O3 Mining highlights scale of Scope 3 emissions challenges

O3 Mining's total emissions in 2021 amounted to 5506 tCO2e with Scope 3 emissions (91.07%) far exceeding Scope 1 (1.07%) and 2 (7.86%).

The imbalance illustrates the scale of the challenges facing mining companies in tackling scope 3 emissions, which encompass a company’s upstream and downstream value chain.

The figures are contained within the gold explorer and mine developer's 2021 ESG report, in which it announces it has completed its first GHG emissions inventory.

"Since O3 Mining subcontracts the drilling activities, the drill emissions and associated mobile equipment are part of O3’s scope 3 emissions. It is important to include these scope 3 emissions since drilling is in an integral part of our business," it notes.

Last year it drilled a total of 117,878 metres between the Marban and Alpha projects.

As part of its Marban economic studies, it is looking at ways to reduce the emissions of the future mine, through access to hydropower which can produce gold ounce with a very low carbon intensity. It is also studying ways to reduce fleet emissions, and for the residual emissions that it can't cut, it will be subject to Quebec’s carbon pricing scheme and look to offsetting options.

Québec, together with California, has developed a carbon cap and trade system giving industry flexibility to cover their GHG emissions through reduction, emission trading and/or off-setting. All fossil fuel emissions in Québec are covered by this system.

Sustainable Development Technology Canada funding boosts Glencore supply chain traceability

Last month OPTEL, a leading global provider of supply chain traceability systems, received a funding commitment of "several million dollars" from Sustainable Development Technology Canada (SDTC) to enable Glencore to adopt environmental traceability technologies. 

With the help of the CIRAIG research group and Propulsion Quebec, OPTEL will provide Glencore with an active inventory of their GHG emissions (scopes 1, 2 and 3) captured across their supply chain.

"The support of the SDTC will allow us to deploy our technologies on a global scale to save more than 10 million metric tonnes of carbon dioxide equivalents," said Louis Roy, founder and president of OPTEL.

The metal industry contributes roughly 4.2 gigatons of CO2e, mainly through steel and aluminium production, according to McKinsey. For most mining operations, scope 3 relates to steel and energy consumption.

Businesses that set bold emissions targets are more likely to make more headway against them, adds McKinsey.

"The very exercise of setting carbon-reduction targets can be an important step for organisations," it states.

"It presents both risks and opportunities to create value from decarbonisation. Throughout this exercise, then, executives should consider how or whether the company’s carbon-reduction efforts can help differentiate it from competitors; and they should be intentional about shorter-term targets for 2025 and 2030, as those targets will be critical for mobilising the organisation to act."