Energy Storage Developer Statera Energy Secures $377 Million Debt Funding

Statera Energy, a UK-based energy storage and flexible generation developer and operator, secured up to £300 million (~$377 million) in debt financing led by Lloyds Bank.

The first £144 million (~$180 million) of the financing will be used to deliver Statera’s 300 MW (~600 MWh) Thurrock Battery Energy Storage System (BESS). The balance will fund the development of a 270 MW flexible generation plant which secured a capacity market contract early this year.

The BESS project, located near Greater London, is the first stage of Statera’s wider Thurrock development plans to begin construction. Statkraft provided a long-term revenue floor that supported the financing of the deal.

“Thurrock BESS project is strategically located near to Greater London providing further energy system resilience to this key demand center. System flexibility in the form of energy storage technologies is a crucial part of achieving energy security, decarbonizing our power system, and enabling the UK’s transition towards net zero,” said Statera’s CEO and Founder, Tom Vernon.

Lloyds Bank acted as the Sole Structuring Bank for the debt financing facilities and Mandated Lead Arranger and Hedge Provider in a multi-bank transaction, which included NatWest, Santander, and Siemens Financial Services through Siemens Bank.

Recently, EQT, a private equity firm, through its EQT Infrastructure VI fund, agreed to acquire Statera Energy from InfraRed Capital Partners.

According to Mercom’s 9M and Q3 2023 Energy Storage and Smart Grid Report, energy storage project funding in 9M 2023 saw a record $6.8 billion raised in 26 deals compared to $5.4 billion in 34 deals in 9M 2022.

Aypa Power, a Blackstone portfolio company that develops, owns, and operates utility-scale energy storage and hybrid renewable energy projects, secured $550 million in debt and tax equity financing for energy storage projects. This portfolio financing supports two projects; the Cald project, which is a 100 MW / 400 MWh standalone battery storage project in urban Los Angeles, California.