Espoo, Finland: Fortum has issued a press release stating that it has signed a 10-year operation and maintenance (O&M) agreement with United Kingdom-based MGT Teesside to provide service to the Tees Renewable Energy Plant. The agreement, the release said, covers the operation and maintenance services of a new 299 MW biomass-fired combined heat and power (CHP) plant to be located in North East England. The construction of the power plant, it added, is due to start immediately and be completed by 2020.

According to the release, Fortum is a significant user of biomass in its own operations in Finland, Sweden, the Baltic countries and Poland. The release highlighted that in 2015, altogether 5.1 TWh of biomass (2.6 million m³) was used in the company’s power and heat plants.

The company said that signing of the agreement indicated continuation of a long history of O&M services in the United Kingdom. Prior to this agreement, Fortum said that it has been involved in 13 different O&M contracts in the region.

“This significant O&M agreement is well in line with our vision to be the forerunner in clean energy,” said Antti Malve, Head of Sales, Expertise Sales, Fortum. “Fortum has long experience on biomass-fired combined heat and power plants. We are happy to give our customers access to our expertise by providing O&M services and that way support the increase of renewable energy production in the UK.”

Ben Elsworth, CEO of MGT Teesside, added, “Fortum can offer us a world-class operation and maintenance concept and valuable experience as an owner and operator of biomass-fired power plants.”

The release mentioned that the parties have agreed that they will not disclose the value of the agreement.