Neoen has completed financial close on the 460MW Western Downs Green Power Hub in South West Queensland, Australia.
Total project costs will amount to approximately A$600 million, with debt provided by a syndicate of seven lenders, Natixis, Société Générale, Sumitomo Mitsui Banking Corporation, MUFG Bank, NORD/LB, HSBC and the Commonwealth Bank of Australia.
Western Downs, near Chinchilla, will be the largest solar farm in Australia and entirely owned by Neoen, the company said, and will connect into Powerlink’s transmission network.
The financing comes five months after Neoen secured a 352MW power purchase agreement with utility CleanCo Queensland.
The project will contribute over 30% of the energy required for CleanCo to meet its target of 1GW of new renewable energy generation by 2025.
CleanCo said it was focused on activities that contribute to achieving the ‘sunshine’ state’s 50% renewable energy target by 2030 and create new investment and jobs in regional Queensland.
Neoen Australia’s managing director Louis de Sambucy said: “We are delighted to announce that Western Downs Green Power Hub has reached this important financial milestone.
“It represents a major achievement in a challenging environment… We are extremely proud to be partnering with CleanCo and Powerlink and we’re looking forward to playing our part in helping Queensland reach its ambitious target of 50% renewable energy by 2030.”
Neoen’s chairman and chief executive officer Xavier Barbaro said: “At 460 MWp it will be the largest solar farm in our global portfolio and will take our total operating capacity in Australia to over 1.5 GW.
“The financing of Western Downs Green Power Hub in the current environment demonstrates again how our business model of long-term ownership provides confidence to our lenders.”