Italcementi subsidiary signs wind farm agreement, Egypt

Italcementi subsidiary signs wind farm agreement, Egypt
24 June 2013

The Egyptian Electricity Transmission Company signed a contract with Italgen, a subsidiary of Italcementi Group, to build a wind farm to help meet Suez Cement's energy requirements.

The contract authorises Italgen, which has been studying the possibility of incorporating wind technology since 2008, to become the first private investor to enter the Egyptian National Grid, and build a wind energy park in the area of Gulf El-Zeit, according to a statement issued on Sunday.

Electrical energy generated from the wind farm will be transmitted to plants run by Suez Cement, another Italcementi subsidiary, and will help in the reduction of CO2 emissions.

The first phase in the project will represent an investment of around EUR120-130m. It will equate an installed capacity of 120MW and is expected to cover around 40 per cent of Suez Cement’s power needs. After the completion of the second phase, electrical energy is estimated to reach a capacity of 400MW.

The signature of these contracts allows Italgen to proceed with a short list of bids, received from 10 international companies, to construct wind turbines along with defining the 'financial package' for the investment.

This initiative comes as part of the government’s objective to produce 7000MW, 20 per cent of the country’s electricity, from renewable energy sources such as solar, water and wind energy by the year 2020.

The contract signing was attended by Minister of Energy Ahmad Shaaban and Italian Ambassador Maurizio Massari.

Published under Cement News