View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
October 28, 2021

ACWA Power achieves financial close for $12bn power JV in Saudi Arabia

The JV will begin testing and commissioning of the IGCC plant to deliver power, steam and hydrogen to Aramco’s Jazan refinery.

By Umesh Ellichipuram

ACWA Power has achieved financial close for the $12bn ASU/gasification/power joint venture (JV) at Jazan, Saudi Arabia.

Free Report
img

Delve into the renewable energy prospects for Morocco

In its new low greenhouse gas (GHG) emission strategy to 2050, submitted to the United Nations (UN), the Ministry of Energy Transition and Sustainable Development (MEM) of Morocco suggested to raise the share of renewable capacity in the country’s total power installed capacity mix to 80%.   Morocco currently aims to increase the share of renewables in total power capacity to 52% by 2030. The new strategy plans to increase the share of renewable capacity to 70% by 2040 and 80% by 2050.  GlobalData’s expert analysis delves into the current state and potential growth of the renewable energy market in Morocco. We cover: 
  • The 2020 target compared to what was achieved 
  • The 2030 target and current progress 
  • Energy strategy to 2050 
  • Green hydrogen 
  • Predictions for the way forward  
Download the full report to align your strategies for success and get ahead of the competition.   
by GlobalData
Enter your details here to receive your free Report.

The company also completed the acquisition of assets for the Jazan integrated gasification combined cycle (IGCC) project.

The financial close was achieved for the debt facilities of $7.2bn through financial institutions as well as local, regional and intranational banks.

The Jazan IGCC project is a JV between Aramco, ACWA Power, Air Products and Air Products Qudra.

Last month, Aramco finalised definitive agreements to acquire and offer project financing for the gasification and power JV in Jazan economic city (JEC).

With this financial close, the JV will begin testing and commissioning of the IGCC plant and supply power, steam and hydrogen to Aramco’s Jazan refinery, under a contract that covers a period of 25 years.

Saudi Aramco Power Company, a subsidiary of Aramco, owns a 20% stake in the JV, while Air Products owns 46% and ACWA Power has a 25% share.

Air Products Qudra, a 51%/49% JV between Air Products and Qudra Energy, owns 9%.

In total, Air Products owns the majority stake of 50.6%, through a combination of 46% direct ownership and 4.6% of Air Products Qudra share.

Under the agreement, Aramco agreed to supply feedstock to the JV to produce power, steam, hydrogen and other utilities.

The JV serves the Jazan Refinery, which is capable of processing 400,000 barrels a day of crude oil to produce gasoline, ultra-light sulfur diesel and other products.

In August 2018, Saudi Aramco, Air Products and ACWA Power signed an agreement to collaborate on the gasification and power JV in Saudi Arabia.

Related Companies

Free Report
img

Delve into the renewable energy prospects for Morocco

In its new low greenhouse gas (GHG) emission strategy to 2050, submitted to the United Nations (UN), the Ministry of Energy Transition and Sustainable Development (MEM) of Morocco suggested to raise the share of renewable capacity in the country’s total power installed capacity mix to 80%.   Morocco currently aims to increase the share of renewables in total power capacity to 52% by 2030. The new strategy plans to increase the share of renewable capacity to 70% by 2040 and 80% by 2050.  GlobalData’s expert analysis delves into the current state and potential growth of the renewable energy market in Morocco. We cover: 
  • The 2020 target compared to what was achieved 
  • The 2030 target and current progress 
  • Energy strategy to 2050 
  • Green hydrogen 
  • Predictions for the way forward  
Download the full report to align your strategies for success and get ahead of the competition.   
by GlobalData
Enter your details here to receive your free Report.

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Wednesday. The power industry's most comprehensive news and information delivered every month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Power Technology