Richards Bay Minerals (RBM) has finalised its third Power Purchase Agreement (PPA), partnering with Red Rocket South Africa (Pty) Ltd for Phase 1 of the Overberg Wind Farm
Located near Swellendam in the Western Cape, the Overberg Wind Farm is set to commence construction in the first half of 2025, with operations expected to begin by December 2026. The project will be developed in two phases, with RBM securing 230MW of the total 380MW export capacity. Once operational, the wind farm is projected to cut RBM’s greenhouse gas (GHG) emissions by approximately 30% annually (0.7 Mt CO2e).
With this latest agreement, RBM has now committed to approximately 500MW of renewable energy through various PPAs.
RBM’s renewable energy transition began with the announcement of the Bolobedu Solar PV project in October 2022. Situated about 120 km east of Polokwane in Limpopo, the 130MW solar plant is designed to generate approximately 300 GWh of energy annually, with construction already underway.
In June 2024, RBM secured another renewable energy deal with the Khangela Emoyeni Wind Farm, located near Murraysburg, spanning the Western Cape and Northern Cape provinces. This 140MW wind project, which began construction in July 2024, is expected to supply RBM with around 460 GWh of renewable energy per year through a wheeling arrangement with Eskom.
A quicker transition?
Commenting on RBM’s renewable energy commitments, Werner Duvenhage, managing director of RBM and Rio Tinto Iron and Titanium (RTIT) African Operations, stated, “This announcement comes shortly after the United Nations International Day of Clean Energy on 26 January 2025, which reminds us of the need to transition from our reliance on fossil fuels for the betterment of our planet and people. At RBM, we are taking real action to displace electricity generated from coal with solutions like solar PV, wind, and other renewable technologies.
“The Overberg Wind Farm project represents the biggest project in RBM renewable energy procurement and is a key step towards RBM achieving its commitment in line with the target set by the Rio Tinto Group, to reduce its emissions by 50% by 2030, relative to the 2018 baseline, and achieve net zero by 2050.”
Matteo Brambilla, CEO of Red Rocket South Africa, emphasised the impact of the project, remarked, “The signing of this PPA for the Overberg Wind Farm is a significant milestone in our ongoing partnership with Richards Bay Minerals. This project will deliver 230MW of clean energy to the South African grid, driving positive environmental impact for RBM while contributing to South Africa's energy transition. At Red Rocket, we are proud to support RBM's commitment to a more sustainable future and to be at the forefront of delivering innovative, impactful renewable energy solutions.”
RBM currently consumes approximately 1.8 TWh (Terawatt-hours) of electricity per year, with energy use accounting for about 1.6 Mt CO2e—roughly 80% of its annual GHG emissions.
Collectively, the three renewable energy projects—Overberg Wind Farm, Khangela Emoyeni Wind Farm, and Bolobedu Solar PV—are expected to reduce RBM’s Scope 1 and 2 emissions by around 60% (1.4 Mt CO2e) from a 2018 baseline.