$2bn Boost For Oman’s Solar Power

Swiss investment firm Terra Nex and Germany’s Middle East Best Select (MEBS) Group of Funds, have announced plans to launch a $2 billion solar power project in Oman. The project aims to generate 400MW of power, and will also include the setting up of industrial plants to manufacture solar panels and aluminium frames. It also aims to tie up with international technology companies and international universities with expertise in renewable energy education, to help train the local population.

“Oman’s stable business environment and pro-environmental policies makes the Sultanate a natural partner to this project,” said David Heimhofer, chairman of Terra Nex and managing director of MEBS Group. “The government’s aim to produce 10 per cent of its energy needs from renewable energy resources by 2020 is laudable. And this project will go a long way in making that vision a reality.”

Of the $2 billion investment, $600 million will be direct equity capital and the remaining will be covered by loans from European financiers, said Heimhofer.Terra Nex and MEBS have also agreed with the local partner to offer 40 per cent of the capital for public subscription in the future.