Shares in Mast Energy Developments PLC (LSE:MAST) surged 37% in morning trading on Thursday after the company secured a £5m investment deal and new long-term energy contracts.
Mast has signed an agreement with Powertree to fund the construction of its 7.5MW Hindlip power project. Powertree will invest £500,000 for a majority stake and provide up to £4.5m as a secured loan, covering all development costs.
The company also announced that Hindlip has secured a 15-year Capacity Market contract worth £60,000 per MW annually, guaranteeing £6.3m in gross profit before inflation.
Additionally, its Pyebridge site has locked in contracts ensuring uninterrupted revenue until 2029, alongside record-high trading revenues in January.
Mast CEO Pieter Krügel called the Powertree deal “a testament to our business model,” adding that it will help accelerate plans to develop over 300MW of energy projects.
The stock was up 0.016p at 0.26p.