First Quantum Minerals continues to diversify its energy supply options for its mine sites in Zambia amid persistent shortages from the national power systemIn a Q2 results statement, it reported that various wind and solar projects were advancing, through which it intends to take offtake power.“Supplementary power-sourcing arrangements are expected to remain in place through mid-2027 as hydropower resources recover and structural constraints on the national grid continue to ease,” the statement noted.The energy crunch stems from hydro generation shortages and the force majeure declared by Zesco, the state power utility, in early 2024 which remain in effect.According to the Q2 statement, Zambia’s national power system continued to recover during the quarter.Hydrological conditions improved materially through the wet season, with Lake Kariba reaching approximately 48% usable storage in late June 2026, compared with approximately 23% at the same time in 2025.Zesco continues to manage the reservoir conservatively while storage levels continue to rebuild to mitigate the system from future drought risk.Crucially, First Quantum said the company experienced no material power-related production impact during the quarter.“To ensure operational continuity, the company maintained its diversified power-sourcing strategy,” the statement read.During the quarter, approximately 80% of the company’s Zambian power requirements was sourced from imports and domestic independent power producers, with approximately 20% supplied by Zesco.These arrangements, implemented in coordination with the state power utility and other stakeholders, support grid stability, reduce reliance on Kariba-based generation, and allow for continued rebuilding of reservoir levels, the statement added.“During the quarter, progress was made on medium- and long-term power sourcing solutions,” it noted.“Development of the previously announced wind and solar power project, from which the company intends to offtake power, remains on track. Joint grid-stability initiatives with the state power utility also advanced. For the Kansanshi STATCOM project, major equipment orders have been placed, manufacturing is underway, and site installation is scheduled to commence in early 2027.”The Kansanshi STATCOM project is a major joint grid-stability initiative between First Quantum and Zesco.The mining group added that supplementary power-sourcing arrangements are expected to remain in place through mid-2027 as hydropower resources recover and structural constraints on the national grid continue to ease.“While Zesco-supplied power is expected to be progressively reinstated as reservoir levels rebuild, the company expects to maintain a diversified supply mix to support operational reliability and manage system risk.”In Zambia, First Quantum operates the Kansanshi mine and smelter in Solwezi, and the Sentinel copper mine and the Enterprise nickel mine in Kalumbila.Read more:
First Quantum diversifies Zambia energy supply
Rethinking energy supply options in Zambian mining (Image source: Adobe Stock)
