EnergyAustralia pays $160 million for NSW generators

EnergyAustralia will pay $160 million to buy Delta Western’s two power plants in the next phase of the NSW government’s electricity privatisation, according to the Australian Financial Review.

The power and gas supplier’s purchase of the Mt Piper and Wallerawang generators follows its buying of the Delta Western gentrader agreements in the initial stage of the power sell-off in early 2011.

It removes hundreds of millions of dollars in liabilities to the state government and clears the way for the next sale, of the large Macquarie Generation plants, Treasurer Mike Baird said on Thursday.

Managing director Richard McIndoe said the acquisition would allow EnergyAustralia to operate the two plants more flexibly while relieving it of high fixed costs incurred under the gentrader agreements.

He said Mt Piper was one of the most efficient black coal-fired power plants in the state.

ANZ to pump $1 billion into Rinehart’s Roy Hill mine

ANZ Banking Group has provided up to $US1 billion in bridging finance for Gina Rinehart’s $10 billion Roy Hill iron ore project in Western Australia, reducing the pressure on the billionaire to fund construction with her own money, according to the Australian Financial Review.

The bridging facility was agreed to in recent months as part of efforts by Rinehart’s private company, Hancock Prospecting, to secure $4 billion in debt for Roy Hill from export credit agencies.

These negotiations have dragged on too.

Hancock wants to raise an additional $3 billion or so in debt from commercial banks for Roy Hill, making it the biggest mining project finance deal in history.

ANZ’s bridging finance is viewed as an audacious bid by the bank to win as much of the deal as possible.