Scatec Solar secures $100mn project financing for power plants in Jordan

Amman, Jordan: Scatec Solar ASA (SSO) and its partners have entered into financing agreements totaling USD 100 million for the development and construction of three solar power plant projects in Jordan. The projects have a combined capacity of 43MW and total investments are estimated at USD 135 million.

The projects have been developed jointly by Scatec Solar and its Jordanian partners, Quest Energy Investment, European Jordanian Renewable Energy Projects and Greenland Alternative Energy.

The Oslo-headquartered company will construct the plants and in addition provide operation and maintenance services when the plants are finalized and in operation. It will own 70 percent of the 10 MW Oryx plant and 40 percent of the two other plants totaling 33 MW capacity.

All the plants will be located in the area nearby Ma’an City in southern Jordan and their completion is scheduled for the second half of 2015.

Annual production from the three plants is estimated to 104,000 MWh, generating revenues of some USD 17 million per year. The electricity produced will be sold under a 20 year power purchase agreement with the National Electric Power Company (Nepco).

The debt financing will be provided by The European Bank for Reconstruction and Development (EBRD) and the French development agency Société de Promotion et de Participation pour la Coopération Economique (Proparco).