Keppel enters deal to acquire stakes in 500 MW solar project in Queensland

Keppel Renewable Energy Pte Ltd a wholly-owned subsidiary of Keppel Corporation, has signed an agreement to acquire a 45% stake in Harlin Solar Pty Ltd (Harlin Solar) to develop a large-scale, greenfield solar farm in Queensland, Australia.

The acquisition is subject to approval by Australia’s Foreign Investment Review Board.

Keppel Renewable Energy will acquire the 45% stake for a nominal sum of AUD540 million (approximately US$545 million). In addition, it will provide a loan of up to AUD3.24 million (approximately US$3.28 million) to Harlin Solar for funding development costs of the project. Upon reaching certain agreed development milestones, Keppel has options to acquire all the remaining stakes in Harlin solar for an aggregate maximum consideration of AUD52.35 million (approximately S$53.01 million).

Keppel Renewable Energy will take the lead role in the development and management of the construction and operation of the solar farm. This includes undertaking the grid connection studies, assessing the site and technology requirements, sourcing for off-takers as well as project management of the EPC (Engineering, Procurement, Construction) of the solar farm.

The project will be located on a more than 2,000-ha site. Expected to have a capacity of at least 500 MW, the project will generate enough energy to power more than 142,000 average Australian homes. 

Construction of the solar farm is projected to commence in 2022 and be completed in 2023. When operationally ready, the solar farm will be connected to the national energy market (NEM) for public consumption and will also provide renewable energy through the NEM to businesses seeking sustainable energy solutions, including Keppel-related companies in Australia.