Edify Energy has reached financial close on the Smoky Creek and Guthrie’s Gap Solar Power Stations, the largest solar and battery hybrid projects in construction in Australia.
Located in Central Queensland on the traditional lands of the Gaangalu Nation People, the Smoky Creek and Guthrie’s Gap Solar Power Stations will together feature 720MWp of solar and 600MW/2,400MWh of battery storage.
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The Smoky Creek and Guthrie’s Gap Solar Power Stations will deliver utility-scale solar generation integrated with battery energy storage and advanced grid-forming inverters, purpose designed to provide low cost, reliable dispatchable renewable power.
Financial close was achieved with the support of Edify’s shareholder, La Caisse, and a syndicate of domestic and international lenders unlocking private capital at scale.
The financing deal brings together a strong syndicate of 14 domestic and international lenders on a market first greenfield renewable energy portfolio financing package, is supported by solar and battery hybrid services agreements with Rio Tinto, and is backed by the Australian Government’s Capacity Investment Scheme.
Supporting the projects are two long-term solar and battery hybrid services agreements with Rio Tinto. Under these agreements, Rio Tinto will purchase 90% of the power and battery storage capacity generated by the Smoky Creek and Guthrie’s Gap Solar Power Stations for 20 years, supporting Rio Tinto’s Gladstone aluminium operations with affordable, reliable and lower-carbon energy.
One of Australia’s most advanced examples of firmed solar powering heavy industry, the projects also represent one of the nation’s largest renewable energy offtake arrangements for the industrial sector.
Edify Energy CEO Ben Warne said, “Smoky Creek and Guthrie’s Gap are critical projects in the energy transition, generating cost-effective, reliable and dispatchable renewable energy. These are the first projects to reach financial close under La Caisse ownership and reflect the scale of Edify’s and La Caisse’s ambition in making a meaningful contribution to the energy transition.
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“With our customer partner Rio Tinto, enhanced local community and local content benefits being available under the Capacity Investment Scheme and strong support from our financing partners, these projects will strengthen Queensland’s and Australia’s energy system while delivering lasting benefits for the communities of the Banana Shire and the Gaangalu Nation People.”
