Stobart Group eyes lion’s share of UK biomass and to become power plant operator

0

StobartBioStobart Group has set its sights on handling 60% of UK biomass. Energy is the logistics firm’s biggest revenue stream and the group expects further growth as new biomass plants are commissioned. It sees potential to manage and operate more of those plants in the future.

Posting full year results to the end of February, the group increased revenue by 2.1% to £129.4m and underlying earnings (Ebitda) by 16.8% to £35m.

Energy earnings increased by 12.7% to £10.2m despite revenues falling by 7.8% to £67.7m.

CEO Andrew Tinkler said the foundations had been laid to deliver long term fuel supply contracts to over 20 UK plants and that its major storage processing sites, supporting biomass plants at Widnes, in which Stobart has a 40% stake, and Tilbury, were now up and running.

“Development of other processing sites at Port Clarence and Rotherham is also underway. A full management team is now in place, focused on professionalising the industry to deliver long-term sustainable supply and management of predominantly recycled wood under long-term index-linked contracts,” added Tinkler.

Deputy chief executive Warwick Brady anticipated “a few challenges” for the business given the number of new developments coming on stream over the next 12 months, but was confident of hitting overall targets.

Related stories:

BEIS publishes long awaited biomass report

Government tilts biomass support in favour of large plant

The heat is on, but which technologies will decarbonise heat at lowest cost?

Businesses rush to secure biomass RHI rates ahead of tariff cuts

Heatpumps, biomass and CHP top firms’ heat investments for 2016

CHP behind 6% of UK electricity, could do more

Councils step up heat network plans

Firms with CHP generators could be paid to stop exporting power

Click here to see if you qualify for a free subscription to the print magazine, or to renew.

Follow us at @EnergystMedia. For regular bulletins, sign up for the free newsletter.

LEAVE A REPLY

Please enter your comment!
Please enter your name here