InfraStrata's Islandmagee Energy to acquire pipeline easements

Natural gas storage company InfraStrata announced on Monday that its subsidiary, Islandmagee Energy, has served notice to exercise and complete its easement options that are required to progress the Islandmagee gas storage project.

The AIM-traded firm said the options exercised were to acquire easements over the land where the various pipelines would run, and on which the project proposals and design were based, including the connections between the various surface facilities, inlets and discharges.

For several years, Islandmagee Energy had paid an annual fee to keep those options to acquire the easements valid, and approximately £87,000 would now be paid by Islandmagee Energy to exercise the options to acquire the easements for completion in April and May.

“Completing on Islandmagee Energy's historic easement options for various parcels of land is another stream of work that needed to be completed prior to equity and debt funding for the project being put in place,” said InfraStrata chief executive officer John Wood.

“As we proceed forward the number of active works streams is reducing, thus allowing us to bring all final work streams together.”

Wood said the company continued to make “good progress” on all the key elements of equity, debt and offtake, and expected the construction tender results to be returned by 25 March.

“As previously indicated all our negotiations with equity partners include recovery of costs invested to date whilst we undertake various project de-risking activities, for improving our negotiating position.”