Fresh loan for Egypt’s 500 MW Red Sea wind farm: Red Sea Wind Energy (RSWE) — a JV between leading Egyptian and global stakeholders — will receive a c. USD 501 mn syndicated loan for a 500 MW Ras Ghareb wind farm in Egypt, according to a statement. The Japan Bank for International Cooperation (JBIC) is providing up to USD 240 mn of the loan, while the European Bank for Reconstruction and Development (EBRD), Sumitomo Mitsui Banking Corporation, the Norinchukin Bank, and Société Générale providing the rest of the co-financing.

Who are RSWE: Established in 2020, RSWE is a JV created for the purpose of constructing multiple wind farms in the area, according to its website. It comprises Orascom Construction (OC), Japan’s Toyota Tsusho Corporation/Eurus Energy Holdings Corporation, and France’s Engie. Its ownership sees Toyota and Eurus holding an overall 40%, while Engie owns 35% and OC holds the remaining 25% stake.

Plans are already in motion: The loan agreement comes months after OC, Toyota Tsusho, and Engie broke ground on the 500 MW wind farm in Ras Ghareb ahead of COP27 in November. The three companies signed a 20-year contract with the Electricity Ministry to develop, construct, and operate the plant in October 2021. OC is responsible for building the farm, which is due to come online in 2025.

And there’s more in the pipeline: OC, Toyota Tsusho, and Engie signed up to build another 3 GW wind farm in Egypt on the sidelines of COP, with no details disclosed on the location or timeline for the project.

COP27 breathed fresh wind into Egypt’s renewables sector: COP saw the revival of Egypt’s wind sector after a pandemic-era slowdown, with the summit helping line up as much as 29.5 GW of new wind generation capacity worth up to USD 34 bn during the event. That’s nearly half of the country’s total current installed capacity, which stood at 59.5 GW at the end of 2021.

ICYMI- A Japanese banking syndicate led by JBIC will provide a USD 207 mn loan to the Saudi Electricity Company for its side of the 3 GW Egypt-Saudi electricity interconnection project, according to a statement. The signing of the new loan comes several months after Standard Chartered Bank and Sumitomo Mitsui Banking Corporation announced the provision of USD 566.4 mn to the Saudi electric company for the project. Trial operations for the USD 1.8 bn project are set to begin in May 2025 with an official operational launch set for later in the same year.