Energy Works selects joint venture to build pioneering Hull power plant
THE company driving forward the development of a pioneering £150m green energy power plant in Hull has selected a joint venture partnership to design, build and operate the facility.
Hull-based specialist engineering company Spencer Group and Lancashire-based MWH Treatment, part of US-based MWH Global, have combined to win preferred bidder status for the Energy Works development, which will be the first of its kind in the UK.
The development will see the creation of more than 200 jobs during construction, which is due to begin early in 2015 and completion scheduled by March 2017.
Energy Works is one of the key projects in the ambitious City Plan to create 7,500 jobs over the next decade, in part through establishing Hull as the UK’s leading green city.
The first phase of the development will be an innovative energy recovery facility that will generate 28MW of electricity by an advanced gasification process. It will provide sufficient electricity to power 43,000 homes, by processing materials which would otherwise be sent to landfill, while also reducing dependency upon imported fossil fuels. Phase two of the scheme will see the later addition of an Anaerobic Digestion plant and materials processing facilities.
Energy Works project director, Phil Morland, said: “We are pleased to announce the joint venture of Spencer Group and MWH Treatment as our preferred bidder. The two companies are a good fit, with complementary capabilities, and offer the ideal partnership to deliver this ground-breaking project.
“There is a clear synergy between the partners – Spencer has vast experience in executing complex multi-disciplinary energy projects and a track record of delivering large civil, electrical and bulk handling works, while MWH brings a wealth of experience in energy recovery projects and a strong thermal process capability.
“This is another major milestone for Energy Works, following securing planning permission, a £19.9m capital grant, and a grid connection agreement.”
Energy Works (Hull) is in advanced discussions with feedstock suppliers and has appointed BDO as financial advisor. BDO will support Energy Works in achieving financial close on the project this autumn, working closely with legal advisors Addleshaw Goddard.
Energy Works (Hull) is also exploring the opportunity to establish a neighbouring data centre, This further potential investment would be in the region of £20m.
