EnergyPathways has entered into a £5.1 million loan facility for its Marram Energy Storage Hub (MESH) infrastructure project, a large-scale clean energy storage facility. The loan facility is able to support the MESH project through the FEED phase with a view to reaching FID at the end of 2025. This comes following EnergyPathways’ recent announcement related to upscaling its previously planned Marram Project in the Irish Sea to its more ambitious and higher-value MESH Project. The MESH natural gas and green hydrogen storage facility, located off the UK's Lancashire coast, will be equivalent in size to the Rough facility, currently the UK's largest gas storage facility. It will have a storage capacity of ~15TWh (~500 million therms or ~50 billion cubic feet of gas). EnergyPathways has further identified growth upside and plans to expand the MESH storage capacity by as much as three times, including developing upscaled green hydrogen storage capacity. 

EnergyPathways has now entered into a binding loan facility (Green Loan) of up to £5.1 million with a minimum commitment from the lender of £2.55 million over the term with Global Green Asset Financing Limited (GGAF), a new, Luxembourg-based green project and corporate financing platform structured to provide its investors with green impact and yield income returns in sectors including cleantech and renewable energy. 

Drawdowns from the Green Loan will be subject to GGAF raising further capital which is currently underway. Drawdowns must begin during Q4 2024, and will be phased in line with EnergyPathways' planned use of funds on the MESH project to develop a fully decarbonised integrated natural gas and green hydrogen energy storage facility. GGAF plans to fund the Green Loan through an issue of 5-year interest bearing notes due 2029 (the C3 Notes) and it has started the initial placing of the C3 Notes with international investors. GGAF has agreed to prioritise any distributions requested under EnergyPathways' Green Loan as the C3 Notes are issued. 

EnergyPathways is forming a stakeholder partner group for the MESH integrated energy project comprising several global Tier-One engineering and energy companies. It plans to complete pre-FEED by the end of 2024 and FID at the end of 2025.

KeyFacts Energy: Energy Pathways UK country profile