Tharwa to develop $11bn coal plant in Egypt
UK-based investor pens MoU to build 6,000MW power plant.
Tharwa Investments and the Egyptian Electricity Holding Company (EEHC) have signed a Memorandum of Understanding (MoU) to establish the world’s largest single-site coal-fired power plant at a cost of $11bn.
Under the agreement, which was signed at the Sharm El Sheikh summit last week, Tharwa will develop a 6,000 MW in two co-located phases, the company said in a statement. Each phase will produce 3,000 MW during a period of approximately 4.5 to 5 years though Tharwa stopped short of laying out a timeline for the development of the plant.
The project will be financed and developed by UK-based Tharwa Investments and its subsidiary, the FourWinds Group of Companies, in collaboration with different international and regional financial institutions and ECAs.
The site will be equipped with clean coal technologies and will as well as creation of more than 15,000 jobs.
Mohab Murrar, vice president of corporate planning and strategy at THARWA Investments said: “We, at THARWA Investments and the FourWinds Group of Companies, understand and support the vision of the leadership and Government of Egypt for a more prosperous future through material progressive initiatives such as this unparalleled world-class power site.
“This landmark will be financed by fresh foreign direct investments on both fronts, equity and debt, that will be introduced to the country from abroad, while local financing will be solicited at a minimum and only to cover local work quoted in Egyptian pounds.”
The project will be implemented through a high profile Consortium that comprises world-class power site specialists uniquely suited to this landmark project, the statement added.
Furthermore, the project will be handled, planned, and implemented by the corporate infrastructure and utility business unit of THARWA Investments and FourWinds Group of Companies located in Kuala Lumpur, Malaysia, where the company has a strong and growing presence.
“THARWA Investments is fully aware of the undeniable challenges facing such an ambitious project,” the statement said. “The company’s quest to deliver and excel was coupled at the early stages of the project with extensive research, planning, preparation and meticulous development by world class experts. The company has since embarked confidently with a pledge to deliver such a unique and complex project in a timely manner and at the highest international standards.”
Dr Mohamed Shaker El-Markabi, Egyptian Minister of Electricity and Renewable energy said: “The Egyptian electricity sector is keen to diversify its energy resources to better respond to future needs and achieve sustainable development.
“In that regard, the sector has exerted major efforts through developing a strategy that helps achieve this goal and maximize utilising renewable sources such as wind, and solar, as well as other energy sources from clean coal and fossil fuel plants.
“The strategy also aims at creating a promising energy market that enables private sector companies to invest in the production of electricity through various sources. Accordingly, several local and international companies have submitted proposals to develop power plants equipped with clean coal technologies. We welcome this cooperation which will benefit all involved parties and assist in achieving the set goals.”