Pulse Clean Energy has secured a £52.5 million financing package for its Upper Boat synchronous condenser project in South Wales. The financing, provided by NORD/LB, represents one of the largest transactions for a single synchronous condenser project in the UK. The deal unlocks capital that Pulse will redeploy into its growing BESS pipeline, as it continues to scale operations.
Upper Boat is currently under construction, with energisation of the first of two connections expected later this year. The project forms part of the National Energy System Operator’s (NESO) Pathfinder 3 programme, set up to procure critical grid stability services from the market. Overall, Pathfinder 3 projects are projected to deliver over £14 billion in consumer savings between 2025 and 2035.
As fossil fuel generators retire from the network, synchronous condensers provide inertia to the electricity system and directly replace the stabilisation capacity that traditional generators provide, without burning fuel or producing emissions. NESO’s most recent stability procurement round awarded 7.3GVAs of contracts exclusively to synchronous condensers, reflecting the growing importance of this technology as the UK decarbonises its power system.
Alongside grid stability, flexible storage capacity is increasingly vital as more intermittent renewable energy sources come online. NESO forecasts the UK will need at least 50GW of energy storage capacity by 2050, with battery storage playing a significant part in meeting this.
This transaction further strengthens a valued partnership with NORD/LB, which supported Pulse Clean Energy’s £220 million refinancing last year. Its expertise in grid services, reflects growing institutional confidence in clean energy infrastructure.
Nicola Johnson, CFO at Pulse Clean Energy, said, “This financing is a significant milestone – not just for Upper Boat, but for what it enables Pulse to achieve more widely. We’re really pleased to have completed another transaction with NORD/LB, whose expertise and continued partnership has been invaluable. The UK’s energy transition requires new infrastructure across every layer of the system, and ultimately that means more affordable, cleaner energy for consumers.”
“Synchronous condensers have an important role to play in supporting grid stability alongside growing renewable capacity, and we’re proud to be backing infrastructure that will help enable a more resilient, lower-carbon energy system in the UK. We look forward to continuing to work together with Pulse Clean Energy on future projects that help drive the UK’s renewable energy transition,” says Niels Jakeman, Head of Energy Origination Europe at NORD/LB.
Pulse Clean Energy was advised by Eversheds Sutherland as legal counsel, with Watson Farley & Williams acting as the lender’s legal counsel, Arup as technical advisor, Baringa as market advisor, Opus as financial advisor and Chatham Financial as hedging advisor.
