Sembcorp seeks partner for $1.5B wind project

• Sembcorp has appointed financial advisory firm Lazard to sell down a stake in its planned 550-megawatt Marri wind farm in Western Australia.
• The $1.5 billion project aims to bring in external equity while the business retains an operating interest.
• The capital partnership model allows energy companies to construct major renewable infrastructure projects while protecting overall balance sheet returns.

Singapore-listed energy group Sembcorp has reportedly hired advisory firm Lazard to sell a partial equity stake in its proposed $1.5 billion Marri Wind Farm Project.

This comes nine months after Sembcorp acquired Alinta Energy for $6.5 billion.

The plan to bring in external private capital mirrors similar co-investment strategies recently deployed by major domestic Australian energy retailers like Origin Energy (ASX:ORG) and AGL Energy (ASX:AGL).

"We regularly assess the optimal capital structures for major development projects, including the proposed Marri Wind Farm," said Alinta Energy in a statement.

Located 140km north of Perth, the project plans to feature 82 wind turbines and has already secured two separate 15-year power purchase agreements with commercial off-takers.

The business previously executed a similar co-investment model by selling a partial stake in its Spinifex offshore wind project to Japanese utility enterprise JERA.