ACWA Power to sign $2.4bn deal for 1,500MW wind project in Uzbekistan

Update ACWA Power to sign $2.4bn deal for 1,500MW wind project in Uzbekistan
This project would be the biggest single site onshore wind project in the region. (Supplied)
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Updated 17 August 2022

ACWA Power to sign $2.4bn deal for 1,500MW wind project in Uzbekistan

ACWA Power to sign $2.4bn deal for 1,500MW wind project in Uzbekistan

RIYADH: ACWA Power Co. said it will sign today a $2.4 billion deal with the government of Uzbekistan for a 1,500-megawatt wind project, a bourse filing revealed.

“This project would be the biggest single site onshore wind project in the region and the world and will contribute 19 percent to Uzbekistan’s overall renewable energy goals,” the PIF-owned energy giant said in a bourse filing.

To be located in Karakalpakstan, Uzbekistan, the facility seeks to power 1.65 million households and offset 2.4 million tons of carbon emissions per year.

Expected to achieve a financial close by the end of 2023, the project is likely to be fully commissioned by the first quarter of 2026.

The agreement duration is 25 years and will be signed with the Uzbekistani Ministry of Energy and Ministry of Investment & Foreign Trade.

This comes as part of ACWA Power’s mission to deliver electricity and desalinated water reliably at a low cost, thereby contributing to the sustainable, social and economic development of communities.

Established in 2004, ACWA Power’s portfolio includes 64 assets with an investment value of SR252 billion ($67 billion).

It produces 42.6 gigawatts of power and 6.4 million cubic meters per day of desalinated water delivered on a bulk basis to address the needs of state utilities and industries. 

On Wednesday, Saudi Arabia and Uzbekistan signed over 10 investment agreements, worth over SR45 billion ($12 billion), during the fourth meeting of the Saudi-Uzbek Business Council held in Jeddah.

The agreements covered various sectors and included a number of deals between Uzbekistan’s Ministry of Investment and Foreign Trade, Uzbekistan’s Ministry of Energy of the Republic of Uzbekistan and ACWA Power.

February, ACWA Power broke ground on Uzbekistan’s first publicly tendered 100-megawatt wind project, valued at $108 million.

The Nukus wind project is located in the north-western part of the country and is expected to reach a financial close by the third quarter of 2022.

It will contribute 1.25 percent to Uzbekistan’s overall renewable energy goals and will power 120,000 households and offset 200,000 tonnes of carbon emissions per year upon operation in 2024.

Also, the Saudi firm announced earlier its start of operations at the Umm Al-Quwain desalination plant in the UAE.

The $797-million plant, known as Umm Al-Quwain IWP, has the capacity to generate 682,000 cubic meters per day of desalinated potable water.

This comes as ACWA Power seeks to deliver reliable and cost-effective delineated water projects. 

 


Saudi date exports exceed $340m: Ministry of Environment  

Saudi date exports exceed $340m: Ministry of Environment  
Updated 13 sec ago

Saudi date exports exceed $340m: Ministry of Environment  

Saudi date exports exceed $340m: Ministry of Environment  

RIYADH: Date exports from Saudi Arabia grew 5.4 percent in 2022 compared to a year earlier to hit SR1.28 billion ($340 million), the Ministry of Environment, Water and Agriculture has revealed. 

The figures showed that the Kingdom exported more than 300 types of dates, ranking the Kingdom first in value among 113 countries according to the International Trade Center.  

The number of importing countries in 2022 reached 116 countries, according to the Saudi Press Agency, with date quantities produced topping an estimated 1.54 million tons. 

The Kingdom is home to more than 33 million palm trees as well as over 123,000 agricultural holdings distributed across 13 regions of the country. 

Both the palm and dates sector contribute to several significant manufacturing industries, such as food and fodder, medical products, cosmetic products, building materials, among others. 

Dates are an essential fruit among Saudi families, especially during the holy month of Ramadan. 

This is mainly attributed to the high nutritional value associated to dates and the fact that they contain major elements that the body needs, especially after fasting for long hours. 

