Energy firm secures €2.6m on AIM

IRELAND could meet 20% of its electrical energy needs, launch €4 billion worth of new projects and create thousands of new jobs by developing two areas of green energy.

Chief executive of Cork-based green energy company Kedco, Donal Buckley, believes Ireland could enjoy huge energy import replacement gains by developing its anaerobic digestion and gasification energy capabilities.

Kedco yesterday secured €2.6 million from a placing on London’s AIM index by new investors and existing Kedco directors. The share price enjoyed a lift of about 3% yesterday to 18p (25 cent) on the London AIM, where the company’s market capitalisation is listed as £32.47m (€35.33m).

Kedco will use these new funds on three new projects, one in London, one in the North, and one in the Republic.

The company’s primary focus is presently on Britain, where it gets 18.5 cent per Kw of energy produced. Ireland pays 12c per Kw, 35% lower than Britain. Austria pays 20c, Germany 18c, while Italy pays 28c per Kw.

“Ireland could create €4bn worth of new projects and meet 20% of our electrical energy needs by investing in anaerobic digestion and gasification,” said Mr Buckley.

“Other EU countries have invested hugely in these areas, because it gives them greater energy independence, it creates thousands of jobs and it replaces costly imports.

“We will invest most of the capital raised from the AIM placement in the UK because of the higher price per Kw we get there. We are one of the forerunners in this field worldwide. It’s funny being one of the world’s most advanced companies in this area, and yet we’re operating out of a little corner of Cork.”

Enterprise Ireland has also invested €500,000 in Kedco shares. The following directors of Kedco have bought new shares in the company: Diarmuid Lynch, William Kingston, Donal Buckley, Edward Barrett, Michael Madden, Donal O’Sullivan and Alf Smiddy.

Donal Buckley’s holding is 481,667 ordinary shares, or 0.21% of the firm. The total number of voting rights has increased to 224,822,627. As far as Kedco is aware, about 57.5% of the company’s issued share capital is not in public hands.

Kedco has 30 identified projects of which one has signed contracts, two have binding letters of intent and 15 have non-binding letters. Of these, 18 projects have a potential aggregate capacity of 72 MW.

Kedco are experts in technologies such as dry fermentation, gasification, biomass heating, power generation through the installation of Combined Heat and Power units, domestic wood pellet boilers and solar panels.