Singapore-based independent power management company Nexif Energy has reached financial close for the first stage of the 212MW Lincoln Gap Wind Farm in Australia.
The first stage of the wind farm involves construction and operation of 36 turbines that generate 126MW of power. The turnkey contract for the construction of the Lincoln Gap wind farm has been given to Senvion Australia and it is expected to start operations in the first quarter of 2019.
The Clean Energy Finance Corporation (CEFC) is acting as the financier by providing up to A$150m ($115m) for the wind farm’s first stage construction. Investec, on the other hand, will be providing facilities totaling A$39m ($30m) for working capital and letters of credit.
Offtake contracts for the wind farm have been given to Snowy Hydro and ERM Power. Overall, the wind farm will include 59 turbines in total, producing 212MW.
Nexif Energy founder and co-CEO Matthew Bartley said: “As a new, independent participant to the Australian market, we are excited to implement an innovative contracting strategy that will not only provide renewable power to thousands of Australian homes but also optimise the use of grid-scale battery storage on a commercial basis.
“We value the support of all project stakeholders who have worked with us along the way to achieve this important milestone.”
Clean energy generated after the final stage construction of the wind farm will be enough to power 155,000 Australian homes. The wind farm will be located near Port Augusta in South Australia and the electricity produced from the wind farm will be fed into the state’s electricity grid via the ElectraNet transmission network.
As part of the project, a utility scale battery system of 10MW, with a potential for expansion will also be installed.
Nexif Energy was formed in August 2015 by Nexif and Denham Capital to develop, finance, construct and acquire conventional and renewable power generation assets across Southeast Asia and Australia.
Denham Capital director Saurabh Anand said: “This is another landmark project for Nexif Energy and builds upon prior Denham investments in Australia. We are excited to continue expanding Denham’s international power investment footprint across the Australian and Southeast Asian markets with the Nexif Energy platform.
“The region presents significant growth opportunities and we look forward to investing in more projects in the near future alongside Surender, Matthew and their team.”
Image: Nexif Energy’s partner Denham Capital calls this a landmark project in Australia. Photo: Courtesy of Steve Ralston/FreeImages.com.