The consortium of Abu Dhabi Nationwide Power Firm (TAQA), Japan’s JERA Firm and AlBawani Capital has secured monetary closure for Rihab ElAwal Energy Firm (Rumah 2) and Nawras Energy Firm (Al Nairyah 2) – two greenfield energy vegetation in Saudi Arabia.
Collectively, the greenfield mixed cycle fuel turbine (CCGT) energy vegetation will ship roughly 3.6GW of energy technology capability. The tasks are being developed on a construct, personal, and function foundation and can assist Saudi Arabia’s rising vitality wants. The vegetation symbolize a mixed funding of roughly US$4 billion.
TAQA, JERA and AlBawani signed two 25-year Energy Buy Agreements (PPA) with the Saudi Energy Procurement Firm (SPPC).
Main regional and worldwide lenders – together with Al Rajhi Financial institution, Riyad Financial institution, Saudi Awwal Financial institution, Saudi Nationwide Financial institution, Arab Petroleum Investments Company, Abu Dhabi Business Financial institution, Abu Dhabi Islamic Financial institution, Financial institution of China and First Abu Dhabi Financial institution – had been concerned within the financing by means of senior debt and fairness bridge loans. Senior debt leverage exceeds 80 per cent, reflecting the robust fundamentals of the tasks and lender confidence.
Farid Al Awlaqi, Chief Government Officer, TAQA’s Technology enterprise, commented: “We’re proud to have reached monetary shut, an vital milestone within the progress of the tasks that reinforces our place as a accomplice of alternative for world-class utility tasks.
“As lead developer of the facility vegetation, we might be bringing our world experience and expertise to the challenge, in assist of the Kingdom of Saudi Arabia’s optimum vitality combine ambitions. Notably, the development of each vegetation is effectively underway, with the early works part concluding just lately.
“We’re growing the vegetation to be constructed for the long run utilising the very best effectivity CCGT generators, which demonstrates our agency dedication to development and decarbonisation.”
Building might be undertaken by means of particular objective entities owned by TAQA (49 per cent), JERA (31 per cent) and AlBawani (20 per cent). Operation and upkeep (O&M) might be carried out by devoted O&M corporations owned by the consortium beneath the identical shareholding construction.
Engineering, Procurement, and Building (EPC) contracts had been awarded to Harbin Electrical Worldwide and China Tiesiju Civil Engineering Group.
Steven Winn, Chief International Strategist, JERA, added: “JERA is happy to realize the monetary closure of the vegetation as outlined beneath their respective energy buy agreements and finance agreements with the senior lenders.
“It demonstrates our in depth capabilities and world growth expertise to efficiently ship tasks of this complexity. The tasks will strengthen JERA’s presence and contribution to the Kingdom in securing a dependable and sustainable vitality provide.”