Siemens Gamesa has approached the acquisition of a 250MW wind power plant in Ras Ghareb for Lekela Power.
Industry sources told Daily News Egypt that the technical and financial offer submitted by Siemens Gamesa is better than Senvion and Vestas. The contracts are scheduled to be signed within two months at the latest.
The sources added that Lekela Power will complete its agreements with banks and financial closure of the project in August. Once that is complete, Siemens Gamesa will receive the site and begin constructions this year.
Furthermore, the sources also explained that Siemens Gamesa is selecting between El Sewedy and Orascom to participate in the implementation of the Ras Ghareb wind power plant.
The project is part of the government’s build, own, operate (BOO) project which is 30 km northwest of Ras Ghareb. The project’s location benefits from strong wind, providing high-capacity factors. This allows the wind plant to sell energy at a competitive price to the Egyptian Electricity Transmission Company.
Faisal Eissa, general manager of Lekela Power in Egypt said that the company had agreed with three European banking institutions to finance the project with about $245m. These included the International Finance Corporation (IFC), the European Bank for Reconstruction and Development (EBRD), and the Overseas Private Investment Corporation (OPIC).
He explained that the total capacity of wind energy projects implemented by the company in Africa amount to 1,243 MW. This includes three wind power stations in South Africa with a total capacity of 360MW in operation, three in Senegal and South Africa of 408MW in construction, and two in Egypt and Ghana of 475MW in the final development phase.
Lekela Power was founded by several shareholders, including Actis with 60%, and 40% for a consortium led by Mainstream Renewable Power, which includes investors such as the IFC and the Rockefeller Brothers Fund.