Westfield energy park developer close to securing funding

REGENERATION: Brockwell was formed last year to look after interests of parent group Hargreaves Services including Fife site

Industrial group Hargreaves Services expects its energy development spin-off Brockwell to secure a full funding package within months.

The company was formed last year to look after a portfolio of energy projects including the redevelopment of the Westfield open-cast mine near Kinglassie in Fife and the Earl’s Gate combined heat and power plant at Grangemouth.

The Westfield development received outline consents from Fife Council in the autumn and plans include a gas-fuelled power station, solar farm and industrial park.

The developers have said they expect to create up to 1,000 construction jobs during the 10-year build phase and a further 1,500 full-time roles when the regeneration work is complete.

In a half-year update, Hargreaves chairman David Morgan said Brockwell was in talks with a number of potential backers.

“A key element of the value creation in the property and energy portfolio is the separation and spin-off of the energy business into Brockwell Energy Limited,” Mr Morgan said.

“The process to secure funding for Brockwell is well advanced with discussions progressing with several credible financial institutions.

“The Brockwell management team and their advisers have indicated that they are confident of achieving financial close within the next few months.”

The update came as Hargreaves revealed a £2.7 million operating loss for the six months to November 13.

Stripping out exceptional costs, the group produced an underlying operating profit in the period of £2.3m, up marginally on the same half in 2016.

Revenues were down by £20.6m to £150.3m compared with the previous year.

Mr Morgan added: “Progress on the key strategic objective of realising value from the group’s property and energy assets has continued with further significant news, particularly in respect of the energy portfolio, expected in the next few months.”

Picture: Wullie Marr. The former Westfield open-cast mine site in Fife is in line for a major redevelopment by Hargreaves Services spin-off Brockwell.