Egypt’s New and Renewable Energy Authority (NERA) signed a contract with an Italian-French-Chilean consortium led by Vestas to build a wind power plant.
The deal includes the establishment of a wind farm in the Gulf of Suez with a capacity of 250 megawatts (MW), the Minister of Electricity and Renewable Energy, Mohamed Shaker, said in a statement on Tuesday.
The investment cost of the project amounts to EUR 228 million (EGP 4.3 billion) to be financed through the umbrella agreement signed between Egypt and the European Development Partners (the French Development Agency (AFD), the European Union (EU), the European Investment Bank (EIB), and Germany’s KfW Development Bank).
The wind power plant is scheduled to be complete and brought to operation within 35 months.
The annual electricity capacity is expected to reach 840 gigawatts per hour, which would save about 175,000 tonnes of oil equivalent.