10 Apr 2010

First dividend paid by Mighty River

6:46 pm on 10 April 2010

Mighty River Power has paid its first dividend to the Government.

The state-owned electricity generator and retailer has paid an interim dividend of $56.2 million for the six months to the end of December.

Chief executive Doug Heffernan says it recognises the company's strong financial position and its performance over the last six months.

But after higher than expected profitability in the first half, he warns that poor hydrology in Waikato in the last few months has brought the company's profit back in line with expectations.

Meanwhile, Mr Heffernan says there has been a significant development in the company's geothermal development programme, with the commissioning of the Nga Awa Purua geothermal power station this week.

He says the plant, which is part of a $430 million project, will be finished ahead of schedule. It has a potential capacity of 140MW, more than the 132MW capacity originally expected.