LOW-CARBON METALS FOR A LOW-CARBON WORLD

The production of industrial metals accounts for over 10% of global greenhouse gas emissions, a figure likely to rise as declining ore grades increase the energy required for extraction. Using copper as a flagship example, the report demonstrates that mining operations can achieve 45% renewable electricity while improving financial performance and resilience. RMI's modeling across 25 sites in five countries shows that a 'one-size-fits-most' approach—combining large-scale solar with other renewable technologies or utility buyback programs—can maintain internal rates of return (IRR) while increasing net present value (NPV). The report identifies market, structural, organizational, and behavioral barriers to adoption and suggests financing mechanisms like Power Purchase Agreements (PPAs) to mitigate high upfront capital costs. To reach net-zero emissions by 2050, the report advocates for further electrification, energy productivity reforms, and new metallurgical processes.

• Industrial metal production is a significant contributor to global climate change, accounting for more than 10% of global greenhouse gas emissions.
• The energy intensity of mining is increasing because high-grade mineral deposits are being exhausted, forcing producers to process more ore to extract the same amount of metal.
• RMI's technoeconomic modeling of over 50 cases suggests that most global mines could reach 45% renewable electricity while simultaneously improving financial performance and resilience.
• The use of diesel-powered underground equipment poses a severe health risk to miners, with one in thirteen career-long underground diesel loaders dying from lung cancer due to fossil fuel exposure.
• A 'one-size-fits-most' decarbonization approach, primarily utilizing large-scale solar, can enable mines in sunny regions to meet 35% of electricity demand at costs lower than grid electricity.
• Increasing renewable electricity supply from 37% (solar only) to 45% (portfolio approach) can increase net present value (NPV) by 21.5% on average and reduce the payback period to 6 years.
• The primary barrier to renewable adoption is the high upfront capital cost (CapEx), which can be mitigated through Power Purchase Agreements (PPAs) that shift the investment burden to third-party developers.
• Beyond direct financial returns, renewable energy provides strategic value by reducing variable operating costs (OpEx), insulating mines from volatile fossil fuel prices, and creating assets that retain value after mine closure.
• Achieving total net-zero emissions will require a combination of emerging technologies, including hydrogen fuel cells for haul trucks, increased electrification of machinery, and energy productivity reforms like autonomous vehicle fleets.

APA

Lezak, S., Cannon, C., & Blank, T. K. (2019). LOW-CARBON METALS FOR A LOW-CARBON WORLD. RMI. https://rmi.org/app/uploads/2019/12/Low-Carbon_Metals_for_a_Low-Carbon_World.pdf

Chicago

Lezak, Stephen, Charles Cannon, and Thomas Koch Blank. LOW-CARBON METALS FOR A LOW-CARBON WORLD. RMI, 2019. https://rmi.org/app/uploads/2019/12/Low-Carbon_Metals_for_a_Low-Carbon_World.pdf.

Wikipedia

{{cite report |last1=Lezak |first1=Stephen |last2=Cannon |first2=Charles |last3=Blank |first3=Thomas Koch |title=LOW-CARBON METALS FOR A LOW-CARBON WORLD |publisher=RMI |date=November 2019 |url=https://rmi.org/app/uploads/2019/12/Low-Carbon_Metals_for_a_Low-Carbon_World.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{lezak2019lowcarbon, author = {Lezak, Stephen and Cannon, Charles and Blank, Thomas Koch}, title = {{LOW-CARBON METALS FOR A LOW-CARBON WORLD}}, institution = {RMI}, year = {2019}, month = nov, url = {https://rmi.org/app/uploads/2019/12/Low-Carbon_Metals_for_a_Low-Carbon_World.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }