ACWA Power signs agreements worth $1.8B

The signing of the agreement

ACWA Power Co. signed four agreements worth $1.78 billion (SAR 6.69 billion) on the first day of its participation as a strategic sponsor of the Future Investment Initiative (FII) Summit’s eighth edition held in Riyadh.

These agreements cover key fields such as project financing, renewable energy and storage projects, as well as research and development (R&D) initiatives in GCC, China, Central Asia and North Africa, according to a company statement picked up by Argaam.

For more news and details on the projects

The first agreement involves a $690 million (SAR 2.58 billion) framework agreement with the National Bank of Kuwait (NBK) for general corporate finance facilities aimed to support ACWA Power’s future project pipeline in Saudi Arabia, Kuwait and other target markets.

A separate financing agreement entails a $240 million (SAR 900 million) Shariah-compliant equity bridge loan (EBL) by the International Finance Corporation (IFC), part of the World Bank Group.

The loan will finance two solar power projects in Uzbekistan. Located in Samarkand, the Sazagan 1 and 2 projects each feature 500 megawatts (MW) of solar photovoltaic (PV) energy and 334MW battery energy storage systems (BESS) capacity. Both projects are expected to achieve commercial operations between Q3 2025 and Q4 2026. The credit facility marks the first corporate financing partnership with IFC, establishing a new avenue of collaboration for ACWA Power.

ACWA Power also announced a joint development agreement with battery solutions provider Gotion Power Morocco.

Under the deal, ACWA Power will develop a 500MW-wind power plant, incorporating a 2,000 MWh BESS solution. The project will supply energy to Gotion Power’s battery manufacturing plant in Morocco, which is expected to begin production in the first half of 2026. The project’s initial investment amounted to $800 million (SAR 3 billion).

Meanwhile, a R&D agreement was sealed with China’s Lujiazui Administration Bureau to establish a R&D center in Shanghai. The $54 million (SAR 202 million) project will focus on advancing technologies related to solar, wind, energy storage, green hydrogen, and desalination. The center will collaborate with local and global partners to develop advanced sustainable water and energy solutions for deployment across ACWA Power's portfolio.