# Jubilee Metals signs three-year private power purchase agreement in Zambia

- Link: https://www.directorstalkinterviews.com/jubilee-metals-signs-three-year-private-power-purchase-agreement-in-zambia/4121169502
- Published: 2024-08-27T07:24:00+01:00
- Author: Amilia Stone

**[Jubilee Metals Group](https://www.directorstalkinterviews.com/company/jubilee-metals-group-plc/jlp.l)
plc **([LON:JLP](https://www.directorstalkinterviews.com/company/jubilee-metals-group-plc/jlp.l)),
a diversified metals producer with operations in Zambia and South Africa, has announced
the signing of a three-year renewable power purchase agreement with Lunsemfwa Hydro
Power Company (LHPC), an independent hydro and solar power producer in Zambia. The
power purchase agreement ensures that the total power supply needs of both Roan 
and Sable will be continuously met at competitive rates to the prevailing power 
tariffs, commencing on 1 September 2024. 

In addition, the agreement allows Jubilee the option to secure a further 10MW of
solar generated power discounted by more than 30% below the initial power purchase
agreement power rates. The additional power secures Jubilee’s future power demands
to meet its expanding operational footprint.

> **Leon Coetzer, CEO of Jubilee Metals commented:**
> “The successful implementation of the private power purchase agreement is a critical
> step towards securing a reliable and continuous power supply for our operations
> and addresses the current shortage of power experienced. This comes at a critical
> time as we step up the production at our Roan and Sable operations and look to
> further expand our operational footprint. Our Roan operation has been impacted
> by power shortages, which is comprehensively addressed by this agreement.
> The additional power allocation of 10MW which holds the potential to be further
> scaled, ensures that our immediate power demands for our operational expansion
> targeting 25 000 tonnes of annual copper processing capacity will be met. Security
> of power supply is a critical factor in the successful roll-out of our Zambian
> copper strategy.”

**Further Background to the Power Purchase Agreement**

LHPC is an established independent power producer in Zambia and owns and operates
two hydropower plants in the central province. LHPC is a member of the Southern 
Africa Power Pool and an active power trader in the regional market. LHPC is building
a 20MW solar plant and plans to use its portfolio of renewable power sources to 
meet Jubilee Zambia’s power requirements. The agreement highlights Jubilee’s dedication
to sustainable energy practices. The power will be supplied from an integrated solar
power and hydro-storage facility which is expected to be brought into operation 
over the coming 12 months.  

On 10 June 2024, the government of the Republic of Zambia held a special cabinet
meeting chaired by the President and approved the Open Access regime allowing private
players to access the electricity transmission and distribution lines in the country
to give consumers alternative sources of electricity to encourage the development
of power generation in the country. LHPC and Jubilee Metals are excited to be among
the pioneers in actualising this government policy.

Share on: