TotalEnergies signed a US$34M non-recourse financing with APICORP and NBF for a 50 MW solar portfolio in Dubai
TotalEnergies, APICORP and NBF, committed to supporting the growth of renewable energy in the Middle East
TotalEnergies has secured a US$34 million debt from the Arab Petroleum Investments Corporation (APICORP) and the National Bank of Fujairah (NBF) to finance the construction of a 50 megawatts (MW) portfolio.
With the completion of this major milestone, TotalEnergies is supporting 30 Industrial & Commercial (I&C) customers in Dubai, United Arab Emirates, through turnkey solutions that significantly reduce the overall energy bill and carbon footprint, with up to 95% of clients’ energy needs covered with renewable energy. In total, the solar portfolio will represent an annual production of 83 GWh and 36,600 tons of CO2 emissions avoided per year.
Committed to supporting its customers in their energy transition, TotalEnergies targets a total solar portfolio of 250 MW in the Middle East under development for I&C customers throughout the next five years, including 100 MW already in operation or awarded.
“Our partnership with TotalEnergies and the National Bank of Fujairah underscores APICORP’s belief in green energy as the key to the sustainability of the MENA region’s energy future and supporting the ambitious energy visions of our respective member states – including the UAE. Currently comprising around 13% of our total debt portfolio alongside direct equity investments in pioneering companies, projects, and technologies in several Arab countries, the share of our investments in the sector has been steadily gathering pace, and we expect this support to continue in 2021 and beyond,” said Dr. Ahmed Ali Attiga, CEO of APICORP.
NBF is pleased to be collaborating with TotalEnergies on their first distributed generation project financing in the UAE, which is aligned with our goal of promoting lending to sustainable projects, entrepreneurs, and industries. NBF is committed to allocating resources towards initiatives that expand and accelerate sustainable practices in support of the UAE Vision 2021, in accordance with the Dubai Declaration, and supporting the process of transforming the national economy to green activities in accordance with the UAE Energy Strategy 2050. We strongly believe that the more resources we provide for sustainable financing, the greater the tangible results we will see, and it is great to be working with such like-minded partners” said Vince Cook, CEO at NBF.
“This is a major milestone for our distributed generation activity in MENA region and a concrete proof of TotalEnergies's solid risk structure and the strong confidence that investors such as APICORP and NBF have in our strategy. It demonstrates the quality and bankability of our renewable energy projects in the MENA region, as well as the reliability of TotalEnergies in providing clean energy solutions. The UAE ‘Energy Strategy 2050’ aims to increase the contribution of clean energy in its total energy mix from 25% to 50% by 2050 and reduce carbon footprint of power generation by 70%. In line with the UAE’s strategy, we are committed to using our distributed generation solar expertise to deliver renewable energy solutions to our I&C customers in the MENA region,” said Julien Pouget, Senior Vice-President Renewables at TotalEnergies.
TotalEnergies, renewables and electricity
As part of its ambition to get to net zero by 2050, TotalEnergies is building a portfolio of activities in renewables and electricity that should account for up to 40 % of its sales by 2050. At the end of 2020, TotalEnergies' gross power generation capacity worldwide was around 12 GW, including 7 GW of renewable energy. TotalEnergies will continue to expand this business to reach 100 GW of gross production capacity from renewable sources by 2030 with the objective of being among the world's top 5 in renewable energies.
About NBF (https://nbf.ae/en)
Incorporated in 1982, National Bank of Fujairah PJSC (NBF) is a full services corporate bank with strong corporate and commercial banking, treasury and trade finance expertise as well as an expanding suite of personal banking options and Shari’a compliant services. Leveraging its deep banking experience and market insight within Fujairah and the UAE, NBF is well-positioned to build lasting relationships with its clients and help them achieve their business goals.About TotalEnergies(www.totalenergies.com)
TotalEnergies is a broad energy company that produces and markets energies on a global scale: oil and biofuels, natural gas and green gases, renewables and electricity. Our 105,000 employees are committed to energy that is ever more affordable, clean, reliable and accessible to as many people as possible. Active in more than 130 countries, TotalEnergies puts sustainable development in all its dimensions at the heart of its projects and operations to contribute to the well-being of people.
About APICORP (https://www.apicorp.org/)
The Arab Petroleum Investments Corporation (APICORP) is a multilateral development financial institution established in 1975 by an international treaty between the ten Arab oil exporting countries. It aims to support and foster the development of the Arab world’s energy sector and petroleum industries. APICORP makes equity investments and provides project finance, trade finance, advisory and research. Headquartered in Dammam, Kingdom of Saudi Arabia, APICORP is rated “Aa2” by Moody’s and “AA” by Fitch, both with a stable outlook.
NBF Contact
+971 4 507 8351 and +971 4 507 8576 l CorpComm@nbf.ae
TotalEnergies Contact
+971 (0)54 388 6525 l solar-me@totalenergies.com
APICORP Contact
Hassan Al-Jundi l Email: haljundi@apicorp.org