BHP backflips on Mt Arthur coal wind down for 2030 – sells off land to coal miner instead

The Australasian Centre for Corporate Responsibility (ACCR) is commenting on the announcement by BHP today outlining is has transferred just over half (3700 ha.) of the land and tenements associated with the Mt Arthur coal mine site to Malabar Resources, a neighbouring coal miner.

The sale appears to enable Malabar Resources to develop its Maxwell North coal mining project. Malabar Resources has announced future underground coal mining plans for the site acquired from BHP.

Commenting on the transfer, Naomi Hogan, Head of Engagement and Sector Strategy at the Australasian Centre for Corporate Responsibility (ACCR) said:

“BHP’s decision to sell land at Mt Arthur, and enable ongoing coal mining and burning post-2030, is a concerning backflip that will have impacts on investors, workers and the environment.

“We are concerned that investors have not received a proper level of transparency here, with BHP saying very little about the likely and significant additional emissions that will be created due to this transfer.

“The fanfare BHP brought to its 2022 announcement of a 2030 Mt Arthur closure – which demonstrated a balance between sound economic management, emissions reductions and fair workforce planning – now appears to have been hollow signalling.

“BHP gave the market the impression it had abandoned plans for coal divestment at the Mt Arthur site, but it is now revealed that the company has not given up on the proceeds from the remaining coal resources sitting underneath.

“Investors have long taken an interest in the site closure and emissions reductions at Mt Arthur, using it an important case study in just transition principles for workers, but today’s decision will test confidence in BHP’s strategy.