Australia

Energy company Carnegie in administration

Wave energy company Carnegie Clean Energy has entered voluntary administration following uncertainty around the company's finances.

Carnegie Clean Energy has gone into voluntary administration days after the West Australian government terminated its contract to build a wave farm in the state's south.

The wave energy company was in October handed a $2.625 million payment despite not meeting targets for the Albany project and last week posted a $45 million half-year net loss, revealing it only had $1.68 million left.

On Tuesday, the WA government announced it had axed its agreement to protect the interests of taxpayers.

KordaMentha Restructuring has been appointed voluntary administrators for the company and certain subsidiaries.

"The administrators are in discussions with key stakeholders to secure funding to allow the company to continue to trade whilst the administrators pursue a recapitalisation ... via a deed of company arrangement," KordaMentha Restructuring said on Friday.

"A further update in respect of the funding arrangements and potential recapitalisation proposal will be released to the market in the coming days."

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