Stanbic Bank Champions Collaborations to Boost Mining Productivity
Bank Hails GreenCo Finance Solutions’ $55.5M Power Import Deal as a ‘Game-Changer’
Stanbic Bank Zambia has emphasized the importance of collaborative efforts in ramping up mining productivity, as demand for critical minerals such as copper, cobalt, lithium, and nickel continues to surge.
The bank believes further electricity import deals are possible to mitigate Zambia’s power deficit, ensuring stability in the country’s mining sector, which consumes over 50% of generated power.
Speaking in Lusaka, Stanbic Head of Corporate and Investment Banking (CIB), Ms. Helen Lubamba, stated that increased electricity imports will benefit the mining sector, ultimately contributing to Zambia’s economic growth.
She highlighted that solutions like the GreenCo Finance Solutions’ power imports deal demonstrate the viability of addressing the country’s energy crisis through strategic partnerships.
In November 2024, Africa GreenCo Group (GreenCo), through its Zambian subsidiary GreenCo Finance Solutions Limited (GreenCo FinanceCo), secured a US $55.5 million Facilities Agreement with Stanbic Bank Zambia and Standard Bank of South Africa Limited. The financing aims to alleviate Zambia’s energy crisis, which has been worsened by drought conditions, by facilitating power imports.
GreenCo FinanceCo will use the funding to prepay for over 130 Megawatts (MW) of imported electricity, easing the burden on key clients such as Zesco and mining companies. The deal underscores the critical relationship between energy and mining, as the reliability of power supply is essential for mineral production.
Ms. Lubamba noted that the facility proves that innovative financial solutions can support energy security and mining productivity. “With rising demand for critical minerals, we foresee a significant pipeline of energy deals. Realizing them requires collaboration among stakeholders, including government agencies, Independent Power Producers (IPPs), financial institutions, and intermediaries like GreenCo,” she said.
She added that such partnerships can help address the power deficit, ensuring that mines—key drivers of Zambia’s economy—receive the necessary energy to sustain operations.
Ms. Lubamba also highlighted Zambia’s Integrated Resource Plan (IRP), which aims to increase the share of non-hydro renewable energy sources—primarily solar and wind—from the current less than 5% to approximately 33% by 2030.
“With hydroelectric power still accounting for over 80% of Zambia’s electricity generation, diversification is imperative, as recent droughts have shown. Scaling up solar, wind, and battery energy storage systems (BESS) will stabilize the national grid and support sustainable industrial growth,” she said.
As Zambia targets a threefold increase in copper production by 2031, an estimated additional 665 MW of power will be required. Ms. Lubamba emphasized that innovative partnerships, such as the recent $55.5 million emergency import deal, provide a clear roadmap for achieving these ambitious targets.
