ACWA POWER ACHIEVES FINANCIAL CLOSURE OF THE THREE SOLAR PHOTOVOLTAIC POWER PLANT PROJECTS WITH A CAPACITY OF 165.5 MW WITHIN THE SECOND PHASE OF THE FEED-IN TARIFF PROGRAM IN EGYPT

ACWA POWER ACHIEVES FINANCIAL CLOSURE OF THE THREE SOLAR PHOTOVOLTAIC POWER PLANT PROJECTS WITH A CAPACITY OF 165.5 MW WITHIN THE SECOND PHASE OF THE FEED-IN TARIFF PROGRAM IN EGYPT

January 8, 2018: ACWA Power signed a Power Purchase Agreement with the Government of Egypt in August 2017 in the presence of H.E. Prime Minister of Egypt, H.E. Ambassador of Saudi Arabia, and the Minister of Electricity and Renewable Energy.

ACWA Power will be financing the three projects with an aggregate capacity of 165.5 MW and a total investment value of US$190 million, in accordance with a Build, Own and Operate (BOO) scheme.

The new Benban photovoltaic plants are part of the efforts made by the Egyptian government to meet the growing demand for electricity through renewable energy sources in Egypt, which has increased by 28% in recent years, in addition to supporting Egypt's vision 2022 and 2030.

ACWA Power announced that it has reached the financial closure stage for the three solar photovoltaic power plant projects, with a total production capacity of 165.5 MW, as part of the second phase of the feed-in tariff program in Egypt. The total project cost is US$190 million within the framework of a non-recourse project financing, 75% of which were financed by the European Bank for Reconstruction and Development and the Industrial and Commercial Bank of China, and 25% of the project cost is funded via equity provided by the sponsors.

The plants, which are located in the Aswan Province in Benban, will have capacity to generate 67.5 MW, 70 MW and 28 MW individually. Construction of the plants will commence in Q1 2018. Once the project construction is complete in Q4 2018, the three plants will be providing power to 80,000 houses while saving around 156,000 tons of carbon emissions a year.

The Government of Egypt and the Ministry of Electricity and Renewable Energy have set a target of 20% of its energy generation from renewable sources by 2022. The feed-in tariff programme aims to secure an initial generation of solar and wind capacity, each amounting to 2000MW.

ACWA Power is partnering with the Egyptian companies Tawakol and Hassan Allam Holding, two of the most reputable local companies in Egypt, highlighting the company’s commitment and belief in the Egyptian Market.

ACWA Power is also pursuing a number of other opportunities to consolidate its presence and support the Egyptian Market, especially the Dayrut project, which generates electricity through a combined cycle gas turbine, with a production capacity of 2,250 MW, in addition to a number of wind power generation projects with a capacity of 500 MW, 1 GW from solar photovoltaic projects, and 100 MW from concentrated solar energy projects.