Foresight acquires AD, composting assets

By Foresight Group LLP | January 11, 2018

Foresight Group LLP is pleased to announce the completion of the acquisition of an operational portfolio of two large scale anaerobic digestion (AD) plants and seven composting assets for an undisclosed sum.

The sites are located across East Anglia and the East Midlands, U.K.  Between them, the AD plants provide 2.8 MW of electrical power generation capacity (and related waste heat use), 450 standard cubic meters (Sm3) per hour of biomethane export capacity to grid (and related CO2 sales) and capacity to process in excess of 95,000 metric tons per annum of energy crops, agricultural waste and industrial/commercial food waste whilst also benefiting from FIT and RHI revenue.  The composting sites have a capacity to accept in excess of 155,000 metric tons per annum of primarily green waste to produce circa 100,000 metric tons per annum of high quality compost using open-windrow (green waste) and in-vessel (green mixed with ABPR food waste) methods.  The additional processing capacity means Foresight’s portfolio of 40 waste projects boast a waste processing capacity of more than 2 million metric tons per annum.

Foresight has established a market leading position in AD having invested previously into 18 greenfield projects across the U.K. with a capacity of 16.7 MWe and this secondary acquisition leverages off that experience to build upon Foresight’s existing footprint.  The transaction demonstrates Foresight’s appetite to aggregate operational AD assets to enable it to consolidate its strong market position in the U.K. and to export its deep experience in the sector to Europe, Australia, North America and beyond.

The transaction has seen the formation of a partnership between Foresight and Material Change Ltd. and its parent company Heathpatch Ltd.  As part of the deal, Material Change has entered into long term feedstock supply, digestate offtake and management and maintenance services contracts.

Foresight continues to nurture a strong global AD project pipeline of both operational assets and greenfield opportunities.

“We are very much looking forward to working with Material Change to optimize the performance of these AD and composting sites and to building on our strong relationship with Heathpatch to complete further acquisitions together as part of our wider AD aggregation strategy,” said Robert Guest pf the Foresight Group LLP.

“We are delighted to have entered into this partnership with Foresight and look forward to developing and enhancing the acquired sites and also to acquiring further sites and assets,” said Charles Course of Material Change and Heathpatch. “We hope that the combination of Foresight’s expertise, and our knowledge and experience in agriculture, waste processing, AD development and operation will make us a first choice for anyone considering the sale, or enhancement, of AD assets.”