Capwatt, a multinational group specializing in sustainable energy solutions, has successfully secured €12.5 million in green financing to support the development of a new biomethane production facility in Portugal. The project aims to produce renewable natural gas by converting agro-industrial by-products, contributing to decarbonization efforts and circular economy initiatives.
The facility, located in Aljustrel, will process residues from the AZPO – Azeites de Portugal plant, a local agro-industry producer, to generate biomethane. Once operational, it is expected to produce approximately 57 GWh of renewable natural gas annually and reduce carbon dioxide emissions by around 23,000 tonnes per year, aligning with both national and European climate targets.
The financing was provided by a syndicate of Crédito Agrícola savings banks, with the deal adhering to stringent Environmental, Social, and Governance (ESG) criteria. This underscores the financial and environmental robustness of the project, which is seen as a strategic step in Capwatt’s broader investment plans in renewable energy and fuels infrastructure across its regions of operation.
Supporting services for the project included technical advice from G-Advisory, legal counsel from Linklaters, and consulting from OCA Global Consulting. The project also benefits from a €2.3 million non-repayable grant awarded by Portugal’s Environmental Fund, which aims to promote sustainable development initiatives.
Filipa Nolasco, Capwatt’s Chief Financial Officer, emphasized that the financing reinforces the company’s commitment to innovation, energy transition, and environmental sustainability. She highlighted that the deal aligns with Capwatt’s strategic goals and enables the company to expand its renewable energy portfolio.
Nolasco also noted that the confidence of the syndicate, together with the expertise of the project partners and the dedication of the Capwatt team, were instrumental in bringing the project to fruition. The company views this initiative as a key step toward reducing environmental impact while contributing to Portugal’s renewable energy targets.
