KfW IPEX-Bank finances a modern combined cycle power plant in the Emirate of Sharjah

Frankfurt am Main (ots) - KfW IPEX-Bank is involved in financing a
modern and highly efficient 1,800 MW combined cycle power plant in
the emirate of Sharjah in the United Arab Emirates. The total
investment volume is approximately USD 1 billion, with KfW
IPEX-Bank's contribution standing at USD 132 million. The loan funds
of the project and export finance arm of KfW Group are mainly covered
by the Japanese export credit insurance NEXI (Nippon Export and
Investment Insurance). The additional financing is provided by a club
of international commercial banks and the Japanese governmental
lender JBIC.

The combined cycle power plant will be fueled by natural gas
obtained from LNG, and is designed to meet the rising energy demand
in Sharjah and reduce the emirate's dependence on electricity
imports. In addition, the new power plant will contribute to the
modernisation of the emirate's power supply as it will also replace
older oil-fired power plants. KfW IPEX-Bank's involvement is based on
financing European exports: in this case the gas and steam turbines
will be manufactured at GE's Belfort, France location. GE will
provide equipment and turnkey engineering, procurement and
construction (EPC) services for the power plant. GE will also provide
parts, repairs and maintenance services for the power generation
assets at the site for a period of 25 years.

"This financing enables us to support our core customer, Sumitomo,
whom we have known for many years as a purchaser of German and
European equipment", said Markus Scheer, member of the KfW IPEX-Bank
Management Board responsible for the sector department Power,
Renewables and Water. "At the same time, we are expanding our
expertise in financing highly modern, efficient conventional power
plants to ensure a stable and reliable power supply - a critical part
of a successful energy transition."

The investors of the 1,800 MW power plant are the Japanese
Sumitomo Group, the US-based GE Energy Financial Services and the
Shikoku Electricity Power Company, also from Japan, as well as
Sharjah Asset Management Holding. The equity consortium's role will
be to build, own and operate the project.

With this financing, KfW IPEX-Bank is positioning itself in the
GCC project finance market as an institution that finances power
infrastructure and, at the same time, is contributing to
environmental protection and climate change mitigation.

Pressekontakt:
KfW IPEX-Bank GmbH, Palmengartenstraße 5-9, 60325 Frankfurt
Pressestelle: E-Mail: axel.breitbach@kfw.de
Tel. 069 7431-2961, Fax: 069 7431-9409, E-Mail:
info@kfw-ipex-bank.de,
Internet: www.kfw-ipex-bank.de

Original-Content von: KfW IPEX-Bank, übermittelt durch news aktuell