African Energy Metals Inc. is pleased to provide an update and preliminary projections for the industrial solar and carbon credit initiative.
African Energy Metals retained EcoMetrix and Inerjys Ventures to assist in the development of a favorable business case utilizing industrial solar to generate positive revenue and carbon credits focused on the Democratic Republic of Congo (DRC). EcoMetrix is based in Johannesburg, South Africa and are experts on carbon credits in Africa.
Inerjys Ventures is based in Montreal, Canada and are a cleantech investment fund. The approach taken by the Company was to develop a viable business model utilizing sustainable alternate energy to solve an existing problem while generating carbon credits and providing an Environmental, Social, and Governance (ESG) benefit. The preliminary financial model indicates these goals can be achieved and provide a significant early-stage and long-term revenue source for the Company.
Like most African countries, the DRC is lacking dependable power in sufficient quantity due to an inadequate power grid. As a result, industrial facilities, and in particular mining processing operations, supplement electrical grid power with diesel generators. In addition to the negative environmental impacts of burning diesel fuel, the cost per kilowatt-hour (kWh) for diesel generated power is roughly five times the cost per kWh of solar-generated power.
African Energy Metals’ business plan will provide a cleaner hybrid solar/diesel/grid power solution for mining processors, starting with a pilot solar project with a capacity up to 15mW. The business can be expanded to providing a stand-alone solution by the addition of power storage units. The Company is initially targeting mining processors through pre-existing relationships with the Company’s DRC management team and their knowledge of the DRC mining sector.