SAE Renewables Limited (LON:SAE) has taken a significant step forward in its energy ambitions with the receipt of a £1.3 million payment tied to the Uskmouth Battery Energy Storage System (BESS) project. This payment, triggered by the delivery of 10% of the project’s batteries to the site, marks another key milestone for the 460MWh (230MW) project.
Daniel Slater, CFA, Research Analyst at Zeus Capital, views this development positively, stating:
“Successful progress, completion, and operation of the initial 230MW project will help further demonstrate the viability of the other Uskmouth projects in SAE’s portfolio, potentially helping attract new project partners, and possibly beginning to persuade the stock market to attribute more value to the projects in the share price.”
This milestone highlights SAE’s growing expertise in renewable energy projects and boosts its financial position, providing further resources to pursue its innovative BESS and tidal energy portfolios. According to Zeus Capital’s analysis, the Uskmouth site alone has the capacity to accommodate up to 926MW of new BESS projects, with the potential for future expansion of the initial project to 350MW.
Looking ahead, SAE aims to retain equity stakes in future projects, a strategy expected to create long-term value. Alongside its BESS endeavours, SAE also holds the pioneering MeyGen tidal stream project in Scotland, which offers a 6MW capacity with significant expansion potential of up to 59MW under existing Contracts for Difference (CFD) support.
In Closing
The receipt of the final Uskmouth BESS payment underscores SAE Renewables Limited’s commitment to advancing renewable energy solutions. With strategic progress in both battery storage and tidal energy, SAE is poised for long-term success. Investors and stakeholders will be keenly watching the next steps, including the completion of the 230MW project and future developments at Uskmouth and beyond.
