BNP Paribas announced it will secure a loan worth €98.5m to the Egyptian Electricity Transmission Company (EETC) for the establishment and installation of two high voltage 220/50 kV transformers substations in Samannoud and Abu al-Matamir.
The Germany company Siemens and El Swedey will establish the two stations for the Ministry of Electricity on turn key EPC+Finance schemes.
The loan will be used for financing 85% of the foreign part of the project between Siemens and EETC, which comes as part of the agreement between the Egyptian government and Siemens that was signed in the Sharm El Sheikh economic summit in March 2015.
The loan is expected to be disbursed in 18 months. It will be repaid over 12 years. The substations will transfer the power generated from the world’s largest compound cycle power plant in Al Borollos to some 15 million consumers, according to the Ministry of Electricity.
BNP Paribas it previously arranged and ran previous loan worth €200m in September 2016 to finance the establishment of six transformer substations.