Abu dhabi: Abu Dhabi Future Energy Company PJSC - Masdar, along with consortium partners GD Power and Korea Electric Power Corporation, announced today they have reached financial close for the 2-gigawatt (GW) Al Sadawi solar photovoltaic (PV) project. This landmark project is part of the National Renewable Energy Programme (NREP), overseen by the Ministry of Energy.
According to Emirates News Agency, project financing facilities have been secured with eight leading regional and international lenders, covering a substantial portion of the total project costs, estimated at approximately US$1.1 billion. The involved banks in the financing include Standard Chartered Bank, KEXIM, ADCB, BNP Paribas, ADIB, Bank of China, HSBC, and Soci©t© G©n©rale.
Mohamed Jameel Al Ramahi, Chief Executive Officer of Masdar, emphasized Masdar's commitment to supporting Saudi Arabia's clean energy objectives. He stated that this project is a significant step in the Kingdom's clean energy journey, with the Al Sadawi plant poised to be one of the largest solar power projects globally. The collaboration with partners aims to achieve full energization of the project, contributing to the future of clean energy in Saudi Arabia.
The Al Sadawi Independent Power Producer (IPP) Project marks a milestone in the Kingdom's pursuit of its Energy Mix target to achieve 50 percent renewable energy by 2030. Located in the Eastern Province, the project will be developed on a Build, Own, and Operate (BOO) basis, with a 25-year Power Purchase Agreement (PPA) signed with the Saudi Power Procurement Company (SPPC) last year.
The solar plant is slated to commence early generation at full capacity in early 2027, with commercial operations targeted for the same year. This project is expected to contribute significantly to sustainable development and the reduction of carbon emissions in Saudi Arabia.