NEOEN SA (EPA:NEOEN) - Neoen starts construction of Kaban Green Power Hub, taking its Australian portfolio past the 2 GW milestone

Transparency directive : regulatory news

21/05/2021 07:27

Sydney & Paris, 21 May, 2021

Neoen starts construction of Kaban Green Power Hub, taking its Australian
portfolio past the 2 GW milestone

* Neoen announces the start of construction for Kaban Green Power Hub,
  providing wind turbine supplier and principal contractor Vestas with notice
  to proceed
* The A$373million project consists of a 157 MW wind farm and a 320 km
  transmission line upgrade designed to strengthen the network in Far North
  Queensland
* The project is proceeding with the decisive support of the Queensland
  Government, CleanCo and Powerlink, establishing the North Queensland
  Renewable Energy Zone
* Neoen holds a 100% equity stake with financial close expected in coming
  months
* Kaban Green Power Hub will deliver over 250 construction jobs in Far North
  Queensland and will provide enough energy to power around 100,000 Queensland
  homes

Neoen (ISIN: FR0011675362, Ticker: NEOEN), one of the world's leading and
fastest-growing producers of exclusively renewable energy, has provided notice
to proceed to wind turbine manufacturer and principal contractor Vestas,
signaling the start of construction of Kaban Green Power Hub in Far North
Queensland. The project is expected to start operating in 2023.

Kaban Green Power Hub is an A$373million investment designed to generate clean
affordable energy and to strengthen the electricity network in Far North
Queensland. The project consists of a 157 MW wind farm located near the town of
Ravenshoe in the Atherton Tablelands and a 320 km transmission line upgrade
from 132 kV to 275 kV of the North Queensland coastal circuit.

The Queensland Government is committing A$40million towards the network upgrade
which will support Kaban and establish the North Queensland Renewable Energy
Zone (REZ). Neoen and Powerlink are partnering to upgrade the line between
Cairns and Townsville which will substantially improve the network's system
strength, increasing the energy available to be dispatched from other plants in
the region and unlocking up to 180 MW of additional capacity for future
projects.

The project is underpinned by a long-term power purchase agreement with
CleanCo, Queensland's publicly owned clean energy company. It will deliver
competitively priced electricity, contributing towards Queensland's target of
50% renewable energy by 2030 and creating new investment and over 250
construction jobs in Far North Queensland.

The project's excellent wind resource will generate 457 GWh of affordable clean
energy each year, enough to power some 100,000 Queensland homes, more than
enough for every home in Cairns. Kaban's wind generation profile is
complementary to the wind generated in the southern regions of the National
Electricity Market, contributing to stronger supply during peak periods.

In line with Neoen's 'develop to own' business model, the company will be the
long-term owner and operator of the project and is committed to sharing
benefits with the surrounding community. An annual Community Benefit Fund will
be established to provide opportunities for local community-building
initiatives. Neoen is also working closely with the Jirrbal people, Traditional
Owners of the land on which the project is located, to deliver a range of
employment and community development outcomes.

The Kaban wind project takes Neoen's portfolio past the 2 GW milestone of
assets operating or under construction in Australia. Neoen is the owner and
operator of 14 wind, solar and battery storage projects in New South Wales,
Queensland, South Australia, Victoria and Western Australia. The company, which
is active in 15 countries, is targeting 10 GW globally by the end of 2025.

Louis de Sambucy, Neoen Australia's Managing Director said: "We would like to
extend our sincere thanks to the Queensland Government and to CleanCo for their
unfailing support and to Powerlink and Vestas for their hard work which has
enabled Kaban Green Power Hub to reach this important milestone. We are also
grateful to those in the wider community who have advocated for the project and
the benefits it will bring. We are proud of the pivotal role the project is
playing in establishing the North Queensland REZ and look forward to Kaban
contributing to Queensland's energy transition, and to supporting the region's
recovery from Covid-19."

Purvin Patel, President of Vestas Asia Pacific added: "Vestas is proud that our
partnership with Neoen has been extended to Australia through the Kaban Green
Power Hub. We are pleased that Neoen has chosen our leading technology, market
experience and broad service solutions to help them achieve the best return on
investment for their project".

Dr Maia Schweizer, CleanCo Queensland's CEO said: "CleanCo's agreement to buy
wind energy generated by the Kaban Green Power Hub fits right into our unique
portfolio of low emissions and renewable energy. We will use it to supply our
customers - some of Queensland's largest businesses - with reliable, globally
competitive low-emissions energy. We are proud to tap into Far North
Queensland's excellent renewable resources as we support Queensland's 50%
Renewable Energy Target."

Xavier Barbaro, Neoen's Chairman and Chief Executive Of?cer concluded: "We
are delighted to be collaborating on this second project with CleanCo
Queensland and I would like to thank them for once again putting their trust in
us. As one of the world's leading and fastest-growing independent renewable
energy producers, we are committed to delivering affordable, reliable and clean
energy to our counterparties. I would also like to thank and congratulate our
Australian team for achieving over 2 GW of assets operating and under
construction. Australia is Neoen's leading country and will be a key
contributor to our global target of 10 GW by the end of 2025."

About Neoen

Neoen is one of the world's leading and fastest growing independent producers
of exclusively renewable profile energy. With a capacity of more than 4.1 GW in
operation or under construction, Neoen is a high-growth company. Neoen is
notably active in Australia, Argentina, El Salvador, Finland, France, Ireland,
Jamaica, Mexico, Mozambique, Portugal and Zambia. In particular, Neoen operates
France's most powerful solar farm (300 MWp) in Cestas, and the world's first
big battery (150 MW / 193,5 MWh storage capacity) in Hornsdale, Australia.
Neoen is targeting at least 10 GW capacity in operation or under construction
by end of 2025. Neoen (ISIN Code: FR0011675362, ticker: NEOEN) is listed in
Compartment A of the regulated market of Euronext Paris.

For more information: www.neoen.com

Contact
Neoen
communication@neoen.com

Australian media
Red Havas
neoen@redhavas.com

International media
OPRG Financial
Isabelle Laurent
+33 1 53 32 61 51
Isabelle.laurent@oprgfinancial.fr

Fabrice Baron
+33 1 53 32 61 27
Fabrice.baron@oprgfinancial.fr

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NEOEN SA (EPA:NEOEN) - Neoen starts construction of Kaban Green Power Hub, taking its Australian portfolio past the 2 GW milestone

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