Australian AI infrastructure provider Firmus Technologies has confirmed that sites near Tailem Bend and Port Augusta in South Australia form part of its Project Southgate AI factory strategy, with details of renewable energy investments supporting the developments set to be unveiled in the coming weeks.
“As part of these builds, Firmus will be supporting substantial investment into new renewable energy projects in the state, including renewable generation and firming capacity,” a company spokesperson told W.Media. “The company looks forward to sharing its plans in respect of this in the coming weeks.”
The comments provide the clearest public confirmation yet of Firmus’s plans in South Australia, following reporting by The Australian earlier this year linking the company to land acquisitions in the state. “Both sites are part of Firmus’s Project Southgate plans for AI Factories at strategic sites across Australia,” the spokesperson said.
The company has not yet disclosed the size, power requirements or investment value of the South Australian developments, but said further details would also be released shortly. According to the company, its AI Factories are buildings – similar to a data centre – that house and operate compute and storage systems used for AI workloads.
“Physically, these also feature integrated energy backup systems (batteries and generators),” the spokesperson said. “To act as a grid asset, Firmus has developed software [that] allows the AI factory’s energy load to respond to the needs of the grid (frequency and load). This supports system strength and resiliency which is required for new renewable generation.”
Renewable energy
Both South Australian locations sit within areas identified for significant renewable energy development. “These locations, sited within South Australia’s energy grid, have been identified by the grid operator, and the State Government, as areas suitable for the development of large amounts of new renewable energy,” the spokesperson said. “Acting as a source of new demand for this energy, Firmus is able to build in these locations and thereby encourage faster development of these assets.”
The company also cited the ability to develop facilities away from residential areas and support regional employment opportunities as factors in its site selection. “Firmus has been in planning discussions with relevant approval authorities required for approvals, including ElectraNet and state government agencies,” the spokesperson said.
South Australia has emerged as an increasingly attractive market for energy-intensive digital infrastructure projects due to its high renewable energy penetration, expanding transmission network and growing pipeline of renewable generation and storage projects.
The forthcoming renewable energy announcement is expected to provide further detail on how the South Australian developments will be powered and supported. Meanwhile, the scale, investment value and construction timelines of the projects remain undisclosed.