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Calidus Warrawoona Renewables

In order for the mining and resources sector to take meaningful steps toward cutting carbon emissions, it’s critical that companies have the option to integrate renewables into existing infrastructure, and existing power supply contracts.

December 25, 2021


In order for the mining and resources sector to take meaningful steps toward cutting carbon emissions, it’s critical that companies have the option to integrate renewables into existing infrastructure, and existing power supply contracts.

As one of Australia’s leading power producers, we at Zenith Energy are putting our flexible Power Purchase Agreements into action to help mines get on track with emission targets by replacing outdated technologies over time.

Zenith are currently building a 19MW power station at the Calidus Warrawoona mine site near Marble Bar in the Pilbara, with primary power provided by a 10MW LNG station with full diesel redundancy. The power station is set to become operational early to mid 2022.

As an ESG enabler for clients, Zenith are continually working to reduce emissions within our portfolio, and the introduction of our unique PPAs has been a key part of this.

The flexibility and transparency built into the contracts means as renewable technology becomes more economically viable, outdated technologies are replaced.

This is playing out at the Warrawoona site, where we recently committed to the supply, installation and commissioning of a 4MW DC Solar Farm, as well as a 3MW/3MWh AC Battery Energy Storage System.

The hybrid power station configuration will result in a reduction in gas use, which in turn results in a reduction in emissions, around 13 percent less than the initially contracted gas only station.

The decision to integrate solar generation and a battery storage system at the Warrawoona site is the result of ongoing discussions with the client about developing renewable solutions, and implementing onsite where possible.

It’s another step forward in the ongoing journey to Net Zero.

The Australian Government has now formalised a Net Zero target for 2050. However, Zenith Energy are confident we can achieve zero emissions sooner, by 2035, and have a number of motivations for doing so.

  • Environmental, Social and Corporate Governance: Zenith are committed to leading the way on sustainable power generation within the mining and resources sector and assisting clients in emission reduction.

  • Consumer/Investor Drive: Consumers and investors are increasingly making decisions based on the carbon footprint of companies, and are demanding businesses take on greater environmental responsibility. This is manifesting itself in the cost of funding for projects. Goldman Sachs have stated that the cost of carbon is being priced into the cost of funding. Zenith are listening to those conversations, and are actively working to decarbonise our current portfolio, and integrate renewable power generation on future projects. 

  • Cost of CO2/Carbon Tariffs: Various countries are considering implementing carbon tariffs, as part of wider action on climate change, but also to ensure companies moving toward zero emissions aren’t disadvantaged in doing so. Impacts of carbon tariffs on Australian miners are widely forecast to have an impact.

  • For The Good of The Planet: A report from the Intergovernmental Panel on Climate Change found sustained global efforts to mitigate greenhouse gases are required, in order to limit global warming to 1.5 degrees Celsius.

Zenith are committed to bringing clients on the Net Zero journey with us, and rather than wait for renewable solutions to be developed, we are proactively searching for answers.

As part of this Zenith are also working with Original Equipment Manufacturers to develop and test new technologies, to allow us to integrate these solutions as the technology is proven and becomes economically viable.

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