Gresham House backs Waste Knot Energy alternative fuel project
Waste Knot Energy has secured funding from Gresham House’s British Strategic Investment Fund to build its first alternative fuel pelleting plant.
The plant will reduce waste going to landfill whilst providing a fuel to replace coal and pet coke, reducing global carbon emissions.
The plant will produce Waste Knot’s Green Knot branded pellets using non-recyclable waste, otherwise destined for landfill or for another country’s waste facilities. The high-calorific value of the pellets makes them a reliable, low-emission bulk alternative to coal and pet-coke for energy-intensive industries - such as cement and steel.
With construction underway at the first site in Teesside, this marks an important step for the UK in developing infrastructure to process its own waste and providing an alternative to landfill.
Once completed, the plant in Middlesbrough, Teesside will create over 20 full time jobs and revenue within the region. It is estimated the plant will manufacture in excess of 240,000 tonnes of fuel pellets each year, which will be transported within the UK by rail or exported by ship. The plant is being developed on a brownfield site owned by AV Dawson, a Teesside-based freight logistics specialist with a 40-hectare port facility in Middlesbrough.
Focused on real assets, BSIF invests in sustainable UK housing and infrastructure, with emphasis on the smaller mid-market, via investments in local and regional projects. By investing in projects such as Waste Knot, which deliver environmental benefits and support job creation, the BSIF strategy aims to have a positive social and environmental impact on the UK.
Roger Ferguson, founder of Waste Knot Energy, said: “The circular economy demands that we re-use materials wherever possible and landfill should always be avoided. Green Knot pellets are the future of fuel, to sit alongside other sustainable power generation.”
Ed Simpson, BSIF Fund Manager and Investment Director, New Energy at Gresham House, said: “The benefits to the UK from the Waste Knot Energy project are myriad - from providing a waste disposal alternative to reducing carbon emission from the industrial sector and stimulating regional economic activity. Having just completed its final funding round, this is exactly the type of strategically important sustainable project BSIF is looking to facilitate, while generating attractive returns for investors.”
Tees Valley Mayor Ben Houchen said: “It is fantastic to see Teesside landing the first plant for this exciting new project. Whether it is Net Zero Teesside, e-scooters or pioneering the use of hydrogen across Teesside, Darlington and Hartlepool we are developing the technologies of the future and creating sustainable good quality well paid local jobs for local workers. This amazing news further supports our ambitions to drive forward the clean energy agenda; further cementing our region’s reputation as an innovator and world leader in decarbonisation.”
Middlesbrough Mayor Andy Preston added: “This is very positive for Middlesbrough, bringing investment and jobs to the town and enabling AV Dawson, as one of the largest family businesses in the area, to take the next step in its plans for growth.”