Sembcorp unveils plans for first ever energy-from-waste facility

Overall investment is estimated at S$473.5m.

According to DBS, Sembcorp announced that it will be developing a new energy-from-waste facility in its UK industrial site in Teeside. 

This facility is Sembcorp’s first energy-from-waste facility outside Singapore, and will be capable of producing up to 49MW of gross power or 190 tonnes per hour of steam, using up to 450k tonnes of municipal and commercial waste per year. 

The new facility will be developed via a 40:40:20 joint venture among Sembcorp, SITA UK (part of SUEZ ENVIRONMENT) and ITOCHU Corporation.

Here's more from DBS:

Besides the energy-from-waste facility, the JV will also develop a waste transfer station in Knowsley, Merseyside, to transport the waste by rail from Merseyside to the energy-from-waste plant in Teesside.

Both facilities are expected to be operational in 2016, and will be developed under a build, own, operate and transfer arrangement with the Merseyside Recycling and Waste Authority for a period of 30 years.

The total investment for both the energy-from-waste facility and waste transfer station amounts to approximately £250m (c.S$473.5m), which will be funded through a long-term non-recourse project finance loan, an equity bridge loan, shareholder loans and equity.

Financial close of the project is expected in the second half of 2013 or early 2014. Sembcorp’s equity investment for this project is £21.9m (c. S$41.5m). This will be internally funded.