Energy storage developer Statera Energy has announced that it has secured a total of £395 million in finance for a major battery energy storage system (BESS) and generation project.
The Thurrock Flexible Generation project, which is made up of a 300MW/600MWh BESS and a 450MW flexible generation development, has now reached financial close through debt facilities provided by a syndicate of six energy and infrastructure finance banks. The banks involved include well-known names, including Lloyds Bank, which served as the structuring bank for the deal, alongside Natixis, NatWest, Santander, SEB, and Siemens Financial Services through Siemens Bank.
Statera Energy landed a £144 million debt financing deal in November 2023 and has now secured an additional £251 million, bringing the 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 well underway, with the storage portion of the project set to be energised before the end of this year. Once complete and energised, Thurrock Storage will be the largest operational BESS in the UK; according to Statera, it has three times the capacity of the next-largest operational BESS in the country. Early construction works for the flexible generation portion of the project began earlier in the autumn; an expected connection date has not yet been revealed.
Statera’s founder and CEO Tom Vernon thanked the finance syndicate and optimisation partner Statkraft, adding: “The scale of this financing represents a significant milestone for Statera. Once operational, these will be the largest battery and flexible generation projects in the UK, at 600MWh and 450MW, respectively. Thurrock Power and Thurrock Storage will provide the critical grid balancing capacity required to support the UK’s transition to a renewable-led energy system.”
Representatives from the various banks in the syndicate expressed their enthusiasm for 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 critical for the UK in enabling greater flexibility and resilience to the UK grid”, and director of specialised and project finance at Santander UK, Jonathan Corcoran, calling the project “a perfect example of how we help businesses thrive”.
Another big win for Statera Energy
The conclusion of this finance deal represents the latest cause for celebration in what had been a strong year for Statera Energy.
At the beginning of August, Statera Energy secured planning consent for a major BESS development in Weymouth, the 400MW/2,400MWh Chickerell BESS. Despite local concerns of a fire risk, neither Dorset & Wiltshire Fire and Rescue Service nor the Environment Agency objected to the development of the 6-hour duration BESS. This project is set to connect to the grid in 2028 at the earliest, although its size could see this date pushed back.
In March, the company received the green light for another project in the southwest of England, a 290MW/1,740MWh development near Exeter, East Devon. Notably, this is also a 6-hour duration project, when most UK developments are 1 or 2-hour systems. The Exeter BESS is estimated to be connected to the grid in 2027.
Meanwhile, in Oxfordshire, Statera has submitted a planning application for a 500MW BESS at the Culham Campus science facility, home of the UK Atomic Energy Authority (UKAEA). If approved, the scheme would support the expansion of the UKAEA’s research facilities on the campus.
