DRDGOLD, a company known for recovering gold from old mine dumps, has taken a big step towards a greener future by building a massive 60 MW solar farm. This solar farm, located at their Ergo operation, is a game-changer for the company, providing a significant portion of the energy they need while reducing their environmental impact.
DRDGOLD’s CEO, Niël Pretorius, described the new solar farm as a “R3-billion prepaid electricity facility.” What he means is that this solar farm, which cost about R3 billion to build, will supply around half of the energy needed for the Ergo site in the years to come. Over the past year, the solar farm generated over 13 million kilowatt-hours (kWh) of energy, covering about 10% of the site’s total energy consumption. What’s more, the solar farm is connected to the national grid, meaning any extra energy it produces can be sent to help power other parts of the country.
Switching to renewable energy, like solar power, is a big part of DRDGOLD’s plan to cut down on its environmental footprint. By using more green energy, the company is reducing its “Scope 2 emissions”—these are the emissions produced by the electricity they use. This move not only helps the environment but also positions DRDGOLD as a forward-thinking company in the mining industry.
DRDGOLD isn’t just focused on the present; they’re also looking ahead. The company is working on new projects that will increase the amount of material they process each month and boost their gold production. By 2028, they aim to process three million tonnes of material each month, which would push their gold production to more than six tonnes per year—a significant increase from current levels.
In the last financial year, which ended on June 30, DRDGOLD reported revenues of R6.2 billion and an operating profit of R2.1 billion. However, the company did face some challenges, like a 3% drop in the amount of material processed and a 5% decrease in gold production, which fell to just over five tonnes. Despite these setbacks, the company is pushing forward with plans to grow and improve its operations.
To support its growth, DRDGOLD invested nearly R3 billion, most of which was spent on expanding and upgrading its operations. Even with these investments, the company continued its streak of paying dividends to shareholders, marking the seventeenth consecutive year of doing so.
DRDGOLD is also working on making its operations more efficient. By reducing the number of sites it operates from 15 to just five, the company is simplifying its processes. This, combined with the energy savings from the new solar farm, will help the company stay strong even if the price of gold drops.
One of the most exciting projects DRDGOLD is working on is the Far West Gold Recoveries Phase II, which includes building a new regional tailings storage facility (RTSF). This facility will be large enough to store all the remaining resources from the West Rand area, providing a long-term solution for dealing with mining waste in an environmentally safe way.
DRDGOLD’s approach to business goes beyond just making money. The company is deeply committed to environmental, social, and governance (ESG) principles. Every tonne of material they process not only helps them recover gold but also supports environmental clean-up efforts, creates jobs, and benefits local communities.
Over the past 12 years, DRDGOLD has reprocessed over 138 old mine dumps, turning previously unusable land back into productive space. The company is also focused on using less water and preserving biodiversity, further showing their dedication to reducing their environmental impact.
With its new solar farm and a strong focus on sustainability, DRDGOLD is setting an example for the mining industry. By combining cutting-edge technology with a commitment to the environment and community, DRDGOLD is not just mining for gold; it’s mining for a better future.
Source: Mining Weekly
