Under a 20-year power purchase agreement (PPA) with the Egyptian Electricity Transmission Company, the project will be executed on a build-own-operate (BOO) basis.
Orascom Construction, which will own 20% stake in the project, will be responsible for the construction of the wind farm.
Orascom Construction CEO Osama Bishai said: “This project underscores our strategy to pursue investments in the infrastructure sector that create new construction opportunities and long-term value for shareholders, and expands our growing presence in the power market to the renewable energy sector.
“We are also proud to collaborate with our international partners, ENGIE and Toyota Tsusho/Eurus Energy Holdings, on this key project. “
The wind farm is expected to be built with an investment of nearly $400m.
The project is expected to receive financing from Japan Bank for International Corporation (JBIC) in coordination with Sumitomo Mitsui Banking Corporation and Société Générale under a Nippon Export and Investment Insurance (NEXI) cover.
Construction on the wind farm will start after the project reaches financial close, which is expected by the end of 2017.
The wind farm will be completed within 24 months after the commencement of the construction.
After the completion of the construction, the wind farm will be operated by the consortium for 20 years.
