Egypt signs agreements for $650 million solar project
By the AFREEQUE newsroom, based on Egypt Independent
Egypt has signed the first financing agreements for the Dandara solar project in Nag Hammadi, with a capacity of 1,000 megawatts and 200 megawatt-hours of storage, for an investment of about $650 million. Built in two phases, it is expected to cover nearly a third of Egypt Aluminium’s electricity needs, according to the Egyptian government.
Egypt has signed an initial financing agreement for the Dandara solar project, worth around $650 million and with a capacity of 1,000 megawatts, alongside 200 megawatt-hours of battery storage. Prime Minister Mostafa Madbouly attended the signing on Monday evening, according to Egypt Independent.
The agreement brings together Norwegian company Scatec, the European Investment Bank, the European Bank for Reconstruction and Development and the African Development Bank. Separate agreements provide for connection to the national electricity grid and for the National Bank of Egypt to take part in the project company.
Construction is to take place in two phases, each adding 500 megawatts of solar capacity and 100 megawatt-hours of storage. Located in Nag Hammadi, Qena Governorate, the project is expected to cover about a third of Egypt Aluminium’s electricity needs and help reduce emissions from aluminium production.
This reduction is also intended to strengthen the competitiveness of Egyptian products in international markets, where environmental requirements for exports are becoming stricter, according to Egypt Independent.
