Wind power business Renewable Energy Holdings is selling its Welsh landfill gas asset to Sundorne Products for at least £2 million.
Wind power business Renewable Energy Holdings is selling its Welsh landfill gas asset to Sundorne Products for at least £2 million.
The Isle of Man-based company says it has agreed to sell its one-megawatt Bryn Posteg asset in mid-Wales to another Welsh concern, Sundorne Products. The price is £2 million down and either another £750,000 if and when Sundorne realises revenue more than the current one-megawatt electrical connection from gas from Bryn Posteg, or £250,000 if no such extra revenue materialises by the end of January 2012.
In 2008, Bryn Posteg made £122,000 pre-tax on £510,000 revenues. Its disposal fits with Renewable Energy’s policy of focusing on European wind farms and follows last year’s £30 million sale of the intellectual property of its CETO wind farm technology, in exchange for 35 per cent of Aussie-listed Carnegie Corporation.
Mike Proffitt, chief executive of AIM-quoted Renewable Energy, maintains ‘with operating assets in Germany and development assets in Poland and Wales, we have a strong pipeline for growth’.
