The investment will help Infinity Energy to develop its pipeline of renewable energy and electricity distribution projects in the country
The investment will help Infinity Energy to develop its pipeline of renewable energy. (Credit: The European Bank for Reconstruction and Development.)
The European Bank for Reconstruction and Development (EBRD) has announced an investment of $60m million in Egypt’s private energy company Infinity Energy.
The investment will help Infinity Energy to develop its pipeline of renewable energy and electricity distribution projects as well as electric vehicle charging stations.
EBRD’s investment coincides with a joint venture (JV) agreement between Infinity Energy and Abu Dhabi Future Energy Company, Masdar.
Masdar to invest in renewable asset portfolio of Infinity Energy
Under the JV agreement, Masdar will invest in Infinity Energy’s portfolio of renewable assets, apart from being a partner to it in upcoming renewable energy projects in Egypt and Africa
By supporting the growth of renewable energy, the investment is expected to contribute to Egypt’s ongoing energy transition. The country aims to obtain 20% of its electricity generation from renewable sources by 2022 and 42% by 2035.
Infinity Energy chairman and managing director Mohamed Mansour said: “With every joint venture comes new possibilities and opportunities, today’s signing with EBRD comes both without exception.
“The entire Infinity company and myself are looking forward to this new venture which holds great opportunities as added value to both parties. We have, and remain, committed to seeing the unfolding of new and exciting undertakings within the region.”
In the past twelve months, EBRD has also offered $89m of financing for the 250MW West Bakr wind project.
In November last year, it approved €182.9m ($201.4m) loan to support development of electricity grid in Egypt.
The Egyptian Electricity Transmission Company (EETC) was offered the loan for the development of electricity grid to strengthen the transmission network in the country.
The loan will be utilised towards the integration of 1.3 GW of new renewable energy into the country’s electricity system, by using new or refurbished high-voltage substations.
Additionally, the project will also reduce transmission losses and save 77,000 tonnes of CO2 emissions each year.