RIYADH: Saudi utility giant ACWA Power has secured SR2.63 billion ($703 million) in financing to develop, operate, and maintain a 1,100-megawatt wind power plant in Egypt’s Suez governorate.
In a statement to Tadawul, the company said the funding was sourced from the European Bank for Reconstruction and Development, the African Development Bank, and British International Investment.
Additional lenders include DEG Deutsche Investitions, the OPEC Fund for International Development, and Arab Petroleum Investments Corp., with a loan tenure of 20 years.
The project aligns with Egypt’s green energy ambitions, aiming to generate 42 percent of the nation’s electricity from renewable sources.
Principal debt for the project was financed by Standard Chartered Bank and Arab Bank through the European Bank for Reconstruction and Development’s B financing structure. The total investment cost of the plant is SR4.13 billion, with ACWA Power holding a 70 percent stake.
The firm plays a pivotal role in Saudi Arabia’s renewable energy strategy, contributing to the Kingdom’s goal of generating 50 percent of its power from green sources. The Tadawul-listed company’s operations span 13 countries, underscoring its global ambitions in the utility sector.
ACWA Power recently announced its entry into China, securing over 1 gigawatt of renewable energy projects. These initiatives, which include solar photovoltaic and wind energy, are jointly owned by leading Chinese renewable energy firms.
Earlier this month, ACWA Power launched three renewable projects in Uzbekistan, involving wind, solar, and battery storage, with a combined investment of $3 billion.
In October, the company signed four agreements worth SR6.69 billion during the Future Investment Initiative in Riyadh, targeting renewable energy and storage projects across the Gulf Cooperation Council region, China, Central Asia, and North Africa.
The firm’s net profit for the first nine months of 2024 rose 15.74 percent year on year to SR1.25 billion, driven by increased revenue from electricity sales and operation and maintenance activities.
Founded in 2004, ACWA Power manages a portfolio of 90 projects valued at SR94 billion, according to its website. The company continues to expand its footprint as a leader in renewable energy and utility services worldwide
