CAIRO: Egypt has secured a first tranche of financing for an 8 billion euro ($8.5 billion) plan for power plants to be built by Germany’s Siemens, the company and electricity ministry said.
The deal, which calls for three combined-cycle power plants with a capacity of 4,800 megawatts each, plus 12 wind farms, was signed in June and marked the single-biggest order in Siemens’ history.
It is designed to boost Egypt’s electricity generation by 50 percent.
A group of banks has agreed to supply credit for the Beni Suef natural gas-fired combined cycle power plant, the first of the three planned plants, a spokesman for Munich-based Siemens said.
Two agreements, worth 2 billion euros in total, were signed by a consortium of banks led by Deutsche Bank, HSBC Germany and German government-owned development bank KfW, two sources familiar with the situation told Reuters.
The project is expected to start operation in 2016, with full production by April 2018.
Siemens secures first funding for Egypt power plant project
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