Acwa power secures financing for Uzbek wind farms: Saudi renewables giant Acwa Power inked a letter of intent (LOI) with the Asian Infrastructure Investment Bank (AIIB) for a USD 150 mn (SAR 563 mn) line of credit to bankroll the Kungrad 1-2-3 wind power projects in Uzbekistan, according to a statement picked up by Argaam. The three-year financing agreement covers all three wind farms and is backed by an institutional guarantee from Acwa Power.

About the projects: The Kungrad 1, 2, and 3 wind farms are located in the Republic of Karakalpakstan. Each wind farm has a 500 MW along with 100 MW of BESS. Commercial operations are set to begin in 2Q 2028.

REMEMBER- These wind farms are part of a larger joint development agreement Acwa signed with Japan’s Sumitomo Corporation earlier this month to develop 2.5 GW worth of renewable energy projects and nearly 1 GW worth of battery energy storage systems (BESS) in Uzbekistan valued at USD 4.2 bn. The agreement saw Acwa divest 49% of its stake in a group of Uzbek-based renewable energy projects to Sumitomo.

Acwa is doubling down on Uzbekistan: Aside from projects co-owned with Japan’s Sumitomo, Acwa has numerous other projects in its Uzbek green energy portfolio. The company is building a green hydrogen plant in Tashkent that will generate 3k tons of green hydrogen annually during its initial production phase, with a 52 MW wind farm to support the project. Acwa also signed three power purchase agreements totaling USD 2.5 bn in March with the National Electric Grid of Uzbekistan and the country’s Investment, Industry, and Trade Ministry for 1.4 GW worth of solar projects and three BESS units totalling a capacity of 1.5 GWh, among other initiatives in the country.

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