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Fund ) for the development of a 240MW wind power project in Azerbaijan . Both agreements are subject to the completion of the conditions precedent .
The project is the first foreign investment-based independent wind power project in the Republic of Azerbaijan , structured as a public-private partnership ( PPP ) at a total investment cost of USD347-million . The national electrical power company Azerenerji is the sole offtaker for the project , which , once completed , is expected to power nearly 300 000 households , save 220 million cubic metres of natural gas and reduce carbon emissions by more than 400 000 tonnes annually .
Supplied by ACWA Power
GULF COUNTRIES , UZBEKISTAN :
ACWA POWER SIGNS AGREEMENTS AT FII7 IN RIYADH
ACWA Power signed several agreements that are in aggregate worth USD746-million on the sidelines of the Future Investment Initiative ( FII7 ) in Riyadh .
In October 2023 it was reported that the world ’ s largest private water desalination company , leader in energy transition and first mover into green hydrogen , ACWA Power , had signed several agreements that are in aggregate worth USD746-million on the sidelines of the Future Investment Initiative ( FII7 ) in Riyadh .
In a USD500-million Heads of Terms agreement with EIG , a leading institutional investor in the global energy and infrastructure sectors , ACWA Power and EIG have agreed to co-operate in power generation , water desalination , green hydrogen , and green ammonia projects , with a specific focus on investing in projects in Gulf countries and Uzbekistan .
Marco Arcelli , CEO of ACWA Power said , “ This is a landmark agreement with EIG , one of the world ’ s largest infrastructure investment firms . Their commitment to working with ACWA Power is a sign of confidence in the company ’ s strong position in power , water and green hydrogen , and we look forward to collaborating in these areas .”
ACWA Power has also signed the funding agreements at an aggregate project financing amount of USD246-million with the European Bank for Reconstruction & Development ( EBRD ) and the OPEC Fund for International Development ( The OPEC
Arcelli added , “ ACWA Power is enthusiastic about playing a pivotal role in helping Azerbaijan achieve its goal of meeting 30 % of its energy needs through renewable sources by 2030 . We are deeply grateful to our financing partners , the European Bank for Reconstruction & Development and the OPEC Fund for International Development , for their unwavering support in making this vision a reality .”
Nandita Parshad , MD , Sustainable Infrastructure Group , EBRD , noted : “ We are proud to finance this landmark project for the energy transition in Azerbaijan . Last year at this same venue we signed an MoU with our long-standing partner , ACWA Power , committing to deliver renewable energy , green hydrogen , and green desalination projects in our regions . I am so pleased that with this signing we have already achieved nearly 1.5GW of that promise to scale up renewable energy in the EBRD region from megawatts to gigawatts . We are grateful to ACWA Power and the OPEC Fund for the shared commitment to climate action .”
ACWA Power has previously worked with EBRD and The OPEC Fund on the financing of multiple projects across Central Asia , Middle East and Africa . During the 2022 edition of FII , ACWA Power and EBRD signed an MoU to finance sustainable infrastructure projects in Uzbekistan , Azerbaijan and Egypt .
ACWA Power ’ s commitment to lead and enable energy transition has seen it collaborate with Azerbaijan on several clean energy projects in recent years . Apart from this 240MW plant , ACWA Power has partnered with the Azerbaijan Ministry of Energy to develop 1.5GW of offshore wind and 1GW of onshore wind , as well as the development of a battery energy storage system ( BESS ).
The company is also working with the “ State Oil Company of Azerbaijan Republic ” ( SOCAR ) to explore collaboration and exploration in the fields of renewable energy and green hydrogen .
Source : ACWA POWER | NEWSROOM
Funding agreements at an aggregate project financing amount of USD246-million for the development of a 240MW wind power project in Azerbaijan have been signed .
8 • African Mining • January 2024 www . africanmining . co . za