(Kitco News) - Caledonia Mining (NYSE: CMCL) announced Monday that the new solar plant at its Blanket gold mine in Zimbabwe will today start to generate power.
“Recognizing the economic, environmental and logistical challenges of running large-scale diesel generators for extended periods, Caledonia started constructing the 12.2 MWac solar plant late in 2021,” the company noted in a statement.
Caledonia Mining said that as from today, the solar plant will provide power to Blanket, adding that in due course it is expected that the solar plant will provide approximately 27% of Blanket's average daily electricity demand.
Commenting on the announcement, CEO Mark Learmonth stated, “I am delighted that the solar plant is connected to the Blanket grid and from today Blanket will start to receive some of its energy directly from solar.
“The solar power will displace more expensive power from the grid and from the diesel generators and is expected to reduce Caledonia's consolidated cost per ounce of gold produced by approximately $37.”
Caledonia Mining’s primary asset is the Blanket gold mine in Zimbabwe. By 2022 the company plans to increase its annual production to 80,000 ounces.
