Gore Street Energy Storage Fund PLC (LON:GSF) has entered into an agreement to acquire a 100% interest in Ferrymuir Energy Storage Limited.
The 50 megawatt (MW) energy storage project in Fife, Scotland, has been acquired from a group of investors comprising Abbey Properties, Yoogen and Intelligent Land Investments.
Gore Street said all land rights, grid connections and planning consents have already been secured for the project. The company will arrange and manage the construction of the project, which is scheduled to become operational in 2022.
Gore Street's investment adviser, Gore Street Capital Limited estimates the project will have an unlevered internal rate of return in line with its target range.
The acquisition of this project brings Gore Street's total portfolio size to 239MW, the largest of any UK-based manager, the company noted.
"We are extremely pleased to announce the acquisition of Ferrymuir which adds a significant asset to our already substantial portfolio of projects,” said Alex O’Cinneide, the chief executive officer of Gore Street Capital.
“The acquisition highlights Gore Street's continued delivery against the company's goals and proves out the extensive growth potential in front of the company, with a total of 900MW's of future projects in or due to begin construction.
"The project is our first in Scotland, a very attractive market for energy storage, and adds to a portfolio diversified in markets, assets and counterparties,” he added.