he Sovereign Fund of Egypt (TSFE) has signed a Memorandum of Understanding (MoU) with ACWA Power to co-invest in the Saudi power and water developer's 1.1 gigawatt (GW) Suez Wind Energy project in the Gulf of Suez, Egypt.

TSFE's Infrastructure & Utilities Subfund will explore acquiring up to 10 percent equity stake in the $1.5 billion project, which is slated to be the largest single contracted wind farm, and largest wind related public private partnership (PPP) in Africa to date, ACWA Power said in a press statement on Tuesday.

Last week, Oman Investment Authority, the Sultanate’s sovereign wealth fund, had signed a similar agreement to expplore investing in the project, whose current stakeholders include Egyptian construction company Hassan Allam Holdings (25 percent) and ACWA Power.

Both agreements have been inked on the sidelines of ongoing COP 27 in Sharm El-Sheikh, Egypt.

In June 2022, ACWA Power had announced that the project is expected to reach financial close by the third quarter of 2024 and start commercial operations by the end of 2026.

ACWA Power's project portfolio in Egypt includes the 120 megawatt (MW) photovoltaic (PV) solar project in Benban, and a 200 MW solar PV facility in Kom Ombo.

(Writing by Eman Hamed; Editing by Anoop Menon)
(anoop.menon@lseg.com)