EnergyPathways secures loan to develop gas storage hub

Luxembourg-based corporate financing platform Global Green Asset Financing (GGAF) will provide funding for the MESH project under a three-year loan facility. This financing will support the project through the FEED phase, targeting a final investment decision by the end of 2025.

The loan includes a minimum commitment of £2.55 million from GGAF, with drawdowns contingent on GGAF raising additional capital, a process currently in progress. Drawdowns are scheduled to begin in the final quarter of 2024 and will be phased in accordance with EnergyPathways’ plans to fund the MESH project, which aims to develop a fully decarbonised, integrated natural gas and green hydrogen energy storage facility.

Interest is charged on drawn amounts at a fixed rate of 12.5% per annum, payable monthly.

The MESH facility, situated off the Lancashire coast, is being developed alongside EnergyPathways’ 35 bcf Marram gas field.

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