Under the terms of the agreement, Drax will pay £157.2 million in phased installments between 2025 and 2028, depending on construction milestones and Apatura’s delivery of the project. The acquisition of the first two projects is expected to be completed in 2025, while the third will be completed in the first quarter of 2026.
According to the company, the 260 MW, two-hour (520 MWh) BESS portfolio includes two sites in Scotland and one in Northern England, with construction planned for 2026 and the first site to be online in 2027.
“This acquisition marks our first investment in short-term storage as part of our FlexGen portfolio,” said Will Gardiner, CEO of Drax Group. “Combined with our sustainable energy storage, flexible generation and renewable biomass generation, we will be able to provide 4.4 GW of available generation to meet demand.”
The acquisition, financed from cash and existing facilities, aligns with Drax’s flexible energy generation (FlexGen) strategy, increasing short-term and rapid response capacity. Drax also has an option on a further eight sites developed by Apatura with a total capacity of 289 MW, the company said.
Drax’s FlexGen portfolio currently includes long-duration pumped storage, hydro and open cycle gas turbines (OCGTs), but no short-duration BESS assets. The company views the two-hour systems as a strategic entry into rapid response storage. Once operational, the BESS projects will bring Drax’s FlexGen portfolio to 1.8 GW across nine UK sites, alongside 2.6 GW from Drax Power Station, for a total of 4.4 GW of available generation.
