Creation Covenant Alliance

Zeus Valuation Reveals Potential for Significant Upside

SAE Renewables (LON:SAE) is set to reshape the UK's energy landscape with 1.3GW BESS projects and tidal power initiatives.
SAE Renewables

SAE Renewables (LON:SAE) is making significant strides in reshaping the UK’s energy landscape. Analyst Daniel Slater from Zeus Capital highlights SAE’s focus on Battery Energy Storage Systems (BESS) and tidal power. With considerable government support and a robust project portfolio, SAE is positioned for substantial growth.

Battery Energy Storage Systems (BESS)

SAE’s BESS portfolio is central to its renewable energy strategy, boasting 1.3GW of projects across Wales and Scotland. A notable 230MW project has already been sold and is progressing, underscoring these ventures’ feasibility.

Key Highlights of SAE’s BESS Portfolio

    • Extensive Project Pipeline: SAE has 926MW of development projects at Uskmouth in Wales and Mey in Scotland, expected to drive significant growth.
    • Land and Grid Connections Secured: Secured land and grid connection offers at Uskmouth and Mey provide a solid foundation for future BESS deployment.
    • Initial Project Success: The sale of the 230MW BESS project at Uskmouth for £19.9 million highlights the potential for additional investment in upcoming projects, crucial for funding capital expenditures (CAPEX).
    • Financial Projections: SAE’s BESS portfolio could support an annual EBITDA of around £34 million by the early 2030s once operational.

Tidal Power: The MeyGen Project

SAE’s MeyGen tidal stream project in Scotland is a vital part of its renewable energy portfolio. With 6MW already operational and government Contracts for Difference (CFDs) for an additional 50MW, it represents a significant growth opportunity.

MeyGen’s Potential and Achievements

    • Proof of Concept: The existing 6MW project has generated over 63GWh of electricity, validating SAE’s technological approach and leadership in tidal stream power.
    • Future Expansion: With a total site capacity of 398MW, MeyGen offers significant potential. Recent CFDs support further development phases, laying a foundation for investment and growth.

Valuation and Outlook

Analyst Daniel Slater values SAE’s BESS business at 5.9p per share and the tidal business at 1.4p per share, totaling 7.3p per share. This valuation reflects potential growth from ongoing project developments and strategic partnerships.

Slater states, “We believe progress of the project portfolio, particularly the BESS projects, should drive the share price over the coming months and years.”

Strategic Positioning in Renewable Energy Market

SAE is strategically positioned to capitalize on the UK’s renewable energy targets. With a robust portfolio of BESS and tidal projects, government support, and strategic partnerships, SAE has the potential to drive significant growth and value for shareholders. Investors should monitor the company’s progress in securing funding, advancing project developments, and achieving key milestones.

Original Story at www.directorstalkinterviews.com

Trending News

Mississippi River Faces Persistent Saltwater Intrusion, Region Seeks Long-Term Solutions



For the third consecutive year, the Mississippi River is experiencing significant saltwater intrusion, prompting local communities and environmental experts to search for sustainable solutions. This recurring issue arises as the river’s flow decreases, allowing saltwater to move upstream and threaten drinking water supplies. The U.S. Army Corps of Engineers is actively involved in addressing this problem, employing temporary measures like saltwater barriers to mitigate the impact on affected areas.



Saltwater infiltration poses serious risks to public health and agriculture, as freshwater sources become compromised. The situation is exacerbated by prolonged periods of drought, which have reduced freshwater flow in the Mississippi River. According to the National Weather Service, drought conditions have worsened due to climate change, increasing the frequency and severity of saltwater intrusion events.



Local authorities are collaborating with federal agencies to explore permanent solutions. Among the proposed strategies are enhanced levee systems and improved water management techniques. The U.S. Army Corps of Engineers is evaluating the feasibility of long-term infrastructure projects to prevent further saltwater encroachment. Additionally, community leaders are advocating for increased funding to support these initiatives and safeguard the region’s water resources.



The impact of saltwater intrusion extends beyond drinking water concerns, affecting local ecosystems and agricultural productivity. Farmers in the region have reported crop damage due to elevated salinity levels in irrigation water. The Natural Resources Conservation Service is working with farmers to implement adaptive practices, such as planting salt-tolerant crops and improving soil management techniques.



As the Mississippi River continues to face challenges from saltwater intrusion, stakeholders emphasize the importance of collaborative efforts and innovative solutions. The ongoing threat underscores the need for comprehensive planning and investment to protect one of America’s most vital waterways from the impacts of climate change and environmental stressors.

November 19, 2024



Environmental activists have raised concerns over the fossil fuel sector’s significant impact on COP29, the latest United Nations Climate Change Conference. Activists argue that the industry’s presence diverts focus from critical climate actions.



The conference, designed to promote global climate agreements, faces criticism for allowing fossil fuel companies to participate extensively. Environmental groups claim these companies undermine efforts to reduce carbon emissions and transition to renewable energy sources.



According to Climate Action Network, fossil fuel representatives have increased their lobbying activities, aiming to weaken climate policies. These industries allegedly influence negotiations, leading to watered-down commitments that fail to address the urgency of climate change effectively.



Experts suggest that the influence of these companies stems from financial contributions and longstanding relationships with decision-makers. Critics argue that this affects the conference’s ability to enforce meaningful climate change regulations.



During the event, several protests highlighted the need for transparency and a stronger focus on sustainable energy solutions. Activists are calling for increased participation of renewable energy stakeholders in future conferences.



The controversy surrounding fossil fuel involvement at COP29 underscores the ongoing challenge of balancing industrial interests with the global imperative to combat climate change.



November 19, 2024