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FINANCIAL NEWS
Saudi Electricity forms $2.1b JV
10 Jun 2010
(MENAFN) Saudi Electricity Co (SEC) said that it has agreed to form a $2.1 billion joint-venture that includes GDF Suez and Japan?s Sojitz Corp to produce much needed electricity for the kingdom, Reuters reported.
The power utility holds a 50 percent stake in the Darmaa Power Co which will operate Riyadh 11 independent power plant, while GDF Suez, Sojitz and local Jomaih Holding Group together hold the remaining half, Saudi Electricity said.
Partners in the project will resort to local and international banks to help raise financing for the project, it added.
The partnership is among six planned IPP power plant projects in the kingdom aimed at adding 11,000 megawatts of capacity.
Power demand in the world?s largest oil exporter is rising at an annual 8 percent and is expected to triple to 121,000 megawatts from 40,000 MW currently, government officials said.
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