Tidal power company, Atlantis, has entered into a partnership with investors, Equitix, whereby the investors expect to acquire at least 25% of each Atlantis project. This represents an investment of more than £100m.
The energy company has said the new partnership will “advance Atlantis’s portfolio of tidal power projects in Scotland.” The Atlantis investment includes £51m already committed to construction on the first phase of its Meygen project in the Pentland Firth, which is expected to start generating electricity by the end of the year. Atlantis also expanded its tidal electricity portfolio by acquiring two projects from Scottish Power Renewables last year.
The company’s current portfolio represents potential capacity of almost 650MW and they expect committed capital investment of almost £500m for construction of the company’s Scottish portfolio. This will be raised from a combination of debt, equity and grants, over the next two years. This includes the £51m committed to the MeyGen project as well as the 100MW development at the Ness of Duncansby in the Pentland Firth, and a 10MW project at the Sound of Islay in western Scotland.
Tim Cornelius, chief executive of Atlantis said: “This agreement with Equitix is an important step for us in engaging a partner with both vital experience of large infrastructure projects and access to extensive capital, coupled with a desire to work with us to accelerate the further development of the UK’s tidal power industry.“
Equitix founding director, Nick Parker said: “We are delighted to be entering into this partnership agreement with Atlantis, the clear market leader in the tidal energy industry which secures access to a pipeline of primary investment opportunities and has tremendous growth potential in the UK.”