• Narromine project funding converted to equity
• Pipeline of new project opportunities boosted
• Seeking funding partners for hybrid renewable energy projects

MPower Group Limited (ASX: MPR) has reported on its activities for the six-month period to 31 December 2024. The key highlight was the finalisation of terms to convert project funding for the Narromine Renewable Energy Project in New South Wales into project equity. This transaction has removed $10.36 million of short-term debt from MPower's balance sheet. The Narromine project has been classified as an asset 'held for sale' in the Half Year Accounts, and MPower expects to record a gain of approximately $0.7 million following completion of the transaction upon deconsolidation of the asset. MPower was responsible for the design and construction of the Narromine project and continues as the operations & maintenance provider and asset manager. During the period, MPower also scoped upgrade works for its 100% owned solar and battery project at Lakeland in Far North Queensland. Additionally, agreement was reached for the disposal of the development assets associated with the Faraday Renewable Energy Project. MPower has boosted its pipeline of project development opportunities and is actively seeking to align its strategy, pipeline and capabilities with project funding to support the rollout of a portfolio of hybrid renewable energy assets. The company is reliant on its funders for ongoing support, and after the balance date, it agreed terms to increase an existing unsecured loan facility to $2.0 million for working capital purposes.

MPower is actively seeking to align its strategy, pipeline and capabilities with project funding to support the rollout of projects and the establishment of a portfolio of hybrid renewable energy assets. Significant time, funds and resources have been invested in building platform capability and an attractive opportunity for funding partners to rapidly deploy capital into a renewable, firm generation platform.