Mining energy supplier secures $40m from Denmark to fund greener Africa

This audio is brought to you by Astec Industries, a Global Leader in manufacturing equipment for infrastructure, including asphalt production, construction, and material processing, driving innovation and sustainability. Mining energy supplier CrossBoundary has secured a $40-million investment from Impact Fund Denmark to expand its portfolio of clean energy projects across Africa. The investment supports CrossBoundary deployment of solar photovoltaic and battery storage across Africa. Impact Fund Denmark targets climate action, poverty alleviation and economic growth through energy solutions that drive sustainable development and improved quality of life. MD and green energy co-head Thomas Hougaard described the investment in a media release to Mining Weekly as one that contributes towards improving the quality of life for communities. Significant growth opportunities on the continent, are seen by Hougaard, who views innovative energy solutions as unlocking economic potential and driving inclusive progress. The solar and battery energy storage solutions envisaged as bringing additional power capacity to sectors that require stable electricity, while flexible power purchase agreements enable enterprises to access energy without the need to engage in any of their own capital expenditure (capex). CrossBoundary's zero-capex model is highlighted by CEO Pieter Joubert as one that lowers the barrier to entry for African businesses seeking stable, clean and cost-effective power. "Once companies' balance sheets are freed up to invest in their core value-generating activities rather than power provision, they can reach and exceed their targets, unlocking further economic value in the regions in which they operate," Joubert emphasised. After signing a commercial and industrial power purchase agreement with Kamoa Copper in the Democratic Republic of the Congo, CrossBoundary is constructing a solar and battery energy storage system baseload plant in Africa that is poised to uplift the Kamoa's output and increase its regional economic impact. CrossBoundary associate principal Tom Roberts spoke of the investment from Impact Fund Denmark as being crucial for the provision of CrossBoundary's service offering to clients such as Kamoa. CrossBoundary is also heading towards to commercial operation date phase of the wind project to help power QIT Madagascar Minerals, a joint-venture between Rio Tinto (80%) and the government of Madagascar (20%), near Fort Dauphin amid the two substantial solar phases also developed for the ilmenite, zircon and rutile minerals sands mine, in the Anosy region of southeastern Madagascar. Earlier this year, Norfund doubled its investment in CrossBoundary to $80-million, following a $140-million senior debt close from Standard Bank at the end of 2024, as the first tranche of a $300-million senior debt mandate. CrossBoundary also recently secured a $495-million guarantee framework from the World Bank's MIGA, which will protect its assets from transfer restriction and currency inconvertibility. While CrossBoundary develops, owns, and operates distributed renewable energy solutions for businesses, offering energy through power purchase and lease agreements, Impact Fund Denmark provides developing region risk capital.