Drax leans into battery storage with £157m shift into grid‑scale flexibility

Drax Group plc

Drax has agreed to acquire three battery energy storage system (BESS) projects from Apatura for £157.2 million. The portfolio totals 260 MW across two sites in Scotland and one in Northern England. All three are ready-to-build, with staged payments tied to progress milestones through to 2028. Construction is expected to begin in 2026, with the first site targeted to come online in 2027.

Drax is moving decisively into short-duration storage as part of its broader FlexGen strategy, which includes flexible gas, long-duration hydro, and now grid-connected battery systems. Once built, these projects will add a new layer to Drax’s 1.8 GW of dispatchable flexible capacity, separate from its 2.6 GW main generation site.

The deal structure itself is designed to manage capital exposure. Drax will release funds against delivery milestones, allowing it to tie expenditure to real progress while preserving balance sheet flexibility. It also secures an option to acquire a further 289 MW across eight additional sites from Apatura, potentially more than doubling its battery pipeline in a cost-controlled manner.

Drax Group plc (LON:DRX), trading as Drax, is a power generation business. The principal downstream enterprises are based in the UK and include Drax Power Limited, which runs the biomass fuelled Drax power station, near Selby in North Yorkshire.

Share on:
Find more news, interviews, share price & company profile here for:

Latest Company News

Drax signs 250MW battery storage tolling agreement with Fidra Energy

Drax has entered into a 10-year tolling agreement with Fidra Energy for a 250MW (500MWh) battery energy storage system at West Burton in England.

Drax strengthens flexibility ambitions with Flexitricity acquisition

Drax’s planned acquisition of Flexitricity boosts its positioning in the UK flexibility and storage market.

Drax expands FlexGen platform with Flexitricity acquisition

Drax has signed an agreement to acquire Flexitricity, an Edinburgh-based provider of optimisation and route-to-market services for flexible energy assets.

Drax secures biomass supply agreement for US aviation fuel project

Drax signs deal to supply biomass for new US plant aiming to produce carbon-negative aviation fuel.

Drax deepens community ties in the US south with fundraising drive

Drax boosts US community ties with record local fundraising for child and family services.

Drax builds local links through seasonal initiative at Cruachan Visitor Centre

Drax hosted a fundraising event at its Cruachan Visitor Centre, supporting Oban RNLI and reinforcing community ties near a key energy site.

Search

Search