Firmus Secures 600 MW Supply Deal Backed by 1.2 GW Renewables and Storage in South Australia

Firmus has secured a landmark 12-year wholesale electricity supply agreement with Gunvor Group for 600 MW of firm power in South Australia. This deal is notable for its scale and its linkage to 1.2 GW of new renewable energy generation paired with battery storage, designed to provide reliable, dispatchable power.

The agreement underpins Firmus's Project Southgate, which aims to develop large-scale AI factory campuses in regional Australia. These facilities require stable, low-carbon energy to ensure operational continuity and reduce environmental impact, highlighting the growing demand for clean, firm power solutions in industrial applications.

The 1.2 GW capacity of renewables and battery storage backing the 600 MW supply contract demonstrates an increasingly sophisticated approach to integrating variable renewable energy with storage technologies. This arrangement addresses intermittency and capacity factor challenges that have historically limited renewables' reliability for large industrial loads.

Long-term power purchase agreements (PPAs) of this nature are essential for mobilizing capital investment in renewable infrastructure. By securing a decade-plus contract with a major energy consumer, Firmus can justify the financial risk of building and operating new generation and storage assets at scale.

This deal also reflects a broader trend in energy markets where clean energy projects are increasingly tied to firm supply commitments, moving beyond intermittent generation towards dependable, grid-scale clean power solutions. The outcome will be a key case study for the commercial viability of large renewable-plus-storage projects in Australia and similar markets.