Nutrition experts advise the importance of eating dates at breakfast as it provides the body with energy, activity and vitality. 

This is linked to the fact that dates contain natural sugars such as sucrose, glucose and fructose, in addition to acids, proteins and vitamins such as vitamins A, B, C and E. 

Dates also contain potassium, sulfur, phosphorus, iron, sodium, zinc and magnesium and are known to reduce cholesterol in the blood. 

During Ramadan, the Kingdom’s markets usually witness a booming demand for buying dates, the most prominent types of which are Ajwa, Anbara and Al-Safawi, among others. 


SNB appoints Saeed Mohammed Al-Ghamdi as new chairman

SNB appoints Saeed Mohammed Al-Ghamdi as new chairman
Updated 48 min 9 sec ago

SNB appoints Saeed Mohammed Al-Ghamdi as new chairman

SNB appoints Saeed Mohammed Al-Ghamdi as new chairman

RIYADH: Saudi National Bank has appointed Saeed Mohammed Al-Ghamdi as its new chairman following the resignation of Abdul Wahed Al-Khudairy from his post citing personal reasons, it was announced on Monday.

The bank also appointed Talal Ahmed Al Khereiji as the new acting CEO, according to a bourse statement.

SNB said that the new changes will be effective from March 27.

In 2022, the bank recorded a 46.7 percent increase in net profit, hitting SR18.6 billion ($4.96 billion), spurred by higher operating income and a decline in provisions for expected credit losses.

The Kingdom’s biggest bank also saw a 61 percent surge in net profit in the fourth quarter of 2022 to SR4.8 billion from SR2.96 billion during the same period in 2021.

The results beat the average analyst estimate of SR18.2 billion, according to Refinitiv data.

Earlier in March, the bank moved to play down any risk to its balance sheet caused by the fall in share value of Credit Suisse.

SNB bought almost 9.9 percent of Credit Suisse for SR5.5 billion in November 2022, with the Saudi bank later saying the investment represented just 0.5 percent of its total assets and approximately 1.7 percent of its overall investment portfolio.

In a statement to the Saudi stock exchange, made as Credit Suisse hit difficulties, SNB said: “Changes in the valuation of SNB's investment in Credit Suisse have no impact on SNB's growth plans and forward-looking 2023 guidance.”

Shares of Credit Suisse and other banks plunged after the failure of two banks in the US sparked concerns about other potentially shaky institutions in the global financial system.

Fellow Swiss bank group UBS agreed to buy Credit Suisse for more than $3 billion, a move which calmed markets after concerns about the global financial sector increased following the failure of two banks in the US.


Oil Updates — Crude edges up; Sinopec to actively explore opportunities in Saudi Arabia

Oil Updates — Crude edges up; Sinopec to actively explore opportunities in Saudi Arabia
Updated 27 March 2023

Oil Updates — Crude edges up; Sinopec to actively explore opportunities in Saudi Arabia

Oil Updates — Crude edges up; Sinopec to actively explore opportunities in Saudi Arabia

RIYADH: Oil prices climbed in early trade on Monday as concerns over turmoil in the banking sector eased, while comments by Russian President Vladimir Putin over the weekend ratcheted up geopolitical tensions in Europe.

Brent crude futures gained 74 cents, or 0.99 percent, to $75.73 a barrel at 11.30 a.m. Saudi time. US West Texas Intermediate crude was at $69.96 a barrel, up 70 cents, or 1.01 percent.

Brent rose 2.8 percent last week, while WTI rebounded 3.8 percent as jitters in the banking sector eased.

Oman offers 3 oil and gas concession areas 

Oman is offering three oil and gas concession areas for local and international local companies, a statement from the Ministry of Energy and Minerals said on Sunday.

The offering is open between March 26 and June 25, according to the statement published on Twitter.

Sinopec to actively explore opportunities in Saudi Arabia

China Petroleum & Chemical Corporation, also known as Sinopec, said on Monday it will actively explore opportunities in Saudi Arabia, where the state oil and gas major already owns a refinery stake.

