Nexif Energy’s Lincoln Gap Wind Farm located near Port Augusta in South Australia has reached financial close for the first stage of the project.
The first stage of the 126 megawatt (MW) Lincoln Gap Wind Farm project involves the construction and operation of 36 wind turbines, supported by innovative offtake contracts with Snowy Hydro and ERM Power. The full project, a 59-wind turbine farm, will produce 212MW, which is enough electricity to power approximately 155,000 homes. The project will feed into the state’s electricity grid via the ElectraNet transmission network.
Lincoln Gap will be constructed under the terms of a turnkey contract with Senvion Australia and is expected to begin operation in the first quarter of 2019. The Clean Energy Finance Corporation (CEFC) will act as financier, lending up to AU$150 million (US$115 million) for construction of the first stage of the wind farm and Investec has provided facilities totalling AU$39 million (US$30 million) for working capital and letters of credit.
The project also includes installation of a utility-scale battery system of 10MW, with potential expansion capability to utilise battery technology advancements. This will be one of Australia’s largest private sector-initiated and owned grid battery systems not underwritten by a government contract or funded by government grants.
Matthew Bartley, a Founder and Co-Chief Executive Officer of Nexif Energy, 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.”