en.Wedoany.com Reported - 85 Degrees Renewable Ltd (referred to as "85 Degrees"), a renewable heat infrastructure company, has announced the signing of a project financing framework agreement with ING and Rabobank for up to €200 million in total, with the funds earmarked to advance the company's geothermal project development and long-term business growth in the Netherlands.
This financing transaction is a landmark for both 85 Degrees and the Dutch geothermal sector, signaling that maturely developed geothermal infrastructure is increasingly being recognized by financial institutions as an asset class capable of attracting long-term project financing. 85 Degrees had previously received investment support from Foresight Energy Infrastructure Partners (FEIP), part of the Foresight Group, in 2021.
The funds will be prioritized for geothermal development in the Oostland Central region, primarily involving projects in Bleiswijk and Berkel en Rodenrijs, where 85 Degrees is collaborating with Gaia Energy on multiple geothermal initiatives. By supplying geothermal heat to local greenhouses, the projects help growers reduce their reliance on natural gas, thereby enhancing the competitiveness and sustainability of the Dutch horticulture sector.
To date, five wells have been drilled in the Bleiswijk research area, with the first heat supply expected to reach contracted customers in the near term. The smooth progress of the drilling program has also mitigated subsurface risks associated with the assets and laid the groundwork for subsequent project expansion.
Bart Duijndam, CEO of 85 Degrees Renewable, stated that this financing represents more than the completion of a debt transaction—it reflects the recognition by ING and Rabobank, two renewable infrastructure financing institutions, of the company's strategy, and confirms that geothermal heating infrastructure has matured as an investment asset class capable of attracting long-term financing. He also noted that the platform built together with Gaia Energy will accelerate the decarbonization of Dutch greenhouse horticulture while supporting the Netherlands' overall energy transition.
Richard Thompson, Partner at Foresight Group, added that this financing provides the foundation for the next phase of growth for the 85 Degrees platform, and the company is committed to building 85 Degrees into a leading renewable heating platform, driving the continued expansion of renewable heating infrastructure in the Netherlands.
