Marine energy firm Atlantis Resources today announced plans to raise £20million through the placement of up 57.1million shares.
Atlantis, the company behind the MeyGen tidal energy project in the Pentland Firth, said the money would go toward paying down debt and converting a power station it has agreed to buy from Simec, the energy arm of Sanjeev Gupta’s GFG Alliance.
Edinburgh-headquartered Atlantis said it had agreed “further definitive documentation” in relation to its acquisition of the Uskmouth power plant in Wales.
It said the document would be published tomorrow.
Atlantis also said a number of power purchase and fuel supply agreements had been signed for the power station.
The London-listed company is working toward an investment decision being taken mid-2019, with completion following in the fourth quarter of 2020.
Uskmouth power station will be converted to burn energy pellets derived from non-recyclable waste products.
In return for Uskmouth, Simec will receive a 49.99% share of Atlantis, which will be renamed Simec Atlantis Energy and become part of the GFG Alliance.