ATOME Energy signs finance mandate letter with IDB Invest

As part of the mandate, IDB Invest has agreed to provide grant funding towards the costs of the environmental and social impact assessment.

ATOME Energy is an AIM listed company targeting green hydrogen and ammonia production with more than 500-megawatt of projects in Paraguay and Iceland, through its subsidiaries ATOME Paraguay, which is wholly owned, and Green Fuel ehf, in which ATOME Energy holds a 75 per cent interest respectively.

Olivier Mussat, CEO of ATOME, commented: “The Inter-American Development Bank (IDB) and IDB Invest, the IDB Group’s private-sector arm, provided more than $26bn in climate financing for Latin America and the Caribbean between 2016 and 2021.

"We welcome IDB Invest’s interest in our 120MW Villeta project and are grateful for their immediate support in the project by providing grant funding for the ESIA.

Mr Mussat added: “IDB Invest’s mandate is an important step in the matrix of our funding strategy, complementary to the ongoing work with our financial adviser Natixis and reflective of the increasing incoming interest shown by credible substantial parties in funding Villeta at the project level.”

Since its admission to AIM in December 2021, ATOME has signed its first electrolyser purchase order for its hydrogen transport mobility division, which is due to start generating revenue in 2023.

It also signed a large scale 120MW power purchase agreement with ANDE, the state energy company in Paraguay for production of green hydrogen and ammonia targeted to start operations around the end of 2024.

ATOME is in the process of operational planning, sourcing and negotiations with green electricity suppliers, equipment providers and offtake partners, including signed memoranda of understanding and cooperation agreements for the use of electricity generated from existing geothermal sources in Iceland and hydroelectric power in Paraguay. All its chosen sites are close to the power and water sources and export facilities.

The company’s board is supported by major shareholders including Peter Levine, Trafigura, one of the world's largest commodity and logistics company, and Schroders, a major fund manager.