ACWA Power, Badeel, SAPCO report financial close on key solar PV projects

Image: ACWA Power

Saudi Arabia’s ACWA Power, PIF subsidiary Badeel and Saudi Aramco Power Company (SAPCO) have secured financial closure for the Haden, Muwayh, and Al Khushaybi solar photovoltaic (PV) projects.

These projects, valued at $3.2bn, aim to generate a combined capacity of 5.5GW of solar power for Saudi Arabia.

The projects are integral to Saudi Arabia’s National Renewable Energy Program (NREP), aligning with the kingdom’s goal of developing 70  per cent of its renewable energy target capacity by 2030.

The Haden and Muwayh plants are located in the Makkah region, while Al Khushaybi is in the Qassim region.

A consortium of local, regional, and international banks provided $2.5bn in senior debt financing for the projects.

The lenders include Banque Saudi Fransi, Mizuho Bank, Riyad Bank, Saudi National Bank, Standard Chartered Bank, Emirates NBD, First Abu Dhabi Bank, and HSBC.

Acwa Power aims to consistently provide cost-effective energy, says CEO

Commenting on the development, Marco Arcelli, CEO of ACWA Power, said: “We are delighted to announce the successful financial close of these milestone projects, which bring us a step closer to achieving Saudi Arabia’s long-term ambitions.

“The financial closure of the projects signals our dedication and commitment to providing clean, consistent and cost-effective energy.”

He emphasised the company’s dedication to providing clean, consistent, cost-effective energy to Saudi Arabia.

Sultan AlNabulsi, acting CEO at Badeel, highlighted the importance of these projects in supporting Saudi Arabia’s renewable energy sector and contributing to PIF’s commitment to developing 70 per cent of the kingdom’s renewable energy by 2030.

Waleed Al Saif, SVP of New Energies at Saudi Aramco, emphasised the company’s partnership with ACWA Power and Badeel in advancing the Kingdom’s renewables sector and meeting the growing demand for power with fewer emissions.

The financial closure of these projects follows PIF’s recent investments in the renewable energy value chain, including three new joint ventures to enhance local production of wind turbine and solar PV components.

With the addition of these three projects, ACWA Power’s solar portfolio in Saudi Arabia now stands at 14 projects, representing a total capacity of over 17.8 GW. This brings the company’s total renewable capacity portfolio to 35GW.