Welsh hydro adds £3m to coffer
Funding round for 600MWh Glyn Rhonwy, cash to cover ground exploration
Developer Snowdonia Pumped Hydro has closed a £3m interim funding round for the 600MWh Glyn Rhonwy pumped hydro project in Wales.
The company said the cash, which came from some 2000 angel investors, will be used to “strengthen its delivery team” and to design and carry out ground exploration works ahead of negotiations with potential construction partners.
The scheme, which is at Llanberis at the foot of Snowdonia and is slated to go live in 2018, was also recently told it is eligible to bid for a 15-year contract to supply grid balancing services under the terms of the UK government’s electricity market reform Capacity Mechanism.
SPH parent Quarry Battery Company was granted planning permission for Glyn Rhonwy in late 2013 and formed SPH to take the project through to completion.
The scheme is expected to employ as many as 300 construction workers at its peak and create up to 30 full-time local jobs once operational.
QBC managing director Dave Holmes said: “The confirmation that we qualify to bid in the auction for a contract within the Capacity Mechanism is a bonus. It provides a significant and welcome addition to our fully worked trading model and means payback on the £100m-plus build cost of the site will be more quickly achieved.
“We believe the UK government now recognises the importance of more storage for the welfare of the economy.”
Holmes said the ground investigations to prove the integrity of the slate geology under the site are expected to begin in spring 2015.
Image: the project site was previously used for minig slate slate (QBC)