Ann: PPA for Bodangora Project, page-7

Certainly, baronauk.

Forgive my delay in responding as I had other pressing tasks.

Please see p5 of the 13 November 2015 AGM presentations, where it says:

DEVELOPMENT

During the year we maintained the option value associated with the Australian development pipeline. We have also sought ways to deploy and conserve our scarce capital efficiently. During the year we entered into a joint development agreement with a leading turbine supplier who acquired options to purchase 50% equity interests in the Bodangora and Forsayth wind farm developments.

Where the options have been exercised, the agreement terms provide for Infigen to receive certain fees and other amounts that will largely fund Infigen’s share of the remaining development costs.

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Ash here.

The agreement applies to the Bodangora 113MW and Forsayth 70 MW projects - essentially a 'free carry' on both.

The 'leading turbine manufacturer' has not been named as far as I know.

So of the four 'Near-Term Development Opportunities' listed in the 1HFY17 report, only the Capital solar 50MW and Cherry Tree 50MW need to be funded by IFN. They could do this from existing cash and thus not need to refinance.

The apparent inaction by IFN is puzzling, until one adds the potential of batteries into the equation. I have speculated in earlier comments that the fast falling costs of batteries is obliging IFN to calculate and recalculate and calculate again the consequences of installing a battery set into one of its operating windfarms. Even battery capacity of say 2 hours production would be transformative: IFN would cease being a passive participant in the national energy market, supplying when the wind blows, to one with despatch options. The financial benefits for IFN could be, ahem, substantial.

My sketch is far from complete as other parties may install batteries - from coal plants to consumers with solar - and throw IFN's assumptions, electricity despatch arrangements and market prices to the wind. This is really tough stuff and we all want IFN to play its cards well.

IMHO, IFN is worth $2 a share on announcement of a battery installation on any existing windfarm.

Ash