Halite Energy Group, which had been developing an underground gas storage facility in Preesall, Lancashire, has appointed Wbg turnaround specialist Donald McKinnon as liquidator.
The company planned to create up to 19 purpose-built underground gas storage caverns, significantly increasing the UK’s gas storage capacity.
This would have helped to avoid gas supply interruptions, price spikes and back up intermittent electricity generated by wind turbines by increasing the UK’s gas storage by storing gas underground in newly created salt caverns.
McKinnon said: “Halite Energy Group had the rights to develop a fully permitted gas storage facility in former salt caverns. When developed, the site would account for 25% of the UK’s gas storage capacity.”
“However, earlier this year, the company’s agents estimated that the costs to complete the project were in the range of £5.7 - £7m. With insufficient revenue streams to meet these costs and an inability to secure additional funding, the directors made the difficult decision to cease trading and appoint myself as liquidator.”
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