Austria esken renewables

Who is Esken renewables?

Esken Renewables, formally Stobart Energy, has long-term contracts to supply 1.7 million tonnes of fuel (mainly waste wood) to biomass plants, generating renewable energy equivalent to the annual domestic electricity needs of 2% of the UK population. It also operates a site in Tilbury which exclusively supplies wood to the nearby biomass site.

What happened to Esken renewables?

On February 2, 2023, the company reported that Esken Renewables’ biomass plant customers had experienced unplanned outages during the winter months, reducing the total volume of waste wood supplied by Esken and the associated gate fee income.

How will Esken renewables perform in 2024?

As a result, Esken Renewables is now expected to deliver EBITDA of circa £19m for the full year. Management expect that normalised plant operating levels and waste wood supply will return in 2024 and, as of March 1, 2023, all plants are operating.

Can Esken renewables be sold?

A sale process for Esken Renewables is currently in progress, with a number of interested parties involved in discussions. A decision has also been taken to explore a sale of the Aviation business, primarily London Southend Airport, with initial planning for this phase having commenced.

Is Esken Renewables a positive outcome?

“The sale of Esken Renewables is a positive outcome set against a persisting challenging market with an increase in interest rates over the last 12 months that has supressed M&A activity.

Does Esken renewables have a sub supply agreement with Chilton biomass?

As announced previously, Esken Renewables also entered into a new sub supply agreement to support the Chilton Biomass plant, replacing the supply provided by the Port Clarence processing and storage site, creating an additional £0.9m of annual recurring EBITDA from April 1, 2023.