Gore Street Energy Storage Share Discussion Threads

[nickelmer] 14/12/2023 07:35

Fully funded to complete the full build-out, dividend cover is increasing and should increase further as sites go live, very good looking forward imho

[scruff1] 14/12/2023 07:16

Results out. Divi covered 1.15x. Divi increased by o.5p Decrease in NAV per share. No increase in operational capacity (Stony???). Earnings down £2.6m. Total return down 3.9%.
My first reading = not great - more jam tomorrow. Back to the waiting game.

Others views?

[cocopah] 11/12/2023 22:53

The last month has seen the share price flatten-out at c85p. Assuming that the NAV stays around £1.15 at the next update (so that next year’s dividend is 8p) and that income has improved to cover the dividend … it will be interesting to see whether this is enough to narrow the NAV/share price gap to £1.00.🤞995;🤔

[mirandaj] 09/12/2023 13:16

Ends FYI

Gore Street has one of the more internationally diversified BESS portfolios in the world. It has around 1GW in operation in the UK, as well as assets in Ireland, Germany and Texas’ ERCOT market, as well as a 200MW/400MWh asset in construction in California’s CAISO market.

In a recent appearance on specialist podcast Redefining Energy, Gore Street CEO Alex O’Cinneide said that on average, Gore Street Energy Storage Fund’s assets earned about £19/MW (US$24/MW) throughout the past year. Spreading its investments across different markets enables much higher revenues, O’Cinneide said, with average revenues in the UK at about £6/MW for the same period.

O’Cinneide, who was selected by judges for the Outstanding Contribution award at this year’s Energy Storage Awards, hosted by our publisher Solar Media, said in a statement today that this international experience and grounding as an early mover in the UK market would be an advantage in the new Tokyo Metropolitan Government fund.

“We have developed a specialist platform offering the full range of technical expertise needed to successfully monetise energy storage assets throughout their lifetime, from acquisition and construction, asset management and commercialisation all the way through to decommissioning and recycling,” the CEO said.

“We look forward to bringing this experience to Japan, alongside our partners at ITOCHU, to deploy the energy storage capacity needed to accelerate the country’s clean energy transition to a low-carbon and sustainable future.”

[cocopah] 05/12/2023 12:42

So, could this be a forerunner to the next diversified GSF investment being in Japan? I have asked the CEO the question.

I strongly believe the name of the game here is buildout and increase trading income as BESS becomes a more competitive and saturated market.

Eager to see the results in a fortnight.🤞🏻🤞
27995;

[waterloo01] 04/12/2023 21:15

A negative would be the focus, but equally, they will want their main fund, to perform well, they can take further risk elsewhere. I look forward to fully covered dividend, a healthy return and growing nav. In theory

[rogerrail] 04/12/2023 18:55

Well it does provide some crumb of comfort and a degree of confidence that the fund managers are not a complete bunch of charlatans.

[mirandaj] 04/12/2023 14:49

More information



LONDON, Dec. 4, 2023 /PRNewswire/ -- Gore Street Capital and ITOCHU Corporation have been selected by the Tokyo Metropolitan Government (TMG) to launch Japan's first fund dedicated to grid-scale energy storage systems.

The two firms have been jointly selected as the managers of TMG's energy creation and energy storage promotion fund following a competitive process held in April 2023. The pair will launch a joint venture to manage the public-private partnership fund, to which TMG will contribute ¥2bn (£10.6m) in funds by the end of fiscal year 2023. Additional funding will be raised from the private sector, including from ITOCHU.

The fund will be targeted at projects in the Kanto region of Japan. TMG intends for the energy storage assets to support its efforts to expand renewable electricity usage to 50% by 2030. ITOCHU is already developing several grid storage battery projects in Japan, with a cumulative total of more than 100 MWh of assets under development.

Alex O'Cinneide, CEO of Gore Street Capital, said: "We are proud to have been selected as the joint manager of Japan's ;first dedicated energy storage fund in partnership with ITOCHU. 

"Gore Street Capital was one of the first to act in Great Britain's energy storage market back in 2016 and, in its capacity as investment manager of the internationally diversified Gore Street Energy Storage Fund (LSE: GSF), has a proven track record of acquiring and managing a large portfolio of energy storage assets across multiple OECD jurisdictions.

"We have developed a specialist platform offering the full range of technical expertise needed to successfully monetise energy storage assets throughout their lifetime, from acquisition and construction, asset management and commercialisation all the way through to decommissioning and recycling.

