Acwa Power, a leading developer and operator of a portfolio of power generation projects in the region, has announced that it has secured funding worth SAR2.64 billion ($702 million) for a 1,100MW wind power plant in Suez, Egypt.

 

A consortium of development financial institutions comprising the European Bank for Reconstruction and Development (EBRD); African Development Bank; British International Investment; DEG - Deutsche Investitions; Opec Fund for International Development and Arab Petroleum Investments Corporation will be providing the funding for the principal debt for a 20-year period.

 

Standard Chartered Bank and Arab Bank too are part of the funding through a B loan structure of EBRD. 

 

The Suez power project, in which Acwa Power has an effective shareholding of 70%, is being set up at a total investment of SAR4.13 billion ($1.1 billion).

 

The financing arrangement includes several guarantees, such as a limited guarantee on Acwa Power's share of the bridge loan, liquidity reserves and development guarantees, said the Saudi company in its bourse filing. 

 

This funding will be used for the development, construction and operation and maintenance of Suez power plant, it added.-TradeArabia News Service