Atlantis scores £6.5 million

Business & Finance

Edinburgh-based tidal energy developer, Atlantis Resources, has raised approximately £6.5 million through conditional placing of shares.

The proceeds will be used to fund project development activities across the Atlantis project portfolio and to meet the general working capital requirements of the company.

Namely, the raised funds will be used to assist in bringing MeyGen Phase 1B in 2016, and 1C in 2017 to financial close.

The proceeds are also intended to be used in achieving financial close for the 10 MW Sound of Islay project on the west coast of Scotland.

To remind, Phase 1A of the 398 MW MeyGen tidal array project is expected to produce first power in 2016, paving the way for the build out of further capacity, including Phase 1B, which will add a further 6 MW of capacity, followed by 74 MW in Phase 1C bringing the installed capacity at the site to 86 MW.

The MeyGen Phase 1B has received a €17 million grant from the Europan Commission’s NER300 programme in October 2015, which also provided €21 million for the Sound of Islay project.

Tim Cornelius, CEO of Atlantis, said: “Through this successful placing both existing and new shareholders have demonstrated their support for Atlantis, our recent achievements and our ambitions for the future – both in the immediate and longer term. We look forward to working with our partners to further the development of the tidal stream industry in the UK and beyond.”

Atlantis placed 11,888,460 of new ordinary shares at a price of 55 pence per share.

The company is currently in the process of finalising its financial statements for the year ended December 31, 2015, and forecasts a maiden profit for the year of £2.7 million.