Carnegie Clean Energy secures construction debt finance for 10MW Northam solar power station

9 October

  • $7.5 million construction debt finance secured for Northam 10MW solar project
  • $2.8m convertible note debt fully converted to equity and wound up as part of corporate debt finance restructure
  • Carnegie Clean Energy will refinance Northam solar project debt post construction period

Carnegie Clean Energy Limited (ASX: CCE) is pleased to announce that it has secured a 12‐month construction debt finance facility for $7.5 million for its Northam Solar power station. The debt finance will be provided by the Perth based private investment group Asymmetric Credit Partners Pty Ltd.

Upon completion of project construction and commissioning Carnegie plans to refinance the debt facility with a major Australian retail bank.

As part of securing the construction finance facility Carnegie undertook a corporate debt restructure and forced the wind up of its $2.8million unlisted convertible note, first previously announced to the ASX on 18 November 2013. Under the terms of the forced convertible note conversion and wind up, Carnegie will issue for zero consideration to the convertible note holders an additional 19.6 million ordinary shares and 35 million unlisted five‐year options with an exercise price of 6.0c.

First draw down of the debt finance for the Northam project is planned to occur on 15th December 2017.

About Northam Solar Project

Carnegie’s Build Own Operate 10 MW Solar Power Station in Northam, Western Australia, will consist of approximately 34,000 solar panels constructed on 25 Hectares of strategically located land to deliver approximately 24,000 MWh of electricity per annum for at least the next 25 years. The system will also be utility scale battery storage ready. This will be the first large scale solar project to be delivered as part of the joint venture between Carnegie’s wholly owned subsidiary Energy Made Clean and leading property and infrastructure company Lendlease.

Source: Carnegie Clean Energy

Link to AltEnergy database: Northam Solar Power Station

 

Labor’s energy plan: lower power prices, less pollution, more jobs

9 October

Today Labor is announcing new policies to boost renewable energy generation and storage, create new jobs, and put downward pressure on power prices.

A Shorten Labor Government will:

  • Modernise the energy market rules to give more power to consumers.
  • Create Renewable Energy Zones to drive investment and jobs in the sector.
  • Change the Clean Energy Finance Corporation’s investment return benchmark so it can invest in more generation and storage projects.

While the Government fights with itself and blames everyone else, Labor is outlining a positive alternative to tackle out of control power prices, reduce pollution and create more jobs for Australians.

The National Energy Market rules were written in the mid 1990s. They are out of date and put too much power in the hands of the big generators at the expense of householders and consumers.

Labor will update the rules to reflect modern Australia – the growth in renewables and other technologies, our energy priorities, and the decisions that households and consumers are making every day.

Labor will also adopt the Chief Scientist’s recommendation to set up a series of Renewable Energy Zones – based on both existing generation and storage, and the potential for new development.

These Zones will help coordinate investment in generation and storage, make transmission more efficient, and signal to investors the future sites for job-creating projects.

The Clean Energy Finance Corporation needs to be allowed to do its job – investing in successful generation and storage projects.

Under this government, the investment return benchmark has been set too high – holding back the crucial investment that Australia needs in new generation and storage.

Labor will return the benchmark to its original setting – the weighted average of the Australian government bond rate.

This is a sensible benchmark that will unlock more investment and create more jobs.

The Government’s failures on energy are resulting in higher power prices, higher pollution and uncertainty over future investment.

The Government is:

  • Failing to create certainty buy refusing to negotiate a fair-dinkum Clean Energy Target.
  • Failing to resolve the current gas price crisis by refusing the use the export controls available to them.
  • Failing to secure future gas supply at reasonable prices by refusing to introduce a National Interest Test.

Labor is ready to work with the Government on a credible energy plan for Australia.

But if the Turnbull Government can’t deliver an energy plan for lower power prices, less pollution and more jobs – a Shorten Labor Government will.

Source: Australian Labor Party

 

NEW PROJECT

St Clair Wind Farm

Project developer Synergy Wind is proposing to build a 10 - 15 turbine St Clair wind farm near Wattle Bank in Shire of Bass Coast, Victoria. With site selection under way, Synergy Wind has invited expressions of interest from landowners who would like to participate in the St Clair Wind Farm project, as well as feedback from the community of the Bass Coast Shire as to whether they would be supportive of the project.

Contact:

Christian Spitzner            

Project Manager             

Tel: (03) 8506 0371          

Email: info@synergy-wind.com                

 

PROJECT UPDATES

Moorabool Wind Farm

Goldwind Australia submits referral to Federal Department of Environment & Energy for proposed construction of a 29km long overhead transmission line between Moorabool Wind Farm at Ballark and the existing substation at Elaine in central western Victoria. Approval granted by Moorabool Shire Council for Goldwind to construct and operate the Moorabool Wind Farm, a wind energy facility comprising 107 wind turbines (363.8 MW capacity), and associated infrastructure.

Contact:

Alastair Smith

Project Development Manager

Tel: (03) 9912 7829

Email: alastairsmith@goldwindaustralia.com

 

Coleambally Solar Farm

NSW Department of Environment & Planning approved development of Neoen Energy’s 150 MW Coleambally Solar Farm in the Riverina district of NSW.

