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Saudi-listed ACWA Power, renowned as the world’s largest private water desalination company and a leader in energy transition and green hydrogen, announced the completion of a Sale and Purchase Agreement to sell 35% of its shareholding in ACWA Power Bash Wind Project Holding Company Limited and ACWA Power Uzbekistan Wind Project Holding Company Limited to China Southern Power Grid International (HK) Co. Ltd (CSGIHK), the investment and development arm of China Southern Power Grid (CSG).
The transaction’s completion was marked by a closing ceremony in Tashkent, attended by Jurabek Mirzamakhmudov, Minister of Energy of Uzbekistan; Umid Mamadaminov, Deputy Minister of Energy of Uzbekistan; Hamud Turki Almutairi, Deputy Saudi Ambassador to Uzbekistan; Abdullajon Otaboev, Deputy Director of the Energy Market Development and Regulatory Agency; Marco Arcelli, CEO of ACWA Power; and Tang Yifeng, Vice President of CSG.
This milestone represents the first co-investment transaction between ACWA Power and China Southern Power Grid for a large-scale renewable energy project in Central Asia. It follows framework agreements signed in December 2022 between ACWA Power and Chinese companies, paving the way for financing, investment, and construction of ACWA Power’s global clean and renewable energy projects in Saudi Arabia and Belt and Road Initiative countries.
Marco Arcelli, CEO of ACWA Power, expressed enthusiasm about the collaboration, emphasizing the importance of international cooperation in delivering sustainable solutions. He stated, “Through strategic collaboration with China Southern Power Grid International, we are proud to announce a significant milestone in our journey towards sustainable energy solutions. The agreement in relation to our Bash and Dzhankeldy wind projects in Uzbekistan not only enhances ACWA Power’s global presence but also strengthens ties between two industry leaders from different regions. This historic partnership underlines our commitment to driving innovation and progress in the renewable energy sector.”
Tang Yifeng, Vice President of CSG, commented, “By leveraging synergies, we can strengthen our strategic partnership and work towards developing a series of benchmark projects and contribute to the implementation of the Uzbekistan-2030 Strategy.”
The ACWA Power Bash Wind Project Holding Company Limited and ACWA Power Uzbekistan Wind Project Holding Company Limited hold a 100% stake in ACWA Power Bash Wind LLC “Bash” and ACWA Power Dzhankeldy LLC “Dzhankeldy,” respectively. These projects represent a combined 1GW of capacity with an investment cost exceeding USD 1.3 billion.
Upon completion, the Bash and Dzhankeldy wind power plants are set to become some of Central Asia’s largest renewable energy projects. Uzbekistan is ACWA Power’s second-largest market in terms of investment cost, highlighting the company’s long-standing commitment to the country.
