Syndicate of six international and local lenders to provide US$ 275mn debt for the project
A consortium consisting of ACWA Power, Gulf Investment Corporation (GIC) and Alternative Energy Projects Co. (AEPC), both Kuwait-based has achieved the financial closure for the 500 MW solar photovoltaic Independent Power Project (IPP) at Ibri in the Sultanate of Oman, which is also the largest utility scale solar plant in the country as of date.
The US$ 400mn project will be funded on a debt to equity ratio of 70:30. A syndicate of six international and local lenders will provide the US$ 275mn debt.
The mandated lead banks including Beijing-headquartered Asian Infrastructure Investment Bank (AIIB), Bank Muscat, Riyad Bank, Siemens Bank, Standard Chartered Bank and Kuwait-based Warba Bank, helped structure the project.
This deal also represents the first renewable energy financing in Oman as well as the GCC region by AIIB, the Beijing headquartered international multilateral development bank.
“We are pleased to partner with GIC and AEPC on the largest utility scale solar Independent Power Project (IPP) in Oman,” said Paddy Padmanathan, President and CEO, ACWA Power.
The 500 MW Ibri II solar project to be developed on a BOO (build, own, operate) basis, will utilize cutting-edge Solar Photovoltaic Technology to generate 500 MW of renewable power.
