Mercury NZ is planning to build a new wind farm at Kaiwera Downs in Gore for $115 million.
The energy generator and retailer has executed contracts for the procurement and construction of the first stage of the Kaiwera Downs wind farm, it said in a statement.
The total cost of the 43 megawatt (MW) wind farm is expected to be $115m, excluding capitalised interest.
This lifts Mercury’s financial commitment to build new renewable wind generation to almost $600m since 2019.
Chief executive Vince Hawksworth said stage one of the Kaiwera Downs wind farm is the next “cab off the rank” in the company’s plan for new renewable generation, as it nears completion of its $480m Turitea wind farm in Manawatū.
“We have an outstanding pipeline of renewable generation projects,” Hawksworth said. “Our decision to proceed with Kaiwera Downs is an exciting next step, and by no means the last.”
The 10 turbines to be constructed in stage one of the wind farm will add enough new renewable power to run 66,000 electric vehicles (EVs), Hawksworth said.
A second portion of the build will complete the 240MW that has been consented on the site.
“In less than 12 months, from having no operating wind generation, Mercury has become New Zealand’s largest wind generator,” Hawksworth said. The company bought Tilt Renewable's NZ wind farms last year.
“We’re embarking on a major period of growth in a rapidly changing world that is increasingly recognising the urgency to decarbonise,” he said.
The energy retailer said the Kaiwera Downs wind farm is part of a “significant renewable growth pipeline” for Mercury. Several other renewable projects are currently being considered.
Mercury shares were down 0.2% to $6.15 in morning trading on the NZX.
