Czech group Sev.en GI files suit to reclaim $1 billion in losses at Callide C plant in Australia

PRAGUE, June 22 (Reuters) - Czech group Sev.en Global Investments said on Monday it is seeking to reclaim losses of over $1 billion in a lawsuit against joint venture partner Callide Energy Pty Ltd (CEPL) and CS Energy over the operation of the Callide C power station in Queensland, Australia.

The case stems from a 2021 explosion at the power station.

Sev.en GI is owned by Czech billionaire energy investor Pavel Tykac and has been expanding outside Europe into Australia and the United States.

Sev.en said the claim, filed through a subsidiary at the Federal Court of Australia, concerned the explosion of the C4 generator, the collapse of the C3 cooling towers and the explosion of the C3 boiler.

"Between the two generation units at Callide C, over 1,700 days of generation capacity has been lost in the last five years alone," Sev.en GI said.

"The claim seeks to hold CS Energy and CEPL accountable for CS Energy’s management of the Callide C Power Station and its representations to the joint venture."

CS Energy operates the Callide C station and is the 100% owner of CEPL, which owns 50% of the plant. Sev.en GI became the other 50% owner of Callide C in 2025.

When reached for comment, CS Energy said it would defend against the legal action and had been aware for years of potential claims.

"CS Energy is committed to the safe, reliable and compliant operation of Callide C in the best interests of Queenslanders and the Crisafulli Government’s Energy Roadmap," it said, adding it would not comment further.

Sev.en GI said it had been a key supporter of rebuilding efforts since the initial incident at Callide C in 2021 and had provided financial backing to the administration process since early 2024.

(Reporting by Jason Hovet; Editing by Susan Fenton)