Sun Cable's A$30B Australia–Singapore solar link collapsed into administration

Developing the Australia-Asia Power Link: a giant solar farm in Australia's Northern Territory exporting clean energy to Darwin and Singapore by subsea cable.

That a 4,200km subsea cable could deliver Northern Territory solar to Darwin and up to 15% of Singapore's power, financed at A$30 billion project scale.

A$210M raised in 2022, part of it still unavailable because milestones were unmet

In 2019 Sun Cable embarked on the world's largest solar generation and transmission project: a huge solar farm in Australia's Northern Territory supplying Darwin, and Singapore through a 4,200km subsea cable. The AAPowerLink aimed to meet up to 15% of Singapore's power needs by its planned completion in 2029.

Mid-2022 the project was placed on the Australian government's investment priority list, and CEO David Griffin expected financial close in early 2024, with 800MW supplying Darwin from 2027 and full operations by 2029. In October 2022 Sun Cable said it would supply 1.75GW of power to Singapore and had expressions of interest from corporate buyers for more than 2.5GW. The 2022 A$210 million capital raise carried milestones that had not been met, so not all of that funding was ever made available.

Entered voluntary administration on January 11, 2023, appointing FTI Consulting to run a process seeking expressions of interest for recapitalisation or sale.

The A$210 million 2022 capital raise carried milestones that had not been met, meaning not all of the funding was ever made available.

Key backers Forrest and Cannon-Brookes could not agree on 'the future direction and funding structure of the company' — with Squadron's silence in the collapse statement underscoring the split.

Singapore demand was still expressions of interest plus a supply pledge; the binding offtake deals the project depended on were not signed.

Financial close was not expected before early 2024 — a construction megaproject two years from its financing when the cash ran out.

Billionaire backing is not a funding plan: when two anchor investors disagree on direction and structure, the venture between them stalls no matter how grand the project.

Three FTI Consulting executives took over as voluntary administrators, tasked with unlocking additional capital for the AAPowerLink through a recapitalisation or sale. Cannon-Brookes said he fully backed the ambition and looked forward to the company's next chapter. Singapore's EMA said it remained on track for its 4GW import target by 2035 through other proposals.