Bioenergy Infrastructure Group (“BIG”), a platform established to invest and operate biomass plants in the UK, is pleased to announce financial close on its second Energy-from-Waste (“EfW”) project, a £200m, 25MW plant, on a 7.5 acre industrial site in Hull, East Yorkshire.
BIG was launched on 1st October, along with the announcement of its first project, the 21.5MW Ince Biopower waste wood to energy plant in Cheshire. Today’s deal is indicative of the momentum behind the Group’s strategy to develop a portfolio of biomass assets, with the associated operational and financial synergies therein, establishing BIG as a leading player in the UK biomass industry. This deal has been sourced from BIG’s exclusive pipeline of EfW projects, with multiple further opportunities expected to be developed over the next 2 years. The plant, to be named Energy Works Hull, will be controlled by BIG. It has already secured offtake agreements with a 15 year Power Purchase Agreement and a 15 year Contract for Difference (“CfD”) – the first waste to energy project to achieve financial close with a CfD. Once operational, the plant will generate enough electricity to power 43,000 homes. The EPC contractor is M+W Group and the project has a 10 year O&M agreement with Cofely Limited.
Nimesh Kamath, Partner, Aurium said:
“We are delighted to have acted as lead sponsor of BIG, which continues Aurium’s growing presence as an innovative financier in the renewable energy sector.”
Andy Matthews, Greenfield Director, Infracapital, said:
“We are extremely satisfied by the progress made to date by BIG, which demonstrates Infracapital’s ambition and focus on greenfield development in the UK. The biomass project pipeline is itself indicative of the range of greenfield investment opportunities across the UK and Europe, and we are delighted to be supporting investment in projects that are beneficial to both the economy and the environment.”
Erez Gissin, Founding Managing Partner, Helios, said:
“This investment exemplifies Helios III’s commitment to Distributed Power Generation in the UK, and the project is a great addition to BIG’s portfolio, positioning BIG as an IPP with a diversified fuel supply strategy, world-class contractors, strong offtake agreements, and strategic commitment from its four shareholders.”