CrossBoundary Energy Solar and BESS Project

MIGA has been requested to provide guarantees to cover equity and shareholder loans from CrossBoundary Energy Holdings (CBE), the Guarantee Holder (“GH”), in CrossBoundary Energy DRC I SASU, the Project Enterprise (PE) incorporated in the Democratic Republic of Congo (DRC). 

The Project involves the design, construction, and operation and maintenance (O&M) of a 233 megawatt peak (MWp) solar photovoltaic (PV) plant and battery energy storage system (BESS) with capacity of 123 megavolt-amperes (MVA)/561 megawatt-hour (MWh), within the Kamoa-Kakula mining complex (the Project). The proposed tenor of the guarantee for the Project is up to 15 years. Further information on the proposed MIGA guarantees is available in the Summary of Proposed Guarantee.

The Project will exclusively supply 30 MW baseload power to Kamoa Copper SA (KCS), CBE’s off-taker, to provide a stable and continuous supply of electricity for the operation of the Kamoa-Kakula mining complex (the Kamoa mine). The Kamoa mine, is located in Kolwezi, Lualaba Province, approximately 270 kilometers (km) northwest of the provincial capital, Lubumbashi, in southern DRC. 

The Project comprises a solar PV plant, BESS, powerhouse, office and O&M building, inverters, transformers, internal access paths, site drainage and perimeter security and others. The Project footprint covers approximately 163 hectares (ha), of which about 153 ha will be utilized for PV module arrays. The Project is located approximately 20 km away from the main Kamoa mine infrastructure. Electricity generated by the Project will be transmitted to the Kamoa central mining substation via an approximately 10 km 33 kilovolt (kV), overhead transmission line.  

The Project is one of two awarded by KCS to Independent Power Producers (IPPs). Both plants will be developed side by side within the area designated by KCS, with a combined capacity of 400 MWp of solar  PV and 1,100 MWh of BESS. CBE has no control or leverage over the activities of the other IPP. To support the solar plants and future expansions, KCS will be responsible for the construction and O&M of the overhead transmission line serving both projects, as well as the 1.3 km access road. Although an existing access road to the solar plants is in place, an alternative unpaved alignment is being considered from the main turn-off, to reduce traffic interactions with nearby communities. Both the access road and the transmission line will remain under KCS’s responsibility for construction and O&M. These facilities are not considered associated facilities to the Project, as they would have been developed irrespective of the Project. The Kamoa mine is also not considered an associated facility, as it is not dependent on the Project and can use or install alternative sources of power.    

Soventix has been appointed as the Engineering, Procurement and Construction (EPC) contractor overseeing overall Project management, MSS is responsible for civil works, and T3 for electrical works. These firms are collectively referred to in this document as the “core contractors”, responsible for construction activities. Construction of the Project commenced in May 2025 and is expected to span approximately 12 months, with peak construction anticipated in the first quarter of 2026. CBE will be responsible for O&M.  

MIGA’s due diligence review considered the environmental and social management planning process and documentation for the Project and identified gaps (if any) between these and MIGA’s requirements. Where necessary, corrective measures, intended to close these gaps within a reasonable time, are summarized in the paragraphs that follow and in the Environmental and Social Action Plan (ESAP) attached to this ESRS.  Through the implementation of these measures, the Project is expected to be designed and operated in accordance with the Performance Standards. Key environmental and social (E&S) issues associated with the Project business activities are summarized in the paragraphs that follow.  

PS1: Assessment and Management of Environmental and Social Risks and Impacts   

Environmental and Social Assessment and Management System: CBE has a corporate Environmental and Social Management System (ESMS) consistent with PS 1. The ESMS includes an E&S Governance (ESG) policy, organization capacity and competency, integration of E&S considerations in its investment process, grievance mechanism, monitoring and reporting. The ESMS applies to all of CBE’s business activities including the Project and its contractors. 

At Project-level, CBE has developed an ESMS manual that defines applicable standards, roles and responsibilities, management controls, communication and training requirements, security and evacuation protocols, minimum standard operating procedures, monitoring and reporting. The Project level ESMS is supported by the Project’s Environmental and Social Impact Assessment (ESIA), Environmental and Social Management Plan (ESMP) and contractor-specific Health, Safety, Security and Environment (HSSE) procedures. 

