Saudi Electricity project gets $1.2 bln refinancing

Riyadh PP11 power plant

The Riyadh PP11 power plant of Dhuruma Electricity Co. (DEC), which is 50%-owned by Saudi Electricity Co. (SEC), obtained a debt refinancing of $1.2 billion, at the end of September 2021.

Dhuruma Electricity said in a statement, of which a copy was received by Argaam, that 12 international and local lenders participated in the refinancing. Nine European and Asian commercial banks provided financing in the US dollar, while three local banks offered the financing in the Saudi riyal.

According to data available with Argaam, SEC owns 50% of Dhuruma Electricity, GDF Suez Group (20%), Aljomaih Holding Co. (15%) and a subsidiary of Japan's Sojitz Corporation (15%).

The gas-powered plant, which started commercial operation in March 2013, operates with a production capacity of 1,730 megawatts (MW). It is located near Dhurma city, nearly 135 kilometers west of Riyadh.

In 2010, SEC signed a long-term agreement to purchase the entire production of electricity from Dhuruma Electricity. The project managed to raise $1.55 billion in 2010, followed by a partial refinancing in 2016.