"We look forward to bringing this experience to Japan, alongside our partners at ITOCHU, to deploy the energy storage capacity needed to accelerate the country's clean energy transition to a low-carbon and sustainable future."

The new fund will aim to establish a new green financing model for investments in Japan's ;nascent utility-scale energy storage sector. GSC and ITOCHU will jointly manage the investment and technical decisions taken by the fund, creating the foundations for the country's future deployment of grid-level energy storage assets.

Several revenue streams are already in place nationally to support new energy storage, including access to Japan Electric Power Exchange (JEPX) – one of the most mature wholesale energy markets in the Asia–Pacific region – and grid balancing services.

New ancillary services are expected to launch in 2024 alongside a low-carbon capacity market allowing battery energy storage of three hours to participate in auctions scheduled for 2023 and 2024 and secure subsidies over a 20-year period.

Suminori Arima, chief investment officer at Gore Street Capital, said: "We are highly experienced in entering new markets as a first mover to help establish energy storage as crucial technology of the energy transition. The market conditions in Japan are poised to offer significant opportunities for those willing to take them.

"Through this collaboration with ITOCHU, we are excited to build on our experience and help shape the future of the Japanese energy storage sector."

Notes to Editors 

About Gore Street Capital

Gore Street Capital was formed in 2015 as a global platform to acquire and manage renewable energy solutions. As an experienced renewable energy, infrastructure, and private equity investment manager, it supports robust businesses and high-performing assets that contribute towards the transition to a low-carbon economy. ̷9; 

In 2018, Gore Street Capital created the UK energy storage investment class, listing Gore Street Energy Storage Fund (LSE: GSF) on the premium segment of the London Stock Exchange. As the Investment Manager of GSF, it has played a material impact in the growth of GSF from £30m to finance the acquisition of a 10 MW seed portfolio in Great Britain to a market cap of over £451m as of 30 June 2023.   

Gore Street Capital comprises a diverse team of 45 energy professionals in GB, Ireland and the US working across finance, construction, engineering, legal and more to support the construction and operation of energy storage systems around the world. It currently manages an energy storage portfolio of almost 1.2 GW spread across five uncorrelated energy markets, supported by a global supply chain.

www.gorestreetcap.com / [e-mail] / 0204 551 1382

Executive directors:

Alex O'Cinneide is CEO and Chair of the Investment Committee of Gore Street Capital, which he founded in 2015 as a global platform to facilitate the deployment of renewable energy solutions. Alex's career has included senior roles at KPMG, Quorum European Partners, Kleinwort Benson, Paladin Capital Group and utility-scale renewables developer Masdar Capital, where he served as Head of Investments and General Manager for six years. He holds academic qualifications from Trinity College Dublin, the London Business School and the London School of Economics and Political Science.

Suminori Arima is Chief Investment Officer and Chief Financial Officer of Gore Street Capital. He previously led renewable energy transactions as Managing Director of Kleinwort Benson and was responsible for private equity investment management for over $1bn of asset under management while serving as Managing Director of RHJ International/Ripplewood in Tokyo (parent company of Kleinwort Benson).  He has also worked in Debt Capital Markets at JP Morgan and prior to that, at McKinsey & Company.

[someuwin] 04/12/2023 07:22

04 December 2023

Gore Street Energy Storage Fund plc

(the "Company" or "GSF")

Investment Manager appointed as co-manager of Japan's first energy storage fund

Gore Street Energy Storage Fund plc, the internationally diversified energy storage fund, is pleased to share that its Investment Manager, Gore Street Capital ("GSC" or "Investment Manager"), has been selected as the co-manager of Japan's first dedicated fund for grid storage batteries , with the Tokyo Metropolitan Government as the cornerstone investor.

The Tokyo Metropolitan Government will contribute Yen2bn (GBP10.6m) to the fund within the current fiscal year ending 31 March 2024. GSC will draw on its extensive technical expertise to support the fund's energy storage asset selection, construction, and operation.

Pat Cox, Chair of the Company, commented:

"We are pleased that Gore Street Capital has been selected as co-manager of this fund alongside ITOCHU, recognising its position as a leader within the energy storage sector. The Investment Manager has built a specialist platform for energy storage, which now comprises over 40 professionals across three countries.

"Gore Street Capital remains well-placed and crucially well-resourced to continue supporting GSF. We look forward to seeing GSC leverage its unique experience and strong track record of successfully entering new markets and subsequently operating assets in these markets as it begins this new venture with the Japanese storage fund."

