RNS Number : 6964P
Renewable Energy Generation Ltd
10 June 2015
 

10 June 2015

 

Renewable Energy Generation Limited ("the Company" or "REG")

 

Agreement with Gamesa to supply wind turbines for five UK onshore projects totalling 38MW

 

Renewable Energy Generation Limited, the AIM quoted UK focused multi-divisional renewables company, announces that it has entered into agreements ('the Agreements') with leading global wind turbine manufacturer Gamesa Eólica, S.L. ('Gamesa') to supply 19 wind turbines for five of REG's consented UK onshore wind farm sites.  These have a combined capacity of 38MW and once commissioned, will more than double REG's total wind power capacity to 72.7MW.  The new projects, which are due to be delivered over the coming 18 months, are in line with the Company's strategy to operate a diversified portfolio of 300MW of UK renewable energy projects, which includes wind, solar and biopower, within three years.

 

Under the terms of the Agreements, Gamesa will manufacture, erect and commission the turbines, and also provide long term service and maintenance of the machines.  The sites benefiting from the agreements are French Farm (4MW), Rodbaston (4MW), Brackagh Quarry (6MW), Mynydd Portref (12MW) and Hallburn Farm (12MW) in the UK.  The total combined annual output of all five projects, once operational, will be 92,000MWh which will increase the company's total annual wind power output to 183,000MWh.  The capital cost of all five projects is expected to be in the region of £48 million. 

 

REG's CEO Andrew Whalley said, "REG is already a profitable, multi-divisional renewables company, and these five new projects will more than double our own-operated wind capacity in the UK to 72.7MW.  Combined with our operational 26MW of bio-power projects, and the wind and solar assets we operate on behalf of third parties such as leading fund manager Blackrock, the total power generating capacity under our management will hit 150MW.   At this point, we will be halfway towards achieving our stated objective to operate a portfolio of 300MW over the next three years across our wind, bio, solar and asset management divisions. 

 

 "As REG already has significant asset-backing with long term visible revenue streams, the Company is in an excellent position to capture the value created by our pipeline of projects for our existing shareholders.  I look forward to providing further updates on our progress."

 

 

For further information please visit www.renewableenergygeneration.co.uk or contact the following:

 

Andrew Whalley

Chief Executive Officer

 

Renewable Energy Generation Ltd

+44 (0)1483 901 796

David Crockford

Finance Director

 

Renewable Energy Generation Ltd

+44 (0)1483 901 796

Ian Lawrence

Communications Manager

 

Renewable Energy Generation Ltd

+44 (0)1483 901 796

Bobbie Hilliam

 

Cenkos (Broker)

+44 (0)20 7397 8900

Martyn Fraser

 

Smith & Williamson Corporate Finance Limited (Nominated Adviser)

 

+44 (0)117 376 2213

Felicity Winkles

 

St Brides Partners (Public Relations)

+44 (0)20 7236 1177

Frank Buhagiar

St Brides Partners (Public Relations)

 

+44 (0)20 7236 1177

 

Notes to editors

 

Renewable Energy Generation Ltd (REG) is an AIM listed UK focussed multi-divisional renewables company.  The Company has four distinct divisions: wind, bio-power, solar and asset management which offer multiple revenue streams.  REG currently operates 111MW of power in UK and it is the Company's strategy to grow its portfolio to 300MW across its four divisions in the next three years.

 

REG Windpower: Currently operates 11 wind projects in Cambridgeshire, Cornwall, County Durham, Yorkshire, Lancashire, Cumbria and Gwynedd, with a total capacity of 34.7MW.  REG has a growing portfolio of wind sites ranging in size from single turbine sites to six turbine wind farms. It has recently signed an agreement with Gamesa Eólica, S.L, a leading global wind turbine manufacturer, to supply 19 wind turbines for five new wind farm sites which once in operation will see wholly owned wind power operations almost double to 72.7MW.  Furthermore REG has approximately 200MW of wind projects in the planning system awaiting consent.

 

REG Bio-Power UK Ltd: Generates renewable energy through a patented bioliquid recovered from used cooking oil.  REG operates 26MW in the UK to generate power and heat. Projects generate income from sale of power; ROCs, LECs and embedded benefits; and contracts with the National Grid STOR service.

 

REG Solar:  Solar power generation in the UK, REG operates 4.5MW solar PV on behalf of BlackRock through its Asset Management division. REG has a further 61.6MW consented or in procurement.

 

REG Asset Management:  Full spectrum construction and asset management of wind and solar projects on behalf of third parties in the UK.  REG has 60.5MW of projects managed for BlackRock - 45MW (+10MW pipeline) wind and 4.5MW solar with management fees linked to % of revenue generated per project.

 

Furthermore REG works with best-in-class blue chip partners, including BlackRock, the world leading fund management group, Caterpillar, the world leading engineering group, and Veolia, the UK leader in environmental solutions, to deliver its diversified and profitable portfolio.

 

Headquartered in Jersey, REG was admitted to trading on AIM, a market operated by the London Stock Exchange, in May 2005 (AIM: WIND).


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