Meridian to build $395 million wind farm in Hawke’s Bay

Release






Meridian Energy Limited (ARBN 151 800 396) A company incorporated in New Zealand
Level 2, 55 Lady Elizabeth Lane, PO Box 10840, Wellington 6143

meridianenergy.co.nz
Stock Exchange Listings NZX (MEL) ASX (MEZ)
Meridian to build $395 million wind farm in Hawke’s Bay
24 February 2021
Meridian Energy will soon begin construction of a new $395 million wind farm in Hawke’s Bay
,

boosting New Zealand’s ability to take action on climate change and accelerating the transformation
of the economy to clean energy sources.
The Harapaki Wind Farm will be New Zealand’s second-largest wind farm with 41 turbines generating
176 MW of renewable energy, enough to power over 70,000 average households. The construction
will take around three years and is expected to create 260 new jobs.
Meridian Energy Chief Executive Neal Barclay says the decision to commence construction now is a
sign of confidence that clean energy infrastructure can deliver strong economic benefits.
“Renewable generation is an engine of economic growth for New Zealand. There’s a massive clean
energy transformation underway in the New Zealand economy and now is the time to tackle climate
action to support Aotearoa accelerate its transition away from fossil fuels.
“We need to move faster to convert our fossil fuel industries to clean energy, convert our transport
fleet to electricity and ensure every new industrial development is powered by clean energy.”
Mr Barclay says New Zealand will need to build more grid-scale wind generation every year to reach
its international and domestic emissions targets and meet demand as transportation and industry
move from fossil fuels to clean energy.
“Recent advice from He Pou a Rangi, the Climate Change Commission, clearly signals that New
Zealand must ambitiously pursue bold climate goals to achieve net-zero emissions, and this is what
getting there looks like. Building more new renewable generation like Harapaki will help us lower
emissions, reduce our reliance on fossil fuels and speed up our transition to a productive low carbon
economy,” Mr Barclay says.
Meridian is the country’s largest and most experienced owner of wind farms, with five currently in
operation around New Zealand. Mr Barclay says Harapaki will use advanced wind generation
technology from Europe to set new benchmarks for turbine efficiency and sustainable construction
practices. Design reviews have lowered the amount of concrete and steel needed in construction,
reducing the overall carbon footprint of the project by over 30%.
“Our vision is for Harapaki to be New Zealand’s most sustainable wind farm and one that delivers
transformative economic growth and advances our goals for climate action,” Barclay says.

meridianenergy.co.nz
PG 2

Key Suppliers

Role
Siemens Gamesa Renewable Energy
Supply, installation and maintenance of 41 x
SWT-DD-120 4.3MW wind turbines
Hick Bros Spartan Joint Venture
Construction of all roads, turbine foundations
and crane hardstands
Transpower
Supply, installation and commissioning of
substation and 220kV grid connection
Unison Contracting Services Electrical services for substation, cable jointing
and 33kV switchgear installation
Hyosung Supply, install and commissioning of 220/33kV
transformers
Prysmian Supply of 33kV reticulation cable


ENDS
Neal Barclay
Chief Executive
Meridian Energy Limited

For investor relations queries, please contact:
Owen Hackston
Investor Relations Manager
021 246 4772
For media queries, please contact:
Anna Vrede
Stakeholder Communications Manager
021 174 1715

HARAPAKI WIND FARM
INVESTMENT DECISION
24 FEBRUARY 2021

2
Today’s announcement
24 FEBRUARY 2021
HARAPAKI INVESTMENT DECISION
Harapakitranslates to ‘escarpment’, reflecting the dramatic limestone escarpments that surround the area
Meridian has committed to the
construction of the Harapakiwind farm
Highly attractive levelisedcost of
energy, well below the operating costs
of aging thermal plant
Strategic location above the
transmission constraint south of
Wairakei
New renewables support
decarbonisation and the energy
system’s transition through plant
retirement and repowering

3
Project overviewKey suppliers
24 FEBRUARY 2021
HARAPAKI INVESTMENT DECISION
SH5 egress
Located within the Hastings
District, approximately 50km
drive from Port Napier
Extending over 9km of the
MaungaharuruRange, covering
1,235 hectares
Elevation ranges from 730m at
the State Highway 5 entrance,
up to 1,100m at the highest
points
Transpower’s 220kV Whirinakito
Wairakei circuit passes across
the corner of the site
Meridian project delivery (not
EPC)
Supply, installation and maintenance
of 41 x 4.3MW direct drive wind
turbines
Construction of all roads, turbine
foundations and crane hardstands
Joint Venture
Supply, installation and commissioning
of substation and 220kV grid
connection
Electrical services for substation, cable
jointing and 33kV switchgear
installation
Supply, install and commissioning of
220/33kV transformers
Supply of 33kV reticulation cable

4
Project overview
24 FEBRUARY 2021
HARAPAKI INVESTMENT DECISION
SH5 egress
Main laydown area
Grid Injection
Point (GIP)
O&M building
SH5 egress
to Taupo
to Napier

5
Project specifications
24 FEBRUARY 2021
HARAPAKI INVESTMENT DECISION
41 turbines x 4.3 MW
176 MW
542 GWh p.a. (P50 yield)
$395m capital investment
36months construction time
~$35m EBITDAF p.a.
1
$11 per MWh operating cost
35%capacity factor
94% price participation
145m tip height
mid 2024 final commissioning
initially funded through bank
facilities
260 jobs on site (peak)
23 km roading
232 km cabling
860,000 m
3
cut
18,000 m
3
concrete
1
stand alone operation assuming
~$67/MWh received for generation

6
Disclaimer
The information in this presentation was prepared by Meridian Energy with
due care and attention. However, the information is supplied in summary
form and is therefore not necessarily complete, and no representation is
made as to the accuracy, completeness or reliability of the information. In
addition, neither the company nor any of its directors, employees,
shareholders nor any other person shall have liability whatsoever to any
person for any loss (including, without limitation, arising from any fault or
negligence) arising from this presentation or any information supplied in
connection with it.
This presentation may contain forward-looking statements and projections.
These reflect Meridian’s current expectations, based on what it thinks are
reasonable assumptions. Meridian gives no warranty or representation as to
its future financial performance or any future matter. Except as required by
law or NZX or ASX listing rules, Meridian is not obliged to update this
presentation after its release, even if things change materially.
This presentation does not constitute financial advice. Further, this
presentation is not and should not be construed as an offer to sell or a
solicitation of an offer to buy Meridian Energy securities and may not be
relied upon in connection with any purchase of Meridian Energy securities.
This presentation contains a number of non-GAAP financial measures,
including Energy Margin, EBITDAF, Underlying NPAT and gearing. Because
they are not defined by GAAP or IFRS, Meridian's calculation of these
measures may differ from similarly titled measures presented by other
companies and they should not be considered in isolation from, or construed
as an alternative to, other financial measures determined in accordance with
GAAP. Although Meridian believes they provide useful information in
measuring the financial performance and condition of Meridian's business,
readers are cautioned not to place undue reliance on these non-GAAP
financial measures.
The information contained in this presentation should be considered in
conjunction with the company’s financial statements, which are available at:
www.meridianenergy.co.nz/investors
All currency amounts are in New Zealand dollars unless stated otherwise.
24 FEBRUARY 2021
HARAPAKI INVESTMENT DECISION