NZAS long term agreement unconditional

3 July 2024

NZAS long-term agreement unconditional

Contact’s long-term agreement with the New Zealand Aluminium Smelter (NZAS) to supply renewable electricity to its Tiwai Point operation in Southland is now unconditional. All pre-conditions have been met and the new contracts take effect from today.

Contact has been supporting the supply of around 100MW of electricity to NZAS through a Contract for Difference (CfD) provided to Meridian Energy since January 2021. This contract has now terminated.

As previously communicated, under the new agreement Contact will directly provide 100 MW to NZAS from today1 until 31 December 2024 increasing to 120 MW from 1 January 2025 for a minimum of 10 years and a maximum term ending 31 December 2044.

For the 2025 and 2026 calendar years, Contact will supply an additional 25 MW to support the near-term production of high purity aluminium.

In addition, as part of the agreement, NZAS will provide Contact with demand response of up to 46 MW to support New Zealand’s security of supply. In relation to the demand response call made under the 2023/2024 demand response agreement and announced by Meridian on 6 June 2024, Contact will directly receive the benefit of 12.5 MW from today until 20 August 2024, unless Meridian advises NZAS otherwise.

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Investor enquiries
Shelley Hollingsworth
Investor Relations and Strategy Manager
+64 27 227 2429
[email protected]

Media enquiries
Louise Wright
Head of Communications and Reputation
+64 21 840 313
[email protected]

1 With the new pricing effective from 1 July 2024.

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Announcement PDF