- Econergy Group secures €32 million from Goldman Sachs for the 50MW/102MWh Swangate Battery Energy Storage System in Yorkshire.
- Funding includes £25 million for construction and loan repayment, with additional funds for project development. A hedging agreement will manage interest rate fluctuations.
- Earlier this year, Econergy received £128 million in debt financing from Rivage Investment for its European solar PV projects and acquired UBS’s stake in Italian renewable projects.
Econergy Group has announced a significant financial agreement for its Swangate Battery Energy Storage System (BESS) project in Yorkshire. The company’s UK arm has secured €32 million (£27 million) from Goldman Sachs. This deal includes a financing and route-to-market agreement to support the 50MW/102MWh storage project.
Goldman Sachs International Bank is providing the funds, with about £25 million allocated for construction and repaying existing shareholder loans. The remaining funds will cover project development and operational needs. A hedging agreement will be put in place to manage interest rate fluctuations. Additionally, the route-to-market deal will handle the project’s trading and optimisation.
The Swangate BESS is expected to connect to the electricity grid by the end of this year. Econergy’s UK portfolio includes 18 solar PV projects with a combined capacity of 1.5GW and 26 energy storage projects totalling around 6.8GWh. The company’s UK activities are substantial and diverse, reflecting its commitment to renewable energy.
The Swangate project was first initiated in late 2022. Econergy secured an engineering, procurement, and construction (EPC) agreement at that time. This agreement was made with G2 Energy, a UK & Ireland contracting firm, and Trina Storage, a unit of Trina Solar.
Eyal Podhorzer, CEO of Econergy Group, emphasised the company’s dedication to advancing renewable energy. “We are committed to pushing forward with our ambitious project portfolio and invite strategic partners to explore collaboration opportunities,” Podhorzer said.
Earlier this year, Econergy secured £128 million (€150 million) in debt financing from Rivage Investment. This funding will advance the company’s European solar PV projects and support ongoing development and construction in key markets: Italy, Poland, the UK, and Romania.
The investment follows Econergy’s acquisition of UBS’s share of joint-developed Italian renewable projects. Once these projects are fully operational, Econergy will gain full ownership of about 440MW. This move marks a significant step in the company’s expansion and strategic growth.
Podhorzer has noted that 2024 is set to be a transformative year for Econergy. The company’s focus on growth and development in the renewable energy sector remains strong. As Econergy continues to expand its portfolio, it looks forward to new opportunities and collaborations in the industry.