[mirandaj] 01/12/2023 16:05

Possibly worth reading this RNS from 12th October again?

[18bt] 01/12/2023 10:42

Useful graph of BESS pricing and all UK installed capacity at: Modo has just got some VC funding.

[fordtin] 29/11/2023 17:04

Been skimming through the UK Battery Strategy doc.

Looks like it's probably worth a more careful look;

"Both The Faraday Institution and BloombergNEF models use National Grid: Future Energy Scenarios250 to estimate demand for grid storage. They model demand for energy storage under different scenarios of the whole energy system to 2050, including falling short of Net Zero commitments and reaching net zero by 2050 in three different ways, to reflect the inherent uncertainty in these estimates. They estimate that BESS could provide 10-20GW of capacity to the UK grid by 2030, and 30-35GW by 2050, representing the largest installed capacity compared to other storage technologies. In their models of total demand, The Faraday Institution and BloombergNEF estimate around 5-10GWh demand for grid storage by 2030.
These battery demand models are built on assumptions around EV production, the battery energy storage demand per year, and battery capacity forecasts. Differences in these key assumptions explain some of the variation between different models. Further details are available on The Faraday Institution251 and Bloomberg252 models"

UK Battery Strategy
Published November 2023
by Department for Business & Trade

[llef] 29/11/2023 16:34

fordtin, thanks for the info.

so re my charging question, the answer seems to be ... "it depends on the battery"...

I guess that's fair enough, but it would be nice if GSF (and/or other BESS companies) provided that sort of info on their website, or presentations.

[fordtin] 29/11/2023 15:55

llef - had another look and this popped up straight away

"What is the Battery C‐Rate?

A battery’s C rating is the rate at which a battery can be fully charged or discharged. For example, charging at a C-rate of 1C means that the battery is charged from 0 - 100% or discharged from 100 - 0% in one hour.

A C-rate higher than 1C means a faster charge or discharge, for example, a 2C rate is twice as fast (30 minutes to full charge or discharge). Likewise, a lower C-rate means a slower charge or discharge, as an example, a C-rate of 0.25 would mean a 4-hour charge or discharge."




I haven't had time to read this yet, just parking the link here so I know where to find it;
UK Battery Strategy
Published November 2023
by Department for Business & Trade

[fordtin] 29/11/2023 15:43

llef - I've tried to find info on that before, but found nothing so far.

The website is still showing Ferrymuir (49.9 MW) Target Energisation - November-end.

Do you think they'll give an update this week, or just leave us to guess?

[waterloo01] 29/11/2023 15:34

Quite a change in price since the summer.

[llef] 29/11/2023 14:15

wholesale price of UK electricity under £90 per MWH between midnight and 5am, and over
£230 between 4pm and 6pm tomorrow.

Decent turn there for battery storage - does anyone know what is the efficiency of the batteries used for storage, and how long does it take to charge up a 50MW/100MWH installation (ie is it 2 hours, 4 hours etc).

cheers

[cocopah] 28/11/2023 14:18

The closure of the NAV to share price gap is welcome, however I foresee income pressures in the other markets too which will only intensify as more storage comes on-line. It will be interesting to see if the divi cover is over 1.0.

So the challenge is growth of producing assets to mitigate this pressure (and of course we know grid connection is not under GSFs control).

As long as the NAV stays above £1.14 the dividend will be 8p this year so the NAV value is a significant focus for me too.

Seminal year for GSF methinks!🤞🏻🤞7995;

[mirandaj] 25/11/2023 12:24

Presently being promoted by National Grid FYI:



This last updated in May:

[alan pt] 24/11/2023 16:35

If the results are good and push it well into the 90's then I'll trim a bit, but still seems good to fair value at this level

[waterloo01] 24/11/2023 12:16

Indeed nor did the price of renewables in the UK earlier in the year, where you were being paid to power up the batteries, a bit like that time a few years back when oil went negative, UK prices have picked up and will again as the weather turns colder, so better for sector, but what I like here is the revenue mix both geographically and via trading

[mirandaj] 24/11/2023 11:57

Quite a large amount of shares were sold for whatever reason. That did not help the price waterloo01

[lord gnome] 24/11/2023 11:38

Worth buying for income alone. The dividends look safe and set to increase over time plus you have the prospect of capital growth with the discount to NAV closing as interest rates fall next year. Still a strong buy.