- Partners with Atlantis to invest $142 million in projects
- MeyGen expected to start generating in second half of year
Equitix Ltd., an infrastructure-focused fund manager, announced a partnership with tidal-energy developer Atlantis Resources Ltd. to invest 100 million pounds ($142 million) and advise on its five projects in Scotland.
The tidal projects are planned to have a combined capacity of 650 megawatts once complete, Atlantis said in an e-mailed statement. London-based Equitix intends to acquire at least 25 percent of each project vehicle at financial close through its managed funds. It will also work with Atlantis on preparing construction investment.
Atlantis expects that it will need 500 million pounds to build the five projects, which would include a combination of debt, equity and grants. The ratio will vary from project to project, the Singapore-domiciled company said in an e-mailed response to questions.
The first stage of the MeyGen project cost 51 million pounds, financed by 25 percent debt, 40 percent equity and 25 percent grants, it said. The second stage is expected to have 70 percent debt and 30 percent equity. MeyGen is planned to begin generating electricity in the second half of this year.
Atlantis plans to reach financial close for its Sound of Islay project late this year, with construction planned for 2017 and the first power by 2018. The Ness of Duncansby facility should be completed by 2022. Atlantis declined to disclose time lines for the remaining two projects, Brough Ness and Mull of Galloway.