LONDON (Alliance News) - SIMEC Atlantis Energy Ltd on Tuesday said it has agreed a joint venture which would see it build what it said would be the largest tidal power project in Europe.
SIMEC will work with the Development Agency of Normandy in France on a "large-scale" project in Raz Blanchard.
SIMEC, which will have a majority stake in new joint venture Normandie Hydrolienne, hopes to harness up to two gigawatts of power from the Alderney Race, an eight-mile straight that runs between the Channel Island of Alderney and La Hague in France.
Further, it could also develop another one gigawatts from next door concessions in the neighbouring island of Alderney.
Combined, SIMEC said, these assets could provide more power than England's Hinckley Point C nuclear power station and at lower cost.
SIMEC, if the project is feasible and gets all the necessary permissions, hopes to begin construction in 2021.
Chief Executive Tim Cornelius said: "Raz Blanchard is sitting on a huge amount of renewable, predictable energy and we wish to bring our project development, financing and power production expertise to help the region of Normandy create jobs and attract a substantial amount of investment into the region."
"Our techno-economic feasibility study plans for the delivery of an initial one gigawatt of operational capacity by 2025, which could be quickly expanded to two gigawatts by 2027, at a levelised cost of energy competitive with offshore wind farms currently in construction in France."
In a separate announcement, SIMEC also said it is in advanced plans to add two new tidal turbines to its MeyGen tidal energy project, under construction on the coast of Scotland. The new turbines will reduce costs, SIMEC said.
SIMEC shares were 8.5% higher on Tuesday at a price of 12.75 pence each.
SIMEC Atlantis Energy (SAE)