4 July 2024
Gresham House Energy Storage
Fund plc
("GRID" or the
"Company")
1GWh milestone passed,
following augmentation of two projects to 50MW/100MWh
each
Gresham House Energy Storage Fund
plc (LSE: GRID), the UK's largest fund investing in utility-scale
battery energy storage systems (BESS), is
pleased to announce that it has completed the augmentation of its
Enderby and West Didsbury projects, which are both now trading at
their increased capacity.
This increases GRID's operational capacity to over 1GWh
(1,030MWh),
the first battery storage business in the UK to
have passed this
milestone.
The augmentation of the Enderby
(50MW) and West Didsbury (50MW) sites has involved upgrading each
from 1-hour to 2-hour duration, adding 100MWh of additional
operational capacity. Both sites had been designed for these
upgrades from inception.
This milestone marks the completion
of the second and third augmentation projects in line with the plan
set out in GRID's latest annual report. So far, in 2024, GRID has
added 117MWh[1] to currently operational
projects through augmentation, taking the operational portfolio to
790MW/1030MWh. A further 220MWh will be added with the remaining
four augmentation projects.
John Leggate CBE, Chair of Gresham House Energy Storage Fund
plc, said:
"We are very pleased at reaching
this strategically important milestone since for the UK to meet its
Net Zero targets, BESS needs to be at significant scale. The Board
has taken the decision to focus part of its capital allocation on
upgrading certain existing sites which it believes is an efficient
use of capital, derisks project execution and improves the
portfolio's revenue potential.
In addition, securing revenues
through our recent tolling agreement with Octopus Energy
demonstrates the growing range of opportunities to deliver returns
from balancing supply and demand, while also reducing the
volatility of these revenues."
Ben
Guest, Fund Manager of Gresham House Energy Storage Fund plc &
Managing Director of Gresham House New Energy,
said:
"We're delighted to have exceeded
1GWh of operational assets, the first battery storage business in
the UK to hit this milestone. As well as a memorable moment in
GRID's growth, this marks the continued progress in the UK's energy
transition with batteries being connected to balance rapidly rising
renewable generation with demand.
"It is well documented that the UK
BESS market is moving to a trading strategy dominated environment.
The upgrade of these two sites to 2-hour duration enables these
projects to capitalise on that trading opportunity."
For
further information, please contact:
Gresham House New Energy
Ben Guest
James Bustin
|
+44 (0)20 3837 6270
|
Jefferies International Limited
Stuart Klein
Gaudi Le Roux
Harry Randall
|
+44 (0)20 7029 8000
|
KL
Communications
Charles Gorman
Charlotte Francis
Effie Aye-Maung-Hider
|
gh@kl-communications.com
+44 (0)20 3882 6644
|
JTC
(UK) Limited as Company Secretary
Christopher Gibbons
|
GHEnergyStorageCoSec@jtcgroup.com
+44 (0)20 7409 0181
|
About the Company and the Manager
Gresham House Energy Storage Fund
plc seeks to provide investors with an attractive and sustainable
dividend over the long term by investing in a diversified portfolio
of utility-scale battery energy storage systems (known as BESS)
located in Great Britain and internationally. In addition, the
Company seeks to provide investors with the prospect of capital
growth through the re-investment of net cash generated in excess of
the target dividend in accordance with the Company's investment
policy.
The Company targets an unlevered Net
Asset Value total return of 8% per annum and a levered Net Asset
Value total return of 15% per annum, in each case calculated net of
the Company's costs and expenses.
Gresham House Asset Management is
the FCA authorised operating business of Gresham House Ltd, a
specialist alternative asset manager. Gresham House is committed to
operating responsibly and sustainably, taking the long view in
delivering sustainable investment solutions.
http://www.greshamhouse.com/
Definition of utility-scale battery energy storage systems
(BESS)
Utility-scale battery energy storage
systems (BESS) are the enabling infrastructure that will support
the continued growth of renewable energy sources such as wind and
solar, essential to the UK's stated target to reduce carbon
emissions. They store excess energy generated by renewable energy
sources and then release that stored energy back into the grid
during peak hours when there is increased demand.