Sinopec President Yu Baocai made the remarks without elaboration during a press briefing after the company announced a 6.9 percent decline in net profit last year.

DNO puts oil in storage after Iraq halts export via Turkiye

Norwegian oil firm DNO has begun storing oil in tanks at fields in the semi-autonomous Kurdistan region of northern Iraq after Baghdad ordered a halt to exports via a pipeline to the Turkish port of Ceyhan.

Iraq on Saturday halted crude exports from its northern region after the country won an arbitration case in which it said that Turkiye violated a joint agreement by allowing the Kurdistan Regional Government to export oil to Ceyhan.

A statement from DNO said it began diverting oil production from to storage on Saturday and that the tanks can hold “several days” worth of production.

“DNO notes from public reports that authorities in Ankara, Baghdad and Irbil are in discussion to reach agreements that will allow oil exports to resume,” the Norwegian company said.

Prior to the shutdown the pipeline carried about 400,000 barrels per day of Kurdish oil and another 70,000 bpd of Iraqi oil to global markets, DNO said. 

(With input from Reuters) 


First Citizens Bank to acquire Silicon Valley Bank

First Citizens Bank to acquire Silicon Valley Bank
Updated 27 March 2023

First Citizens Bank to acquire Silicon Valley Bank

First Citizens Bank to acquire Silicon Valley Bank

NEW YORK: The Federal Deposit Insurance Corp. has agreed on the sale of troubled Silicon Valley Bank to North Carolina-based First-Citizens Bank & Trust Co. 

The sale involves the sale of all deposits and loans of SVB to First-Citizens, the FDIC said in a statement late Sunday. 

The collapse of Silicon Valley Bank rattled the banking industry and led the FDIC and other regulators to act to protect depositors to prevent wider financial turmoil. 

The bank, based in Santa Clara, California, failed on March 10 after depositors rushed to withdraw money amid fears about the bank’s health. It was the second-largest bank collapse in US history. 

 

 


DP World in top 5 overseas investors since 2012

DP World in top 5 overseas investors since 2012
Updated 26 March 2023

DP World in top 5 overseas investors since 2012

DP World in top 5 overseas investors since 2012
  • Logistics company invested $320m in the last year

DUBAI: DP World has invested more than $10 billion in the global logistics sector since 2012, Emirates News Agency has reported. 

The figures make the UAE-based company one of the top five overseas investors during the time period, according to the most recent foreign direct investment data.

Despite the demand for logistics services slowing, along with the global economy, DP World invested $320 million in the last year. 

Other companies in the top five include Amazon, and Denmark’s AP Moller Maersk, making DP World the only company in the group not based in the US or Europe.

DP World CEO Sultan Ahmed bin Sulayem said: “The data shared by ‘FDI Intelligence’ demonstrates where we stand globally within the logistics sector, not only in the last year but consistently over the last 10 years.

“DP World’s companies touch people’s lives around the world every day. Sometimes it is tangible, and sometimes we are in the background, making sure people and businesses get the goods they require.

“Our infrastructure opens untapped trade opportunities, grows economies and makes goods more affordable.

“Investing in developing economies helps trade go further, facilitates economic growth, attracts foreign investment and generates thousands of jobs — raising the quality of life for everyone.”

According to a study in January commissioned by DP World and led by Economist Impact, 96 percent of companies are changing their supply chains as a result of geopolitical events.

One of DP World’s priorities in 2022 was to expand its partnerships in order to realize this trade potential.

It strengthened its partnership with India’s National Investment and Infrastructure Fund to raise about $300 million, and it established a new platform with British International Investment to accelerate work in Africa.

The African continent has been a key focus area, with the construction of the Port of Ndayane in Senegal marking the start of a $1 billion investment.

Plans are also in the works to expand the capabilities of operations at Caucedo in the Dominican Republic, while the Callao Port expansion in Peru, when completed later this year, will reportedly create one of the single largest terminals in South America.

Another popular investment destination has been the UK. DP World has invested £2 billion ($2.44 billion) in the UK over the last decade, supporting thousands of jobs, WAM reported.