Octopus obtains 68MW Breach Solar Farm in addition to stake in storage space site

Jun 17, 2022 05:56 PM ET
  • Octopus Renewables Infrastructure Trust (ORIT) has actually obtained a c. 68MW ready-to-build solar PV project in Cambridgeshire from AGR Renewables.
Octopus obtains 68MW Breach Solar Farm in addition to stake in storage space site
Image: Octopus Investments

The total cost of the acquisition as well as growth of the Breach Solar Farm is expected to be ₤ 50 million. Additionally, the acquisition gives ORIT the right to create a battery storage asset on the site, which is anticipated be ready-to-build later in 2022 and also have a capacity of 50MW/100MWh.

Along with the Breach purchase, the business has revealed today that it has actually entered into an agreement to acquire a 50% stake in a 12MW/24MWh ready-to-build battery storage project from Gridsource.

ORIT is obtaining the project in Bedfordshire along with an additional Octopus took care of fund, as well as expects it to finish by Q3 2022 based on the lease arrangement entering effect. Together with construction costs, the procurement is anticipated to cost about ₤ 4 million.

" Following ORIT's current purchase of a stake in the Lincs overseas wind farm, we are delighted with the news today of extra investments, consisting of opportunities in stand-alone as well as co-located new-build battery projects," stated Chris Gaydon, investment supervisor at Octopus Renewables.

" The need for battery storage space assets is coming to be progressively important as more solar as well as wind assets are connected to the grid as well as will form a key part of the move to a renewables-led power system and attaining web absolutely no."

In addition to revealing the purchases, ORIT offered a larger upgrade of its onshore wind projects' developments-- with sites in France, Poland and also the UK unfinished as well as moving forwards-- and its net asset value (NAV).

Since 31 March 2022, the firm's NAV per share was 104.0 p. Yet over recent months high power costs together with 54% of its portfolio being explicitly inflation linked have improved this. If these variables were taken into consideration, NAV per regular share would certainly be increased by c.5-6p, to in between 109p and 110p.

ORIT kept in mind that power costs and their forwards are particularly unpredictable presently, and as a result the outturn rates may be materially different to the forward prices. Around 62% of its revenues are taken care of over the following 2 years.

" We are pleased to introduce a number of growths today, consisting of investments right into ready-to-build solar PV as well as battery projects and an update on our building projects," claimed Phil Austin, chairman of ORIT.

" Our Investment Manager continues to deliver both on asset monitoring and pipeline, proactively managing our revenue streams and also inflation link, permitting us to give the marketplace with new eco-friendly generation capacity as well as enabling our shareholders to benefit from a diversified portfolio of impactful investments."

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