Major solar-wind-storage project at Queensland gold mine bags extra funding

July 11, 2019
Facebook
Twitter
LinkedIn
Reddit
Email
The storage project has the ability to integrate with the 270MW Kidston Solar Project and a 50MW wind project. Credit: Genex Power

Australia-based firm Genex Power is set to bag a second round of debt funding from the Northern Australia Infrastructure Facility (NAIF) for what will be the world's first pumped storage hydro project to utilise an abandoned gold mine.

NAIF will provide a long-term concessional debt facility for up to AU$610 million (US$426 million) to Genex’s Kidston Stage 2 Pumped Storage Hydro Project (K2-Hydro) in northern Queensland.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

Genex now expects to reach full financial close for the project before 30 September, having reached a number of milestones in the past year.

In December 2018, the developer signed a term sheet with the utility EnergyAustralia for a long-term energy storage services agreement and equity investment. An early-works programme on the hydraulic design for the hydro turbines then started in February, followed by the final environmental go-ahead in April.

The funding is also subject to the finalisation of the Queensland Government’s consideration of the project.

K2-Hydro has the ability to integrate with the 270MW Kidston Solar Project. Located in what the company claims on its website is the highest irradiation zone in Australia, the PV project would use more than 3 million solar panels to power 143,000 homes.

The pumped storage project will use the Wises and Eldridge Pits as the upper and lower reservoirs at the Kidston Gold Mine. Its capacity is set at 250MW for 8 hours (2,000MWh), with a ramp-up time of less than 30 seconds.

John Grimes, CEO of the Smart Energy Council, told PV Tech that the “fantastic” project was particularly innovative, bringing together solar, wind and a disused gold mine for a closed-circuit pumped hydro system – adding that this meant “dispatchable, stored, renewable energy with long-term storage capability in far north Queensland”.

Laurie Walker, CEO of NAIF, said: “Energy storage facilities have a significant role to play in Australia’s transition to a low emissions, low-cost energy future. The project will provide Far North Queensland with 250MW of firm, dispatchable energy, improving energy reliability while lowering transmission losses and electricity prices.”

Storage future

Many people had been sceptical about the positive role that energy storage could play in Australia's energy transition, Grimes added, but the “big bet” between Mike Cannon-Brookes and Elon Musk – which resulted in a huge battery being installed within 100 days in South Australia – has given market operators and participants a proof point around the value of energy storage.

“So increasingly there's a lot of emphasis on energy storage solutions,” said Grimes, “But, what we are missing is a coordinated transition plan.”

Read Next

Sponsored
October 23, 2025
Tongwei's rooftop-focused TNC 2.0 G12R-48 module will be among the products on show at All Energy Australia next week.
October 23, 2025
Spanish power electronics specialist Ingeteam has won a contract to supply inverters and control systems for European Energy Australia's 100MW Winton North solar-plus-storage project in northeast Victoria.
October 23, 2025
Powerlink Queensland is seeking federal approval to expand its existing 330kV Bulli Creek Substation in Southern Queensland to accommodate the grid connection of Genex Power's 775MW Bulli Creek solar PV power plant.
October 23, 2025
Queensland's rooftop solar systems have exceeded 5GW of output for the first time, marking a milestone in Australia's solar expansion.
October 22, 2025
The Queensland government has launched the Social Licence in Renewable Energy Toolkit, providing local councils in Australia with resources to navigate renewable energy project engagement and community consultation processes.
October 21, 2025
Australia's solar-plus-storage sector gained momentum with 725MW of solar PV approvals advancing across New South Wales and Queensland.

Subscribe to Newsletter

Upcoming Events

Solar Media Events
November 25, 2025
Warsaw, Poland
Solar Media Events
December 2, 2025
Málaga, Spain
Solar Media Events
February 3, 2026
London, UK
Solar Media Events
March 10, 2026
Frankfurt, Germany
Solar Media Events
March 24, 2026
Lisbon, Portugal