Moroccan wind farm reaches financial close
Largest wind farm in Africa will have 300 MW output
Morocco’s government-owned electricity firm, Office National de l’Electricite (ONE), has been represented by lawyers Chadbourne & Parke in relation to the Tarfaya wind project which reached financial close last week. The scheme is set to be the largest wind farm in Africa, with a capacity of 300 MW when completed.
Nareva Renouvelables and Kharabel FZE – a UAE affiliate of International Power – were awarded the contract to develop the project, valued at US $350 million. ONE has agreed a 20-year power purchase agreement with the pair to become the designated offtaker.
Morocco is currently aiming to build a total of five major wind farms to boost wind capacity to 2 GW by 2020, up from a present output of just 280 MW. Demand in the country is expected to increase by over 8% per year over the next twenty years, prompting an investment of $3.5 billion in wind and power capacity. The new Tarfaya site, located in the south west of the country, will be only the second that has been developed under the independent power project (IPP) scheme.
“We are delighted to have advised our long-standing client, ONE, on this project. This latest deal helps to reinforce Chadbourne’s strong track record of successfully closing power deals in North Africa. I am pleased that we have been able to help Morocco towards its goal of developing a 2,000 MW wind-power programme by 2020,” said Chadbourne project finance partner Robin Mizrahi.