9th Sep 2013 08:56
LONDON (Alliance News) - Stobart Group Ltd Monday said its biomass unit had signed a deal to provide up to a million tonnes of biomass a year into existing and future power plants owned by Greensphere Capital LLP, a deal that it expects to be a sizeable part of its growing biomass business.
"Stobart has worked closely with Greensphere over the past 18 months in the renewable sector and together they have identified a number of existing and potential biomass projects for possible investment by funds managed by Greensphere," the company said in a statement.
Greensphere Capital will be investing in a national platform of waste biomass power plants, having been given a fund management mandate in 2012 by the UK Green Investment Bank for waste and waste-to-energy investments.
The bank was set up in 2012 by the UK government with GBP3.8 billion in funding to help develop the UK's fledgling renewable energy sector.
"We believe Greensphere is the ideal partner for Stobart Biomass in this rapidly expanding market and whilst we continue to work with a number of other plant developers this agreement promises to underpin a sizeable element of our biomass supply strategy," Stobart Chief Executive Andrew Tinkler said in a statement.
Stobart Group shares were up 1.9% at 116.2 pence Monday morning.
By Steve McGrath; [email protected]; @SteveMcGrath1
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