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Northland Power Closes Financing for 1.2 GWh Battery Storage Projects in Poland
Northland Power has secured financing for its Mieczysławów and Kamionka battery energy storage systems in Poland, totaling 300 MW / 1.2 GWh. A consortium of Canadian and Polish financial institutions provided approximately PLN 500 million in project financing. The projects also received about PLN 280 million in grants from Poland's National Fund for Environmental Protection and Water Management. Total costs are estimated at PLN 1 billion, with commercial operations anticipated in 2028.
Canadian power producer Northland Power has successfully secured financing for two large-scale battery storage projects in Poland. These projects, named Mieczysławów (200 MW / 800 MWh) and Kamionka (100 MW / 400 MWh), collectively represent a capacity of 300 MW and 1.2 GWh. Both facilities are currently under construction.
The project financing amounts to approximately PLN 500 million (around USD 127.7 million or CAD 185 million) and was provided by a consortium of four Canadian and Polish financial institutions. International law firms A&O Shearman and Clifford Chance Poland were involved in the transaction, with A&O Shearman advising the lenders and Clifford Chance Poland advising Northland Power. According to A&O Shearman partner Tomasz Kawczynski, these transactions demonstrate the growing maturity of the Polish energy market and the strong appetite among lenders to support this sector.
The financing structure includes various term loan and revolving credit facilities, encompassing provisions for VAT, debt service reserves, and bridge facilities. In addition to this debt financing, the projects have also received grants from Poland’s National Fund for Environmental Protection and Water Management, totaling approximately PLN 280 million (about USD 71.5 million). Northland Power has already fulfilled its equity commitments using corporate cash and available funding.
Northland Power estimates the total costs for the Mieczysławów and Kamionka projects to be approximately PLN 1 billion (around USD 254 million). The projects were acquired in November 2025 as late-stage, pre-construction assets. A portion of the revenues will be contracted under 17-year inflation-indexed auction agreements, supplemented by opportunities in energy arbitrage and ancillary services markets.
Kamionka is expected to commence commercial operations in early 2028, with Mieczysławów following in mid-2028. Once operational, the projects are projected to generate a combined annual adjusted EBITDA of between CAD 40 and 50 million (or USD 28.5 and 35 million). Jeff Hart, CFO of Northland Power, stated that securing this financing completes the funding structure for both projects and marks another important milestone in the company's growth in Poland.
Source: ESS News
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