1 Aug 2017 07:00
Plutus PowerGen Plc / Ticker: PPG / Index: AIM
01 August 2017
PLUTUS POWERGEN PLC ("PPG" or the "Company")
Signs Battery Storage Joint Venture
Plutus Powergen Plc, the AIM listed power-company focussed on the development and operation of flexible energy generation ('FlexGen') projects in the UK, has signed a cooperation agreement ('the Agreement') with land and property developer, London & Devonshire Trust Ltd ('LDT'), to identify and develop standalone battery energy storage projects in the UK. This Agreement is in line with the Company's strategy to widen its exposure within the UK energy sector, utilising integral, new technologies that provide security of supply. This security of supply is an important element of UK energy infrastructure given the rise of intermittent renewable energy which puts considerable stress on the grid at peak times, increasing the risk of blackouts and brownouts.
PPG and LDT entered into the Agreement to leverage their complementary skills and capabilities in the development, financing, construction and operation of energy storage plants within the UK. Under the terms of the agreement, LDT and PPG will incorporate a special purpose vehicle (the 'Project Company') for the development of an initial 85MW energy storage project (the 'Project'). LDT will provide to the Project Company a suitable site and associated grid connection for the Project and PPG will provide the necessary skills for the Project Company to manage the ongoing Project development.
PPG's current focus is on completion of the 180MW of FlexGen with Rockpool Investments LLP and the development of approximately 200MW of gas-fired FlexGen projects across the UK. These facilities can be switched on at a moment's notice at times of peak demand and help to mitigate the current and forecast risk of an energy deficit. PPG has a pipeline of over 700MW and is targeting 120MW to be operational with an additional 120MW at the post-planning stage by the end of 2017.
PPG Chairman Charles Tatnall said, "This is a further step in our corporate development and a continuation of a successful partnership with LDT, marking our entry into the emerging battery energy storage arena. We have been looking at this idea for some time, but the technology is reaching a stage where it has the possibility to become a reality. We are very excited about these opportunities, which will enable us to supply energy more efficiently and provide solutions to the low inertia and intermittent green energy upon which the UK is increasingly depending."
The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ('MAR'). Upon the publication of this announcement via a Regulatory Information Service ('RIS'), this inside information is now considered to be in the public domain.
**ENDS**
For further information, please visit www.plutuspowergen.com, or contact:
Charles Tatnall | Plutus PowerGen Plc | Tel: +44 (0) 20 3705 8350 |
Phil Stephens | Plutus PowerGen Plc | Tel: +44 (0) 20 3705 8352 |
Andrew Craig | Cantor Fitzgerald Europe | Tel: +44 (0) 20 7894 7000 |
Richard Salmond | Cantor Fitzgerald Europe | Tel: +44 (0) 20 7894 7000 |
Isabel de Salis | St Brides Partners Limited | Tel: +44 (0) 20 7236 1177 |
Olivia Vita | St Brides Partners Limited | Tel: +44 (0) 20 7236 1177 |
Notes to Editors
Plutus PowerGen Plc is an AIM listed company focused on the development, construction and operation of flexible stand-by power generation sites in the UK. At present, the market dynamics for flexible power generation are positive due to the continued downward pressure on capacity available to National Grid to balance supply and demand, leading to their announcements about possible power shortages over the next few years.
Flexible power generators such as PPG offer a viable and timely solution to the power capacity shortfall in the UK.