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Saudi-based utility provider ACWA Power signed memorandums of understanding (MoUs) with two Chinese entities, the company said in a statement on Monday.
The agreements with the Silk Road Fund and Huawei will lay the ground for collaboration in further investments and in technological advancements of power generation and desalinated water production plants that ACWA Power develops and operates.
The agreements were signed on the sidelines of Saudi Crown Prince Mohammed Bin Salman’s official visit to China recently.
Read: Here’s a look at deals signed by Saudi Arabia, China
Under the first agreement, the Silk Road Fund will partner with the company to invest in ACWA Power Renewable Energy Holding Ltd in Belt and Road countries including South Africa, UAE, Jordan and Egypt.
Following the first signing, at the Saudi China Investment and Cooperation Forum (Future Forward Partnerships), ACWA Power also entered into an agreement with Huawei to collaborate on utilizing ICT to increase efficiency and improve performance of solar photovoltaic (PV) energy projects owned and operated by ACWA Power including the Sakaka PV IPP, the first utility scale solar plant in Saudi Arabia.
“The synergies created through these agreements will allow us to maintain our cost leadership reputation creating immense value to the ultimate beneficiaries of the electricity and desalinated water we provide - the people of the countries we invest in,” Paddy Padmanathan, President of ACWA Power, said.
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