Snowy Hydro, developer of the Snowy 2.0 project in Australia, has said that work is continuing on the major project, despite the recent announcement that Clough – a partner in the Snowy 2.0 Future Generation Joint Venture – has entered into administration.
Clough Group placed itself into voluntary administration (VA) in order to conduct a restructure of the business, it said in a statement earlier this week. The news comes as JV partner Webuild confirms that a previously announced deal to acquire the company has fallen through. Webuild said today that the parties have agreed that there is no reasonable prospect of that acquisition proceeding through to a successful completion and has terminated the conditional sale and purchase agreement with immediate effect.
Snowy Hydro has said its first priority is ensuring the wellbeing and continuity of Clough’s workers on the project. It said it is working closely with the joint venture to ensure construction on the project progresses smoothly, noting that resolving Clough’s future through the voluntary administration process will take some time. The company said it will support this process wherever possible.
Snowy 2.0 is a 2000MW pumped storage hydro expansion of the existing Snowy Scheme. It is being built by built by Future Generation - a joint venture between Webuild, Clough and Lane Construction, a US subsidiary of Webuild. It will link the existing Talbingo Reservoir with Tantangara Reservoir through a network of tunnels.