Contact:

Ann Frederic

Managing Director

Email: anne.frederic@neoen.com

 

Dysart 2 Solar Farm

Renewable Energy Developments (RED) applied for a generation authority for the proposed Dysart Solar Farm, to be located approximately 17 km north-east of the township of Dysart. The site area will be approximately 400 hectares and the generating plant will comprise of approximately 410,000 single-axis tracking solar photovoltaic panels, with a nameplate rating of 145.55 MW and a forecasted annual energy production of 325,000 MWh per annum. RED proposes that the project will connect to Powerlink’s Dysart substation via a 132 kilovolt (kV) overhead transmission line that will be owned and operated by Dysart Solar Farm. RED anticipates that construction of the Dysart Solar Farm will commence in early 2018 and reach connection stage in early 2019. Prior to construction, ownership is expected to be transferred to Hanwha Energy Corporation (HEC).

 

Further growth in Australia as BayWa r.e. acquires wind portfolio and development business of Future

11 October

BayWa r.e. has acquired the business and project pipeline of Victorian-based renewable energy developer, Future Energy.

The acquisition of Future Energy marks the first investment into the Australian onshore wind sector for BayWa r.e. and further cements the company’s position in the country’s growing renewable energy sector.

Matthias Taft, Board member of BayWa AG responsible for the energy business, commented on the investment: “The investment in our first pipeline of Australian wind and small-scale solar projects comes quickly after our growth in the utility-scale solar sector where we have established a 300 MW portfolio. The Future Energy acquisition provides an important platform for BayWa r.e.’s future growth and we are very pleased to welcome the team onboard. We look forward to building a long-term development business together and realising our first projects over the next 18 months.”

Since being established in 2004, Future Energy has successfully developed multiple wind projects. Existing employees will become part of BayWa r.e. and will be complemented by new hires as BayWa r.e.’s Australian business continues to expand.

Katy Hogg, Director of BayWa r.e. Australia Pty Ltd., added: “Our first investment in the onshore wind market in Australia is a really important step in consolidating our business model across Solar & Wind Projects, PV Trade and Operations Management Services. Greater scale and project diversity brings benefits for our investors, PPA customers and funding partners.

“We expect to be exporting electricity from the first few wind projects by the end of 2018, with a view to acquiring, developing and implementing additional projects across Australia in the coming years”.

BayWa r.e. renewable energy GmbH (BayWa r.e.):

As a full subsidiary of BayWa AG, BayWa r.e. renewable energy GmbH groups together the activities of the solar energy, wind energy, bioenergy and geothermal energy business units. With headquarters in Munich, BayWa r.e. is active worldwide. As a full service partner with around 1,200 employees and more than 25 years of market experience, BayWa r.e. provides consulting services and develops, implements and manages projects in the area of renewable energies. The company also covers plant operation and maintenance. Other business activities encompass photovoltaic component trade and the purchase and marketing of energy from renewable sources.

Its parent company, BayWa AG, is an international trade and services company with the core segments of agriculture, energy and building materials.

Future Energy

Future Energy was established by David Shapero in 2004 and since then has succeeded in realising multiple wind projects. One such project was the Hepburn Community Wind Park, the first community-owned wind farm in Australia.

Existing employees will become part of BayWa r.e.’s Australian business and will be complemented by new hires together with the wider global expertise of the BayWa r.e. group

Source: BayWa r.e.

Note: Future Energy’s portfolio of wind projects consists of Chepstowe, Ferguson, Hepburn, Maroona, Spring Hill, Timboon West, Winchelsea and Yawong

 

Foresight Solar Fund Limited enters binding contracts for the acquisition of three solar farms totalling 117MW in Queensland, Australia, from Canadian Solar

12 October

Foresight Group (“Foresight”), a leading independent infrastructure and private equity manager, is pleased to announce that it has entered into binding contracts to acquire interests in three solar farms in Queensland, Australia, from Canadian Solar with an aggregate 117 MW of capacity through Foresight Solar Fund Limited (“FSFL”), increasing FSFL’s portfolio to a net capacity to 622MW once installed.

The portfolio consists of Longreach Solar Farm (17 MW), Oakey 1 Solar Farm (30MW) and Oakey 2 Solar Farm (70 MW) with FSFL acquiring 49% interest in each of Longreach and Oakey 1, and a 100% interest in Oakey 2.

The acquisitions support FSFL’s international growth strategy and see FSFL’s portfolio expand by 18% in capacity to 23 assets, demonstrating FSFL’s ability to grow the fund in attractive new geographies.

Two of the three solar farms (Oakey 1 and Longreach) hold 20-year offtake agreements with the Queensland Government and are under construction with connection to the grid expected in March and September 2018 respectively. Oakey 2 solar farm is expected to connect to the grid in October 2018 and will benefit from the sale of power and large-scale generation certificates (“LGCs”) under the Renewable Energy Target regulatory framework.

