Infigen’s Quarterly Revenues Solid Despite Tesla Battery Delays

After a delay of over six months, Tesla’s second big battery project is expected to be operational by year end, says Infigen.

On Thursday (October 31), renewable energy firm Infigen (ASX:IFN) announced its fiscal Q1 2020 results, reporting AU$69.6 million in net revenues, up 5 percent year-over-year.

Its three primary revenue streams all reported accelerated gains, including 539 gigawatt hours of renewable energy generation sold, a 13 percent rise compared to the same time last year.

Over the quarter, revenues were bolstered by a AU$1.1 million cash payment for the rights to its Manton Dam and Batchelor solar farms. Infigen developed the two projects with Tetris Energy.

“Tetris Energy is pleased to reach this exciting milestone for their first renewable energy project in the Northern Territory and contribute to the Northern Territory’s government goal to procure 50 percent of its energy from renewable sources by 2030,” said Frank Boland, director of Tetris Energy.

The two projects in the Northern Territory are expected to be operational by the third quarter of 2020.

Similarly, Infigen signed key lease agreements for South Australia’s nine generating units in August worth a combined AU$219 million.

The project, in partnership with Nexif Energy, is anticipated to cut power costs by as much as AU$227 million for taxpayers. The 25 year lease agreements are slated to commence in May 2020.

“This is also great news for South Australian electricity consumers who will receive the benefits of lower prices through extra competition, in addition to retaining the existing backup generation capacity they currently provide,” Dan van Holst Pellekaan, minister for energy for the South Australian government, said in a press release at the time.

While Infigen’s solar and wind projects appear to be moving forward according to plan, in recent months its battery operations have told a different story.

Infigen’s second Tesla (NASDAQ:TSLA) big battery development in Lake Bonney has experienced delays, but the company has stated that connection issues will be resolved by year end.

The AU$38 million, 25 megawatt battery was expected to be operational earlier this year.

The company’s share price is up over 47 percent to date in 2019, and it witnessed the majority of its price ascent over the last quarter. Shares of Infigen opened on Thursday at AU$0.64 and climbed about 1 percent to reach AU$0.65 by Friday’s (November 1) close.

Don’t forget to follow us @INN_Technology for real-time news updates!

Securities Disclosure: I, Dorothy Neufeld, hold no direct investment interest in any company mentioned in this article.

Global News

Top News