Kibo Energy’s subsidiary, Mast Energy Developments (MED), has received official confirmation that its Pyebridge 9 MW flexible power generation asset in England has passed its satisfactory performance days (SPD) requirements under its current existing T-1 capacity market (CM) contract.
This means that Pyebridge will retain the current CM contract’s associated yearly gross profit margin income of about £308 000 which is paid and received monthly in arrears.
In addition to the current CM contract, as previously announced, MED’s Pyebridge site has secured further capacity market contracts to ensure minimum yearly gross profit margin income totalling about £817 000 until 2028.
The Pyebridge site’s CM contract’s gross profit margin income payments are in addition to its electricity generation trading revenue via its power purchase agreement with Statkraft.
Further, following the recent successful completion of the first phase of the Pyebridge work programme, the final preparations for the next larger second phase are near complete, and implementation is expected shortly.
The second phase will be performed in separate consecutive tranches on each of the Pyebridge site’s 3x gensets, and is expected to take around six to eight weeks per genset.
The completion of each of the three consecutive tranches of the second phase will result in each of the 3x gensets operating and generating at its full expected availability, efficiency, revenue generation and profitability potential, MED avers.
It adds that the Tte MED management team is working closely with RiverFort regarding the implementation of the second phase which will be funded under a new funding agreement.
MED highlights that it appreciates the ongoing support that RiverFort provides to the company and Pyebridge.
“We are pleased that our Pyebridge asset has successfully passed its SPD requirements, resulting in the retention of its current CM contract’s associated annual gross profit margin income of about £308 000.
“The next step in the process at Pyebridge is to kick off the second phase of the work programme, which is expected shortly. We are looking forward to updating the market with progress in due course,” says MED CEO Pieter Krügel.