Norwegian renewables developer Scatec on 13 March signed a 25-year power purchase agreement (PPA) with Egypt Aluminium for a newly planned 1.1GW solar and 200MWh storage project to be sited next to its 320,000 t/y smelter at Nag Hammadi in southern Egypt, [the country’s] largest industrial electricity consumer.
Capex of $650mn “will be funded by approximately 80% non-recourse project debt, and the remainder by equity from Scatec and partners.” Scatec currently owns 100% of the “groundbreaking project… is the first utility scale PPA in the country with an industrial offtaker” but is looking for potential partners in a bid to reduce its exposure. The London-based EBRD development bank approved $120mn in funding in December (MEES, 7 February). (CONTINUED - 183 WORDS)