Red Sea Wind Energy – a joint venture of Japan’s Toyota Tsusho and its subsidiary Eurus Energy, Engie and Egyptian firm Orascom Construction – has obtained the loan for a 500MW facility on the banks of the Gulf of Suez. The wind farm is located near the town of Ras Ghareb.
The Japan Bank for International Co-operation (JBIC) is providing US$240mn toward the facility, with the remainder extended by the European Bank for Reconstruction and Development (EBRD), SMBC, Norinchukin Bank and Société Générale. The commercial banks’ portion of the loan is being covered by Nippon Export and Investment Insurance (Nexi), Japan’s official export credit insurer.
Red Sea Wind Energy has committed to sell electricity generated by the project to the Egyptian Electricity Transmission Company for the plant’s expected lifespan of 25 years. Construction is set to begin this month with commercial operations slated to commence in August 2025, with a total project cost of around US$600mn.