Global law firm Clifford Chance has advised Nofar Energy, a global leader in renewable energy investments, on the project financing of its first battery energy storage system (BESS) in Germany. The company has secured long-term debt financing from NORD/LB for its Stendal BESS project, with a total power of 104.5 MW and a capacity of 209 MWh. The facility, located in Stendal, Saxony-Anhalt, is expected to become fully operational by early 2026.
The legal advice also covered the drafting and negotiation of a 7-year fixed-price tolling agreement, which Nofar Energy signed with a leading global energy corporation and which constitutes the first fixed-price BESS tolling agreement of its kind in Continental Europe. The tolling agreement plays a crucial role in stabilizing revenues, mitigating market volatility, and enabling project financing.
With this transaction, Nofar Energy strengthens its position as a leader in the renewable energy sector, now managing an energy storage portfolio exceeding 10 GWh across eight countries. The Stendal BESS project represents a major step forward in Germany’s energy storage landscape, setting a precedent for future developments in the region.
Florian Mahler, partner and Co-Head of the Worldwide Projects Group of Clifford Chance comments: “This transaction demonstrates once again our strong market position in the renewable energy space and our dedication to large-scale BESS projects and the energy transition sector in general, not only in Germany but also globally, with our cross-border and multijurisdictional experts”.
“This project significantly contributes to greener energy, tackling climate change and ensuring a secure supply of electricity. It showcases the breadth and depth of our expertise in the area of batteries – both for BESS and electric vehicles,” adds Thomas Voland, partner and Co-Head of the European ESG Group of the Firm.
The Clifford Chance team advising Nofar Energy on this transaction was led by partners Florian Mahler (Global Financial Markets, Düsseldorf) and Thomas Voland (Corporate/Energy, Düsseldorf) and comprised senior counsel Nanette Rutgers (Global Financial Markets, Amsterdam), counsel Zaid Mansour, associates Marie Karle and Duy Tuong Huynh (all Corporate/Energy, Düsseldorf), associates Nandini Pandey and Maximilian Schroff, senior associate Pamela Schaarschmidt, senior associates Birte Hüller and Isabel van Bremen, counsel Bahar Rahimyar (all Global Financial Markets, Düsseldorf). The Clifford Chance office in Luxembourg also advised on the transaction.
