Exxaro Resources Limited has entered into binding agreements to acquire majority interests in two fully operational renewable energy assets through its wholly owned subsidiary Cennergi. The company will purchase stakes in the 138MW Gouda Wind Farm in the Western Cape and the 75MW Sishen Solar Facility in the Northern Cape from Acciona Energía, along with the operations and maintenance company servicing both facilities.

The timing-linked purchase price will range between ZAR 1.7 billion to ZAR 1.8 billion. Both renewable energy assets were procured under Bid Window 2 of South Africa's Renewable Energy Independent Power Producer Procurement Programme and operate under 20-year take-or-pay Power Purchase Agreements with Eskom.

Asset Details and Ownership Structure

The Gouda Wind Farm and Sishen Solar Facility are currently held through a partnership structure with Acciona Energía owning 54.9%, Celenex (a majority-owned subsidiary of Royal Bafokeng Holdings) holding 25.1%, Soul City Broad-Based Empowerment Company owning 10%, and local Community Trusts maintaining a 10% stake. The Power Purchase Agreements securing electricity sales to Eskom run until 2034 for the Sishen facility and until 2035 for the Gouda Wind Farm.

These agreements provide long-term revenue certainty through their take-or-pay structure and are backed by National Treasury guarantees. The transaction also includes Acciona's 80% stake in Acciona Energy South Africa O&M (Pty) Ltd, an O&M company that provides services and parts to both renewable energy facilities. Soul City retains the remaining 20% ownership in the O&M company.

Strategic Impact on Cennergi's Operations

This acquisition will increase Cennergi's net operating capacity by 117 MW, expanding from 200 MW to approximately 317 MW. The expansion represents a significant expansion of the company's operational base and advances Exxaro's execution of its Sustainable Growth and Impact Strategy. The deal brings Exxaro closer to its 2030 target of achieving 1.6 GW managed net renewable energy capacity.

Ben Magara, CEO of Exxaro, described the acquisition as “yet another positive development in the continued iteration of our commitment to power possibility through a just and inclusive energy transition.” Magara emphasized that the transaction “strengthens Exxaro's position as a diversified natural resources champion, anchored by a strong coal base, a growing energy solutions business, as well as acquisitive growth in energy transition metals.”

Operational and Geographic Expansion

The acquisition broadens Cennergi's geographical footprint across South Africa while enhancing predictable, stable earnings through long-term, inflation-linked Power Purchase Agreements with Eskom. Leon Groenewald, Executive Head of Energy at Exxaro, highlighted that the deal “adds substantial growth to our portfolio of operating assets, enhances geographical diversification, and marks a significant milestone in our strategic journey to scale Cennergi.”

The purchase of the operations and maintenance company provides additional strategic value by allowing Cennergi to offer asset management and O&M services to two additional utility-scale renewable energy assets. Groenewald noted that acquiring the O&M company “brings in skilled staff, advanced systems, and expertise to further strengthen Cennergi's position as a leading asset management and O&M provider in South Africa.”

Cennergi currently has an additional 180 MW of net capacity under construction, continuing to build what the company describes as a resilient and future-focused energy portfolio. The transaction closing date will coincide with the transfer of ownership of the sale equity to Cennergi, which is expected to occur in the first half of 2026, subject to customary approvals for transactions of this nature.

The acquisition demonstrates Exxaro's commitment to disciplined capital allocation, innovation, and collaboration in developing sustainable energy solutions while maintaining its diversified approach to natural resources and energy transition metals.

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