QIC has agreed to sell Epic Energy to Morgan Stanley Infrastructure Partners on behalf of Australian Retirement Trust (ART) in a transaction worth approximately A$1bn (€614m).
Epic Energy plays a critical role in supporting energy security, particularly in South Australia. The asset has supported that state’s energy system since its privatisation in 1995 and continues to play an important role in energy reliability.
Its key asset is a 1,150km pipeline, the Moomba to Adelaide Pipeline System, which ranks as a strategically important piece of national energy infrastructure. It connects gas reserves in northern and central Australia with energy consumers and gas-fired generation in southern markets.
Epic Energy has also grown its renewables platform to comprise 154MW of operational wind, solar and storage assets.
“ART can confirm it has agreed to divest its interest in the asset, subject to relevant approvals,” a spokesperson for the super fund told IPE Real Assets. “The asset has played an important role in supporting jobs, economic activity and essential services and we believe it is well-positioned for the future.”
A spokesman for QIC said: “Since acquisition in 2013 on behalf of ART, we have worked closely with the board, management and ART to strengthen and grow the Epic business, including expanding its renewables platform, while supporting its critical role in delivering energy security,”
He added: “Epic Energy is well positioned for the future, and this transaction enables us to realise value for our client, consistent with our long-term approach to infrastructure investing.”
The transaction is subject to regulatory approvals.
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