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‎ACWA Power says 3 PV power plants to cost SAR 1.6B: MD

June 28, 2024
in Business
‎ACWA Power says 3 PV power plants to cost SAR 1.6B: MD
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ACWA Power says 3 PV power plants to cost SAR 1.6B: MD

ACWA Power’s Vice Chairman and Managing Director Raad Al-Saady

ACWA Power’s Vice Chairman and Managing Director, Raad Al-Saady, said the construction cost of the three major photovoltaic (PV) solar power projects – Haden, Al-Muwayh, and Al-Khashiby – is nearly SAR 1.6 billion, some of the least expensive in the world.

In an interview with Al Arabiya, he added that the construction will take 28 months. The financial closure is expected to be completed in the fourth quarter of this year.

Al-Saady expects the project to be ready for operation in the first half of 2027, noting that the financial return will be determined after financial closure.

He added that an announcement about the company’s capital increase targets a significant growth plan for ACWA Power, indicating that assets under management (AUM) currently amount to $91 billion. The company eyes AUM of $250 billion by 2030. Additionally, these projects require financing, and the capital increase aims to contribute to funding these projects both inside and outside the Kingdom.

Moreover, the geographical survey project launched by Saudi Arabia to identify solar and wind energy sites in the Kingdom will positively impact the National Renewable Energy Program (NREP) by making the plan more effective, with an increase in local content according to the Ministry of Energy’s plan.

ACWA Power signed power purchase agreements on June 26 to develop, build, and operate three major photovoltaic solar power projects with a production capacity of 2,000 megawatts, 2,000 megawatts, and 1,500 megawatts respectively, at a total value of SAR 12.3 billion.

The company’s board of directors recently recommended a capital increase of SAR 7.12 billion through a rights issue.

>>> Read full article>>>
Copyright for syndicated content belongs to the linked Source : Argaam EN – https://www.argaam.com/en/article/articledetail/id/1737483

Tags: ‎ACWAbusinessPower
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