ACWA Power secures $702M for 1.1GW Egyptian wind farm

Saudi Arabia's ACWA Power has secured financing agreements worth 2.64 billion Saudi Riyals for a significant wind power project in Suez, Egypt. This project, boasting a capacity of 1100 megawatts, marks a major stride in the region's renewable energy development.

 

In an announcement on the Saudi Stock Exchange (Tadawul) on Tuesday, ACWA Power disclosed that the project's total investment cost is estimated at approximately 4.13 billion Saudi Riyals. The company maintains a 70% stake in this venture.

 

The financing was secured through a consortium of development finance institutions, including the European Bank for Reconstruction and Development (EBRD), the African Development Bank (AfDB), British International Investment, the German Investment and Development Corporation (DEG), the OPEC Fund for International Development, and the Arab Petroleum Investments Corporation (APICORP). Furthermore, Standard Chartered Bank and the Arab Bank contributed to the primary debt via a B-loan facility led by the EBRD.

 

ACWA Power also outlined the guarantees involved in this agreement, which encompass limited guarantees for its share of the bridging loan, reserve liquidity, and development guarantees.

 

Earlier this year, a consortium led by ACWA Power and Egypt's Hassan Allam Utilities was awarded the contract for the development of this wind farm situated near Ras Ghareb, in the Gulf of Suez and Gebel El Zeit region.