International Finance Corporation (IFC) is looking at providing $83 million to part-fund the planned 500-megawatt (MW) wind farm in Egypt’s Ras Ghareb, the Washington-based investment group said in a disclosure statement published on its website.

The largest wind farm in Egypt will be built by Amunet Wind Power Company, a local special-purpose vehicle that is 60 percent owned by the UAE’s AMEA Power and 40 percent by Japan’s Sumitomo Corporation. 

The financing, which is pending approval, will comprise up to $75 million loan and interest rate swaps worth nearly $8 million.

Huadong PowerChina Consortium, comprising Huadong PowerChina Engineering Corporation, PowerChina International Group and HDEC Middle East Co DMCC, will be the engineering, procurement and construction (EPC) contractor while China-based Envision will be the turbine supplier, the statement said. 

The statement said construction is expected to begin in March 2023, with operations likely starting in September 2025.

The independent power producer (IPP) project will be backed by a 25-year power purchase agreement (PPA) with the Egyptian Electricity Transmission Company (EETC).

Last week, a consortium of Egypt’s Orascom Construction, France’s ENGIE and Japan’s Toyota Tsusho/Eurus Energy Holdings broke ground for a 500 MW onshore wind farm project in Ras Gharib on the Gulf of Suez, a Zawya Projects report said.

(Writing by P Deol; Editing by Anoop Menon)

(anoop.menon@lseg.com)