Abengoa to construct 299MW biomass plant in UK

MGT Teesside, a subsidiary of MGT Power has chosen Spanish company Abengoa along with Japan based Toshiba to build Tees biomass plant located in the UK.

The Tees Renewable Energy Plant will generate 299MW of biomass energy and steam by burning wood pellets and chips.

The €600m plant will generate enough energy to meet the requirements of 600,000 households in the UK.

Abengoa will engineer, design and construct the plant and the project is expected to use wood pellets and chips from certified sustainable forestry resources from the US and Europe as fuel.

MGT Teesside’s parent company MGT Power won European Union approval for U.K. aid in January for the project, and the British government has agreed to pay the plant a variable premium above the market price, as the plant will supply power at a steady rate unlike other renewable sources.

Located in the Port of Teesside, Middlesbrough the plant is expected to help the UK reduce carbon footprint and promote the country’s energy transition to renewable and efficient energy sources.

During the construction phase, the project is expected to create 1,100 jobs and the construction is expected to be completed by this year.