Photon Energy Group Sells Solar Projects to CleanPeak Energy, Shifts Focus to Energy Storage

Photon Energy Group has signed an agreement to sell two solar power plants and a development-stage hybrid PV project in New South Wales, Australia to CleanPeak Energy. The assets, which include a combined capacity of 14.5 MWp for the solar plants and 8.2 MWp / 10.9 MWh for the hybrid project, are expected to be transferred in October 2024. This move aligns with Photon Energy's shift towards utility-scale energy storage development.

The solar farms, Leeton and Fivebough, were commissioned in 2021 and use advanced single-axis tracking and bi-facial modules. The majority of their energy is sold into the National Electricity Market (NEM), with a smaller portion through a Power Purchase Agreement (PPA). Additionally, the transaction includes a hybrid solar/battery project located in Boggabri.

Photon Energy aims to tackle renewable energy intermittency by investing in energy storage projects. This new focus seeks to ensure the availability of renewable energy during peak demand periods. The company will also invest in RayGen technology to enhance its innovation footprint in the energy sector.

The sale is expected to generate over EUR 6 million in net cash for Photon Energy. Pottinger and Clifford Chance acted as financial and legal advisors, respectively. The pivot to energy storage is part of Photon Energy's broader strategy to enhance grid stability and support the growing demand for renewable energy.