Latest news with #Saudi-EgyptElectricityInterconnectionProject
Al-Ahram Weekly
18-02-2025
- Business
- Al-Ahram Weekly
Saudi ACWA Power secures $2.29 bln deal for major wind energy project in Egypt - Energy
Leading Saudi energy company ACWA Power has secured a power purchase agreement (PPA) with the state-run Egyptian Electricity Transmission Company (EETC) for a major wind energy project in Egypt's south Hurghada, with a total investment of 8.6 billion Saudi riyals (approximately $2.29 billion). The Saudi company will invest in a 2 GW wind farm, the largest in Egypt. Saudi Minister of Energy Prince Abdulaziz bin Salman announced this during the Egypt Energy Show 2025, highlighting the project's significance for Egypt's renewable energy future. According to a statement by the company on the Saudi Trade Exchange, the deal signed on Monday allows the company to "develop, finance, construct, own, and operate" the power plant for 25 years. In addition, Saudi companies, including ACWA Power, Alfanar, FAS, and MOWAH, have launched five renewable energy projects in Egypt. Together, these projects will contribute 1.696 GW of renewable capacity, with an investment totalling nearly SAR 6.2 billion (approximately $1.6 billion). Prince Abdulaziz also highlighted the progress made in the SAR 6.7 billion (approximately $1.8 billion) Saudi-Egypt Electricity Interconnection Project. "This initiative, set to be the largest of its kind in the region, will enable the exchange of 3,000 megawatts (MW) between Saudi Arabia and Egypt once completed in two phases," he said. These developments underline the growing cooperation between Saudi Arabia and Egypt in advancing renewable energy solutions across the region. In December, ACWA Power announced that it had successfully concluded financing agreements for its 1,100-megawatt wind power project in Egypt's Suez Governorate. The agreements, which are set over a 20-year period, total SAR 2.6 billion ($700 millions) The overall investment for the project stands at SAR 4.13 billion ($1.1 billion), with ACWA Power holding a 70 percent share in the development. ACWA Power has partnered with several development financial institutions to secure the financing needed. These institutions include the European Bank for Reconstruction and Development, the African Development Bank, the British International Investment, the German Investment and Development Corporation, the OPEC Fund for International Development, and the Arab Petroleum Investments Corporation. Standard Chartered Bank and Arab Bank have provided the project's core debt financing, which the European Bank for Reconstruction and Development has facilitated. Short link:
Argaam
18-02-2025
- Business
- Argaam
ACWA Power pens SAR 8.6B deal for Egypt's Hurghada wind project
Saudi Minister of Energy Prince Abdulaziz bin Salman announced that ACWA Power Co. signed a power purchase agreement (PPA) with the Egyptian Electricity Transmission Co. for a 2-gigawatt wind energy project in South Hurghada. The project, the largest of its kind in Egypt, is estimated to cost SAR 8.6 billion. The project, the largest of its kind in Egypt, is estimated to cost SAR 8.6 billion, the minister said at the Egypt Energy Show (EGYPES 2025). He added that five renewable energy projects were implemented by Saudi companies in Egypt, leveraging solar and wind power. The projects were carried out by ACWA Power, Alfanar, FAS, and MOWAH, with a combined capacity of 1.696 GW and total investments of approximately SAR 6.2 billion. He also stressed that the Saudi-Egypt Electricity Interconnection Project is a significant step toward regional cooperation, with a SAR 6.7 billion investment and the ability to exchange 3,000 megawatt (MW) of electricity between the two nations once completed. Further, the minister said an implementation plan for energy efficiency between Saudi Arabia's Ministry of Energy and Egypt's Ministries of Petroleum & Mineral Resources and Electricity & Renewable Energy was signed. The plan aims to establish a national energy efficiency program, with Saudi Arabia contributing its expertise, technical support, and regulatory guidance. The collaboration will also focus on capacity building, public awareness, and the development of the energy services sector.
