Alinta Energy advised on ‘landmark’ renewables agreement
Hogan Lovells has advised Alinta Energy in connection with the financing of the multimillion-dollar Chichester Solar Gas Hybrid project in Western Australia.
Firm: Hogan Lovells (Alinta Energy)
Deal: Alinta Energy has signed an agreement on the financing of the Chichester Solar Gas Hybrid project.
Value: Approximately $200 million.
Key players: The Hogan Lovells team was led by partner Ros O’Mally and included senior associate Lisa Mazor, associate Adam Aarons and paralegal Zachary Forrai.
Deal significance: “The Australian infrastructure, energy, resources and projects team at Hogan Lovells conducted the legal due diligence and project financing on this landmark project, partially funded by the federal government, with $90 million received from the Northern Australia Infrastructure Facility (NAIF), and $24.2 million from the Australian Renewable Energy Agency (ARENA), together with subordinated debt and equity funding by Alinta Energy,” a statement from Hogan Lovells confirmed.
“Up to 100 percent of daytime stationary energy requirements at Fortescue Metals Group (FMG)’s Chichester Hub iron ore operations will be powered by renewable energy following the construction of a 60-megawatt solar photovoltaic (PV) generation facility at the Chichester Hub, comprising FMG’s Christmas Creek and Cloudbreak mining operations.
“This is in addition to the construction of a 60-kilometer transmission line linking the mining operations with Alinta Energy’s Newman gas-fired power station and a 35-megawatt battery facility, to be completed in 2021.
“It is expected the Pilbara region will have increased energy supply security, with regional communities and pastoral stations benefiting from a reliable, local energy source.”
Commenting further, Ms O’Mally said: “It was a pleasure to assist Alinta Energy throughout these complex negotiations with the federal government”.
“The skills required to achieve a successful close for this milestone transaction played to our team’'s strengths, and adds to the firm’s already enviable track record on significant infrastructure and renewable energy deals in Australia.”