Light rail schemes have a mixed track record for PPP and non-contractors. The latest scheme suffering delays and cost overruns is one of the biggest. By John Arbouw
IG Power, which is jointly owned by Intergen, China Huaneng group, Guangdong Yudean and Ontario Teachers’ Pension Plan, is negotiating with Chinese lenders to provide about A$100m (US$77m) to finance its half share of the debt on the Callide C power station and to refinance about A$700m (US$544m) of debt of the Millmerran power station.
West Australia iron ore company Fortescue Metals Group (FMG) and its CEO Andrew Forrest told the media last week that it is studying a proposed 2,400km transcontinental natural gas pipeline to connect to the East coast as part of his iron ore company’s strategy to diversify.
Chevron Corp will proceed with the estimated US$5bn second stage of the Gorgon LNG project involving drilling for more gas.
PT Adaro Energy and EMR Capital, which are buying 80% of Rio Tinto’s Kestrel coal mine in Queensland for US$2.25bn, have received US$400m of mezzanine debt from Varde Partners and Nomura along with US$1.7bn of senior debt from a consortium of banks including ANZ, DBS, MUFG, CIMB, OCBC, SMBC and Standard Chartered.
Transurban Queensland has refinanced the A$950m project debt of the Brisbane toll road Airportlink M7 with an 18-month corporate bridge loan of A$954m that was then paid out through bonds in the capital markets.
The battle to keep the 1,800MW Liddell coal-fired power station in the Hunter Valley of New South Wales running beyond its 2022 use by date looks like ending with a whimper rather than a bang.
GE Financial Services, super funds MTAA and Prime Super, and Fengate Capital Management have completed the refinancing of the A$852m (US$662m) debt of the Worsley Cogeneration plant in West Australia with 14 banks.
Victoria Power Networks, the funding vehicle for CitiPower and Powercor, has raised A$129m (US$99.9m) through private placements.
Genex Power told the media last week it is looking to add a 150MW wind project to its pumped hydro and solar project at the old Kidston mine in Queensland.
AGL Energy and Japanese giant Kawasaki Heavy Industries will spend about A$500m (US$388m) in a trial to convert Victorian brown coal into liquid hydrogen for export. The coal would come from AGL’s deposits that power the Loy Yang A power station.
Sponsors RES Australia, Partners Group, GE and OPTrust are looking to refinance the A$200m (US$154m) loan that was used to fund construction of the 240MW Ararat wind farm in Victoria in 2015, according to reports.
The Queensland government has announced that Acciona Energy has been given approval to build the A$500m (US$388.8m) Aldoga solar farm at Gladstone.
The reverse auction by the Victorian government initiated last year to create 650MW of renewable energy has closed with more than 15 companies submitting proposals.
The 20MW Chinchilla solar project in Queensland’s Western Downs region is reported to have reached financial close, with a A$12m (US$9.3m) debt facility provided by Infradebt and Impact Investment Group.
Australia’s resources and energy exports in 2017/18 are set to reach a record of about A$230bn (US$176.3bn) in both real and nominal terms, according the latest quarterly report from the government.