QPM Secures $72 Million NAIF Credit Approval to Advance Isaac Power Station Financing
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QPM Secures $72 Million NAIF Credit Approval to Advance Isaac Power Station Financing
QPM Energy (ASX: QPM) is pleased to announce it has received credit approval for a loan facility of up to $72 million from the Northern Australia Infrastructure Facility (“NAIF”), marking a key milestone in the financing of its 112MW Isaac Power Station (“IPS”).
The NAIF facility is expected to form a cornerstone of the broader IPS Project Finance Facility, alongside Macquarie Bank Limited (“Macquarie”), with QPM’s existing $113.7 million Master Lease Agreement (“MLA”) intended to be restructured into a project loan upon completion.
The NAIF loan will be provided through the State of Queensland and remains subject to Queensland Government approval, execution of final documentation, and satisfaction of customary conditions precedent.
This financing development represents a significant step forward in progressing the IPS toward construction and underscores strong institutional and government backing for the project.
Strengthening Project Financing and Economics
The NAIF credit approval enhances the overall project financing structure and supports the commercial viability of the IPS, which is positioned to become a critical piece of Queensland’s future energy infrastructure.
QPM is working closely with Macquarie to finalise credit approval for restructuring the existing MLA into the broader Project Finance Facility, with all parties progressing documentation.
RBC Capital Markets is acting as financial advisor, with 1843 Capital supporting principal-side financing execution.
QPM Energy CEO David Wrench commented:
“We are delighted to receive this financial support from the Northern Australia Infrastructure Facility. The terms of the NAIF financing underpin the overall Project Finance Facility and enhance the economics of the IPS. The Australian Government has recognised the need for additional gas fired generation to support the energy transition and the NAIF approval is strong validation for the IPS.”
Isaac Power Station – Strategic Energy Infrastructure
The 112MW Isaac Power Station is expected to be the first major gas-fired power station constructed in Queensland in over 15 years, with a targeted commercial operation date in the second half of 2027.
The project is designed to deliver reliable, long-duration energy supply to the Queensland grid for more than 30 years, underpinned by QPM’s independently certified 1,016PJ 2P Reserves and 2C Resources.
The IPS aligns with the Queensland Government’s Energy Roadmap, which identifies a structural requirement for increased gas-fired capacity—from 3.5GW to between 6.1GW and 8.3GW by 2035—to support grid stability during the energy transition.
As an emerging vertically integrated energy company, QPM is strategically positioned to contribute to this growing demand.
Key Terms of NAIF Facility
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Facility size: Up to $72 million
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Borrower: Isaac Power Station No1 Pty Ltd (wholly owned subsidiary of QPM)
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Lender: State of Queensland (on behalf of NAIF)
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Term: 10 years post construction completion
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Conditions: Subject to government approval, documentation and standard financing conditions
About the 112MW Isaac Power Station
The IPS is on track to be the first major gas fired power station built in Queensland for over 15 years with a target commercial operation date in 2nd half 2027. The IPS will provide critical support to the Queensland grid throughout the energy transition, providing reliable, long-duration generation every day for 30+ years, underpinned by QPM’s independently certified 1,016PJ 2P Reserves and 2C Resources (see ASX announcement 10 March 2026).
The 2025 Queensland Government Energy Roadmap states that “the need for new gas capacity is universal across all market outlooks to de-risk the energy system as it transitions over time” and calls for an increase in gas-fired generation from 3.5GW to 6.1 – 8.3GW by 2035. As an emerging, vertically integrated utility company, QPM is well positioned to meet the needs of Queensland’s energy system.
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About the 112MW Isaac Power Station
The IPS is on track to be the first major gas fired power station built in Queensland for over 15 years with a target commercial operation date in 2nd half 2027. The IPS will provide critical support to the Queensland grid throughout the energy transition, providing reliable, long-duration generation every day for 30+ years, underpinned by QPM’s independently certified 1,016PJ 2P Reserves and 2C Resources (see ASX announcement 10 March 2026).
The 2025 Queensland Government Energy Roadmap states that “the need for new gas capacity is universal across all market outlooks to de-risk the energy system as it transitions over time” and calls for an increase in gas-fired generation from 3.5GW to 6.1 – 8.3GW by 2035. As an emerging, vertically integrated utility company, QPM is well positioned to meet the needs of Queensland’s energy system.