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- Fortescue Metals Group’s (ASX:FMG) subsidiary enters a PPA for 337.5 MW of new solar energy from Genex Power (ASX:GNX)
- The solar energy will be generated from the Bulli Creek project in Queensland, a collaboration between Genex and J-POWER
- This agreement secures a fixed price for solar energy and renewable generation certificates for a period of 25 years
- It is contingent on Genex achieving financial close on the Bulli Creek project by December 31, 2024, and FMG making an FID on Gibson by this year’s end
- FMG shares are up almost half a per cent, trading at $21.15 at 11:19 am AEDT
Fortescue Metals Group (ASX:FMG) has secured an off-take deal to acquire 337.5 megawatts of new solar energy from Genex Power (ASX:GNX).
The 25-year agreement with Genex for the Bulli Creek Solar and Battery project will assist in meeting a portion of the renewable energy requirements for the proposed Gibson Island project in Brisbane.
The Gibson Island project’s primary objective is to generate approximately 385,000 tonnes of green ammonia annually through a 550MW hydrogen electrolysis facility.
This agreement benefits not only Fortescue but also supports Genex and J-POWER in advancing its renewable energy project, contributing approximately 115MW of surplus energy back to the grid.
“This agreement is the first step in securing renewable power supply for the Gibson Island project over the long term,” Fortecsuce Energy CEO Mark Hutchinson said.
“It is the first PPA for the project and finalising it is an important milestone in our pursuit of a targeted final investment decision this calendar year.”
This move toward renewable energy underscores Fortescue Metals Group’s commitment to sustainability and the development of clean energy solutions.
This purchase agreement is contingent on Genex achieving financial close on the Bulli Creek solar project by December 31, 2024, and Fortescue making a final investment decision on the Gibson Island project by December 31, 2023.
FMG shares were up almost half a per cent, trading at $21.15 at 11:19 am AEDT.
