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Eurasian Resources Group secures electricity supply for its copper operation at Frontier Mine in the DRC
Eurasian Resources Group (“ERG” or “the Group”), a leading diversified natural resources group, has concluded power supply arrangements for its Frontier S.A. (“Frontier Mine”).
The contract was signed with the Société Nationale d’Électricité (“SNEL”), the national electricity company of the Democratic Republic of the Congo (DRC), with power supply of 41MW to be sourced from ZESCO, the national electricity company of the Republic of Zambia; and Rawbank, a top commercial bank in the DRC.
Frontier Mine is a cornerstone of ERG’s copper business and is situated on the DRC-Zambia border. It comprises an open-cast copper mine and processing facilities to produce copper sulphide concentrate, treating over 10Mt of copper sulphide ore annually.
ERG also recently signed a supply agreement for Metalkol SA, a major cobalt and copper tailings reprocessing operation and a low-cost hydro-metallurgical facility owned by ERG, to secure its electricity supply or up to 10 years.
Benedikt Sobotka, CEO of Eurasian Resources Group, commented: “We are pleased to be able to achieve a reliable electricity supply for our Frontier Mine. This new agreement further demonstrates ERG’s commitment to the DRC and Zambia, and further cements our wider strategy on the continent as a whole. We are proud of the strong partnerships we have formed in Central Africa, such as with ZESCO, which is a well-respected and trustworthy power generation source.”
Jean-Bosco Kayombo Kayan, SNEL Director General, said: “We are happy with the current agreement as it guarantees the continuity of the electric power delivery through the arrangements between Frontier, SNEL SA, ZESCO and Rawbank. Eventually we are aiming to supply Frontier from only internal sources in the DRC where existing hydro-electric plants and power lines are currently being rehabilitated.”
Victor Mundende, Managing Director of ZESCO, said: “The signing of this new agreement showcases the growing partnership between ZESCO and ERG as well as a vote of confidence in ZESCO’s ability to provide power to operations at Frontier Mine. This is also in line with our vision to be the hub of power trading in the Southern African region. In this regard, we remain committed to providing power supply to Frontier Mine to the extent local power sources are unavailable.”