Iona Capital will back Newbridge Energy's biomass project, providing a multi-million investment package for the project development.
It is Iona Capital’s third clean energy investment in North Wales, following its investments in biogas projects at St Asaph and Llwyn Isaf, near Caenarfon.
The three new wood-chip biomass CHP plants at Ruthin will generate a combined output of 3 MWe of renewable electricity and 12 MWh of reusable heat and are set to enter operation before the end of the year (2016). The units will qualify for ROCs and the Renewable Heat Incentive (RHI) under the UK Government’s tariff support mechanism for renewable power and heat.
Newbridge’s main operating subsidiary, Blazer Fuels, is based at Ruthin and processes approximately 20,000 tonnes of virgin wood offcuts each year into premium wood fuel pellets and other products. The plant is located adjacent to a fence post manufacturing plant which supplies the majority of its wood offcuts under a long term supply agreement.
Phil Wildbur, Director of Newbridge Energy said:
“Iona Capital’s investment provides us with the catalyst and the confidence to invest and grow our business. Newbridge Energy is now well positioned to expand its biomass operations throughout North Wales and become one of the leading biomass and wood chip producers in the area.”
Nick Ross, joint managing director of Iona Capital said:
“Our investment in Newbridge Energy is another example of private infrastructure funds investing on a sustainable green agenda whilst promoting entrepreneurial businesses. It is Iona Capital’s third clean energy investment in North Wales.