Rio Tinto has partnered with Edify Energy to secure reliable and cost-effective renewable energy for its Gladstone aluminium operations in Queensland.
Under the agreement, Rio Tinto will purchase 90 per cent of the power and battery storage capacity generated by Edify Energy’s Smoky Creek and Guthrie’s Gap solar power stations for 20 years.
Construction of both stations is set to begin in late 2025, with completion targeted for 2028.
Located in central Queensland, the two adjacent solar farms will feature 600 megawatts (MW) of solar power and 600MW/2400MW hours of battery storage.
“These agreements are integral to repowering our Gladstone aluminium operations with affordable, reliable and lower carbon energy for decades to come,” Rio Tinto chief executive officer (CEO) Australia Kellie Parker said.
“For the first time, we have integrated crucial battery storage in our efforts to make the Boyne aluminium smelter globally cost-competitive, as traditional energy sources become more expensive.
“We continue to investigate further renewable energy investments to repower our Gladstone aluminium operations.”
Edify Energy CEO John Cole acknowledged the importance of the agreement in supporting Australia’s industrial sustainability.
“The Smoky Creek and Guthrie’s Gap solar power stations deliver the latest in solar, battery and inverter technology to support Australia’s power needs,” Cole said.
“This collaboration is an important commitment to supporting the sustainable future of Australia’s industrial sector.
“We are proud to advance Rio Tinto’s goals to repower its Gladstone operations and to play a role in the transition to a low-carbon economy.”
A combination of the 2.2GW of renewable wind and solar power purchase agreements Rio Tinto has secured with European Energy and Windlaband with the Smoky Creek and Guthrie’s Gap agreements are expected to secure 2.7GW of future wind and solar energy in Queensland.
About 80 per cent of the supply will go towards the Boyne smelter’s electricity needs, reducing its emissions by 70 per cent or 5.6 million tonnes of carbon dioxide annually.
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