Citadel companies launch Sudan power JV

ASEC Cement and TAQA Arabia, two firms owned by Citadel Capital, have formed a joint venture in Sudan that will provide electricity for a greenfield cement plant owned by ASEC.

ASEC Cement and TAQA Arabia, both portfolio companies owned by Egyptian private equity and infrastructure investor Citadel Capital, have launched a Sudanese power generation joint venture called Berber for Electrical Power. The firm will provide the entire electricity need for Takamol, ASEC Cement’s greenfield cement plant, under a 20-year off-take agreement.

Just over half of Berber is owned by Global Energy, TAQA Arabia’s power arm. In a statement, Citadel said TAQA Arabia would bring “its technical knowhow and management expertise as a licensed company for power generation and distribution”.

TAQA Arabia has established a footprint across several MENA countries through its gas arm. TAQA Arabia is Citadel Capital’s platform company for investment in the energy distribution sector across the Middle East and Africa, with a focus on gas and electricity distribution as well as the storage and distribution of refined products.

ASEC Cement is Citadel Capital’s platform investment for a leading regional cement production group that aims to control 12 million tons of cement per annum by 2013 in six countries spanning from Algeria to Iraq-Kurdistan.

The statement claims that Takamol is “the most technologically advanced cement production plant in Sudan” and will focus on serving significant un-met demand in that nation’s fast-growing cement market.