Intelligent CIO Africa Issue 38 | Page 61

INTELLIGENT BRANDS // Green Technology Understanding the priorities of decision-makers in the energy sector ///////////////////////////// component parts of lithium-ion batteries. But, while this presents opportunity for miners, this also means capital investment opportunities in some mines, such as coal, has become more difficult. There’s also risk in investing in the latest technologies as and when they emerge due to the market changing regularly. John Lewis, Managing Director, Aggreko Africa, talks about a global survey that the company conducted to better understand the priorities of decision-makers in the energy sector. T he impact of the energy transition on the mining industry has been profound. It is one of the most energy-intensive industries in the world, accounting for an estimated 6.2% of the total global energy consumption. It has also historically been a disproportionately large contributor to global warming, through the intensive use of fossil fuels to power operations. But now there is a spotlight on the sector, with increased pressure to move towards renewable energy. Decarbonising versus cost Aggreko recently conducted a global survey to better understand the priorities of decision-makers in the energy sector. Of those surveyed, 50% said that cost is their primary consideration. Mine operators are therefore facing a dilemma – how to integrate renewable energy into power solutions which require www.intelligentcio.com The Tasiast mine, one of the largest open pit gold mines in Africa, located in the remote north western region of Inchiri in Mauritania, was facing this dilemma. Its off-grid mine was powered by an inefficient fuel source and prone to regular breakdowns, incurring huge maintenance costs. significant CAPEX investment, when there’s a backdrop of commodity price volatility making investment unattractive. The Syama gold mining complex in southern Mali was able to balance this well. Aggreko recently signed a contract with Resolute and has been able to support its ambitions to reduce carbon emissions and improve overall efficiency for the site. Once installed, Aggreko will operate and maintain a 40 MW thermal power plant and a 10 MW battery storage system, with a further 20 MW of solar power planned in 2023. To address their immediate issues, Aggreko offered a solution that was easy to integrate into their current power mix. Kinross now has reliable, guaranteed power 24/7 to ensure its gold production is unaffected by power issues or further shutdowns. Given it was a rental solution, it also gave them the necessary breathing space and time to review longer term power options for the remaining life of the mine. Managing capital and project risk It’s clear that mining is a sector undergoing deep transformation as a result of the energy transition. The use of hybrid power solutions at mines is only set to increase, while investment will continue to be driven by innovation in green technology. Long term role of mines versus cost Advances in technology are also driving change for the mining industry in terms of the pool of metals and minerals that are considered to be a worthwhile investment. The growing popularity of electric vehicles is leading to an increase in the need for cobalt, lithium and nickel, which are important Mining companies are in the unique position of needing to deploy green energy sources whilst also being a key component in the supply chain for new low-carbon technology. Finding nimble solutions, such as hybrids or microgrids, provides companies with the agility needed to respond to the quickly- evolving energy landscape. n INTELLIGENTCIO 61