Acquisition

RNS Number : 5053K

Scottish & Southern Energy PLC

22 December 2008

 



SCOTTISH AND SOUTHERN ENERGY PLC

ACQUISITION OF EQUITY IN ROCKTRON (WIDNES) LTD

Scottish and Southern Energy plc ('SSE') has acquired 17.5% of the equity in RockTron (Widnes) Ltd, the developer of the new plant to extract minerals from ash being constructed at its Fiddler's Ferry power station in Cheshire, for a total cash consideration of £10m.

The plant is designed to remove and process all fresh ash produced by the power station and much of that currently stored in lagoons at the site, turning it into industrial minerals which will become marketable products, with the largest volume being used as cement substitutes.  

It is expected to begin full operation later next year and should be capable of processing around 800,000 tonnes of ash per annum. Without processing, ash disposal would attract increasingly significant environmental liabilities, including landfill duty. As well as avoiding such liabilities, the acquisition of equity in RockTron (Widnes) Ltd means SSE will be able to secure a share of the income from the plant.  

RockTron (Widnes) Ltd is a subsidiary of RockTron Ltd.

Ian Marchant, Chief Executive of SSE, said:

'The work we have done with RockTron to develop this new plant at Fiddler's Ferry is just one of the things we have done to reduce the impact on the environment of our coal-fired power stations. This investment is a very good example of how environmental and commercial opportunities coincide, and is exactly the kind of initiative I hope we will see more of in the years ahead.'

 

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