ROSS RIVER SOLAR FARM

RENEWABLES

ASSET DESCRIPTION

  • 100% equity interest in greenfield 148MW solar farm near Townsville jointly developed by Palisade
  • Initial acquisition of 50% equity interest from ESCO Pacific in December 2016
  • Final development and financial close achieved in April 2017
  • Acquisition of remaining 50% equity interest in February 2018
  • Commercial operations reached in December 2018

INVESTMENT FUNDAMENTALS

  • Early involvement allowed Palisade to shape key project contracts
  • Revenue largely underpinned by long-term investment grade PPA
  • Experienced large Australian EPC and O&M contractor
  • Platform for future collaboration on developer’s project pipeline

KEY RISKS AND MITIGATION

  • Construction risk mitigated by fixed price EPC contract with performance and delay liquidated damages, and investment grade guarantor
  • Operating risk minimised through tier 1 equipment (with warranties), strong operator and oversight by Palisade Integrated Management Services (PIMS)
  • Generation risk assessed through detailed yield analysis undertaken by experienced independent technical advisers
  • Pricing risk mitigated through long-term offtake agreement
  • Refinancing risk mitigated through conservative capital structure

Visit the Ross River Solar Farm website

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