Nabarro has advised on Jordans first utility-scale onshore wind farm amid growing demand for energy in the region.
The Jordan Wind Project Company (JWPC) has now signed the financing agreement to begin construction of the the $290m Tafila wind farm. The developer consortium consists of a group comprising EP Global Energy, the Euro-Mediterranean fund Inframed and Masdar of Abu Dhabi.
Nabarro energy partner Tom Bainbridge, infastructure and finance partner Louisa Cilenti led on the project financing for the project while corporate partner Kristy Duane on equity and construction partner James Duckworth on design, building and operation.
The scheme has involved heavy negotiation between the group of funders putting up the financing for the scheme and heavyweight institutions the World Bank Group and European Investment Bank.
Chadbourne & Parke partners Sohail Barkatali, Magnus Rodrigues and Peter Fitzgerald advised the group of lenders comprising International Finance Corporation (IFC) (with FMO and Europe Arab Bank as indirect lenders), European Investment Bank (EIB) with Eksport Kredit Fonden (EKF) as guarantor, and the OPEC Fund for International Development (OFID).
Approximately $221m in debt funding has been used to cover around 77 per cent of the estimated total cost of the scheme, which will begin constiruction in 2014.
It follows an agreement signed in November for a 20 year power agreement with the Jordianian natoinal electricity company NEPCO and another signed on 20 November 2013 with wind turbine company Vestas.
The 117MW wind farm is destined to be operational by 2015 and is set to increase the country’s power capacity by three per cent.
It is the first wind power project to be developed under the country’s Renewable and Energy Efficiency Law passed in 2010, which set the country on course for producing seven per cent of its electricity from renewable sources by 2015, rising to 10 per cent by 2020.
Construction partners Steven Williams and Jonathan Douglas advised SSE Renewables and RWE Innogy’s Greater Gabbard project in relation to its battle with engineering, procurement and construction company Fluor Limited earlier in the year.
Greater Gabbard Offshore Winds Ltd (GGOWL), had launched arbitration proceedings against Fluor after complaining that 52 of the foundations at the 140 turbine project could experience faults but the companys have now settled.