Sandfire Resources has recently signed a deal with Brisbane-based Juwi Renewable Energy to build a $40 million solar power station at its DeGrussa copper project near Meekatharra to help power the mine and its processing operations.
The
project had potential to establish DeGrussa as an industry leader in the use of
renewable power for mining and processing operations. Sandfire said its cash contribution to the
project would be less than $1 million, with Juwi to arrange project funding and
own/ operate the facility.
The
station will utilise a 10.6-megwatt solar array comprising 34,080 solar
photovoltaic panels [ on 20 ha near the mine and concentrator] that track the
sun coupled with a 6-megawatt battery, and will be the biggest integrated
off-grid solar array in Australia, and one of the biggest used in the mining
industry anywhere in the world. The solar power station will be integrated with
the existing 20-megwatt, diesel-fired power station at DeGrussa, which is owned
and operated by Kalgoorlie Power Systems.
It
will be structured to maximise the consumption of lower-cost solar power,
thereby reducing reliance on diesel, however the diesel power station will
continue to provide base-load power to the DeGrussa mine. The project is expected to achieve savings in
diesel fuel and will deliver a significant environmental benefit for DeGrussa,
reducing its carbon emissions by an estimated 12,000 tonnes a year.
Sandfire's
managing director Karl Simich said the company had been working on the solar
power initiative since 2013, with the project representing an attractive
opportunity to participate in a low-risk renewable energy initiative with a
minimal capital requirement. It is
interesting to see this announcement now, following a recent article bemoaning
use of solar power in remote operations in Australia, especially in comparison
to mining in Chile.
He
said the project would not affect the efficiency or safety of existing
operations, and would allow the company to contribute to the broader challenge
of reducing CO2 emissions and potentially reducing operating costs. "We
are continuing to explore other options to reduce our energy costs, including
using alternatives such as compressed natural gas for gas-fired power
generation," he said.
Juwi
managing director Andrew Drager said the solar photovoltaic system would
provide the majority of daytime electricity to substantially reduce the mine's
dependence on imported diesel.
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