SOLARRESERVE BASELOAD SOLAR Power Improving Mining Economics with Predictable Energy Costs
UNDERSTANDING THE POWER REQUIREMENTS OF THE MINING INDUSTRY Mining operations, particularly those operating off-grid, have a unique set of requirements for power supply. has developed a suite of solutions for the mining industry with those requirements in mind, delivering significant savings and predictable energy costs to mining operations around the globe that are cost competitive with conventional energy sources. Reliable 24/7 Baseload Supply Mines operate 24 hours a day, practically every day of the year. Mining operators expect full reliability and availability from their power systems, with very low tolerance for outages or shortfalls. Most mines operate at a 70% to 90% annual load factor relative to their peak load, but peak loads can occur at any time of day in any season. Due to their inherent variability, most renewable technologies, like photovoltaic panels (PV) and wind, can only address a small fraction of the mine s energy needs, and are not reliable enough for off-grid power. However, by using fully integrated molten salt storage, offers Concentrated Solar Power (CSP) solutions that are as reliable and available as conventional technologies, but fueled by the sun. Energy Security An off-grid mine has no backup from a utility transmission system; so there are no capabilities to obtain reserve power, system inertia, voltage support, or other grid services. The mine s power source must supply all of these attributes itself. The nearest transmission line or natural gas pipeline may be hundreds of kilometers away. Even when a transmission grid exists nearby, it may be too fragile and unreliable. s power plants, with the right combination of solar energy storage and steam generation, can operate in isolation and provide all of these services seamlessly through dedicated supply to the mine, and with minimum reliance on fuels like diesel or natural gas. Fuel Abatement Supplying diesel to a remote mine can be a very expensive proposition since it is typically trucked to a mine over long distances. Natural gas supply can also be very expensive, given the cost of building pipelines to remote areas. Energy supply is typically around 25% of a mine s operating costs and fossil fuel based, which increases the risks from carbon tax regulations, environmental permitting, and fuel price volatility. Solar energy can significantly reduce cost and reduce risk. Integrating storage for a fully baseload solar supply will eliminate fuel risk while still reducing costs, improving competitiveness, and enhancing sustainability. Lower Energy Costs while Focusing on Minerals Mining companies are focused on the resources. The changing landscape around carbon emissions and renewable energy creates challenges that are best managed by working with an experienced partner. That s why offers complete turnkey solutions for energy supply, so that our customers can focus on their core business activities. 3
REAL SOLUTIONS FOR MINING COMPANIES offers mining companies the most reliable baseload solar generation on the planet, enabled by our industry leading CSP and molten salt storage technology. Solar Solutions for Predictable, Cost Effective Power s products minimize fuel use and thereby reduce exposure to volatile fuel prices. The degree of fuel abatement varies based on the size and scope of the solution: a smaller solar project can offset a portion of fuel consumption, while a larger project can fully replace conventional power infrastructure, eliminating the need for the mine to build its own fuel supply, power plant or transmission line. The Complete Power Supply Package, Customized offers an end-to-end energy supply solution, which includes suitability assessment, technology configuration, permitting support, finance and EPC management, and ongoing power plant operations or operational support. The energy supply agreement can be structured such that all technologies are integrated behind the fence at s facility, or can transfer control of the assets to the mine operator. In either case, the mine will enjoy a guaranteed fixed price of energy for the life of the project. 4
