Genex Power has entered into a 15-year power purchase agreement (PPA) with Stanwell for the 258MW Kidston Stage 3 Wind Project (K3W), saying it will prioritise its development over the Kidston Stage 2 Solar Project.
K3W is being developed by Genex in a 50:50 partnership with Electric Power Development Co., Ltd (J-POWER). The agreement secures the offtake of 50% of the project’s output of wind energy and large-scale generation certificates at a fixed price over a 15-year term.
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Genex has confirmed K3W will be the next stage of the Kidston Clean Energy Hub to be developed. This phase will utilise the remaining available capacity of the new 185km transmission line and associated network infrastructure being constructed by Powerlink Queensland for the 250MW Kidston Pumped Storage Hydro Project.
As a result, Genex will no longer be pursuing the proposed up to 270MW Kidston Stage 2 Solar Project as a priority at Kidston. Genex continues to operate its 50MW Stage 1 Solar Farm at Kidston which was energised on the existing 132kV distribution network in 2017.
Genex CEO Craig Francis said, “Our offtake Agreement with Stanwell marks a major milestone for the 258MW Kidston Stage 3 Wind Project, the third stage of the Kidston Clean Energy Hub. When complete, the project will complete the trifecta of wind, solar and pumped storage hydro technologies all co-located at a single site.
“Securing Stanwell as the majority off-taker for the Project, a highly reputable entity, underscores the appeal of the generation profile of the Project and Genex’s track record in successful delivery of large and complex renewable energy and storage projects.
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“The agreement with Stanwell provides long-term revenue certainty, which will underpin a substantial project finance facility for construction of the Project. Genex and J-POWER will shortly be commencing engagement with lenders as part of this process as we continue to advance the project toward a final investment decision in 2024.”