Genex Power, a publicly traded generator of renewable energy and energy storage, has secured a 10-year power purchase agreement with utility giant Energy Australia for its proposed 258MW wind project, providing a significant boost for its Kidston green energy hub in Queensland.
In accordance with the agreement, the Kidston project will integrate an existing solar farm (50 MW), the 250 MW, eight-hour pumped hydro storage now being constructed at Kidston’s abandoned open pit coal mine, and a new wind project. There may still be a larger solar facility.
About 30% of the anticipated output from Kidston Wind, which Genex and its Japanese partner J-Power jointly hold, would be accounted for by the arrangement between Genex and Energy Australia.
Genex has recently signed on ambitious green hydrogen manufacturer Fortescue as the foundation customer for the first 450 MW solar stage of the massive 2GW Bulli Creek project in southern Queensland, continuing a successful series of deals.
A fixed price will be paid by Energy Australia for the Kidston wind component’s output, which will be included in its “firmed” renewables supply for customers. Energy Australia also owns the operating rights to the Kidston pumped hydro project.
Mark Collette, CEO of Energy Australia, claims that the agreement would help the firm get closer to its target of having up to 3GW of installed renewable energy capacity by 2030. In Victoria, it is scheduled to shut down its Yallourn brown coal power generating in 2027.
In order to fulfill Energy Australia’s mission to lead and accelerate the clean energy transformation for all, Kidston Wind and the Kidston Pumped Storage Hydro Project are both crucial stages.
The Kidston wind project, on the other hand, is being sought after by Genex, which wants to complete financial close in late 2024 and start generating power in 2026.
CEO Craig Francis stated that the agreement with Energy Australia is a big accomplishment for the Kidston clean energy center and a “material step” in project risk reduction.
According to Francis, the wind project would assist fill in additional capacity from the new transmission link being built at the location. It would be situated on pastoral leases less than 20 km from the Kidston mine.
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