Finance closed for Project Mufasa – the biggest Dutch battery project
Mufasa Vlissingen. Image courtesy Eneco
Dutch energy storage developer Lion Storage has reached financial close on Project Mufasa, a battery energy storage system in the Netherlands with a capacity of 1,4000MWh and power capacity of 350MW.
The Mufasa battery project is being built in Vlissingen in the North Sea Port, a key hub for renewable energy in the Netherlands and is set to become operational in the first half of 2027.
At the port, the battery can be connected to a high voltage substation.
Mufasa’s batteries from Tesla will be able to charge and discharge 1,400MWh at 350MW power capacity several times per day. Tesla is also providing a comprehensive engineering, procurement, and construction agreement and long-term service agreement.
According to Dutch energy company Eneco, who will be operating the battery daily, the project’s capacity is equivalent to power usage of over 200,000 households.
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As the largest BESS in the Netherlands and one of the largest energy storage projects in Europe, the project is being hailed both as a big step forward for the Netherlands’ transition to renewable power and as setting a new standard for balancing and securing power grids.
Commenting in a release was Arno Hendriks, co-founder of Lion Storage: “Project Mufasa is a game-changer for battery storage in the Netherlands. As the first of its kind to secure full project financing, it proves that energy storage is not just viable—it’s investable.”
Added Jeroen Althoff, co-founder of Lion Storage: “With cutting-edge technology and strong strategic partnerships, we’re driving a smarter, more resilient energy future and setting the bar for what’s next in Europe.”
Eneco will use the battery to manage differences in supply and demand on the energy markets to support the supply of sustainable electricity.
The project is being backed by Macquarie Capital as lead equity investor alongside TINC and existing investors of Return, which owns Lion Storage, as well as six banks, all of which bring extensive experience financing energy transition projects.
Mufasa is the largest utility-scale battery storage project in the Netherlands to be fully funded through 100% non-recourse project financing of over €350 million ($365.4 million).
According to Lion Storage, project Mufasa will rely solely on revenues from the various Dutch power markets and the skills and expertise of the project’s leadership team.
Santander Corporate & Investment Banking (Santander CIB) acted as the exclusive financial advisor and Greenberg Traurig acted as lead legal advisor to Lion Storage relating to both the debt and equity raise in this transaction.
