Glencore and Schneider Electric Revolutionise Copper Supply

Vitally important to global supply chains and manufacturing, copper is one of the world's most in-demand materials.

In fact, driven by electrification and the clean energy transition, where copper plays an essential role, S&P Global estimates that the level of demand will double by 2035.

However, in a groundbreaking move with potential to transform the copper industry, mining giant Glencore and sustainability leader Schneider Electric have joined forces with the aim of decarbonising copper production and enhancing supply chain resilience. 

Addressing the copper contradiction'

Despite copper's critical role in the clean energy transition and electrification efforts, questions are regularly and rightly asked of associated sourcing and distribution methods from a sustainability point of view. 

Mining is responsible for up to 7% of global CO2 emissions, with Scope 3 emissions accounting for 75% to 95% of its overall carbon footprint.

Rob Moffitt, President of Mining, Minerals & Metals at Schneider Electric, explains the aforementioned partnership's significance: "The relationship between Schneider Electric and Glencore is built on the joint aim of decarbonising copper production and building resilience in its supply.

"In the past, lowering emissions has been a challenge due to the complexity of supply chains. However, by leveraging digitisation, we are able to close the material loop and boost our circularity."

Revolutionising copper procurement

As part of the partnership, Schneider Electric will directly acquire raw materials from Glencore and distribute them through its network of sub-suppliers to European factories.

This approach prioritises the use of responsibly-sourced materials with high recyclable content, addressing Glencore's substantial annual copper procurement of more than 100,000 tonnes for the manufacture of its products and solutions.

In return, Schneider Electric will provide Glencore with a comprehensive suite of solutions encompassing automation, digitalisation, consultancy support and electrification technologies, which can be broken down into four core areas: 

1. Sustainable procurement of capital equipment

Schneider Electric is assisting Glencore in developing high-efficiency, low-carbon procurement specifications for capital equipment. These specifications align with best practices from Schneider Electric's Zero Carbon Project, setting a new standard for sustainable procurement in the mining industry.

2. Enhanced energy consumption reporting

To improve energy efficiency and facilitate fuel switching, Schneider Electric is equipping Glencore with advanced Power and Energy Management Systems. These systems will enable more accurate monitoring and reporting of energy consumption, providing valuable insights for optimisation.

3. Lowering CO2 output of copper supplies

Schneider Electric is deploying its industrial digital transformation services and process electrification consulting expertise to help Glencore improve efficiency and lower the carbon intensity of its raw material supply. Key technologies in this effort include the AVEVA PI System, for process and energy data analysis, and ETAP electrical simulation for optimising power distribution in mining operations.

4. Implementing automation and standardisation

The partnership also focuses on developing IT/OT corporate standards for Glencore, along with applications for digital twins, central control and predictive analytics. These cutting-edge technologies are being implemented across Glencore's data centres, energy management systems and process automation infrastructure.

Circular economy initiatives

In addition to these core areas, the partnership extends to other circular economy initiatives.

Schneider Electric is collaborating with Glencore and its portfolio company, Li-Cycle, on recycling Lithium-Ion batteries.

Plans are also under way for a copper and electronic waste take-back programme, where used materials will be returned to Glencore for recycling.

Jyothish George, Head of Copper & Cobalt Marketing at Glencore, adds: "We are delighted to work with Schneider Electric in a comprehensive 360-degree collaboration.

"At the same time, Schneider Electric is exploring increased use of recycled content in its products, as well as exploring closed-loop solutions that enhance the circularity of its products and supply chains.

"This collaboration will enable both companies to establish circular supply chains, lowering their respective carbon footprints."

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