$259 million.
Construction starts late this year — and the mine customer is already locked in.
APA Group has made a final investment decision on the Sybella Creek Solar Farm and Battery Energy Storage System in Mount Isa, committing $259 million to a new renewable-energy project backed by long-term mining demand.
The project will combine a 72MW solar farm with a 52MW / 104MWh BESS and is underpinned by an Energy Supply Agreement with Evolution Mining’s Ernest Henry operation through to mid-2046.
With construction targeted to begin in late 2026, the story now moves from project development into physical delivery.
APA says it will construct, own and operate the Sybella Creek renewable-energy assets.
The $259 million investment will be funded from APA’s existing balance-sheet capacity and forms part of the company’s broader organic growth pipeline.
Construction is anticipated to start in late 2026, with completion planned for mid-2028.
The project combines two new assets with APA’s existing Mount Isa generation base
The result is a hybrid supply model rather than a stand-alone solar development.
APA says the combination of solar generation, battery storage and gas-powered firming is intended to deliver lower-emissions electricity with greater reliability for Ernest Henry.
The project has moved from development into execution
FID means APA has approved the investment and committed to progressing the project.
For contractors, that shifts attention toward delivery structure, procurement, mobilisation and construction packaging rather than whether the development will reach an investment decision.
Ernest Henry gives the project a long-term industrial customer
The project is underpinned by an Energy Supply Agreement with Ernest Henry Mining Pty Ltd, the wholly owned Evolution Mining subsidiary that operates Ernest Henry.
The agreement runs until mid-2046.
That long-duration supply position is one of the strongest commercial features of the project because the new generation and storage capacity is being developed against identifiable industrial demand.
APA says the arrangement will also support the long-term operation and improved efficiency of its existing Diamantina Power Facility.
Solar supplies energy. Batteries shift it. Gas provides firming.
The operating model also explains why the project is particularly relevant in North West Queensland.
The North West Power System serves major resource operations in a remote electricity network where reliability is critical.
APA says the BESS is expected to strengthen network reliability and resilience for Ernest Henry and more broadly for mining customers and the local community across the system.
The project therefore combines new renewable capacity with an existing dispatchable generation asset rather than attempting to replace firming capability altogether.
The construction clock is already running
That schedule gives the contractor market a relatively narrow pre-construction window.
If major physical works are to begin in late 2026, engineering, procurement, equipment ordering, enabling works and contractor mobilisation become increasingly important over the coming months.
Where could the physical work land?
APA has not yet publicly broken the project into detailed contract packages in its FID announcement.
Based on the confirmed solar and BESS scope, however, several construction disciplines are directly relevant to the delivery phase.
The workstream story is strongest after FID
Civil, solar, battery and HV construction are no longer attached only to an early development concept.
They sit behind a capital commitment with a stated construction start and completion window.
Actual package boundaries and contractor appointments still need to be confirmed by APA.
What is confirmed — and what should contractors still watch?
- APA has reached final investment decision.
- APA will invest approximately $259M.
- 72MW Sybella Creek Solar Farm.
- 52MW / 104MWh BESS.
- Construction targeted for late 2026.
- Completion planned for mid-2028.
- Ernest Henry ESA runs to mid-2046.
- APA will construct, own and operate the assets.
- Principal EPC or construction contractor.
- Early civil contractor appointments.
- Solar module and mounting packages.
- BESS technology supplier.
- Transformer and substation procurement.
- HV connection works.
- Heavy-haul and crane requirements.
- Local supplier and subcontract opportunities.
This project has nearly every ingredient contractors look for
$259 million of committed investment.
A final investment decision has already been made.
The project has a named mining customer, a long-term energy agreement, clear solar and storage capacity and a construction start expected within months.
That makes Sybella Creek considerably more advanced than renewable projects that are still seeking approvals, customers or investment decisions.
The next value for BBI readers comes from identifying who actually builds it.
APA has not yet publicly named the principal delivery contractor in the FID material reviewed by BBI, so the project now moves onto the procurement watchlist for civil works, solar installation, BESS construction, substations, HV systems, heavy transport and commissioning.
The long-term Ernest Henry agreement also means the story extends beyond construction. Once operating, the project will create an ongoing asset base requiring maintenance, electrical support, inspection and lifecycle services through a multi-decade energy-supply period.
What industry should watch next
Find North West Queensland firms positioned for mining and energy construction
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Sources
- APA Group — APA to construct, own and operate the Sybella Creek Solar Farm and Battery Energy Storage System in Mount Isa, 20 August 2026
- APA Group — FY26 results and growth pipeline update, 20 August 2026
- Evolution Mining — Ernest Henry operation and corporate information
- Utility Magazine — APA to build Sybella Creek solar farm and battery in Mount Isa, 20 August 2026