Apatura has signed a £157.2 million agreement with Drax Group for the staged acquisition of three battery energy storage system (BESS) projects in Scotland and Northern England.
The two-hour duration portfolio totals 260MW, with construction beginning in 2026. The first two BESS sites are expected to complete in 2027, followed by the third in 2028.
Under the construction services agreement, Apatura will take the projects from ready-to-build through to commercial operation, marking a significant expansion of its delivery capabilities. As part of the deal, Drax has secured a right of first offer on a further eight planned BESS sites totalling 289MW, supporting the continued growth of its FlexGen portfolio.
“This deal represents a strong strategic fit for Drax and Apatura, who are both closely aligned with UK energy objectives of energy security and decarbonisation,” said Giles Hanglin, CEO of Apatura. “Apatura is responsible for Scotland’s largest energy storage pipeline, with 10GW of renewable energy capacity in development. The acquisition of this initial portfolio complements Drax’s ‘FlexGen’ strategy, which involves adding short duration and fast response capability.”
“This acquisition is our first investment in short duration storage as part of our FlexGen portfolio to support UK energy security and a clean power system,” added Drax Group CEO Will Gardiner.
James Perry, CFO at Apatura, commented, “Aligning with an organisation like Drax means we’re propelling the energy transition forward. The deal structure reflects our disciplined approach to capital and our ongoing role in delivering these projects, a model that creates value, strengthens collaboration, and supports long-term growth on the path to net zero.”
