Bord Gáis Purchase Supports firmus electricity Offer
Pictured (l-r): Neil O'Leary, ION Equity; Dave Kirwan, Managing Director Investments, Bord Gáis; John Mullins, Chief Executive, Bord Gáis; and Ulric Kenny, Partner, ION Equity.
Bord Gáis (BGE), parent company of Northern Ireland gas and electricity supplier firmus energy, announced today that they have completed the purchase of Cork based SWS Natural Resources, one of the largest wind portfolios in Ireland in a transaction worth over £450m. Over the next five years Bord Gáis will invest almost £630m in the construction of the wind projects and in the process create 250 sustainable jobs across the island of Ireland.
The acquisition, which includes 5MW of wind generation in operation and 149MW in development in Northern Ireland, represents a significant step for BGE and firmus energy in pursuing a dual-fuel strategy both in the Republic and in Northern Ireland. The acquisition will provide firmus energy with the renewable energy resources to meet the needs of customers, with a sustainable and competitive electricity offering.
Mark Prentice, General Manager of firmus energy said, "This acquisition today is a further demonstration of our commitment to the local energy market and a strategic move to strengthen our electricity offering. This will give us access to renewable electricity which can help customers make a positive impact on climate change commitments and carbon targets.
"Given Northern Ireland's historic dependence on heavy carbon fuels such as oil, it is vital that a considered and planned approach is developed to help deliver against our carbon reduction targets. Natural gas is an important bridge towards a lower carbon economy here in Northern Ireland, particularly for heating and process loads, and now with the purchase of SWS Natural Resources we will be able to give our growing number of electricity customers the opportunity to avail of sustainable, competitive electricity. This acquisition, together with the imminent commissioning of BGE's new gas-fired power station, will help firmus continue to expand its electricity customer base across Northern Ireland in future years."
SWS Natural Resources currently has two windfarms operating in Northern Ireland and seven in development which are due to be built over the next five years. These wind farms are spread across counties Londonderry, Tyrone, Fermanagh and Antrim.
For further information, contact:
- Suzie Fisher, dcp on 028 9040 2296 / 07802 297240 or suzie@dcppr.co.uk
- Gwynneth Cockcroft, dcp on 028 9040 2296 / 07785 793671 or gwynneth@dcppr.co.uk
Background Information
About firmus energy
firmus energy is a subsidiary of Bord Gáis and lays gas pipes and supplies gas to customers in towns along the routes of the two transmission pipelines. It won the gas conveyance and supply licences for these towns outside the great Belfast area in March 2005. firmus energy connected their first natural gas customer in Ballymena in December 2005. The company also has a licence to supply natural gas to greater Belfast and is currently switching industrial and commercial customers in these areas. firmus energy also entered the electricity market a year ago meaning the company can now offer duel fuel energy contracts and is currently contracting with customers in the industrial and commercial markets including Michelin, Norbev and the Andras Group.
About SWS
SWS Natural Resources, based in West Cork, operates 179MW of wind generating assets. In addition SWS has an advanced development pipeline of 460MW in the Republic of Ireland and Northern Ireland. SWS employs 50 people at its office in Bandon, Co. Cork.
The company currently has two windfarms operating in Northern Ireland and seven in development. This would give a presence in counties Derry, Tyrone, Fermanagh and Antrim.
About Bord Gáis
Bord Gáis is a leading energy provider, serving 630,000 gas users in Ireland. The company built and owns over 12,800km of gas pipelines, including two sub-sea interconnectors with Scotland from where Ireland gets over 92% of its gas supplies. Bord Gáis has both a transmission pipeline business and a gas supply/distribution business in Northern Ireland. The company is majority owned by the Irish government. Bord Gáis entered the residential electricity market in February 2009 and has quickly gained over 250,000 customers in its first 9 months of trading. The company already serves the business and agricultural sectors and held 8% of the electricity market in Ireland at the end of 2008.
