Nickel Mines has signed a memorandum of understanding (MoU) with PT Sumber Energi Surya Nusantara (SESNA) to implement, if certain economic parameters are met, a 200-MWp solar farm within the Indonesia Morowali Industrial Park (IMIP). 

Located in the south of Central Sulawesi Province, the IMIP is home to the Hengjaya Nickel and Ranger Nickel processing operations, both of which are 80% owned by Nickel Mines.

The proposed solar project adds to an existing 396 kWp plus 250-kWh battery storage project at the Hengjaya Mine, which is scheduled to commission in the first quarter of 2022. The mine currently sources its power from diesel-powered generators and it is anticipated that the solar project will reduce diesel consumption by approximately 31 million litres over the 25-year estimated project life.

“As part of the company’s commitment to reducing its greenhouse gas emissions we are delighted to further expand our existing relationship with SESNA …,” said Nickel Mines Managing Director Justin Werner. “It is estimated this solar project could supply up to 20% of [Hengjaya Nickel and Ranger Nickel’s] current electricity requirements and in doing so account for a material reduction in annual CO2 emissions.”

Werner added that the project “marks an important first step in our ’Future Energy’ collaboration with our partner Shanghai Decent and our joint commitment to a more sustainable future for Indonesia’s nickel industry.”

According to the MoU, SESNA will finalise and deliver a project proposal within the next three months, at which point Nickel Mines may elect to either proceed or terminate the agreement.

Source: Nickel Mines Ltd.