26th Feb 2015 10:35
LONDON (Alliance News) - Shanks Group PLC Thursday said its Orgaworld Canada business, part of its organics division, has achieved financial close for the Surrey Organics Biofuels Processing Facility project in Canada.
In a statement, the company said that reaching financial close on the contract signals the end of negotiations and the finalisation of a fixed-price, performance-based partnership agreement. The contract is underpinned by a public-private partnership, with the Government of Canada contributing up to 25% of the capital costs.
The facility will receive and process 115,000 tonnes of organic waste annually. It will convert Surrey's kitchen and yard waste, along with commercial waste from across the region, into renewable natural gas. The natural gas will be used to power the city's natural gas waste collection trucks, natural gas service fleet and new district energy system. The facility will also produce a compost product that will be suitable for landscaping and agricultural applications.
Shanks will design, build, finance, operate and maintain the facility for 25 years after the construction period, which will start this spring. It's due to be completed in early 2017.
Shanks shares were down 0.1% at 106.12 pence Thursday morning.
By Steve McGrath; [email protected]; @stevemcgrath1
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