Statera Energy, the UK-based energy storage developer and operator, has secured up to Â£300 million of debt financing through a syndicate led by Lloyds Bank.
The first Â£144 million phase of the financing will be used to deliver Stateraâ€™s 300MW / 600MWh Thurrock Battery Energy Storage System (BESS). The balance of the financing will fund the development of a 270MW flexible generation plant which secured a capacity market contract early this year.
The BESS project, located near Greater London, is the first stage of Stateraâ€™s wider Thurrock development plans to enter construction. Statera has already secured consent for a total of 900MW of energy storage and flexible generation assets at the site, classified by the UK Government as a â€˜Nationally Significant Infrastructure Projectâ€™. The 300MW BESS project will be one of the largest in the UK and Europe once commissioned, Statera said.
Lloyds Bank acted as the sole structuring bank for the debt financing facilities and mandated lead arranger and hedge provider in a multi-bank transaction, which included NatWest, Santander, and Siemens Financial Services through Siemens Bank.
Statkraft, a provider of market access and optimisation services, provided a long-term revenue floor that supported the financing of the deal.
Stateraâ€™s CEO and founder Tom Vernon said: â€œLloydsâ€™ commitment to Statera, through one of the largest battery storage debt financing deals in the UK to date, is testament to the quality of our projects. Our Thurrock BESS project is strategically located near to Greater London providing further energy system resilience to this key demand centre. System flexibility in the form of energy storage technologies is a crucial part of achieving energy security, decarbonising our power system, and enabling the UKâ€™s transition towards net zero. We are delighted to have worked with Lloyds, the syndicate of lenders, and Statkraft in achieving this significant milestone.â€
James Taylor, managing director, head of infrastructure and project finance at Lloyds Bank, said: â€œBy storing excess energy, Stateraâ€™s technology ensures the UKâ€™s increasingly renewables-led power system can deliver all day and all year round, promoting security and stability, reducing carbon emissions and, ultimately, helping to lower peopleâ€™s energy bills. The financing weâ€™ve arranged will provide a platform for Statera to continue to develop its portfolio of assets across the UK. Weâ€™re excited to see what the team achieves next and to support more businesses and infrastructure projects leading the UKâ€™s renewable energy transition.â€