REG - EnergyPathways PLC - Costain engaged for MESH onshore facility study

EnergypathwaysAnnouncement

24/07/2025 07:00

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RNS Number : 3246S  EnergyPathways PLC  24 July 2025

24 July 2025

EnergyPathways plc

 

("EnergyPathways" or the "Company")

 

Costain engaged to assess onshore facility options for the MESH integrated
energy system

 

EnergyPathways (AIM: EPP), an energy transition company, is pleased to
announce a strategic engagement with Costain Group PLC ("Costain") in support
of the Company's planned large-scale integrated energy storage and
decarbonisation project, MESH.

 

Under the terms of the engagement, Costain will undertake a comparative
assessment exercise to identify the optimal solution from the various onshore
facilities location options identified for the MESH project. The planned MESH
onshore facilities will comprise integrated equipment and facilities that
support large-scale natural gas storage and production, compressed air Long
Duration Energy Storage (LDES), hydrogen storage, clean hydrogen production,
clean ammonia and graphite production and flexible clean power generation.

 

Costain is a leading Tier 1 infrastructure company that is involved in the
engineering and construction of critical projects in the transportation,
water, energy and defence markets.

 

EnergyPathways' MESH project aims to provide low to zero-carbon dispatchable
electricity capacity to the grid, low emission gas supply to safeguard the
UK's energy security and flexibility and clean hydrogen production to
decarbonise energy supply.

 

The comparative assessment will involve a rigorous process of evaluating each
of the onshore location options, with a primary focus on assessing the impact
of reusing existing infrastructure versus new/greenfield options and
connection to both National Gas, electrical distribution networks, port
facilities and offshore gas pipelines.

 

Costain's engagement provides the MESH project with access to highly
experienced personnel who have extensive local knowledge of the various
locations, challenges, infrastructure and communities and stakeholders within
the North-West of England as well as the UK government's policy framework for
energy transition. Costain also has extensive experience in the development of
salt caverns within the UK, making it an ideal partner to complement EPP's
already established key partnerships and alliances with Wood plc, Siemens
Energy Limited, Hazer Group Ltd and KBR Inc., Mermaid Subsea Services (UK)
Limited, and Zenith Energy Ltd.

 

 

Ben Clube, CEO of EnergyPathways said:

 

"We are delighted to have entered into this engagement with Costain, a tier 1,
UK-headquartered infrastructure company with extensive engineering knowledge
and experience of the North-West region. Costain's expertise will be
invaluable in optimising the location for the MESH onshore facilities. Costain
also brings relevant experience across several important aspects of the MESH
project, including salt cavern development and in emerging technologies in the
context of the UK government energy policy settings. This engagement continues
the selection by EnergyPathways of world-class strategic partners with the
expertise and experience to deliver a large-scale low-carbon integrated energy
solution of national significance. In collaboration with our consortium of
appointed Tier-1 partners, EnergyPathways' team continues to progress MESH to
a "ready-to-go" status, so that we can move swiftly to FID and deliver on the
UK's energy transition ambitions and help provide affordable energy to UK
homes and businesses upon award of relevant licences and permits."

 

About MESH

 

MESH is a new large scale energy storage facility that is expected to provide
a secure and dependable supply of natural gas and clean hydrogen and low
carbon flexible power capacity for the UK market for over 25 years. MESH is
an integrated energy system solution. It is electrifying and integrating
existing infrastructure, connecting gas storage, hydrogen storage, and
compressed air storage technologies with offshore wind and decarbonised power
generation to establish a new major decarbonised energy hub for the UK.

 

The MESH system is designed to harness curtailed offshore wind power in an
offshore LDES salt cavern storage as compressed air and hydrogen. Associated
with this will be large scale natural gas storage in offshore gas field
reservoirs. During periods of low renewable energy availability, stored energy
resources will be utilized as follows: compressed natural gas will generate
electricity via a gas turbine; compressed air will be expanded through a
turbine to produce power; and in the future, hydrogen will be used in a
hydrogen-compatible gas turbine or fuel cell to generate electricity.

 

This integrated system is expected to provide low- to zero-carbon dispatchable
electricity to the grid, enhancing energy security and flexibility. Emissions
from the gas turbine can potentially be captured and stored in nearby CCS
reservoirs.

Additionally, the stored hydrogen and natural gas can be blended and supplied
to the UK gas network, contributing to emissions reduction across the broader
energy system.

 

MESH is expected to be the UK's largest integrated energy storage facility
combining natural gas, compressed air and hydrogen storage. It will be able to
store up to 20 TWh of energy. The MESH project is intended to deliver on the
Government's 2030 Clean Power timeline and will ensure a reliable and secure
supply of energy for the UK.  MESH has been designed as a fully decarbonised
and electrified zero emission facility that is to be powered by the renewable
wind farms of the UK East Irish Sea region. EnergyPathways aims to play its
role in supporting the Government in accelerating the UK's energy transition.

 

This announcement contains inside information for the purposes of Article 7 of
EU Regulation 596/2014 (which forms part of domestic UK law pursuant to the
European Union (Withdrawal) Act 2018). The Directors of the Company are
responsible for the contents of this announcement.

 

Investor Engagement with EnergyPathways

Engage with us by asking questions, watching video summaries and seeing what
other shareholders have to say. Navigate to our Interactive Investor website
here: https://energypathways.uk/link/ejYw9y
(https://energypathways.uk/link/ejYw9y)

 

Enquiries

 

 Investor questions on this announcement                                      https://energypathways.uk/announcements
 We encourage all investors to share questions on this announcement via our   (https://energypathways.uk/announcements)
 investor hub
 EnergyPathways                                                               Tel: +44 (0)207 466 5000, c/o Burson Buchanan (Financial PR)
 Ben Clube / Max Williams

                                                                              Email : info@energypathways.uk
 Cairn Financial Advisers LLP (Nominated Adviser)                             Tel: +44 (0)20 7213 0880
 Jo Turner / Louise O'Driscoll / Sandy Jamieson
 SP Angel Corporate Finance LLP (Broker)                                      Tel: +44 (0)20 3470 0470
 Richard Hail / Adam Cowl
 Global Investment Strategy UK Limited (Joint Broker)                         Tel: +44 (0)20 7048 9000
 Callum Hill / James Sheehan

 

Subscribe to our news alert service: energypathways.uk
(http://energypathways.uk/auth/signup) /auth/signup
(http://energypathways.uk/auth/signup)

 

For further information on EnergyPathways visit www.energypathways.uk and
@energy_pathways on X (formerly Twitter).

 

Forward Looking Statements

This announcement contains forward-looking statements relating to expected or
anticipated future events and anticipated results that are forward-looking in
nature and, as a result, are subject to certain risks and uncertainties, such
as general economic, market and business conditions, competition for qualified
staff, the regulatory process and actions, technical issues, new legislation,
uncertainties resulting from potential delays or changes in plans,
uncertainties resulting from working in a new political jurisdiction,
uncertainties regarding the results of exploration, uncertainties regarding
the timing and granting of prospecting rights, uncertainties regarding the
timing and granting of regulatory and other third party consents and
approvals, uncertainties regarding the Company's or any third party's ability
to execute and implement future plans, and the occurrence of unexpected
events.

 

Actual results achieved may vary from the information provided herein as a
result of numerous known and unknown risks and uncertainties and other
factors.

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