Zijin Longking (SSE:600388) plans to invest US$55.24 million ($78.56 million) in a solar and battery storage facility at the Aurora Gold Mine in Guyana.
The company’s wholly owned Zijin Longking Clean Energy subsidiary will develop a 45-megawatt-peak solar facility alongside an existing 50MW/100MWh battery energy storage system for Aurora’s underground operations.
Zijin Longking’s board approved the investment on 23 September, according to a Shanghai Stock Exchange filing. The environmental protection and renewable energy company controlled by Zijin Mining Group (HKG:2899) intends to fund the project from funding arranged by the company.
Construction is targeted for completion during the December quarter of 2027, with the facility expected to operate for 30 years.
Zijin Longking estimates average annual electricity generation of approximately 61.76 gigawatt-hours. The company says the system could replace about half of the diesel generation required by Aurora’s underground operations in 2027.
Aurora is in a remote part of Guyana and currently depends heavily on on-site diesel generation, exposing its electricity costs to changes in international oil prices.
The proposed facility is separate from an existing 49.4MW solar and storage system commissioned at Aurora in April. That installation supplies the mine’s accommodation facilities and about 75% of the electricity required by its processing plant.
The new investment does not require shareholder approval, although overseas investment registration and other regulatory processes remain outstanding.
Aurora forms part of Zijin Mining’s international gold portfolio. The mine contains approximately 181 tonnes of gold resources, including reserves, according to the filing.
Write to France Pinzon at Mining.com.au
Main image: Zijin Mining
