The Pilbara Minerals Ltd (ASX: PLS) share price is off to a slow start on Wednesday morning. This comes after the lithium miner provided investors with an announcement regarding a solar farm commitment.
At the time of writing, the Pilbara Minerals share price is trading flat at $2.11.
What's in the Pilbara Minerals update?
Investors appear to be relatively unfazed by the company's latest news, sending the Pilbara Minerals share price sideways today.
In its release, Pilbara Minerals advised it has signed a power purchase agreement (PPA) with Pacific Energy Group subsidiary, Contract Power Australia.
The deal will see Pilbara Minerals construct, operate and maintain a 6MW solar array at its 100% owned Pilgangoora Project. The area is located 120km south of Port Hedland in the Pilbara region of Western Australia.
Pilbara Minerals noted that the solar array was an important demonstration of its commitment to implementing environmentally friendly power solutions. It hopes to become a net-zero emission producer by the decade starting 2040.
The solar array is estimated to displace around 3.8 million litres of diesel fuel each year. This will save an estimated 9,900 tonnes of CO2 per annum over the 15-year contract period.
The installation of the project facilitates the future expansion of solar capacity and the potential inclusion of battery storage at Pilgangoora. Pilbara Minerals is aiming to create further efficiencies in regards to its power supply and storage solutions at the site.
It is anticipated that procurement for the project will start with commissioning expected in late July. Commercial operations are planned to begin at the end of August 2022.
Pilbara Minerals share price snapshot
Over the past 12 months, the Pilbara Minerals share price has accelerated more than 490%, with year-to-date above 140%. However, it hasn't be until late July that the company's shares began taking off to record highs.
Pilbara Minerals commands a market capitalisation of roughly $6.22 billion, and has approximately 2.97 billion shares outstanding.
