Oschadbank has financed an energy project insured by Lloyd’s
Oschadbank has financed the construction of a large-scale energy storage system with a capacity of 50 MW, securing international insurance coverage from Lloyd’s. This is the bank’s first project of its kind in the energy sector with this level of insurance. The system is intended to enhance the stability of Ukraine’s power grid. The bank’s press service announced this on May 18.
A new large-scale energy project has launched in Ukraine, under which Oschadbank provided tens of millions of euros in financing for the construction of an energy storage system designed to ensure the stability of the power grid even under challenging conditions.
This involves a €23.6 million long-term project loan to Elektryka Ukraine LLC for the construction of a 50 MW battery energy storage system (BESS) with a capacity of 50 MW and a storage capacity of 131.2 MWh, which will allow electricity to be stored during periods of surplus and fed back into the grid during periods of shortage.
The bank emphasizes that the financing covers approximately 70% of the total project cost, which is being implemented under a long-term contract with NPC “Ukrenergo” and involves providing automatic frequency restoration reserve services—one of the key tools for balancing the power system.
A distinctive feature of the agreement was the inclusion of international insurance coverage provided by Lloyd’s syndicates, which is a rare practice for Ukrainian infrastructure projects in wartime conditions. “This is Oschadbank’s first case in the field of energy project financing and one of the few examples in Ukraine where international insurers are participating in covering the risks of an infrastructure project during wartime,” the bank noted.
BESS systems are considered one of the key elements of modern energy, as they allow for rapid load balancing, reduce the risk of emergency outages, and increase the overall reliability of the country’s energy supply.
Hungary has revoked the decision to deport seven employees of the state-owned Oschadbank and impose a three-year ban on their entry into the Schengen Area.
President Volodymyr Zelenskyy stated that Hungary has returned to Ukraine the funds and assets of Oschadbank that were seized by Hungarian special services in March of this year.
Earlier, Hungary’s prime minister-designate Péter Magyar stated that the issue of returning the frozen Ukrainian funds of Oschadbank would be subject to negotiations only after the new government is officially formed.
