State-Owned Stanwell Secures Exclusive Negotiation Rights for Quinbrook's 6.24GWh Hybrid Energy Storage Facility in Australia

State-owned energy generator Stanwell Corporation has entered into a Memorandum of Understanding, granting it exclusivity to negotiate commercial terms for the proposed Gladstone State Development Area Energy Hub Project in Queensland. The project is being developed by Quinbrook Infrastructure Partners.

Described as a multi-technology energy storage and generation hub, the facility will integrate open-cycle gas turbines with a substantial battery energy storage system. The plans include up to 1,080MW of gas turbines, equipped with synchronous condenser capabilities, complemented by a 780MW/6,240MWh BESS with an eight-hour discharge duration.

With a storage capacity of 6.24 gigawatt-hours, the BESS component alone is positioned to rank among the largest grid-scale battery developments in Australia. It would surpass the size of the 2.8GWh Eraring BESS in New South Wales and the operational 1.6GWh Waratah Super Battery.

Quinbrook will deliver the project in stages via its affiliate, Private Energy Partners, aiming to create a "multi-technology renewables firming and grid resiliency solution." The strategic location is intended to support Queensland's heavy industries and provide new firming capacity for the state's energy system within the National Electricity Market.

Stanwell CEO Michael O'Rourke stated the project combines gas generation and long-duration storage in a novel configuration to support critical industries. The agreement grants Stanwell exclusivity to negotiate the commercial arrangements needed to advance the project.

This partnership expands on an existing collaboration between the two companies. They recently agreed to trial the first 8-hour duration EnerQB BESS at the Stanwell Power Station. The 12-month demonstration will explore the deployment of this long-duration energy storage solution, developed by battery manufacturing leader CATL.

In Australia, LDES is typically defined as having eight hours or more of discharge duration at full power. It is expected to become a crucial part of the national energy landscape, especially within the NEM, as coal-fired power retires. The technology will be a key topic at the Energy Storage Summit Australia 2026 in Sydney.

Quinbrook CEO Brian Restall emphasized the partnership supports Queensland's energy transition goals, highlighting a shared commitment to affordable, reliable, and sustainable energy. He noted Queensland remains an attractive destination for energy transition investment despite recent policy shifts following a change in government.

The GSDA Energy Hub extends Stanwell's growing storage portfolio, which includes a 1,200MWh BESS project currently at the halfway mark and a pursued 4GWh pumped hydro initiative.

Located in the Gladstone State Development Area, the project is poised to bolster energy supply for local aluminum smelting, LNG, and other industrial operations, while enhancing stability across Queensland's interconnected electricity grid.