Diversified resources group Exxaro Resources has, through its wholly-owned renewable energy business Cennergi, celebrated the commercial operations date (COD) milestone of the Lephalale solar project (LSP), one of the largest behind-the-meter renewable energy projects in South Africa.

Located near Exxaro's Grootegeluk coal mine in Lephalale, Limpopo, the solar PV facility supplies renewable energy directly to the Grootegeluk mine through the mine’s main substation.

The company on July 15 said this marks a significant achievement for Exxaro's decarbonisation journey and demonstrates the successful execution of its Sustainable Growth and Impact strategy.

The R1.7-billion investment comprises 129 024 solar modules installed across 185 ha, delivering 68 MW alternating current (MWac) at the point of connection.

The facility is designed to generate about 176 GWh/y of clean energy under a 25-year power purchase agreement with Grootegeluk .

The site is 2 km from Marapong and about 4 km from State-owned Eskom’s Matimba power station.

The facility is expected to deliver electricity cost savings at the Grootegeluk mine of about R100-million a year and reduce the company’s Scope 2 emissions by about 17%, while delivering strategic operational benefits through greater energy resilience, decentralised power generation, reduced exposure to carbon taxes and long-term electricity cost certainty.

The company noted that the site is licensed for future battery energy storage system integration to store surplus energy and optimise usage.

“Exxaro has a clear strategy about its growth. We have a sustainable growth and impact strategy, and our impact goes beyond just the mining we do or the energy we produce, but we aim to make sure it impacts beyond the surface of our operations.

“We are accelerating our ambition to become a diversified natural resources champion in South Africa, in Africa, and beyond,” said Exxaro CEO Ben Magara during the celebration on July 15.

BACKGROUND
Having achieved its commercial operations date on April 20, Exxaro said the LSP represents its first utility-scale, self-generation renewable energy asset to reach commercial operation.

The project reached financial close in June 2023, with the notice to proceed issued in August 2023, marking the start of construction. Following the successful completion of hot and cold commissioning in November 2025, the first renewable electricity was exported to Grootegeluk mine on December 11, 2025.

Just over a week later, on December 19, 2025, the facility achieved its full generation capacity of 68 MWac, paving the way for the commercial operations date in April.

During construction, the company noted that the project created 808 employment opportunities, with 557 host community members employed, representing 69% local recruitment, including three people living with disabilities from local communities.

The project also prioritised local economic participation, achieving 41.9% of the local content spend and supporting 13 local subcontractors, helping strengthen the regional supplier ecosystem.

Exxaro said it invested R1.12-million in community bursaries and worker training.

Local workers received extensive on-the-job training during PV module installation, while additional construction-related programmes – including firefighting, first aid, incident investigation, hand tools and manual handling training – equipped participants with transferable skills that will enhance future employability beyond the life of the project.

Magara said the project was not just about reducing Exxaro's emissions or its costs, but also about creating jobs, contributing to economic growth and ensuring the company contributes to reducing poverty through education and enterprise development.