AUSTRALIA: Federation hires adviser to sell Kennedy energy project

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Australian renewables developer Windlab and its JV partner Eurus have hired Lazard to sell the hybrid Kennedy Energy Park project in Queensland, NPM understands.

The deal is expected to launch formally in September.

The central north Queensland 43 MW wind, 15MW solar and 2MW / 4MWh battery project was the world’s first ever combined wind, solar and battery hybrid.

Kennedy Energy Park is jointly owned by Federation Asset Management-owned Windlab and Japan-headquartered renewable energy business Eurus Energy Holdings.

Kennedy connected to the Queensland grid in 2019 and reached full commercial operation in May 2024, according to the project’s website.

It is connected to an existing transmission line which runs from Cape River to Hughenden, according to Kennedy’s website and is situated near the planned 1,000km Copperstring transmission line running from Queensland’s North West Minerals Shelf to the National Electricity Market on Australia’s east coast.

Federation completed its acquisition of the 75% stake it did not already own in Windlab from Australian renewables business Squadron Energy in April this year. Windlab has a 20 GW portfolio of wind, solar and storage projects, according to its website.

The Kennedy Energy Park reached its first financial close in 2017 and was first expected to be operational by late 2018, according to NPM data.

It signed a 10-year PPA with Queensland state-owned utility CS Energy in 2017.

The Queensland state government in June last year committed AUD 2.4bn (USD 1.68bn) to the Copperstring 2 transmission line after a claimed AUD 12bn cost increase.

On June 10 this year the government allocated a further AUD 420m to Copperstring in its state budget, taking the total to AUD 3.2bn.

Queensland-government owned investment manager QIC is advising the government on the project’s development and delivery. Its 1.7 GW-capacity Eastern Link from Hughenden to Townsville, Queensland, is expected to be completed by 2032, according to QIC’s website.

Windlab is also developing the North Queensland Super Hub, which hosts the Prairie and Wongalee wind farms, which are also near Hughenden, Queensland.

Federation Asset Management declined to comment.