Both Oakey 1 and Longreach have been funded to date by equity from Canadian Solar, grants from the Australian Renewable Energy Agency (“ARENA”), and senior debt from the Clean Energy Finance Corporation (“CEFC”) and Bank of Tokyo-Mitsubishi UFJ.

The acquisitions are subject to certain conditions being met including consents from relevant stakeholders. FSFL, in line with its low risk strategy, will not take development risk for the projects.

This is the third Australian transaction for Foresight in 2017 following the acquisitions of Bannerton and Barcaldine, which increases Foresight’s Australian solar portfolio to 252MW across 5 sites. The transaction is further evidence of the success Foresight has had leveraging the extensive solar experience and track record of Foresight’s global Infrastructure team.

Ricardo Piñeiro, Partner, Foresight Group said: “We are delighted to have made this solar acquisition in Australia on behalf of FSFL. This is an important acquisition for FSFL’s international strategy providing a diversified mix between Queensland Government-backed contracted revenues and merchant revenues. We have enjoyed working closely with Canadian Solar, with whom we look forward to delivering a strong pipeline of future energy projects both in Australia and other international markets.”

“We are pleased to have worked with FSFL and their team to complete successfully this milestone transaction. Canadian Solar is very well positioned in Australia with an 800+MW pipeline of early to late-stage developments and these projects will directly contribute to the Federal Government’s Renewable Energy Target and State Government initiatives to generating affordable clean energy” commented Dr. Shawn Qu, Chairman and Chief Executive Officer of Canadian Solar.

Foresight is seeing significant growth opportunities in renewable energy infrastructure, and is broadening its footprint beyond purely generation assets (solar, wind and bioenergy) into renewables enabling technologies, having recently acquired two utility scale battery storage assets, on top of expanding its portfolio of flexible generation assets in the UK.

Source: Foresight Group

Link to AltEnergy database: Longreach Solar Farm & Oakey Solar Farm

  

Cattle Hill Wind Farm program to employ local workers

13 October

The Hodgman Liberal Government is committed to a “Tasmania-First” energy policy to ensure Tasmanians have access to renewable and reliable energy, and pay the lowest possible electricity prices.

Growing our renewable energy capacity is the best way to ensure Tasmania’s energy security is sound, and will also bring benefits to the economy through investment and job creation.

Today I welcome the announcement from Goldwind Australia, as the developer of the Cattle Hill Wind Farm, to launch a program to employ local workers for the construction of this significant renewable energy project.

The $300 million Cattle Hill Wind Farm is a massive investment for Tasmania, and construction is expected to commence in January next year.

The Local Business Participation Program will see Goldwind seek capable local sub-contractors and suppliers to work on the project, and with more than 150 jobs expected to be created during construction, this will be a major boost to employment in the region.

Construction will also provide a positive flow on effect to local businesses in the Derwent Valley, Southern Midlands and Central Highlands, including regional centres like New Norfolk, with the project expected to produce increased business activity.

The Hodgman Liberal Government has a Plan to Build Your Future, and we have set a target to make Tasmania energy self-sufficient with an additional 1000 gigawatt hours of on-island renewable energy generation by the end of 2022.

Once completed, the 49 turbine wind farm will generate 144 MW, enough to power over 60,000 homes and increase wind generation capacity in Tasmania by nearly 50 per cent.

The Hodgman Liberal Government is dedicated to providing Tasmanians with renewable, reliable and cheap energy.

Source: Tasmania Government

Link to AltEnergy database: Cattle Hill Wind Farm

 

NEW PROJECTS

Chewko Solar Farm

Tilt Renewables proposing development on site located eight kilometres south-west of Mareeba, Queensland. Proposed solar farm will consist of about 200,000 solar PV panels and will be capable of delivering up to 75 MW of renewable energy on 150ha land currently used for grazing cattle. The energy generated will be injected into the national electricity grid through an onsite connection that ties into the 132kv power line which runs between Turkinje and Yalkula. Construction will take about 12 months, with about 250 people employed during the construction period and one to two people during the farm’s 25 years of operation. A planning application for the project was expected to be lodged in September this year. Project investment of up to $100mil.

Snowtown North Solar Farm

Tilt Renewables proposing $100mil solar farm that will generate up to 50 MW of solar energy, 10 km west of Snowtown in South Australia. The solar farm will consist of up to 180,000 solar photovoltaic (PV) panels and potential battery storage of up to 25 MW. It will be located on 100 ha of cleared farming land next to the existing Tilt Renewables’ Snowtown Stage 1 Wind Farm substation, which currently delivers around 100 MW from the wind farm. While the solar project will have an installed capacity of up to 50 MW, the combined maximum output will not result in any significant increase in peak generation from the wind farm. By combining wind energy (with an evening peak) and solar energy (with a daytime peak), the two farms can combine to better match daily demands. Up to 200 site staff will be employed during the roughly 8-month construction period, with around 2 permanent full-time employees after construction. A planning application was lodged in July 2017.

 

Contact:

Project Team

Tel: 1300 660 623

Email: info@tiltrenewables.com

snowtownsolar@tiltrenewables.com

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