Project Finance Brief: Gore Street Acquires 90% Stake in a 22 MW Energy Storage Project
DSD acquires 7.5 MW of rooftop solar portfolio from Dynamic Energy
March 14, 2022
From: Mercom Capital Group
London Stock Exchange-listed battery storage investment fund Gore Street has completed the acquisition of a 90% stake in a 22 MW/28 MWh operational energy storage asset in Cremzow, Germany. The Cremzow site was developed in two stages by Leclanche, Enel Green Power, and Enertrag, starting with an initial 2 MW followed by an additional 20 MW, with the system based on LG Chem lithium-ion batteries. Enertrag, a German renewable developer, will retain the remaining 10% stake and support the project’s technical management.
DSD Renewables, a business-backed by BlackRock Real Assets’ Global Renewable Power platform and GE Renewable Energy, acquired six solar projects totaling 7.5 MW from Dynamic Energy in the U.S. The initial phase of the acquisition includes three rooftop solar projects in New Jersey and Connecticut, followed by the intention to acquire another three projects in Massachusetts and Virginia later in 2022. Dynamic Energy handles engineering, construction, and procurement for the projects, while DSD will be the long-term owner and operator of the assets. The portfolio is expected to come online in 2022.
Scale Microgrid Solutions, a Warburg Pincus portfolio company, has acquired three community solar projects totaling 14 MW in Upstate New York from Nexus Renewables. Concurrent with the acquisition, Scale Microgrid Solutions has issued notice to proceed under a fixed-price turnkey EPC agreement with an anticipated commercial operations date in the first quarter of 2023. This initial acquisition represents the first tranche of a larger $100 million agreement between Nexus and Scale whereby Scale will fund the development, construction, and acquisition of a portfolio of distributed grid-connected solar and battery energy storage projects across the United States.
Greenvolt and Infraventus have signed a partnership to develop solar energy projects in Portugal. Under this agreement, GreenVolt owns 50% of a set of solar projects with a total capacity of 243 MW, of which about 160 MW are in an advanced stage of development. This partnership accelerates the commitment that GreenVolt has been making at the European level – and in Portugal- to develop electricity production projects through a photovoltaic solar source.
Verbund, an Austria-based energy company, acquired 70% of four wind projects and one solar project developed by Capital Energy in Spain. The four wind and one solar project companies have a total capacity of 171 MW. It consists of four wind farms totaling 151 MW and one solar project with an installed capacity of 20 MW. The projects are currently under construction and will be commissioned between the second quarter of 2022 and the first quarter of 2023. In addition, three PV hybridization projects in the south of Spain totaling 80 MW are under development.
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Read last week’s project finance brief.