TotalEnergies has agreed to acquire West Burton Energy, the holding company of the 1.3GW West Burton B gas-fired power plant in England, from EIG for £450m.
Located in Nottinghamshire, the power plant features three combined-cycle gas turbines (CCGT).
Commissioned in 2013, the West Burton B CCGT power plant delivers electricity to approximately 1.8 million households. In 2018, a 49MW battery storage system was added to the CCGT power plant.
According to TotalEnergies, the acquisition of the West Burton B facility will enhance its renewable energy generation capacity in the UK. The company will add a flexible asset that reduces intermittency to ensure a reliable power supply for customers.
Besides, the transaction will strengthen TotalEnergies’ trading capabilities in the UK’s electricity and gas markets. This will allow the French energy firm to provide more affordable, available, and sustainable energy to its 300,000 electricity and gas customer sites.
TotalEnergies will also supply the plant using its substantial natural gas production operations in the country, where it manages 30% of the projects.
The company said that the acquisition will enable its global flexible power generation portfolio to reach nearly 7GW of gross capacity.
Considering its renewable portfolio in the UK, with 1.1GW of gross installed capacity and 4.5GW under development, TotalEnergies has determined a need for 700MW of gas-based power generation capacity.
As a result, the company plans to divest 50% of the acquired assets.
TotalEnergies gas, renewables and power president Stéphane Michel said: “This acquisition contributes to our integrated strategy in the UK, which combines renewable and flexible generation capacity.
“It complements our 1.1GW Seagreen offshore wind farm and allows us to accelerate development of our Integrated Power activities in power generation, trading and marketing in this market.”
The transaction requires approval from the relevant authorities.
