Taqa, Jera, Saudi’s Albawani reach financial close on power plants: A consortium led by Abu Dhabi National Energy Company (Taqa), Japan’s biggest power producer Jera, and Saudi’s Albawani Capital reached financial close on two greenfield combined-cycle gas turbine (CCGT) power plants in Saudi Arabia, according to a press release (pdf).

About the plants: The Rumah 2 and Al Nairyah 2 plants will add 3.6 GW of capacity — 1.8 GW each — to the Kingdom’s grid under a 25-year power purchase agreement inked with the Saudi Power Procurement Company. Special purpose entities owned by the consortium will carry out building works.

The projects are valued at around USD 4 bn, with senior debt and equity bridge loans covering more than 80% of total costs. Banks providing funding included First Abu Dhabi Bank, Abu Dhabi Commercial Bank, Abu Dhabi Islamic Bank, Al Rajhi Bank, Riyad Bank, Saudi Awwal Bank, Saudi National Bank, APICORP, and Bank of China.

Who is doing what? Taqa holds a 49% stake in the projects, whilst Jera has 31%, and AlBawani holds 20%. China’s Harbin Electric International and China Tiesiju Civil Engineering Group were awarded engineering, procurement, and construction (EPC) contracts, with Siemens Energy supplying turbines and equipment under long-term service agreements.

REFRESHER- In November, Taqa, Jera, and Al Bawani were awarded contracts on a build, own, and operate basis for the two plants, with Taqa acting as the managing and technical lead, and Jera serving as a technical member.

Timeline: Simple cycle operations are set to begin in 2027, with full operations slated for 2028.

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