Expansion in Scotland for Boralex

In recent years, the demand for green energy has only increased. Various companies are taking advantage of the situation to increase their production of renewable energies. A good example is Boralex (TSE: BLX), which made the strategic choice to set up in Scotland to diversify its activities.

Boralex, a small Quebec company that mainly develops wind farms, joins the British company Infinergy to develop a new wind farm in Scotland. This new facility owned 50-50 by both companies will have an electric power of 325MW. This project consists of a network of 10  sub-projects of 6-80 MW. This new project is added to the 70MW already owned by Boralex in Scotland. The contract stipulates that Boralex will be able to fully purchase the new farm or resell it in the coming years.

The choice of Scotland is not trivial. Indeed, Scotland is currently one of the places where subsidies are the most generous for the development of green energy, unlike the rest of Europe where the amount of subsidies is decreasing. Also, there is a tendency in the major European and American cities to encourage the purchase of green energy to improve their environmental footprint. This is an excellent news for companies such as Boralex, which therefore has a good chance of seeing its market share increase over time to fill new demands. Boralex has facilities in Quebec, United States, France and Scotland.

Bibliography

Boralex. Boralex and Infinergy announce joint venture for 325 MW onshore wind in the UK. From : https://www.boralex.com/cms/uploads/58a11c754724be4193bf8ae72f831917.pdf

MarketWatch. Boralex and Infinergy announce joint venture for 325 MW onshore wind in the UK. From : https://www.marketwatch.com/story/boralex-and-infinergy-announce-joint-venture-for-325-mw-onshore-wind-in-the-uk-2017-10-17-320200

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