SPECIFIC SOLUTIONS FOR MINES configures custom solutions based on the generating capacity, load factor, solar resource, level of fuel reduction, grid power availability, and degree of power infrastructure replacement desired. CSP: M-Class and S-Class Solutions Integrated Hybrid Power Plants Concentrating Solar Power (CSP) with Integrated Molten Salt Energy Storage holds the world s leading, patented, and most advanced large-scale solar thermal technology available today. Our molten salt tower receiver with integrated thermal energy storage leads the CSP industry in terms of efficiency, reliability, and cost. can seamlessly integrate CSP, photovoltaic panels (PV), and fossil fuel. These components are fully integrated within s facility, such that the mine would only see the consistent and responsive power supply to suit its needs. Thus offers fully reliable power on par with traditional generation, but sustainable, and at a lower cost. Solution Set 200 S-Class S-Class + PV S-Class + PV + Fuel MW (Capacity) Size Increasing Economies of Scale 50 20 PV M-Class M-Class + PV S-Class + Fuel M-Class. + PV + Fuel 10 PV + Fuel 0-30% 30-50% 50-80% 80-90% 100% Low to Medium Penetration Substantial Fuel Abatement Infrastructure Replacement Scope (Capacity Factor) of Solution 5
50-200 MW CSP S-Class Configuration 20-50 MW CSP M-Class Configuration Both S-Class and M-Class CSP designs offer fully integrated molten salt storage. All of s CSP projects are also capable of providing a mine with process heat or steam in addition to power generation. CSP: M-Class and S-Class Solutions Integrated Hybrid Power Plants s disruptive CSP technology delivers a cost-effective, reliable and most importantly, a nonintermittent baseload (24x7) supply of electricity that is critical to mining operations. End-to-end system solutions from tens to hundreds of megawatts are available for both on and off grid mines, with the ability to operate at a high capacity factor and availability percentage equal to that of a fossil fired power plant. M-Class s M-Class is configured specifically for smaller off-grid mines in remote locations. The M-Class offers a half cylindrical receiver with a 180 heliostat field (north of the tower in the northern hemisphere, south of the tower in the southern hemisphere.) The M-Class is also faster to construct than the S-Class and due to the field geometry is more easily integrated with conventional power generation. Typical M-Class projects deliver 200-400 GWh per year at 20-50 MW of capacity depending on the configuration. S-Class s S-Class is the company s traditional configuration, as deployed at the Crescent Dunes Solar Energy Plant in Nevada, USA. The S-Class is characterized by a cylindrical receiver and 360 heliostat field. It is the largest and most cost-effective CSP configuration with molten salt storage commercially available today. S-Class projects typically deliver 500-700 GWh per year at a capacity of 50-200 MW depending on the configuration. 6 Full Reliability through Fuel Integration s CSP technology with solar energy storage can typically offer a capacity factor of 80%-90% from solar energy alone, depending on the strength and consistency of the sunlight. For full 100% availability in off-grid scenarios, a relatively small amount of fossil fuel can be used on cloudy days. The most cost-effective fuel integration strategy usually involves burning fuel (typically diesel) to heat the salt; which still results in a dramatic reduction in fuel use, but also allows the CSP plant s steam turbine to run at full capacity on fossil fuel if needed. Alternatively, depending on the duty cycle, auxiliary boilers or reciprocating engines can be incorporated economically. An in-depth model of the mine s load factor can demonstrate which technology solution is optimal and what fuel quantity is used in this application. PV SOLAR POWER FOR FUEL ABATEMENT For smaller mines, offers PV to be integrated into the existing infrastructure (typically diesel-fired reciprocating engines) in order to reduce operating costs and CO 2 emissions as well as dependence on diesel fuel. can provide the control system, any required energy storage, EPC management, and performance guarantees necessary to seamlessly integrate the PV operations into the mine s energy management system, reducing fuel use during the daytime. We can guarantee permanent system stability and ensure smooth control of the electricity generation.
