The Saudi company ACWA Power signed two agreements to purchase hydrogen and energy with government companies in Uzbekistan, according to a statement from the company to the Tadawul Stock Exchange on Thursday, and said that the value of the contract amounts to $ 100 million.
ACWA Power was established in 2004 and operates as a developer, investor and operator of electric power and water desalination plants. The Saudi sovereign fund owns about 45% of its shares, which were listed on the stock exchange in October 2021. It has solar energy projects in the UAE and is seeking to expand in several other countries.
Uzbekistan is facing a shortage of natural gas needed for its traditional plants, while in recent years it has signed deals for a number of renewable energy projects, attracting investors, many of them from the Gulf..
According to a previous statement from ACWA Power, the company owns Currently existing projects in Uzbekistan Which is the second largest country in terms of investment value of ACWA Power projects outside Saudi Arabia.
According to Thursday’s statement, the Saudi company signed an agreement to purchase 3,000 tons of hydrogen annually with the Uzbek state chemical company Uzkimyosanot for a period of 15 years, for the first Uzbek green hydrogen project.
ACWA Power also signed, with the National Electric Grid in Uzbekistan, an agreement to purchase renewable energy with a production capacity between 52 and 100 megawatts, for a period of 25 years.
ACWA Power expected the financial impact of the two agreements to appear after the start of commercial operation in June 2024 and June 2025.
(Prepared by: Shaima Hefzy, contact [email protected])
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