We have updates on Egypt’s solar panel factory: State-owned Arab Organization for Industrialization (AOI) and Sunshine Pro ’s joint solar factory in Egypt is planned to begin operations as soon as July this year, with an investment worth USD 200-300 mn, AOI’s Arab Renewable Energy Company Executive Director Ghada El Gendy told Al Mal on Tuesday. The new plant is planned to reach its 1 GW full operational capacity by July 2026, Gendy added. No details on the ownership division were specified.

What’s next? The factory’s production — previously reported to focus on the Egyptian and African markets — is now planned to be shipped off to Europe, Gendy said. AOI is also ready to establish more partnerships with both foreign and Arab investors on solar panel production, AOI head Mokhtar Abdel Latif told Al Mal.

This has been in the works: The two companies inked an agreement last month to build the plant — dubbed the Arab-Swedish Energy Factory (ASEF).

IN OTHER REGIONAL SOLAR NEWS-

#1- PowerChina gets Saudi solar farms EPC contract: Chinese state-owned PowerChina has secured the engineering, procurement, and construction (EPC) contract for the 1.25 GW Al Masaa and 500 MW Al Henakiyah 2 solar projects in Saudi Arabia — previously reported to have 1.1GW and 400 MW of capacity, respectively, according to a statement released on Wednesday. The contract includes the design, procurement, construction, commissioning, and operation and maintenance of the photovoltaic power plants and supporting facilities. The project is being developed by France’s EDF, which secured a Power Purchase Agreement with the Kingdom last December.

About the projects: The projects are estimated to cost USD 850 mn. Masaa is planned to enter operations in 2Q 2027, while the Al Henakiyah 2 plant is expected to be online in 4Q 2026 with financial close planned for early 2025, according to an EDF statement published in December.

#2- Oman cuts ribbon on Manah 1 & 2 solar plants: Oman’s Nama Power and Water Procurement Company inaugurated the 1 GW Manah 1 and Manah 2 solar projects, Times of Oman reported on Monday. Singapore’s Sembcorp Utilities completed the acceptance tests to begin commercial operations for the Manah 2 last month, four months ahead of schedule.

More on the projects: The 500 MW Manah 1 was developed by EDF Renewables and Korea Western Power, which will purchase the electricity generated under a 20-year power purchase agreement. The 500 MW Manah 2 was developed by a joint venture between Sembcorp Utilities and China’s Jinko Power and is backed by a 20-year power purchase agreement with Oman’s Nama Power and Water Procurement Company. Both projects have a total investment ticket of USD 800 mn.

#3- A possible investment ticket for Saudi’s Al-Sadawi solar plant? UAE's Masdar, Korea Electric Power Corp, and China’s GD Power Development will reportedly form a JV to establish the 2 GW Al Sadawi solar power project in Saudi Arabia, at an investment cost of USD 1.1 bn, Chinese news outlet Yicai Global reported last week, citing a statement by the Chinese company. GD Power Development will reportedly have a 40% stake in the project but the entire ownership structure was not disclosed.

Background: State-owned Saudi Power Procurement Company signed a Power PurchaseAgreement for the project with Masdar, Korea Electric Power Corp, and GD Power late last year. The project will roll out commercial operations by 2Q 2027.

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