- 01Westpac proposed non-binding $20m for Horsley Park bioenergy.
- 02Grants + finance cover ~81% of $62.1m cost; $11.6m remains.
- 03Close due 18 Nov; build targeted Dec.
Delorean Corporation (ASX: DEL) has entered into a non-binding agreement and mandate with Westpac Banking Corporation (ASX: WBC) for $20 million in financing towards its NSW1 Horsley Park bioenergy project in western Sydney.
The proposed asset finance and trade facilities would fund plant and equipment for the $62.1m development, which is planned beside Brickworks’ brick manufacturing operations.
Together with $30.5m in previously secured government grants, the proposed bank facilities would cover about 81% of the project’s estimated capital cost.
Delorean and Brickworks have extended the deadline for financial close to 18 November, with construction targeted to begin in December if financing is completed.
The Westpac mandate remains non-binding, with detailed financing documents yet to be negotiated and signed before the proposed facilities can be relied upon.
Financing Structure
Delorean expects to source the outstanding $11.6m through a combination of working capital, research and development tax refunds, equity and debt.
The company has already secured $20m from the New South Wales government’s Net Zero Manufacturing Initiative and $10.5m from the Australian Renewable Energy Agency under its National Industrial Transformation Program.
Delorean considers the proposed Westpac arrangements more favourable than financing for its nearly completed SA1 Salisbury bioenergy project.
“The agreement with Westpac demonstrates confidence in the strength of our project fundamentals, our long-term partnerships with Tier 1 customers, and our ability to deliver scalable commercial renewable gas infrastructure in Australia,” managing director Joe Oliver said.
“Subject to financial close, the NSW1 Horsley Park bioenergy [project] will become Australia’s first industrial-scale bioenergy project to deliver renewable gas directly behind the meter for industrial manufacturing, demonstrating the critical role renewable gas can play in decarbonising Australia’s hard-to-abate industries.”
Industrial Gas Supply
Under a 25-year lease, Delorean would own and operate NSW1 on Brickworks’ land, supplying biomethane directly to the adjacent manufacturing plant from first gas until the lease expires.
The proposed facility would process 120,000 tonnes of source-separated organic waste annually, against an approved processing capacity of up to 150,000t.
It is expected to produce approximately 253,000 gigajoules of renewable gas each year, replacing around half of the natural gas consumed by the adjoining brickworks.
That substitution is forecast to cut the manufacturing site’s overall Scope 1 emissions by approximately 38%, while diverting organic material from landfill.
Potential project income spans waste gate fees, biomethane sales and carbon credits, with further opportunities identified in renewable fuel certificates and liquid fertiliser.
November Deadline
The Horsley Park development received planning approval in July 2025, leaving financing completion as a key prerequisite for the next construction phase.
Delorean anticipates a 21-month construction period through commissioning in 2028, with initial waste acceptance revenue and first biomethane expected within approximately 20 months of construction starting.
The project will be delivered through Horsley Park Bioenergy Pty Ltd, the special-purpose entity established for NSW1.
While the government funding is already secured, the construction timetable remains conditional on converting the Westpac mandate into binding facilities and arranging the remaining capital.
The agreed November deadline gives Delorean additional time to complete both financing tasks before the planned December start.
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