ACWA Power signs SAR 9.7B agreements for 3 solar PV plants

ACWA Power Co. signed financing agreements for three major solar photovoltaic (PV) projects - Haden, Muwyah and Al Khushaybi - in Makkah and Qassim Provinces, each with a production capacity of 2,000 MW, 2,000 MW, and 1,500 MW, respectively.

In a statement on Tadawul, the company said that the financing was secured, on Aug. 29, for nearly 27.3 years, at a value of SAR 9.7 billion ($2.6 billion).

The financing alliance included local, regional, and international banks such as Banque Saudi Fransi, Emirates NBD, FAB Bank, HSBC, Mizuho Bank, Riyad Bank, Saudi National Bank (SNB), and Standard Chartered Bank.

The agreements were signed with the project companies represented by Bareeq for Energy Solutions Co., Moya Renewable Energy Co., and Nabah Renewable Energy Co. These companies are jointly owned by ACWA Power, Water and Electricity Holding Co. (Badeel), wholly owned by the Public Investment Fund and Saudi Aramco Power Co.

ACWA Power owns 35.1% of each company in the project.

The company’s guarantee is limited to its bridge loan and standby liquidity.

The agreements encompass the development, design, construction, and operation of three solar PV power plants.

SNB and Badeel are related parties to the contract. Badeel holds a 34.9% stake in the three project companies.