CONSTRUCTION of the Lincoln Gap Wind Farm is set to begin by the end of November after Nexif Energy confirmed financial close of the $300 million first stage of the project.
The 212 megawatt wind farm, located 15 kilometres west of Port Augusta, is expected to produce enough electricity to power about 155,000 South Australian homes.
The initiative includes the construction and operation of up to 59 Senvion wind turbines, as well as 10MW grid scale battery storage capabilities.
Nexif Energy Australia CEO Zeki Akbas said it has been a steady but efficient path to achieving financial closure and the delivery of the wind farm.
“Reaching financial close means work can soon start on the ground to bring this long-planned project to fruition,” Mr Akbas said.
“Nexif Energy has worked meticulously to develop a highly productive, innovative and practical renewable power model which is attractive to investors because of the real and sustainable benefits it will bring to customers and communities.”
The construction phase will produce an average workforce of up to 130 employees, with more than half to be sourced from SA.
Nexif Energy, an independent power producer, came to an agreement with Clean Energy Finance Corporation (CEFC) and Investec to provide debt finance and working capital facilities totalling $190m in the first stage of the project.
The agreement with CEFC has resulted in the inclusion of the 10MW battery storage, which will help deliver fast response storage capacity.
CEFC wind sector lead Andrew Gardner praised the move to integrate more renewable energy into the National Electricity Market.
“This project demonstrates how we can move to the next phase of the clean energy transition, delivering a cleaner, reliable and affordable energy supply, by incorporating the latest technology at the greenfield development stage to create a stronger, more integrated grid,” Mr Gardner said.
Nexif Energy signed two long-term Large Scale Generation Certificate agreements with ERM Power in April 2017 to support construction.
The wind farm is expected to be ready to commence operation by mid 2018.