Identification of Risks and Impacts: An ESIA has been prepared for the Project. The ESIA identifies and evaluates potential E&S risks and impacts within the Project’s area of influence, and includes an ESMP outlining the measures to be implemented during construction and operations to mitigate, manage, and monitor these impacts. The Project-level ESMS also includes provisions for risk management, requiring contractors to conduct task specific risk assessments prior to commencing any work and to prepare corresponding method statements for managing identified risks. To support this process, the ESMS includes an E&S management table which schedules aspects, risks, risk assessment and mitigation measures. Prior to the start of activities, MSS submits task-based Health, Safety and Environment (HSE) risk assessments to CBE.

CBE has a zero-tolerance stance toward Gender-Based Violence (GBV). In line with CBE’s approach to GBV safeguarding, contractors are required to conduct GBV related risk assessments and implement appropriate measures to protect female employees and community members (ESAP #1).

Management Programs: The core contractors are required to submit an HSE management plan and ESMP for the Project. MSS has developed its HSE Plan and method statements. The HSE Plan is comprehensive, covering roles and responsibilities, risk assessments, task-specific procedures and incident reporting. 

A Construction Environmental and Social Management Plan (CESMP) has also been developed to provide site-specific guidance on day-to-day E&S risk management, roles and responsibilities, training, monitoring and reporting requirements. The CESMP is supported by additional project specific management plans and procedures, including traffic management, security management, emergency preparedness, stakeholder engagement and operational controls for dust, noise and waste. A shared facilities management plan was also prepared in consultation with KCS for areas where the Project will rely on KCS’s inputs, provisions or management systems such as waste management and security. The CESMP will be revised and updated for the O&M phase (ESAP #2). 

Organizational Capacity and Competency: CBE’s E&S team consists of an Environment, Social and Governance (ESG) Director, two ESG Managers, and a Health, Safety, Environment and Community (HSEC) Manager. The team is responsible for implementing CBE ESMS and providing E&S oversight across all projects. Given the scale and complexity of the Project, CBE has appointed a dedicated Project HSEC Manager and plans to appoint an HSEC officer responsible for Health, Safety, Environment and community engagement. The core contractors’ team also includes a site-based HSE Manager and three supporting HSE Officers. For O&M, the following resources are anticipated – one HSE and one Community Liaison Officer (CLO). KCS also maintains a robust Health and Safety (H&S) and Environmental team that monitor and audit the Project. Weekly coordination meetings are held between CBE, core contractors and KCS to discuss interface points, coordination and project related issues.

Emergency Preparedness and Response: Emergency preparedness and response planning is a joint effort between CBE, KCS, and the core contractors. A Project-specific Emergency Preparedness and Response Plan (EPRP) has been developed as part of the ESMP reflecting site-specific conditions and aligned with KCS’s emergency preparedness and response procedures.

Monitoring and Review: CBE has implemented an online EHS reporting system whereby during construction the core contractors submit EHS reports weekly to CBE’s ESG team. During O&M, the EHS reports are only required during cleaning and maintenance activities. The online reporting system includes the following indicators: completion of toolbox talks, use of Personal Protective Equipment (PPE), number of workers, number of worked hours, incident report including environmental accidents, number of reported and resolved grievances, generated waste and water usage. The information is integrated into an overall site construction report. A weekly EHS report is also submitted to KCS as well as a monthly EHS self-audit.  CBE corporate ESG team will also carry out regular monitoring site visits and KCS also conducts unscheduled site inspections. In addition, CBE will also report to MIGA on the Project’s E&S performance annually.

Stakeholder Engagement and External Communication: Stakeholder Engagement for the Project was undertaken as part of the ESIA consultation. Engagements included public meetings, focus groups, and one-on-one baseline stakeholder consultations with local traditional authorities, provincial and local government authorities, and local affected communities (with consideration for separate meetings with women/ vulnerable groups). Ongoing stakeholder engagement will be managed by KCS Sustainability team, in coordination with and supported by CBE’s CLOs.  CBE has also developed a Project-specific Stakeholder Engagement Plan that defines the directly and indirectly affected communities, outline the roles and responsibilities of the CLOs, and describe coordination arrangements with KCS’s stakeholder engagement systems. 

Grievance Mechanisms: CBE has a Grievance Redress Mechanism (GRM), to receive, investigate and address concerns, which is applied across its projects. For this Project, KCS has an existing comprehensive GRM, and awareness meetings are held annually. A Project-level GRM has also been developed consistent with both CBE’s and KCS’s GRM and recognizes the need for close coordination with KCS.

PS2: Labor and Working Conditions 

The Project is expected to employ approximately 900 workers at peak construction, the majority of whom will be DRC nationals engaged by the core contractors. A limited number of expatriate staff will be retained for project management and specialized construction activities. CBE will directly employ 5 - 10 workers during construction. During O&M, approximately 20 workers will be employed for the Project.  

