CONSTRUCTION STARTS ON RIO TINTO RENEWABLE ENERGY PROJECT IN MADAGASCAR

Rio Tinto QIT Madagascar Minerals (QMM) and its partner Crossboundary Energy (CBE) have announced the groundbreaking for the solar and wind power plant project that will power the QMM ilmenite mine operations at Fort Dauphin in southern Madagascar. This project plays a key role in the implementation of QMM’s ‘sustainable mine’ concept and will enable Rio Tinto’s Madagascar operations to achieve carbon neutrality by 2023.

Around 18,000 solar panels and four wind turbines will enable QMM to meet electricity demand during peak periods and up to 60% of its annual electricity consumption, as well as reducing its annual carbon dioxide emissions by around 26,000 tons. In addition, the renewable energy supply will reduce QMM’s heavy fuel oil purchases by up to 8,500 tons per year.

This plant will be built and operated by CBE, a well-known independent power producer, with whom QMM has signed a 20-year power purchase agreement. The first unit, an 8 MW solar power facility, will be operational in 2022. The 12 MW wind power facility will be completed in 2023. In addition, the aforementioned project also includes an 8.25 MW lithium-ion battery energy storage system.

For Fanja Rakotomalala, president of QMM emphasizes that “this project is a key component of our ‘sustainable mine’ initiative, which aims to leave a lasting legacy for present and future generations. It is also a strategic test, not only in Madagascar, but also in the mining industry as a whole, as we need to innovate and rethink our operations to combat climate change and leave a sustainable legacy.”

Also Matt Tilleard, Managing Partner of CBE adds that “we believe that large-scale complex commercial power projects can be realized here in Madagascar thanks to an ample supply of renewable resources, comprehensive government support and knowledgeable local implementing partners.”

The project is also an opportunity to develop local expertise. QMM and CBE are also working with local authorities to develop manufacturing capacity to produce equipment for the renewable industry in Ehoala Park, a strategic area open to national and international investors.