French firm TotalEnergies will supply decarbonized electricity to mining and metallurgy consortium Prony Resources New Caledonia through a 25-year renewable power purchase agreement (PPA).
The firm will develop a series of photovoltaic and energy storage projects between 2022 and 2025. The solar arrays will have an installed capacity of a combined 160 MW, while TotalEnergies also will install energy battery storage capacity with 340 MWh in duration.
Most of the installations will be on the Grand Sud hydrometallurgical plant-owned property. The first 30-MW power plant is expected to come online in 2023.
The project will cover almost two-thirds of the electricity requirements of the site. It will help reduce 230,000 tons of CO2 emissions and contribute to Prony Resources New Caledonia's goal of achieving carbon neutrality by 2040.
TotalEnergies Renewables France CEO Thierry Muller said, “Prony Resources New Caledonia's commitment to decarbonization is both ambitious and pioneering in the industry. We are very proud to support their energy transition, and that of New Caledonia. As industrial firms, we think and act responsibly. Our two companies are committed to protecting natural resources and biodiversity, and to improving the situation of local communities. With this long-term partnership, we are demonstrating that it is possible to support industrial activity in New Caledonia and participate in a sustainable development approach at the same time."
New Caledonia contains about a quarter of the world's nickel reserves within its soil. Energy storage developers, such as Tesla, have contracted with mines to offtake the mineral for battery components. The island also contains supplies of iron oxides.
New Caledonia is a series of islands in the southwest Pacific under French rule.
