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Energy Minister Mike Nahan. Picture: Megan Powell/The West Australian.
Energy Minister Mike Nahan. Picture: Megan Powell/The West Australian.

Canada's TransAlta Corporation has been named the preferred bidder to build, own and operate the South Hedland Power Project.

The $550 million, 150 megawatt power station will be built and funded over the next 30 months and eventually supply power to Horizon Power's customers in the Pilbara as well as Fortescue Metals Group's port operations.

The combined cycle gas power station is expected to be delivering power in 2016 with full commissioning of the station in 2017.

The development will be fully contracted under 25-year agreements with Horizon Power and Fortescue Metals Group and may be expanded to accommodate additional customers at later dates.

TransAlta president and chief executive Dawn Farrell said TransAlta wanted to be the company of choice in providing reliable and low cost power to customers in the remote mining regions of WA.

WA is already an important market for TransAlta, where it has been operating for more than 15 years.

It has six facilities totalling 425 megawatts of generating capacity and a natural gas pipeline under development.

The West Australian

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