Caledonia Raises $13 Million for Solar Power Plant in Zimbabwe
Caledonia Mining Corporation Plc has raised $13 million in capital for the construction of a 20MW solar photovoltaic power plant in Zimbabwe through its sale of 597,963 shares in a market offer.
The plant is intended to power the Canadian mining operator’s Blanket gold mine, located 15km northwest of Gwanda, in Matabeleland South.
Carried out on the London Stock Exchange, the capital raised will initiate the construction of the facility, which is expected to counteract shortages in Zimbabwe’s electricity supply.
The project involves three phases, the first of which will produce 6.55 MW. During this initial phase and throughout daylight hours, the plant will supply electricity to the mine, whereas during non-daylight hours, the mine will rely on electricity from the national grid and diesel generators.
Caledonia issued a call for tenders for the plant in October 2019 under an engineering, procurement, and construction contract, and has since initiated a 40-hectare site for the power plant.