VPI is pleased to confirm it has closed its financing for its 275 MW Open Cycle Gas Turbine (“OCGT”) located in Castlelost, County Westmeath.

As one of the first debt financing deals to be secured on the Irish capacity market, this is a significant milestone, demonstrating VPI’s ability to build the assets needed to support the Irish energy transition.

The OCGT plant will help enable more renewables onto the Irish energy system, by delivering flexible and reliable electricity generation when there is not enough wind or solar to meet power needs. Construction has already commenced, and the plant is expected to be operational by the end of 2025.

The €170 million financing package was supported by commitments from Natwest, NordLB, and Mizuho. It includes a ten-year amortising term loan of €170 million, underpinned by contracted revenues from Ireland’s capacity market.

The Company’s advisers included Slaughter & May and AL Goodbody (legal), MMI (insurance), Aurora (market), Fichtner (technical), Operis (model audit), and EY (tax). Watson Farley Williams served as the legal adviser to the project lenders.

Jorge Pikunic, Chief Executive Officer of VPI, said “VPI’s role in Ireland is to support the energy transition, helping to deliver reliable and flexible power that can ramp up and down to complement renewable energy sources.

“This first of its kind financing establishes VPI as a key player in the Irish energy sector, enabling it to combine its own capital along with institutional capital to develop the power assets needed.

“We continue to explore new opportunities to partner and invest in projects that can provide energy security to Ireland while aligning with net zero goals”.

About VPI

With a capacity of 3.5GW, VPI is a leading power company. We believe that achieving net zero is fundamental to all our futures. Getting there means embracing a new energy reality – operating and evolving the current power system while introducing new energy sources and emerging technologies. Our portfolio includes reliable thermal power, battery storage, and carbon capture projects to deliver decarbonised, dispatchable, and flexible power generation in the UK, Ireland and Germany.