RES sells solar plant to Lighthouse Infrastructure

24 October 2017 - 12:00 am UTC

Renewable developer RES has reached financial close on its AUD 110m (USD 85m) Emerald solar farm, selling the 70MW plant to Lighthouse Infrastructure for an undisclosed sum.

RES signed a power purchase agreement for the plant with Telstra in late May, the first long-term PPA for a renewable plant in Australia with a corporation rather than an energy retailer.
It is understood Westpac and NAB provided the debt for the project. This is an AUD 106m, “mini-perm” facility over five years, split equally between the two banks.
Construction is starting now on the generator to be located near Emerald in north Queensland, 870km north of Brisbane. It is expected to be completed in about 12 months.
This is the third solar farm purchase for Lighthouse’s AUD 100m Solar Fund since it was launched in May. Alongside Dutch fund DIF, it bought the 100MW Clare Solar Farm from FRV on 30 May for AUD 250m. On 24 July,
Lighthouse bought the 20MW Hughenden solar farm from German developer BayWa, as reported.
Law firm Norton Rose Fulbright was the lead adviser for RES. Financial advice was provided by Ironstone Capital. Lighthouse Infrastructure was advised by RBC Capital Markets and law firm King & Wood Mallesons.
The PPA with Telstra is expected to be one of many corporate energy deals signed in Australia to provide a buffer against soaring wholesale electricity prices.