Close Brothers Leasing provides Terra Firma Energy with £10M funding for Reserve Energy Project

May 9, 2024

Close Brothers Energy team has reached financial close on a lend worth in excess of £10m to Terra Firma Energy for a considerable 20MW ‘gas to grid’ Reserve Energy Project in Wrexham, North Wales.

This is the second project the team has funded following the now fully operational 20MW project in St Helens, Lancashire.

The Wrexham site – which is expected to go live in mid-2024 and employs Finning (Caterpillar) gas engines – will be principally used as a ‘standby’ project operating at peak times to ensure security of energy supply to the local area.

About gas peaking plants

Gas peaking plants – or ‘peakers’ – are essential in supporting the UK’s transition to renewable energy. Instantly responding to demands on the grid, they provide a reliable and fast response to ensure grid resiliency. With the intermittency of renewable generation, peakers provide the flexibility of additional energy when required and on demand.

Gareth Palmer, Head of Sales for the Energy team at Close Brothers Leasing, said: “We’re delighted to continue our support of Terra Firma Energy and look forward to this site going live next year.

“Both projects are considerable and will ensure the areas they’re located in will have consistency of supply, regardless of weather conditions.

“This particular project benefits from a 15-year National Grid Capacity Market Contract where the project is paid to be available and ready to be switched on when National Grid becomes aware there is going to be a gap between electricity demand and available supply.”

William Davies, Managing Director of Terra Firma Energy, added: “As our portfolio of Gas peaking plants are developed and come online, they will play a vital role in supporting the UK’s energy mix, and our agreement with Close Brothers Leasing will be another vitally important step on the UK’s journey to Net Zero, which is focused on security of supply and a reduction in overall carbon emissions.

“Ours is a strong partnership and I look forward to working together with the Energy Team at Close Brothers Leasing in the coming months and years.”