Greenalia, a biomass electric power production plant in Spain’s Galicia region, has secured a senior debt package from Incus Capital to refinance the existing senior debt and mezzanine. The deal was closed on 12 December last year.
The funds were raised to finance the construction of the plant in La Coruña’s municipalities of Curtis and Teixeiro (Galicia, Spain).
The existing senior debt had been provided by EIB, ICO and Santander – with a portion covered by insurance from the Finnish ECA, Finnvera – and a €23 million mezzanine loan was provided by Marguerite II in 2018.
The Curtis-Teixeiro biomass plant has a capacity of approximately 50 MWe, built on a land plot of 103,000m2, and started to produce electricity in 2020.
It is expected to generate 370GWh per year from forest waste collected within a radius of 100 km around the new installation. To produce this energy, the plant uses about 570,000 tonnes of forest biomass a year.
The biomass used by the plant is either FSC or PEFC-certified, according to the organisation.
This project was one of the first to be implemented under the new regulatory framework for the industry approved in Spain in 2013.
Greenalia was the winning bidder in Spain’s first auction for new renewables-based power generation facilities in early 2016, which allowed the Curtis-Teixeiro plant to benefit from a 25-year regulated tariff.
William Pierson, managing partner at Marguerite, said: “We are pleased that Marguerite could provide Greenalia crucial support in providing needed capital for the successful construction of one of the major biomass projects in Spain and secure a successful exit”.
Spain’s Greenalia biomass plant secures refinancing package
