French renewable heat investment company Kyotherm SAS has secured GBP 14 million (USD 19.8m/EUR 16.2m) in long-term project finance from Virgin Money UK PLC, the latter announced Monday.
The loan is for Kyotherm’s subsidiary Geothermal Leasing Ltd, which has a portfolio of 20 ground source heat pump projects in the UK with a combined capacity of 27 MW. The end-users are mainly in the agricultural, agri-food, and care sectors.
This is the third loan provided to Kyotherm by the bank since 2019. The French company, which specialises in the third-party financing of renewable heat production projects, has so far deployed over GBP 120 million in 110 MW of renewable heat and energy efficiency projects around the world and plans to expand its portfolio to 750 MW by 2035.
The loan also brings Virgin Money closer to achieving its goal of reducing the carbon dioxide (CO2) impact of its loan book by 50% by 2030.
“Kyotherm’s mission is to accelerate the decarbonisation of the heating sector, by providing competitive funding for dedicated biomass, geothermal, solar thermal, district heating, waste heat, and energy efficiency projects.
We are thus thankful that this fruitful relationship with Clydesdale Bank, now Virgin Money, enables us to provide clean and affordable heat to UK commercial and industrial heat users,” said Kyotherm’s CFO Thibault Chevallier.
Source RenewablesNow