Currently under construction, this project is the largest wind farm in Africa and is being developed in collaboration with Orascom Construction, Toyota Tsusho Corporation, and Eurus Energy Holdings Corporation under the Red Sea Wind Energy consortium.
The expansion will increase the wind farm’s total capacity from 500MW to 650MW, reinforcing ENGIE’s commitment to renewable energy development across Africa and the Middle East.
An additional agreement has been signed with the Egyptian Electricity Transmission Company (EETC) to extend the long-term Power Purchase Agreement (PPA). This agreement guarantees revenues for the 150MW extension and secures revenue for the entire 650 MW capacity for a period of 25 years.
ENGIE holds a 35% stake in the Red Sea Wind Energy consortium and serves as the technical and project management partner. The other stakeholders include Orascom Construction PLC (25%), Toyota Tsusho Corporation (20%), and Eurus Energy Holdings Corporation (20%).
The consortium has also achieved financial close for the 150MW extension. The financing mirrors that of the original 500MW project, with funding provided by the Japan Bank for International Cooperation (JBIC) in collaboration with Sumitomo Mitsui Banking Corporation, the Norinchukin Bank, Société Générale, under Nippon Export and Investment Insurance (NEXI) cover, and the European Bank for Reconstruction and Development (EBRD).
ENGIE has confirmed that 306 MW of the project’s capacity is now connected to Egypt’s national grid as part of its first commissioning phase, ahead of schedule. Full commissioning of the expanded wind farm is expected by the third quarter of 2025, as initially planned prior to the extension.
The Red Sea Wind Energy project will contribute significantly to Egypt’s renewable energy goals, which target 42% of electricity generation from renewable sources by 2030. The wind farm is projected to reduce CO? emissions by approximately 1.3 million tonnes annually and generate renewable energy sufficient to power over 1 million homes.
This is the consortium’s second wind farm project in Ras Ghareb, following the successful commissioning of a 262.5 MW facility in October 2019. With this latest extension, ENGIE’s total wind power capacity in Egypt will reach 912.5 MW.
ENGIE Renewables & Energy Management senior executive vice-president Paulo Almirante said: “We are committed to be replicating the same level of operational excellence for Red Sea Wind Energy’s expansion, relying on our Egyptian partners and the consortium’s operational excellence.
“Once completed in 2025, Red Sea Wind Energy will be one of the largest onshore wind facilities in ENGIE’s global portfolio and will significantly contribute to the Egyptian government’s ambitions to transition to a low-carbon economy.”
