The Ministry of Electricity and Renewable Energy plans to sign a Memorandum of Understanding (MoU) with the Danish company Vestas to build a number of wind farms for a total investment of $2.2b, according to Daily News Egypt. The MoU is expected to be signed within four weeks.
Egypt’s Minister of Electricity, Mohamed Shaker, met with Denmark’s Ambassador to Cairo and a number of officials from Vestas to discuss the company’s offer to construct wind farms with a 2,200 MW capacity.
The investor will provide the required financing for the project, while the ministry will repay the company after the project’s completion. The company is reported to plan to negotiate funding with a number of banks, including HSBC, EKF Denmark, Euler Hermes, IFU Denmark, DANIDA, and CDP Banco.
Additionally, at the meeting, Minister Shaker also urged for Danish proposals to develop the Zafarana power station aiming at boosting its efficiency and service ability. The modernization plan targets power station’s current production of 80 MW and projects to develop its current capacity of 117 turbines.