UAE-based AMEA Power has achieved financial close to deliver 1GW of renewable energy projects in Egypt.
The 500MW wind and 500MW solar projects, represent US$1.1bn (€1.06bn) of investment into the Egyptian economy, it said, and takes the company’s clean energy portfolio to 2GW in the country.
AMEA Power will develop, own and operate the 500MW solar PV plant, which will be located in the Aswan governorate of Egypt.
The project is being financed by International Finance Corporation (IFC), part of the World Bank Group, Dutch Entrepreneurial Development Bank (FMO) and the Japan International Cooperation Agency (JICA).
The 500MW wind farm, located in the Red Sea Governorate, is being developed in partnership with Sumitomo Corporation, who will own 40% equity in the project.
Financing is being provided by a consortium of banks, including Japan Bank for International Cooperation (JBIC) and IFC, together with Standard Chartered Bank, Sumitomo Mitsui Banking Corporation, and Sumitomo Mitsui Trust Bank participating as co-lenders under Nippon Export and Investment Insurance (NEXI) cover.
Both projects have already secured PPAs with the Egyptian Electricity Transmission Company (EETC) and Usufruct Agreements, with the New and Renewable Energy Authority (NREA) having already completed its feasibility studies.
Chairman of AMEA Power Hussain Al Nowais said: “These landmark projects reflect the long-term commitment, ambition and growth of AMEA Power.
“The company is leading the development of renewable energy across Africa, which through its global and regional partnerships, will deliver clean energy to millions of people around the continent.
“We are proud to reach this significant milestone and to be supporting Egypt in its energy transition journey and drive to accelerate sustainable development.
“Today’s achievement would not have been possible without the hard work of AMEA power’s world class team, the support of our project partners, lenders, advisors and the cooperation of the Egyptian government.”
The projects will underpin the renewable energy ambitions of Egypt, along with supporting economic and social development within the region.
The Egyptian government is working towards increasing the supply of electricity generated from renewable sources to 42% by 2035.