SCEE boosts Synergy deal by $50M for Collie battery project

Two months on from receiving a $160 million contract from the WA government to take on the Collie battery project, Southern Cross Electrical Engineering Ltd (ASX:SXE) – or SCEE – has announced it has added $50 million to the value of the project, with the awarding of a battery storage system from Synergy.

The company – through its subsidiary SCEE Electrical – will now add the Collie Battery Energy Storage System 330kV Switchyard Package to its original deal with Synergy, which had instead been built around the 500 MW/2000 MWh Collie Battery Energy Storage System.

This variation to the contract will now bring its total value to SCEE up to $210 million, with the works connected to this variation planned for completion in the second quarter of 2025.

As part of the Collie Battery Energy Storage System 330kV Switchyard Package, SCEE Electrical will be undertaking civil and structural works, 330kV overhead line gantries, installation, testing and commissioning support of 330kV/33kV transformers, circuit breakers, surge arrestors, current/voltage transformers, a 330kV control room and a communications and SCADA system, all tying into the Western Power network.

SCEE’s initial arrangement with state-owned company Synergy – which was announced on May 6 – was the former’s largest contract to date, and SCEE managing director Graeme Dunn said he was pleased this was being boosted again.

“I am very pleased that Synergy has awarded us this further package of works at what will eventually be one of the largest battery energy storage systems in Australia,” he said.

“This brings the total value of work for us on this project to approximately $210m already, and I note there are many further battery projects to come here in Western Australia and in the rest of the country to support Australia reaching its net zero emissions targets.”

SCEE has been trading at $1.69