EDF, Masdar achieve financial close on Saudi Arabia's Dumat Al Jandal
Construction work on the 400MW wind park is imminent and operations are expected to begin in the first quarter of 2022
Financial close has been reached for Saudi Arabia’s 400MW Dumat Al Jandal wind park – located 896km north of Riyadh, in the Al Jouf region of Saudi Arabia – that is being developed by a consortium of French renewable energy firm EDF Renewables and Abu Dhabi Future Energy Company (Masdar) at a cost of $500m (SAR1.9bn), with investments secured from Saudi Arabian and international banks.
The Emirati-French consortium was awarded the project in January 2019 by Renewable Energy Project Development Office (Repdo), part of the kingdom’s Ministry of Energy, Industry, and Mineral Resources, after a call for tenders was announced in August 2017.
Construction work on the project — touted as the largest wind farm in the Middle East and the first in Saudi Arabia — is imminent, with operations set to begin in the first quarter of 2022, according to UAE news agency, Wam.
Once operational, Dumat Al Jandal will produce electricity under a 20-year power purchase agreement (PPA) with Saudi Power Procurement Company.
News about the project’s financial close comes a week after EDF Renewables and Masdar, a subsidiary of Mubadala Investment Company, awarded an engineering, procurement and construction contract to Danish firm Vestas for the supply and installation of 99 V150-4.2 MW wind turbines at Dumat Al Jandal.
Earlier, this week India’s CG Power and Industrial Solutions — part of New Delhi-based Avantha Group Company — announced it had won a $14m (SAR52.4m) contract to design and build a high-voltage substation that will connect Saudi Arabia’s national electricity transmission grid to the Dumat Al Jandal wind farm.
Commenting on the project, EDF Renewables' chairman and chief executive officer, Bruno Bensasson, said: "We are delighted to take part in the first wind project in the country, which is set to be the most powerful wind farm in the Middle East.
"This new step reflects the quality of our partnership with Masdar, which has enabled us to jointly submit the most competitive bid.
"Wind power is now representing a renewable and economical solution in the energy mix," added Bensasson, who is also EDF Group's senior executive president for renewable energies.
Masdar's CEO, Mohamed Jameel Al Ramahi, added: "The award of Saudi Arabia’s first and the Middle East’s largest wind farm during Abu Dhabi Sustainability Week in January  was a momentous occasion for our company and our partners."
"It also illustrated the depth of Saudi Arabia’s commitment to realise its bold strategy to substantially increase the contribution of renewables in its total energy mix to 27.3GW by 2024, from the wind as well as solar energy.
"The over-subscribed financing of the Dumat Al Jandal project further illustrates the confidence of local and international lenders, and the investment community, in the economy of the kingdom and its potential as a hub for highly cost-effective renewable energy development."