Pilot Energy has confirmed a non-binding A$11.5 million ($7.75 million) proposal from EDP Renewables APAC to acquire the 376 MW Three Springs solar photovoltaic power plant in Western Australia. The offer is structured in staged payments, with finalisation pending due diligence and an asset sale agreement by the end of 2024.
Located 310 km north of Perth, the Three Springs solar project is a key component of Western Australia’s Mid-West Clean Energy Project, aimed at boosting green hydrogen and ammonia production. The plant, with an estimated development cost of A$440 million, has a projected 25-year operational life, potentially maintaining 90% capacity post-25 years.
The plant will connect to the ammonia production facility, located 100 km west, via a private transmission network, with potential to serve external customers. Proceeds from the sale could be used for alternative electricity sources for the green ammonia project, with potential generation sites identified closer to the ammonia facility.
The broader Mid-West Clean Energy Project includes plans for Australia’s first offshore carbon capture and storage site, expected to capture over 1 Mt of carbon annually from 2026.