Genex Power Limited has given the go ahead for construction to proceed on two key contracts for the 250MW Kidston pumped storage hydro project (K2 Hydro).
The company issued a notice to proceed to a joint venture of McConnell Dowell and John Holland under the Engineering, Procurement and Construction (EPC) contract and to Energy Solutions Pty Ltd trading as Beon under the design and construct (D&C) contract. Ancillary site works are also now ramping up to full construction.
The EPC scope includes dam construction, underground and waterway civil works and the full powerhouse fit-out (including supply and installation of all electromechanical equipment). D&C scope includes a new substation at Kidston to connect into the Powerlink transmission line, and new 275kV transmission infrastructure to connect from the substation to the EPC works.
The issuance of Notice to Proceed under these two contracts formally commences the construction program for the Project, which is expected to take 3.75 years to complete. Concurrent with activities under the EPC and D&C contracts, Genex is also ramping up its site activities with the following works:
Continuation of refurbishment works for the Oaks Rush accommodation village, which is being utilised as the Project construction camp;
Completion of the airstrip upgrades to facilitate fly-in fly-out operations for construction personnel;
Continuation of the communications infrastructure upgrades; and
Commencement of upgrade works on the fresh water supply line from the Copperfield Dam.
With construction now commencing, Genex is looking to formally close-out the financing arrangements, with financial close remaining scheduled to occur in mid-May 2021,following the Extraordinary General Meeting on 29 April 2021.
