CIP to sell 50% stake in Coalburn 2 BESS project in Scotland

Core Insights - Copenhagen Infrastructure Partners (CIP) has agreed to divest a 50% ownership stake in Coalburn 2, a 500MW lithium-ion battery energy storage system, to AIP Management [1][2] - Upon becoming operational, Coalburn 2 will be one of the largest battery storage facilities in Europe, enhancing grid stability and facilitating renewable energy integration [2][3] - The project is part of a larger portfolio of battery energy storage systems (BESS) being developed by CIP, which includes a total capacity of 1.5GW and the ability to store 3GWh of electricity [3] Company Developments - The transfer of ownership to AIP will occur once Coalburn 2 is commissioned, with CIP maintaining leadership during the construction phase [1][2] - CIP has a ten-year optimization agreement with SSE and a 15-year capacity market agreement for Coalburn 2, ensuring stable revenue streams [2] - CIP is also developing an additional 4.5GW of BESS projects across Scotland and England, indicating a strong growth trajectory in the energy storage sector [3] AIP Management's Strategy - AIP Management's investment in Coalburn 2 reflects its strategy of selectively partnering on high-quality, ready-to-build or operational assets, reinforcing confidence in the UK energy storage market [4] - AIP's recent acquisition of a 2.4GWh portfolio of BESS projects in the UK brings its total investment capacity to around 7GW, projected to help prevent the emission of ten million tonnes of greenhouse gases [5] - AIP aims to avoid early-stage development risks by focusing on assets that are ready for construction or operational [4][5]