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Spencer Group to build £200M power plant

Spencer Group is to oversee construction of a 25MW gasification plant in Hull, after finance for the £200M scheme was finalised.

The Hull-based engineering firm has been working on the project since its conception in 2010, investing millions though Energy Works, established to take the project from development through to delivery and operations. The funding comes from three new equity partners in Energy Works: Bioenergy Infrastructure Group, Noy Fund and Hancock Natural Resource Group. Spencer will also remain a shareholder in the business.

Spencer is to carry out the civil works and manage the construction phase and subsequent operations. M+W Group has signed an EPC contract to build the advanced gasification power plant.

power plant Hull

Source: Energy Works

The development as seen from Cleveland Street in Hull.

It’s being built under the government’s Contracts for Difference (CfD) arrangements, where a guaranteed price is given for the renewable energy produced until 2033.

Construction will begin in the New Year and it’s expected the plant will be operational by January 2018. Energy Works will be built on an eight-acre riverside site in Cleveland Street, Hull.

power plant Hull

Source: Energy Works

The Energy Academy is in the foreground. This is a partnership with the University of Hull for postgraduate study of renewable energy technologies.

Spencer Group and Energy Works chairman Charlie Spencer said: “We are delighted to have reached financial close and to have agreed a contract for the construction of Energy Works, which will enable us to move into the delivery phase of this pioneering development.

 “A development of this scale and complexity naturally poses many challenges and all those involved are to be congratulated for their commitment and perseverance in taking the project through to this point.

“We are very pleased to have assembled an impressive group of partners to fund and deliver Energy Works, enabling us to establish a facility with outstanding green credentials in our home city, which is becoming recognised as the UK’s leading centre for renewable technologies.”

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