AUSTRALIAN mining giant Fortescue has paused its project to develop its own battery-electric locomotives in collaboration with Downer.

Fortescue says it has not abandoned the project, but that it is continuing its broader decarbonisation work as it works towards achieving the company’s Real Zero by 2030 emissions reduction target. It is understood that Downer is unaware of when or if the project will resume.

Fortescue is the third largest iron ore miner in Australia and the largest tenement holder in the Pilbara region of Western Australia. The collaboration with Downer was announced with some fanfare at InnoTrans 2024, with Fortescue Energy CEO, Mark Hutchinson, describing the signing of the agreement as “a significant step in the decarbonisation of heavy industry.” 

The proposed battery-electric locomotive was heralded as the world’s most energy-efficient. Yet just over a year later, Fortescue appears to have reoriented its plans. The spokesperson admitted that decarbonising heavy haul rail is complex, particularly in a remote environment like the Pilbara.

“As outlined in our Climate Transition Plan, we have not yet settled on a single rail decarbonisation solution - and that is by design,” the spokesperson said. “To date, we have progressed several pathways in parallel, including extensive work to assess and trial both battery and green ammonia options. Through this process, we have gained valuable insights into energy efficiency, charging infrastructure, integration and operational requirements.

“Importantly, our trials and studies to date have confirmed that zero-emissions rail is technically feasible - it is now a matter of delivering it in a way that maintains productivity and cost-efficiency.”

Fortescue says the focus now is on developing a solution that maintains productivity and is cost-effective while working towards the Real Zero by 2030 targets. It emphasised that it was still committed to battery technology.

“Fortescue remains fully committed to our Real Zero target,” the spokesperson continued. “We have already identified solutions to profitably eliminate the majority of terrestrial Scope 1 and 2 emissions from our Australian iron ore operations and are actively working to close out the remainder. [Scope 1 comprises direct emissions from owned or controlled sources and Scope 2 consists of indirect emissions from purchased energy.]

“As with any ambitious decarbonisation effort, it is normal to encounter areas where new technologies are still being developed or tested. Any suggestion that we are off-track is simply incorrect.”

Upon announcing the agreement with Fortescue, Downer said it believes the programme could provide a platform to develop similar solutions for passenger and other freight applications. It reiterated its belief in the technology.

“We believe that battery electric bi-mode locomotives, depending on the operational context, supplemented with optimised and limited electrification, will play a key role in decarbonising the rail industry,” a Downer spokesperson said.

“We continue to work with our strategic partners to develop bi-mode electric locomotive solutions, and equally, remain focussed on modernisation solutions for older locomotives to reduce emissions.”