CIP Fuels UK Bioenergy Push with Northwich Plant Acquisition

Northwich, UK – November 1, 2025 – Copenhagen Infrastructure Partners (CIP), a leading global fund manager focused on greenfield energy investments, has finalized the acquisition of a combined pre-treatment and biogas plant in Northwich, UK, from Danish renewable energy giant Ørsted. The move marks CIP’s inaugural investment in the UK bioenergy market and underscores growing confidence in the potential of biomethane as a key component of the energy transition.

The plant, currently processing municipal solid waste, will undergo significant refurbishment and expansion, transforming it into a dedicated biomethane production facility with integrated carbon capture technology. CIP plans to invest heavily in new digestion and upgrading units, increasing capacity to over 170,000 tons of feedstock annually and positioning the plant as a leader in sustainable energy production.

Strategic Shift for Ørsted, Opportunity for CIP

The acquisition comes as Ørsted streamlines its portfolio, focusing on core offshore wind and green hydrogen projects. “This divestment aligns with our strategy to concentrate resources on areas where we see the greatest potential for growth,” a source close to Ørsted explained. “While bioenergy remains a viable renewable source, our long-term vision lies in large-scale offshore wind and hydrogen production.”

For CIP, the Northwich plant represents a strategic foothold in a growing market. “We are excited to enter the UK bioenergy market with this first acquisition,” said a partner at CIP. “The biogas plant strengthens our position in the European biogas sector and represents a key milestone for our fund and investors. We believe biomethane has a crucial role to play in decarbonizing the UK’s energy system, and we are committed to investing in projects that deliver both environmental and economic benefits.”

The Rise of Biomethane: A Next-Gen Renewable Fuel

Biomethane, a renewable gas produced from the anaerobic digestion of organic matter, is gaining traction as a versatile energy source. It can be used for heating, transportation, and industrial processes, offering a direct substitute for fossil fuels. Unlike some renewables, biomethane can be injected into the existing gas grid, providing a reliable and dispatchable energy supply. “The beauty of biomethane is its compatibility with existing infrastructure,” explains a renewable energy analyst. “That makes it a cost-effective and efficient way to reduce carbon emissions.”

The UK government is actively promoting the development of biomethane through various incentives, including the Renewable Heat Incentive (RHI) and Contracts for Difference (CfD). The country has set ambitious targets for increasing the share of renewable energy in its energy mix, creating a favorable environment for biomethane projects.

Carbon Capture: Enhancing Sustainability

CIP’s commitment to integrating carbon capture technology at the Northwich plant further elevates the project’s sustainability credentials. While the specific technology being deployed remains undisclosed, industry experts believe it will likely utilize amine scrubbing or membrane separation to capture carbon dioxide emissions from the biogas production process. “Carbon capture is becoming increasingly important for reducing the overall carbon footprint of bioenergy projects,” says an environmental engineer. “It allows us to not only generate renewable energy but also mitigate the release of greenhouse gases.”

The captured carbon dioxide can be utilized in various applications, such as enhanced oil recovery or the production of synthetic fuels, creating a circular economy and reducing reliance on fossil fuels.

Local Economic Impact and Community Support

The refurbishment and expansion of the Northwich plant are expected to create numerous jobs in the local area, providing a boost to the regional economy. “We anticipate the project will generate both direct and indirect employment opportunities,” noted a representative from Cheshire West and Chester Council. “This investment is a testament to the attractiveness of the region for green energy projects.”

The project has received generally positive support from the local community, with residents welcoming the opportunity for increased renewable energy production and economic development. “We’re keen to see more investment in sustainable energy in the area,” said a local resident. “This project is a step in the right direction.”

A Sign of Things to Come?

CIP’s investment in the Northwich biogas plant is widely seen as a positive signal for the UK bioenergy market. “This deal demonstrates that there is significant appetite for investment in biomethane projects,” says an industry consultant. “We expect to see more activity in this space as the demand for renewable energy continues to grow.”

With the UK committed to achieving net-zero emissions by 2050, biomethane is poised to play an increasingly important role in the country’s energy future. CIP’s commitment to innovation, sustainability, and community engagement sets a strong example for future bioenergy projects, and the Northwich plant is likely to become a benchmark for best practices in the industry.