Total
0
Shares
Tilt Renewables (ASX:TLT) - CEO, Deion Campbell - The Market Herald
CEO, Deion Campbell
Sourced: The Standard
Market Herald logo

Subscribe

Be the first with the news that moves the market
  • Green energy company, Tilt Renewables (TLT) has been forced to temporarily suspend construction of its Waipip Wind Farm in New Zealand
  • The suspension was caused by new government mandated lockdown laws, which aim to stop the spread of COVID-19 throughout the country
  • Construction is expected to halt for at least the next two weeks
  • Despite the suspension, the company claims that construction will still be completed on schedule
  • Tilt Renewables Pty Ltd (TLT) is down 3.9 per cent, with shares trading at $2.69 and a market cap of $1.26 billion

Green energy company, Tilt Renewables (TLT) is maintaining its wind farm construction schedule, despite issues caused by the COVID-19 pandemic.

The company operates seven wind farms across Australia and New Zealand and has two others currently under construction. Constructing the Dondonell and Waipip Wind Farms is expected to cost Tilt $1 billion in upfront investment.

Despite companies across the globe scaling back expenditures to manage COVID-19’s impact, Tilt is continuing ahead with the two construction projects.

However, Tilt has not been unaffected by the outbreak.

The construction at Waipip in New Zealand is not considered an essential service. Therefore, construction has ceased for two weeks under the government’s mandated lockdown measures.

Furthermore, the coronavirus crisis in China has caused a number of turbine components to be delayed.

Tilt was quick to point out that its operating energy services are classified as essential and therefore none of its other wind farms have been interrupted.

Australia and New Zealand’s mutual travel bans have also hindered Tilt’s ability to move and transfer personnel between the two countries. To manage this issue, the company has locally sourced alternate expertise for the time being.

Despite these issues, the company maintains that there is room in schedule and budget to account for the interruptions.

Tilt does expect its Q1 2020 earning forecast to be $1 million below the expected range. The company attributes this shortfall to power outage issues in February, which affected generation rates.

Tilt has not adjusted its overall 2020 forecast with respect to COVID-19’s ongoing economic impact.

Tilt Renewables Pty Ltd (TLT) is trading flat, with shares trading at $2.69 each at 10:09 am AEDT.

More From The Market Herald
Alligator Energy (ASX:AGE) - Managing Director and CEO, Greg Hall - The Market Herald

" Alligator Energy (ASX:AGE) re-signs CEO ahead of planned Samphire drilling

Alligator Energy (AGE) has released a company update, revealing CEO Greg Hall will stay on with the company for another two years.
Elixir Energy (ASX:EXR) - MD and CEO, Neil Young - The Market Herald

" Elixir Energy (ASX:EXR) to mobilise third rig at Nomgon IX, Mongolia

Gas explorer Elixir Energy (EXR) has opened the trading day in the red following the latest update from exploration and appraisal work at
Metgasco (ASX:MEL) - Chairman, Philip Amery - The Market Herald

" Metgasco (ASX:MEL) upgrades Odin’s Contingent Resources

Metgasco (MEL) says an independent certification has upgraded Contingent Resources at the Odin Gas Field in the Cooper Basin.
Whitehaven Coal (ASX:WHC) - MDand CEO, Paul Flynn - The Market Herald

" Whitehaven Coal (ASX:WHC) gains approval for Vickery Extension

Whitehaven Coal’s (WHC) Vickery Extension Project has been approved by the Federal Environment Minister.