(Alliance News) - SDCL Energy Efficiency Income Trust PLC on Monday said it has agreed to part with USD110 million to take a 50% interest in a portfolio of recycled energy assets in the US state of Indiana, US.
SDCL is acquiring the stake in the 298 megawatt Primary Energy portfolio from a consortium led by American clean energy firm Fortistar LLC.
Primary Energy consists of five power projects located in Indiana Harbor Works East and Indiana Harbor Works West. These are two steel mills owned by ArcelorMittal SA and United States Steel Corp, respectively.
SDCL Energy Efficiency said: "The strong environmental benefits of the assets qualify the projects for Renewable Energy Certificates which are equivalent to those generated by 536 megawatts of solar or 374 megwatts of wind projects. Returns from the portfolio are expected to meet SDCL Energy Efficiency Income Trust's total returns targets and further support its progressive dividend policy."
Shares in SDCL Energy Efficiency were untraded in London on Monday morning, last quoted at 108.00 pence each.
By Eric Cunha; ericcunha@alliancenews.com
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Sdcl Energy Ef. (SEIT)