Mercury begins construction on Kaiwera Downs wind farm expansion
25 July 2024 – Mercury has kick started construction of the second and final stage of the Kaiwera Downs wind farm near Gore.
The entire 46-turbine wind farm will generate up to 198MW of renewable energy when stage two is completed in 2027 It will also stand as the largest wind farm in the South Island when constructed.
Mercury’s Chief Executive Vince Hawksworth and Gore District Council elected member Joe Stringer helped mark the start of construction of the wind farm expansion to officially get work underway.
The event was attended by representatives from iwi and hāpu, Gore District Council, community members, landowners, Mercury staff and contractors who will be working on the project.
Mr Hawksworth said the two stages of the Kaiwera Downs wind farm represented a $601 million investment towards helping New Zealand on its decarbonisation journey.
It will help power the Tiwai Point aluminum smelter in Southland for 20 years, as part of an agreement between Mercury and New Zealand Aluminium Smelters (NZAS) reached in May 2024.
“Our agreement with NZAS gives us the confidence to continue our work towards delivering more renewable energy projects for New Zealand.
“As we launch the final stage of the Kaiwera Down wind farm, we also continue to work hard to progress our premium pipeline of renewable generation projects, including our planned Kaiwaikawe wind farm near Dargaville which we are nearing a final investment decision on.”
Mr Stringer said it was exciting to see work start on stage 2 of the wind farm
"This is a great development for Southland and for the Tiwai Point smelter, which will now have a diverse supply of renewable energy, from hydro-electric to wind power, from three generators including Mercury.
“This will certainly underpin further investment in renewable energy.
“It also gives certainty to people working at Tiwai and the local community while supporting New Zealand’s contribution to a low-carbon future.” /
Key highlights
> Stage 2, construction of 36 turbines, capable of generating up to155MW, will be completed in 2027. The investment in this project was $486 million.
> Stage 1, 10 turbines, generating up to 43MW, was completed in November 2023. The investment in this project was $115 million.
> The agreement with New Zealand Aluminium Smelters will take effect from January 2025 for 20 years, with baseload volume stepping up from 50MW to 75MW in 2027.
> For more information visit our Kaiwera Downs wind farm project page.
ENDS
For media inquiries, please contact: Lawrence Gullery
Communications & Engagement Manager 027 801 0200 mercurycommunications@mercury.co.nz
ABOUT MERCURY NZ LIMITED
Mercury generates electricity from 100% renewable sources: hydro, geothermal and wind. We are also a retailer of electricity, gas, broadband and mobile services. We’re listed on the New Zealand Stock Exchange and the Australian Stock Exchange with the ticker symbol ‘MCY’, with foreign exempt listed status. The New Zealand Government holds a legislated minimum 51% shareholding in the Company.
Visit us at: www.mercury.co.nz