REG - Gore Street Energy - Assets Energised and ITC Update

Gore Street Energy Storage FundAnnouncement

24/02/2025 07:00

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RNS Number : 1699Y  Gore Street Energy Storage Fund PLC  24 February 2025

24 February 2025

Gore Street Energy Storage Fund plc

(the "Company" or "GSF")

 

Assets Energised and ITC Update

 

Derisked portfolio with energised capacity reaching 753.4 MW / 924.1 MWh

 

Gore Street Energy Storage Fund plc (LSE: GSF), the internationally
diversified energy storage fund, is pleased to announce the energisation of
its remaining in-construction assets: "Dogfish" (75 MW / 75 MWh, Texas) and
"Enderby" (57 MW / 57 MWh, Great Britain).

 

Energised capacity reaches 753.4 MW / 924.1 MWh

The successful energisation of all remaining assets under construction marks a
pivotal milestone in transitioning to a steady-state portfolio, with the
energised portfolio capacity now at the targeted 753.4 MW / 924.1 MWh. This
significant milestone represents a 79% increase in MW capacity, including the
energisation of the "Big Rock" asset in California, US (200 MW / 400 MWh)
announced in January. All assets are scheduled to be revenue-generating in
FYQ1 (by June-end) of the upcoming Financial Year (FY25/26). The non-GB assets
now represent 61% of the total energised portfolio on a MW basis, highlighting
the Company's internationally diversified strategy.

 

Investment Tax Credits

While the Trump administration has taken action regarding the permitting of
onshore and offshore wind, no action has been taken regarding the Investment
Tax Credits (ITCs).  External legal counsel has also advised that there has
been no change to the eligibility of the Company's projects to qualify for the
ITCs, and ITC applications will be filed as soon as possible.  In addition,
the Investment Manager continues to negotiate the sale of the ITCs; no change
in market appetite or pricing from well-established ITC buyers has been seen,
reflecting overall market confidence.

 

As previously communicated to the market, the application of the ITC proceeds
will prioritise shareholder value. The Board is actively assessing this matter
and engaging with shareholders and the Investment Manager on their use.
Options under consideration include returning capital to shareholders through
mechanisms such as a buy-back program, repayment of debt, investing in the
portfolio, or a combination of the above.

 

Factsheets

The Company produces a monthly factsheet, in addition to quarterly updates, to
communicate developments from across its portfolio and markets in which it
operates. The publications, including the January factsheet released today,
are available on the Company's website here
(https://www.gsenergystoragefund.com/content/investors/factsheet) .

 

Dr Alex O'Cinneide, CEO of Gore Street Capital, the Investment Manager of the
Company commented:

"I am pleased to announce the successful energisation of the Dogfish and
Enderby assets in Texas and Great Britain. This milestone represents the
completion of all four key deliverables outlined to investors during the
Company's 2024 Annual Results. These deliverables included securing the
Resource Adequacy contract for Big Rock and the energisation of the three
in-construction assets (Big Rock, Dogfish and Enderby) totalling 332 MW. This
increase in energised capacity places greater importance on active management
to maximise the portfolio's revenue generation and asset uptime. The
monetisation of the Investment Tax Credits is progressing well, and I look
forward to sharing further updates on this process in due course.

The Company has set itself apart with a diversified portfolio across five
markets, supported by a strong operational track record. While we remain
cognisant of the broader sector challenges and the distressed nature of our
peer group, the Company has differentiated itself through a strategy that
avoids the risks inherent with a single market concentration by utilising the
appropriate amount of debt, minimising capex and through active management."

 

For further information: 

 

Gore Street Capital Limited          

Alex O'Cinneide / Paula Travesso / Ben Paulden 

Email: ir@gorestreetcap.com
(https://gorestreetcap01-my.sharepoint.com/personal/bpaulden_gorestreetcap_com/Documents/ir@gorestreetcap.com)
 
  Tel: +44 (0) 20 4551 7860

 

Shore Capital (Joint Corporate Broker)   

Anita Ghanekar / Sophie Collins (Corporate Advisory)
                             Tel: +44 (0) 20 7408
4050

Fiona Conroy (Corporate Broking)             

 

J.P. Morgan Cazenove (Joint Corporate
Broker)

William Simmonds / Jérémie Birnbaum (Corporate
Finance)                    Tel: +44 (0) 20 3493 8000

 

Burson Buchanan (Media Enquiries)       

Charles Ryland / Henry Wilson / Samuel
Adams
  Tel: +44 (0) 20 7466 5000

Email: gorestreet@buchanan.uk.com (mailto:gorestreet@buchanan.uk.com)  

 

Notes to Editors 

 

About Gore Street Energy Storage Fund plc 

Gore Street is London's first listed and internationally diversified energy
storage fund dedicated to the low-carbon transition. It seeks to provide
Shareholders with sustainable returns from their investment in a diversified
portfolio of utility-scale energy storage projects. In addition to growth
through increasing operational capacity and a considerable pipeline, the
Company aims to deliver consistent and robust dividend yield as income
distributions to its Shareholders. 

 

https://www.gsenergystoragefund.com (https://www.gsenergystoragefund.com/)  

 

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