Glennmont moves into biomass generation with purchase of Sleaford Straw-fired Renewable Energy Plant. Glennmont has completed the purchase of the Sleaford Straw-fired Renewable Energy Plant from ECO2 Ltd. for its Clean Energy Fund. The completion of the deal marks the inclusion of the first biomass generation in the Fund and a significant step towards the completion of the diversified European portfolio. The Fund has completed 10 deals in wind power, solar photovoltaics and now biomass and has assets in Italy, France, UK and Ireland.
Fuel for the plant will be sourced from residues from local farming, and is complementary to the production of existing crops. Straw supply contracts will provide an additional £6 million annually to regional farming, while ash produced will be recycled to provide fertilizer to support crop production, thus supporting jobs in the agriculture industry.
The plant was developed and will be managed by ECO2 Ltd., which has unique experience in developing, building and operating UK biomass plants.
The purchase of Sleaford power plant is being supported by debt raised from NIBC Bank NV, RBS, Siemens Bank GmbH and Unicredit Bank AG. The construction contract has been placed with a consortium consisting of Burmeister and Wain Scandinavian Contractor A/S, who will also operate the plant, and of Burmeister and Wain Energy A/S. The power purchase contract is with Statkraft Markets GmbH.
