Scirocco Energy upbeat on performance of GGL investment

Investment company Scirocco Energy updated the market on its operations on Wednesday, having recently supported Energy Acquisitions Group (EAG) in the acquisition of its first cash generative anaerobic digestion asset, Greenan Generation (GGL).

The AIM-traded firm said that as a result, it holds a 50% interest in GGL.

It said fourth quarter revenue from GGL totalled £0.3m, supported by high power prices through the period, rising from £0.23m at the same point in 2020.

At current power price levels, EBITDA for the first 12 months of EAG ownership was estimated to exceed £0.6m, rather than the £0.47m guidance the company previously issued.

“We are delighted to see excellent operational performance supported by the current high wholesale power prices,” said chief executive officer Tom Reynolds.

“EAG's experienced team have begun investing to automate and future proof the asset and are making clear headway with an attractive pipeline of opportunities to support further investment.

“Scirocco's 50% interest in EAG represents a robust, scalable platform primed for growth and we look forward to working with the team going forward.”

At 1046 GMT, shares in Scirocco Energy were up 0.31% at 0.8p.