King & Wood Mallesons (KWM) is proud to have advised Societe Generale, Sumitomo Mitsui Banking Corporation and Westpac Banking Corporation as financiers to the 2-stage Calala Battery Energy Storage System (BESS) being developed by Equis Australia.
The Calala BESS comprises an aggregate capacity of 250MW / 500MWh and will contribute a considerable amount of grid firming capacity to assist in ensuring a smooth energy transition in Australia.
The 2 stages will be constructed and financed as separate projects, with certain assets which are required by both stages held in a common asset structure. Each BESS will be supplied by Tesla, with the capacity of the stage 1 BESS fully contracted to SmartestEnergy (which was advised separately by KWM’s Energy team).
The KWM team was led by Partner Chris Dynon, who was supported by Senior Associate Emma Reed and Solicitors David Kennelly and Emily Powell. HSF acted for Equis.
Commenting on the transaction, Partner Chris Dynon said:
“Congratulations to Equis and its financiers on reaching financial close of the Calala BESS project financing. Having advised the financiers to the third stage of the Melbourne Renewable Energy Hub last year, KWM is pleased to have continued to strengthen its relationship with Equis and its financiers throughout this transaction. The Calala BESS was a complex project (particularly due to the unique multi-stage structure, with one stage having been financed on a merchant basis) but, due to the collaborative approach taken by everyone involved, the project was able to achieve this important milestone.”
The Project is expected to commence Commercial Operations by 2027.
KWM continues to be at the forefront of market leading transactions supporting Australia’s energy transition. This includes recently advising the syndicate of financiers on the project financing of EnergyAustralia’s Wooreen Energy Storage System (WESS) and advising Intera Renewables on its acquisition of the Limestone Coast BESS.
