Abu Dhabi’s renewable energy giant, Masdar, has achieved financial close for its 154MW Čibuk 2 wind farm project in Serbia, as it aims to expand its renewable energy capacity in the country.
The financial package includes a €144 million ($160 million) non-recourse loan, provided by UniCredit and Erste Bank, demonstrating solid investor confidence in Serbia’s renewable energy future.
The Čibuk 2 project is a joint venture between Masdar and Taaleri Energia, operating under their development vehicle, Masdar Taaleri Generation, in partnership with local developer New Energy Solutions.
The wind farm, consisting of 22 Nordex 7MW turbines, will generate enough power for approximately 62,000 households while preventing the release of 311,200 tonnes of carbon dioxide annually.
Masdar’s CEO, Mohamed Jameel Al Ramahi, hailed the financial close as a key milestone in the company’s expansion into Central and Eastern Europe. “This achievement underscores the investor confidence in Serbia’s renewable energy market and our commitment to fostering sustainable energy in the region,” said Al Ramahi during a signing ceremony held at RES Serbia 2024.
Serbia’s Minister of Mining and Energy, Dubravka Djedović Handanović, and Taaleri Energia executives were also in attendance.
The construction of the wind farm is already underway and is scheduled to begin operations in the first quarter of 2026. Once complete, Čibuk 2 will share the same grid connection point as the nearby Čibuk 1 wind farm, a 158MW facility that was Serbia’s largest utility-scale wind project when it launched in 2019.
Masdar’s involvement in Serbia dates back to its 2017 investment in Čibuk 1. The success of that project paved the way for Čibuk 2, with Taaleri Energia Managing Director Kai Rintala expressing confidence in the project’s financing and turbine package.
“The development of Čibuk 2 is set to replicate the success of Čibuk 1, and we anticipate that our Taaleri SolarWind III Fund will reap similar rewards,” said Rintala.
Once Čibuk 2 becomes operational, Masdar’s total wind energy capacity in Serbia will reach 312MW, further solidifying the country’s push toward renewable energy. The combined Čibuk projects will form the largest operational wind farm in Serbia, aligning with the nation’s goal to generate 41 percent of its energy from renewable sources by 2030.
Financing for the project has been split between UniCredit and Erste Bank, with Erste covering 50 percent of the loan. Erste Bank Serbia will locally finance €45 million, while the remaining amount will be handled by Erste Group, marking the largest green financing initiative undertaken by Erste Bank Serbia to date.
The project is the sixth wind farm that Erste has financed in Serbia, a move that is expected to boost its position as a leader in green energy financing.
“We’re proud to support Čibuk 2, which will not only expand Serbia’s renewable energy portfolio but also strengthen our leadership in financing sustainable energy projects,” said Nikola Stamenković, a member of Erste Bank Serbia’s Executive Board.
UniCredit Bank, which had previously acted as the financial advisor for the refinancing of Čibuk 1, continues its involvement by supporting Čibuk 2 through its financing and advisory roles.
Serbia has been steadily ramping up its renewable energy efforts, setting ambitious targets as part of its strategy to meet the European Union’s clean energy goals.
The country’s target of 41 percent renewable energy by 2030 has significantly driven investments in wind and solar projects. Masdar’s strategic partnerships with the Serbian government and local stakeholders demonstrate its commitment to supporting these targets.
The Čibuk 2 wind farm is widely expected to become a key contributor to Serbia’s renewable energy mix and a model for future projects in the Western Balkans region.
