Innovative manure processing hub

Sustainable investment with a first mortgage right

Through this proposition, you invest in the realisation of a circular manure processing hub in Emmen. The intended term is 36 months, with a fixed interest rate of 7.25% per year. As investor, you have a first right of mortgage as security. The loan-to-cost is only a maximum of 16.7%.

The innovative plant will produce high-quality natural soil improver and sustainable green gas through a unique production process. The technology processes manure through drying, pyrolysis and methanisation, with by-products being liquid CO₂, compost and waste heat. The plant will start with two reactors and has the option to expand to a total of eight reactors. The necessary permits have already been granted irrevocably.

The loan will be granted to STERCORE ENERGY EMMEN B.V. for the purchase of the plot and development costs. This company is part of STERCORE HOLDING B.V. Its management has extensive experience in biotechnology, process engineering and renewable energy. Both the supply of raw materials and the purchase of finished products are contracted with cooperative market leaders.

The key features of the proposition are as follows:

Principal amount of € 5,000,000;
Initial requirement of € 1,500,000;
Intended term of 36 months;
Fixed interest rate of 7.25% per annum;
First right of mortgage;
Loan-to-cost of up to 16.7%;
Loan-to-value based on alternative use 79.4%; Environmental permit irrevocably granted; Supply of raw materials and removal of
finished products contractually agreed; Significant capital contribution from shareholders; Positive assessment process completed for
subsidies; Contribution to alternative use 79.4%; Project is underway. alternative usability 79.4%;
Environmental permit irrevocably granted;
Supply of raw materials and disposal of finished products contractually established;
Significant capital contribution from shareholders;
Positive assessment process completed for subsidies;
Contribution to energy and sustainability transition;
Contribution to circular economy;
Highly experienced underlying organisation;
Interest payment per month;
Immediately interest-bearing from deposit;
Free of one-off brokerage fee of 0.45%.

Projected return

The chart below shows the cumulative yield over the term at the fixed interest rate of 7.25% per annum. In the example below, with a deposit of €5,000 and total interest paid throughout the 36-month term, an amount of €1,087.50 is paid. The first interest is paid in the next month after the proposition closes, after which the fixed interest is paid monthly in arrears. At the end of the target term, you will be repaid through refinancing. This refinancing is expected to be achieved through a bank loan once the project is operational and generating stable cash flows. The return forecast presented is based on expected market conditions and project planning. There is no guarantee that these results will actually be achieved.

Cumulative return during the funding period

Investment	€5,000
Fixed interest	7,25%
Estimated duration	36 months
Total return	€1,087.50

Crowdrealestate valuation

Crowdrealestate has assigned a risk rating of B (conservative) to this investment. Also given the first right of mortgage, the alternative use of the property and the strong financing structure, this is a solid investment. Although the investment is considered cautious, investing via crowdfunding always involves risks, including the risk that you may lose your entire deposit. Please refer to the Key Investment Information Sheet (EBi) for a detailed description of the risks.

A

23 22 21

B

20 19 18

C

17 16 15

D

14 13 12

E

11 10 9

Mortgage right	Crowdrealestate's investors will get the first right of mortgage on the property.	5 points
Loan-to-cost / loan-to-value	The loan-to-cost ratio is only 16.7% and the loan-to-value on an alternative use basis 79.4%.	2 points
Match location with sector	Its strategic location on the Emmtec industrial estate in Emmen fits well with the needs of the manure processing hub, with good accessibility and proximity to agricultural areas.	3 points
Occupation	For own use.	2 points
Project phase	The planning permission is irrevocable. Excavation and foundation work will start shortly after the plot is purchased.	1 points
Track record	The initiators are very experienced.	3 points
Duration	The target term is 36 months.	3 points
Additional security	Pledge of interest and building deposit.	1 points
Total		20 points

Funding structure

This proposition will finance the purchase and construction works of the innovative manure processing hub in Emmen. The initial amount required is €1,500,000 and the target amount is €5,000,000. Of the total financing, approximately € 1,450,000 is required for the purchase of the plot (incl. VAT), while the remaining amount will be used for additional costs and development costs and held as a construction deposit. As security for investors, a first right of mortgage will be established.

The total construction costs (including land purchase) of the innovative manure processing hub amount to approximately €29,890,000, resulting in a loan-to-cost ratio of only 16.7%. The project was valued on 20 January 2025 based on the alternative use, which is a logistics hall. The market value with these special assumptions is €6,300,000, resulting in a loan-to-value of 79.4%.

