Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Financial close on Central Plains Water irrigation scheme

Crown Irrigation Investments Limited reaches financial close on the Central Plains Water irrigation scheme

Crown Irrigation Investments Limited (Crown Irrigation) today announced it has reached financial close on its first investment with Central Plains Water Limited.

Under the agreement, Crown Irrigation will provide $6.5 million of subordinated debt finance for a period of up to five years, to support the construction of excess capacity in the headrace to be built during Stage 1 that is needed for later stages of the irrigation scheme.

Following the agreement of a terms sheet in March 2014, the transaction has been subject to comprehensive due diligence by Crown Irrigation and all conditions precedent have been satisfied.

The Central Plains Water scheme will deliver a more reliable water supply, which
is important to supporting sustainable growth and improved environmental outcomes in the Canterbury region. Stage 1 of the scheme will distribute new alpine water to approximately 20,000 hectares of land on the Canterbury Plains.

Crown Irrigation’s investment will contribute to the further expansion of the scheme to 60,000 hectares. This can be expected to relieve pressure on ground water and springs in the catchment area and contribute to the economic growth of the Canterbury region through a boost in direct and indirect agricultural output.

“We are very happy to announce financial close on this deal,” says Murray Gribben, Crown Irrigation’s Chief Executive Officer. “We are supporting this project with a tailored financial package that will enable the scheme to be developed to the scale required for the long-term. We will also consider the potential to fund overcapacity in Stages 2 and 3 of the scheme when the time comes.”

Crown Irrigation’s Board Chair, Dame Alison Paterson, said that she is pleased with Crown Irrigation’s involvement in the delivery of a significant piece of the South Island’s irrigation infrastructure. “Irrigation has the potential to improve the efficiency of water use for the benefit of our environment and support the sustainable growth of New Zealand’s primary industries. Crown Irrigation can bring a lot of value to schemes by offering financial solutions and a sound understanding of irrigation development opportunities and risks.”

Construction of Stage 1 infrastructure for the Central Plains Water scheme has begun and is expected to be completed in September 2015.

ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

I Sing The Highway Electric: Charge Net NZ To Connect New Zealand

BMW is turning Middle Earth electric after today announcing a substantial contribution to the charging network Charge Net NZ. This landmark partnership will enable Kiwis to drive their electric vehicles (EVs) right across New Zealand through the installation of a fast charging highway stretching from Kaitaia to Invercargill. More>>

ALSO:

Watch This Space: Mahia Rocket Lab Launch Site Officially Opened

Economic Development Minster Steven Joyce today opened New Zealand’s first orbital launch site, Rocket Lab Launch Complex 1, on the Mahia Peninsula on the North Island’s east coast. More>>

Earlier:

Marketing Rocks!
Ig Nobel Award Winners Assess The Personality Of Rocks

A Massey University marketing lecturer has received the 2016 Ig Nobel Prize for economics for a research project that asked university students to describe the “brand personalities” of three rocks. More>>

ALSO:

Nurofen Promotion: Reckitt Benckiser To Plead Guilty To Misleading Ads

Reckitt Benckiser (New Zealand) intends to plead guilty to charges of misleading consumers over the way it promoted a range of Nurofen products, the Commerce Commission says. More>>

ALSO:

Half A Billion Accounts, Including Xtra: Yahoo Confirms Huge Data Breach

The account information may have included names, email addresses, telephone numbers, dates of birth, hashed passwords (the vast majority with bcrypt) and, in some cases, encrypted or unencrypted security questions and answers. More>>

ALSO:

Rural Branches: Westpac To Close 19 Branches, ANZ Looks At 7

Westpac confirms it will close nineteen branches across the country; ANZ closes its Ngaruawahia branch and is consulting on plans to close six more branches; The bank workers union says many of its members are nervous about their futures and asking ... More>>

Interest Rates: RBNZ's Wheeler Keeps OCR At 2%

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2 percent and said more easing will be needed to get inflation back within the target band. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news