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APR fires up mobile power plant

APR fires up mobile power plant

With its first Australian project on line in the Pilbara, the latest arrival in power generation sees a wealth of opportunity in the region, despite the resources downturn.

US group APR Energy, which yesterday celebrated the official commissioning of its mobile power plant at Port Hedland, insists slowing mining investment has not diminished the appeal of what it sees as an "ideal" market for its portable dual-fired turbines.

The group's Asia-Pacific chief, Clive Turton, said as demand for power continued to grow, utilities were looking to big mobile power plants to fill gaps in capacity.

"As the load grows unevenly and there is a demand for power . . . that wasn't there yesterday, having the ability to move equipment and have it installed and up and running in a couple of months is just one part of a well-managed grid," Mr Turton said.

"We're building our business across the region . . . so we are in discussions with a lot of parties in this market."

Founded by two former roadies who set up in business by powering rock concerts in the US, APR is on a fast growth curve in Asia after providing emergency power to Japan in the wake of the devastating tsunami in March 2011.

Its Port Hedland gas-fired plant provides up to 100MW of back-up capacity for State-owned Horizon Power while a permanent 150MW power plant is built on the same Boodarie industrial site by TransAlta Energy.

The bigger plant is due on stream in 2017 and will provide electricity to Horizon and Fortescue Metals Group under 25-year supply agreements.

The APR project was tested by the collapse of Forge Group, which was contracted by Horizon in 2013 to provide the infrastructure to support the planned development of the Port Hedland site as a multi-user power precinct.

The group collapsed early last year, just two weeks before the completion of its contract.

APR then stepped into the breach under a new contract with Horizon to commission and deliver the project. Insurance bonds included in the contract ensured it was completed without recourse to the State Government and on its $138 million budget.

Horizon managing director Frank Tudor yesterday described the experience as "an interesting journey".

However, the Forge failure notwithstanding, Mr Tudor said Horizon's collaboration with APR had been a model example of how government and industry could operate on the delivery of WA's power needs.

Horizon said the Government would recoup its investment from the long-term power plant being built by TransAlta.