Energy efficiency enables us to reduce operational costs, lower our emissions and support our goal of carbon neutrality. We aim to enhance energy efficiency across our operations by optimising plant performance, investing in energy-efficient technologies, and implementing monitoring systems to track and reduce our consumption.
Exxaro is pioneering a pilot project at Grootegeluk mine, focused on optimising diesel consumption for the mine's mobile mining fleet using FuelActive's innovative fuel pick-up technology. This six-month proof-of-concept study aims to improve fuel efficiency, reduce diesel use and achieve significant reductions in scope 1 GHG emissions, aligning with Exxaro's decarbonisation objectives and commitment to operational sustainability.
The project leverages FuelActive's patented fuel pick-up system to minimise the intake of contaminants such as water and particulates, delivering cleaner fuel to engines. By integrating seamlessly with existing fuel systems, the technology ensures consistent engine performance, reduces fuel wastage and extends engine life. Operators benefit from real-time data insights to optimise performance, while Grootegeluk's mechanics are receiving training to support long-term adoption and benefits.
Fuel efficiency will be closely monitored by installing advanced sensors and software on selected haul trucks. These tools collect detailed engine performance data and provide predictive analytics to guide fuel-saving decisions. The FuelActive pilot is scheduled for completion in the first quarter of 2025.
Potential benefits include:
Saving fuel, translating to R6.85 million in savings across the 12 pilot units
Reducing annual carbon emissions by 7 717tCO2, delivering both financial and environmental benefits
Our energy and carbon management programme is central to advancing Exxaro's carbon neutrality goals. The programme enables us to reduce our direct emissions and energy consumption and embed decarbonisation practices across our operations. Group-wide execution of this programme is driven through:
Accountability and responsibility
BU managers are accountable for achieving energy management objectives, supported by the group manager engineering, general manager technical support and optimisation and chief coal operations officer. Group engineering in the technical support and optimisation department is primarily responsible for our energy management strategy and governance.
Regulatory compliance
We adhere to all relevant regulations and management standards, and align our operations with national energy efficiency objectives.
Beyond compliance
Through the Energy Intensive Users Group, Exxaro participated in a voluntary benchmarking exercise initiated by the DMRE to review and update the post-2015 National Energy Efficiency Strategy (NEES) for the period up to 2030.
To deliver positive social impact through our ESD programme, we appointed a local SMME and Exxaro ESD programme beneficiary to develop a group energy intensity performance dashboard.
The programme is supported by:
Continuous improvement in energy efficiency requires an adaptive approach that embraces evolving regulations and technologies. Exxaro has shifted to a data-centric, technology-driven energy management model, leveraging predictive analytics and machine learning to enable proactive adjustments and accountability across BUs.
Each operation has energy intensity targets linked to the group STI scheme, established through current state and opportunity scoping reviews. These reviews inform site-specific interventions to reduce energy consumption and GHG emissions while improving intensity (GJ per total tonnes handled).
Intensity performance is tracked monthly against a baseline calculated using prior year energy consumption and production data, representing each mine's steady-state operation. KPIs include diesel and electrical energy intensity, ensuring that each BU meets targets that align with our carbon reduction goals.
We regularly benchmark our reporting against other mining houses and international standards to maintain alignment with best practices.
Energy management is a collaborative effort that integrates decarbonisation across BUs and the value chain. To support this, we invest significantly in specialised training programmes, including the certified energy manager and carbon audit professional programmes, to build employee expertise in energy management and efficiency. Our people and performance, business improvement and information management teams drive a culture of emissions reduction and accountability through continuous awareness, training and engagement. Engineering teams lead energy-saving initiatives, fostering behaviour change aligned with energy management systems. Monthly forums at each BU reinforce progress and performance, motivating employees to actively contribute to our goals.
Internal collaboration between the technology, engineering and innovation departments strengthens our efforts in reducing electrical energy intensity. These efforts include operational energy efficiency projects and renewable energy self-generation that aim to reduce consumption.
To reduce our diesel consumption, we implement initiatives such as fuel additives and payload management.
Read reducing emissions for more information.
Exxaro's energy management technology enables precise monitoring and verification of energy performance across BUs. Our independent technical service provider facilitates the process through which we quantify energy savings for SARS section 12L tax rebates and conducts regular performance reviews at Grootegeluk, Matla, Belfast, Leeuwpan and FerroAlloys sites, ensuring alignment with our energy and GHG targets.
We use innovative technology to enable real-time monitoring and support operational energy efficiency projects in achieving energy intensity targets.
We use the PEMS dashboard to track and address operational efficiencies daily, targeting a 5% reduction in fuel consumption and carbon emissions at each site over a five-year period from 2021.
We use the smart energy and carbon transition profiler (SmartEPS) to further enhance long-term planning by projecting energy and GHG impacts of interventions up to 2050
Cascadia Scientific's proprietary machine learning tools enable efficient, accurate fuel usage reporting, improving asset productivity and supporting our broader decarbonisation objectives
| Electricity and diesel consumption | 2024 | Year-on-year change (%) |
2023 | Year-on-year change (%) |
2022 | |
| Electricity (MWh) | 598 461 | 1.27 | 590 931 | 0.14 | 590 078 | |
|---|---|---|---|---|---|---|
| RoM (kt) | 225 522 | 18.5 | 190 311 | 8.64 | 175 176 | |
| Electrical energy intensity (MWh/kt) | 2.86 | (8.04) | 3.11 | (7.72) | 3.37 | |
| Diesel (kl) | 103 797 | 24.12 | 83 629 | 0.48 | 83 226 | |
| Diesel energy intensity (l/t) | 0.467 | 6.38 | 0.439 | (7.58) | 0.475 |
Refer to the databook for more details on our electricity, diesel, RoM and intensities.
Our primary energy sources remained split between electricity, which accounted for 37% (2023: 41%), and diesel at 63% (2023: 59%). Overall energy consumption rose by 5% to 5 485 137GJ (2023: 5 219 390GJ).
Electrical energy intensity decreased by 8.04% (2023: 7.72% decrease), while diesel energy intensity increased by 6.38% (2023: 10.04% decrease). The group's energy intensity performance of 27.688GJ/kt outperformed our 2024 target of 32.329GJ/kt.
The Mpumalanga BUs, including Belfast, Matla and Leeuwpan, met their STI energy intensity targets in 2024. Grootegeluk mine achieved an energy intensity performance of 40.646GJ/kt compared to its target of 39.473GJ/kt.
We made notable progress in optimising plant throughput and energy efficiency, which translated to significant improvement in the energy intensity trends across the BUs.
In addition, significant improvements to the PEMS enabled real-time monitoring and data-driven insights. Data collected from various metering points informs diesel inventory management, haul truck performance, plant equipment operations and overall equipment effectiveness. To further enhance visibility and measurement granularity, we are installing smart meters across BU plant and mining areas where practical.
An analytical tool was developed at Grootegeluk to link plant production throughput with electrical energy per module, allowing for enhanced monitoring and management of energy intensity across the plant. Additionally, advanced process control was introduced in the modules to further optimise energy efficiency.
Following successful results from FuelActive units installed on three haul trucks at Mafube, a new pilot programme was initiated at Grootegeluk with 12 haul trucks. This pilot aims to achieve a fuel consumption improvement of 3% to 5% and reduce maintenance costs.
CENNERGI
LSP construction
We completed bush clearing and construction has ramped up, including the installation of mounting structures and solar PV modules.
Our primary focus in 2025 will be:
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