In addition to funding through Crowdrealestate, shareholders are bringing in equity of €15,000,000. STERCORE is also currently going through a positive assessment process for a proposed JTF grant of €5,500,000. This grant is a gift which, if awarded, will be provided in phases The machinery required for the innovative production process for Bio-Based Carbon and green gas is largely leased. There is also the possibility of selling CO2 certificates (CORCs) in advance, which can further strengthen financial stability.

Investors Crowdrealestate	€5,000,000	First mortgage right
Shareholders	€15,000,000
Subsidy	€5,500,000
CO2 certificates	€1,500,000
Leasing	€5,000,000
Total scale	€32,000,000

Project description

The innovative manure processing hub of about 10,119 m² will be developed on the GETEC industrial estate in Emmen, strategically located with good accessibility to agricultural areas. The plant will start with two reactors (expandable to eight) and has an irrevocable environmental permit to process 350,000 tonnes of manure with a minimum dry matter content of 25%.

The innovative production process comprises three main stages: drying, pyrolysis and methanisation, producing high-quality Bio-Based Carbon and sustainable green gas. Unlike conventional manure fermentation, STERCORE uses an advanced thermochemical process that results in higher-value end products and greater CO₂ reduction.

The hub realises a calculated negative CO₂ equivalent of -300,000 to -350,000 tonnes of CO₂ per year (about 10% of Drenthe province's total emissions). The supply comes from an average radius of 70 km, including the German Emsland. A positive Technical and Economic Due Diligence was carried out for the project by CINEA (European Climate, Infrastructure and Environment Executive Agency).

The property combines high-quality industrial specifications with sustainable features such as an advanced energy recovery system, and has all necessary utilities and infrastructure.

Market description

The Netherlands faces a structural manure surplus, with more than 75 million tonnes of manure to be processed every year. The agricultural sector is under increasing pressure due to stricter nitrogen and CO₂ regulations. At the same time, the market for Bio-Based Carbon (biochar) is growing exponentially - with an expected global market size of €3.1 billion by 2025, rising to €6.8 billion by 2030, bolstered by European regulations such as the EU Regulation 2019/1009 and the European Soil Strategy.

The demand for green gas is increasing significantly, with no limitations in sales opportunities. The expected price development for green gas and associated Green Bonds is positive, partly due to European renewable energy targets.

The strategic location in Emmen was chosen because of its ideal location between important livestock farming regions and industrial customers. A spatial decision has already been taken for this project with broad support from Emmen City Council, and STERCORE has signed a Green Deal with the province of Drenthe. The combination of growing market demand, favourable regulations, strategic location and administrative support creates a solid basis for the manure processing hub.

End user

The supply of raw materials is contractually secured with a cooperative market leader in the agricultural sector. For the sale of the end products, contractual arrangements have also been made with cooperative market leaders. For instance, the purchase of the green gas is secured through a 10-year purchase agreement with a global European oil and gas group. This guarantees both supply and sales, contributing to the project's reliability and financial resilience.

The building will be realised with a focus on sustainability and circular economy. The production of Bio-Based Carbon creates a CO2 sink and reduces the use of chemical fertilisers, while the green gas produced contributes to the reduction of fossil fuels. In addition, the plant generates CO2 removal certificates (CORCs). This results in a positive environmental impact and increased attractiveness for both users and investors.

The business model of the manure processing hub is therefore profitable without reliance on subsidies, underlining the financial sustainability of the project. The plant is designed to be profitable from commissioning, even with the initial configuration of two reactors.

Underlying organisation

The loan is granted to STERCORE ENERGY EMMEN B.V. This is a subsidiary of STERCORE HOLDING B.V. The organisation was founded in 2016. Its management combines extensive expertise from the chemical, engineering, energy market and circular economy sectors and collaborates with renowned partners and suppliers.

STERCORE has been included in several national innovation programmes, including a PPP Greenport NoordHollandNoord (Top Sector Agri), and has in the past received several grants from, among others, the province of Drenthe, SNN and municipality of Emmen. The province of Drenthe has previously provided two Green Deals totalling €650,000 for feasibility studies and demonstration plants.

Construction of the first plant in Emmen will start soon. After successful commissioning, further expansions are planned at home and abroad. The ambition is to have three operational STERCORE plants in the Netherlands by 2035. With around ten plants, the entire manure surplus in the Netherlands could be processed, making an important contribution to both the agricultural sector and the energy transition. See also RTV Drenthe article: Construction of manure gasifier Stercore in Emmen can finally start.

Nationwide, this type of solution is also gaining increasing political attention. In Zeeland, for example, similar plants are being actively advocated as a structural solution to the nitrogen and manure issue. See Omroep Zeeland's article: Manure factory is solution for the future of livestock farming.

Supplementary files

You can open the supplementary files below

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EBi - Innovatieve mestverwerkingshub	Download

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