Sojitz owns the Gregory Crinum metallurgical coal mine and operates as a conglomerate, and ENEOS, previously known as Nippon Oil, refines petroleum and imports gas and coal. It is also involved in hydrogen.
The venture has bought the Edenvale 204 megawatt solar project, near Dalby, from Singapore’s DPI for an undisclosed amount.
Sojitz said its strategy in Australia was to not only develop projects but also to provide a stable supply of renewable energy to Australian companies and Japanese companies conducting business in Australia.
The joint venture has executed a 16-year project finance agreement with Paris-based Natixis and an engineering, procurement, and construction (EPC) contract with Gransolar Construction Australia, a subsidiary of major Spanish construction company Grupo Gransolar S.L.
The plant is planning to be operational from second half of the 2022 fiscal year.
About 70 per cent of the electricity will be sold to an unnamed retailer while part of the remaining 30 per cent will be supplied to Gregory Crinum Coal Mine, which Sojitz owns which will allow it reduce its carbon emissions.
“Sojitz sees Australia as a high-growth market, considering its vast land area and the fact that country has 1.5 times the level of solar radiation compared to Japan,’’ Sojitz said in a statement.
“In addition, there is a growing number of companies that are keen to procure a stable supply of renewable energy through corporate power purchase agreements..
Premier Annastacia Palaszczuk said the decision was a show of international confidence in the strength of the Queensland economic recovery plan and in its renewable energy future.
“This project will create a local jobs bonanza with over 400 jobs required during the construction phase,” Palaszczuk said.
“Queensland has a strong relationship with Japan and this is clearly demonstrated here by this significant investment by Sojitz and ENEOS.”
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