APA takes FID, secures off-taker for 44-MW solar project in Queensland

Australian energy infrastructure company APA Group (ASX:APA) has taken a final investment decision (FID) on the first stage of an 88-MW solar project in Queensland.

The 44-MW phase one of the Mica Creek photovoltaic (PV) complex will be installed in Mount Isa, North West Minerals Province, at a total cost of over AUD 80 million (USD 60.2m/EUR 51.8m). The developer said on Monday that a 15-year power purchase agreement (PPA) has been signed with local zinc miner MMG Dugald River to secure the power off-take.

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The solar park will be built at a site leased by the state government and located close to APA’s Diamantina combined-cycle gas turbine power complex. Its first phase is due to go online by the first quarter of 2023.

APA is meanwhile holding advanced talks with several clients to commit to the development of stage two.

“The Mica Creek Solar Farm will deliver lower emissions power underpinned by the reliability of APA’s gas-fired power, while reducing the average cost and emissions of power across Mount Isa,” said Rob Wheals, APA’s CEO and managing director.

(AUD 1.0 = USD 0.752/EUR 0.648)