Large German energy company RWE is seeking financing and an equity partner for its proposed Theodore Wind Farm in Central Queensland, as large-scale renewable energy investment activity begins to regain momentum across Australia.

Macquarie Capital has been appointed by RWE to help secure financing for the 1 GW (gigawatt) wind project, which is expected to cost around $3 billion to develop.

The Theodore Wind Farm is located approximately 150 kilometres from Gladstone, a major industrial and export hub in Queensland that is home to aluminium production, liquefied natural gas infrastructure and coal export operations. The region is also expected to play a key role in the state’s energy transition as ageing coal-fired generation retires over the coming decades.

At a proposed capacity of 1 GW, Theodore would rank among Australia’s largest wind energy developments. Construction is expected to commence later this year, with initial operations targeted for 2027 following staged commissioning.

The project has already secured state planning approval and has established a memorandum of understanding with Stanwell Corporation.

In a statement provided to Australian Financial Review Street Talk, RWE confirmed the project remains a strategic priority for the company’s Australian operations.

“Australia is one of RWE’s core geographies, and the proposed Theodore Wind Farm is a priority project for the business,” an RWE spokesperson said.

“In line with our project plan, RWE will work towards securing project finance and an equity partner for the project.”

The financing process is understood to be in its early stages, with debt financing expected to be pursued ahead of any formal equity bidding process.

The development comes amid renewed activity in Australia’s renewable energy investment market after a slowdown in large-scale transactions following the peak dealmaking period of 2022.

Rising construction costs, supply chain pressures and shifting market conditions contributed to softer investor appetite over the past two years, particularly for large renewable energy platforms. However, investment activity is now showing signs of recovery as developers continue advancing utility-scale generation and storage projects required to support the broader energy transition.

Theodore joins a growing list of large renewable energy projects currently seeking capital partners, including the proposed Bungaban Wind Farm being jointly developed by Squadron Energy and Federation Asset Management.