Critical minerals company to buy renewable energy from Australia-Asia link

Renewable energy company Sun Cable has signed a Letter of Intent (LoI) with an Australian critical minerals company for the potential offtake of renewable electricity from the planned Australia-Asia PowerLink (AAPowerLink) project.

Under the one-year non-binding LoI, Sun Cable will progress commercial and technical discussions with Tivan in support of the potential offtake of 200 to 300 MW of electricity from the power project for the supply of the planned TIVAN Processing Facility (TPF) in Darwin.

“This Letter of Intent is an important milestone for Tivan, Sun Cable, and the Northern Territory. The provision of 24/7 dispatchable, renewable electricity can underpin industrial processes, enabling a new wave of green industrial development,” said David Griffin, Sun Cable Founder and CEO.

Tivan and Sun Cable will work together to develop an indicative renewable energy supply and commercial strategy for the TPF, located in the Middle Arm Sustainable Development Precinct (MASDP).

The partners aim to optimize the design, delivery and utilization of the proposed electricity supply/purchase from AAPowerLink for the TPF.

The supply of energy is subject to the parties subsequently agreeing and executing a formal power purchase agreement.

“The Board is fully committed to sustainability principles, and to ensuring that all environmental impacts of the Tivan Processing Facility are managed in strict conformity with regulatory pathways and to meet the legitimate expectations of the community in Darwin,” said Grant Wilson, Tivan’s Executive Chairman.

“As the first-moving public proponent at the Middle Arm Sustainable Development Precinct, Tivan has an important interest in how it is shaped. By partnering with Sun Cable, we are endorsing and facilitating the proposed provision of large-scale renewable energy to the Precinct.”

The AAPowerLink project will integrate a range of technologies and infrastructure, including one of the world’s largest solar farms to be located in the Northern Territory, with a capacity of up to 20 GWp, the world’s largest battery with up to 42 GWh, and the world’s longest undersea high voltage direct current (HVDC) cable system with a length of 4,200 km from Darwin to Singapore.

Construction is expected to begin late this year, with the first supply of electricity to Darwin in 2026 and the first electricity to Singapore in 2027. Full capacity is anticipated by the end of 2028.

Sun Cable revealed the Integrated Project Delivery Team (IPDT) for the project in 2021.