Acwa Power has announced that it has closed a financing agreement worth $8.5 billion for a major green hydrogen project coming up at Neom.
The finance for the project will come from a combination of long-term debt and equity. The total financing consists of $5.85 billion senior debt and $475 million of mezzanine debt facilities, both arranged on a non-recourse project finance basis.
The balance will come from a consortium of financiers, structured as a combination of long term uncovered tranches and a Euler Hermes covered tranche, stated Acwa Power.
According to Acwa Power, the project scope includes the development, financing, design, engineering, procurement, manufacturing, factory testing, transportation, construction, erection, installation, commissioning, insurance, ownership, operation and maintenance of the world-scale green hydrogen and green ammonia facility in Neom.
