Richards Bay Minerals (RBM), a subsidiary of Rio Tinto, has entered into a 20-year power purchase agreement with Khangela Emoyeni Wind Farm (Pty) Ltd to secure 140 MW of wind energy.
This strategic partnership aims to diversify RBM’s energy sources and enhance the security of its operations.
Project Details and Partners
African Clean Energy Developments (Pty) Ltd (ACED), The IDEAS Fund, Reatile Group, and Rand Merchant Bank are collaborating on a wind farm project in the Western and Northern Cape provinces. EIMS Africa will manage the project, which is expected to produce approximately 460 GWh of energy annually.
This initiative not only strengthens RBM’s energy security by reducing its reliance on traditional energy sources by 26% but also aligns with the growing trend of private sector involvement in South Africa’s renewable energy sector, as exemplified by the EDF and Nordex collaboration on a wind turbine project.
Complementary Projects and Operational Impact
In 2022, RBM signed a similar agreement with Voltalia for the Bolobedu solar plant in Limpopo, which aims to generate 300 GWh per year and cover 17% of RBM’s energy consumption. Together, the Khangela Emoyeni wind project and the Bolobedu solar project will contribute approximately 42% of RBM’s current energy needs.
Moreover, these initiatives offer valuable opportunities for job creation, skills development, and knowledge transfer to local communities during both the construction and operational phases of the projects.
Positive Outlook and Commitment to Sustainability
James Cumming, Managing Director of ACED, expressed his satisfaction with the financial close and commencement of construction of the Khangela Emoyeni wind farm, emphasizing its contribution to both RBM’s energy supply and the mitigation of South Africa’s energy crisis.
RBM’s investments in diversified energy sources demonstrate a clear commitment to more secure and stable production, significantly contributing to the stability of its operations and a more sustainable future.