Orascom set to develop 250MW wind farm
Orascom Construction, the Egypt-based engineering company, is leading a consortium to build and operate a 250MW wind farm.
The team, made up of French renewable energy company, ENGIE, and Toyota Tsusho-owned Eurus Energy, will be building the site in Egypt.
The signed power purchase agreement ensures that Orascom will supply power to the state from the project that will take two years to build, but should last for 20 years.
The farm will cost around $400mn to build with the Japan Bank for International Corporation (JBIC), Sumitomo Mitsui Banking Corporation, and Société Générale will be financing the wind project.
Nippon Export and Investment Insurance, a body owned by the Japanese government, has provided export credit guarantees.
The Egyptian company will be responsible for the construction within the 24-month contract, leaving them with 20% stake in the consortium.
The financial close of the project is expected to find conclusion by the end of 2017.
“This project underscores our strategy to pursue investments in the infrastructure sector that create new construction opportunities and long-term value for shareholders, and expands our growing presence in the power market to the renewable energy sector,” stated the CEO of Nasdaq Dubai-lised Orascom Construction, Osama Bishai.