Danish JV acquires 27.8-MW UK biomass power project
Burmeister & Wain Scandinavian Contractor A/S. License: All Rights Reserved.
Copenhagen Infrastructure II and Burmeister & Wain Scandinavian Contractor (BWSC) have acquired the 27.8-MW Kent biomass-fired combined heat and power (CHP) plant project in the UK, the parties said today.
They have at the same time taken the investment decision to build the GBP-160-million (USD 210m/EUR 191m) project, which has been developed by Estover Energy Ltd. Copenhagen Infrastructure II will invest around 80% and BWSC around 20%, while Estover Energy Ltd will hold a minority interest.
The plant, to be constructed by BWSC, is expected to be operational in the summer of 2018. The Danish company will also operate and maintain the facility for up to 20 years.
Located in Kent in southern England, the plant will use mainly locally sourced wood. Heat and some of the power will be supplied to the Discovery Park business park. The latter announced in June the start of work on the plant.
Copenhagen Infrastructure II is a fund managed by Copenhagen Infrastructure Partners (CIP) in which PensionDanmark is an investor.
Kent is PensionDanmark’s fourth biomass power plant investment in the UK and its third co-investment with BWSC, PensionDanmark chief executive Torben Moger Pedersen said in a seperate statement, adding that this joint venture model provides an attractive return to PensionDanmark with limited risk.