King & Wood Mallesons (KWM) has advised ZEN Energy (Zen) on the development of the Templers Battery Energy Storage System (BESS) in South Australia (SA).
ZEN is a renewable energy company with a strong commitment to limiting global warming to 1.5°C and forming long-term and mutually beneficial relationships with its communities. This commitment will be integral to the project’s success and the continuation of ZEN’s pipeline of energy projects over the coming years.
Once complete, the project will provide 111MW/291MWh of storage and will provide dispatchable, fast-response generation and load into the SA market, enabling more of the renewable energy generation required to reduce South Australia’s carbon impact.
KWM’s role in the project involved advising ZEN on the full spectrum of the development, including contract structuring, land tenure, construction and operation, project financing (obtained from Natixis) and associated offtake arrangements.
Partners Chris Dynon (Banking and Finance), Scott Gardiner (Energy Resources and Infrastructure) and Peixin Truong (Banking and Finance) led the matter for KWM, together with Senior Associates Josh Thorneycroft from the Energy Resources and Infrastructure team and Edward Kus, Madeleine Coates, Olivia Harle from the Banking and Finance team.
Drawing on cross border capability, KWM also leveraged its China and Hong Kong teams on certain elements of the transaction.
Commenting on the deal, Partner Chris Dynon said:
“We are delighted to have acted alongside our longstanding client ZEN Energy on this significant transaction – an integral advancement in South Australia’s transition to green energy by providing dispatchable, fast-response generation and load into the grid. ZEN has ambitious plans to assist in Australia’s energy transition and we look forward to working with them to achieve this.”
KWM is a leading adviser in renewable energy transactions, and is currently working with ZEN on its next project, the Solar River Solar Farm. The firm has also recently acted on Victoria’s 200MW/800MWh Battery Energy Storage System as part of the Melbourne Renewable Energy Hub, the 120 MWp Munna Creek Solar Farm in Queensland and Lightsource bp’s sale of its 1GWP Australian Solar Farm project.
Anthony Garnaut, ZEN Energy CEO noted that:
“Realising the final investment decision for the Templers battery is a key milestone in ZEN’s significant growth and marks our first 100 per cent owned major asset, in the state where we started.”
“ZEN has carefully developed an eco-system of sustainability-driven partners. We are proud to have KWM involved and aligned with our journey to helping secure a safe 1.5°C world for everyone."
