UK Coal unveils wind farm plans

The UK’s largest coal-miner – not a 7ft tall Yorkshire bloke called Bob but the company UK Coal – says it is exploring plans to develop wind farms on land it owns.

UK Coal has signed a two-year agreement with onshore wind farm developer Peel Energy to “assess and potentially develop” wind farms on sites within UK Coal’s land portfolio.

The company says the wind farms will have no impact on its mining and property business and that most of the land likely to be developed has little value for alternative commercial use.

Peel Energy will evaluate potential sites and if a site is submitted for planning permission a special purpose company will be formed by Peel Energy with UK Coal getting the option to buy a 50 per cent stake. UK Coal will also grant the special purpose company an option for a 30-year lease on the land at an open market rent.

There are 14 wind farm sites already identified by UK Coal and at varying stages of development that will also be covered by the agreement. These 14 sites have the potential for 54 wind turbines generating up to 133MW of power.

Jon Lloyd, chief executive of UK Coal, said:

“We believe there is significant opportunity to develop wind farms on parts of our land portfolio. By allying with Peel Energy, we are joining forces with one of the UK’s most active and knowledgeable wind power companies. This will accelerate our alternative power business whilst maintaining total flexibility on the level of investment we make in it and without distracting us from our core mining and property development operations.”

More details here.