LONDON (Reuters) - Global energy trader Mercuria has teamed up with U.S. private equity firms to invest in renewable energies, its chief executive told the FT Global Commodities Summit.
“A few months ago, we joined forces with a private equity firm to invest in the renewables space in North America. It’s a $1.5 billion fund,” CEO Marco Dunand said.
Together with Encap Investments’ energy transition fund and Yorktown Partners, Geneva-based Mercuria has committed to invest up to $1.5 billion in renewable energy projects, a spokeswoman for Mercuria said. Encap Investments is one of the largest energy funds in the United States.
The three firms have together already invested in Broad Reach Power. Broad Reach Power owns a three-gigawatt portfolio of solar and energy storage power projects in Montana, Wyoming, California, Utah and Texas.
Dunand added that 50% of Mercuria’s new investments would be in renewable energy over the next five years.
(This story corrects description of Broad Reach in headline and throughout)
Reporting by Julia Payne; editing by Louise Heavens and Jason Neely
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