Engineering Design Works Contract Award

RNS Number : 2222T

Infrastrata PLC

19 March 2019

 

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ("MAR"). With the publication of this announcement via a Regulatory Information Service, this inside information is now considered to be in the public domain.

19 March 2019

InfraStrata plc

("InfraStrata" or the "Company")

Islandmagee Gas Storage Project Update - Engineering  Design Works Contract Award

InfraStrata plc (AIM: INFA), the UK quoted company focused on the development of natural gas storage capacity in Northern Ireland, is pleased to announce that it has awarded an engineering design works contract to Costain plc to enable the £65m cost savings identified during the FEED (Front End Engineering & Design) process to be realised on the Company's Islandmagee gas storage project (the "Project").  These works were identified as one of the next steps for the Project as announced with the recent fundraising on 24 January 2019.

The contract covers sixteen specific work areas to refine the engineering design of the Project and work is scheduled to be completed prior to FID (Final Investment Decision) which, as previously announced, is scheduled to be undertaken prior to the end of H1 2019.

John Wood, Chief Executive Officer and Interim Chairman, commented: "As part of the FEED package we worked very closely with Costain to identify areas where further savings could be found. It is good to have this workstream underway presently in order to facilitate its completion prior to our proposed FID later in the year.  We have built up a good working relationship with Costain which will enable timely completion of these works"

For further information, please contact:

InfraStrata plc John Wood, Chief Executive and Interim Chairman	c/o Yellow Jersey [phone]
Allenby Capital Limited (AIM Nominated Adviser & Joint Broker) Jeremy Porter / Liz Kirchner	[phone]
SI Capital Limited (Joint Broker) Nick Emerson	[phone]
Yellow Jersey Tim Thompson / Henry Wilkinson	[phone]

-ENDS-

Notes to editors:

InfraStrata is an independent gas storage company focused on the UK and Ireland. Further information is available on the Company's website: www.infrastrataplc.com 

Background on the Islandmagee Storage Project

The Islandmagee gas storage project is a proposed salt cavern gas storage facility located on Islandmagee in County Antrim, Northern Ireland. The Board of InfraStrata believes that the proposed 500 million cubic metres natural gas cavern storage facility will provide over 25% of the UK's natural gas storage once constructed. The facility will be situated adjacent to the Scotland Northern Ireland (gas) Pipeline (SNIP) and the Moyle 500 megawatt electricity interconnector. Work commenced in 2007 with the acquisition of 3D seismic data to image the Permian salt in the Larne Lough area. During 2012, planning permission was granted for the project and a gas storage licence was issued by the Utility Regulator. In 2015 a well was drilled to core the salt and confirm the technical feasibility of the project, supported in part by the European Commission. The Front End Engineering and Design (FEED) element of the project was completed in November 2018 and the FEED report was submitted to the European Union in December 2018 in accordance with the Company's grant conditions.  To date approximately £14.5m has been invested in the project.

Further information is available on the company's website: www.infrastrataplc.com 

The Front End Engineering & Design (FEED) and Insitu Downhole Testing programme for the Islandmagee gas storage project is co-financed by the European Union's Connecting Europe Facility.

Disclaimer releasing the European Union from any liability in terms of the content of the dissemination materials:

"The sole responsibility of this publication lies with the author. The European Union is not responsible for any use that may be made of the information contained therein."

 

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