Meridian Energy, NZ Windfarms to expand Te Rere Hau for up to $348 mln (updated)

NZ Windfarms

25/10/2023 21:14

(Adds further details on project expansion, subscription of
shares and expected timeline)
       Oct 26 (Reuters) - New Zealand-based power company
Meridian Energy  MEL.NZ  and wind energy firm NZ Windfarms
 NWF.NZ  on Thursday said they will form a joint venture to
expand the Te Rere Hau wind farm for an estimated capital cost
of up to NZ$600 million ($348.36 million).
    The wind farm, located on the North Island, currently has 91
small turbines with a total installed capacity of 45.5 megawatts
(MW). It will get about 39 new turbines, taking its power
generation capacity to up to 170 MW.
        "This will be New Zealand’s first wind farm repowering
project and has the potential to generate seven times the annual
renewable energy production of the existing fleet," Meridian
said.
  
        As part of the deal, Meridian will buy shares in NZ
Windfarms representing 19.99% of the shareholding. It also
intends to sign a 15-year power purchase deal for all the
electricity produced from the repowered project, it said.
  
       The final investment decision for the project expansion
is expected to occur in the second quarter of 2025, with
completion expected towards the end of fiscal 2027.
  
        
  
($1 = 1.7224 New Zealand dollars)

 (Reporting by Roshan Thomas in Bengaluru; Editing by Pooja
Desai)
 ((Roshan.Thomas@thomsonreuters.com;))