Orkney-based Scotrenewables Tidal Power Ltd. has announced details of a foreign investment package worth £7.6m.

The funding will go towards the design, construction, installation and testing of a new commercial-scale Scotrenewables tidal turbine, known as the SR2000.

The investment will be topped up with a £1.24m WATERS2 grant from the Scottish Government, awarded in August.

First Minister Alex Salmond welcomed the news at First Minister's Questions on Thursday.

"Scotland is blessed with some of the greatest offshore energy resources on the planet and Orkney is home to EMEC (European Marine Energy Centre), the world's leading centre for marine testing,” he said.

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"Add this to our engineering and maritime expertise and our supportive investment environment and it is clear to see why Scotland's wave and tidal energy industry is leading the way in technology and innovation, delivering jobs and investment to communities across Scotland.

"This deal brings in a substantial amount of private funding from overseas - more than £6 in foreign investment for every £1 of public money. It is another example of how public money can be used to leverage private investment and help support industry to reach ever-more ambitious heights.

"I welcome this investment, which is further evidence of Scotland surging ahead in the green energy revolution."

WATERS is a collaboration between the Scottish Government, Scottish Enterprise and Highlands and Islands Enterprise, with funding from the European Regional Development Fund (ERDF).

(IT)