Swedish tidal energy developer Minesto has secured a SEK 22 million (approximately $2.3 million) loan from Fenja Capital to be used as working capital for its ongoing operations and business development.
According to Minesto, the loan has a four percent set-up fee and a one percent monthly interest rate. It must be repaid in full by 30 December 2025.
The financing is intended to support Minesto as it approaches several business development milestones that may impact future capital requirements.
“We are in an incredibly interesting phase and continue to move towards key milestones in several of our ongoing business development activities including new partnerships, site development service offers, soft funding and advancements of first phase of the Hestfjord-project,” said Martin Edlund , CEO of Minesto.
“This loan will enable us to push forward adding both value and clarity to funding needs for the next phase.”
Just recently, Minesto’s upgraded Dragon 12 tidal energy device, deployed in Vestmannasund, Faroe Islands, reached a performance milestone, delivering a 25% increase in power output following the installation of a longer tether.