Xlinks, a provider of sustainable energy solutions, announced the closing of its new development funding round, raising £30 million (~$37.7 million). The investment comes from British utility Octopus Energy and the Abu Dhabi National Energy Company (TAQA) to build the world’s longest subsea power interconnector. The project would link the UK to a wind farm in Morocco.
The investment will go towards running a subsea power cable of 3,800km between the countries, carrying 3.6 GW. The project will see four 3,800km cables built around the Iberian peninsula. These will run from a solar and wind farm on Morocco’s west coast to a connection with the UK power grid in Devon, southwest England. Furthermore, they will regulate power using 20GWh/5GW of battery storage. The cables will also pass through Portugal, Spain, and France, creating a new interconnector that will enhance the security and diversity of the European power grid.
CEO Simon Morrish of Xlinks said: Xlinks’ ambition is to supply British households with secure, affordable, and green energy all year round. With this investment and support from our partners TAQA and Octopus, along with the support from both the UK and Moroccan Governments, we take another step toward achieving that ambition. The huge potential of the Morocco – UK Power Project will help the UK accelerate its transition to clean sources of power, increase energy security and reduce consumer bills.”
The project will supply the UK with 3.6 GW of renewable energy-sourced electricity, equivalent to nearly 8% of the nation’s current demand and enough to power seven million British homes by the end of the decade. It will also reduce the UK’s carbon emissions by 7.6 million tonnes per year, supporting its net-zero target.
According to Mercom’s Q1 2023 Storage and Smart Grid Funding and M&A Report, Corporate funding in Smart Grid came to $1.1 billion in 18 deals in Q1 2023, a 42% decrease compared to $1.9 billion in 23 deals in Q4 2022. In a YoY comparison, funding in Q1 2023 increased by 230% compared to $331 million in 15 deals in Q1 2022.