APA Group has announced a Final Investment Decision (FID) for the AUD $259 million Sybella Creek Solar Farm (SCSF) and Battery Energy Storage System (BESS) in Mount Isa, Queensland. The major project, confirmed on August 19, 2026, marks a significant step towards enhancing energy security and reducing emissions in the North West Power System, with construction slated to commence in late 2026 and completion by mid-2028.
The investment will deliver a 72-megawatt (MW) solar farm alongside a 52-MW / 104-megawatt-hour (MWh) battery storage facility. This integrated renewable energy hub is primarily designed to supply Ernest Henry Mining Pty Ltd, a wholly owned subsidiary of Evolution Mining, under a long-term Energy Supply Agreement (ESA) extending until mid-2046. The project will also complement APA’s existing gas-powered Diamantina Power Facility, providing crucial firming capacity and energy supply to the region.
Boosting Regional Energy Reliability and Emissions Reduction
Mount Isa and the broader North West Minerals Province are critical to Queensland’s economy, with a high demand for reliable power from mining operations and local communities. The Sybella Creek project is positioned to deliver a holistic, lower-emissions energy solution that will improve network stability and resilience for Ernest Henry Operations and other customers in the region.
“New renewables projects developed locally and firmed by existing gas-powered generation assets are the most efficient way to deliver the energy needed to underpin growth and energy security in this critical Queensland growth region.” — Adam Watson, APA CEO and Managing Director
APA’s CEO and Managing Director, Adam Watson, emphasised the project’s role in diversifying the company’s customer base, supporting ongoing earnings growth, and further improving energy security in Mount Isa. He also noted its alignment with the Queensland Government’s “Delivering Queensland’s Critical Minerals Future 2026 – 2030” plan, which aims to expand the minerals sector and attract new investment.
Project Scope and Timeline
The Sybella Creek Solar Farm will harness Mount Isa’s abundant solar resources, feeding into the local grid and reducing reliance on traditional fossil fuel generation. The co-located 104 MWh BESS will store excess solar energy, dispatching it during periods of high demand or low solar generation, thereby ensuring consistent and stable power supply. This hybrid approach is increasingly becoming the standard for large-scale renewable projects in Australia, offering greater grid integration and reliability than standalone solar or wind farms.
Key Project Details:
| Feature | Detail |
|---|---|
| Investment | AUD $259 million |
| Solar Capacity | 72 MW |
| Battery Capacity | 52 MW / 104 MWh |
| Location | Mount Isa, Queensland |
| Construction Start | Late 2026 |
| Completion | Mid-2028 |
| Primary Offtaker | Ernest Henry Mining Pty Ltd (Evolution Mining) |
| Agreement Length | Until mid-2046 |
Construction is anticipated to create local employment opportunities during its development phase, with ongoing operational roles once commissioned. The project’s completion by mid-2028 will see it contribute significantly to Queensland’s renewable energy targets and the decarbonisation efforts of heavy industry in the region.
Broader Context: Queensland’s Energy Transition
This announcement follows other significant clean energy developments across Queensland. Just days prior, Edify Energy reached financial close on two major hybrid solar and battery projects in North Queensland – Ganymirra and Majors Creek – combining 360 MW of solar capacity with 300 MW / 1.2 GWh of battery storage, representing an AUD 3.2 billion investment. These projects, located near Townsville, are also expected to enter operation by 2028.
Queensland is actively pursuing its energy transition, with a strong focus on large-scale renewable generation and storage to power its growing industrial and mining sectors while meeting ambitious emissions reduction targets. The state’s commitment to developing its “SuperGrid” infrastructure is crucial for integrating these new assets efficiently and ensuring a stable, reliable, and affordable energy future for all Queenslanders. These large-scale developments are distinct from household-level solar and battery systems, but their combined impact helps to reshape the overall energy market. While residential systems contribute to local energy independence, large-scale projects provide the backbone for grid stability and industrial supply.
The Sybella Creek project is a tangible example of private sector investment aligning with government policy to deliver critical energy infrastructure. It underscores the ongoing transformation of Australia’s energy landscape, where renewable sources, backed by robust battery storage, are increasingly providing the reliable power needed for both industry and communities. This project’s progress will be closely watched as Queensland continues its push towards a cleaner energy future.