Saudi Arabia: Saudi utility firm ACWA Power has signed a power purchase agreement with the National Electric Grid of Uzbekistan for the Aral 5-gigawatt wind power project worth SR18.2 billion ($4.85 billion).

Under the terms of the deal, ACWA Power will build, own, operate, and transfer the wind farm at the end of the 25-year contract term.

The project, located in Uzbekistan, is in the development stage and total investment value may change when it reaches financial close, according to the company’s statement.

On the same day, the Saudi utility firm also signed a senior debt financing agreement for the Qassim 1 Combined Cycle Power Plant for SR5.69 billion ($1.51 billion).

The deal, signed through Qudra One for Electricity Co., will extend 28 years, according to ACWA Power’s statement to Tadawul.

The senior debt was financed by a combination of international and local commercial lenders, including Standard Chartered Bank, Bank of China, Riyad Bank, as well as Saudi National Bank, Alinma Bank, Saudi Investment Bank, and Saudi Awwal Bank.

The plant capacity is 1,800 megawatts in Qassim.

Moreover, ACWA Power announced in a separate statement that it signed an additional senior debt financing deal for the Taiba 1 Combined Cycle Gas Turbine with a capacity of 1,800 MW in Madinah.

The deal was also made through Taiba 1 CCGT Project Co. and Sidra One for Electricity Co.

It also has a value of SR5.69 billion with a term of 28 years, and was signed with Standard Chartered Bank, Bank of China, and Riyad Bank, as well as Saudi National Bank, Alinma Bank, Saudi Investment Bank, and Saudi Awwal Bank.

ACWA Power holds a 40 percent stake in Qudra Co. and Sidra One. SNB and Saudi Electricity Co. are related parties in both financing agreements.

These deals are backed by an equity bridge loan, early generation revenue, reserve liquidity, and additional accounts as guarantees.

On April 30, ACWA Power expressed interest in investing $10 billion in Malaysia over the next 10 years to develop renewable energy projects.

According to a report by the Malaysian National News Agency Bernama, ACWA Power will collaborate with Cypark Resources Bhd on the developments.

Malaysian Prime Minister Anwar Ibrahim confirmed this news on his Facebook page following a meeting with ACWA Power Chairman Mohammad Abunayyan on the sidelines of the World Economic Forum in Riyadh.

Ibrahim said that the Saudi firm is prepared to collaborate with strategic partners in Malaysia to develop multiple renewable projects across various states in the nation.

In April, ACWA Power signed a new agreement with SOCAR, the state oil company of Azerbaijan, to accelerate the development of renewable projects in the nation.

“The primary directive of the agreement will be to enhance SOCAR’s carbamide fertilizer facility, striving toward more value-added low-carbon products,” said ACWA Power in a statement at that time.  

In the same month, the Saudi-listed firm also signed another deal with the International Renewable Energy Agency to accelerate the adoption of clean energy worldwide.

Under the deal, the utility developer will work closely with IRENA to share crucial insights on infrastructure investment in renewable energy, green hydrogen advancement, solar energy, and the intersection of energy and water. 

ACWA Power and IRENA will also investigate avenues to mobilize finance and investment for renewable projects, along with supporting infrastructure for the development, storage, distribution, and transmission of clean energy.