Saudi Arabia’s $940 billion Public Investment Fund (PIF) and its affiliate Acwa Power are working on a wind farm project to develop enough electricity to power three small cities, according to reports.
The wind power projects, one for 2 gigawatts and the other for 1GW, are part of the 2025 round of the country’s National Renewable Energy Programme, MEED reported, citing unidentified industry sources.
One gigawatt is enough to power a small city for a year.
PIF and Acwa Power, of which PIF owns 44 percent, are likely to announce the signing of the two wind farm agreements in the second half the year, once the project’s financing package has been agreed with banks, MEED said.
This week, Saudi Arabia’s market regulator approved Acwa Power’s capital top-up request through a rights issue worth SAR7.2 billion ($1.9 billion).
Acwa Power is in an advanced stage of concluding the next wave of major projects in Saudi Arabia, CEO Marco Arcelli said in its first-quarter results statement.
Acwa Power, which trades on the Saudi stock exchange, was down 1 percent at SAR271 at 2.46 PM Riyadh time on May 23.
The share has increased 29 percent year to date.
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