Endeavour Mining to set up 37 MWp solar facility at Sabodala-Massawa mine
Endeavour Mining is investing US $55 million in the construction of a 37 MWp photovoltaic (PV) solar facility at the Sabodala-Massawa mine in Senegal. This is part of the company’s long-term goals of sustainability, cost efficiency, and financial growth.
This solar plant will complement the existing heavy fuel oil power plant and will be equipped with a 16 MW battery system for power regulation. The goal is to reduce fuel consumption, lower power expenses, and minimize emissions. This reflects the company’s commitment to sustainability and reducing its environmental impact.
fFinancial gains
The hybrid approach of combining solar and heavy fuel oil power is expected to yield a pre-tax internal rate of return (IRR) of 15%. If additional resource conversion and exploration potential are considered, the IRR could be over 20%. These projections demonstrate the company’s commitment to optimizing its operations for financial gains.
Endeavour Mining recently sold mines in Burkina Faso for $300 million, indicating a strategic move to divest lower-quality assets and focus on higher-quality ones. This decision aligns with the company’s optimization strategy and cost-efficiency goals.
Sebastien de Montessus, the CEO of Endeavour Mining, emphasized on the company’s commitment to cost efficiency and mentioned intention to enhance shareholder returns once organic growth projects are completed. This indicates a focus on delivering value to shareholders and optimizing the company’s operations. Despite a 13% year-on-year decline in production in the first half of 2023 due to various operational factors, Endeavour Mining remains on track to meet its 2023 production guidance
