Middle Arm in SunCable’s sights after project sale finalised

On its knees at the start of the year, the $40bn SunCable project has bounced back with the sale finally completed. Read what it will mean for the Territory.

The SunCable project is back on track, eight months after a spat between its billionaire developers nearly sunk the $40bn development – and its focus will be the Northern Territory and Singapore.

The project’s new owner Grok Ventures on Thursday announced it had completed the sale of SunCable’s assets, along with a commitment to the Territory government the company will achieve final investment decision and retain its office in Darwin.

Speaking from America, Chief Minister Natasha Fyles welcomed the project’s rebirth.

“This project will deliver $8bn in expected investment into Australia,” Ms Fyles said.

“The AAPowerLink will deliver significant benefits to Australia. It will provide significant zero emissions electricity; committing at least 800MW to the Northern Territory and 1750MW to Singapore.

SunCable is back and has big plans for the Territory.

“The Territory Government welcomes the progress by Grok and Quinbrook. The AAPowerLink project will position the Territory as a renewable energy powerhouse – powering Territory industries with Territory sunshine, creating new permanent jobs, and establishing a new export industry.”

Today’s announcement formalises the sale of SunCable’s assets, including the shares in its operating subsidiary, to Grok Ventures.

The project hit turbulence in January when Grok’s Mike Cannon-Brookes and Andrew Forrest’s Squadron Energy fell-out over its direction and it was placed into voluntary administration. Cannon-Brookes eventually won a bidding war to obtain exclusive development rights.

Grok founder Mike Cannon-Brookes has big plans for the Territory. Source: The Australian.

Mr Cannon-Brookes said he would now focus on delivering on its ambitious energy plans including providing green power to the Middle Arm Sustainable Development Precinct.

He said SunCable was in a strong position to deliver the Australia-Asia Power Link between the NT and Singapore via a 4300km subsea cable.

He said the reborn company was “on a mission” to deliver reliable, cost-competitive green electrons to customers in Darwin and Singapore.

“The green energy transition remains the greatest economic opportunity of our time.

“SunCable’s AAPowerLink project has all the component parts to make the next great Australian infrastructure initiative possible,” Mr Cannon-Brookes said.

“It will create more local jobs and support our green manufacturing and renewable energy industries.

SunCable’s proposed East Arm assembly facility

“It’s set to deliver huge volumes of green energy to Darwin – powering a burgeoning green industry opportunity in the NT. There’s huge upside for both Australia and our neighbours, Singapore and Indonesia. We look forward to working with our partners across Asia to drive this.”

SunCable wants to generate renewable electricity from the world’s largest solar farm located near Tennant Creek, to deliver energy to Darwin, the planned AAPowerLink and third party industrial power consumers in the Top End.

The project will be managed by Quinbrook Infrastructure Partners who, SunCable says, have a history of delivering and financing mega-scale renewable developments.

AAPowerLink, SunCable’s offshore component, plans to deliver electrons via sub-sea cable to purchasers in Singapore.

With the capacity to deliver 6GW of renewable energy, Grok said the project will be delivered in two stages, beginning with the delivery of 900MW of electricity to Australian customers including Middle Arm.

Singapore customers will get about 1.75GW and an additional 3GW is planned for Darwin customers based around anticipated economic growth.

Originally published as Middle Arm in SunCable’s sights after project sale finalised