ASX Renewable Energy Stocks: Nickel Mines increases solar supply capacity to Indo nickel ops

NIC inks deal with Singapore-based solar PV pioneer Quantum Power Asia for 220MWp solar project
Project is in addition to 220MWp project with Indonesian solar development company Sesna
WOP looks to develop a world-first commercial scale renewable plastic facility

Emerging Indonesian nickel pig iron producer, Nickel Mines (ASX:NIC) inked a deal with Quantum Power Asia yesterday for the implementation of a 220MWp solar project, to be located within the company’s 80pc Hengjaya Mine area, where its new four-line RKEF project Oracle Nickel is under construction.

This move expands upon the binding memorandum of agreement signed with Indonesian solar development company, Sesna, in January, 2022 for a 200MWp solar project to be built within the Indonesia Morowali Industrial Park (IMIP) – where the Hengjaya mine is located.

The plan at this stage is for the two solar projects to significantly scale up the supply of renewable energy to the Hengjaya Nickel and Ranger Nickel processing operations within IMIP.

Currently, the Hengjaya Mine sources its power from diesel-powered generators and it is anticipated that the Hengjaya Mine solar project will reduce diesel consumption by roughly 31 million litres over the 25-year projected project life.

A pioneer of Indonesia’s solar PV industry since 2014, Singapore-based Quantum is an independent power producer focused on the development of solar PV and PV-Hybrid solutions for commercial and industrial clients.

The term sheet will allow the two parties to enter into definitive agreements, including a PV operational lease agreement for a period of 25 years and marking the first phase of a planned 1GWp solar program to be developed and financed by Quantum.

Advancing 420MWp solar capacity

NIC managing director Justin Werner said the company is pleased to expand its potential solar capacity with the signing of a term sheet with Quantum for an additional 220MWp.

“Excellent progress has been made in regard to the initial 200MWp project with Sesna, with completion and presentation of a compelling business case – we now look forward to working together to sign a definitive term sheet and binding PPA so that construction can commence,” he said.

“With 420MWp solar capacity now being advanced this will greatly contribute to the company’s commitment to reducing its greenhouse gas emissions and paves the way for further solar capacity to be added in the future.”

Nickel Mines (ASX:NIC) share price today

Worley (ASX:WOR)

Worley is progressing its strategic partnership with Avantium Renewable Polymers to the next phase after signing a ‘technology cooperation agreement’ to develop a world-first commercial scale renewable plastic facility in Delfzijl, the Netherlands.

Dubbed the ‘Avantium flagship facility’ and expected to produce up to 5,000 kilo tonnes of plant-based furandicarboxylic acid (FDCA) annually, the two entities will work together to deliver engineering, procurement, and construction (EPC) services.

FDCA is a key building block for many chemicals and plastics, such as polyethylene furanoate (PEF), a fully recyclable plastic, and it is expected this facility will be the commercial proof for future larger scale projects.