MAST Energy Developments PLC (“MED”) is a public company, incorporated in England and Wales and with its main area of operations in England. MED is listed on the Standard List of the London Stock Exchange and is led by an experienced Board of Directors. MED participates in the lucrative UK reserve power market which typically consists of day-ahead and real-time markets and is aimed at preventing future shortages by balancing out the national grid at critical times and thereby reducing future blackouts events.
MED maintains a focussed strategy to acquire advanced assets of varying capacity, and to develop its targeted sites to fully commercially operating units, each contracted with MED via a master service agreement. This structure is maintained through a group of subsidiary companies (Special Purpose Vehicles (“SPV”)), each SPV holding one or a number of sites. MED’s current sites are held within Pyebridge Power Ltd (Pyebridge Project – production site), Bordersley Power Ltd (Bordesley Project – development site), Rochdale Power Ltd (Rochdale Project – development site) ), ADV 001 Limited (Hindlip development site) and ADV 018 (Stather Development Site).
MED is currently in the process of conducting an overhaul of the three generating engines at its operating Pyebridge Project and progress can be followed at Pyebridge Overhaul Story. When complete, the overhauls will ensure optimal overall generation efficiency, reduced operations- and maintenance costs and downtime, and optimal overall availability. Effectively, the engines will be operating as though they were new engines with engine clock operating hours set to zero when overhauls completed.
MED will provide reserve power solutions that are flexible, respond immediately to demand and create multi- stream revenues. Targeting this market, MED is structured to acquire own develop and operate a portfolio of projects of flexible, small-scale, multiple reserve power generation plants throughout the UK, building a fleet of up to 300 MW installed safe and clean power through natural gas over the next three to four years. While progressing its current portfolio of development projects, MED, in conjunction with its funding and joint venture partner, RiverFort, is also well advanced with negotiations to acquire an existing operational 10MW flexible power generation site located in south-western England as well as conducting due diligence on additional projects for potential acquisition. In this way MED plans to fact-track its short-term production capacity with a target of having c. 30 – 40 MW reserve power generation in revenue generation by the end of 2024.
Aligned with UK policy to ensure availability and stability of energy on national scale, MED is establishing this UK – wide fleet of generators to enter the forward energy market through a PPA with market trader, Statkraft Markets GmbH.
MED represents an attractive investment case with anticipated low-risk IRRs of over 15%.