Rio Tinto and Edify Energy have signed two new solar and battery hybrid services agreements to increase the supply of reliable, competitively priced electricity to Rio’s Gladstone aluminium operations in Queensland.
Rio Tinto’s three production assets in the Gladstone region are the Boyne aluminium smelter, the Yarwun alumina refinery and the Queensland alumina refinery.
Under the agreements, Rio Tinto will purchase 90 per cent of the power and battery storage capacity generated by the Smoky Creek and Guthrie’s Gap solar power stations over the next 20 years.
Edify Energy will build, own, and operate the projects, with construction due to begin in late 2025 and targeting completion in 2028.
Rio Tinto Australia chief executive Kellie Parker said the agreements are integral to repowering the company’s Gladstone aluminium operations with clean energy for decades to come.
“For the first time, we have integrated crucial battery storage in our efforts to make the Boyne aluminium smelter globally cost-competitive, as traditional energy sources become more expensive,” Parker said.
“We continue to investigate further renewable energy investments to repower our Gladstone aluminium operations.”
Edify Energy chief executive John Cole acknowledged the importance of this new services agreement in providing clean, reliable and cost-effective electricity to energy consumers.
“The Smoky Creek and Guthrie’s Gap solar power stations deliver the latest in solar, battery and inverter technology to support Australia’s power needs,” Cole said.
“This collaboration is an important commitment to supporting the sustainable future of Australia’s industrial sector.”
Together, the contracted projects are expected to supply 80 per cent of Boyne smelter’s annual average electricity demand, reducing the smelter’s scope 1 and 2 emissions by 70 per cent, or 5.6 million tonnes of carbon dioxide equivalent per year, the equivalent of removing about two million internal combustion engine cars from the road.
