Ba-Phalaborwa, Limpopo Province — In a major boost for sustainable mining and South Africa’s clean energy ambitions, Mzansi Energy Consortium has signed a 12-year Power Purchase Agreement (PPA) with Palabora Mining Company (PMC). Together, the two will develop one of the country’s largest private renewable energy projects, and the first grid-forming project in South Africa.
The Marula Green Power initiative will deliver 132MWp of solar photovoltaic (PV) capacity, a 360MWh battery energy storage system (BESS), and a dedicated 132kV transmission line to wheel clean power to PMC’s mining operations in Ba-Phalaborwa. The grid-forming solution will provide stable, dispatchable electricity while supporting South Africa’s broader energy transition.
PMC commits to sustainable energy
“This strategic partnership with Mzansi Energy Consortium marks a significant milestone in PMC’s commitment to sustainable operations and energy security,” said Itumeleng Ngoae, PMC’s Executive Manager for Asset Management, Safety, Health, Environment and Quality (AMSHEQ). “Wheeled solar power coupled with battery storage aligns with our goals to reduce carbon emissions and operating costs, while strengthening community development and sustainable mining in Ba-Phalaborwa.”
The facility will comply with all regulatory requirements, including the Environmental Impact Assessment (EIA), Eskom grid connection protocols, and approvals from the National Energy Regulator of South Africa (NERSA).
One of SA’s largest IPP initiatives
“This will be South Africa’s first grid-forming renewable project and one of its largest private-sector IPP initiatives,” explained Wessel Wessels, Chief Operations Officer at Mzansi Energy Consortium and CEO of Journey2Green. “We’re building a dedicated 132kV line to enable wheeling via Eskom’s grid, while incorporating advanced energy management systems and significant battery storage capacity. Partnering with Huawei, we’ve adopted an integrated factory-to-field model that shares technology risk across the lifecycle—from design through to operations.”
The solar site was carefully located outside PMC’s operational area to avoid interference with the Kruger National Park’s protected wildlife. A full EIA has been completed to ensure environmental compliance and system efficiency, addressing the high soiling levels in the region.
Operations to commence in early 2027
“Rand Merchant Bank has been appointed Mandated Lead Arranger for the project’s debt financing,” added Tsatsi Mahlatsi, Chief Executive Officer of Mzansi Energy Consortium.
“We expect financial close in Q4 2025, construction to begin shortly thereafter, and commercial operations to commence in early 2027. This project supports our long-standing commitment to South Africa’s energy transition and will deliver significant carbon reduction and grid stability benefits.”
Beyond environmental impact, Marula Green Power is designed to leave a lasting legacy in the Ba-Phalaborwa region.
“Matching this project to applicable socio-economic needs was key,” said Tumi Mogoera, Chief Marketing Officer at Mzansi Energy Consortium. “Our localised development model ensures inclusive benefits during all project phases—feasibility, construction, and operation. We’ve committed to equity ownership for five tribal communities, creating up to 750 short-term jobs and over 30 permanent roles, with strong support for local SMMEs.”
Community engagement vital
Since 2023, community engagement has been a core focus, ensuring alignment with PMC’s social investment priorities and the development needs of Ba-Phalaborwa.
The Marula Green Power project underscores how renewable energy can power South Africa’s industrial backbone while uplifting local communities and preserving natural ecosystems. As PMC advances its sustainable mining journey, Mzansi Energy Consortium remains committed to delivering innovative, scalable clean energy infrastructure that benefits people and planet alike.
