This report outlines the issues encountered and lessons learned during the financial close process on the Kidston Pumped Hydro project, including topics such as forecasting costs, offtake and merchant market modelling, marginal loss factors and pathways to further projects in Australia.
Genex Power Limited (Genex, Company or Owner) is the 100% owner and developer of the Kidston Clean Energy Hub, located in North Queensland (the Kidston Hub). Stage 1 of the Kidston Hub was completed in the form of the 50MW Stage 1 solar farm, which was energised in November 2017. Stage 2 of the Kidston Hub is the 250MW Pumped Storage Hydro Project (K2-Hydro or Project) which is currently under construction, having reached financial close in May 2021. A further Stage 3 of the Kidston Hub, being a wind project of approximately 150MW, is currently in feasibility stages along with a potential co-located solar farm of up to 270MW. This report is focused on the feasibility, development and financing activities for K2- Hydro as part of the ARENA Knowledge Sharing program.