Denham cos trade wind projects

Sydney-based OneWind Australia, a Denham Capital-backed company, has transferred management of the Lincoln Gap and Glen Innes wind projects to a second Denham-backed company, Singapore-based Nexif Energy.

Lincoln Gap in South Australia is scheduled to have 59 turbines, which could collectively generate between 150 MW and 177 MW, according to OneWind’s website.

Glen Innes in New South Wales is scheduled to be a 75 MW wind farm.

“To accelerate development of our OneWind Australia projects Lincoln Gap and Glen Innes, we have tasked Nexif to undertake management of the projects, expanding the execution capabilities of the existing OneWind Australia team,” said Saurabh Anand, director at Denham Capital, in an emailed statement.

“Nexif is well-located geographically to bring expertise and efficiency to the projects. We’re excited about this transition and the value the projects will bring to Australia in the near future, particularly with the recent positive changes in the Australian power renewable market.”

OneWind was formed in 2013 after Denham agreed to invest $75 million of equity in a 1 GW portfolio of Australian wind power projects.

Denham co-invested with the portfolio’s other sponsors, Enersis Australia, National Power and Kato Capital, to create OneWind.

They were to have developed Glen Innes, a 100 MW project in New South Wales, Lincoln Gap, a 250 MW project in South Australia, and Cattle Hill, a 240 MW development in Tasmania.

Lincoln Gap and Glen Innes appear to have been downsized since then, according to the OneWind website.

At the time, the partners aimed to achieve financial close on several phases in 2013 or in 2014.

None of OneWind’s power projects had power purchase agreements and they have not been able to negotiate them over the last two years.

In August, Denham committed $200 million to Nexif Energy, a Singapore-based independent power management company managed by former AES employees.

Nearly all Australian wind projects have been held up over the last few years by the hostile approach of the Liberal government to renewables. That changed earlier this year when a new Renewable Energy Target was agreed between the government and the Labor opposition.

Since then, Malcolm Turnbull has taken over as Australian prime minister from Tony Abbott, bringing in an executive that is widely viewed as more renewable energy friendly.

Both Lincoln Gap and Glen Innes could be eligible to bid into the Australian Capital Territory’s second 200 MW wind tender, which is currently ongoing.