Pilot Energy and SN Energy Forge $10.75M Hybrid Solar and Data Centre Deal
Pilot Energy has secured a $10.75 million joint development agreement with SN Energy to build a hybrid solar and battery storage project alongside a proposed 50MW data centre at Three Springs.
- Binding Heads of Agreement signed with SN Energy for joint development
- Project combines hybrid solar and battery energy storage system (BESS)
- Includes proposed 50MW data centre as behind-the-meter customer
- SN Energy to pay $10.75 million including land acquisition and development costs
- Pilot secures $500,000 short-term loan from existing shareholders
Strategic Partnership for Renewable Expansion
Pilot Energy Limited (ASX – PGY) has taken a significant step in its transition from traditional oil and gas towards renewable energy by entering a binding Heads of Agreement with SN Energy Australia. This partnership aims to jointly develop a hybrid solar and battery energy storage system (BESS) at the Three Springs site in Western Australia, coupled with a proposed 50MW data centre project.
The deal, valued at $10.75 million, includes upfront and milestone payments as well as funding for land acquisition and development costs. SN Energy’s involvement brings not only capital but also expertise in integrating renewable energy with digital infrastructure, a growing sector that aligns with global trends towards sustainable technology deployment.
A Hybrid Approach to Meet Market Demands
What sets this project apart is its hybrid nature; combining solar generation with battery storage to provide firmed renewable power solutions. This approach addresses a critical market demand for reliable, dispatchable renewable energy, especially important for data centres that require consistent power supply.
Pilot’s Managing Director, Brad Lingo, highlighted the strategic advantage of this development – "The joint development agreement with SN Energy enables Pilot to realise significant capital while delivering a much-enhanced new Hybrid project. It also provides flexibility for the proposed 50MW data centre as a behind-the-meter customer." This signals Pilot’s intent to diversify its energy portfolio and leverage its existing infrastructure for clean energy projects.
Financial and Operational Implications
Alongside the joint development agreement, Pilot has secured a $500,000 short-term unsecured loan from existing shareholders to support initial project activities. The definitive Joint Development Agreement is expected to be finalised by mid-February 2026, subject to customary conditions and due diligence.
This partnership also reflects Pilot’s broader strategy to pivot towards carbon management, hydrogen production, and clean ammonia export, leveraging its offshore oil and gas assets. Meanwhile, SN Energy’s global renewable platform expertise, particularly in utility-scale energy and digital infrastructure integration, positions the project for potential scalability and innovation.
Looking Ahead
The Three Springs Hybrid Solar BESS and data centre project could mark a transformative chapter for Pilot Energy, blending renewable energy generation with digital infrastructure needs. As the energy market increasingly demands firm, clean power solutions, this collaboration may serve as a blueprint for similar developments in Australia’s evolving energy landscape.
Bottom Line?
Pilot’s hybrid solar and battery project with SN Energy signals a pivotal shift towards clean energy and digital infrastructure integration.
Questions in the middle?
- What are the detailed timelines and milestones for the hybrid solar BESS and data centre development?
- How will the proposed 50MW data centre impact Pilot’s revenue and operational focus?
- What risks remain around finalising the Joint Development Agreement and securing regulatory approvals?
