NZGIF's lending facility will support connection assets for Eastland's geothermal plants in the Eastern Bay of Plenty region.
NZGIF will supply up to $25m to fund the construction of connection assets for the new ~50MW TOPP2 geothermal plant. Additionally, it will enable upgrades to the existing connection of the 25MW Te Ahi O Maui geothermal plant.
"The loan represents an attractive opportunity to support a leading infrastructure operator and regional decarbonisation," says Jason Patrick, NZGIF Chief Investment Officer.
"NZGIF’s tailor made funding will support Eastland Generation and subsequently the energy resilience of the Eastern Bay of Plenty region, benefitting industry and farming in the region," said Patrick.
Eastland Generation is owned by Eastland Group, a specialist infrastructure company headquartered in Tairāwhiti that also operates Eastland Port and Gisborne Airport.
Having recently sold its electricity distribution business, Eastland Group is recycling capital into its significant generation pipeline.
Eastland Generation Chief Executive Officer Alice Pettigrew said, "Partnering with NZGIF was a natural choice as they identified a specific opportunity and share our commitment to sustainable, enduring investments in renewable infrastructure, combined with a commercial approach to the transaction."
About NZGIF
NZGIF is a green investment bank which was established in 2019 to facilitate and accelerate investment that can help to reduce greenhouse gas emissions in New Zealand. We are a long-term, mission-driven investor, providing innovative, flexible and tailored capital solutions to support decarbonisation initiatives across a broad range of sectors. As a limited liability company independent of government, we make independent investment decisions. NZGIF invests on a commercial basis; we do not offer concessionary finance. We invest in scalable companies, technologies and products that are commercial-ready and offer low carbon benefits for New Zealand. NZGIF is not a registered bank.
About Eastland Generation
Eastland Generation has a diverse portfolio of renewable energy plants in New Zealand’s North Island, with a particular expertise in and focus on geothermal generation.
They’re dedicated to sustainably managing renewable resources while growing their generation base an increasing shareholder value. Together with their project partners, key suppliers and mana whenua, they champion a holistic approach to development and operations.
They aim to play a meaningful role in helping New Zealand to achieve 100% renewable electricity by 2035, and net zero emissions by 2050.
Eastland Generation is 100% owned by Eastland Group, a specialist infrastructure company headquartered in Tairāwhiti that also operates Eastland Port and Gisborne Airport. Eastland Group’s sole shareholder is Trust Tairāwhiti. Every year they return dividends to support their programme of regional economic development and community wellbeing.
Learn more at https://www.eastland.nz/