AES Corporation has signed a power purchase agreement with Chilean mining outfit Compania Minera Teck to provide 100% renewable power for its Carmen de Andacollo (CdA) copper mine.
Teck will source electricity generated by AES Gener’s 72MW portfolio of wind, solar and hydroelectric energy.
The PPA came into effect from 1 September 2020 and will run through to the end of 2031.
Teck chief executive Don Lindsay said: “Teck is tackling the global challenge of climate change by reducing the carbon footprint of our operations and working towards our goal of becoming carbon neutral.
“This agreement takes Teck a step closer to achieving our sustainability goals, while also ensuring a reliable, long-term clean power supply for CdA at a reduced cost to Teck.”
AES CEO and president Andres Gluski added: “We are honoured to continue working together with Teck to help them progress towards their goal of carbon neutrality.
“By providing Teck with innovative renewable energy solutions, AES Gener is helping build Chile’s sustainable and reliable grid of the future.”
Teck has set a goal of being a carbon neutral operator by 2050 and has set “milestone goals” including sourcing 100% of all power needs in Chile from renewable power by 2030 and reducing the carbon intensity of operations by 33% by 2030.
Teck previously announced an agreement with AES Gener to supply renewable power for the Quebrada Blanca Phase 2 (QB2) project currently under construction.
Once effective, more than 50% of QB2’s total operating power needs will be from renewable sources.
CdA is located in the Coquimbo Region of central Chile, approximately 350 kilometres north of Santiago.
Teck owns a 90% interest in the mine. Empresa Nacional de Minería holds the remaining 10%.