SA mining group Northam Platinum is set to begin using renewable energy for the first time, in the form of a new solar power plant for its Zondereinde smelting and mining operation in Limpopo.
The group announced on Friday that it has successfully finalised a power purchase agreement with an independent power producer for the development of an 80MW solar power plant.
The plant will supply Northam’s Zondereinde operation with 220GWh of power each year independent of Eskom’s national grid, reducing its power supply risk, with the added benefit of significant cost savings, the company said.
It is also expected to cut Zondereinde’s carbon footprint by 22% — part of the company’s broader strategy to reduce its effect on the environmental. The group aims to achieve a 60% reduction in carbon intensity by 2030 from its baseline level in 2019, while improving power availability and cutting down overall electricity costs.
“Northam is at an advanced stage of progressing additional renewable energy projects in a dynamic and rapidly changing technological and legislative environment. This includes solar, wind and battery storage initiatives,” the company said.
Northam CEO Paul Dunne said: “Northam is committed to sustainably reducing the environmental impact of our operations and this, our first major renewable energy project, represents a significant milestone. The environmental, operating cost and energy security benefits implicit in this initiative add additional resilience to our world-class Zondereinde mine.”
The project is being financed by Nedbank and Standard Bank through their corporate and investment banking divisions. With construction already in progress, Northam said it expects the plant to start supplying power by December next year.
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