AMEA Power, one of the fastest growing renewable energy companies based in the Middle East, says it has reached financial close on its 120MW Doornhoek Solar Photovoltaic (PV) Project located in South Africa.
When commissioned, the $120 million (R2.2 billion) project will be the company’s first operational asset in the country.
The 120MW Doornhoek Solar PV Project is located near the town of Klerksdorp in the North West Province, and will generate 325GWh of clean energy, power an estimated 97,000 households and offset 330,000 tonnes of carbon emissions annually.
The project is expected to commence commercial operations by December 2025.
AMEA Power is the majority shareholder in the 120MW solar pv project, and had partnered with Ziyanda Energy and Dzimuzwo Energy, which are wholly owned by African women. The project was first awarded to the consortium through Bid Window 6 of the REIPPPP.
Standard Bank South Africa provided the debt funding of $100 million (approximately R800 million) to AMEA Power, while Industrial Development Corporation provided the $8 million (approximately R150 million) of equity funding to the local partners.
AMEA Power’s Chairman, Hussain Al Nowais, said: “We are delighted to reach financial close on the 120MW Doornhoek solar project in South Africa. The country has vast renewable energy opportunities, and we are proud that with this project, we will support South Africa in its renewable energy transition. We also grateful for the support from our lenders and that of the South African government for turning this project into a reality.”
Standard Bank Group’s Executive of Energy and Infrastructure Finance, George Kotsovos, said: “We are extremely proud to have partnered with AMEA Power, Ziyanda Energy and Dzimuzwo Energy and to play a key role in the success of a project that will generate more than 325GWh of clean energy per year and power an estimated 97,000 households in support of our country’s energy requirements in a sustainable manner.”
Industrial Development Corporation’s Interim CEO, David Jarvis, said: “The IDC is pleased to be partnering with AMEA for its inaugural utility-scale solar project in South Africa. We are especially excited to facilitate the equity participation and operational involvement of two new black women-owned entrants in the energy sector. We are committed to replicating this role in future energy projects to achieve the goal of enabling meaningful transformation in the sector.”
As part of AMEA Power’s “Community Investment and Development Program”, the company will implement initiatives aimed at benefiting the socio-economic growth and development of the local community, which are aligned with the United Nations’ Sustainable Development Goals.
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