ACWA Power achieves FC of NOORo II and NOORo III projects in Morocco

ACWA Power has achieved Financial Close (FC) for the Independent Power Projects NOOR II (200MW) and NOOR III (150MW) concentrated solar power (CSP) projects in Morocco.

The total value of both projects of about $2 billion will be funded on 80/20 debt to equity basis with debt financed by the African Development Bank, the “Agence Française de Développement”, the Clean Technology Fund, the European Commission, the European Investment Bank, Kreditanstalt für Wiederaufbau and the World Bank.

The concentrated solar power (CSP) projects will contribute to the Moroccan Solar Energy Agency (MASEN) Solar Plan to develop 2,000 MW of solar power by 2020. The proposed project will support MASEN’s implementation of the second 350 MW phase of the Noor Solar Complex, which is expected to have a minimum capacity of 500 MW.This second phase consists of 2 distinct plants:

• 200 MW parabolic trough CSP plant (Noor II) with 7 hours of storage
• 150 MW tower CSP plant (Noor III) with between 7 to 8 hours of storage

The project involves the design, financing, construction, commissioning, operation and maintenance of the new facilities.

ACWA Power submitted technical proposals in March 2014 and financial offers in September 2014 in an international tender, and having delivered the lowest combined tariff and a final bid compliant with the requirements of the request for proposals, was selected as Preferred Bidder on 9 January 2015. 25 years term PPAs (Power Purchase Agreements) were signed between ACWA Power and Masen for both projects on 10 March 2015.

The Moroccan Agency for Solar Energy (Masen) will hold 25% of the equity in both projects. SENER will also be an equity investor in NOORo II.

A joint and several EPC consortium constituted by SENER and SEPCO III will construct both projects, which are expected to be in Commercial operation during Q3/Q4 2017.

The consortium of The First National Operation & Maintenance Company Ltd., (NOMAC), a fully owned subsidiary of (ACWA Power), and Masen will undertake the operations and maintenance of the plants once the final commercial operation date is achieved.