Abu Dhabi Future Energy Company (Masdar), alongside its consortium partners, has achieved financial close for the Ibri III Solar Independent Power Project in Oman.
Ibri III is set to deliver a combination of a 500MW solar photovoltaic (PV) plant and a 100 megawatt-hour (MWh) battery energy storage system (BESS). It is expected to meet the electricity consumption needs for around 33,000 homes, while reducing carbon dioxide (CO₂) emissions by an estimated 505,000 tonnes per annum (tpa).
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The facility is Oman’s first large-scale solar and battery storage project.
It will be developed by Masdar and its partners Korea Midland Power, Al Khadra Partners and OQ Alternative Energy.
This project marks a significant milestone in Oman’s energy landscape as it aligns with the country’s Vision 2040 goal of sourcing 30% of its electricity from renewable resources by the year 2030.
The financing of this solar and battery project has been secured from major financial institutions, namely Natixis Corporate & Investment Banking and First Abu Dhabi Bank.
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By GlobalDataThe financing facilities from these institutions will cover a significant portion of the total project costs, estimated at approximately $300m (Dh1.1bn).
Masdar CEO Mohamed Jameel Al Ramahi said: “We thank our lenders and partners for enabling us to reach this significant milestone in the development of the Ibri III project, which highlights Masdar’s commitment to helping Oman achieve its energy transformation goals.
“We see great potential for battery energy storage to expand renewable energy deployment, and we look forward to leveraging our expertise in BESS and other advanced technologies to deliver clean, secure power for the Sultanate.”
The agreement for purchasing power generated by the Ibri III project was finalised last September.
The scope of the project involves the design, construction, financing, maintenance, operation and ownership of both the plant and its associated storage system.
The initiative is being developed under the aegis of Nama Power and Water Procurement, further advancing Oman’s strategic energy diversification plans.
Earlier this month, Masdar entered into a power purchase agreement for the 150MW Quipungo Solar PV project in Angola, the UAE-based developer’s first such agreement in the country.
