SENS acquires battery and underground pumped storage project in Finland
Sustainable Energy Solutions Sweden Holding AB (publ) (“SENS” or the “Company”) today announces that the Company has acquired 100% of two sub-projects within the energy storage project in Pyhäsalmi, Finland. The acquisition includes an 85 MW battery energy storage system (BESS) and a 75 MW underground pumped storage facility (UPHS), both located in Callio Business Park.
In May 2024, SENS entered into a principal agreement with Callio Pyhäjärvi, a Finnish multidisciplinary development company, to provide the technical solutions to develop an energy storage solution at the Pyhäsalmi mine in Finland. With today's acquisition, SENS secures full ownership of two of the key sub-projects within this partnership: an 85 MW battery storage system (BESS) and a 75 MW underground pumped storage facility (UPHS). Both projects already have ready-to-build status, and following the acquisition the projects will move forward towards completion on different time-scales with the help of several investors an our aim is to fully finance both projects within a short time frame.
The BESS project, which is now ready to start the construction phase, is expected to be operational by 2025 and will supply capacity to both the frequency and arbitrage markets. This will enable fast revenue streams by utilizing already existing infrastructure.
The underground pumped storage power plant will utilize the existing Pyhäsalmi mine structure and its synchronized energy storage system. With a storage capacity of 530 MWh and a maximum output of 75 MW, the plant is designed to balance energy supply and demand. Furthermore, with this acquisition, SENS enables the opportunity to utilize the €26,3 million subsidy, which was granted to the UPHS investment from the Ministry of Economic Affairs and Employment (MEAE) of Finland in September 2021.
The ambition is to have a consortium for financing in place end 2024, with construction commencing during 2025.
Henrik Boman, CEO of SENS, comments:
“We are pleased to complete the acquisition of the battery and underground pumped storage projects in Pyhäjärvi, a key step in our international expansion strategy. This investment strengthens our presence in the Nordic energy market and supports our commitment to sustainable energy solutions. By leveraging advanced energy storage technology, we aim to contribute to the transition to cleaner energy while collaborating with local stakeholders to benefit the community.”
Henrik Kiviniemi, Town manager of Pyhäjärvi and CEO of Callio Pyhäjärvi, comments:
“SENS’s full acquisition of the battery and underground pumped storage projects in Pyhäjärvi marks an important development for our community and for Callio Business Park. This initiative aligns with our commitment to sustainable energy solutions and supports our goals for being the most attractive partner in green energy market across the industry boundaries. The integration of these energy storage systems is expected to improve local infrastructure and contribute to the ongoing green transition in the town of Pyhäjärvi and in the region. We look forward to the future economic and environmental benefits this partnership will bring to our municipality.”
The information was submitted for publication through the agency of the contact person set out below on October 2, 2024 at 12:00 a.m. CET.