Tribune News Network
Doha – Nebras Power (Nebras) and its subsidiary Nebras Power Investment Management (NPIM) have entered into a sale and purchase agreement (SPA) to acquire AES Corporation’s (AES) stake in three Jordanian power projects together with Mitsui, the Qatari firm announced in a statement on Sunday.
Nebras currently owns 24 percent stake in each of the three projects, while Mitsui owns 40 percent.
The closing of the acquisition deal is subject to obtaining approval from lenders of each of the project companies.
Nebras said 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 percent 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.
Nebras Chairman Fahad Hamad al Mohannadi said, “This step is in line with the vision of Nebras’ board of directors to boost the company profile as a successful international company.
“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.” Nebras CEO Khalid Mohammed Jolo said, “Nebras started its investment activities in 2014, and currently we have stakes in four projects in Jordan.” “The new deal will support these investments,” he added.
Jolo said, “The agreement indicates the importance of the Jordanian power market for us. Nebras 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 supports the economic growth of Jordan by fulfilling the electricity demands in
the country.”
Chief Business Development Officer at Nebras Power, Faisal Obaid al Siddiqi, said, “We are pleased to enter into this transaction which is an expression of our strong partnership with Jordan.
“With the addition of these projects, Nebras and its partners will provide over 700 MW to the electricity grid of Jordan, contributing to the steady growth in energy demand and the stabilisation of the energy sector in the country.”Nebras increases its stakes in Jordan’s power sector
