Alinta sells power station to Norilsk

Alinta Energy has signed a binding agreement for the sale of the Cawse Power Station to Norilsk Nickel Cawse.

See full company statement below:

Alinta Energy (ASX:AEJ) has signed binding agreements for the sale of the Cawse Power Station and associated infrastructure ("Cawse") to Norilsk Nickel Cawse Pty Ltd ("Norilsk") and for the termination of the associated energy supply agreement and ancillary agreements. Alinta Energy and Norilsk have been in dispute in respect of the operation of the energy supply agreement and this transaction effects a settlement of all matters.

The transaction will realise proceeds of approximately $17.5 million. Whilst the sale enables the
recovery of current receivables, an impairment of the balance of the lease receivables will result in a net profit from the transaction of approximately $0.9 million following the release of remediation provisions.

Cawse is a 21MW gas-fired co-generation plant, 55km north-west of Kalgoorlie in Western Australia, supplying electricity, steam and desalinated water to the Norilsk Nickel Project.