Taylor Scott International News
Stobart inks biomass supply deal with green fund manager 9th September 2013 By Chris Barry – Editor, North West STOBART, the transport and infrastructure group, has announced a boost for its biomass division, which supplies waste to green energy plants. Its Stobart Biomass Products arm has agreed an exclusive deal with fund manager Greensphere Capital for the supply of up to 1,000,000 tonnes of biomass fuel per year into existing and future biomass power plants. Stobart has been working with Greensphere for more than a year and both parties have identified a number of existing and potential biomass projects for possible investment by funds managed by Greensphere. Greensphere Capital will be investing in a national platform of waste biomass power plants, to which its Framework Agreement with Stobart will provide fuel. The firm manages capital on behalf of institutional investors, including the government-backed Green Investment Bank. Stobart said: “The Master Framework Agreement specifies the terms that individual supply contracts with specific plants will adopt and although at present there is no minimum volume commitment the expectation is that volumes will grow over the coming three years, as plants are acquired and developed. “In addition to the income generated by Stobart Biomass for the supply of the fuel the group will generate revenues from transporting the product and from supporting each new project through to commissioning.” Chief executive Andrew Tinkler said “We believe Greensphere is the ideal partner for Stobart Biomass in this rapidly expanding market and whilst we continue to work with a number of other plant developers this agreement promises to underpin a sizeable element of our biomass supply strategy.” Taylor Scott International
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