction initiative in BHP’s maritime operations. The company signed contracts with China's COSCO Shipping Group to charter two ammonia dual-fuelled Newcastlemax bulk carriers. BHP said that when operated on lower- or zero-GHG- emissions ammonia, the vessels could reduce emissions by at least 50% and up to 95% per voyage compared with conventional fuels.