Genex Power has entered an agreement with the McConnell Dowell/John Holland joint venture to immediately start early works on the 250MW Kidston pumped storage hydro project.
Genex said the agreed program of works would accelerate development of the project ahead of financial close, expected in the first half of this year.
It will focus on work surrounding hydraulic design and related activity for the hydro turbines, followed by preliminary electrical design work and other preparations.
The pumped storage hydro project is the centrepiece of the planned $1 billion Kidston energy hub, located at the former Kidston gold mine site in North Queensland.
Other elements include the operating 50MW Stage 1 Solar Project (KS1), a multi-staged integrated solar project of up to 270MW (K2-Solar), and the Kidston Stage 3 wind project of up to 150MW.
“Embarking on this early works program with the MDJH-JV is a significant milestone for Genex as work gets underway on our biggest project, which has been in planning for a number of years,” Genex chief executive officer James Harding said.
“Genex continues to work closely with Powerlink, the Queensland State Government, NAIF, ARENA, Energy Australia and other key stakeholders to finalise the remaining activities ahead of the financial close milestone.”