Eco2 sells biomass plant for 160m
Tue, 25th November 2014

Eco2 sells biomass plant for £160m

Cardiff renewable energy company Eco2 has sold another biomass project in a £160m deal – the third plant sold by the business in the past three years.

It is the third plant sold by the business in the past three years for a total of £500m.

The 44.2MW straw-powered biomass plant in Snetterton, East Anglia, has been bought by BWSC PCL – a joint venture between Burmeister & Wain Scandinavian Contractor and PensionDanmark.

It marks the second deal of its kind to BWSC PCL, following Eco2's sale of its Brigg straw-fired biomass plant in North Lincolnshire to the venture in 2013.

The Snetterton Renewable Energy plant will be primarily fuelled using locally sourced straw, and it is claimed it can generate enough electricity to meet the needs of approximately 82,000 houses.

Originally developed by Iceni Energy Ltd, the Snetterton plant was granted planning consent in July 2012. Iceni joined forces with Eco2 in May 2013 to take the project forward to financial close.

Eco2 chief executive Dr David Williams said: "This is a significant deal for the UK biomass industry. We have a longstanding relationship with BWSC, who we also worked with on the sale of Wales' first commercial-scale biomass plant in Port Talbot in 2006 – the Western Wood Energy Plant.

"As a company, we are successfully operating on a global scale, and this latest deal is the third of its kind in the past three years, totalling £490m. The sale reaffirms Eco's prominent position as the leading biomass developer in the UK."

Eco2 is working on a further £1bn of biomass projects and expected to be make further announcements in the near future, he added.

category Wales  |  source Insider Media