An internal BHP memo dated May 2025 reveals the mining giant has significantly delayed key decarbonisation projects at its Pilbara iron ore operations in Western Australia. The memo, part of a leak dubbed the 'BHP files', shows the company now claims its plan to reach net zero in the Pilbara by 2050 has a 'low probability of success'.
The document outlines three scenarios for electrifying its polluting truck and rail fleets. The 'central' case pushes rollout to 2035, a seven-year delay, while a 'deferred investment' case starts in 2040, risking the 2050 goal. A third option of doing nothing carries 'reputational risk' and would break commitments shareholders voted to support.
BHP has also delayed a major wind and solar project large enough to power 150,000 homes. The memo states the 'urgency' to source renewables has 'diminished'. The company cancelled a project that could have significantly reduced emissions and continued purchasing diesel trucks despite earlier plans to fully electrify its fleet from 2027.
In 2019, then-CEO Andrew Mackenzie called climate change an 'existential' threat and pledged a 30% emissions cut by 2030 and net zero by 2050. BHP says it has reduced emissions by 36% from 2020 levels and is the second-best performer among Australia's largest listed companies.
