REG-Pan African Resources Plc: Commission of 10MW Solar PV Plant at Evander

Pan African ResourcesAnnouncement

10/05/2022 13:15

Pan African Resources PLC

(Incorporated and registered in England and Wales under the Companies Act 1985
with registered number 3937466 on 25 February 2000)

Share code on AIM: PAF

Share code on JSE: PAN

ISIN: GB0004300496

ADR ticker code: PAFRY

(“Pan African” or the “Company” or the “Group”)

PAN AFRICAN SUCCESSFULLY COMMISSIONS 10MW SOLAR PHOTOVOLTAIC (PV) PLANT AT
EVANDER GOLD MINES

HIGHLIGHTS
* The first solar PV renewable energy plant of this capacity to be
commissioned by a mining company in South Africa
* Construction cost of R150 million (US$9.4 million at an exchange rate of
US$/ZAR:16.00), with cost savings estimated at R100,000/day ~ R3m/month, at
current electricity tariffs payback is anticipated in under 5 years
* Reduced use of fossil fuel-generated power consumption with an expected
reduction in C0(2) emissions saving of some 26,000t/annum, contributing to an
estimated 5% reduction in Group emissions
* Feasibility study nearing completion on 12MW expansion to power Evander
underground organic growth projects – construction to commence during FY2023
* The Group is finalising its roadmap to decarbonisation with an additional
8MW PV plant to be constructed at Barberton Mines during FY2023, combined with
an investigation into operational battery storage solutions
* 30MW of solar capacity expected to be in operation by 2024 across the
Group’s assets.
Pan African is pleased to inform shareholders that its Evander solar PV
renewable energy plant commenced the generation and supply of electricity to
the Group’s Elikhulu surface retreatment operations, as part of its hot
commissioning process, on Friday, 6(th) May 2022. The solar PV plant, situated
at Evander Gold Mines, will provide an estimated 30% of Elikhulu’s power
requirement and materially reduce electricity costs.

Cobus Loots, CEO of Pan African, commented: “In addition to CO(2) emission
reductions, the PV plant has the added benefits of providing a secure and
stable power supply, while at the same time ensuring we manage future cost
pressures resulting from above-inflation electricity tariffs. Reducing our
carbon emissions is just one of the ways Pan African is ‘Mining for a
Future’, and forms part of our integrated beyond compliance approach in
support of our ESG principles. We will continue with energy independence and
decarbonisation initiatives at all our operations, with another 20MW of solar
capacity scheduled to be constructed in the next two years.”

Construction and specifications
* Site area of 20.1 hectares containing 26,640 solar modules (445W Suntech
bi-facial polycrystalline modules for improved yield)
* 50 Sungrow string inverters (250kW each), 4 Sungrow 880V/6.6kV MV
transformers
* 222 STi Norland single axis sun trackers to maximise yield
* 6.6kV MV switching station on site, with a 507m long 6.6kV overhead line
connecting to the mine’s electrical network
Pan African concluded the concept design and bankable feasibility study for
this solar PV plant during 2019 and obtained municipal consent for
construction on 17 December 2019. Engineering studies and other regulatory
processes, including the water use licence and environmental approvals and
DMRE consent were obtained during 2020. The NERSA generation licence was
issued in August 2021.

Site-establishment and construction commenced in calendar Q1 2021, on
rehabilitated land owned by Evander Mines. The tender for the Evander solar PV
facility was awarded to juwi Renewable Energies South Africa, a subsidiary of
the German headquartered juwi Group, one of the world’s leading renewable
energy companies.

Social Impact

During construction the services of 10 local contractor companies were
utilised, which provided 202 temporary local job opportunities. The jobs and
skills developed during construction will be retained for Evander Gold
Mine’s underground renewable energy 12MW expansion phase. Apart from using
local contractors for cleaning and maintenance of the solar panels, the
Company is investigating implementation of agriculture projects at the
facility which are expected to create sustainable local employment
opportunities and maximise land utilisation at Evander Gold Mine’s solar PV
facility.

Rosebank

10 May 2022

For further information on Pan African, please visit the Company's website at

www.panafricanresources.com

 Contact information                                                                                                                                                                                                                                                                                  
 Corporate Office The Firs Office Building 2nd Floor, Office 204 Cnr. Cradock and Biermann Avenues Rosebank, Johannesburg South Africa Office: + 27 (0)11 243 2900 info@paf.co.za  Registered Office Suite 31 Second Floor 107 Cheapside London EC2V 6DN United Kingdom Office: + 44 (0)20 7796 8644  
 Cobus Loots Pan African Resources PLC Chief Executive Officer Office: + 27 (0)11 243 2900                                                                                         Deon Louw Pan African Resources PLC Financial Director Office: + 27 (0)11 243 2900                                 
 Phil Dexter/Jane Kirton St James's Corporate Services Limited Company Secretary Office: + 44 (0)20 7796 8644                                                                      Ross Allister/Alexander Allen Peel Hunt LLP Nominated Adviser and Joint Broker Office: +44 (0)20 7418 8900         
 Ciska Kloppers Questco Corporate Advisory Proprietary Limited JSE Sponsor Office: + 27 (0)11 011 9200                                                                             Thomas Rider/Nick Macann BMO Capital Markets Limited Joint Broker Office: +44 (0)20 7236 1010                      
 Hethen Hira Pan African Resources PLC Head: Investor Relations Tel: + 27 (0)11 243 2900 E-mail: hhira@paf.co.za                                                                   Website: www.panafricanresources.com                                                                               



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