Three Oasis Battery Energy Storage System (BESS) projects have successfully reached financial close, marking a significant milestone in South Africa's clean energy journey. The first of these projects, Oasis Mookodi, is a 77MW AC/308MWh BESS located in Vryburg, part of the nation's inaugural Battery Energy Storage Independent Power Producer Procurement Programme (BESIPPPP). Managed by Mulilo, in collaboration with EDF International, Pele Green Energy, and Gibb Crede, this project plays a key role in strengthening South Africa's energy infrastructure.
The other two projects, Oasis Aggeneis and Oasis Nieuwehoop, have also reached financial close, with construction set to begin before December. Together, these three projects will contribute 257MW/1,028MWh of additional storage capacity, spread across the Northern Cape and North-West provinces.
These projects will operate under a 15-year Power Purchase Agreement with Eskom, and the combined capital cost is estimated at approximately R7bn. The financing has been secured through a consortium of leading local lenders, including Standard Bank and ABSA, showcasing the strong commitment of South Africa's financial institutions to advancing renewable energy solutions.
Strategic Importance and Future Impact
Jan Fourie, CEO of Mulilo, expressed his enthusiasm, stating that achieving financial close on all three projects was a landmark moment for the company. He emphasized that these BESS initiatives are crucial for enhancing grid stability and enabling greater integration of renewable energy sources like solar and wind. This integration is essential for achieving an optimized and balanced energy generation mix.
The deployment of BESS technology is transformative for South Africa's energy landscape, playing a vital role in improving grid resilience and supporting the country's transition toward a sustainable, low-carbon future. Mulilo looks forward to expanding its BESS portfolio and further contributing to the nation's just energy transition, which will pave the way for a more reliable and environmentally friendly energy future.
The other two projects, Oasis Aggeneis and Oasis Nieuwehoop, have also reached financial close, with construction set to begin before December. Together, these three projects will contribute 257MW/1,028MWh of additional storage capacity, spread across the Northern Cape and North-West provinces.
These projects will operate under a 15-year Power Purchase Agreement with Eskom, and the combined capital cost is estimated at approximately R7bn. The financing has been secured through a consortium of leading local lenders, including Standard Bank and ABSA, showcasing the strong commitment of South Africa's financial institutions to advancing renewable energy solutions.
Strategic Importance and Future Impact
Jan Fourie, CEO of Mulilo, expressed his enthusiasm, stating that achieving financial close on all three projects was a landmark moment for the company. He emphasized that these BESS initiatives are crucial for enhancing grid stability and enabling greater integration of renewable energy sources like solar and wind. This integration is essential for achieving an optimized and balanced energy generation mix.
The deployment of BESS technology is transformative for South Africa's energy landscape, playing a vital role in improving grid resilience and supporting the country's transition toward a sustainable, low-carbon future. Mulilo looks forward to expanding its BESS portfolio and further contributing to the nation's just energy transition, which will pave the way for a more reliable and environmentally friendly energy future.
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