Drax Power has signed a 20-year joint venture agreement with Power Minerals to develop a facility that will convert pulverised fuel ash (PFA) into Supplementary Cementitious Material (SCM), a key ingredient for lower-carbon cement.
The facility will be built next to Drax Power Station in North Yorkshire, where Power Minerals will be responsible for construction, ownership, and operation. Drax will supply PFA, power, and water while sharing in the profits from SCM sales. No capital investment is required from Drax.
The plant, expected to be operational by the end of 2026, will produce up to 400,000 tonnes of SCM annually at full capacity. Drax anticipates the project will generate approximately £5 million in additional annual EBITDA from 2027 through 2046.
The initiative aligns with the UK’s push for lower-carbon construction materials, leveraging Drax’s existing infrastructure to support sustainability in the cement industry.
