Tharisa signs long term renewable PPA

JSE share code: THA

LSE share code: THS

A2X share code: THA

('Tharisa' or the 'Company')

THARISA ACCELERATES ITS DECARBONISATION STRATEGY VIA SIGNED WIND AND SOLAR WHEELING AGREEMENT

Tharisa, the mining, metals, and innovation company dual-listed on the Johannesburg and London stock exchanges, has entered into a long-term Power Purchase Agreement ('PPA') for the procurement of wheeled renewable energy for the Tharisa Mine, situated on South Africa's western limb of the Bushveld Complex.

The 15-year agreement with Etana Energy Proprietary Limited ('Etana') will see Etana provide up to 44% of the Tharisa Mine's electricity energy demand via wheeled energy from wind and solar farms in the Western Cape and Northern Cape using the existing electricity transmission grid. The wheeled energy is planned to come on stream in 2026. This transaction will enable the Tharisa Mine to better manage its power costs and benefit from the renewable energy certificates arising from the transaction. This wheeled energy will complement the Tharisa Mine's 40 MW solar power plant being developed by TotalEnergies Renewables South Africa Proprietary Limited and Chariot Transitional Power South Africa Proprietary Limited, which is designed to provide 30% of Tharisa Minerals energy needs.

Importantly, the Etana PPA and the solar project will ensure that Tharisa Minerals' drive to reduce its carbon footprint by 30% by 2030 is well within reach while simultaneously guaranteeing pre-determined power costs for a portion of power needs, with up to 76% of Tharisa Minerals' energy needs being provided by renewable energy from 2026 onwards under these agreements.

Etana was granted an energy trading licence in May 2022 for a period of 25 years and is one of five companies to hold energy trading licences in South Africa. Etana has signed and announced several other customer PPAs, including from other mining ventures and property companies.

Lucien Matthews, Executive Special Projects of Tharisa, commented:

"This second major renewable energy project is the natural progression in our quest to reduce our reliance on fossil fuel driven energy, and a major component of creating the sustainable resources company of the future. With established partners in the renewable energy space, I am certain we will not only meet but exceed our carbon reduction targets both in quantum and in terms of our set timeline of 2030.

I must commend the Tharisa team and our partners in the strategic and commercial swiftness in attaining this significant outcome, as both these aspects will ensure we maintain control on our operating costs base which is a vital cog in our drive for sustainability of our multi-generational resource."

Evan Rice, CEO of Etana Energy commented:

"We are delighted to have been entrusted as Tharisa's partner to help realise their ambitious sustainability objectives. This transaction demonstrates how Etana can provide its partners with solutions that give them the comfort to enter into long term agreements. This really is the added value that an aggregator can bring to energy consumers looking to rapidly shift to low carbon energy. We are grateful for Tharisa's partnership, which is helping us achieve Etana's mission to unlock significant new renewable energy generation capacity in South Africa, with benefits for our customers, the country and the environment."

Paphos, Cyprus

JSE Sponsor

Investec Bank Limited

Connect with us on LinkedIn to get further news and updates about our business.