Tarfaya, the largest wind farm in Africa and only its second independent power project (IPP) wind scheme, according to advisors Chadbourne & Parke, has recently reached financial close, the law firm disclosed in a statement.
The $350 million onshore wind farm will be located in the south west of Morocco and is being backed by three local banks: Attijariwafa Bank, Banque Populaire and Banque Marocaine du Commerce Exterieur. The project was awarded to a team of Nareva Renouvelables and Kharabel FZE, a subsidiary of global power firm International Power.
State-owned electricity company Office National de l’Electricite (ONE) will be the offtaker for the Tarfaya wind farm via a 20-year power purchase agreement. Chadbourne & Parke acted as advisor to ONE and is also advising it on a 1,320-megawatt coal-fired IPP, for which Nareva and International Power are the preferred bidders.
Morocco has started a $3.5 billion programme to develop its wind and solar capacity. Under the programme, a total of five wind farms are expected to be developed with a view to augmenting Morocco’s wind power capacity from the current 280 megawatts to 2,000 megawatts by 2020, according to Chadbourne & Parke.
Chadbourne & Parke has been active in the MENA region, having advised the sponsors of a $225 million wastewater treatment plant in Jordan that recently reached financial close.