EP UK Investments Ltd (EP UK), a subsidiary of Energetický a průmyslový holding (“EPH”), a leading Central European energy group, are pleased to announce that agreement has been reached on the purchase of Lynemouth Power Limited (Lynemouth Power) from RWE Supply & Trading GMBH.
Lynemouth Power owns and operates a 420 MW coal fired station and has been working with contractors to design a technical solution for a full conversion of the power plant to run on biomass. Lynemouth Power received clearance from the European Commission on 1st December 2015 for its supporting Contract for Difference from the UK government. Post conversion the power station will generate about 2.3 TWh of low carbon electricity per year which is sufficient to power around 700,000 homes. The power station will operate at base-load, thus providing schedulable low-carbon electricity.
Neil O’Hara at EP UK said: “We are pleased that EPH has made this investment and look forward to working closely with the Lynemouth Power team and its contractors to reach final investment decision. Whilst we are working under tight time constraints and challenging foreign exchange conditions we believe that with the continuing efforts of the Lynemouth Power team and the on-going support of the contractors the business will achieve its ambitions."
EPH is a leading Central European energy group operating mainly in the Czech Republic, Slovakia, Germany, Italy, UK, Hungary and Poland. It is a vertically integrated energy utility covering the complete value chain in the energy sector. It includes 40 companies operating in coal extraction, electricity and heat production from conventional and renewable sources, electricity and heat distribution, electricity and gas trading and supply to end users. EPH is also the gas industry leader in Slovakia and the key shipper of natural gas from Russia to the European Union. The companies in the group employ more than 10,000 people. EPH’s generating plants currently have a total installed electrical capacity of almost 9000 MW.