Using a transaction structure similar to AGL’s December 2006 sale of the Hallett-1 wind farm, Energy Infrastructure Trust (EIT) will acquire Hallett-2 and fund all remaining development and construction costs. EIT will own the wind farm, while AGL will buy all of the electricity and renewable energy certificates produced, as well as operate and maintain the facility.
Michael Fraser, managing director of AGL, said that providing EIT with long-term revenue and cost certainty allowed AGL to realize a development profit of A$59 million. Between A$35 million and A$40 million will be recognized in fiscal 2009, with the balance in fiscal 2010.
Mr Fraser said: The sale of the Hallett-2 wind farm is consistent with the company’s integrated strategy. We are very pleased with this outcome, especially in light of the current credit market environment. The transaction certainly demonstrates there is a solid appetite for quality projects of this nature which deliver benefits to both parties.
