SENS secures a new battery storage facility outside Nyköping with a potential capacity of up to 40MW
Sustainable Energy Solutions Sweden Holding AB ("SENS" or the "Company") announces today that the Company has secured a new battery storage project through the acquisition of 40% of the shares in the relevant project company from the landowner Christineholm Förvaltnings AB ("CFA"), with the objective of establishing a battery plant with a planned capacity of 40 MW outside Nyköping.
SENS has further strengthened its position in the battery storage sector by securing a land lease for another large-scale battery park. This is by entering into a shareholder agreement with CFA, which owns 100% of the project company Spånga Volt AB. Through the share purchase agreement, SENS acquires 40 percent of the shares in Spånga Volt and will lead the development of the necessary components to establish a battery facility. The ownership of Spånga Volt will be CFA 60 percent, and SENS 40 percent, after the share acquisition.
Johan Wachtmeister, owner CFA, comments::
"I am very happy that Christineholm Förvaltning and SENS are starting a collaboration around battery storage. I see an opportunity for us to contribute to a more stable electricity grid in the green transition that society in general is undergoing. It is also very important for our own areas of operation, not least the development of our business cluster which continues to grow. A stable and modern electricity supply has rarely been more important, and it's honouring to be part of this journey."
With this new agreement, SENS has expanded its project portfolio. Together with previously communicated battery projects, SENS now has the potential to commission up to 130 MW of battery storage.
Henrik Boman, CEO of SENS, comments:
"This cooperation with Christineholm Förvaltnings AB is part of our continuous endeavour to strengthen our position within the battery storage sector. Through such collaborations, we ensure that we can meet the growing demand for renewable energy storage in an efficient and sustainable way. We look forward to working closely with Spånga Volt to realize our common goals.”
Based on previous transactions in the market of battery storage, the market value for project rights at Ready-to-build status varies between SEK 250-500 thousand/MW. Assuming that this project is within that price range, given the specific conditions of the project, the estimated value ranges between SEK 10 - 20 million, provided that all project rights are secured. It should be noted that the share purchase agreement or the lease agreement does not generate any immediate income for SENS today, but only occurs when SENS has entered into a sales agreement and/or development agreement for the project with a long-term owner/investor.