Osborne Clarke Advised NORD/LB On EUR 86.5 Million German Battery Energy Storage System
Osborne Clarke Advised NORD/LB On EUR 86.5 Million German Battery Energy Storage System
To be developed by Nofar Energy, it is expected to become operational by early next year
Global law firm Osborne Clarke has advised NORD/LB, one of the global leaders in sustainable project finance, on their first large-scale battery energy storage system (BESS) financing in Germany.
The 209MWh Stendal project, developed by Nofar Energy, is likely to become operational by early 2026.
The landmark deal secured EUR 86.5 million of long-term debt financing. It was based on a seven-year fixed-price flexibility purchase (tolling) agreement with a leading global energy corporation, a first-of-its-kind transaction in the country.
Florian Hock, the senior director at NORD/LB stated, “The deal marks a significant milestone for NORD/LB in Germany as we continue to deliver on our mission to finance important projects that accelerate the renewable energy transition across Europe. The BESS deal is our first in Germany, and we’ll utilize our comprehensive financing expertise to help develop future ones across the country, which will be essential for solving the solar and wind intermittency challenge.”
Daniel Breuer, the head of Osborne Clarke’s Energy & Energy Transition group in Germany, said, “The landmark deal demonstrates the capabilities and bench-strengths of our battery storage practice, combining experience and in-depth market understanding around BESS as regulated asset, flexibility marketing (tolling) and project finance. Batteries are pivotal for the energy transition and we are grateful for the trust of NORD/LB selecting us as lender legal advisor.”
The Osborne Clarke team advised NORD/LB was led by Olexiy Oleshchuk (Project Finance) and Dr Daniel Breuer (Energy/Tolling).
It included Andreas Baumann, Reinhard Bunjes, Hriday Chawla, Arsen Dutka (Project Finance), Dr Marleen Rheker, Dr Maria Batyreva, Dr David Langenbach (Energy/Project Contracts) and Dr Thies Goldner, Dr Maximilian Orthmann, Friedrich Polzin and Tim Schultze (Permit/Real Estate).
