PERTH (miningweekly.com) – Energy infrastructure company APA Group has unveiled a staged plan to build an 88 MW solar farm at Mica Creek in Mount Isa, supporting customers in the North West Minerals Province with renewable electricity.

The company will invest more than A$80-million on the 44 MW Stage 1 project, which is underpinned by a new 15-year solar offtake agreement with zinc miner MMG Dugald River.

The first stage of the solar farm is expected to be operational by the first quarter of 2023, while APA is in advanced discussions with a number of customers to commit to the development of Stage 2.

APA CEO and MD Rob Wheals said the final investment decision (FID) and solar offtake agreement with MMG reflects APA’s commitment to providing affordable, reliable and low emissions power to this minerals-rich region of Queensland, further strengthening the region’s economic activity.

“The Mica Creek solar farm will deliver lower emissions power underpinned by the reliability of APA’s gas-fired power, while reducing the average cost and emissions of power across Mount Isa,” Wheals said.

“This solar agreement is the result of us working closely with MMG to ensure we meet their needs as a valued customer, so they can in turn continue to support a growing and leading zinc operation in Queensland.

“As always, we will continue to work with our customers to support their requirements, consistent with APA’s purpose to strengthen communities through responsible energy.

“APA has been working with Economic Development Queensland in relation to a lease to support the solar farm, and is very pleased to work with the Queensland government to support the ongoing development of the North West Minerals Province.”

Queensland Deputy Premier and Minister for State Development Steven Miles said the solar project is an excellent example of the demand for renewable energy, from all sectors of business and industry.

“We’re backing businesses, renewable energy, and the North West Minerals Province as we keep delivering Queensland’s plan for economic recovery from Covid-19,” Miles said.

“The North West region is a significant part of Queensland’s resource-based economy and, with its endowment of new economy minerals, will play an important part in helping propel the boom in emerging technologies.

“Mining customers of APA are seeking a renewable energy solution as they move to reduce their reliance on gas and transform their business to meet greenhouse gas reduction goals.

“This has led APA to a long-term lease for 198 ha of industrial land from the Queensland government to develop a solar farm, with Stage 1 capacity of 44 MW and Stage 2 capacity of an additional 44 MW, taking both stages to 88 MW.

“This project will also provide a boost to employment and the local economy, employing around 300 people during peak construction, and an ongoing workforce of between one to five people.”