$212m Irish biomass CHP plant project founders

A liquidator has been appointed after a rescue plan for Ireland’s biggest independent biomass power plant failed.

The $212m 42.5 MW biomass high efficiency combined heat and power (CHP) plant located on the former Asahi site in Killala, Co. Mayo, western Ireland had initially sought court protection from its creditors under examinership in August.
Mayo Renewable Power
The Irish Times reported that it had been hoped investment could be secured to continue the construction but, despite efforts to secure an investor, it was clear as of last Friday a number of parties which had expressed an interest were no longer interested.

US-backed Mayo Renewable, which was officially launched last year by Taoiseach Enda Kenny, saw the project half-completed when work ceased in July when funding ran out.

€90 million had already been spent on the development, through the Irish company’s parent, US-registered Rockland Mayo LLC.

All told, Mayo Renewable has about €95 million of secured debt and a further €30 million to trade creditors. These include its main contractor, John Sisk & Son, and French environmental services group Veolia, which had secured a 15-year contract to operate the plant, capable of producing enough electricity to supply 68,000 homes.

The firm’s financial difficulties commenced last year when it cancelled an order to design and supply a boiler, a critical component in the plant, from a supplier, the court heard previously.

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