FINANCING: Debt & equity raise in process for 364MW Dutch battery storage project

Dutch developer Lion Storage has kicked off an equity and debt raise for its flagship 364MW/1457MWh battery storage project in the south of the Netherlands.

The group’s Mufasa project is located in the Vlissingen port area, will have direct access to TenneT's high voltage grid, is situated close to several large-scale hydrogen electrolysis and offshore wind projects under development, and is due online in 2026.

Lion has recruited Santander as its financial advisor on the capital raise and has already stepped up talks with potentially interested equity investors over the sale of a stake in the scheme.

Lender soundings are at an earlier stage but are believed to have already begun, with Dutch lenders such as Rabobank, ABN Amro and ING all seen as potentially interested in participating in the transaction, among others.

Lion Storage is mooted to be looking to have agreed terms for the debt and equity raise by the end of June. The project's total capex is not yet known but is believed to be very approximately in the EUR 300m range.

Once online, the project will operate on a full merchant basis in wholesale power and ancillary services markets, offering system services ensuring system balance, grid stability and long term security of supply.

*This story was originally published exclusively for NPM Europe subscribers.

NPM Europe is a leading data, intelligence and events company covering the European renewable energy market for the development, financing, M&A and corporate community.