Working Conditions and Management of Worker Relationship: CBE’s Human Resources (HR) policies and procedures are consistent with PS2 requirements and CBE requires its contractors to apply HR policies and procedures that are aligned with CBE’s. During construction, most workers will be employed by the core contractors, primarily MSS, which is responsible for civil works, and T3, which is responsible for electrical works. Currently only MSS workers are engaged on the Project. MSS engages a local labor broker to facilitate recruitment of its workforce. The broker has supported all of MSS’s projects at Kamoa mine and is therefore familiar with KCS’s labor standards, recruitment procedures, and the local community context. The KCS Sustainability team provides a list of eligible community members from which the local broker recruits. All MSS workers are provided with written contracts in accordance with national labor laws and are covered under a collective bargaining agreement. As part of CBE’s contractor screening checklist, contractors are required to submit copies of their employment contracts, and CBE monitors their HR practices on an ongoing basis. 

MSS workers are accommodated at the MSS camp, where CBE employees are also currently housed in line with KCS’ Accommodation Standard that defines minimum requirements for room size and basic facilities. CBE plans to construct an additional accommodation camp at the Project site to house approximately 35 workers. CBE has developed a Workers’ Accommodation Plan, which includes an inspection checklist aligned with the Workers’ Accommodation: Processes and Standards Guidance Note (IFC/EBRD). Regular inspections will be undertaken by CBE to verify that accommodation conditions continue to meet the requirements of its Accommodation Plan. 

Labor demobilization at the end of the construction phase presents social and operational risks if not adequately managed including grievances over contract termination, and potential unrest such as protests or obstruction of key access routes to the Project. To mitigate these risks, CBE will oversee the demobilization process of its contractors and require the following measures to be followed: (i) clear communication with workers on contract duration, milestones, and expected completion dates, with reminders issued prior to demobilization; (ii) coordination with KCS and CBE CLOs to manage worker concerns and community interface; and (iii) verification that all wages, benefits, and end-of-contract payments are fully settled before demobilization (ESAP #3).

CBE has an external GRM that is also available to contractors. It includes a step-by-step process for raising and addressing grievances, including an option for anonymous submissions, with defined timelines and a separate procedure for handling sensitive cases such as those related to GBV. MSS also has its own grievance procedure in place. Grievances can be reported via a suggestion box, site supervisor, or HR, and all are recorded in a register. MSS has a grievance investigation committee chaired by the HR representative. CBE will verify that all workers have access to a functioning GRM, either through their employer or directly through CBE. 

Protecting the Work Force: In line with PS 2, CBE’s Code of Conduct and Human Rights Policy prohibits the employment of harmful child   labor and forced labor, including by contractors and suppliers. KCS also has a child, youth employment and compulsory labor policy in place which prohibits child and forced labor and is applicable to contractors/ suppliers. 

Occupational Health and Safety: The Project’s key occupational health and safety (OHS) risks include working at heights, lifting operations and elevated objects, electrical hazards, hot work, moving equipment and machinery, manual handling, flammable substances, slips, trips and falls, and road traffic accidents. Contractors are required to share their HSE Plan and method statements with CBE, in addition to carrying out task-based risk assessments identifying hazards and associated mitigation measures. These documents are reviewed and cleared by CBE prior to commencement of works. 

Workers Engaged by Third Parties: CBE will engage core contractors during construction and an O&M contractor during operations. CBE requires third parties to comply with its E&S requirements, which are integrated in tender documents. As part of its procurement process, CBE conducts screening and reputational risk assessments, and evaluates the E&S performance of prospective contractors. In addition, CBE has developed comprehensive tools and templates to assess contractor practices prior to selection, identify gaps, and provide supporting management plans and guidance where contractor systems are not deemed adequate. CBE also monitors contractor performance throughout implementation to ensure that management systems and commitments are effectively applied at the Project level and requires contractors to report on their E&S performance weekly, monthly, quarterly and annually. 

Supply Chain: CBE has a Supply Chain Management Framework that includes a Human Rights Policy, Supplier Code of Conduct, and Procurement Policy. CBE’s supply chain due diligence includes supplier screening and reputational risk assessments, maintaining procurement records, implementation of traceability and verification systems, and monitoring of supplier performance.

PS3: Resource Efficiency and Pollution Prevention  

Resource Efficiency: The Project is not expected to require substantial electricity. During construction, three diesel generators will be used on a temporary basis, and O&M will be powered by the Project’s own generation. CBE will source water supply for the Project from groundwater through 2 boreholes. The ESIA estimates average consumption at 10,000 liters per day (LPD) during construction and 40,000 LPD at peak construction.  

