Business
Construction Resumes on NI Assets
Construction Resumes on NI Assets.
About this update from Gore Street Energy Storage Fund Plc
[{"type":"text","content":"\n \n \n RNS Number : 5526M\n Gore Street Energy Storage Fund PLC\n 12 May 2020\n \n \n \n \n 12 May 2020\n \n \n Gore Street Energy Storage Fund plc\n \n \n (the 'Company' or 'Gore Street')\n \n \n Construction Resumes on NI Assets\n \n \n Resilient Performance Across Operational Assets\n \n \n Gore Street, London's first listed energy storage fund, is pleased to announce that construction has resumed on the Company's two 50MW assets in Northern Ireland, adhering to strict social distancing measures stipulated by the UK Government. Yesterday NEC, as the main Engineering, Procurement and Construction (\"EPC\") contractor, safely recommenced the programme on both the Mullavilly and Drumkee sites. \n \n \n Due to the Company's conservative prior assumptions, these assets remain on track to become fully operational in time to secure the valuable DS3 uncapped contracts in April 2021. Construction of the Northern Irish assets is scheduled to be completed in December 2020, allowing sufficient time to complete necessary asset testing before the assets go online.\n \n \n As previously guided, the DS3 contracts available for these assets have highly attractive return profiles likely to be considerably higher than the Company's 10% unlevered target IRR for portfolio assets.\n \n \n Separately, there has been no change to the estimated completion date of the Company's two 30MW assets under construction in the Republic of Ireland.\n \n \n Alex O'Cinneide, CEO of Gore Street Capital, the Company's investment adviser commented:\n \n \n \"We are delighted that construction has resumed so quickly and safely at the Company's assets in Northern Ireland and that we remain on track for receiving revenue under the DS3 contracts as per our original acquisition announcement. The planning to enable us to safely resume started from the day after we closed the sites and that effort has delivered this excellent outcome. Our assets perform an essential and increasingly important service to balance grid supply in multiple markets, and those services are only expected to increase in importance. Accordingly, performance across all the Company's operational assets remains resilient and they continue to produce cash returns in line with expectations. Further, our pipeline of potential acquisitions remains robust and we look forward to updating shareh...