SENS signs land lease agreement for a new battery storage facility in Jönåker of 30 MW
Sustainable Energy Solutions Sweden Holding AB ("SENS" or the "Company") announces today that it has entered into a new land lease agreement with a landowner in Jönåker, Södermanland County. This is the third agreement in a short time. The planned battery plant is estimated to have a capacity of 30 MW.
SENS announces today that a land lease agreement for a new battery storage facility has been signed with a landowner in Jönåker, Södermanland County. The goal is to build a battery storage facility with an estimated capacity of 30 MW. Together with the two previously communicated battery projects in Motala and Flen, SENS has now built up a portfolio of development projects with the potential to put 100 MW of battery storage into operation.
Based on previous transactions in the market of battery storage, the market value for project rights at Ready-to-build varies between SEK 250-500 kSEK/MW. Assuming that this project is within that price range, given the specific conditions of the project, the estimated value can be between SEK 8-15m, provided that all project rights are secured. It should be noted that the land lease agreement does not generate any immediate income for SENS today, but only occurs when SENS has entered into a sales agreement and/or development agreement for the project with a long-term owner/investor.
If one applies the above valuation methodology to the entire portfolio, assuming that the three projects will obtain the necessary project rights, it implies a total value of SEK 25-50m in the event of the possible sale of the project rights at Ready-to-build.
Henrik Boman, CEO of SENS, comments:
“Signing these leases are key steps in our strategy to establish SENS as a leading player in the battery storage sector. The several land lease agreements signed in a relatively short period is a result of hard and structured work. We look with great optimism to the future and are determined to continue the success we have already achieved. This, in combination with our operations in long-term storage in mines and production from solar parks, makes SENS' business areas come out with great attention by national and international players"
For further information contact:
Henrik Boman, CEO; Phone: +46 (0)70 224 63 61
The information was submitted for publication through the agency of the contact person set out above on September 13, 2023 15:00.
About SENS
Sustainable Energy Solutions Sweden Holding AB (publ)(SENS), provides sustainable energy solutions enabling the transition to a fossil-free and CO2 neutral energy mix both locally and internationally. SENS develops, designs, constructs and sells large-scale energy projects combining renewable energy sources with next generation energy storage technologies such as underground pumped hydro storage (UPHS) and/or battery energy storage systems (BESS). The company also conducts technical advisory consultancy services within energy storage and energy systems optimisation. The company is listed on NGM Nordic SME under the short name SUST.