During O&M, water demand is estimated at 100,000 liters per month, primarily for solar panel cleaning. CBE is assessing the use of mechanized panel cleaning to reduce water consumption. CBE has developed a Resource Management Plan that outlines potential water efficiency measures to be implemented at the Project site.   

The Project’s greenhouse gas emissions are expected to be less than 25,000 tCO2e/year. Additionally, the Project will have an installed capacity of 233MW and contribute to avoiding ~106703 tCO2e/year of emissions. 

Pollution Prevention: The Project activities are not expected to generate significant noise, soil and water pollution impacts either during construction or O&M and these will be mitigated by standard pollution prevention and control measures described in the EPC’s CESMP and CBE’s ESMS. Dust and particulate matter emissions are expected to increase during construction activities, particularly during the dry season. Mitigation measures include dust suppression and monitoring.

Waste generated at the site will be managed by the EPC and O&M contractor respectively, in alignment with the KCS waste management program. Waste is segregated into color-coded bins, which are collected by KCS for further handling. E-waste is currently stored at Kamoa mine; however, disposal remains a challenge in the DRC given the limited availability of recycling facilities. CBE will assess feasible options for e-waste disposal, including the potential return of equipment to suppliers. Overall waste management arrangements is documented in the shared Facilities Management Plan between CBE and KCS.

Topsoil removal during construction may lead to erosion from bare ground exposure, compaction, and runoff. CBE has prepared a Soil Management Plan with regular inspections (e.g., of rill/gully formation, exposed slopes, sediment accumulation) and an adaptive management approach to monitor and mitigate erosion risks.

PS4: Community Health, Safety and Security  

The Project is in KCS’s concession, there is settlement within 500 m of the Project fence line and the Project site is surrounded by agricultural fields cultivated by local community members. 

Security Personnel: MSS has engaged a security contractor to guard the Project site during construction. The security contractor is one of KCS’s approved vendors and received training from KCS on Voluntary Principles on Security and Human Rights (VPSHR). A Security management plan has been prepared for the Project and further addressed in the shared facilities management plan.

PS5: Land Acquisition and Involuntary Resettlement  

The Project will be developed within the KCS mine concession. In April 2025, KCS and CBE signed a land occupation agreement granting CBE exclusive rights to a 163 ha area for construction, operation, maintenance, and eventual decommissioning of the Project. KCS is responsible for managing both economic and physical resettlement of project-affected persons (PAPs). Resettlement activities were undertaken across a 550 ha area, which includes the Project footprint and additional land allocated for the adjacent IPP and other future energy developments. The resettlement process was completed in June 2025. 

Within the 550 ha area, a total of 608 PAPs were resettled, 596 were economically displaced, 12 were both physically and economically displaced. The 12 physically displaced PAPs were located in the area allocated for the adjacent IPP. The resettlement for the Project, resulted only in economic displacement.  

As part of its E&S due diligence, CBE reviews the land acquisition process undertaken by its off-takers (in this case, KCS) to assess alignment with PS 5. If significant gaps are identified, CBE may decide not to proceed with the Project or may require the off-taker to implement corrective measures to address gaps. In line with this process, CBE engaged an external consultant to review KCS’s resettlement against PS 5 requirements. The review concluded that the resettlement implemented by KCS resulted in outcomes consistent with the requirements of PS 5. 

The resettlement process began with a drone survey to map affected areas and estimate the budget for Resettlement Action Plan (RAP) preparation and implementation. A local NGO, with participation from KCS, conducted community meetings to disclose the RAP process and grievance mechanism. A Resettlement Working Group (RWG) which included community representatives, government officials, KCS, and the NGO was formed to advise on key aspects such as compensation methods, housing options, and community development initiatives. 

Following consultations, socio-economic and asset valuation surveys were undertaken, and PAPs verified and signed their valuation records, including preferences for replacement housing. A Project Entitlement Framework set out compensation principles in line with PS 5 and national law. Land-for-land replacement was prioritized, and PAPs were encouraged to identify their preferred replacement land, with KCS providing oversight to ensure suitability. 

A draft Livelihood Restoration Plan (LRP) and a Monitoring and Evaluation framework were prepared. Before payments, financial literacy training was provided, and compensation amounts exceeding a set threshold were deposited directly into bank accounts. KCS also conducted surveys to identify PAP livelihood restoration preferences from a list of proposed activities. 

Finally, KCS established a three-year RAP monitoring program, involving ongoing inspection and performance tracking. Upon completion, an independent NGO will carry out a close-out audit to assess overall implementation and outcomes. 

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