German firm wants to build solar panel manufacturing operation in Manitoba

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This article was published 27/07/2023 (802 days ago), so information in it may no longer be current.

The province has agree to work with a German company that wants to build a $3-billion solar panel manufacturing operation in Manitoba, but the access to the key ingredient for the project — pure quartz — is still in question.

RCT Solutions has a proposal to build a huge plant that would require 8,000 workers when it’s completed that could make 10,000 megawatts worth of solar panels every year, more than 20 per cent of the current North American market for solar panels.

But the deal hinges on the ability of Sio Silica to be able to get the extraction licences it needs to mine the pure quartz or silica sand near Vivian, in the Rural Municipality of Springfield.

A Clean Environment Commission (CEC) report on the project came out in June. At the time, Environment and Climate Minister Kevin Klein said more study is needed before deciding to give it the green light.

RCT Solutions has built other similar plants, including a slightly smaller solar panel plant in Turkey that it ran for some time.

Peter Fath, the CEO of RCT Solutions, said the one being proposed for Manitoba will be unlike any others because of its size and the fact that it will finish the entire solar panel in one location.

For instance, Canadian Premium Sand’s proposed solar glass facility for Selkirk would only make the patterned glass for solar panels.

RCT’s proposed plant would make the entire panel, including the glass.

Fath said since January the company has been working on the technical details and working out the supply chain.

He said, “But of course what is missing, and what makes the case so strong for Manitoba, is access to the super pure quartz.”

He said his investors are also keen on Manitoba, and that they are being patient, but he said, “They won’t wait forever.”

Residents of the area have expressed concern about the impact the quartz mining will have on the local water supply.

Feisal Somji, CEO of Alberta-based Sio Silica, said he does not know when he will hear about his licence application.

“We would love for it to have been yesterday,” he said. “We don’t have any clarity on the timing.”

An official from Klein’s office said, “Officials and technical experts in the department are currently undertaking an in-depth evaluation of the report provided by the Clean Environment Commission. We will not rush this, or any environmental decision.”

Somji said, “This is a huge opportunity for Manitoba and Canada. There’s no facility like this (what RCT is proposing) anywhere in North America. China and India and Europe are building fast and furious. Everyone understands North America will be one of the biggest markets. There is a bit of a race to get going and to be the first mover.”

Somji said Sio Silica’s presentations to the CEC indicated it would start slow so as to be able to collect the data that would answer some of the concerns of the CEC.

But in its report, the CEC said, “In view of the potential effects on a water resource that serves tens of thousands of Manitoba homes, farms and businesses, getting it right at the beginning is essential before anything of this magnitude should proceed at full scale.”

The scale and magnitude of the extraction and manufacturing undertakings would be beyond anything seen in Manitoba.

In an interview, Jeff Wharton, provincial economic development, investment and trade minister, said the province would work with RCT to help recruit the kind of workforce the plant would require. It will also help with site selection and support the company in applying for federal and provincial stimulus programs.

Wharton said, “The reason why Peter is so excited about Manitoba is the opportunity on so many fronts including the availability of land and low hydro costs.”

— with files from Carol Sanders

martin.cash@freepress.mb.ca