15th May 2023 12:10
(Alliance News) - Pan African Resources said on Monday its solar energy efforts had made "significant" progress, with the group entering into a power purchase agreement with Sturdee Energy (Pty) Ltd.
This agreement comprises 40-megawatt wheeled renewable energy supply from Sturdee Energy's Bela-Bela Project solar facility in Limpopo to any of Pan African's operations.
The Rosebank-headquartered gold producer said the initial term of the agreement is 10 years, with the option to extend it for another five years.
The Bela solar facility is expected to provide about 112,399 MWh of renewable energy per annum to Pan African, resulting in an estimated ZAR646 million savings over a 10 year period and ZAR884 million over 15 years, the gold producer said.
The Bela solar facility has already obtained the key permits required for construction, including environmental approvals, water use license and rezoning approvals.
Pan African also said on Monday its Fairview solar renewable energy facility is now fully permitted, including its water use licence, environmental approvals and its registration with the National Energy Regulator of South Africa.
It said it had entered into engineering, procurement and construction agreement entered into with JUWI Renewable Energies for the construction of an 8.75MWAC solar renewable energy facility at its Fairview operation. Fairview is part of Barberton Mines.
The plant is expected to yield cost savings of about ZAR26 million in year one, with an average of ZAR40 million per year per year over the life of the plant.
In Johannesburg, Pan African shares rose 1.1% to ZAR4.52 on Monday, while in London, shares were up 4.4% at 18.84 pence each.
By Artwell Dlamini, Alliance News reporter
Comments and questions to [email protected]
Copyright 2023 Alliance News Ltd. All Rights Reserved.
Related Shares:
Pan African Resources