Alcazar acquires Jordan wind project

Dubai-based Alcazar Energy has acquired the 82MW Al-Rajef wind project in Jordan from the local Green Watts.

The scheme, estimated to cost $180m, will be developed under a power purchase agreement (PPA) signed with National Electric Power Company (Nepco) in 2015.

European Bank for Reconstruction & Development (EBRD) plans to extend $68m of project finance. French and German development agencies Proparco and KfW Deg will lend another $68m between them. This suggests a debt-to-equity ratio of 75:25.

Alcazar’s shareholders include the Washington-based International Finance Corporation (IFC), IFC Catalyst Fund, Abu Dhabi’s Mubadala Infrastructure Partners, Alcazar Projects, which is registered in the Cayman Islands, Jordan’s Dash Ventures, and the US’ Gateway Partners.

The Al-Rajef wind farm was the first wind scheme from Jordan’s first-round feed-in tariff renewables scheme to move forwards.

Other projects under the scheme include two 50MW wind plants in Tafilah, developed by Korea Southern Power Company (Kospo) and Saudi Arabia’s Abour Group.

Korea Electric Power Company (Kepco) will develop a $510m, 89MW wind farm in Fujeij. This was originally under a 2010 tender, but has been folded into the feed-in tariff scheme.

The first round of photovoltaic (PV) solar projects reached financial close in mid-2015. EBRD and Proparco also intend to finance a second-round 50MW PV solar scheme.