Cox Energy to acquire 51% of 50-MW CSP tower plant in S Africa

Spanish-Mexican green power company Cox Energy SAB de CV (BME:COX) on Tuesday announced an agreement to acquire a 51% stake in the 50-MW Khi Solar One concentrated solar power (CSP) plant in South Africa.

Pending approval from the South African authorities, the company will be the majority owner of the plant, while the remaining 49% will be held by local shareholders.

Khi Solar One is located near the town of Upington in the Northern Cape province. It is notable for being the first CSP tower plant to become operational on the African continent, according to Cox Energy. Aside from the central tower, the plant features a field of heliostats and thermal storage.

Khi Solar One commenced operations in 2016.

The project stems from South Africa’s first round of the Renewable Energy Independent Power Producer Procurement Program (REIPPP). It benefits from a 20-year power purchase agreement (PPA), expiring in 2036, with South African utility Eskom.

Cox Energy plans to take charge of the operation and maintenance of the plant until the year 2036, it said.

The Khi Solar One plant currently generates 100 GWh per year. The company intends to boost the annual output by more than 30% through a year-long upgrade programme, which will begin in August 2024.

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