Announcements 2025

Northam finalises a further renewable energy deal

19 Feb 2025

Northam is pleased to announce the successful finalisation of a Power Purchase Agreement (“PPA”) with an Independent Power Producer (“IPP”) in respect of a 140MW wind farm to provide energy to the group’s operations.

This is the second significant renewable energy deal for Northam, following the finalisation of a PPA in respect of an 80MW solar power plant to service its Zondereinde mine, as announced on SENS on 4 October 2024.

The wind farm is located close to Sutherland in the Western Cape and is anticipated to deliver 460GWh of energy per year, over the Eskom grid, to the group’s three mining and processing operations. Construction will commence immediately, with power being available in the 2027 financial year.

The combination of the solar and wind power plants will reduce the group’s carbon footprint by up to 45%, while providing substantial energy cost savings and improving security of power supply.

The IPP comprises a consortium including G7 Renewable Energies Proprietary Limited and Cennergi Holdings Proprietary Limited, a subsidiary of Exxaro Resources Limited. Project finance is being provided by Nedbank Limited (acting through its Nedbank Corporate and Investment Banking Division), Standard Bank Limited and Absa Bank Limited. The project is part of a broader strategy of reducing Northam’s environmental impact while improving business resilience through securing the supply and reducing the cost of bulk services.

Northam is progressing other renewable energy projects in a dynamic and rapidly changing technological and legislative environment. These include additional solar and battery storage initiatives.

Paul Dunne, Northam’s Chief Executive Officer, welcomed this latest agreement, stating that, “Northam continues to demonstrate its commitment to sustainably reducing the environmental impact of our mines whilst realising significant and sustainable cost savings. This latest agreement, relating to our second major renewable energy plant, represents a further milestone in this ambition. The environmental, operating cost and energy security benefits implicit in these initiatives further ensure the success of our world-class operations well into the future”.

Johannesburg
19 February 2025

Corporate Advisor and Sponsor to Northam Holdings
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Corporate Advisor and Debt Sponsor to Northam Platinum
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