Nebras Power expands its presence in Jordan’s Power Sector
DOHA: Nebras Power Q.P.S.C (Nebras) and Nebras Power Investment Management BV (NPIM) have announced that they have entered into a Sale and Purchase Agreement (SPA) to acquire the AES Corporation’s (AES) interest in three Jordanian power projects together with Mitsui & Co., Ltd.
Nebras currently owns a circa 24% in each of the 3 projects. Mitsui & Co., Ltd currently owns a 40% interest in each of the 3 projects. The closing of the acquisition is subject to obtaining approval from lenders to each of the project companies.
Upon closing, NPIM will be a majority shareholder and will have operational control on these plants, which have an aggregate capacity of more than 650 MW representing more than 14% of the current installed capacity in Jordan.
All power plants are located in Al-Manakher, 15 km east of Amman. IPP1 Power Plant and IPP4 Power Plant started commercial operations in August 2009 and July 2015 respectively. AM Solar Power Plant is expected to reach its commercial operational date in July 2019.
[the_ad id="32940"]Speaking on the occasion, Nebras’ Chairman, Mr. Fahad Hamad Al-Mohannadi said, “This step is in line with the vision of Nebras’ Board of Directors to place the company as a successful international company, and we are continuing the development and investments with our international partners in power generation and water desalination projects regionally and globally. The expansion of our investments in Jordan is a result of the trust and confidence we have in the Jordanian energy market and its regulations over the last few years."
Commenting on the deal, Mr. Khalid Mohammed Jolo, CEO of Nebras said, "Nebras started its investment activities in 2014, in continuation to our current 4 investment in Jordan, we are proud to enter in this transaction to support these investments. This indicates the importance of the Jordanian power market for us. The company continues its commitment to expand its investments with balanced steps and diversification in terms of geographies and technologies. This step is in line with the company’s long-term strategy to expand and strengthen its international presence and expertise. This project is consistent with our goals for development of infrastructure projects that support the development and economic growth through making available part of the electricity demands needed in the country.”
Faisal Obaid Al Siddiqi, Chief Business Development Officer at Nebras Power stated: "We are pleased to enter into this transaction which is an expression of our strong partnership with the Hashemite Kingdom of Jordan. With the addition of these projects, Nebras and its partners provide over 700 MW to the electricity grid of Jordan, contributing to the steady growth in energy demand and the stabilization of the energy sector in the country.”