Eco2 has sold a 40 MW biomass power plant project in the UK to Glennmont Partners in a deal that will pave the way for the construction of the facility.
Under the £160 million deal, Eco2 will manage the construction and operation of the Port Clarence energy project on behalf of its new owners. Construction will be financed with equity from a fund managed by Glennmont and debt arranged and provided by Deutsche Bank and Danske Bank, supported by EKF, the export credit agency of Denmark.
The Port Clarence energy project will be constructed on the banks of the River Tees in northeast England and will use locally sourced waste wood as fuel. It will be constructed by Babcock & Wilcox Vølund A/S with civil engineering undertaken by Lagan Construction.
Wales-based Eco2 developed the project together with Temporis Capital. The plant will be commissioned in 2018.
"Over the last two years alone, we have raised a total of around £0.75 billion through the sale of four biomass plants, and as a team have amassed unrivalled experience in the development, construction and operation of over 510MW of biomass projects throughout the world," said David Williams, CEO of Eco2, which has planning consent for two straw-fired schemes in Spain.