Energy storage developer Statera Energy has announced that it has secured a total of £395 million in funding for a major battery energy storage system (BESS) and generation project.
The Thurrock Flexible Generation project, which consists of a 300MW/600MWh BESS and a 450MW flexible generation development, has now reached financial close via debt facilities provided by a syndicate of six energy and infrastructure finance banks. The banks involved include household names including Lloyds Bank, which acted as the structuring bank for the deal, alongside Natixis, NatWest, Santander, SEB and Siemens Financial Services through Siemens Bank.
Statera Energy completed a £144 million debt financing deal in November 2023 and has now secured a further £251 million, bringing its total debt facility to £395 million. The syndicate’s financing takes the form of a term loan, a VAT facility and a liquidity facility.
Construction and development work on the project is already in full swing and the storage portion of the project is expected to be activated before the end of this year. Once completed and powered, Thurrock Storage will be the largest operational BESS in Britain; according to Statera, it has three times the capacity of the country’s second largest operational BESS. Initial construction work on the flexible generation portion of the project began earlier in the fall; an expected connection date has not yet been announced.
Statera’s founder and CEO Tom Vernon thanked the financial syndicate and optimization partner Statkraft, adding: “The size of this financing represents a significant milestone for Statera. Once operational, these will be the largest battery and flexible generation projects in Britain, at 600 MWh and 450 MW respectively. Thurrock Power and Thurrock Storage will provide the critical grid balancing capacity needed to support the UK’s transition to a renewable energy-based energy system.”
Representatives from the various banks in the syndicate expressed their excitement at the development, with NatWest’s director of specialist asset and project finance Oliva Satturley noting that “financing assets such as Thurrock Storage and Thurrock Power remains vital for the UK to achieve a enable greater flexibility and resilience. the UK grid”, and director of specialist and project finance at Santander UK, Jonathan Corcoran, who called the project “a perfect example of how we help businesses thrive”.
Another big win for Statera Energy
The completion of this financing agreement is the latest cause for celebration in what has been a strong year for Statera Energy.
In early August, Statera Energy secured planning permission for a major BESS development in Weymouth, the 400 MW/2,400 MWh Chickerell BESS. Despite local concerns about fire danger, neither the Dorset & Wiltshire Fire and Rescue Service nor the Environment Agency objected to the development of the six-hour BESS. This project will not be connected to the electricity grid until 2028 at the earliest, although this date may be postponed due to its size.
In March, the company was given the green light for another project in south-west England, a 290 MW/1,740 MWh project near Exeter, East Devon. Notably, this is also a six-hour project, while most UK developments are one or two hour systems. The Exeter BESS is expected to be connected to the electricity grid in 2027.
Meanwhile, in Oxfordshire, Statera has submitted a planning application for a 500MW BESS at the Culham Campus science facility, home to the UK Atomic Energy Authority (UKAEA). If approved, the plan would support the expansion of UKAEA’s research facilities on campus.
