The administrators of Sun Cable, an ambitious $30 billion international solar transmission project, have indicated there is ‘strong interest’ from multiple parties looking to acquire the company during the sale process.
In a statement released today, administrators Christopher Hill, David McGrath and John Park of FTI Consulting said multiple parties had submitted non-binding indicative offers to acquire the company that fell into administration in January.
The update comes after Mike Cannon-Brookes’ Grok Ventures,one of Sun Cable’s major backers, gave the company $65 million of interim funding, understood to provide the company with about six months worth of capital at zero interest.
According to FTI, this funding has allowed the continued development of Sun Cable’s development projects, including the AAPowerLink project - tipped to be the world’s largest intercontinental renewable power system once complete.
“The Administrators, together with Moelis, are now seeking to progress a shortlist of bidders through to the submission of binding proposals by end of April 2023, with completion targeted at the end of May 2023,” the administrators said today.
“The shortlisted bidders include a range of potential buyers including parties that are not existing Sun Cable shareholders.”
Once up and running, Sun Cable’s project will transmit renewable electricity from the Barkly region of the Northern Territory to Darwin and Singapore, drawing on the favourable sunlight conditions in the nation’s top end.
The project involves a solar generation precinct near Elliott, just north of Tennant Creek in the Northern Territory, with 800km of overhead transmission to Darwin and 4,200km of undersea power cables between the coast and Singapore.
If successful, the $30 billion-plus development would give Darwin a significant increase in electricity supply and account for around 15 per cent of Singapore's energy usage, while reducing CO2 emissions by 8.6 million tonnes annually.
Get our daily business news
Sign up to our free email news updates.
Help us deliver quality journalism to you.
As a free and independent news site providing daily updates
during a period of unprecedented challenges for businesses everywhere
we call on your support