CSP + PV Configuration delivers capacity factor of up to 90% CSP + PV + Fuel Configuration delivers capacity factor of up to 100% is the leader in commercially proven and financeable molten salt power tower systems. Hybrid Solutions Hot molten salt provides the steady source of fuel and basis for controllable power generation 24/7 PV system provides low-cost daytime generation Supplemental dual fuel heaters with smart dispatch to add heat to molten salt during times of low solar resources Steam turbine generator systems to provide stable and efficient electrical output Highly reliable power output capable of fully base-loaded operations 7
PARTNERING WITH SOLARRESERVE Experience and Capabilities is a leading global developer of largescale solar power projects and advanced solar thermal technology, with $500 million of projects in operation and $1.3 billion of projects in construction around the world. A seasoned management team is the driving force behind s success. Our executives have built more than 15,000 MW and financed more than $15 billion in energy projects around the world, from within organizations including GE, Bechtel, AECOM, Moser Baer, Invenergy, Rolls-Royce, Enron and Rocketdyne, among others. At, our team has assembled an extensive 5,000 MW worldwide development portfolio of large-scale solar projects including both CSP and PV technology. maintains valuable relationships with equipment suppliers, construction companies, and financial institutions capable of delivering successful projects anywhere in the world. Flexible Financing Structure and Scope has a proven ability to create value by structuring financing and ownership to meet our client s needs. We offer power purchase agreements to minimize their upfront investment, or asset sale and transfer agreements to put the control in their hands. We also participate as an equity partner for shared ownership of a renewable energy facility. 8
Demonstrated Track Record Our track record includes successfully developing new technologies and deploying solar energy systems in new markets. has successfully commercialized the leading technology that efficiently stores solar energy; our 110 MW Crescent Dunes Solar Energy Plant in Nevada is the world s first utility-scale molten salt power tower. CRESCENT DUNES SOLAR ENERGY PROJECT Location: Nevada, USA Size: 110 MW Storage: 10 hours full load storage Electricity Production: More than 500,000 MW-hours annually Power Purchaser: 25-year power sales agreement with NV Energy LESEDI SOLAR POWER PROJECT Location: Kimberley, South Africa Size: 75 MW Electricity Production: More than 150,000 MW-hours annually Power Purchaser: 20-year power sales agreement with Eskom 10
In addition to the company s flagship CSP project in the U.S., the team is adept at developing large scale projects internationally including three PV projects totaling 246 MW-DC of generation capacity in South Africa: the Lesedi, Letsatsi and Jasper Projects. also has projects in various stages of development in other markets including the Middle East, South America, Africa, Australia, China, India, and Central America. JASPER SOLAR POWER PROJECT Location: Kimberley, South Africa Size: 96 MW Electricity Production: More than 180,000 MW-hours annually Power Purchaser: 20-year power sales agreement with Eskom LETSATSI SOLAR POWER PROJECT Location: Bloemfontein, South Africa Size: 75 MW Electricity Production: More than 150,000 MW-hours annually Power Purchaser: 20-year power sales agreement with Eskom 11
SOLARRESERVE CONTACT US UK Office Las Vegas Office Des Moines Office New York City Office Headquarters Santa Monica, CA Istanbul Office Madrid Office Dubai Office Santiago Office Johannesburg Office Perth Office Indicates areas of primary focus For more information, contact mining@solarreserve.com Corporate Headquarters 2425 Olympic Blvd. Suite 500 East Santa Monica, CA 90404 Phone: +1.310.315.2200 Toll-Free: +1.866.622.2778 Fax: +1.310.315.2201 info@solarreserve.com European Office C/Fernando el Santo, 17 Madrid, Spain 28010 Phone: +34 913514945 South African Office Office 11C, 11th Floor, SinoSteel Plaza 159 Rivonia Rd Sandton, Gauteng South Africa 2196 Phone: +27 11 582 6880 Fax: +27 11 7847549 Copyright 2014. All Rights Reserved. Australian Office Level 18, Central Park 152-158 St. Georges Terrace Perth, WA 6000 Phone: +61-428-928-894 Chilean Office Rosario Norte 532, Oficina 504 7561185 Las Condes Santiago de Chile Phone: +562-2955-8450 UAE Office DIC - Building 5 1st Floor, Suites 122 & 123, P.O. Box 500429 Sheikh Zayed Road Dubai, UAE Phone: +971(0)559600831