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Hogan Lovells acts for Keppel Seghers in another Australian first, the Thermal Waste-to-Energy project in Kwinana, Western Australia

30 Oct 2018

Hogan Lovells has acted for its long standing client, Keppel Seghers Belgium N.V. (Keppel Seghers), in securing the contract to supply waste-to-energy technology and associated services to Acciona, the appointed EPC contractor to design and construct Australia's first thermal waste-to-energy facility in Kwinana, Western Australia.

The facility, to be located 40 km south of Perth, was co-developed by Macquarie Capital and Phoenix Energy Australia, with co-investment by Dutch Infrastructure Fund. It will divert 400,000 tonnes of household, commercial, and industrial waste from landfill and have the capacity to export 36 MW of green electricity to the local grid each year.

Keppel Seghers' moving grate technology will be used to thermally treat the waste and convert the recovered energy into steam to produce electricity. This technology has been provided by Keppel Seghers to more than 100 waste-to-energy plants in 18 countries.

The Australian Infrastructure, Energy, Resources and Projects team at Hogan Lovells advised on the terms of the supply and services agreement and, as the project is the first of its kind in Australia, the negotiated outcomes will be influential in the procurement of similar future projects.

Hogan Lovells Sydney Counsel Christopher Healy said: "Having advised Keppel on other projects around the world, we are really pleased to advise them on this ground-breaking project in Australia. This project will give market confidence to other waste-to-energy projects currently in planning here."

Having achieved financial close, the project will commence construction (valued at AUD 400 million) this month and is expected to open late 2021. It is likely to create more than 800 jobs during construction and 60 full-time positions once operational.

Hogan Lovells Partner Ros O'Mally said, "It was a delight to work with, and support, our long-standing client Keppel Seghers on this waste-to-energy project. We are pleased to advise, once again, on such a ground-breaking and significant transaction in Australia."

Ros O'Mally led the Hogan Lovells team together with Counsel Christopher Healy and Senior Associate Lisa Mazor.

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