Stobart Group has secured £110m in funding for the development of 20MWe, 7.8MWth combined heat and power biomass plant at Widnes, UK.

Funding is being received from the UK Green Investment Bank (GIB) and GCP Infrastructure Investors, as well as other investors.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

The CHP plant will be owned by Mersey Bioenergy (MBL). Stobart Infrastructure will investment £7.5m for a 40% stake in MBL, GIB will own 49% and Burmeister & Wain Scandinavian Contractor will hold an 11% stake.

Danish firm Burmeister & Wain is the engineering, procurement and construction contractor of the plant, which is expected to start operations in December 2016.

"This CHP Plant will generate a strong return on investment in the plant’s equity, as well as providing the group with a 16-year biomass fuel supply contract, a long-term wood drying income stream and valuable engineering revenue on the development."

MBL will build the on a four-acre site, which is part of Stobart Infrastructure’s logistics hub in Widnes.

The plant is expected to become the largest waste wood renewable energy plant in north-west England

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Stobart Energy will supply 146,000t of recycled waste wood to the CHP Plant over 16 years.

The power generated at the facility will be exported to the national grid while the heat will be used by Stobart for its adjacent wood drying facility.

To be built by Stobart Rail, the facility will dry 140,000t of virgin wood material annually and produce 90,000t.

Stobart Energy & Infrastructure CEO Richard Butcher said: "This agreement secures an attractive energy investment for the Group and will contribute 24% of the growth we need to achieve our target of supplying two million tonnes of fuel per annum into the UK biomass market by 2017/18 from one million tonnes per annum at present.

"This CHP Plant will generate a strong return on investment in the plant’s equity, as well as providing the group with a 16-year biomass fuel supply contract, a long-term wood drying income stream and valuable engineering revenue on the development."