Spain’s desirable renewables

GOLDMAN SACHS announced the launch of Verdalia Bioenergy involving an investment of more than €1 billion in Europe’s biomethane sector.

The American multinational investment bank and financial services company will focus on ‘developing, acquiring, building and operating’ biomethane plants across Europe, contributing to the European Union’s decarbonisation agenda.

Verdalia will invest in early­stage development projects and larger operational assets and has already signed its first agreement, subject to regulatory approval.

Once given the go­ahead, Verdalia will purchase a portfolio of biomethane projects in mid­stage development in Spain, with a total capacity of approximately 150 gigawatts per year. Goldman Sachs is joining forces with Fernando Bergasa and Cristina Avila.

The former chiefs of Spanish electricity, oil and gas distribution company Redexis, they have a strong track record in the natural gas sector, Goldman Sachs sources said. Under their leadership, Verdalia aims to become a leading biomethane operator, starting in Spain and subsequently expanding across Europe, deploying more than €1 billion over the next four years.

BRITISH AMERICAN TOBACCO (BAT), which formerly dominated 25 per cent of the Russian market, intends to leave this year.

Following the Ukraine invasion BAT, which makes Rothmans and Lucky Strike, announced that it intended to leave Russia and would sell its operation there to a local partner. It is also making plans to transfer its unit in Belarus in 2023.

The group reported an adjusted profit of £12.4 billion (€13.9 billion) in 2022, an 11 per cent increase on 2021 thanks to demand for its e­cigarettes and oral nicotine products.

Glass ceiling

“We are excited to work with Goldman Sachs Asset Management and benefit from their investment experience,” Fernando Bergasa, Verdalia’s executive chairman said.

“Renewable gas will be a key tool to assist Europe in its commitment to becoming carbon neutral by 2050.”