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UAE-based renewable energy developer AMEA Power announced on Thursday that it reached financial close on its 120MW Doornhoek Solar Photovoltaic (PV) project located in South Africa.
The Power Purchase Agreement (PPA) for the $120 million project was signed on 30 April 2024.
AMEA Power is the majority shareholder in the project with Ziyanda Energy and Dzimuzwo Energy, wholly owned by African women, as consortium partners.
Standard Bank South Africa provided $100 million debt funding to AMEA Power while the Industrial Development Corporation provided equity funding of $8 million to the two local partners, AMEA said in a press statement.
The project is expected to commence commercial operations by December 2025, the statement said.
The 120MW Doornhoek Solar PV Project is located near the town of Klerksdorp in the North-Western Province and was first awarded to the consortium through Bid Window 6 of the Renewable Energy Independent Power Producer Procurement Programme (REIPPPP).
It will generate 325GWh of clean energy, power an estimated 97,000 households and offset 330,000 tonnes of carbon emissions annually.
Last month, AMEA Power had brokeb ground for the 120MWp Kairouan Solar Photovoltaic Project in Tunisia. The $86 million project is financed by the International Finance Corporation (IFC) and the African Development Bank (AfDB).
(Editing by Anoop Menon) (anoop.menon@lseg.com)
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