JOHANNESBURG (miningweekly.com) – To support South Africa’s transition to clean energy, Discovery Green, the renewable energy business of Discovery Limited, and Glencore Operations South Africa, part of the global diversified natural resources group, have signed a 20-year renewable energy supply agreement that will replace the majority of the electricity consumption at four of Glencore’s major mining operations with renewable energy.

Starting in 2027, Discovery Green will supply renewable energy to the Goedgevonden, Tweefontein, and iMpunzi mine complexes near eMalahleni, in the Nkangala District. The electricity consumption across these operations is estimated to exceed 290 gigawatt-hours (GWh) a year.

This long-term agreement is expected to substantially reduce the operation’s direct carbon emissions, while providing Glencore with stable, predictable electricity costs. 

“We’re excited to support Glencore, a major player in South Africa’s economy, on their journey towards renewable energy,” Discovery Green head Andre Nepgen stated in a release to Mining Weekly.

“This deal is one of the largest renewable energy trading agreements in the country and the first solution we’ve co-designed with an offtaker to dynamically adjust supply as their strategy and operations evolve.

“It’s a new model for the mining sector that can be replicated across other industries – offering cost savings, long-term price certainty and a clear path towards a low-carbon future,” Nepgen added.

Glencore’s commitment to sustainability is central to this partnership. This agreement supports Glencore’s broader Climate Action Transition Plan, which includes expanding its renewable energy portfolio.

“This partnership with Discovery Green is a key part of our strategy to decarbonise our South African operations while maintaining energy security,” Glencore Coal South Africa CEO Murray Houston explained. “It reflects our commitment to responsible mining, long-term sustainability, and supporting South Africa’s energy transition.”

DELIVERING CLEAN POWER AT SCALE

Glencore joins a growing list of leading businesses that have partnered with Discovery Green to transition to renewable energy, including Sasol, Impala Platinum (Implats), Fortress REIT and Southern Sun.

Under the agreement, energy will be generated from Discovery Green’s growing base of contracted large-scale wind and solar farms and delivered to Glencore’s mining operations through the national grid. 

“South Africa has some of the best renewable energy resources in the world, and this agreement shows how we can harness them to deliver clean, reliable power at scale. Our focus is on building the infrastructure and partnerships needed to unlock this potential and support the country’s transition to a more sustainable energy future,” Nepgen pointed out.

Backed by the scale and actuarial expertise of the Discovery Group, Discovery Green empowers businesses to replace more than 90% of their electricity demand with affordable, price-certain renewable energy. Through partnerships with some of the country’s largest wind and solar plants, Discovery Green aims to contribute significantly to South Africa’s energy transition. For more information, visit discoverygreen.co.za

Glencore is one of the world’s largest global diversified natural resource companies and a major producer and marketer of more than 60 commodities that advance everyday life. Through a network of assets, customers, and suppliers that spans the globe, we produce, process, recycle, source, market, and distribute the commodities that support decarbonisation while meeting today’s energy needs.