Abu Dhabi-based renewable energy company Masdar has bagged an international tender for a 200-megawatt (MW) utility-scale solar project in Armenia.
Masdar said in a statement that Armenian government had implemented an international tender following Masdar’s initial offer of $0.0299/kWh in December 2019. After a competitive process, Masdar submitted a final price of $0.0290/kWh.
It said the project, spanning over 500 hectares in the Talin and Dashtadem communities of Armenia, would be developed on a design, finance, build, own, and operate (DFBOO) basis with Masdar owning 85 percent of the project company and the Armenian National Interest Fund CJSC (ANIF) owning the rest.
The statement said around $174 million will be invested in the project, which will also include a new substation.
The solar project is the largest single foreign investment in green energy to date in the [Caucasus] region and the second largest foreign direct investment in Armenia, according to the statement.
It noted that the tender was part of the Joint Development Agreement signed between Masdar and ANIF in November 2019, to develop renewable energy projects with a total capacity of 400 MW in Armenia.
Further discussions are under way on the development of the remaining 200 MW.
Last month, Masdar had signed Heads of Agreement with Iraq’s National Investment Commission to develop photovoltaic projects with a minimum total capacity of 2 gigawatts.
(Writing by Anoop Menon; Editing by Seban Scaria)
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© ZAWYA 2021