Millmerran financing closed
International power developer InterGen has announced the completion of debt financing on the Millmerran coal mine and power project in Queensland, Australia. Mill- merran is one of the largest greenfield power project financings in Australia, and according to InterGen, is the largest fully merchant greenfield power plant in the world to be financed on a non-recourse project finance basis.
The 840 MW coal fired power plant an associated coal mine will be developed at a cost of A$1.43bn ($922m). Financing was arranged by ABN Amro, ANZ Investment Bank, BankAmerica, the Commonwealth Bank of Australia and the National Australia bank. Five co-arrangers have committed A$500m to the financing.
Commercial operation of the plant is slated for 2002. Bechtel Power will construct the plant under a turnkey contract. Carlos Riva, president and CEO of InterGen, described Millmerran as one of the most significant project closings that InterGen has made to date. He said: “We expect Millmerran to be the first of multiple power investments we plan to make in Australia.”
Electricity demand in Queensland is growing at three per cent per year.