London, June 7, 2024 (The Net-Zero Circle) - South African mining giant Sibanye-Stillwater has embarked on a significant journey towards sustainability by signing a 20-year power purchase agreement (PPA) to acquire 140 MW of wind power from the Umsinde Emoyeni wind farm. This strategic move is part of the company’s larger goal to decarbonise its mining operations in South Africa.
The agreement was inked with a consortium led by African Clean Energy Developments (ACED) and Energy Infrastructure Management Services (EIMS Africa), both managed by African Infrastructure Investment Managers (AIIM). This collaboration will see the wind farm’s electricity integrated into the national grid via state-owned utility Eskom, ensuring a secure power transfer.
The Umsinde Emoyeni project, located on the border between the Northern Cape and Western Cape provinces, has already achieved financial closure, with Rand Merchant Bank (RMB) and AIIM’s IDEAS fund contributing to its development. The wind farm, now under construction, is intented to begin operations in the fourth quarter of 2026.
Neal Froneman, CEO of Sibanye-Stillwater, praised the financial close as a pivotal step towards the company’s ambition of achieving carbon neutrality by 2040. This new venture marks the fourth renewable energy project for the mining firm, which collectively aims to cut its emissions by 24% and meet 70% of its electricity needs through renewables by 2027. The company is on track to add 600 MW of clean energy in the coming years, significantly reducing its carbon footprint.
