Nofar Energy continues to expand its global operations in the field of electricity storage and is increasing its portfolio of projects in the UK through the local development platform. During 2021 the company, in collaboration with the Interland Group, established a joint dedicated storage platform engaged in the initiation, development, establishment, financing, management and holding of electricity storage projects in the UK. Nofar Energy owns 75% of the joint venture, and Interland owns the remaining 25%. Over the past few months the company has continued to develop the hoarding platform including the recruitment of a senior management team, the appointment of dedicated consultants in various fields and the expansion of activities and portfolio of projects.
This morning, the company reports the entry into another storage project as part of the dedicated platform with the Interland Group. This is the Buxton project, which has a connection agreement for the electricity grid with a capacity of 30 megawatts and a storage capacity of about 60 megawatts per hour. The total projected construction costs of the project are approximately NIS 86 million, and it is expected to generate annual revenues of approximately NIS 17 million and annual EBITDA of approximately NIS 15 million. The project is nearing construction, having received all the necessary approvals to start construction, and is expected to connect to the electricity grid during 2023. Simultaneously with the construction of the project, the partnership promotes development and entry into a number of additional storage projects with significant suppliers.
This is a direct continuation of Nofar Energy’s significant activity in the field of electricity storage. The company established and connected to the electricity grid the first storage facility in Israel at Kibbutz Nir Yitzhak, signed a number of strategic procurement agreements with leading battery manufacturers, including agreements of 300 megawatts per hour with Tesla. Dozens of storage facilities in its partnerships throughout the country and is expected to connect 100 megawatts per hour in Israel by the end of 2022. In addition, the company signed an agreement to initiate, build and maintain a storage project with a capacity of about 400 megawatts, the largest of its kind in Israel, with Mivna Real Estate, and as mentioned last December reported the establishment of the dedicated platform in the UK and the largest storage project in the country. Storage of about 700 megawatts per hour.
Nadav Tene, CEO of Nofar Energy “Nofar Energy continues to expand its global operations in the field of electricity storage, which is characterized by significant growth and high yields, and requires knowledge and capabilities in the fields of engineering, operations, financing and trade. We are pleased to update this morning With a capacity of about 760 megawatts per hour, this project joins about 1.5 gigawatt hours in the stages of construction and advanced development, which are promoted by Nofar Energy in its various partnerships. “Global engineering and operations. I thank the Interland Group for the successful partnership that continues to yield significant projects.”