A $259 million investment will fund APA Group's 72 MW Sybella Creek Solar Farm and 52 MW/104 MWh BESS in Mount Isa, Queensland. An Energy Supply Agreement with Ernest Henry Mining runs to mid-2046, while construction is anticipated to start in late 2026 and project completion is planned by mid-2028.
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APA Group, an Australian energy infrastructure business, has made a final investment decision to construct, own and operate the 72 MW Sybella Creek Solar Farm and a 52 MW/104 MWh BESS in Mount Isa, Queensland. APA will invest $259 million in the project, supported by an Energy Supply Agreement with Ernest Henry Mining Pty Ltd that runs until mid-2046. Ernest Henry Mining is a wholly owned subsidiary of Evolution Mining.
The Energy Supply Agreement also supports APA's gas-powered Diamantina Power Facility, which will provide backup generation and energy supply alongside the new renewable energy assets. APA said that the combined assets would provide Ernest Henry's operations with a lower-emissions energy supply while improving reliability at a lower cost. The company also said the BESS would enhance network reliability and resilience for Ernest Henry Operations, mining customers and the local community across the North West Power System.
Adam Watson, APA's CEO and Managing Director, said that the project would improve operating efficiency at the Diamantina Power Facility and support energy security in Mount Isa. He also linked the development to Queensland's Critical Minerals Future 2026 - 2030 plan and investment in the North West Minerals Province.
Construction of the portfolio is anticipated to commence in late 2026, with completion planned by mid-2028. APA will fund the project from its existing balance sheet, and the investment forms part of its ~$3.5 billion organic growth pipeline. APA Group owns and operates gas transmission, processing, compression and storage assets, electricity generation assets, battery storage and electricity transmission infrastructure.