Masdar and its partners have reached financial close on the $1.1 billion Al Sadawi solar power project in Saudi Arabia, paving the way for construction of what is set to be one of the world’s largest photovoltaic plants.
The 2-gigawatt project, located in the kingdom’s Eastern Province, is part of Riyadh’s National Renewable Energy Program, overseen by the Ministry of Energy. It will be developed on a build-own-operate basis under a 25-year power purchase agreement signed with the Saudi Power Procurement Company.
Masdar, alongside China’s GD Power and Korea Electric Power Corporation, secured financing from a consortium of eight lenders including Standard Chartered, Korea Export-Import Bank, ADCB, BNP Paribas, ADIB, Bank of China, HSBC and Société Générale.
The plant is scheduled to begin supplying power at full capacity in 2027. Once operational, it will support Saudi Arabia’s target of generating half its electricity from renewables by 2030, cutting reliance on fossil fuels and lowering emissions.
Masdar CEO Mohamed Jameel Al Ramahi said the deal represented “a significant step in Saudi Arabia’s clean energy journey,” as the kingdom accelerates efforts to diversify its energy mix.
