Brockwell Energy Limited were formed in 2017 to raise investment capital to develop an £800 million portfolio of energy projects, predominantly in Scotland, on and around former coal mining sites. The company invests in a wide range of renewable technologies, including onshore wind, Energy-from-Waste (EfW), and other flexible generation assets to support the UK government’s drive towards a low-carbon economy.

At the heart of Brockwell’s mission to produce clean, renewable energy are the communities around its sites. Brockwell is committed that each of its projects brings long-term community benefits such as job creation, land restoration, public access, recreational opportunities, and ecological enhancement.

Brockwell’s latest key project is the North Kyle Wind Farm in East Ayrshire, Scotland, the fully consented CfD backed onshore wind farm in the UK, which will deliver 220.5MW of renewable energy capacity when it becomes operational in September 2025, generating sufficient energy to power 163,000 households. North Kyle has been carefully designed on and around the former Chalmerston, Pennyvenie and House of Water coal mining complexes, a large part of which had been left derelict and unrestored. The wind farm will help fund vital regeneration in the communities surrounding the former mining complex and is estimated to deliver £65 million in community benefit over 40 years.

Seeking financing to build North Kyle Wind Farm, which will see a total investment of £300 million, Brockwell Energy approached NatWest to help structure a suitable funding package.

Based on the financing requirements for the project, NatWest agreed to underwrite £190 million in total, compromising a £163 million Term Loan, a £7.2 million Debt Service Reserve Facility, a £11 million VAT Facility, and a £8.9 million Letter of Credit facility. The financing will help drive the bank’s sustainability agenda and cement its position as a market leader in the Project Finance space.

Apart from its roles of Mandated Lead Arranger, Bookrunner and Sole Underwriter, NatWest also acted as the sole FX Hedge Counterparty, IRS Market Hedge Coordinator and Hedge Counterparty, Facility Agent and Security Trustee. 

Alex Lambie, CEO of Brockwell Energy, commented: “I am immensely proud of our entire Brockwell team, who have delivered this flagship project after many years of diligent planning and design. Not only is the scale of North Kyle of national significance in the push to achieve net-zero targets, but the project also promises to be truly game-changing for local communities.”

Paul Newman, Brockwell Energy’s Commercial Director, added: “We would like to thank our partners for their support in developing this project and look forward to working together to successfully deliver North Kyle through the construction period and into operation. We thank the NatWest team for their excellent guidance and for providing the long-term financing of the project.”

Kristofer Gibson, Infrastructure & Project Finance at NatWest, said: “We’re delighted to support Brockwell Energy with this funding package for the construction of the North Kyle onshore wind farm, which will help to strengthen the UK’s renewable energy capability. This financing is another great example of NatWest’s commitment to actively help build a greener economy and fairer society by providing £100 billion Climate and Sustainable Funding and Financing to our customers by the end of 2025.” 

Image: (C) Brockwell Energy Ltd