LONDON (ShareCast) - (Sharecast News) - Simec Atlantis Energy announced on Monday that the Prefecture de la Manche has approved the transfer of the lease to develop a 12MW tidal power project in Raz Blanchard from ENGIE to Normandie Hydroliennes.
The AIM-traded firm said Normandie Hydroliennes is the marine energy development company set up between itself, the Development Agency for Normandy (AD Normandie), the regional agency for economic development in Normandy, the regional investment fund Normandie Participations, and local industrial group EFINOR, which provides high-end engineering services and manufacturing support for the naval, nuclear, and aerospace industries.

Normandie Hydroliennes has been working with the French Environmental and Energy Management Agency (ADEME) and the relevant government ministries for the last year to obtain the relevant approvals for the transfer for what would be the first stage of a potential multi-hundred-megawatt project marine energy project in Raz Blanchard, the board explained.

It said Raz Blanchard in Lower Normandy was France's strongest tidal current, holding 50% of the national tidal power potential.

Owning 49% of the joint venture, Simec Atlantis was the main shareholder and was seeking to expand the collaboration into a larger tidal project in Normandy and Alderney territorial waters.

Normandie Hydroliennes had a long-term goal to harness up to 2GW of power from the Alderney Race - the eight mile strait that runs between Alderney and La Hague, France - as well as more than 1GW of resource from adjacent concessions under the control of the States of Alderney.

"We are delighted to have received the relevant approvals to transfer this lease which will allow us to now immediately progress with the development of one of the largest tidal power arrays in Europe," said chief executive officer Tim Cornelius.

"The territorial waters of Normandy have huge untapped tidal power resource and material progress can now be made in setting up the infrastructure and supply chain required in Normandy to deliver this €50m+ project."

Cornelius said the approval would allow the firm to "get on with the task" of delivering sustainable power to the region, while also creating jobs and attracting "substantial investment" in the area.

"Normandie Hydrolienne is committed to ensuring that this array is the catalyst for the installation and delivery of at least 1GW of operational capacity in the Alderney Race, which could be quickly expanded to 2GW with the right investment, government support and collaboration with developers from across France."

At 1630 BST, shares in Simec Atlantis were up 5.71% at 11.1p.

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