Quinbrook Secures $505.4M Financing For Supernode BESS

Quinbrook Infrastructure Partners (Quinbrook) has secured debt financing of A$722m for the Supernode Battery Energy Storage System project in Queensland. This is one of the most significant deals Australia has seen to date in renewable energy. It is one of the largest standalone BESS financings in Australia to date and will be used to fund stages 1 and 2 of the Supernode project, which will be further expanded.

The Supernode project is located close to Queensland's central electricity network and aims at providing a strong solution to Australia's growing energy needs. Deliveries from the first two stages of the project will amount to a total nameplate capacity of 520 MW and 1856 MWh of storage, allowing the system to play a crucial role in stabilizing the energy grid. Origin Energy has also secured long-term offtake agreements for the project, guaranteeing both an assured supply of energy and sufficient financial backing to support its development. Quinbrook's vision is to scale Supernode into one of the largest BESS projects globally. Future plans also include increasing Stage 3, which will further increase the system's capacity to 760 MW and 3096 MWh, putting it in a firm position as a leader in the energy storage sector.

Brian Restall, Managing Director and Regional Leader for Quinbrook in Australia, said that the strong support from financing partners who recognize the critical role that large-scale storage solutions like Supernode play in supporting the energy transition in Queensland and across Australia's National Electricity Market is well appreciated. Restall said that Supernode is crucial to the country's drive for clean, reliable energy and will supply the indispensable added backup power as renewable sources of solar and wind energy become increasingly important.

The deal was led by Deutsche Bank, acting as Lead Arranger, Original Lender, and Hedge Counterparty in the deal. The bank collaborated with other prominent financial institutions, such as Bank of America, Commonwealth Bank of Australia, MUFG, and Mizuho Bank, to structure this transformative deal. Rachel Chia, Head of Project Finance, Asia Pacific, at Deutsche Bank, said that the bank is committed to supporting Quinbrook and helping provide dispatchable energy services to Queensland's electricity grid. According to Chia, "This deal consolidates Deutsche Bank's experience in project finance as well as the bank's dedication to sustainable energy solutions.".

This is the bank's 25th renewable energy asset financed in Australia, which is a testament to the influence of Deutsche Bank since its entry into the country in 2019. Corporate Bank at Deutsche Bank continues to provide bespoke financing solutions across infrastructure and energy markets, and this deal further strengthens its position in the renewable energy space.

The Supernode project is part of a larger effort in Australia to shift toward renewable energy sources, meeting national and global renewable energy targets. It will play an important role in addressing the intermittency issues that come with renewable energy generation, ensuring that clean power can be stored and deployed when needed most by providing large-scale energy storage. This is a pivotal step in providing support to the country's energy grid as it transitions away from fossil fuels and increases its dependence on renewable sources.

As Quinbrook takes its plans into Stage 3, the Supernode project becomes a critical piece of Australia's energy future. The system will expand its capacity to provide much-needed storage and support to the National Electricity Market, thus helping ensure grid stability and the continued integration of renewable energy sources. The project not only addresses the immediate energy storage needs of Queensland but also positions Quinbrook as a leader in the global energy storage market.

In conclusion, this Quinbook Supernode stands out as part of the enormous push for worldwide sustainable energy supply. With massive support from strong financial partners and backers such as Deutsche Bank, the project sets to provide its energy storage service as well as stabilize the electrical grid for use in Queensland, and the even broader National Electricity Market. Such mega projects like Supernode are, therefore, a critical input for Australia in making the step forward to more sustainable energy sources as it enters its future. A successful deal on financing reflects that energy storage solutions are playing a growingly critical role in the global energy transition and the financial institutions are dedicated to the development of such projects that could further a sustainable future.