{"id":2147805,"date":"2025-12-11T07:41:03","date_gmt":"2025-12-11T07:41:03","guid":{"rendered":"https:\/\/www.thebusinessdesk.com\/yorkshire\/?p=2147805"},"modified":"2025-12-11T07:41:03","modified_gmt":"2025-12-11T07:41:03","slug":"drax-powers-ahead-with-data-centre-move","status":"publish","type":"post","link":"https:\/\/www.thebusinessdesk.com\/yorkshire\/news\/2147805-drax-powers-ahead-with-data-centre-move","title":{"rendered":"Drax powers ahead with data centre move"},"content":{"rendered":"
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Power plant operator Drax has revealed plans for a 100MW data centre at its North Yorkshire power station site as it moves deeper into storage, digital infrastructure and flexible clean energy.<\/p>\n<\/div>\n

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The data-centre project – which could scale to\u00a0<\/span>more than 1GW\u00a0<\/span>– signals a sharp pivot for a business long associated with traditional power generation but increasingly aligned with the sectors shaping the UK\u2019s next decade of growth.<\/p>\n<\/div>\n

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In a bullish trading statement Drax said it expects to deliver\u00a0<\/span>full-year 2025 adjusted EBITDA at the top end of market expectations, after strong performances from FlexGen, pellet production and biomass generation. The momentum, it said, reflects a company now positioning itself at the heart of UK energy security and grid-scale flexibility.<\/p>\n<\/div>\n

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Chief executive Will Gardiner called the year \u201cpivotal,\u201d describing Drax as entering a period of\u00a0<\/span>\u201cdisciplined growth and long-term value creation.\u201d<\/p>\n<\/div>\n

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Drax is targeting\u00a0<\/span>\u00a3600m – \u00a3700m in annual adjusted EBITDA post-2027, supported by a pipeline of flexible generation, biomass assets and the rapidly expanding storage portfolio it sees as central to the UK\u2019s clean-energy transition.<\/p>\n<\/div>\n

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Between 2025 and 2031, the group expects to generate\u00a0<\/span>\u00a33bn in free cash flow, underpinning more than\u00a0<\/span>\u00a31bn in shareholder returns\u00a0<\/span>and providing up to\u00a0<\/span>\u00a32bn for new investments, including data-centre development and renewable flexibility.<\/p>\n<\/div>\n

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Confidence is reinforced by the\u00a0<\/span>\u00a32.3bn of forward power sales\u00a0<\/span>already contracted through to Q1 2027.<\/p>\n<\/div>\n

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Its capital-return push is also accelerating. Drax has completed a\u00a0<\/span>\u00a3300m share buyback\u00a0<\/span>and has already begun a further\u00a0<\/span>\u00a3450m programme.<\/p>\n<\/div>\n

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Storage remains one of the company\u2019s biggest strategic bets. Drax is now building out a\u00a0<\/span>gigawatt-scale BESS pipeline, including the purchase of three battery projects totalling\u00a0<\/span>260MW\u00a0<\/span>for\u00a0<\/span>\u00a3157.2m announced in October.<\/span>.<\/p>\n<\/div>\n

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Gardiner said Drax is \u201cuniquely positioned to support the UK\u2019s transition to a low-carbon future while generating sustainable returns,\u201d adding that the move into storage and digital-aligned energy capacity represents \u201cthe next stage of Drax\u2019s evolution.\u201d<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Power plant operator revealed plans for a 100MW data centre as it moves deeper into storage, digital infrastructure and flexible clean energy.<\/p>\n","protected":false},"author":271992,"featured_media":2136896,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[53262,120781],"coauthors":[137100],"class_list":["post-2147805","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-news","category-markets","tag-featured-story","tag-yorkshire"],"yoast_head":"\nDrax powers ahead with data centre move | TheBusinessDesk.com<\/title>\n<meta name=\"description\" content=\"Power plant operator revealed plans for a 100MW data centre as it moves deeper into storage, digital infrastructure and flexible clean energy.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" 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