- Vulcan Energy (VUL) acquires operational geothermal renewable energy power plant in Insheim, Germany
- The $49.8 million purchase establishes Vulcan as an operational renewable energy business
- The company says the plant currently has the technical capacity to produce up to 4.8 megawatts equivalent to approximately 8000 households
- Vulcan will formally take over the plant from 1 January 2022 and will retain all existing local employees as part of the transition
- Shares last traded on December 9 at $11.07
Vulcan Energy has acquired an operational geothermal renewable energy power plant in Insheim, Germany. The plant will be run by a newly established Vulcan subsidiary based in Karlsruhe.
The $49.8 million purchase establishes Vulcan as an operational renewable energy business. The company says it used a portion of proceeds from a recent capital raise of $200 million to purchase the plant.
Owned by regional energy supplier Pfalzwerke AG, the plant reportedly has the current technical ability to produce up to 4.8 megawatts of renewable power, equivalent to approximately 8,000 households, with additional ability to produce heating. The plant is producing 2.9 megawatts of electricity on average.
According to Vulcan the plant reported sales of around $9.2 million for the financial year ending December 31 2020.
Vulcan says it will formally take over the plant from January 1 2022 and will retain all existing local employees as part of the transition. Vulcan also plans to invest in the expansion and modernisation of the power plant.
Shares last traded on December 9 at $11.07