Local banks are still doing the heavy lifting in financing our infrastructure pipeline: Acwa Power reached financial close on the Ras Mohaisen Independent Water Plant Project (IWPP), with a syndicate of primarily local banks providing SAR 2.07 bn (c. USD 553 mn) in long-term financing, the renewables giant said in a filing to the bourse on Thursday.

Who’s in? Banque Saudi Fransi, Riyad Bank, and Saudi Investment Bank — alongside sole international lender Standard Chartered — signed off on the facility. The tenor is notably long at 29.5 years, matching the lifecycle of the plant and the 25-year water purchase agreement signed in February.

Meet the owners: Acwa holds a 45% stake, Haji Abdullah Alireza & Co 35%, and AlKifah Holding 20% through the project’s development vehicle Ras Mohaisen First Water Desalination Company, Saudi Water Partnership Company said in a statement.

The asset: The plant is located on the Red Sea coast and will pump 300k cubic meters of potable water per day from sea level up the Sarawat Mountains into Al Baha and Makkah regions. The project will run on reverse osmosis technology and includes a captive 30 MW renewable energy unit to power operations.

What’s next?

With financing secured, the focus now shifts to the EPC contractors — Spain’s Lantania and India’s L&T — who bagged the USD 500 mn build contract in August. The taps are set to turn on partially in 2028, with full capacity expected by 2030.

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