APA buys debt interest in Basslink HVDC interconnector project

APA Group has acquired an interest in the debt of Nexus Australia Management Pty Ltd. Nexus is the borrowing entity for Basslink Pty Ltd which owns and operates the 370km high voltage direct current (HVDC) electricity interconnector between Victoria and Tasmania, known as Basslink.

Basslink is the only electricity interconnector between Tasmania and mainland Australia. It provides two-way access to 500 MW of electricity and is critical to the export of Tasmanian renewable energy to Australia’s mainland.

Basslink Pty Ltd entered into voluntary administration and receivership on 12 November 2021. APA is interested in buying Basslink from the receivers and managers. The face value of the debt in which APA has acquired an interest is approximately AUD99 million (US$71.6 million). It has been acquired at a discount and funded from APA’s existing debt facilities.